Tex. Gov't Code § 1501.213 · Subchapter E. BONDS FOR IMPROVEMENT OF WATER AND SEWER SYSTEMS IN MUNICIPALITIES WITH POPULATION OF MORE THAN 275,000
SEGREGATION OF PROPERTIES.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Notwithstanding Section 1501.212(2), the payment or security of the district's outstanding bonds may not be impaired.
(b) If money is not available at the bank of payment for the district's bonds to pay the principal of or the interest on the bonds as it becomes due, the water board shall segregate from the municipal water and sewer system all district property purchased under this subchapter, including any replacement, renewal, or improvements of that property.
(c) The segregation of property must be accomplished so that the district property:
(1) is a complete and operating system; and
(2) serves substantially the same area as the district property served when title to the property vested in the municipality.
(d) After segregation, the water board:
(1) shall maintain and operate the district system separately;
(2) shall comply with the resolutions authorizing the district's outstanding bonds; and
(3) has each power, duty, and obligation previously held by the district's board of directors regarding the:
(A) maintenance and operation of the system;
(B) handling of the district's funds; and
(C) payment of the district's outstanding bonds.
(e) For purposes of Subsection (d), the water board is a body corporate and occupies the same position as the district's board of directors.
Notes and commentary — not statutory text
History
Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/GV/htm/GV.1501.htm
- Text hash
- sha256 61026f6313b09425e67361e6a51e34a55512df427d8581f15c8c6f023c121987
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
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