(a) If there is a countywide association of mayors and city councils of municipalities in a county that creates a district, the association shall appoint one director.
(b) If there is not an association described by Subsection (a), the municipalities in the district shall appoint a director. If there is more than one municipality in the district, the governing body of each municipality by resolution may vote in favor of a nominated person and a person who receives the votes of a majority of governing bodies is appointed director.
(c) The director appointed under this section must reside in a municipality adjacent to the largest ship channel in the district.