By: Cohen (Senate Sponsor - Ellis) H.B. No. 4722
(In the Senate - Received from the House May 13, 2009;
May 14, 2009, read first time and referred to Committee on
Intergovernmental Relations; May 22, 2009, reported adversely,
with favorable Committee Substitute by the following vote: Yeas 5,
Nays 0; May 22, 2009, sent to printer.)
COMMITTEE SUBSTITUTE FOR H.B. No. 4722 By: Gallegos
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Harris County Improvement District
No. 11; providing authority to impose a tax and issue bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. HARRIS COUNTY IMPROVEMENT DISTRICT NO. 11.
Subtitle C, Title 4, Special District Local Laws Code, is amended by
adding Chapter 3878 to read as follows:
CHAPTER 3878. HARRIS COUNTY IMPROVEMENT DISTRICT NO. 11
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 3878.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "District" means the Harris County Improvement
District No. 11.
Sec. 3878.002. HARRIS COUNTY IMPROVEMENT DISTRICT NO.
11. The Harris County Improvement District No. 11 is a special
district created under Section 59, Article XVI, Texas Constitution.
Sec. 3878.003. PURPOSE; DECLARATION OF INTENT. (a) The
creation of the district is essential to accomplish the purposes of
Sections 52 and 52-a, Article III, and Section 59, Article XVI,
Texas Constitution, and other public purposes stated in this
chapter. By creating the district and in authorizing Harris
County, the City of Houston, the Metropolitan Transit Authority of
Harris County, and other political subdivisions to contract with
the district, the legislature has established a program to
accomplish the public purposes set out in Section 52-a, Article
III, Texas Constitution.
(b) The creation of the district is necessary to promote,
develop, encourage, and maintain employment, commerce,
transportation, housing, tourism, recreation, the arts,
entertainment, economic development, safety, and the public
welfare in the area of the district.
(c) This chapter and the creation of the district may not be
interpreted to relieve Harris County or the City of Houston from
providing the level of services provided as of the effective date of
this Act to the area in the district or to release the county or the
city from the obligations of each entity to provide services to that
area. The district is created to supplement and not to supplant the
county or city services provided in the area in the district.
Sec. 3878.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a)
The district is created to serve a public use and benefit.
(b) All land and other property included in the district
will benefit from the improvements and services to be provided by
the district under powers conferred by Sections 52 and 52-a,
Article III, and Section 59, Article XVI, Texas Constitution, and
other powers granted under this chapter.
(c) Each improvement project or service authorized by this
chapter is essential to carry out a public purpose.
(d) The creation of the district is in the public interest
and is essential to:
(1) further the public purposes of developing and
diversifying the economy of the state;
(2) eliminate unemployment and underemployment; and
(3) develop or expand transportation and commerce.
(e) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district, and of the public;
(2) provide needed funding for the district to
preserve, maintain, and enhance the economic health and vitality of
the area as a community and business center;
(3) promote the health, safety, welfare, and enjoyment
of the public by providing public art and pedestrian ways and by
landscaping and developing certain areas in the district, which are
necessary for the restoration, preservation, and enhancement of
scenic and aesthetic beauty;
(4) promote and benefit commercial development and
commercial areas in the district; and
(5) promote and develop public transportation and
pedestrian facilities and systems using new and alternative means
that are attractive, safe, and convenient, including securing
expanded and improved transportation and pedestrian facilities and
systems, to:
(A) address the problem of traffic congestion in
the district, the need to control traffic and improve pedestrian
safety, and the limited availability of money; and
(B) benefit the land and other property in the
district and the residents, employers, employees, visitors, and
consumers in the district and the public.
(f) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, and street art objects are parts of and necessary
components of a street and are considered to be a street or road
improvement.
(g) The district will not act as the agent or
instrumentality of any private interest even though the district
will benefit many private interests as well as the public.
Sec. 3878.005. DISTRICT TERRITORY. (a) The district is
composed of the territory described by Section 2 of the Act enacting
this chapter, as that territory may have been modified under:
(1) Section 3878.251;
(2) Subchapter J, Chapter 49, Water Code; or
(3) other law.
