(a) Not later than June 1 of each year, the board shall prepare and file with the commissioners court a full, detailed report of the condition of the district. The report must include:
(1) an estimate of the cost of maintenance, operation, and needed repairs for the succeeding year;
(2) an inventory of all funds and other property of the district; and
(3) a list of all legal demands, debts, and obligations against the district.
(b) The board shall verify the report.
(c) The commissioners court shall carefully investigate and consider the report before setting a tax rate.