81R16267 KJM-F
By: Wentworth S.B. No. 2545
A BILL TO BE ENTITLED
AN ACT
relating to the creation of Austin Desired Development Zone
District No. 1; providing authority to levy an assessment, impose
taxes, and issue bonds; granting a limited power of eminent domain.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle C, Title 4, Special District Local Laws
Code, is amended by adding Chapter 3862 to read as follows:
CHAPTER 3862. AUSTIN DESIRED DEVELOPMENT ZONE DISTRICT NO. 1
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 3862.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "City" means the City of Austin.
(3) "County" means Travis County.
(4) "Director" means a board member.
(5) "District" means the Austin Desired Development
Zone District No. 1.
Sec. 3862.002. NATURE OF DISTRICT. The district is a special
district created under Section 59, Article XVI, Texas Constitution.
Sec. 3862.003. 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 the city, the
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 district.
Sec. 3862.004. 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) 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.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, potential 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 district territory as a community and business center;
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic beauty;
and
(4) provide for water, wastewater, drainage, road, and
recreational facilities for the district.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, parking, and street art objects are parts of and
necessary components of a street and are considered to be a street
or road improvement.
(f) 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. 3862.005. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section 2 of the Act enacting this chapter.
(b) The boundaries and field notes 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 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 the bond;
(3) right to impose or collect an assessment or tax; or
(4) legality or operation.
Sec. 3862.006. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
All or any part of the area of the district is eligible to be
included in:
(1) a tax increment reinvestment zone created under
Chapter 311, Tax Code;
(2) a tax abatement reinvestment zone created under
Chapter 312, Tax Code; or
(3) an enterprise zone created under Chapter 2303,
Government Code.
Sec. 3862.007. APPLICABILITY OF MUNICIPAL MANAGEMENT
DISTRICTS LAW. Except as otherwise provided by this chapter,
Chapter 375, Local Government Code, applies to the district.
Sec. 3862.008. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
Sec. 3862.009. CONFIRMATION AND DIRECTORS' ELECTION
REQUIRED. The temporary directors shall hold an election to
confirm the creation of the district and to elect four permanent
directors as provided by Section 49.102, Water Code.
Sec. 3862.010. CONSENT OF MUNICIPALITY REQUIRED. (a) The
temporary directors may not hold an election under Section 3862.009
until the city and each other 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.
(b) The city and each other municipality may condition its
consent to the creation of the district, the inclusion of land in
the district, and the exercise or limitation of powers granted to
the district under this chapter on a requirement that the
municipality and the owner of land included in the district
negotiate and enter into a written agreement under this chapter and
Sections 43.0563 and 212.172, Local Government Code.
(c) An agreement described by Subsection (b) between a
municipality and a landowner entered into before the effective date
of this chapter and that complies with this section is validated on
the effective date of this Act.
(d) Section 54.016, Water Code, does not apply to the
district or to an agreement under this section. An agreement under
this section constitutes a municipality's consent to the creation
of the district under Section 42.042, Local Government Code.
[Sections 3862.011-3862.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 3862.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of seven directors. Four of the directors are
elected. Three of the directors are appointed under Section
3862.053.
(b) Except as provided by Section 3862.052, directors serve
staggered four-year terms, with two elected directors' terms and
one or two appointed directors' terms expiring on June 1 of each
even-numbered year. The term of office for each director first
appointed under Section 3862.053 shall begin on the date the four
permanent directors are elected under Section 3862.009. The
initial directors shall determine their terms as provided by
Section 49.102(h), Water Code.
Sec. 3862.052. TEMPORARY DIRECTORS. (a) On or after the
effective date of the Act enacting this chapter, the owner or owners
of a majority of the assessed value of the real property in the
district, as determined by the most recent certified tax appraisal
roll for the county, may submit a petition to the Texas Commission
on Environmental Quality requesting that the commission appoint as
temporary directors the four persons named in the petition. The
commission shall appoint as temporary directors the four persons
named in the petition.
(b) Temporary directors serve until the earlier of:
(1) the date four permanent directors are elected
under Section 3862.009; 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 3862.009 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 3862.009; 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,
according to the most recent certified tax appraisal roll for the
county, may submit a petition to the Texas Commission on
Environmental Quality requesting that the commission appoint as
successor temporary directors the four persons named in the
petition. The commission shall appoint as successor temporary
directors the four persons named in the petition.
Sec. 3862.053. APPOINTMENT OF DIRECTORS. (a) The city
council of the city shall appoint one person as a director. A
person is appointed if a majority of the members of the city council
vote to appoint that person. If a person is not appointed to the
board under Subsection (c), the members of the city council may vote
to appoint a second person as a director.