(b) The boundaries and field notes of the district contained
in Section 2 of the Act enacting this chapter form a closure. A
mistake in the field notes or in copying the field notes in the
legislative process does not in any way affect:
(1) the district's organization, existence, and
validity;
(2) the district's right to issue any type of bond,
including a refunding bond, for a purpose for which the district is
created or to pay the principal of and interest on the bond;
(3) the district's right to impose and collect an
assessment or tax; or
(4) the legality or operation of the district or the
board.
(c) A description of the district's boundaries shall be
filed with the Texas Commission on Environmental Quality. The
commission by order may correct a mistake in the description of the
district's boundaries.
Sec. 3878.006. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
[Sections 3878.007-3878.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 3878.051. BOARD OF DIRECTORS; TERMS. (a) The district
is governed by a board of 10 voting directors appointed by a
majority of the members of the governing body, including the mayor,
of the City of Houston. Voting directors serve staggered terms of
four years with five directors' terms expiring June 1 of each
odd-numbered year.
(b) The board by order or resolution may increase or
decrease the number of voting directors on the board, but only if a
majority of the voting directors finds that it is in the best
interest of the district to do so. The board may not:
(1) increase the number of voting directors to more
than 15; or
(2) decrease the number of voting directors to fewer
than five.
(c) Sections 49.053, 49.054, 49.056, 49.057, 49.058, and
49.060, Water Code, apply to the board.
(d) Subchapter D, Chapter 375, Local Government Code,
applies to the board to the extent that subchapter does not conflict
with this chapter.
Sec. 3878.052. APPOINTMENT OF DIRECTORS ON INCREASE IN
BOARD SIZE. If the board increases the number of directors under
Section 3878.051, the board shall appoint eligible persons to fill
the new director positions and shall provide for the staggering of
terms of the new directors. On expiration of the term of a director
appointed under this section, a succeeding director shall be
appointed and qualified as provided by Subchapter D, Chapter 375,
Local Government Code. The mayor and members of the governing body
of the City of Houston shall appoint voting directors from persons
recommended by the board. A person is appointed if a majority of
the members of the governing body, including the mayor, vote to
appoint that person.
Sec. 3878.053. NONVOTING DIRECTORS. (a) The following
persons shall serve as nonvoting directors:
(1) the directors of the following departments of the
City of Houston or a person designated by that director:
(A) parks and recreation;
(B) planning and development; and
(C) public works; and
(2) the City of Houston's chief of police.
(b) If a department described by Subsection (a) is
consolidated, renamed, or changed, the board may appoint a director
of the consolidated, renamed, or changed department as a nonvoting
director. If a department described by Subsection (a) is
abolished, the board may appoint a representative of another
department that performs duties comparable to the duties performed
by the abolished department.
Sec. 3878.054. QUORUM. (a) Except as provided by
Subsection (b), six voting directors constitute a quorum of the
board.
(b) If the board is composed of an odd number of voting
directors, a majority of the voting directors constitutes a quorum
of the board.
(c) Nonvoting directors and vacant director positions are
not counted for the purposes of establishing a quorum of the board.
Sec. 3878.055. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT.
(a) Except as provided by this section:
(1) a voting director may participate in all board
votes and decisions; and
(2) Chapter 171, Local Government Code, governs
conflicts of interest for directors.
(b) Section 171.004, Local Government Code, does not apply
to the district. A director who has a substantial interest in a
business or charitable entity that will receive a pecuniary benefit
from a board action shall file a one-time affidavit declaring the
interest. An additional affidavit is not required if the
director's interest changes. After the affidavit is filed with the
board secretary, the director may participate in a discussion or
vote on that action if:
(1) a majority of the directors have a similar
interest in the same entity; or
(2) all other similar business or charitable entities
in the district will receive a similar pecuniary benefit.
(c) A director who is also an officer or employee of a public
entity may not participate in the discussion of or vote on a matter
regarding a contract with that public entity.
