Texas 2009 - 81st Regular

Texas House Bill HB4828 Compare Versions

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1	1	81R20561 SJM-D
2	2	By: Coleman H.B. No. 4828
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the creation of Harris County Improvement District No.
8	8	12; providing authority to impose a tax and issue bonds.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. HARRIS COUNTY IMPROVEMENT DISTRICT NO. 12.
11	11	Subtitle C, Title 4, Special District Local Laws Code, is amended by
12	12	adding Chapter 3892 to read as follows:
13	13	CHAPTER 3892. HARRIS COUNTY IMPROVEMENT DISTRICT NO. 12
14	14	SUBCHAPTER A. GENERAL PROVISIONS
15	15	Sec. 3892.001. DEFINITIONS. In this chapter:
16	16	(1) "Board" means the board of directors of the
17	17	district.
18	18	(2) "Director" means a board member.
19	19	(3) "District" means the Harris County Improvement
20	20	District No. 12.
21	21	Sec. 3892.002. HARRIS COUNTY IMPROVEMENT DISTRICT NO.
22	22	12. The Harris County Improvement District No. 12 is a special
23	23	district created under Section 59, Article XVI, Texas Constitution.
24	24	Sec. 3892.003. PURPOSE; DECLARATION OF INTENT. (a) The
25	25	creation of the district is essential to accomplish the purposes of
26	26	Sections 52 and 52-a, Article III, and Section 59, Article XVI,
27	27	Texas Constitution, and other public purposes stated in this
28	28	chapter. By creating the district and in authorizing Harris
29	29	County, the City of Houston, the Metropolitan Transit Authority of
30	30	Harris County, and other political subdivisions to contract with
31	31	the district, the legislature has established a program to
32	32	accomplish the public purposes set out in Section 52-a, Article
33	33	III, Texas Constitution.
34	34	(b) The creation of the district is necessary to promote,
35	35	develop, encourage, and maintain employment, commerce,
36	36	transportation, housing, tourism, recreation, the arts,
37	37	entertainment, economic development, safety, and the public
38	38	welfare in the area of the district.
39	39	(c) This chapter and the creation of the district may not be
40	40	interpreted to relieve Harris County or the City of Houston from
41	41	providing the level of services provided as of the effective date of
42	42	this Act to the area in the district or to release the county or the
43	43	city from the obligations of each entity to provide services to that
44	44	area. The district is created to supplement and not to supplant the
45	45	county or city services provided in the area in the district.
46	46	Sec. 3892.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a)
47	47	The district is created to serve a public use and benefit.
48	48	(b) All land and other property included in the district
49	49	will benefit from the improvements and services to be provided by
50	50	the district under powers conferred by Sections 52 and 52-a,
51	51	Article III, and Section 59, Article XVI, Texas Constitution, and
52	52	other powers granted under this chapter.
53	53	(c) Each improvement project or service authorized by this
54	54	chapter is essential to carry out a public purpose.
55	55	(d) The creation of the district is in the public interest
56	56	and is essential to:
57	57	(1) further the public purposes of developing and
58	58	diversifying the economy of the state;
59	59	(2) eliminate unemployment and underemployment; and
60	60	(3) develop or expand transportation and commerce.
61	61	(e) The district will:
62	62	(1) promote the health, safety, and general welfare of
63	63	residents, employers, employees, visitors, and consumers in the
64	64	district, and of the public;
65	65	(2) provide needed funding for the district to
66	66	preserve, maintain, and enhance the economic health and vitality of
67	67	the area as a community and business center;
68	68	(3) promote the health, safety, welfare, and enjoyment
69	69	of the public by providing public art and pedestrian ways and by
70	70	landscaping and developing certain areas in the district, which are
71	71	necessary for the restoration, preservation, and enhancement of
72	72	scenic and aesthetic beauty;
73	73	(4) promote and benefit commercial development and
74	74	commercial areas in the district; and
75	75	(5) promote and develop public transportation and
76	76	pedestrian facilities and systems using new and alternative means
77	77	that are attractive, safe, and convenient, including securing
78	78	expanded and improved transportation and pedestrian facilities and
79	79	systems, to:
80	80	(A) address the problem of traffic congestion in
81	81	the district, the need to control traffic and improve pedestrian
82	82	safety, and the limited availability of money; and
83	83	(B) benefit the land and other property in the
84	84	district and the residents, employers, employees, visitors, and
85	85	consumers in the district and the public.
86	86	(f) Pedestrian ways along or across a street, whether at
87	87	grade or above or below the surface, and street lighting, street
88	88	landscaping, and street art objects are parts of and necessary
89	89	components of a street and are considered to be a street or road
90	90	improvement.
