BILL ANALYSIS Senate Research Center H.B. 1587 By: Creighton (Williams) Administration 5/20/2013 Engrossed BILL ANALYSIS Senate Research Center H.B. 1587 By: Creighton (Williams) Administration 5/20/2013 Engrossed Senate Research Center H.B. 1587 By: Creighton (Williams) Administration 5/20/2013 Engrossed AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Currently, certain land located within the extraterritorial jurisdiction of the City of Conroe in Montgomery County is undeveloped. Interested parties contend that the area would benefit from the creation of a municipal utility district. H.B. 1587 amends current law relating to the creation of the Montgomery County Municipal Utility District No. 134, grants a limited power of eminent domain, provides authority to issue bonds, and provides authority to impose assessments, fees, or taxes. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subtitle F, Title 6, Special District Local Laws Code, by adding Chapter 8458, as follows: CHAPTER 8458. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 134 Sets forth standard language for the creation of the Montgomery County Municipal District No. 134 (district) in Montgomery County. Sets forth standards, procedures, requirements, and criteria for: Creation, purpose, and approval of the district (Sections 8458.001-8458.006); Size, composition, election, and terms of the board of directors, including the appointment of temporary directors (Sections 8458.051-8458.052); Powers and duties of the district (Sections 8458.101-8458.105); and General financial provisions and authority to impose a tax and to issue bonds and obligations for the district (Sections 8458.151-8458.203). SECTION 2. Sets forth the initial boundaries of the district. SECTION 3. Provides that all requirements of the constitution and the laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished. SECTION 4. (a) Provides that if this Act does not receive a two-thirds vote of all the members elected to each house, Subchapter C, Chapter 8458, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 8458.106, as follows: Sec. 8458.106. NO EMINENT DOMAIN POWER. Prohibits the district from exercising the power of eminent domain. (b) Provides that this section is not intended to be an expression of a legislative interpretation of the requirements of Section 17(c) (relating to authorizing eminent domain only on a two-thirds vote of all members elected to each house), Article I, Texas Constitution. SECTION 5. Effective date: upon passage or September 1, 2013. AUTHOR'S / SPONSOR'S STATEMENT OF INTENT Currently, certain land located within the extraterritorial jurisdiction of the City of Conroe in Montgomery County is undeveloped. Interested parties contend that the area would benefit from the creation of a municipal utility district. H.B. 1587 amends current law relating to the creation of the Montgomery County Municipal Utility District No. 134, grants a limited power of eminent domain, provides authority to issue bonds, and provides authority to impose assessments, fees, or taxes. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Subtitle F, Title 6, Special District Local Laws Code, by adding Chapter 8458, as follows: CHAPTER 8458. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 134 Sets forth standard language for the creation of the Montgomery County Municipal District No. 134 (district) in Montgomery County. Sets forth standards, procedures, requirements, and criteria for: Creation, purpose, and approval of the district (Sections 8458.001-8458.006); Size, composition, election, and terms of the board of directors, including the appointment of temporary directors (Sections 8458.051-8458.052); Powers and duties of the district (Sections 8458.101-8458.105); and General financial provisions and authority to impose a tax and to issue bonds and obligations for the district (Sections 8458.151-8458.203). SECTION 2. Sets forth the initial boundaries of the district. SECTION 3. Provides that all requirements of the constitution and the laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished. SECTION 4. (a) Provides that if this Act does not receive a two-thirds vote of all the members elected to each house, Subchapter C, Chapter 8458, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 8458.106, as follows: Sec. 8458.106. NO EMINENT DOMAIN POWER. Prohibits the district from exercising the power of eminent domain. (b) Provides that this section is not intended to be an expression of a legislative interpretation of the requirements of Section 17(c) (relating to authorizing eminent domain only on a two-thirds vote of all members elected to each house), Article I, Texas Constitution. SECTION 5. Effective date: upon passage or September 1, 2013.