The states that the water of the ordinary flow, underflow, and tides of every flowing river, natural stream, and lake, and of every bay or arm of the Gulf of Mexico, and the storm water, floodwater, and rainwater of every river, natural stream, canyon, ravine, depression, and watershed in the state is the property of the state. Water imported from any source outside the boundaries of the state for use in the state and which is transported through the beds and banks of any navigable stream within the state or by utilizing any facilities owned or operated by the state is the property of the state.

The states that no person may divert or impound the natural flow of surface waters in Texas, or permit a diversion or impoundment to continue, in a manner that damages the property of another by the overflow of the water diverted or impounded. A person whose property is injured by an overflow of water caused by an unlawful diversion or impoundment has remedies at law and in equity and may recover damages occasioned by the overflow.