81R18200 PMO-F
By: Chisum H.B. No. 4764
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Gray County Municipal Utility
District No. 1; providing authority to impose a tax and issue bonds;
granting a limited power of eminent domain.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle F, Title 6, Special District Local Laws
Code, is amended by adding Chapter 8319 to read as follows:
CHAPTER 8319. GRAY COUNTY MUNICIPAL UTILITY DISTRICT NO. 1
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8319.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Gray County Municipal Utility
District No. 1.
Sec. 8319.002. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 8319.003. CONFIRMATION AND DIRECTORS' ELECTION
REQUIRED. The temporary directors shall hold an election to
confirm the creation of the district and to elect five permanent
directors as provided by Section 49.102, Water Code.
Sec. 8319.004. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section 8319.003
until each municipality in whose corporate limits or
extraterritorial jurisdiction the district is located has
consented by ordinance or resolution to the creation of the
district and to the inclusion of land in the district.
Sec. 8319.005. FINDINGS OF PUBLIC PURPOSE AND BENEFIT. (a)
The district is created to serve a public purpose and benefit.
(b) The district is created to accomplish the purposes of:
(1) a municipal utility district as provided by
general law and Section 59, Article XVI, Texas Constitution; and
(2) Section 52, Article III, Texas Constitution, that
relate to the construction, acquisition, improvement, operation,
or maintenance of macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Sec. 8319.006. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section 2 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section 2 of
the Act creating this chapter form a closure. A mistake made in the
field notes or in copying the field notes in the legislative process
does not affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for the purposes
for which the district is created or to pay the principal of and
interest on a bond;
(3) right to impose a tax; or
(4) legality or operation.
[Sections 8319.007-8319.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8319.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 8319.052, directors serve
staggered four-year terms.
Sec. 8319.052. TEMPORARY DIRECTORS. (a) On or after the
effective date of the Act creating this chapter, the owner or owners
of a majority of the assessed value of the real property in the
district may submit a petition to the Texas Commission on
Environmental Quality requesting that the commission appoint as
temporary directors the five persons named in the petition. The
commission shall appoint as temporary directors the five persons
named in the petition.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 8319.003; or
(2) the fourth anniversary of the effective date of
the Act creating this chapter.
(c) If permanent directors have not been elected under
Section 8319.003 and the terms of the temporary directors have
expired, successor temporary directors shall be appointed or
reappointed as provided by Subsection (d) to serve terms that
expire on the earlier of:
(1) the date permanent directors are elected under
Section 8319.003; or
(2) the fourth anniversary of the date of the
appointment or reappointment.
(d) If Subsection (c) applies, the owner or owners of a
majority of the assessed value of the real property in the district
may submit a petition to the Texas Commission on Environmental
Quality requesting that the commission appoint as successor
temporary directors the five persons named in the petition. The
commission shall appoint as successor temporary directors the five
persons named in the petition.
[Sections 8319.053-8319.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 8319.101. GENERAL POWERS AND DUTIES. The district has
the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 8319.102. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8319.103. AUTHORITY FOR ROAD PROJECTS. Under Section
52, Article III, Texas Constitution, the district may design,
acquire, construct, finance, issue bonds for, improve, operate,
maintain, and convey to this state, a county, or a municipality for
operation and maintenance macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Sec. 8319.104. ROAD STANDARDS AND REQUIREMENTS. (a) A road
project must meet all applicable construction standards, zoning and
subdivision requirements, and regulations of each municipality in
whose corporate limits or extraterritorial jurisdiction the road
project is located.
(b) If a road project is not located in the corporate limits
or extraterritorial jurisdiction of a municipality, the road
project must meet all applicable construction standards,
subdivision requirements, and regulations of each county in which
the road project is located.
(c) If the state will maintain and operate the road, the
Texas Transportation Commission must approve the plans and
specifications of the road project.
Sec. 8319.105. COMPLIANCE WITH MUNICIPAL CONSENT ORDINANCE
OR RESOLUTION. The district shall comply with all applicable
requirements of any ordinance or resolution that is adopted under
Section 54.016 or 54.0165, Water Code, and that consents to the
creation of the district or to the inclusion of land in the
district.
