In this subchapter:
(1) “Economically distressed area” means an area in which:
(A) water supply or sewer services are inadequate to meet minimal needs of residential users as defined by board rules;
(B) financial resources are inadequate to provide water supply or sewer services that will satisfy those needs; and
(C) an established residential subdivision was located on June 1, 2005, as determined by the board.
(2) “Financial assistance” means the funds provided by the board to political subdivisions for water supply and sewer services under this subchapter.
(3) “Political subdivision” means a county, municipality, a nonprofit water supply corporation created and operating under Chapter 67, or district or authority created under Article III, § 52, or Article XVI, § 59, of the Texas Constitution.
(4) “Water conservation” means those practices, techniques, and technologies that will reduce the consumption of water, reduce the loss or waste of water, improve the efficiency in the use of water, or increase the recycling and reuse of water so that a water supply is made available for future or alternative uses.
(5) “Sewer services” and “sewer facilities” mean treatment works or individual, on-site, or cluster treatment systems such as septic tanks and include drainage facilities and other improvements for proper functioning of the sewer services and other facilities.
(6) “Economically distressed areas account” means the economically distressed areas account in the Texas Water Development Fund or the economically distressed areas program account in the Texas Water Development Fund II.