(d) For purposes of this section, a director has a
substantial interest in a charitable entity in the same manner that
a person would have substantial interest in a business entity under
Section 171.002, Local Government Code.
Sec. 3878.056. COMPENSATION OF VOTING DIRECTORS. Voting
directors may receive fees of office and reimbursement of expenses
as provided by Section 49.060, Water Code.
Sec. 3878.057. INITIAL VOTING DIRECTORS. (a) The initial
board consists of:
Pos. No. Name of Director
1 Claude Wynne
2 Allen Ueckert
3 Randy Mitchmoore
4 Cassie Stinson
5 Trip "Bradshaw" Carter
6 Brandon Dudley
7 E. Joyce Iyamu
8 Marchris Robinson
9 Dennis Murland
10 Robert Jara
(b) Of the initial directors, the terms of directors serving
in positions 1 through 5 expire June 1, 2013, and the terms of
directors serving in positions 6 through 10 expire June 1, 2011.
(c) Sections 3878.051(a) and (b) do not apply to the initial
directors.
(d) This section expires September 1, 2013.
[Sections 3878.058-3878.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 3878.101. DISTRICT POWERS. The district may exercise
the powers given to:
(1) a district created under Chapter 375, Local
Government Code;
(2) a district by Subchapters H and I, Chapter 49,
Water Code;
(3) a corporation under Chapter 505, Local Government
Code, including the power to own, operate, acquire, construct,
lease, improve, and maintain the projects described by that
section; and
(4) a housing finance corporation created under
Chapter 394, Local Government Code, to provide housing or
residential development projects in the district.
Sec. 3878.102. NONPROFIT CORPORATION. (a) The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act for the district in implementing a project or
providing a service authorized by this chapter.
(b) The nonprofit corporation:
(1) has each power of and is considered for purposes of
this chapter to be a local government corporation created under
Chapter 431, Transportation Code; and
(2) may implement any project and provide any service
authorized by this chapter.
(c) The board shall appoint the board of directors of the
nonprofit corporation. The board of directors of the nonprofit
corporation shall serve in the same manner as, for the same term as,
and on the same conditions as the board of directors of a local
government corporation created under Chapter 431, Transportation
Code.
Sec. 3878.103. AGREEMENTS; GRANTS. (a) The district may
make an agreement with or accept a gift, grant, or loan from any
person.
(b) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
Sec. 3878.104. ELECTIONS. (a) District elections must be
held in the manner provided by Subchapter L, Chapter 375, Local
Government Code.
(b) The board may submit multiple purposes in a single
proposition at an election.
Sec. 3878.105. CONTRACT FOR LAW ENFORCEMENT AND SECURITY
SERVICES. The district may contract with:
(1) Harris County or the City of Houston for the county
or city to provide law enforcement and security services in the
district for a fee; or
(2) a private entity for the private entity to provide
supplemental security services.
Sec. 3878.106. ANNEXATION OR EXCLUSION OF TERRITORY. The
district may annex or exclude land from the district in the manner
provided by Subchapter C, Chapter 375, Local Government Code.
Sec. 3878.107. APPROVAL BY CITY OF HOUSTON. (a) Except as
provided by Subsection (b), the district must obtain the approval
of the City of Houston's governing body for:
(1) the issuance of a bond for each improvement
project;
(2) the plans and specifications of the improvement
project financed by the bond; and
(3) the plans and specifications of any district
improvement project related to the use of land owned by the City of
Houston, an easement granted by the City of Houston, or a
right-of-way of a street, road, or highway.
(b) If the district obtains the approval of the City of
Houston's governing body of a capital improvements budget for a
period not to exceed five years, the district may finance the
capital improvements and issue bonds specified in the budget
without further approval from the City of Houston.
Sec. 3878.108. MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
district may join and pay dues to an organization that:
(1) enjoys tax-exempt status under Section 501(c)(3),
(4), or (6), Internal Revenue Code of 1986; and
(2) performs a service or provides an activity
consistent with promoting a district purpose.