(b) The county commissioners court shall appoint one person
as a director. A person is appointed if a majority of the members of
the commissioners court vote to appoint that person.
(c) The Texas Commission on Environmental Quality shall
appoint as director one person nominated by the board. The board
shall request a name of a nominee for the director position from
each person who owns at least 25 percent of the surface area of land
in the district, based on the most recent certified tax appraisal
roll for the county. The board shall submit to the Texas Commission
on Environmental Quality the nominee whose name was submitted by
the person who owns the largest total surface area of land in the
district. If the board has not received any names of potential
nominees before the 31st day after the date the board requests that
names be submitted, or if no person owns at least 25 percent of the
surface area of land in the district, the board shall notify the
city that it may appoint a second director under Subsection (a), and
no appointment shall be made under this subsection.
Sec. 3862.054. QUALIFICATIONS OF DIRECTOR. (a) To be
qualified to be elected and to serve as an elected director, or to
be qualified to be appointed and to serve as a director appointed
under Section 3862.053(c), a person must be at least 18 years old
and:
(1) a resident of the district; or
(2) an owner of property in the district.
(b) To be qualified to be appointed and to serve as a
director appointed under Section 3862.052 or 3862.053(a) or (b), a
person must be at least 18 years old.
(c) A person who qualifies to serve as a director under this
section is subject to Section 375.072, Local Government Code.
Sec. 3862.055. DIRECTOR VACANCY. A vacancy in the office of
an elected director shall be filled for the unexpired term by the
majority vote of the remaining members of the board. A vacancy in
the office of a director appointed under Section 3862.053 shall be
filled for the unexpired term in the same manner as the original
appointment under that section.
Sec. 3862.056. QUORUM; VOTING REQUIREMENT. (a) A
concurrence of a majority of the directors is required for any
official action of the district unless a lesser or greater number of
votes is provided by other law. The written consent of at least
two-thirds of the directors is required to authorize the imposition
of assessments, the imposition of taxes, the imposition of impact
fees, or the issuance of bonds.
(b) For purposes of determining the requirements for a
quorum of the board, the following are not counted:
(1) a board position vacant for any reason, including
death, resignation, or disqualification; or
(2) a director who is abstaining from participation in
a vote because of a conflict of interest.
Sec. 3862.057. COMPENSATION. A director is entitled to
receive fees of office and reimbursement for actual expenses as
provided by Section 49.060, Water Code.
[Sections 3862.058-3862.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 3862.101. GENERAL POWERS AND DUTIES. The district has
the powers and duties:
(1) provided by the general laws relating to
conservation and reclamation districts created under Section 59,
Article XVI, Texas Constitution, including Chapters 49 and 54,
Water Code;
(2) provided by Section 52, Article III, Texas
Constitution, including the power to design, acquire, construct,
finance, issue bonds for, improve, operate, maintain, and convey to
this state, a county, or a municipality for operation and
maintenance:
(A) macadamized, graveled, or paved roads; or
(B) improvements, including storm drainage, in
aid of those roads;
(3) that Subchapter A, Chapter 372, Local Government
Code, provides to a municipality or a county;
(4) that Chapter 375, Local Government Code, provides
to a municipality;
(5) that Chapter 380, Local Government Code, provides
to a municipality;
(6) that Chapter 394, Local Government Code, provides
to a housing finance corporation created and operating under that
chapter;
(7) that Subchapter C, Chapter 402, Local Government
Code, provides to a municipality; and
(8) that Chapters 501, 502, and 505, Local Government
Code, provide to a municipality or to a Type A or B corporation
created by a municipality.
Sec. 3862.102. AGREEMENTS; GRANTS. (a) The district may
make an agreement with or accept a gift, grant, or loan from any
person.
(b) A service agreement made by the district shall be
terminable at will and without penalty on 30 days' notice of
termination, unless the district secures the written consent of the
city to modify or exclude those termination provisions, except for
service agreements with the following persons or entities:
(1) a developer of property in the district, as
defined by Section 49.052(d), Water Code;
(2) a government agency, entity, or political
subdivision;
(3) a retail public utility or electric cooperative,
concerning water, wastewater, gas, electricity, telecommunication,
drainage, or other utility services and facilities; or
(4) a provider of services relating to solid waste
collection, transfer, processing, reuse, resale, disposal, and
management.
(c) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
(d) The board may enter into a contract with the board of
directors of a tax increment reinvestment zone created under
Chapter 311, Tax Code, and the governing body of the municipality or
county that created the zone to manage the zone or implement the
project plan and reinvestment zone financing plan.
Sec. 3862.103. AUTHORITY TO CONTRACT FOR LAW ENFORCEMENT
AND FIREFIGHTING SERVICES. (a) To protect the public interest, the
district may contract with a qualified party, including the county
or the city, for the provision of law enforcement services in the
district for a fee.