91	91	(g) The district will not act as the agent or
92	92	instrumentality of any private interest even though the district
93	93	will benefit many private interests as well as the public.
94	94	Sec. 3892.005. DISTRICT TERRITORY. (a) The district is
95	95	composed of the territory described by Section 2 of the Act enacting
96	96	this chapter, as that territory may have been modified under:
97	97	(1) Section 3892.251;
98	98	(2) Subchapter J, Chapter 49, Water Code; or
99	99	(3) other law.
100	100	(b) The boundaries and field notes of the district contained
101	101	in Section 2 of the Act enacting this chapter form a closure. A
102	102	mistake in the field notes or in copying the field notes in the
103	103	legislative process does not in any way affect:
104	104	(1) the district's organization, existence, and
105	105	validity;
106	106	(2) the district's right to issue any type of bond,
107	107	including a refunding bond, for a purpose for which the district is
108	108	created or to pay the principal of and interest on the bond;
109	109	(3) the district's right to impose and collect an
110	110	assessment or tax; or
111	111	(4) the legality or operation of the district or the
112	112	board.
113	113	(c) A description of the district's boundaries shall be
114	114	filed with the Texas Commission on Environmental Quality. The
115	115	commission by order may correct a mistake in the description of the
116	116	district's boundaries.
117	117	Sec. 3892.006. TORT LIABILITY. The district is a
118	118	governmental unit under Chapter 101, Civil Practice and Remedies
119	119	Code, and the operations of the district are essential government
120	120	functions and are not proprietary functions for any purpose,
121	121	including the application of that chapter.
122	122	Sec. 3892.007. LIBERAL CONSTRUCTION OF CHAPTER. This
123	123	chapter shall be liberally construed in conformity with the
124	124	findings and purposes stated in this chapter.
125	125	[Sections 3892.008-3892.050 reserved for expansion]
126	126	SUBCHAPTER B. BOARD OF DIRECTORS
127	127	Sec. 3892.051. BOARD OF DIRECTORS; TERMS. (a) The
128	128	district is governed by a board of five voting directors appointed
129	129	by a majority of the members of the governing body, including the
130	130	mayor, of the City of Houston. Voting directors serve staggered
131	131	terms of four years with two or three directors' terms expiring June
132	132	1 of each odd-numbered year.
133	133	(b) The board by order or resolution may increase or
134	134	decrease the number of voting directors on the board, but only if a
135	135	majority of the voting directors finds that it is in the best
136	136	interest of the district to do so. The board may not:
137	137	(1) increase the number of voting directors to more
138	138	than nine; or
139	139	(2) decrease the number of voting directors to fewer
140	140	than five.
141	141	(c) Sections 49.053, 49.054, 49.056, 49.057, 49.058, and
142	142	49.060, Water Code, apply to the board.
143	143	(d) Subchapter D, Chapter 375, Local Government Code,
144	144	applies to the board to the extent that subchapter does not conflict
145	145	with this chapter.
146	146	Sec. 3892.052. APPOINTMENT OF DIRECTORS ON INCREASE IN
147	147	BOARD SIZE. If the board increases the number of directors under
148	148	Section 3892.051, the board shall appoint eligible persons to fill
149	149	the new director positions and shall provide for the staggering of
150	150	terms of the new directors. On expiration of the term of a director
151	151	appointed under this section, a succeeding director shall be
152	152	appointed and qualified as provided by Subchapter D, Chapter 375,
153	153	Local Government Code. The mayor and members of the governing body
154	154	of the City of Houston shall appoint voting directors from persons
155	155	recommended by the board. A person is appointed if a majority of
156	156	the members of the governing body, including the mayor, vote to
157	157	appoint that person.
158	158	Sec. 3892.053. NONVOTING DIRECTORS. (a) The following
159	159	persons shall serve as nonvoting directors:
160	160	(1) the directors of the following departments of the
161	161	City of Houston or a person designated by that director:
162	162	(A) parks and recreation;
163	163	(B) planning and development; and
164	164	(C) public works; and
165	165	(2) the City of Houston's chief of police.
166	166	(b) If a department described by Subsection (a) is
167	167	consolidated, renamed, or changed, the board may appoint a director
168	168	of the consolidated, renamed, or changed department as a nonvoting
169	169	director. If a department described by Subsection (a) is
170	170	abolished, the board may appoint a representative of another
171	171	department that performs duties comparable to the duties performed
172	172	by the abolished department.
173	173	Sec. 3892.054. QUORUM. (a) A majority of the voting
174	174	directors constitutes a quorum of the board.
