Tex. Water Code § 36.153 · Subchapter E. DISTRICT FINANCES
ANNUAL AUDIT.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) Annually and subject to Subsection (c), the board shall have an audit made of the financial condition of the district. The district audit shall be performed according to the generally accepted government auditing standards adopted by the American Institute of Certified Public Accountants.
(b) Financial statements shall be prepared in accordance with generally accepted accounting principles as adopted by the American Institute of Certified Public Accountants. The annual audit and other district records must be open to inspection during regular business hours at the principal office of the district.
(c) The district is exempt from the requirement under Subsection (a) if it had:
(1) not more than $500 in receipts from operations, tax assessments, loans, contributions, or any other sources during the calendar year;
(2) not more than $500 in disbursements of funds during the calendar year;
(3) no bonds or other liabilities with terms of more than one year outstanding during the calendar year; and
(4) no cash or investments amounting to more than $5,000 at any time during the calendar year.
(d) A financially dormant district may elect not to conduct an audit and instead submit to the executive director a financial dormancy affidavit.
Notes and commentary — not statutory text
History
Added by Acts 1995, 74th Leg., ch. 933, Sec. 2, eff. Sept. 1, 1995. Amended by Acts 2003, 78th Leg., ch. 785, Sec. 52, eff. Sept. 1, 2003.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 415 (H.B. 2767), Sec. 9, eff. June 10, 2015.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/WA/htm/WA.36.htm
- Text hash
- sha256 65869f2b4a8fb91e8ddbc7733a4e83019294f96cc7ffc97abac6f0fcae9b19d2
- 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
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.