Sec. 8319.106. LIMITATION ON USE OF EMINENT DOMAIN. (a) The
district may not exercise the power of eminent domain outside the
district to acquire a site or easement for:
(1) a road project authorized by Section 8319.103; or
(2) a recreational facility as defined by Section
49.462, Water Code.
(b) The district may not exercise the power of eminent
domain to acquire land, an easement, or other property that is
located more than five miles outside the district's boundaries.
[Sections 8319.107-8319.150 reserved for expansion]
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8319.151. ELECTIONS REGARDING TAXES OR BONDS. (a) The
district may issue, without an election, bonds and other
obligations secured by:
(1) revenue other than ad valorem taxes; or
(2) contract payments described by Section 8319.153.
(b) The district must hold an election in the manner
provided by Chapters 49 and 54, Water Code, to obtain voter approval
before the district may impose an ad valorem tax or issue bonds
payable from ad valorem taxes.
(c) The district may not issue bonds payable from ad valorem
taxes to finance a road project unless the issuance is approved by a
vote of a two-thirds majority of the district voters voting at an
election held for that purpose.
Sec. 8319.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8319.151, the district
may impose an operation and maintenance tax on taxable property in
the district in accordance with Section 49.107, Water Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.
Sec. 8319.153. CONTRACT TAXES. (a) In accordance with
Section 49.108, Water Code, the district may impose a tax other than
an operation and maintenance tax and use the revenue derived from
the tax to make payments under a contract after the provisions of
the contract have been approved by a majority of the district voters
voting at an election held for that purpose.
(b) A contract approved by the district voters may contain a
provision stating that the contract may be modified or amended by
the board without further voter approval.
[Sections 8319.154-8319.200 reserved for expansion]
SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8319.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. The district may issue bonds or other obligations
payable wholly or partly from ad valorem taxes, impact fees,
revenue, contract payments, grants, or other district money, or any
combination of those sources, to pay for any authorized district
purpose.
Sec. 8319.202. TAXES FOR BONDS. At the time the district
issues bonds payable wholly or partly from ad valorem taxes, the
board shall provide for the annual imposition of a continuing
direct ad valorem tax, without limit as to rate or amount, while all
or part of the bonds are outstanding as required and in the manner
provided by Sections 54.601 and 54.602, Water Code.
Sec. 8319.203. BONDS FOR ROAD PROJECTS. At the time of
issuance, the total principal amount of bonds or other obligations
issued or incurred to finance road projects and payable from ad
valorem taxes may not exceed one-fourth of the assessed value of the
real property in the district.
[Sections 8319.204-8319.250 reserved for expansion]
SUBCHAPTER F. DIVISION OF DISTRICT INTO MULTIPLE DISTRICTS
Sec. 8319.251. DIVISION OF DISTRICT; REQUIREMENTS. (a) At
any time after the district has been confirmed and before the
district issues indebtedness secured by taxes or net revenue, the
district may be divided into two or more new districts.
(b) A new district created by division of the district must
be at least 100 acres.
(c) The board may consider a proposal to divide the district
on:
(1) a petition of a landowner in the district; or
(2) a motion by the board.
(d) If the board decides to divide the district, the board
shall:
(1) set the terms of the division, including names for
the new districts and a plan for the payment or performance of any
outstanding district obligations; and
(2) prepare a metes and bounds description for each
proposed district.
(e) Any new district created by the division of the district
may not, at the time the new district is created, contain any land
outside the area described by Section 2 of the Act creating this
chapter. After its creation, a new district may annex property in
accordance with this chapter.
Sec. 8319.252. ELECTION FOR DIVISION OF DISTRICT.
(a) After the board has complied with Section 8319.251(d), the
board shall hold an election in the district to determine whether
the district should be divided as proposed.
(b) The board shall give notice of the election in the same
manner required for other district elections prescribed by the
Water Code and Election Code.