175	175	(b) Nonvoting directors and vacant director positions are
176	176	not counted for the purposes of establishing a quorum of the board.
177	177	Sec. 3892.055. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT.
178	178	(a) Except as provided by this section:
179	179	(1) a voting director may participate in all board
180	180	votes and decisions; and
181	181	(2) Chapter 171, Local Government Code, governs
182	182	conflicts of interest for directors.
183	183	(b) Section 171.004, Local Government Code, does not apply
184	184	to the district. A director who has a substantial interest in a
185	185	business or charitable entity that will receive a pecuniary benefit
186	186	from a board action shall file a one-time affidavit declaring the
187	187	interest. An additional affidavit is not required if the
188	188	director's interest changes. After the affidavit is filed with the
189	189	board secretary, the director may participate in a discussion or
190	190	vote on that action if:
191	191	(1) a majority of the directors have a similar
192	192	interest in the same entity; or
193	193	(2) all other similar business or charitable entities
194	194	in the district will receive a similar pecuniary benefit.
195	195	(c) A director who is also an officer or employee of a public
196	196	entity may not participate in the discussion of or vote on a matter
197	197	regarding a contract with that public entity.
198	198	(d) For purposes of this section, a director has a
199	199	substantial interest in a charitable entity in the same manner that
200	200	a person would have substantial interest in a business entity under
201	201	Section 171.002, Local Government Code.
202	202	Sec. 3892.056. COMPENSATION OF VOTING DIRECTORS. Voting
203	203	directors may receive fees of office and reimbursement of expenses
204	204	as provided by Section 49.060, Water Code.
205	205	Sec. 3892.057. INITIAL VOTING DIRECTORS. (a) The initial
206	206	board consists of:
207	207	Pos. No. Name of Director
208	208	1 ________________
209	209	2 ________________
210	210	3 ________________
211	211	4 ________________
212	212	5 ________________
213	213	(b) Of the initial directors, the terms of directors serving
214	214	in positions 1, 2, and 3 expire June 1, 2013, and the terms of
215	215	directors serving in positions 4 and 5 expire June 1, 2011.
216	216	(c) Sections 3892.051(a) and (b) do not apply to the initial
217	217	directors.
218	218	(d) This section expires September 1, 2013.
219	219	[Sections 3892.058-3892.100 reserved for expansion]
220	220	SUBCHAPTER C. POWERS AND DUTIES
221	221	Sec. 3892.101. DISTRICT POWERS. The district may exercise
222	222	the powers given to:
223	223	(1) a district created under Chapter 375, Local
224	224	Government Code;
225	225	(2) a district by Subchapters H and I, Chapter 49,
226	226	Water Code;
227	227	(3) a corporation under Chapter 505, Local Government
228	228	Code, including the power to own, operate, acquire, construct,
229	229	lease, improve, and maintain the projects described by that
230	230	chapter; and
231	231	(4) a housing finance corporation created under
232	232	Chapter 394, Local Government Code, to provide housing or
233	233	residential development projects in the district.
234	234	Sec. 3892.102. NONPROFIT CORPORATION. (a) The board by
235	235	resolution may authorize the creation of a nonprofit corporation to
236	236	assist and act for the district in implementing a project or
237	237	providing a service authorized by this chapter.
238	238	(b) The nonprofit corporation:
239	239	(1) has each power of and is considered for purposes of
240	240	this chapter to be a local government corporation created under
241	241	Chapter 431, Transportation Code; and
242	242	(2) may implement any project and provide any service
243	243	authorized by this chapter.
244	244	(c) The board shall appoint the board of directors of the
245	245	nonprofit corporation. The board of directors of the nonprofit
246	246	corporation shall serve in the same manner as, for the same term as,
247	247	and on the same conditions as the board of directors of a local
248	248	government corporation created under Chapter 431, Transportation
249	249	Code.
250	250	Sec. 3892.103. AGREEMENTS; GRANTS. (a) The district may
251	251	make an agreement with or accept a gift, grant, or loan from any
252	252	person.
253	253	(b) The implementation of a project is a governmental
254	254	function or service for the purposes of Chapter 791, Government
255	255	Code.
256	256	Sec. 3892.104. ELECTIONS. (a) District elections must be
257	257	held in the manner provided by Subchapter L, Chapter 375, Local
258	258	Government Code.
259	259	(b) The board may submit multiple purposes in a single
260	260	proposition at an election.