Sec. 3878.109. ROAD POWERS. The district may exercise
powers given to:
(1) a road district created under Chapter 257,
Transportation Code; and
(2) a road utility district created under Chapter 441,
Transportation Code.
Sec. 3878.110. AIR RIGHTS; CONSTRUCTION. The district may
acquire air rights and related easements and may construct
improvements on property on which it owns only air rights and
related easements.
Sec. 3878.111. ADDITIONAL PROPERTY RIGHTS; LEASEHOLDS. The
district may construct improvements on property on which it only
has a leasehold interest and may own undivided interests in
buildings and other improvements.
Sec. 3878.112. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
[Sections 3878.113-3878.150 reserved for expansion]
SUBCHAPTER D. PUBLIC TRANSIT SYSTEM AND PARKING FACILITIES
Sec. 3878.151. PUBLIC TRANSIT SYSTEM; PETITION REQUIRED.
(a) The district may acquire, lease as lessor or lessee, construct,
develop, own, operate, and maintain a public transit system to
serve the area within the boundaries of the district.
(b) The board may not act under Subsection (a) unless a
written petition requesting the action has been filed with the
board.
(c) The petition must be signed by:
(1) the owners of property representing a majority of
the total assessed value of the real property in the district that
abuts the right-of-way in which the public transit system is
proposed to be located; or
(2) the owners of a majority of the area of the real
property in the district that abuts the right-of-way in which the
public transit system is proposed to be located.
(d) For purposes of Subsection (c), the determination of a
majority is based on the property owners along the entire
right-of-way of the proposed transit project and may not be
calculated on a block-by-block basis.
Sec. 3878.152. PARKING FACILITIES AUTHORIZED; OPERATION BY
PRIVATE ENTITY; TAX EXEMPTION. (a) The district may acquire, lease
as lessor or lessee, construct, develop, own, operate, and maintain
parking facilities, including:
(1) lots, garages, parking terminals, or other
structures or accommodations for the parking of motor vehicles; and
(2) equipment, entrances, exits, fencing, and other
accessories necessary for safety and convenience in the parking of
vehicles.
(b) A parking facility of the district must be either leased
to or operated on behalf of the district by a private entity or an
entity other than the district. The district's parking facilities
are a program authorized by the legislature under Section 52-a,
Article III, Texas Constitution, and accomplish a public purpose
under that section even if leased or operated by a private entity
for a term of years.
(c) The district's public parking facilities and any lease
to a private entity are exempt from the payment of ad valorem taxes
and state and local sales and use taxes.
Sec. 3878.153. RULES. The district may adopt rules
covering its public transit system or its public parking
facilities, except that a rule relating to or affecting the use of
the public right-of-way or a requirement for off-street parking is
subject to all applicable municipal charter, code, or ordinance
requirements.
Sec. 3878.154. FINANCING OF PUBLIC TRANSIT SYSTEM OR
PARKING FACILITIES. (a) The district may use any of its resources,
including revenue, assessments, taxes, and grant or contract
proceeds, to pay the cost of acquiring and operating a public
transit system or public parking facilities.
(b) The district may set and impose fees, charges, or tolls
for the use of the public transit system or the public parking
facilities and may issue bonds or notes to finance the cost of these
facilities.
(c) Except as provided by Section 3878.151, if the district
pays for or finances the cost of acquiring or operating a public
transit system or public parking facilities with resources other
than assessments, a petition of property owners or a public hearing
is not required.
Sec. 3878.155. PAYMENT IN LIEU OF TAXES TO OTHER TAXING
UNIT. If the district's acquisition of property for a parking
facility that is leased to or operated by a private entity results
in the removal from a taxing unit's tax rolls of real property
otherwise subject to ad valorem taxation, the district shall pay to
the taxing unit in which the property is located, on or before
January 1 of each year, as a payment in lieu of taxes, an amount
equal to the ad valorem taxes that otherwise would have been imposed
for the preceding tax year on that real property by the taxing unit,
without including the value of any improvements constructed on the
property.
