(a) The district may assume the exclusive authority to exercise the powers granted to a county under Section 361.165, Health and Safety Code, including the power to issue licenses and exercise municipal solid waste management authority.
(b) If the district exercises the licensing authority granted under this section, the district must adopt and enforce rules for the management of municipal solid waste.

(c) A rule adopted under this section must be:
(1) compatible with and at least as stringent as those of the commission; and
(2) approved by the commission.