261	261	Sec. 3892.105. CONTRACT FOR LAW ENFORCEMENT AND SECURITY
262	262	SERVICES. The district may contract with:
263	263	(1) Harris County or the City of Houston for the county
264	264	or city to provide law enforcement and security services in the
265	265	district for a fee; or
266	266	(2) a private entity for the private entity to provide
267	267	supplemental security services.
268	268	Sec. 3892.106. ANNEXATION OR EXCLUSION OF TERRITORY. The
269	269	district may annex or exclude land from the district in the manner
270	270	provided by Subchapter C, Chapter 375, Local Government Code.
271	271	Sec. 3892.107. APPROVAL BY CITY OF HOUSTON. (a) Except as
272	272	provided by Subsection (b), the district must obtain the approval
273	273	of the City of Houston's governing body for:
274	274	(1) the issuance of a bond for each improvement
275	275	project;
276	276	(2) the plans and specifications of the improvement
277	277	project financed by the bond; and
278	278	(3) the plans and specifications of any district
279	279	improvement project related to the use of land owned by the City of
280	280	Houston, an easement granted by the City of Houston, or a
281	281	right-of-way of a street, road, or highway.
282	282	(b) If the district obtains the approval of the City of
283	283	Houston's governing body of a capital improvements budget for a
284	284	period not to exceed five years, the district may finance the
285	285	capital improvements and issue bonds specified in the budget
286	286	without further approval from the City of Houston.
287	287	Sec. 3892.108. MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
288	288	district may join and pay dues to an organization that:
289	289	(1) enjoys tax-exempt status under Section 501(c)(3),
290	290	(4), or (6), Internal Revenue Code of 1986; and
291	291	(2) performs a service or provides an activity
292	292	consistent with promoting a district purpose.
293	293	Sec. 3892.109. ROAD POWERS. The district may exercise
294	294	powers given to:
295	295	(1) a road district created under Chapter 257,
296	296	Transportation Code; and
297	297	(2) a road utility district created under Chapter 441,
298	298	Transportation Code.
299	299	Sec. 3892.110. AIR RIGHTS; CONSTRUCTION. The district may
300	300	acquire air rights and may construct improvements on property on
301	301	which it owns only air rights.
302	302	Sec. 3892.111. ADDITIONAL PROPERTY RIGHTS; LEASEHOLDS. The
303	303	district may construct improvements on property on which it only
304	304	has a leasehold interest and may own undivided interests in
305	305	buildings and other improvements.
306	306	Sec. 3892.112. NO EMINENT DOMAIN POWER. The district may
307	307	not exercise the power of eminent domain.
308	308	[Sections 3892.113-3892.150 reserved for expansion]
309	309	SUBCHAPTER D. PUBLIC TRANSIT SYSTEM AND PARKING FACILITIES
310	310	Sec. 3892.151. PUBLIC TRANSIT SYSTEM; PETITION REQUIRED.
311	311	(a) The district may acquire, lease as lessor or lessee, construct,
312	312	develop, own, operate, and maintain a public transit system to
313	313	serve the area within the boundaries of the district.
314	314	(b) The board may not act under Subsection (a) unless a
315	315	written petition requesting the action has been filed with the
316	316	board.
317	317	(c) The petition must be signed by:
318	318	(1) the owners of property representing a majority of
319	319	the total assessed value of the real property in the district that
320	320	abuts the right-of-way in which the public transit system is
321	321	proposed to be located; or
322	322	(2) the owners of a majority of the area of the real
323	323	property in the district that abuts the right-of-way in which the
324	324	public transit system is proposed to be located.
325	325	(d) For purposes of Subsection (c), the determination of a
326	326	majority is based on the property owners along the entire
327	327	right-of-way of the proposed transit project and may not be
328	328	calculated on a block-by-block basis.
329	329	Sec. 3892.152. PARKING FACILITIES AUTHORIZED; OPERATION BY
330	330	PRIVATE ENTITY; TAX EXEMPTION. (a) The district may acquire, lease
331	331	as lessor or lessee, construct, develop, own, operate, and maintain
332	332	parking facilities, including:
333	333	(1) lots, garages, parking terminals, or other
334	334	structures or accommodations for the parking of motor vehicles; and
335	335	(2) equipment, entrances, exits, fencing, and other
336	336	accessories necessary for safety and convenience in the parking of
337	337	vehicles.
338	338	(b) A parking facility of the district must be either leased
339	339	to or operated on behalf of the district by a private entity or an
340	340	entity other than the district. The district's parking facilities
341	341	are a program authorized by the legislature under Section 52-a,
342	342	Article III, Texas Constitution, and accomplish a public purpose
343	343	under that section even if leased or operated by a private entity
344	344	for a term of years.
