By: Dutton H.B. No. 3857
Substitute the following for H.B. No. 3857:
By: Alvarado C.S.H.B. No. 3857
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Near Northside Management District.
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 3905 to read as follows:
CHAPTER 3905. NEAR NORTHSIDE MANAGEMENT DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 3905.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "City" means the City of Houston, Texas.
(3) "County" means Harris County, Texas.
(4) "Director" means a board member.
(5) "District" means the Near Northside Management
District.
Sec. 3905.002. CREATION AND NATURE OF DISTRICT. The
district is a special district created under Section 59, Article
XVI, Texas Constitution.
Sec. 3905.003. PURPOSE; LEGISLATIVE FINDINGS. (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,
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.
(c) This chapter and the creation of the district may not be
interpreted to relieve the city or county from providing the level
of services provided as of the effective date of the Act enacting
this chapter to the area in the district. The district is created
to supplement and not to supplant city and county services provided
in the district.
Sec. 3905.004. 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 further the public purposes of:
(1) developing and diversifying the economy of the
state;
(2) eliminating unemployment and underemployment; and
(3) developing or expanding transportation and
commerce.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district, and of the public;
(2) provide needed funding for the district to
preserve, maintain, and enhance the economic health and vitality of
the district territory as a community and business center; and
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and by landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic beauty.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, and street art objects are parts of and necessary
components of a street and are considered to be a street or road
improvement.
(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. 3905.005. DISTRICT TERRITORY. (a) The district is
composed of the territory described by Section 2 of the Act enacting
this chapter, as that territory may have been modified under
Section 3905.107 or other law.
(b) The boundaries and field notes of the district contained
in Section 2 of the Act enacting this chapter form a closure. A
mistake in the field notes of the district contained in Section 2 of
the Act enacting this chapter or in copying the field notes in the
legislative process does not in any way affect the district's:
(1) organization, existence, or validity; or
(2) legality or operation.
Sec. 3905.006. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
(a) All or any part of the area of the district is eligible to be
included in:
(1) a tax increment reinvestment zone created by the
city under Chapter 311, Tax Code;
(2) a tax abatement reinvestment zone created by the
city under Chapter 312, Tax Code; or
(3) an enterprise zone created by the city under
Chapter 2303, Government Code.
(b) A tax increment reinvestment zone created by the city in
the district is not subject to the limitations provided by Section
311.006(a), Tax Code.
Sec. 3905.007. APPLICABILITY OF MUNICIPAL MANAGEMENT
DISTRICTS LAW. Except as otherwise provided by this chapter,
Chapter 375, Local Government Code, applies to the district.
Sec. 3905.008. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
[Sections 3905.009-3905.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 3905.051. GOVERNING BODY; TERMS. The district is
governed by a board of nine directors who serve staggered terms of
three years, with three directors' terms expiring June 1 of each
year.
Sec. 3905.052. APPOINTMENT OF DIRECTORS. (a) The mayor and
members of the governing body of the city shall appoint directors
from persons recommended by the board. A person is appointed if a
majority of the members and the mayor vote to appoint that person.
(b) A person may not be appointed to the board if the
appointment of that person would result in fewer than two-thirds of
the directors being residents of the city.
Sec. 3905.053. EX OFFICIO DIRECTORS. (a) The following
persons serve as nonvoting ex officio directors:
(1) the directors of the parks and recreation,
planning and development, public works, and civic center
departments of the city;
(2) the chief of police of the city;
(3) the county's general manager of the Metropolitan
Transit Authority of Harris County, Texas; and
(4) the president of each institution of higher
learning located in the district.
(b) If a department described by Subsection (a) is
consolidated, renamed, or changed, the board may appoint a director
of the consolidated, renamed, or changed department as a nonvoting
ex officio director. If a department described by Subsection (a) is
abolished, the board may appoint a representative of another
department of the city that performs duties comparable to those
performed by the abolished department.
