Tex. Water Code § 67.008 · Subchapter A. GENERAL PROVISIONS
DISTRIBUTION OF PROFITS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The incorporators may provide in the charter of the corporation that a dividend will not be paid on the stock and that all profits of the corporation will be paid annually to political subdivisions, private corporations, or other persons that have transacted business with the corporation during the previous year.
(b) The corporation shall distribute any profits under Subsection (a) in direct proportion to the amount of business the corporation transacts with each entity during that year.
(c) The corporation may not make a distribution under Subsection (a) if the corporation has unpaid indebtedness.
(d) A corporation may allocate to a sinking fund an amount of the annual profits as determined necessary by the board for maintenance, operation, and replacements.
Notes and commentary — not statutory text
History
Added by Acts 1997, 75th Leg., ch. 166, Sec. 2, eff. Sept. 1, 1997.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/WA/htm/WA.67.htm
- Text hash
- sha256 1893cf3f692dee33db2d197c34d182cafe34fc47ca4c8f951aa47ec5c8165bbf
- 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.