(c) If a majority of the votes cast are in favor of the
division:
(1) the district is divided; and
(2) not later than the 30th day after the date of the
election, the district shall provide written notice of the division
to:
(A) the Texas Commission on Environmental
Quality;
(B) the attorney general;
(C) the commissioners court of each county in
which a new district is located; and
(D) any municipality having extraterritorial
jurisdiction over territory in each new district.
(d) If a majority of the votes cast are not in favor of the
division, the district may not be divided.
Sec. 8319.253. ELECTION OF DIRECTORS OF NEW DISTRICTS.
(a) Not later than the 90th day after the date of an election in
favor of the division of the district, the board shall:
(1) appoint itself as the board of one of the new
districts; and
(2) appoint five directors for each of the other new
districts.
(b) Directors appointed under Subsection (a)(1) serve the
staggered terms to which they were elected in the original
district. Directors appointed under Subsection (a)(2) serve until
the election for directors under Subsection (c).
(c) On the uniform election date in May of the first
even-numbered year after the year in which the directors are
appointed, the appointed board shall hold an election to elect five
directors in each district for which directors were appointed under
Subsection (a)(2). The elected directors shall draw lots to
determine which two shall serve until the next regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8319.254. CONTINUING POWERS AND OBLIGATIONS OF NEW
DISTRICTS. (a) Each new district may incur and pay debts and has
all powers of the original district created by this chapter.
(b) If the district is divided as provided by this
subchapter, the current obligations and any bond authorizations of
the district are not impaired. Debts shall be paid by revenue or by
taxes or assessments imposed on real property in the district as if
the district had not been divided or by contributions from each new
district as stated in the terms set by the board under Section
8319.251(d).
(c) Any other district obligation is divided pro rata among
the new districts on an acreage basis or on other terms that are
satisfactory to the new districts.
Sec. 8319.255. CONTRACT AUTHORITY OF NEW DISTRICTS. The
new districts may contract with each other for:
(1) water and wastewater services; or
(2) any other matter the boards of the new districts
consider appropriate.
SECTION 2. The Gray County Municipal Utility District No. 1
initially includes all the territory contained in the following
area:
Tract NO. 1
All that certain tract or parcel of land in Sections 117, 118 & 99,
Block 3, I.& G.N. Survey, Gray County, Texas, being more
particularly described as follows;
BEGINNING at a 1" Iron Pipe found for the Southwest corner of said
Section 99 and Northeast corner of said Section 117;
THENCE S 0002'26"E, along the East line of said Section 117 a
distance of 2644.35 feet to a corner of this tract or parcel and
being a corner of said Wal-Mart Addition;
THENCE S 8919'48"W, along the South line of the Northeast quarter
of said Section 117 a distance of 2641.67 feet to the Southwest
corner of this tract or parcel;
THENCE N 0003'03"W, along the West line of said Northeast quarter a
distance of 2635.44 feet to the Northwest corner of said Northeast
quarter and being a corner of this tract or parcel;
THENCE N 0003'40"W, along the west line of the Southeast quarter of
said Section 118 a distance of 2663.23 feet to the Northwest corner
of said Southeast quarter and being a corner of this tract or
parcel;
THENCE S 8917'07"W, along the South line of the Northwest quarter
of said Section 118 a distance of 2642.14 feet to the Southwest
corner of said Northwest quarter and being a corner of this tract or
parcel;
THENCE N 0003'39"W, along the West line of said Section 118 and
being the center line of a State of Texas Right of way Easement
recorded in Volume 222, Page 456, Deed Records, Gray County, Texas,
a distance of 2670.07 feet to the Northwest corner of this tract or
parcel and being the Northwest corner of said Section 118;
THENCE N 8926'01"E, along the North line of said Section 118 a
distance of 5284.13 feet to a 1 1/2" Iron Pipe found for a corner of
this tract or parcel and being the Northeast corner of said Section
118;
THENCE N 8926'01"E, along the North line of said Section 99, at
2689.59 feet pass a Iron Rod with Cap found for the Southwest corner
of Walnut Creek Addition, at 4653.89 feet pass a Iron Rod found for
the Southeast corner of said Walnut Creek Addition and continuing a
total distance of 5200.16 feet to the Northeast corner of this tract
or parcel on the West Right of Way of State Highway 70;
THENCE S 0009'09"E, along the West Right of Way of State Highway 70
recorded in Volume 126, Page 298, Deed Records, Gray County, Texas,
a distance of 1632.06 feet to a corner of this tract or parcel;
THENCE, along said West Right of Way, being a tangent curve to the
right having a Delta angle of 3000'00", a Radius of 2804.79 feet,
and an Arc Length of 1468.58 feet to a corner of this tract or
parcel;
THENCE S 2953'14"W, along said West Right of Way, a distance of
2624.82 feet to a corner of this tract or parcel;