(c) The board may appoint the presiding officer of a
nonprofit corporation that is actively involved in activities in
the district to serve as a nonvoting ex officio director.
Sec. 3905.054. CONFLICTS OF INTEREST. (a) Except as
provided by this section:
(1) a director may participate in all board votes and
decisions; and
(2) Chapter 171, Local Government Code, governs
conflicts of interest of board members.
(b) Section 171.004, Local Government Code, does not apply
to the district. A director who has a substantial interest in a
business or charitable entity that will receive a pecuniary benefit
from a board action shall file an affidavit with the board secretary
declaring the interest. Another affidavit is not required if the
director's interest changes.
(c) After the affidavit is filed, the director may
participate in a discussion or vote on that action if:
(1) a majority of the directors have a similar
interest in the same entity; or
(2) all other similar business or charitable entities
in the district will receive a similar pecuniary benefit.
(d) A director who is also an officer or employee of a public
entity may not participate in a discussion of or vote on a matter
regarding a contract with that same public entity.
(e) For purposes of this section, a director has a
substantial interest in a charitable entity in the same manner that
a person would have a substantial interest in a business entity
under Section 171.002, Local Government Code.
Sec. 3905.055. COMPENSATION. The district shall compensate
a director as provided by Section 49.060, Water Code.
Sec. 3905.056. INITIAL DIRECTORS. (a) The initial board
consists of:
Pos. No. Name of Director Pos. No. Name of Director
Pos. No. Name of Director
1 Ethel Kaye Lee 1 Ethel Kaye Lee
1 Ethel Kaye Lee
2 Rose Russell 2 Rose Russell
2 Rose Russell
3 Michael Ashley 3 Michael Ashley
3 Michael Ashley
4 Dr. Albert Lemon 4 Dr. Albert Lemon
4 Dr. Albert Lemon
5 Earl White 5 Earl White
5 Earl White
6 Ann Tillis 6 Ann Tillis
6 Ann Tillis
7 John Fields 7 John Fields
7 John Fields
8 Harvey Clemons 8 Harvey Clemons
8 Harvey Clemons
9 Renee Llorens 9 Renee Llorens
9 Renee Llorens
(b) Of the initial directors, the terms of directors serving
in positions 1, 2, and 3 expire June 1, 2013, the terms of directors
serving in positions 4, 5, and 6 expire June 1, 2014, and the terms
of directors serving in positions 7, 8, and 9 expire June 1, 2015.
(c) Section 3905.052 does not apply to the initial
directors.
(d) This section expires September 1, 2015.
[Sections 3905.057-3905.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 3905.101. HOUSING FINANCE CORPORATION POWERS. (a)
The district has the powers of a housing finance corporation
created under Chapter 394, Local Government Code.
(b) The district may exercise the powers to provide housing
or residential development projects in the district.
Sec. 3905.102. DEVELOPMENT CORPORATION POWERS. The
district, using money available to the district, may exercise the
powers given to a development corporation under Chapter 505, Local
Government Code, including the power to own, operate, acquire,
construct, lease, improve, or maintain a project under that
chapter.
Sec. 3905.103. NONPROFIT CORPORATION. (a) The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act for the district in implementing a project or
providing a service authorized by this chapter.
(b) The nonprofit corporation:
(1) has each power of and is considered to be a local
government corporation created under Subchapter D, Chapter 431,
Transportation Code; and
(2) may implement any project and provide any service
authorized by this chapter.
(c) The board shall appoint the board of directors of the
nonprofit corporation. The board of directors of the nonprofit
corporation shall serve in the same manner as the board of directors
of a local government corporation created under Subchapter D,
Chapter 431, Transportation Code, except that a board member is not
required to reside in the district.
Sec. 3905.104. AGREEMENTS; GRANTS. (a) As provided by
Chapter 375, Local Government Code, the district may make an
agreement with or accept a gift, grant, or loan from any person.