(b) The district may provide firefighting services under
Section 49.351, Water Code, and has the powers and duties of a
municipality under Section 775.022, Health and Safety Code.
Sec. 3862.104. ECONOMIC DEVELOPMENT PROGRAMS. The district
may establish and provide for the administration of one or more
programs to promote state or local economic development and to
stimulate business and commercial activity in the district,
including programs to:
(1) make loans and grants of public money; and
(2) provide district personnel and services.
Sec. 3862.105. STRATEGIC PARTNERSHIP AGREEMENT. The
district may negotiate and enter into a written strategic
partnership with the city under Section 43.0751, Local Government
Code. A power granted to the district under this chapter may be
restricted or prohibited by the terms and conditions of an
agreement between the city and the district under this section.
Sec. 3862.106. LIMITED EMINENT DOMAIN. (a) The district
may exercise the power of eminent domain under Section 49.222,
Water Code.
(b) The district may not exercise the power of eminent
domain outside the district boundaries to acquire:
(1) a site for a water treatment plant, water storage
facility, wastewater treatment plant, or wastewater disposal
plant; or
(2) a recreational facility as defined by Section
49.462, Water Code.
Sec. 3862.107. ANNEXATION OR EXCLUSION OF LAND BY DISTRICT.
(a) The district may annex land as provided by Subchapter J,
Chapter 49, Water Code.
(b) The district may exclude land as provided by Subchapter
J, Chapter 49, Water Code. Section 375.044(b), Local Government
Code, does not apply to the district.
Sec. 3862.108. SUITS. The district may not be a voluntary
party to any suit against the city by a district resident or a
person who owns property in the district unless the district has
standing to bring the suit.
[Sections 3862.109-3862.150 reserved for expansion]
SUBCHAPTER D. PUBLIC TRANSIT SYSTEM AND PARKING FACILITIES
Sec. 3862.151. PUBLIC TRANSIT SYSTEM. (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 district may contract with a regional transit
authority for the provision of a public transit system and public
transit services.
Sec. 3862.152. 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 or a system of parking facilities, including:
(1) lots, garages, parking terminals, or other
structures or accommodations for parking motor vehicles off the
streets; and
(2) equipment, entrances, exits, fencing, and other
accessories necessary for safety and convenience in parking
vehicles.
(b) A parking facility of the district may be leased to or
operated for the district by an entity other than the district.
(c) The district's parking facilities are a program
authorized by the legislature under Section 52-a, Article III,
Texas Constitution.
(d) The district's parking facilities serve the public
purposes of the district and are owned, used, and held for a public
purpose even if leased or operated by a private entity for a term of
years.
(e) The district's 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. 3862.153. RULES. The district may adopt rules
covering its public transit system or its parking facilities.
Sec. 3862.154. FINANCING OF PUBLIC TRANSIT SYSTEM OR
PARKING FACILITIES. (a) The district may use any of its resources,
including revenue, assessments, taxes, or grant or contract
proceeds, to pay the cost of acquiring or operating a public transit
system or parking facilities.
(b) The district may:
(1) set, charge, impose, and collect fees, charges, or
tolls for the use of the public transit system or the parking
facilities; and
(2) issue bonds or notes to finance the cost of these
facilities.
[Sections 3862.155-3862.200 reserved for expansion]
SUBCHAPTER E. GENERAL FINANCIAL PROVISIONS
Sec. 3862.201. 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. 3862.202. MONEY USED FOR IMPROVEMENTS OR SERVICES.
The district may acquire, construct, finance, operate, or maintain
any improvement or service authorized under this chapter or Chapter
375, Local Government Code, using any money available to the
district.
Sec. 3862.203. PETITION REQUIRED FOR FINANCING SERVICES AND
IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
service or improvement project with assessments under this chapter
unless a written petition requesting that service or improvement
has been filed with the board.
(b) A petition filed under Subsection (a) must be signed by
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 the county.
Sec. 3862.204. METHOD OF NOTICE FOR HEARING. The district
may mail the notice required by Section 375.115(c), Local
Government Code, by certified or first class United States mail.
The board shall determine the method of notice.
Sec. 3862.205. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
The board by resolution may impose and collect an assessment for any
purpose authorized by this chapter in all or any part of the
district.
(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. 3862.206. UTILITY PROPERTY EXEMPT FROM IMPACT FEES AND
ASSESSMENTS. 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 to the public cable
television or advanced telecommunications services.
Sec. 3862.207. RESIDENTIAL PROPERTY. Section 375.161,
Local Government Code, does not apply to the district.
