H.B. No. 1532 establishes the Lake Houston Dredging and Maintenance District, which is a conservation and reclamation district created to perform dredging and maintenance operations in specified areas, including Lake Houston and parts of the San Jacinto River and Caney Creek. The bill outlines the district's governance, which will be managed by a board of five directors appointed by various local authorities, including the City of Houston and the Harris County Flood Control District. The district is granted specific powers to conduct dredging operations, form interlocal agreements, and issue revenue bonds to fund its activities, while also ensuring that these operations do not negatively impact water quality.

Additionally, the bill includes provisions that prohibit the district from imposing taxes or fees and limits state funding to a maximum of $25 million per fiscal year until September 1, 2027. The initial board members must be appointed by September 1, 2026, and the board will determine staggered terms for its members. The legal framework for the district is designed to ensure that it operates within the boundaries of existing laws while addressing the maintenance needs of the Lake Houston area.

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