89R13809 JBD-D
 
  By: DeAyala H.B. No. 2805
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to civil actions related to groundwater conservation
  districts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 36.066, Water Code, is amended by
  amending Subsections (a), (g), and (h) and adding Subsection (g-1)
  to read as follows:
         (a)  A district may sue and be sued in the courts of this
  state in the name of the district by and through its board. A
  district board member is immune from personal [suit and immune
  from] liability for official votes and official actions. To the
  extent an official vote or official action conforms to laws
  relating to conflicts of interest, abuse of office, or
  constitutional obligations, this subsection provides immunity for
  those actions. All courts shall take judicial notice of the
  creation of the district and of its boundaries.
         (g)  If the trial court finds by clear and convincing
  evidence that an administrative proceeding brought against a
  district and appealed to the court or a suit brought against a
  district was groundless and brought in bad faith [district prevails
  in any suit other than a suit in which it voluntarily intervenes],
  the district may seek and the court shall grant, in the interests of
  justice and as provided by Subsection (h), in the same action,
  recovery for reasonable and necessary attorney's fees, costs for
  expert witnesses and depositions, and other costs incurred by the
  district in the proceeding or suit [before the court].
         (g-1)  If the trial court finds by clear and convincing
  evidence that a district has intentionally violated the statutory
  or constitutional rights of a groundwater rights owner, the rights
  owner may seek and the court shall grant, in the interests of
  justice and as provided by Subsection (h), in the same action,
  recovery for reasonable and necessary attorney's fees, costs for
  expert witnesses and depositions, and other costs incurred by the
  rights owner in:
               (1)  an administrative proceeding appealed to the court
  and arising from the rights violation; and
               (2)  a suit arising from the rights violation.  [The
  amount of the attorney's fees shall be fixed by the court.]
         (h)  The court shall determine the amount of attorney's fees
  awarded under this section. If the district or groundwater rights
  owner prevails on some, but not all, of the issues in the proceeding
  or suit, the court shall award attorney's fees and costs under this
  section only for those issues on which the district or rights owner
  prevails. The district or rights owner, as applicable, has the
  burden of segregating the attorney's fees and costs in order for the
  court to make an award.
         SECTION 2.  Section 36.066, Water Code, as amended by this
  Act, applies only to an action filed on or after the effective date
  of this Act. An action filed before the effective date of this Act
  is governed by the law as it existed immediately before the
  effective date of this Act, and that law is continued in effect for
  that purpose.
         SECTION 3.  This Act takes effect September 1, 2025.