Sec. 3862.208. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held in accordance with Section 3862.213,
the district may impose an operation and maintenance tax on taxable
property in the district in accordance with Section 49.107, Water
Code, for any district purpose, including to:
(1) maintain and operate the district;
(2) construct or acquire improvements; or
(3) provide a service.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.
Sec. 3862.209. 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.
Sec. 3862.210. AUTHORITY TO ISSUE BONDS. (a) The district
by competitive bid may issue bonds, notes, or other obligations
payable wholly or partly from ad valorem taxes, assessments, impact
fees, revenue, grants, or other money of the district, or any
combination of those sources of money, to pay for any authorized
district purpose.
(b) The limitation on the outstanding principal amount of
bonds, notes, and other obligations provided by Section 49.4645,
Water Code, does not apply to the district.
Sec. 3862.211. CITY APPROVAL OF DISTRICT BONDS. (a) Not
later than the 30th day before the first publication of notice of
the sale of a district bond, the district shall provide to the city,
as applicable:
(1) a copy of the district's application to the Texas
Commission on Environmental Quality for approval of the bond sale;
(2) a copy of the staff memorandum from the Texas
Commission on Environmental Quality approving the projects and the
bonds;
(3) the proposed bond resolution;
(4) the preliminary official statement for the bond
sale;
(5) the bid form; and
(6) the notice of sale.
(b) The city may refuse to approve a bond sale only if the
city determines that issuance of the bonds would cause the district
to be substantially out of compliance with a material provision of a
written agreement between the district and the city under Sections
3862.010 and 3862.105, or any other written agreement with the city
pertaining to the district's creation or operation.
(c) The city shall notify the district of its refusal to
approve a bond sale under Subsection (b) not later than the 15th day
after the city receives the information provided under Subsection
(a), or the bond sale shall be considered to be approved by the
city.
(d) The district may not issue or sell a bond that the city
has timely refused to approve under this section.
Sec. 3862.212. TAXES FOR BONDS. At the time the district
issues bonds or other obligations 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. 3862.213. ELECTIONS REGARDING TAXES AND BONDS. (a)
The district may issue, without an election, bonds, notes, and
other obligations secured by:
(1) revenue other than ad valorem taxes; or
(2) contract payments described by Section 3862.209.
(b) The district must hold an election in the manner
provided by Subchapter L, Chapter 375, Local Government Code, to
obtain voter approval before the district may impose an ad valorem
tax or sales and use tax or issue bonds payable from ad valorem
taxes.
(c) Section 375.243, Local Government Code, does not apply
to the district.
(d) All or any part of any facilities or improvements that
may be acquired by a district by the issuance of district bonds may
be included in one single proposition to be voted on at the election
or the bonds may be submitted in several propositions.
Sec. 3862.214. CITY NOT REQUIRED TO PAY DISTRICT
OBLIGATIONS. Except as provided by Section 375.263, Local
Government Code, the city is not required to pay a bond, note, or
other obligation of the district.
Sec. 3862.215. COMPETITIVE BIDDING. Subchapter I, Chapter
49, Water Code, applies to the district. Subchapter K, Chapter 375,
Local Government Code, does not apply to the district if the
district complies with the requirements of Section 375.222, Local
Government Code, as that section existed on January 1, 2009.
Sec. 3862.216. TAX AND ASSESSMENT ABATEMENTS. The district
may grant in the manner authorized by Chapter 312, Tax Code, an
abatement for a tax or assessment owed to the district.
Sec. 3862.217. TAX INCREMENT FINANCING POWERS. (a) The
district may designate all or any part of the district as a tax
increment reinvestment zone, and the district may use tax increment
financing under Chapter 311, Tax Code, in the manner provided by
that chapter for a municipality, except as modified by this
section.
(b) The district has all powers provided under Chapter 311,
Tax Code.
(c) The district and an overlapping taxing unit may enter
into an interlocal agreement for the payment of all or a portion of
the tax increment of the unit to the district.
(d) For the purpose of tax increment financing under this
section, the board functions as the board of directors of the
reinvestment zone. Section 311.009, Tax Code, does not apply to the
district.
[Sections 3862.218-3862.300 reserved for expansion]
SUBCHAPTER F. SALES AND USE TAX
Sec. 3862.301. MEANINGS OF WORDS AND PHRASES. Words and
phrases used in this subchapter that are defined by Chapters 151 and
321, Tax Code, have the meanings assigned by Chapters 151 and 321,
Tax Code.
Sec. 3862.302. APPLICABILITY OF CERTAIN TAX CODE
PROVISIONS. (a) Except as otherwise provided by this subchapter,
Subtitles A and B, Title 2, Tax Code, and Chapter 151, Tax Code,
apply to taxes imposed under this subchapter and to the
administration and enforcement of those taxes in the same manner
that those laws apply to state taxes.
