Tex. Water Laws ch. 11, art. 8280-16

Current with legislation from the 2023 Regular and Special Sessions signed by the Governor as of November 21, 2023.

Article 8280-16 - Red Bluff District; Distribution Of Funds From Pecos River Compact Account

Definitions

Sec. 10.01. In this article:

(1) "Board" means the Texas Water Development Board.

(2) "Master contract" means the master contract between Red Bluff District and member districts dated March 8, 1934.

(3) "Member district" means any one of the seven member districts of Red Bluff District, which are:

(A) Loving County Water Improvement District No. One;

(B) Reeves County Water Improvement District No. Two;

(C) Ward County Water Improvement District No. Three;

(D) Ward County Irrigation District Number One;

(E) Ward County Water Improvement District No. Two;

(F) Pecos County Water Improvement District No. Two; and

(G) Pecos County Water Improvement District No. Three.

(4) "Pecos River compact account" means the special account in the water assistance fund of the board created under Section 15.702, Water Code.

(5) "Principal amount" means the amount of $13.8 million, representing the amount received by the state by order of the United States Supreme Court in the case of Texas v. New Mexico (58 U.S.L.W. 3543) and deposited to the credit of the Pecos River compact account.

(6) "Red Bluff District" means the Red Bluff Water Power Control District, a water power control district created under Chapter 76, General Laws, Acts of the 43rd Legislature, Regular Session, 1933 (Article 7807d, Vernon's Texas Civil Statutes).

(7) "Distribution date" means the date of the distribution of funds held in the Pecos River compact account from the board to Red Bluff District under this Act.

Distribution of funds by board

Sec. 10.02.

(a) As soon as practicable after the effective date of this article, the board shall transfer one-half of the interest earned by the Pecos River compact account on or after March 1, 1990, and before September 1, 1991, to the state treasurer for deposit to the credit of the general revenue fund.

(b) Notwithstanding the provisions of any other law, the board, after making the transfer required by Subsection (a) of this section, shall promptly distribute all funds, including the principal amount and all accrued interest not transferred under Subsection (a) of this section, in the Pecos River compact account to Red Bluff District.

Use of funds

Sec. 10.03. The funds received by Red Bluff District under this article, together with any interest earned on the funds, shall be used by Red Bluff District or a member district only for agricultural or irrigation projects, including associated water quality improvement projects that affect surface water irrigators in the counties of Loving, Ward, Reeves, and Pecos. The projects may include the operation of the Red Bluff District or a member district and the maintenance of the water supply reservoirs, associated downstream diversion facilities, and internal distribution systems of the Red Bluff District or a member district.

Distribution of funds by Red Bluff District

Sec. 10.04.

(a) Interest earned on the principal amount shall be allocated:

(1) one-third to Red Bluff District; and

(2) two-thirds to member districts, to be allocated among the member districts in the same percentages as each member district's pro rata share of water under the master contract.

(b) On receipt of funds from the board under this article, Red Bluff District shall promptly distribute interest earned on the principal amount as of the distribution date and received by Red Bluff District in accordance with Subsection (a) of this section.

(c) Red Bluff District shall invest the principal amount in accordance with the Public Funds Investment Act of 1987 (Article 842a-2, Vernon's Texas Civil Statutes). Red Bluff District shall comply with the Public Funds Collateral Act (Article 2529d, Vernon's Texas Civil Statutes) to the extent applicable.

(d) Interest earned on the principal amount after the distribution date shall be distributed by Red Bluff District annually in accordance with Subsection (a) of this section.

(e) Red Bluff District may not spend any portion of the principal amount unless an affirmative vote in favor of the expenditure is received from:

(1) the board of directors of Red Bluff District; and

(2) the boards of directors of at least five of the member districts.

Annual accounting

Sec. 10.05. Red Bluff District shall provide an annual accounting of its administration of funds under this article and of the amount of interest earned to each member district and the board.

Tex. Water Laws ch. 11, art. 8280-16

Acts 1991, 72nd Leg., 1st C.S., ch. 4, Sec. 10.01 to 10.05, eff. 9/1/1991.