H.B. No. 4160
relating to the creation of the Burnet County Municipal Utility
District No. 1; granting a limited power of eminent domain;
providing authority to issue bonds; providing authority to impose
assessments, fees, and taxes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle F, Title 6, Special District Local Laws
Code, is amended by adding Chapter 7913 to read as follows:
CHAPTER 7913. BURNET COUNTY MUNICIPAL UTILITY DISTRICT NO. 1
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7913.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Commission" means the Texas Commission on
Environmental Quality.
(3) "Director" means a board member.
(4) "District" means the Burnet County Municipal
Utility District No. 1.
Sec. 7913.002. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7913.003. CONFIRMATION AND DIRECTORS' ELECTION
REQUIRED. The temporary directors shall hold an election to
confirm the creation of the district and to elect five permanent
directors as provided by Section 49.102, Water Code.
Sec. 7913.004. FINDINGS OF PUBLIC PURPOSE AND BENEFIT. (a)
The district is created to serve a public purpose and benefit.
(b) The district is created to accomplish the purposes of:
(1) a municipal utility district as provided by
general law and Section 59, Article XVI, Texas Constitution; and
(2) Section 52, Article III, Texas Constitution, that
relate to the construction, acquisition, improvement, operation,
or maintenance of macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Sec. 7913.005. 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 made 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 a bond;
(3) right to impose a tax; or
(4) legality or operation.
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 7913.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 7913.052, directors serve
staggered four-year terms.
Sec. 7913.052. 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 may submit a petition to the commission requesting that
the commission appoint as temporary directors the five persons
named in the petition. The commission shall appoint as temporary
directors the five persons named in the petition.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7913.003; or
(2) the fourth anniversary of the effective date of
the Act enacting this chapter.
(c) If permanent directors have not been elected under
Section 7913.003 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 7913.003; 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
may submit a petition to the commission requesting that the
commission appoint as successor temporary directors the five
persons named in the petition. The commission shall appoint as
successor temporary directors the five persons named in the
petition.
SUBCHAPTER C. POWERS AND DUTIES
Sec. 7913.101. GENERAL POWERS AND DUTIES. The district has
the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7913.102. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 7913.103. AUTHORITY FOR ROAD PROJECTS. Under Section
52, Article III, Texas Constitution, and Section 53.029(c), Water
Code, the district may design, acquire, construct, finance, issue
bonds for, improve, operate, maintain, and convey to this state, a
county, or a municipality for operation and maintenance
macadamized, graveled, or paved roads, or improvements, including
storm drainage, in aid of those roads.
Sec. 7913.104. ROAD STANDARDS AND REQUIREMENTS. (a) A road
project must meet all applicable construction standards, zoning and
subdivision requirements, and regulations of each municipality in
whose corporate limits or extraterritorial jurisdiction the road
project is located.
(b) If a road project is not located in the corporate limits
or extraterritorial jurisdiction of a municipality, the road
project must meet all applicable construction standards,
subdivision requirements, and regulations of each county in which
the road project is located.
(c) If the state will maintain and operate the road, the
Texas Transportation Commission must approve the plans and
specifications of the road project.
Sec. 7913.105. STRATEGIC PARTNERSHIP AGREEMENT. The
district may negotiate and enter into a written strategic
partnership agreement with a municipality under Section 43.0751,
Local Government Code.
Sec. 7913.106. DIVISION OF DISTRICT. (a) The district may
be divided into two or more new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) This chapter applies to any new district created by the
division of the district, and a new district has all the powers and
duties of the district.
(c) Any new district created by the division of the district
may not, at the time the new district is created, contain any land
outside the area described by Section 2 of the Act creating this
chapter.
(d) The board, on its own motion or on receipt of a petition
signed by the owner or owners of a majority of the assessed value of
the real property in the district, may adopt an order dividing the
district.
(e) The board may adopt an order dividing the district
before or after the date the board holds an election under Section
7913.003 to confirm the district's creation.
(f) An order dividing the district shall:
(1) name each new district;
(2) include the metes and bounds of each new district;
(3) appoint temporary directors for each new district
or provide that the owner or owners of a majority of the assessed
value of the real property in each new district may submit a
petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition; and
(4) provide for the division of assets and liabilities
between or among the new districts.
(g) On or before the 30th day after the date of adoption of
an order dividing the district, the district shall file the order
with the Texas Commission on Environmental Quality and record the
order in the real property records of each county in which the
district is located.
(h) Any new district created by the division of the district
shall hold a confirmation and directors' election as required by
Section 7913.003. A new district that is not confirmed is subject
to dissolution under general law.
(i) Any new district created by the division of the district
must hold an election as required by this chapter to obtain voter
approval before the district may impose a maintenance tax or issue
bonds payable wholly or partly from ad valorem taxes.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 7913.151. ELECTIONS REGARDING TAXES OR BONDS. (a) The
district may issue, without an election, bonds and other
obligations secured by:
(1) revenue other than ad valorem taxes; or
(2) contract payments described by Section 7913.153.