(b) Chapter 321, Tax Code, relating to municipal sales and
use taxes applies to the application, collection, charge, and
administration of a sales and use tax imposed under this subchapter
to the extent consistent with this chapter, as if references in
Chapter 321, Tax Code, to a municipality referred to the district
and references to a governing body referred to the board.
(c) Sections 321.106, 321.401, 321.402, 321.403, 321.404,
321.406, 321.409, 321.506, 321.507, and 321.508, Tax Code, do not
apply to a tax imposed under this subchapter.
Sec. 3862.303. AUTHORIZATION; ELECTION. (a) The district
may adopt a sales and use tax to serve the purposes of the district
after an election in which a majority of the voters of the district
voting in the election authorize the adoption of the tax.
(b) The board by order may call an election to authorize a
sales and use tax. The election may be held with any other district
election.
(c) The district shall provide notice of the election and
hold the election in the manner prescribed by Section 3862.213.
(d) The ballots shall be printed to provide for voting for
or against the proposition: "Authorization of a sales and use tax
in the Austin Desired Development Zone Management District No. 1 at
a rate not to exceed _____ percent."
Sec. 3862.304. ABOLISHING SALES AND USE TAX. (a) Except as
provided in Subsection (b), the board may abolish the sales and use
tax without an election.
(b) The board may not abolish the sales and use tax if the
district has outstanding debt secured by the tax.
(c) Notwithstanding Subsection (b), a sales and use tax
adopted under this subchapter is automatically abolished on the
effective date of full-purpose annexation by the city of the
district.
Sec. 3862.305. SALES AND USE TAX RATE. (a) On adoption of
the tax authorized by this subchapter, there is imposed a tax on the
receipts from the sale at retail of taxable items in the district
and an excise tax on the use, storage, or other consumption in the
district of taxable items purchased, leased, or rented from a
retailer in the district during the period that the tax is in
effect.
(b) The board shall determine the rate of the tax, which may
be in one-eighth of one percent increments not to exceed the maximum
rate authorized by the district voters at the election. The board
may lower the tax rate to the extent it does not impair any
outstanding debt or obligations payable from the tax.
(c) The rate of the excise tax is the same as the rate of the
sales tax portion of the tax and is applied to the sales price of the
taxable item.
[Sections 3862.306-3862.350 reserved for expansion]
SUBCHAPTER G. HOTEL OCCUPANCY TAXES
Sec. 3862.351. HOTEL OCCUPANCY TAX. (a) In this section,
"hotel" has the meaning assigned by Section 156.001, Tax Code.
(b) For purposes of this section, a reference in Chapter
351, Tax Code, to a municipality is a reference to the district and
a reference in Chapter 351, Tax Code, to the municipality's
officers or governing body is a reference to the board.
(c) Except as inconsistent with this section, Subchapter A,
Chapter 351, Tax Code, governs a hotel occupancy tax authorized by
this section.
(d) The district may impose a hotel occupancy tax and use
the revenue from the tax for any district purpose that is an
authorized use of hotel occupancy tax revenue under Chapter 351,
Tax Code.
(e) The board by order may impose, repeal, increase, or
decrease the rate of a tax on a person who, under a lease,
concession, permit, right of access, license, contract, or
agreement, pays for the use or possession or for the right to the
use or possession of a room that:
(1) is in a hotel located in the district's boundaries;
(2) costs $2 or more each day; and
(3) is ordinarily used for sleeping.
(f) The amount of the tax may not exceed seven percent of the
price paid for a room in a hotel.
(g) The district may examine and receive information
related to the imposition of hotel occupancy taxes to the same
extent as if the district were a municipality.
(h) A hotel occupancy tax imposed under this subchapter is
automatically abolished on the effective date of full-purpose
annexation by the city of the district.
[Sections 3862.352-3862.400 reserved for expansion]
SUBCHAPTER H. DISSOLUTION
Sec. 3862.401. DISSOLUTION. (a) The district may not be
dissolved under Subchapter M, Chapter 375, Local Government Code,
or any other law that authorizes dissolution of the district unless
all of the district's outstanding debts and contractual obligations
payable from ad valorem taxes, sales and use taxes, assessments, or
other revenue sources are paid in full or payment is fully provided
for.
(b) If the conditions of Subsection (a) are satisfied, the
district may be dissolved by the affirmative vote of at least five
of the directors of the board. If the conditions of Subsection (a)
are satisfied after the district has been annexed into the city for
full purposes, the city may dissolve the district by the majority
vote of its governing body.
(c) Dissolution of the district shall be in accordance with
the terms and conditions of this section and of an agreement between
the landowner and the city under Section 3862.010.
(d) Sections 43.075 and 43.0715, Local Government Code, do
not apply to the district.
