10 | 4 | | AN ACT |
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11 | 5 | | relating to the qualifications of directors and the use of project |
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12 | 6 | | funds of certain municipal development districts. |
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13 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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14 | 8 | | SECTION 1. Section 377.051, Local Government Code, is |
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15 | 9 | | amended by adding Subsection (e) to read as follows: |
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16 | 10 | | (e) Notwithstanding Subsection (d), a person may qualify to |
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17 | 11 | | serve as a director of a district that is located in a municipality |
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18 | 12 | | with a population of more than 5,000 and less than 6,000 and that is |
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19 | 13 | | located wholly in a county with a population of more than 20,000 and |
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20 | 14 | | less than 25,000 and that borders the Brazos River if the person |
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21 | 15 | | resides in the independent school district that serves the majority |
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22 | 16 | | of the district. |
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23 | 17 | | SECTION 2. Section 377.072, Local Government Code, is |
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24 | 18 | | amended by amending Subsection (c) and adding Subsection (e) to |
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25 | 19 | | read as follows: |
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26 | 20 | | (c) Except as provided by Subsections [Subsection] (d) and |
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27 | 21 | | (e), the district may use money in the development project fund only |
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28 | 22 | | to: |
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29 | 23 | | (1) pay the costs of planning, acquiring, |
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30 | 24 | | establishing, developing, constructing, or renovating one or more |
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31 | 25 | | development projects in the district; |
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32 | 26 | | (2) pay the principal of, interest on, and other costs |
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33 | 27 | | relating to bonds or other obligations issued by the district or to |
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34 | 28 | | refund bonds or other obligations; or |
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35 | 29 | | (3) pay the costs of operating or maintaining one or |
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36 | 30 | | more development projects during the planning, acquisition, |
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37 | 31 | | establishment, development, construction, or renovation or while |
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38 | 32 | | bonds or other obligations for the planning, acquisition, |
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39 | 33 | | establishment, development, construction, or renovation are |
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40 | 34 | | outstanding. |
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41 | 35 | | (e) A district that is located in a municipality with a |
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42 | 36 | | population of more than 5,000 and less than 6,000 and that is |
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43 | 37 | | located wholly in a county with a population of more than 20,000 and |
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44 | 38 | | less than 25,000 and that borders the Brazos River may use money in |
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45 | 39 | | the development project fund only to: |
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46 | 40 | | (1) pay the costs of planning, acquiring, |
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47 | 41 | | establishing, developing, constructing, or renovating one or more |
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48 | 42 | | development projects inside the county in which the district is |
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49 | 43 | | located, if the project: |
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50 | 44 | | (A) accomplishes a public purpose of the |
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51 | 45 | | district; |
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52 | 46 | | (B) allows the district to retain control over |
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53 | 47 | | the money to ensure that the district's public purpose is |
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54 | 48 | | accomplished and to protect the district's investment; and |
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55 | 49 | | (C) benefits the district; |
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56 | 50 | | (2) pay the principal of, interest on, and other costs |
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57 | 51 | | relating to bonds or other obligations issued by the district or to |
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58 | 52 | | refund bonds or other obligations; or |
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59 | 53 | | (3) pay the costs of operating or maintaining one or |
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60 | 54 | | more development projects during the planning, acquisition, |
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61 | 55 | | establishment, development, construction, or renovation or while |
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62 | 56 | | bonds or other obligations for the planning, acquisition, |
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63 | 57 | | establishment, development, construction, or renovation are |
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64 | 58 | | outstanding. |
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65 | 59 | | SECTION 3. This Act takes effect immediately if it receives |
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66 | 60 | | a vote of two-thirds of all the members elected to each house, as |
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67 | 61 | | provided by Section 39, Article III, Texas Constitution. If this |
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68 | 62 | | Act does not receive the vote necessary for immediate effect, this |
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69 | 63 | | Act takes effect September 1, 2015. |
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