1. (a) The powers and duties of all districts and authorities created under the Texas Constitution, Article III, §52, and Article XVI, §59, are subject to the continuing right of supervision of the State of Texas, by and through the commission or its successor, and this supervision may include but is not limited to the authority to:

   1. (1) inquire into the competence, fitness, and reputation of the officers and directors of any district or authority;
   2. (2) require, on its own motion or on complaint by any person, audits, or other financial information, inspections, evaluations, and engineering reports;
   3. (3) issue subpoenas for witnesses to carry out its authority under this subsection;
   4. (4) institute investigations and hearings;
   5. (5) issue rules necessary to supervise the districts and authorities, except that such rules shall not apply to water quality ordinances adopted by any river authority which meet or exceed minimum requirements established by the commission; and
   6. (6) the right of supervision granted herein shall not apply to matters relating to electric utility operations.
2. (b) The executive director shall prepare and submit to the governor, lieutenant governor, and speaker of the house a report of any findings made under this section.

Source Note:The provisions of this §293.3 adopted to be effective September 5, 1986, 11 TexReg 3732; amended to be effective October 22, 1996, 21 TexReg 9905.