SECTION 2. Austin Desired Development Zone District No. 1
includes all territory contained in the following area:
A DESCRIPTION OF 326.322 ACRES IN THE SANTIAGO DEL VALLE
GRANT, THE GUILLERMO NUNEZ SURVEY NO. 502, AND THE BARBARA LOPEZ Y
MIRELEZ SURVEY NO. 503, IN TRAVIS COUNTY, TEXAS, BEING ALL OF A
25.304 ACRE TRACT DESCRIBED IN A SPECIAL WARRANTY DEED TO JONA
ACQUISITION INC., DATED JULY 23, 2008 AND RECORDED IN DOCUMENT NO.
2008124712 OF THE OFFICIAL PUBLIC RECORDS OF TRAVIS COUNTY, TEXAS,
A PORTION OF A 138.540 ACRE TRACT DESCRIBED IN A GENERAL WARRANTY
DEED TO JONA ACQUISITION INC., DATED MARCH 2, 2007 AND RECORDED IN
DOCUMENT NO. 2007038642 OF THE OFFICIAL PUBLIC RECORDS OF TRAVIS
COUNTY, TEXAS, A PORTION OF A 20.807 ACRE TRACT DESCRIBED AS EXHIBIT
A-2 IN A SPECIAL WARRANTY DEED TO JONA ACQUISITION INC., DATED
JANUARY 3, 2007 AND RECORDED IN DOCUMENT NO. 2007003159 OF THE
OFFICIAL PUBLIC RECORDS OF TRAVIS COUNTY, TEXAS, A PORTION OF A
81.018 ACRE TRACT DESCRIBED IN A SPECIAL WARRANTY DEED TO JONA
ACQUISITION INC., DATED DECEMBER 12, 2006 AND RECORDED IN DOCUMENT
NO. 2006246454 OF THE OFFICIAL PUBLIC RECORDS OF TRAVIS COUNTY,
TEXAS, A PORTION OF A 103.415 ACRE TRACT DESCRIBED IN A SPECIAL
WARRANTY DEED TO JONA ACQUISITION INC., DATED NOVEMBER 20, 2006 AND
RECORDED IN DOCUMENT NO. 2006224021 OF THE OFFICIAL PUBLIC RECORDS
OF TRAVIS COUNTY, TEXAS, ALL OF A 152.571 ACRE TRACT DESCRIBED IN A
SPECIAL WARRANTY DEED TO JONA ACQUISITION INC., DATED NOVEMBER 2,
2006 AND RECORDED IN DOCUMENT NO. 2006214522 OF THE OFFICIAL PUBLIC
RECORDS OF TRAVIS COUNTY, TEXAS, A ALL OF A 59.027 ACRE TRACT
DESCRIBED IN A GENERAL WARRANTY DEED TO JONA ACQUISITION INC.,
DATED MARCH 2, 2007 AND RECORDED IN DOCUMENT NO. 2007038634 OF THE
OFFICIAL PUBLIC RECORDS OF TRAVIS COUNTY, TEXAS, AND A PORTION OF
F.M. 1625, A FARM TO MARKET ROAD IN TRAVIS COUNTY, TEXAS HAVING A
RIGHT-OF-WAY WIDTH OF 80 FEET; SAID 326.322 ACRE TRACT BEING MORE
PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS:
BEGINNING at a 1/2" rebar with "Chaparral Boundary" cap found
in the west right-of-way line of U.S. Highway 183 (right-of-way
width varies) for the northeast corner of said 25.304 acre tract,
same being the southeast corner of Lot 14, South 183 Park, a
subdivision of record in Volume 78, Page 253 of the Plat Records of
Travis County, Texas;
THENCE with the west right-of-way line of U.S. Highway 183,
same being the east line of said 25.304 acre tract, with a curve to
the left, having a radius of 5779.84 feet, a delta angle of 325'57",
an arc length of 346.27 feet, and a chord which bears South 0647'27"
West, a distance of 346.22 feet to a 1/2" rebar with "Chaparral
Boundary" cap found in the west right-of-way line of F.M. 1625 (80'
right-of-way) for an angle point in the east line of said 25.304
acre tract;
THENCE South 2705'32" West, with the west right-of-way line
of F.M. 1625, same being the east line of said 25.304 acre tract, a
distance of 312.55 feet to a 1/2" rebar with "Chaparral Boundary"
cap found for an angle point, same being the north corner of a 0.017
acre tract described in a right-of-way deed of record in Volume
1278, Page 455 of the Deed Records of Travis County, Texas;
THENCE South 3222'56" West, with the east line of said 25.304
acre tract, same being the west right-of-way line of F.M. 1625, also
being the west line of said 0.017 acre tract, a distance of 105.03
feet to a Mag nail with "Chaparral Boundary" washer found at the
southeast corner of said 25.304 acre tract, same being the
northeast corner of said 138.540 acre tract, also being the
southwest corner of said 0.017 acre tract;
THENCE with the west right-of-way line of F.M. 1625, same
being the southeast line of said 138.540 acre tract, the following
two (2) courses and distances:
1. South 3222'56" West, a distance of 3.43 feet to a