345	345	(c) The district's public parking facilities and any lease
346	346	to a private entity are exempt from the payment of ad valorem taxes
347	347	and state and local sales and use taxes.
348	348	Sec. 3892.153. RULES. The district may adopt rules
349	349	covering its public transit system or its public parking
350	350	facilities, except that a rule relating to or affecting the use of
351	351	the public right-of-way or a requirement for off-street parking is
352	352	subject to all applicable municipal charter, code, or ordinance
353	353	requirements.
354	354	Sec. 3892.154. FINANCING OF PUBLIC TRANSIT SYSTEM OR
355	355	PARKING FACILITIES. (a) The district may use any of its resources,
356	356	including revenue, assessments, taxes, and grant or contract
357	357	proceeds, to pay the cost of acquiring and operating a public
358	358	transit system or public parking facilities.
359	359	(b) The district may set and impose fees, charges, or tolls
360	360	for the use of the public transit system or the public parking
361	361	facilities and may issue bonds or notes to finance the cost of these
362	362	facilities.
363	363	(c) Except as provided by Section 3892.151, if the district
364	364	pays for or finances the cost of acquiring or operating a public
365	365	transit system or public parking facilities with resources other
366	366	than assessments, a petition of property owners or a public hearing
367	367	is not required.
368	368	Sec. 3892.155. PAYMENT IN LIEU OF TAXES TO OTHER TAXING
369	369	UNIT. If the district's acquisition of property for a parking
370	370	facility that is leased to or operated by a private entity results
371	371	in the removal from a taxing unit's tax rolls of real property
372	372	otherwise subject to ad valorem taxation, the district shall pay to
373	373	the taxing unit in which the property is located, on or before
374	374	January 1 of each year, as a payment in lieu of taxes, an amount
375	375	equal to the ad valorem taxes that otherwise would have been imposed
376	376	for the preceding tax year on that real property by the taxing unit,
377	377	without including the value of any improvements constructed on the
378	378	property.
379	379	Sec. 3892.156. AGREEMENT WITH RAPID TRANSIT AUTHORITY. (a)
380	380	In this section, "authority" means a rapid transit authority
381	381	created under Chapter 451, Transportation Code.
382	382	(b) The district and an authority may agree to jointly
383	383	construct, own, operate, and maintain a transit facility or a
384	384	parking facility under the terms the authority and district desire.
385	385	(c) The agreement may provide that the district and the
386	386	authority exchange or trade land provided that each party to the
387	387	agreement receives fair market value. The authority is not
388	388	required to offer any property that it proposes to trade to the
389	389	district for sale to the public or for sale to any abutting property
390	390	owner.
391	391	[Sections 3892.157-3892.200 reserved for expansion]
392	392	SUBCHAPTER E. FINANCIAL PROVISIONS
393	393	Sec. 3892.201. AUTHORITY TO IMPOSE ASSESSMENTS, AD VALOREM
394	394	TAXES, AND IMPACT FEES. The district may impose, assess, charge, or
395	395	collect an assessment, an ad valorem tax, an impact fee, or another
396	396	fee in accordance with Chapter 49, Water Code, for a purpose
397	397	specified by Chapter 375, Local Government Code, or as needed to
398	398	exercise a power or function of the district or to accomplish a
399	399	purpose or duty for which the district was created.
400	400	Sec. 3892.202. DISBURSEMENTS AND TRANSFERS OF MONEY. The
401	401	board by resolution shall establish the number of directors'
402	402	signatures and the procedure required for a disbursement or
403	403	transfer of the district's money.
404	404	Sec. 3892.203. ASSESSMENT IN PART OF DISTRICT. An
405	405	assessment may be imposed on only a part of the district if only
406	406	that part will benefit from the service or improvement.
407	407	Sec. 3892.204. PETITION REQUIRED FOR ASSESSMENT AND FOR
408	408	FINANCING SERVICES AND IMPROVEMENTS. (a) The board may not impose
409	409	an assessment or finance a service or improvement project under
410	410	this chapter unless a written petition requesting the improvement
411	411	or service has been filed with the board.
412	412	(b) The petition must be signed by:
413	413	(1) the owners of a majority of the assessed value of
414	414	real property in the district subject to assessment according to
415	415	the most recent certified tax appraisal roll for Harris County; or
416	416	(2) at least 25 owners of real property in the district
417	417	that will be subject to the assessment, if more than 25 persons own
418	418	real property subject to the assessment in the district according
419	419	to the most recent certified tax appraisal roll for Harris County.