Sec. 3878.156. AGREEMENT WITH RAPID TRANSIT AUTHORITY. (a)
In this section, "authority" means a rapid transit authority
created under Chapter 451, Transportation Code.
(b) The district and an authority may agree to jointly
construct, own, operate, and maintain a transit facility or a
parking facility under the terms the authority and district desire.
(c) The agreement may provide that the district and the
authority exchange or trade land provided that each party to the
agreement receives fair market value. The authority is not
required to offer any property that it proposes to trade to the
district for sale to the public or for sale to any abutting property
owner.
[Sections 3878.157-3878.200 reserved for expansion]
SUBCHAPTER E. FINANCIAL PROVISIONS
Sec. 3878.201. AUTHORITY TO IMPOSE ASSESSMENTS, AD VALOREM
TAXES, AND IMPACT FEES. The district may impose, assess, charge, or
collect an assessment, an ad valorem tax, an impact fee, or another
fee in accordance with Chapter 49, Water Code, for a purpose
specified by Chapter 375, Local Government Code, or as needed to
exercise a power or function of the district or to accomplish a
purpose or duty for which the district was created.
Sec. 3878.202. DISBURSEMENTS AND TRANSFERS OF MONEY. The
board by resolution shall establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of the district's money.
Sec. 3878.203. ASSESSMENT IN PART OF DISTRICT. An
assessment may be imposed on only a part of the district if only
that part will benefit from the service or improvement.
Sec. 3878.204. PETITION REQUIRED FOR ASSESSMENT AND FOR
FINANCING SERVICES AND IMPROVEMENTS. (a) The board may not impose
an assessment or finance a service or improvement project under
this chapter unless a written petition requesting the improvement
or service has been filed with the board.
(b) The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district subject to assessment according to
the most recent certified tax appraisal roll for Harris County; or
(2) at least 25 owners of real property in the district
that will be subject to the assessment, if more than 25 persons own
real property subject to the assessment in the district according
to the most recent certified tax appraisal roll for Harris County.
(c) The board may act upon a petition, required under this
section, signed by qualified petitioners prior to or subsequent to
the enactment of this chapter.
Sec. 3878.205. MAINTENANCE TAX. (a) If authorized at an
election held in accordance with Section 3878.104, the district may
impose an annual ad valorem tax on taxable property in the district
to:
(1) administer the district;
(2) maintain and operate the district;
(3) construct or acquire improvements; or
(4) provide a service.
(b) The board shall determine the tax rate.
(c) An owner of real property in the district, except
property exempt under the Texas or United States Constitution or
under the Tax Code, is liable for the payment of ad valorem taxes
imposed by the district on the property.
Sec. 3878.206. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
The board by resolution may impose and collect an assessment for any
purpose authorized by this chapter.
(b) An assessment, a reassessment, or an assessment
resulting from an addition to or correction of the assessment roll
by the district, penalties and interest on an assessment or
reassessment, an expense of collection, and reasonable attorney's
fees incurred by the district:
(1) are a first and prior lien against the property
assessed;
(2) are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad valorem
taxes; and
(3) are the personal liability of and a charge against
the owners of the property even if the owners are not named in the
assessment proceedings.
(c) The lien is effective from the date of the board's
resolution imposing the assessment until the date the assessment is
paid. The board may enforce the lien in the same manner that the
board may enforce an ad valorem tax lien against real property.
(d) The board may make a correction to or deletion from the
assessment roll that does not increase the amount of assessment of
any parcel of land without providing notice and holding a hearing in
the manner required for additional assessments.
Sec. 3878.207. PROPERTY OF CERTAIN UTILITIES EXEMPT FROM
ASSESSMENT AND IMPACT FEES. The district may not impose an impact
fee or assessment on the property, including the equipment,
rights-of-way, facilities, or improvements, of:
(1) an electric utility or a power generation company
as defined by Section 31.002, Utilities Code;
(2) a gas utility as defined by Section 101.003 or
121.001, Utilities Code;
(3) a telecommunications provider as defined by
Section 51.002, Utilities Code; or
(4) a person who provides the public cable television
or advanced telecommunications services.