concrete highway monument found;
2. South 2705'32" West, a distance of 432.46 feet to a
calculated point for a south corner of said 138.540 acre tract, same
being the east corner of a 1.10 acre tract described in a deed of
record in Volume 12586, Page 40 of the Real Property Records of
Travis County, Texas, from which a 1/2" rebar found bears South
5247'09" East, a distance of 0.55 feet;
THENCE North 5247'09" West, with the south line of said
138.540 acre tract, same being the northeast line of said 1.10 acre
tract and the northeast line of a 1 acre tract described in a deed of
record in Volume 5869, Page 1058 of the Deed Records of Travis
County, Texas, a total distance of 427.83 feet to a 1/2" rebar with
"Chaparral Boundary" cap found at the northernmost corner of said 1
acre tract;
THENCE South 3000'39" West, continuing with the south line of
said 138.540 acre tract, same being the northwest line of said 1
acre tract, a distance of 250.26 feet to a 1/2" rebar found for the
westernmost corner of said 1 acre tract, same being an angle point
in the northeast line of said 20.807 acre tract;
THENCE South 5308'58" East, with the north line of said
20.807 acre tract, same being the south line of said 1 acre tract
and the south line of said 1.10 acre tract, a distance of 440.29
feet to a 1/2" rebar with "Chaparral Boundary" cap found in the west
right-of-way line of F.M. 1625, for the northeast corner of said
20.807 acre tract, same being the southeast corner of said 1.10 acre
tract;
THENCE with the west right-of-way line of F.M. 1625, same
being the east line of said 20.807 acre tract, the following three
(3) courses and distances:
1. South 2705'32" West, a distance of 28.03 feet to a 1/2"
rebar with "Chaparral Boundary" cap found;
2. South 2641'32" West, a distance of 410.29 feet to a
concrete highway monument found;
3. South 2711'23" West, a distance of 393.37 feet to a
calculated point in the north right-of-way line of Colton Bluff
Springs Road (apparent right-of-way width varies), for the
southeast corner of said 20.807 acre tract, from which a 1/2" rebar
found bears North 6115'38" West, a distance of 0.36 feet;
THENCE South 6248'37" East, departing the north right-of-way
line of Colton Bluff Springs Road, same being the west right-of-way
line of F.M. 1625, crossing F.M. 1625, at a distance of 80.00 feet
to a calculated point in the east right-of-way line of F.M. 1625,
same being the west line of said 59.027 acre tract;
THENCE North 2711'23" East, with the east right-of-way line
of F.M. 1625, same being the west line of said 59.027 acre tract, a
distance of 12.84 feet to a 1/2" rebar with "Chaparral Boundary" cap
found for the northwest corner of said 59.027 acre tract, same being
in the east right-of-way line of F.M. 1625, being also in the south
right-of-way line of McKenzie Road (60' right-of-way width);
THENCE with the north line of the 59.027 acre tract, same
being the south right-of-way line of McKenzie Road, the following
two (2) courses and distances:
1. South 6241'20" East, a distance of 908.70 feet to a 1"
iron pipe found;
2. South 3359'03" East, at a distance of 170.08 feet passing
a concrete highway monument found, and continuing for a total
distance of 171.70 feet to a 1/2" rebar with plastic "Chaparral
Boundary" cap found in the west right-of-way line of U.S. Highway
183, from which another concrete highway monument found bears South
5718'03" East, a distance of 126.01 feet;
THENCE South 410'14" East, with the west right-of-way line of
U.S. Highway 183, at a distance of 1888.95 feet passing a 1/2" rebar
with plastic "Chaparral Boundary" cap found, at the southeast
corner of said 59.027 acre tract, same being the northeast corner of
said 152.571 acre tract, and continuing with the east line of said
152.571 acre tract, same being the west right-of-way line of U.S.
