Texas § 163.078 BOARD OF DIRECTORS.

Texas Statutes

§ 163.078 — BOARD OF DIRECTORS.

Texas § 163.078

Code UTUtilities Code

This text of Texas § 163.078 (BOARD OF DIRECTORS.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Utilities Code Code Ann. § 163.078 (2026).

Text

Sec. 163.078. BOARD OF DIRECTORS.

(a)The agency shall be governed by a board of directors.

(b)The board is responsible for the management, operation, and control of the property belonging to the agency.

(c)The board may by resolution delegate management or operational authority to an officer, employee, or committee of the agency, except that the delegation may not include legislative functions, including the sale or purchase of agency properties, the exercise of the power of eminent domain, the adoption or amendment of budgets and rates, or the issuance of debt. The board may repeal a resolution delegating management or operational authority:

(1)if the board is composed of six or more directors, by the affirmative vote of six directors, including the affirmative vote of at least one di

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Sec. 163.078. BOARD OF DIRECTORS. (a) The agency shall be governed by a board of directors.
(b) The board is responsible for the management, operation, and control of the property belonging to the agency.
(c) The board may by resolution delegate management or operational authority to an officer, employee, or committee of the agency, except that the delegation may not include legislative functions, including the sale or purchase of agency properties, the exercise of the power of eminent domain, the adoption or amendment of budgets and rates, or the issuance of debt. The board may repeal a resolution delegating management or operational authority:
(1) if the board is composed of six or more directors, by the affirmative vote of six directors, including the affirmative vote of at least one director appointed by each participating public entity; or
(2) if the board is composed of fewer than six directors, by the affirmative vote of at least one director appointed by each participating public entity.
(d) The board must include at least four directors. Each director must be appointed by place by the governing bodies of the participating public entities. Each participating public entity is entitled to appoint at least one director.
(e) Directors must serve staggered terms. Successor directors are appointed in the same manner as the original appointees.
(f) To qualify to serve as a director, when the person takes the constitutional oath of office, the person must be:
(1) a qualified voter and reside in the boundaries of the appointing public entity;
(2) an employee, officer, or member of the governing body of the appointing public entity; or
(3) a retail electric customer of the appointing public entity.
(g) Except as provided by Subsections (h) and (i), an employee, officer, or member of the governing body of a participating public entity serving as a director may not have a personal interest in a contract executed by the agency other than as an employee, officer, or member of the governing body of the public entity.
(h) An employee, officer, or member of the governing body of a participating public entity serving as a director is considered to be a local public official for the purposes of Chapter 171 , Local Government Code.
(i) An agency and a participating public entity are considered to be political subdivisions for the purposes of Section 131.903 , Local Government Code.
(j) Directors serve without compensation. A director who is an employee, officer, or member of the governing body of a participating public entity may continue to receive from the public entity the compensation associated with the office or employment.
(k) A director serves at the discretion of the appointing public entity. The governing body of a public entity that appoints a director may remove the director from office at any time with or without cause. The governing body shall promptly appoint a new director to serve the remainder of the unexpired term of the removed director.