Sec. 3878.208. USE OF ELECTRICAL OR OPTICAL LINES. (a) The
district may impose an assessment to pay the cost of:
(1) burying or removing electrical power lines,
telephone lines, cable or fiber-optic lines, or any other type of
electrical or optical line;
(2) removing poles and any elevated lines using the
poles; and
(3) reconnecting the lines described by Subdivision
(2) to the buildings or other improvements to which the lines were
connected.
(b) The district may acquire, operate, or charge fees for
the use of the district conduits for:
(1) another person's:
(A) telecommunications network;
(B) fiber-optic cable; or
(C) electronic transmission line; or
(2) any other type of transmission line or supporting
facility.
(c) The district may not require a person to use a district
conduit.
Sec. 3878.209. BONDS AND OTHER OBLIGATIONS. (a) The
district may issue bonds, notes, or other obligations in accordance
with Subchapter J, Chapter 375, Local Government Code, payable
wholly or partly from assessments, impact fees, revenue, grants, or
other money of the district, or any combination of these sources of
money, to pay for any authorized district purpose.
(b) In exercising the district's power to borrow, the
district may issue a bond or other obligation in the form of a bond,
note, certificate of participation or other instrument evidencing a
proportionate interest in payments to be made by the district, or
other type of obligation.
Sec. 3878.210. LIMITS ON PARKS AND RECREATION BONDS. Bonds
issued to finance parks and recreational facilities may not exceed
one percent of the assessed value of the real property in the
district according to the most recent certified tax appraisal roll
for Harris County.
Sec. 3878.211. TAX AND BOND ELECTIONS. (a) The district
shall hold an election in the manner provided by Subchapter L,
Chapter 375, Local Government Code, to obtain voter approval before
the district imposes a maintenance tax or issues bonds payable from
ad valorem taxes.
(b) The board may not include more than one purpose in a
single proposition at an election.
(c) Section 375.243, Local Government Code, does not apply
to the district.
Sec. 3878.212. POWERS OF MUNICIPAL UTILITY DISTRICT TO
ESTABLISH DEFINED AREAS AND DESIGNATED PROPERTY; TAXES; BONDS. (a)
The district has the powers of a municipal utility district under
Subchapter J, Chapter 54, Water Code, including the power to:
(1) implement a plan;
(2) issue bonds; and
(3) impose a tax in a defined area established under
that subchapter.
(b) The district may exercise the powers described by
Subsection (a) regardless of whether the district is composed of
the minimum number of acres provided by Section 54.801, Water Code.
Sec. 3878.213. MUNICIPALITY NOT REQUIRED TO PAY DISTRICT
OBLIGATIONS. Except as provided by Section 375.263, Local
Government Code, a municipality is not required to pay a bond, note,
or other obligation of the district.
Sec. 3878.214. COMPETITIVE BIDDING. Section 375.221, Local
Government Code, applies to the district only for a contract that
has a value greater than $50,000.
[Sections 3878.215-3878.250 reserved for expansion]
SUBCHAPTER F. CONSOLIDATION
Sec. 3878.251. CONSOLIDATION WITH MUNICIPAL MANAGEMENT
DISTRICT. (a) The district may consolidate with one other
municipal management district that adjoins or has a boundary that
is within a two-mile radius of any boundary of the district. The
board may consolidate with one other district only if the district
to be consolidated has not issued bonds or notes secured by
assessments or ad valorem taxes or imposed taxes.
(b) To initiate consolidation, the board of a district shall
adopt a resolution proposing a consolidation and deliver a copy of
the resolution to the board of each district with which
consolidation is proposed.
Sec. 3878.252. TERMS AND CONDITIONS FOR CONSOLIDATION. Not
later than the 30th day after districts are consolidated under
Section 3878.251, the districts shall enter into an agreement
specifying the terms and conditions for consolidation. The terms
and conditions for consolidation must include:
(1) adoption of a name for the consolidated district;
(2) the number and apportionment of directors to serve
on the board of the consolidated district;
(3) the effective date of the consolidation;
(4) an agreement on finances for the consolidated
district, including disposition of funds, property, and other
assets of each district; and
(5) an agreement on governing the districts during the
transition period, including selection of officers.