420	420	(c) The board may act upon a petition, required under this
421	421	section, signed by qualified petitioners prior to or subsequent to
422	422	the enactment of this chapter.
423	423	Sec. 3892.205. ASSESSMENTS CONSIDERED TAXES. For purposes
424	424	of a title insurance policy issued under Title 11, Insurance Code,
425	425	an assessment is a tax.
426	426	Sec. 3892.206. MAINTENANCE TAX. (a) If authorized at an
427	427	election held in accordance with Section 3892.104, the district may
428	428	impose an annual ad valorem tax on taxable property in the district
429	429	to:
430	430	(1) administer the district;
431	431	(2) maintain and operate the district;
432	432	(3) construct or acquire improvements; or
433	433	(4) provide a service.
434	434	(b) The board shall determine the tax rate.
435	435	(c) An owner of real property in the district, except
436	436	property exempt under the Texas or United States Constitution or
437	437	under the Tax Code, is liable for the payment of ad valorem taxes
438	438	imposed by the district on the property.
439	439	Sec. 3892.207. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
440	440	The board by resolution may impose and collect an assessment for any
441	441	purpose authorized by this chapter.
442	442	(b) An assessment, a reassessment, or an assessment
443	443	resulting from an addition to or correction of the assessment roll
444	444	by the district, penalties and interest on an assessment or
445	445	reassessment, an expense of collection, and reasonable attorney's
446	446	fees incurred by the district:
447	447	(1) are a first and prior lien against the property
448	448	assessed;
449	449	(2) are superior to any other lien or claim other than
450	450	a lien or claim for county, school district, or municipal ad valorem
451	451	taxes; and
452	452	(3) are the personal liability of and a charge against
453	453	the owners of the property even if the owners are not named in the
454	454	assessment proceedings.
455	455	(c) The lien is effective from the date of the board's
456	456	resolution imposing the assessment until the date the assessment is
457	457	paid. The board may enforce the lien in the same manner that the
458	458	board may enforce an ad valorem tax lien against real property.
459	459	(d) The board may make a correction to or deletion from the
460	460	assessment roll that does not increase the amount of assessment of
461	461	any parcel of land without providing notice and holding a hearing in
462	462	the manner required for additional assessments.
463	463	Sec. 3892.208. PROPERTY OF CERTAIN UTILITIES EXEMPT FROM
464	464	ASSESSMENT AND IMPACT FEES. The district may not impose an impact
465	465	fee or assessment on the property, including the equipment,
466	466	rights-of-way, facilities, or improvements, of:
467	467	(1) an electric utility or a power generation company
468	468	as defined by Section 31.002, Utilities Code;
469	469	(2) a gas utility as defined by Section 101.003 or
470	470	121.001, Utilities Code;
471	471	(3) a telecommunications provider as defined by
472	472	Section 51.002, Utilities Code; or
473	473	(4) a person who provides the public cable television
474	474	or advanced telecommunications services.
475	475	Sec. 3892.209. USE OF ELECTRICAL OR OPTICAL LINES. (a) The
476	476	district may impose an assessment to pay the cost of:
477	477	(1) burying or removing electrical power lines,
478	478	telephone lines, cable or fiber-optic lines, or any other type of
479	479	electrical or optical line;
480	480	(2) removing poles and any elevated lines using the
481	481	poles; and
482	482	(3) reconnecting the lines described by Subdivision
483	483	(2) to the buildings or other improvements to which the lines were
484	484	connected.
485	485	(b) The district may acquire, operate, or charge fees for
486	486	the use of the district conduits for:
487	487	(1) another person's:
488	488	(A) telecommunications network;
489	489	(B) fiber-optic cable; or
490	490	(C) electronic transmission line; or
491	491	(2) any other type of transmission line or supporting
492	492	facility.
493	493	(c) The district may not require a person to use a district
494	494	conduit.
495	495	Sec. 3892.210. BONDS AND OTHER OBLIGATIONS. (a) The
496	496	district may issue bonds, notes, or other obligations in accordance
497	497	with Subchapter J, Chapter 375, Local Government Code, payable
498	498	wholly or partly from assessments, impact fees, revenue, grants, or
499	499	other money of the district, or any combination of these sources of
500	500	money, to pay for any authorized district purpose.
501	501	(b) In exercising the district's power to borrow, the
502	502	district may issue a bond or other obligation in the form of a bond,
503	503	note, certificate of participation or other instrument evidencing a
504	504	proportionate interest in payments to be made by the district, or
505	505	other type of obligation.
506	506	Sec. 3892.211. LIMITS ON PARKS AND RECREATION BONDS. Bonds
507	507	issued to finance parks and recreational facilities may not exceed
508	508	one percent of the assessed value of the real property in the
509	509	district according to the most recent certified tax appraisal roll
510	510	for Harris County.