Highway 183, for a total distance of 4697.45 feet to a 5/8" rebar
found at the southeast corner of said 152.571 acre tract, same being
the northeast corner of a 9.87 acre tract described in a deed of
record in Document No. 1999103744 of the Official Public Records of
Travis County, Texas, also being in the west right-of-way line of
U.S. Highway 183 (100' right-of-way width);
THENCE North 6243'22" West, with the south line of said
152.571 acre tract, same being the north lines of said 9.87 acre
tract, a 19.73 acre tract described in a deed of record in Volume
4054, Page 1326 of the Deed Records of Travis County, Texas, a 3.00
acre tract described in a deed of record in Volume 3978, Page 1205
of the Deed Records of Travis County, Texas, and a 1.00 acre tract
described in a deed of record in Volume 2100, Page 268 of the Deed
Records of Travis County, Texas, a distance of 3498.94 feet to a
1/2" rebar with plastic "Chaparral Boundary" cap found at the
southwest corner of said 152.571 acre tract, same being the
northwest corner of said 1.00 acre tract, also being in the
established east right-of-way line of F.M. 1625;
THENCE North 6243'22" West, departing the east right-of-way
line of F.M. 1625, crossing F.M. 1625, at a distance of 80.00 feet
to a calculated point in the west right-of-way line of F.M. 1625,
same being the east line of a 167.748 acre tract of land described
in Document No. 2006241307 of the Official Public Records of Travis
County, Texas;
THENCE North 2705'45" East, with the west right-of-way line
of F.M. 1625, same being the east line of said 167.748 acres tract,
the east line of a 0.1291 acre tract described in a deed of record
under Document No. 2001163489 of the Official Public Records of
Travis County, Texas, and the east line of said 103.415 acre tract,
a distance of 1721.97 feet to a calculated point;
THENCE crossing the said 167.748 acres tract, said 103.415
acre tract, said 81.018 acre tract, said 20.807 acre tract, said
138.540 acre tract, F.M. 1625, and Colton Bluff Springs Road the
following eleven (11) courses and distances:
1. North 6255'18" West, a distance of 582.76 feet to a
calculated point;
2. North 2704'42" East, a distance of 1111.80 feet to a
calculated point;
3. South 6255'18" East, a distance of 587.80 feet to a
calculated point;
4. North 2711'27" West, a distance of 173.86 feet to a
calculated point for a point of curvature to the left;
5. Following said curve to the left, having a radius of
1450.01 feet, a delta angle of 4832'03", an arc length of 1228.27
feet, and a chord which bears North 0255'25" East, a distance of
1191.88 feet to a calculated point;
6. North 2120'36" West, a distance of 811.55 feet to a
calculated point for a point of curvature to the right;
7. Following said curve to the left, having a radius of
500.00 feet, a delta angle of 4114'06", an arc length of 359.84
feet, and a chord which bears North 0043'33" West, a distance of
352.13 feet to a calculated point;
8. North 1953'30" East, a distance of 342.27 feet to a
calculated point for a point of curvature to the right;
9. Following said curve to the right, having a radius of
2003.01 feet, a delta angle of 2231'58", an arc length of 787.73
feet, and a chord which bears North 5850'31" West, a distance of
782.66 feet to a calculated point;
10. North 4734'32" West, a distance of 43.08 feet to a
calculated point;
11. North 2706'47" East, a distance of 3.11 feet to a 1/2"
iron pipe found for an angle point in the north line of said 138.540
acre tract, same being the southeast corner of a 380.080 acre tract
described in a deed of record in Volume 12791, Page 11 of the Real
Property Records of Travis County, Texas;
THENCE with the common line of said 138.540 acre tract and
said 380.080 acre tract, the following two (2) courses and
distances:
1. North 2706'47" East, a distance of 851.48 feet to a 3/4"
iron pipe found;
2. North 2908'56" East, a distance of 229.98 feet to a 1/2"
iron pipe found at the southwest corner of said 25.304 acre tract;
THENCE North 2645'01" East, with the west line of said 25.304
acre tract, same being the east line of said 380.080 acre tract, a
distance of 430.74 feet to a 1/2" rebar found at the northwest
corner of said 25.304 acre tract, same being the southwest corner of
Lot 8, South 183 Park, a subdivision of record in Volume 78, Page
253 of the Plat Records of Travis County, Texas;
THENCE South 4805'10" East, with the north line of said
25.304 acre tract, same being the south line of Lots 8 through 14
inclusive of said South 183 Park, at a distance of 2072.23 feet to
POINT OF BEGINNING, containing 326.322 acres of land, more or less.
SECTION 3. (a) The legislature finds that the development
or redevelopment in the area in the proposed Austin Desired
Development Zone District No. 1 would not occur solely through
private investment in the reasonably foreseeable future.
(b) The legislature further finds that the area in the
proposed Austin Desired Development Zone District No. 1 is
unproductive and underdeveloped and that the conditions
substantially arrest or impair the sound growth of the area, are an
economic or social liability, and present a menace to the public
health, safety, morals, or welfare.
SECTION 4. (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,
lieutenant governor, and speaker of the house of representatives
within the required time.
(d) 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.
(e) 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. 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.