Sec. 3878.253. NOTICE AND HEARING ON CONSOLIDATION. (a)
Each district's board shall publish notice and hold a public
hearing in its district regarding the terms and conditions for
consolidation of the districts. The board shall publish notice at
least once in a newspaper with general circulation in the affected
districts at least seven days before the hearing.
(b) After the hearing, each board by resolution must approve
the terms and conditions for consolidation by majority vote and
enter an order consolidating the districts.
(c) If the board of each involved district adopts a
resolution containing the terms and conditions for the
consolidation, the involved districts become consolidated.
Sec. 3878.254. GOVERNING CONSOLIDATED DISTRICTS. (a)
After two districts are consolidated, they become one district and
are governed as one district.
(b) During the period before the terms and conditions of the
agreement under Section 3878.252 take effect, the officers of each
district shall continue to act jointly as officers of the original
districts to settle the affairs of their respective districts.
(c) If one of the districts consolidated into one district
under this subchapter had powers at the time the districts were
consolidated that the other district being consolidated did not
have, the consolidated district may exercise within the original
boundaries of each district only the powers that belonged to that
original district. In territory annexed into a consolidated
district, the district may exercise any of the powers of the
original districts.
Sec. 3878.255. DEBTS OF ORIGINAL DISTRICTS. After two
districts are consolidated, the consolidated district shall
protect the debts and obligations of the original districts and
shall ensure that the debts and obligations are not impaired. If
the consolidated district has taxing authority, the debts may be
paid by taxes imposed on the land in the original districts as if
they had not consolidated or from contributions from the
consolidated district on terms stated in the consolidation
agreement.
Sec. 3878.256. ASSESSMENT AND COLLECTION OF TAXES. If the
consolidated district has taxing authority, the district shall
impose and collect taxes on all property in the district uniformly,
for maintenance and operation of the district.
Sec. 3878.257. FILING OF ORDER WITH COUNTY CLERK AND
EXECUTIVE DIRECTOR. The board shall keep in the records of the
consolidated district, recorded in the office of the county clerk
in each of the counties in the consolidated district, a
consolidation order issued by the board. The board shall file the
consolidation order with the executive director of the Texas
Commission on Environmental Quality.
[Sections 3878.258-3878.300 reserved for expansion]
SUBCHAPTER G. DISSOLUTION
Sec. 3878.301. DISSOLUTION OF DISTRICT WITH OUTSTANDING
DEBT. (a) The district may be dissolved as provided by Subchapter
M, Chapter 375, Local Government Code, except that Section 375.264,
Local Government Code, does not apply to the district. The board
may dissolve the district regardless of whether the district has
debt.
(b) If the district has debt when it is dissolved, the
district shall remain in existence solely for the purpose of
discharging its bonds or other obligations according to their
terms. The dissolution is effective when all debts have been
discharged.
SECTION 2. BOUNDARIES. On the effective date of this Act,
the Harris County Improvement District No. 11 includes all
territory generally bounded by the following described area:
UNLESS otherwise specified, the boundaries of this district will
travel along the centerline of each street included, and each
intersection will be the intersection of the centerlines of the
streets mentioned.
Beginning at the intersection of the center right of way line
of West Dallas and the center right of way line of Montrose
Boulevard;
Thence in a southerly direction along the center right of way of
Montrose Boulevard to its intersection with the center right of way
of Sul Ross.
Thence in a westerly direction along the center right of way of Sul
Ross to its intersection with the center right of way of Mulberry.
Thence in a southerly direction along the center right of way of
Mulberry to its intersection with the center right of way of
Branard, thence east along the center right of way of Branard to its
intersection with the center right of way of Yupon.
Thence in a southerly direction along the center right of way of
Yupon to where Yupon corners into the center right of way of
Colquitt.
Thence in an easterly direction along the center right of way of
Colquitt to its intersection with the center right of way of
Graustark.