511	511	Sec. 3892.212. TAX AND BOND ELECTIONS. (a) The district
512	512	shall hold an election in the manner provided by Subchapter L,
513	513	Chapter 375, Local Government Code, to obtain voter approval before
514	514	the district imposes a maintenance tax or issues bonds payable from
515	515	ad valorem taxes.
516	516	(b) The board may not include more than one purpose in a
517	517	single proposition at an election.
518	518	(c) Section 375.243, Local Government Code, does not apply
519	519	to the district.
520	520	Sec. 3892.213. POWERS OF MUNICIPAL UTILITY DISTRICT TO
521	521	ESTABLISH DEFINED AREAS AND DESIGNATED PROPERTY; TAXES; BONDS. (a)
522	522	The district has the powers of a municipal utility district under
523	523	Subchapter J, Chapter 54, Water Code, including the power to:
524	524	(1) implement a plan;
525	525	(2) issue bonds; and
526	526	(3) impose a tax in a defined area established under
527	527	that subchapter.
528	528	(b) The district may exercise the powers described by
529	529	Subsection (a) regardless of whether the district is composed of
530	530	the minimum number of acres provided by Section 54.801, Water Code.
531	531	Sec. 3892.214. MUNICIPALITY NOT REQUIRED TO PAY DISTRICT
532	532	OBLIGATIONS. Except as provided by Section 375.263, Local
533	533	Government Code, a municipality is not required to pay a bond, note,
534	534	or other obligation of the district.
535	535	Sec. 3892.215. COMPETITIVE BIDDING. Section 375.221, Local
536	536	Government Code, applies to the district only for a contract that
537	537	has a value greater than $50,000.
538	538	[Sections 3892.216-3892.250 reserved for expansion]
539	539	SUBCHAPTER F. CONSOLIDATION
540	540	Sec. 3892.251. CONSOLIDATION WITH MUNICIPAL MANAGEMENT
541	541	DISTRICT. (a) The district may consolidate with one or more other
542	542	municipal management districts that are adjoining or have a
543	543	boundary that is within a two-mile radius of any boundary of the
544	544	district. The board may consolidate with one or more other
545	545	districts only if none of the districts to be consolidated has
546	546	issued bonds or notes secured by assessments or ad valorem taxes or
547	547	has imposed taxes.
548	548	(b) To initiate consolidation, the board of a district shall
549	549	adopt a resolution proposing a consolidation and deliver a copy of
550	550	the resolution to the board of each district with which
551	551	consolidation is proposed.
552	552	Sec. 3892.252. TERMS AND CONDITIONS FOR CONSOLIDATION. Not
553	553	later than the 30th day after districts are consolidated under
554	554	Section 3892.251, the districts shall enter into an agreement
555	555	specifying the terms and conditions for consolidation. The terms
556	556	and conditions for consolidation must include:
557	557	(1) adoption of a name for the consolidated district;
558	558	(2) the number and apportionment of directors to serve
559	559	on the board of the consolidated district;
560	560	(3) the effective date of the consolidation;
561	561	(4) an agreement on finances for the consolidated
562	562	district, including disposition of funds, property, and other
563	563	assets of each district; and
564	564	(5) an agreement on governing the districts during the
565	565	transition period, including selection of officers.
566	566	Sec. 3892.253. NOTICE AND HEARING ON CONSOLIDATION. (a)
567	567	Each district's board shall publish notice and hold a public
568	568	hearing in its district regarding the terms and conditions for
569	569	consolidation of the districts. The board shall publish notice at
570	570	least once in a newspaper with general circulation in the affected
571	571	districts at least seven days before the hearing.
572	572	(b) After the hearing, each board by resolution must approve
573	573	the terms and conditions for consolidation by majority vote and
574	574	enter an order consolidating the districts.
575	575	(c) If the board of each involved district adopts a
576	576	resolution containing the terms and conditions for the
577	577	consolidation, the involved districts become consolidated.
578	578	Sec. 3892.254. GOVERNING CONSOLIDATED DISTRICTS. (a)
579	579	After two or more districts are consolidated, they become one
580	580	district and are governed as one district.
581	581	(b) During the period before the terms and conditions of the
582	582	agreement under Section 3892.252 take effect, the officers of each
583	583	district shall continue to act jointly as officers of the original
584	584	districts to settle the affairs of their respective districts.