THENCE S 8908'13"W, along the South line of said Section 99, a
distance of 3518.98 feet to the POINT of BEGINNING and containing
1220.21 Acres, more or less.
Tract No. 2
All that certain tract or parcel of land in Section 99, Block 3, I.&
GEN.. Survey, Gray County, Texas, being more particularly described
as follows;
BEGINNING at a point on the East line of said Section 99 from whence
a 1 1/4" Iron Pipe found for the Southeast corner of said Section 99
bears S 0009'09"E a distance of 1579.46 feet;
THENCE N 6006"48"W, along the Northerly Right of way of Loop 171
recorded in Volume 337, Page 5, Deed Records, Gray County, Texas, a
distance of 492.62 feet to a highway monument found for a corner of
this tract or parcel;
THENCE N 1534'30"W, along said Right of Way, a distance of 141.09
feet to a highway monument found for a corner of this tract or
parcel;
THENCE N 2953'14"E, along the Easterly Right of Way of State
Highway 70 recorded in Volume 126, Page 298, Deed Records, Gray
County, Texas, a distance of 263.93 feet to a corner of this tract
or parcel;
THENCE, along said Right of Way, being a tangent curve to the left
having a Delta angle of 1822'28", a Radius of 2924.79 feet and an
Arc Length of 937.97 feet to the most Northerly corner of this tract
or parcel;
THENCE S 0009'09"E, along the East line of said Section 99, a
distance of 1484.10 feet to the POINT of BEGINNING and containing
7.47 Acres, more or less.
Tract No. 3
All that certain tract or parcel of land in Section 99, Block 3, I.&
G.N. Survey, Gray County, Texas, being more particularly described
as follows;
BEGINNING at a point on the South line of said Section 99 from
whence a 1 1/4" Iron Pipe found for the Southeast corner of said
Section 99 bears N 8908'13"E a distance of 930.49 feet;
THENCE S 8908'13"W, along the South line of said Section 99, a
distance of 679.78 feet to Southwest corner of this tract or parcel;
THENCE N 2953'14"E, along the East Right of Way of State Highway 70
recorded in Volume 126, Page 298, Deed Records, Gray County, Texas,
a distance of 1939.41 feet to a highway monument found for a corner
of this tract or parcel;
THENCE N 7433'57"E, along the Southerly Right of way of Loop 171
recorded in Volume 337, Page 5, Deed Records, Gray County, Texas, a
distance of 141.93 feet to a highway monument found for a corner of
this tract or parcel;
THENCE S 6008'25"E, along said Right of Way, a distance of 580.14
feet to a corner of this tract or parcel;
THENCE S 0009'09"E, along the East line of said Section 99, a
distance of 463.19 feet to a corner of this tract or parcel;
THENCE S 0250'51"W a distance of 99.97 feet to a corner of this
tract or parcel;
THENCE S 0850'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 1450'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 2050'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 2650'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 3250'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 3850'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 4450'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 5050'51"W a distance of 100.00 feet to a corner of this
tract or parcel
THENCE S 5650'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 6250'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 6850'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 7450'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 8050'51"W a distance of 100.00 feet to a corner of this
tract or parcel;
THENCE S 8628'51"W a distance of 75.04 feet to the POINT of
BEGINNING and containing 37.40 Acres, more or less.
SAID TRACTS CONTAIN 1,265.08 ACRES OF LAND, MORE OR LESS.
SECTION 3. (a) The 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
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and Act to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this Act with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 are fulfilled
and accomplished.
SECTION 4. 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.