Thence in a southerly direction along the center right of way of
Graustark to the center right of way of U.S. Highway 59.
Thence easterly along the center right of way of US 59 South to the
north property line of Tract 12, Block 7 MacGregor Blodgett Section
1;
Thence southwesterly along the north property line of Tracts 12 and
10, Block 7 MacGregor Blodgett Section 1;
Thence southwesterly along the north property line of Tract 9,
Block 8 MacGregor Blodgett Section 1 to the south east property line
of the C.C. Fitze Homestead Addition according to the plat thereof
recorded in Volume 259, Page 163 of the Harris County Deed Records;
Thence south westerly along the south east property line of said
C.C. Fitze Homestead Addition according to the plat thereof
recorded in Volume 259, Page 163 of the Harris County Deed Records;
Thence westerly along the south property line of said C.C. Fitze
Homestead Addition according to the plat thereof recorded in Volume
259, Page 163 of the Harris County Deed Records crossing the north
dead end of Travis to the center right of way line thereof;
Thence southwesterly along the center right of way line of Travis to
the center right of way line of Portland;
Thence easterly along the center right of way line of Portland to
the center right of way line of Main;
Thence southwesterly along the center right of way line of Main to
its intersection with the center right of way line of Bissonnet;
Thence westerly along the center right of way line of Bissonnet to
its intersection with the center right of way line of Graustark;
Thence northerly along the center right of way line of Graustark to
its intersection with the center right of way line of US 59 South;
Thence westerly along the center right of way line of US 59 South to
its intersection with the east right of way line of South Shepherd
Drive;
Thence northerly along the east right of way line of South Shepherd
Drive following along the northeast right of way line of Shepherd
Drive to its intersection with the center right of way line West
Dallas Avenue;
Then in a easterly direction along the center right of way of West
Dallas Street to its intersection with the center right of way of
Montrose Boulevard at the point of BEGINNING.
Save & Except
Save and except the following tracts of land:
1. 0442170000002
REGENT SQUARE CD LLC
3601 W ALLEN PKY STE 183
TRS 1 1A 2 3 3A 4 6A THRU 6E 14A 14B 15 24 & 24A
LTS 1 THRU 5 BLK 1 HYDE PARK COURT
LTS 1 & 2 BLK 1 CLAY COURT
ABST 696 O SMITH
2. 0751570010001
REGENT SQUARE CD LLC
3501 W DALLAS ST STE 218
ALL BLKS 1 2
LT 6 BLK 2 HYDE PARK COURT
LTS 1 5 6 7 8 TR 9A WEIS
TRS 9 16 17 18 19D 24 24A 25 ABST 696 O SMITH
3. 0442190000003
REGENT SQUARE CD LLC
3601 ALLEN PKY STE 59
TRS 4 6 6A 7 8 8A 9A 9B 9C 10 -13 & 16
LTS 1 & 2 BLK 1 ROSIE
ABST 696 O SMITH
SECTION 3. REIMBURSEMENT FOR COST OF CREATION. The Harris
County Improvement District No. 11 may reimburse the cost of
creating the district from assessments or other revenue created by
the district or consolidated district under Section 3878.251,
Special District Local Laws Code, as added by this Act.
SECTION 4. LEGISLATIVE FINDINGS. The legislature finds
that:
(1) proper and legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished by
the constitution and laws of this state, including the governor,
who has submitted the notice and Act to the Texas Commission on
Environmental Quality;
(2) the Texas Commission on Environmental Quality has
filed its recommendations relating to this Act with the governor,
lieutenant governor, and speaker of the house of representatives
within the required time;
(3) the general law relating to consent by political
subdivisions to the creation of districts with conservation,
reclamation, and road powers and the inclusion of land in those
districts has been complied with; and
(4) all requirements of the constitution and laws of
this state and the rules and procedures of the legislature with
respect to the notice, introduction, and passage of this Act have
been fulfilled and accomplished.
SECTION 5. EFFECTIVE DATE. This Act takes effect
immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this Act takes effect September 1, 2009.
* * * * *