585	585	Sec. 3892.255. DEBTS OF ORIGINAL DISTRICTS. After two or
586	586	more districts are consolidated, the consolidated district shall
587	587	protect the debts and obligations of the original districts and
588	588	shall ensure that the debts and obligations are not impaired. If
589	589	the consolidated district has taxing authority, the debts may be
590	590	paid by taxes imposed on the land in the original districts as if
591	591	they had not consolidated or from contributions from the
592	592	consolidated district on terms stated in the consolidation
593	593	agreement.
594	594	Sec. 3892.256. ASSESSMENT AND COLLECTION OF TAXES. If the
595	595	consolidated district has taxing authority, the district shall
596	596	impose and collect taxes on all property in the district uniformly,
597	597	for maintenance and operation of the district.
598	598	Sec. 3892.257. FILING OF ORDER WITH COUNTY CLERK AND
599	599	EXECUTIVE DIRECTOR. The board shall keep in the records of the
600	600	consolidated district, recorded in the office of the county clerk
601	601	in each of the counties in the consolidated district, a
602	602	consolidation order issued by the board. The board shall file the
603	603	consolidation order with the executive director of the Texas
604	604	Commission on Environmental Quality.
605	605	[Sections 3892.258-3892.300 reserved for expansion]
606	606	SUBCHAPTER G. DISSOLUTION
607	607	Sec. 3892.301. DISSOLUTION OF DISTRICT WITH OUTSTANDING
608	608	DEBT. (a) The district may be dissolved as provided by Subchapter
609	609	M, Chapter 375, Local Government Code, except that Section 375.264,
610	610	Local Government Code, does not apply to the district. The board
611	611	may dissolve the district regardless of whether the district has
612	612	debt.
613	613	(b) If the district has debt when it is dissolved, the
614	614	district shall remain in existence solely for the purpose of
615	615	discharging its bonds or other obligations according to their
616	616	terms. The dissolution is effective when all debts have been
617	617	discharged.
618	618	SECTION 2. BOUNDARIES. On the effective date of this Act,
619	619	the Harris County Improvement District No. 12 includes all
620	620	territory generally bounded by the following described area:
621	621	UNLESS otherwise specified, the boundaries of this district will
622	622	travel along the centerline of each street included, and each
623	623	intersection will be the intersection of the centerlines of the
624	624	streets mentioned.
625	625	Beginning at the intersection of Interstate 610 and Cullen
626	626	Boulevard; thence in a northeasterly direction along Cullen
627	627	Boulevard to Griggs Road. Thence in a southeasterly direction
628	628	along Griggs Road until it becomes Long Drive. Thence in a
629	629	southeasterly direction along Long Drive to Mykawa Road. Thence in
630	630	a southeasterly direction along Mykawa Road to Interstate 610.
631	631	Thence in a southwesterly direction on Interstate 610 to Cullen
632	632	Boulevard to the point of BEGINNING.
633	633	SECTION 3. REIMBURSEMENT FOR COST OF CREATION. The Harris
634	634	County Improvement District No. 12 may reimburse the cost of
635	635	creating the district from assessments or other revenue created by
636	636	the district or consolidated district under Section 3892.251,
637	637	Special District Local Laws Code, as added by this Act.
638	638	SECTION 4. LEGISLATIVE FINDINGS. The legislature finds
639	639	that:
640	640	(1) proper and legal notice of the intention to
641	641	introduce this Act, setting forth the general substance of this
642	642	Act, has been published as provided by law, and the notice and a
643	643	copy of this Act have been furnished to all persons, agencies,
644	644	officials, or entities to which they are required to be furnished by
645	645	the constitution and laws of this state, including the governor,
646	646	who has submitted the notice and Act to the Texas Commission on
647	647	Environmental Quality;
648	648	(2) the Texas Commission on Environmental Quality has
649	649	filed its recommendations relating to this Act with the governor,
650	650	lieutenant governor, and speaker of the house of representatives
651	651	within the required time;
652	652	(3) the general law relating to consent by political
653	653	subdivisions to the creation of districts with conservation,
654	654	reclamation, and road powers and the inclusion of land in those
655	655	districts has been complied with; and
656	656	(4) all requirements of the constitution and laws of
657	657	this state and the rules and procedures of the legislature with
658	658	respect to the notice, introduction, and passage of this Act have
659	659	been fulfilled and accomplished.
660	660	SECTION 5. EFFECTIVE DATE. This Act takes effect
661	661	immediately if it receives a vote of two-thirds of all the members
662	662	elected to each house, as provided by Section 39, Article III, Texas
663	663	Constitution. If this Act does not receive the vote necessary for
664	664	immediate effect, this Act takes effect September 1, 2009.