The board may divide the district, but a new district faces filing, election, and tax/bond approval rules.
Sec. 49.316. DIVISION OF DISTRICT. (a) The board, on its own motion or on receipt of a petition signed by the owner or owners of a majority of the assessed value of the real property in the district, may adopt an order dividing the district. (b) An order dividing a district may create one or more new districts and may provide for the continuation of the district. (c) An order dividing the district shall: (1) name any new district; (2) include the metes and bounds description of the territory of each of the districts; (3) appoint temporary directors for any new district; and (4) provide for the division of assets and liabilities between the districts. (d) The board may adopt an order dividing the district before or after the date the board holds an election to confirm the district's creation. (e) The district may be divided only if the district: (1) has never issued any bonds; and (2) is not imposing ad valorem taxes. (f) A new district created by the division of the district may not, at the time the new district is created, contain any land outside the area of the district at the time of creation. (g) On or before the 30th day after the date of adoption of an order dividing the district, the district shall file the order with the commission and record the order in the real property records of each county in which the district is located. (h) A new district created by the division of the district shall hold a confirmation and directors' election. (i) If the creation of a new district is confirmed, the new district shall provide the election date and results to the commission. (j) A new district created by the division of the district must hold an election as required by this chapter to obtain voter approval before the district may impose a maintenance tax or issue bonds payable wholly or partly from ad valorem taxes. (k) Municipal consent to the creation of the district and to the inclusion of land in the district acts as municipal consent to the creation of any new district created by the division of the district and to the inclusion of land in the new district. (l) The district may continue to rely on confirmation, directors', bond, and tax elections held before the division. Added by Acts 2023, 88th Leg., R.S., Ch. 1009 (H.B. 2815), Sec. 20, eff. June 18, 2023. SUBCHAPTER J-1. EXCLUSION OF URBAN PROPERTY FROM CERTAIN WATER DISTRICTS