(b) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
Sec. 3905.105. LAW ENFORCEMENT SERVICES. To protect the
public interest, the district may contract with the county or the
city to provide law enforcement services in the district for a fee.
Sec. 3905.106. COMPETITIVE BIDDING. Section 375.221, Local
Government Code, does not apply to a district contract for $25,000
or less.
Sec. 3905.107. ANNEXATION. In addition to the authority to
annex territory under Subchapter C, Chapter 375, Local Government
Code, the district has the authority to annex territory located in a
reinvestment zone created by the city under Chapter 311, Tax Code,
if the city's governing body consents to the annexation.
Sec. 3905.108. ECONOMIC DEVELOPMENT PROGRAM. (a) The
district may establish and provide for the administration of one or
more programs to promote economic development and to stimulate
business and commercial activity in the district, including
programs to secure loans and receive grants of public money.
(b) The district may:
(1) contract with the federal government, the state, a
political subdivision of the state, a nonprofit organization, or
any other person for the administration of the program; and
(2) accept contributions, gifts, or other resources to
develop and administer the program.
Sec. 3905.109. STRATEGIC PARTNERSHIP AGREEMENT. The
district may negotiate and enter into a written strategic
partnership agreement with the city, county, or Houston Independent
School District.
Sec. 3905.110. REAL PROPERTY. (a) The district may buy,
sell, own, or lease real property.
(b) The district may receive real property as a gift from
any person.
Sec. 3905.111. RECEIPT OF SURPLUS PROPERTY. The district
may receive surplus property from a school district that is located
in the district.
Sec. 3905.112. PROJECT FOR EDUCATIONAL OPPORTUNITY. The
district may own, lease, operate or manage a project to improve
educational opportunities in the district.
Sec. 3905.113. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
[Sections 3905.114-3905.150 reserved for expansion]
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS; ASSESSMENTS
Sec. 3905.151. PETITION REQUIRED FOR FINANCING SERVICES AND
IMPROVEMENTS. (a) The board may not finance a service or an
improvement project under this chapter unless a written petition
requesting that service or improvement is filed with the board.
(b) The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district according to the most recent
certified tax appraisal roll for the county; or
(2) at least 25 owners of land in the district, if more
than 25 persons own property in the district according to the most
recent certified tax appraisal roll for the county.
Sec. 3905.152. 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. 3905.153. UTILITY PROPERTY EXEMPT FROM IMPACT FEES AND
ASSESSMENTS. The district may not impose an impact fee or
assessment on the property of a person that provides to the public
gas, electricity, telephone, sewage, or water service.
Sec. 3905.154. MUNICIPALITY NOT REQUIRED TO PAY DISTRICT
OBLIGATIONS. Except as provided by Section 375.263, Local
Government Code, a municipality is not required to pay a bond, note,
or other obligation of the district.
[Sections 3905.155-3905.200 reserved for expansion]
SUBCHAPTER E. DISSOLUTION
Sec. 3905.201. EXCEPTION FOR DISSOLUTION OF DISTRICT WITH
OUTSTANDING DEBT. (a) The board may vote to dissolve a district
that has debt. If the vote is in favor of dissolution, the district
shall remain in existence solely for the limited purpose of
discharging its debts. The dissolution is effective when all debts
have been discharged.
(b) Section 375.264, Local Government Code, does not apply
to the district.
SECTION 2. BOUNDARIES. The Near Northside Management
District initially includes all the territory contained in the
following area:
In Harris County, Texas, the territory enclosed by Loop 610 as the
north boundary, Lockwood Dr. as the east boundary, Interstate 10 as
the south boundary, and Jensen Dr. as the west boundary.
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,
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 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, 2011.
Pos. No. Name of Director
1 Ethel Kaye Lee
2 Rose Russell
3 Michael Ashley
4 Dr. Albert Lemon
5 Earl White
6 Ann Tillis
7 John Fields
8 Harvey Clemons
9 Renee Llorens