(a) The board by rule may impose reasonable fees on each well for which the district issues a permit and which is not exempt from regulation by the district.
(b) The board may assess the fees on an annual basis according to:
(1) the size of column pipe used in the well;
(2) the production capacity of the well; or
(3) the actual, authorized, or anticipated pumpage of the well.

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Terms Used In Texas Special District Local Laws Code 8802.104


(c) The board may use fees as both a regulatory mechanism and a revenue-producing mechanism.
(d) The board shall adopt rules relating to:
(1) the rates of fees;
(2) the manner and form for filing reports of fees; and
(3) the manner of collecting fees.
(e) The district may use money collected from fees to:
(1) manage and operate the district; and
(2) pay all or part of the principal of and interest on district bonds or notes.