(b) The district must hold an election in the manner
provided by Chapters 49 and 54, Water Code, to obtain voter approval
before the district may impose an ad valorem tax or issue bonds
payable from ad valorem taxes.
(c) The district may not issue bonds payable from ad valorem
taxes to finance a road project unless the issuance is approved by a
vote of a two-thirds majority of the district voters voting at an
election held for that purpose.
Sec. 7913.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7913.151, the district
may impose an operation and maintenance tax on taxable property in
the district in accordance with Section 49.107, Water Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.
Sec. 7913.153. 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.
SUBCHAPTER E. ASSESSMENTS; APPLICABILITY OF IMPACT FEES AND
ASSESSMENTS
Sec. 7913.201. PETITION REQUIRED FOR FINANCING
RECREATIONAL FACILITIES AND IMPROVEMENTS WITH ASSESSMENTS. (a)
Except as provided by this subchapter, the board may finance a
recreational facility or improvement with assessments on property
under this subchapter, but only if:
(1) a written petition requesting that facility or
improvement has been filed with the board; and
(2) the board holds a hearing on the proposed
assessments.
(b) The petition 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. 7913.202. METHOD OF NOTICE FOR HEARING. The district
shall mail notice of the hearing to each property owner in the
district who will be subject to the assessment at the current
address to be assessed as reflected on the tax rolls. The district
may mail the notice by certified or first class United States mail.
The board shall determine the method of notice.
Sec. 7913.203. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a) An
assessment or a reassessment imposed under this subchapter 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.
(b) 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.
(c) 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. 7913.204. 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.
SUBCHAPTER F. BONDS AND OTHER OBLIGATIONS
Sec. 7913.251. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. The district may issue bonds or other obligations
payable wholly or partly from ad valorem taxes, impact fees,
revenue, contract payments, grants, or other district money, or any
combination of those sources, to pay for any authorized district
purpose.
Sec. 7913.252. TAXES FOR BONDS. At the time the district
issues bonds 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. 7913.253. BONDS FOR ROAD PROJECTS. At the time of
issuance, the total principal amount of bonds or other obligations
issued or incurred to finance road projects and payable from ad
valorem taxes may not exceed one-fourth of the assessed value of the
real property in the district.
SUBCHAPTER G. DEFINED AREAS
Sec. 7913.301. AUTHORITY TO ESTABLISH DEFINED AREAS OR
DESIGNATED PROPERTY. The district may define areas or designate
certain property of the district to pay for improvements,
facilities, or services that primarily benefit that area or
property and do not generally and directly benefit the district as a
whole.
Sec. 7913.302. PROCEDURE FOR ELECTION. (a) Before the
district may impose an ad valorem tax or issue bonds payable from ad
valorem taxes of the defined area or designated property, the board
shall hold an election in the defined area or in the designated
property only.
(b) The board may submit the issues to the voters on the same
ballot to be used in another election.
Sec. 7913.303. DECLARING RESULT AND ISSUING ORDER. (a) If
a majority of the voters voting at the election approve the
proposition or propositions, the board shall declare the results
and, by order, shall establish the defined area and describe it by
metes and bounds or designate the specific property.
(b) A court may not review the board's order except on the
ground of fraud, palpable error, or arbitrary and confiscatory
abuse of discretion.
Sec. 7913.304. TAXES FOR SERVICES, IMPROVEMENTS, AND
FACILITIES IN DEFINED AREAS OR DESIGNATED PROPERTY. On voter
approval and adoption of the order described by Section 7913.303,
the district may apply separately, differently, equitably, and
specifically its taxing power and lien authority to the defined
area or designated property to provide money to construct,
administer, maintain, and operate services, improvements, and
facilities that primarily benefit the defined area or designated
property.
Sec. 7913.305. ISSUANCE OF BONDS FOR DEFINED AREA OR
DESIGNATED PROPERTY. After the order under Section 7913.303 is
adopted, the district may issue bonds to provide for any land,
improvements, facilities, plants, equipment, and appliances for
the defined area or designated property.
SECTION 2. The Burnet County Municipal Utility District No.
1 initially includes all the territory contained in the following
area:
Being a parcel of land situated in the GC&SF RR CO Survey, Section
330, Grantee - J.N. Crawford, Abstract Number 1772, the HE&WT RR CO
Survey, Section 304, Grantee - J.N. Crawford, Abstract Number 1833,
the T&NO RR CO Survey, Section 2, Grantee - C.F. Burton, Abstract
Number 1756 and the Maria Catalina Salinas Survey Number 17,
Abstract Number 776 and being a portion of a parcel of land as
described in the deed to Hines HWY 71, Limited Partnership recorded
under Instrument Number 2007-9805 of the Official Public Records of
Burnet County, Texas (hereafter referred to as the Hines Tract),
being more particularly described as follows:
BEGINNING at a 12 inch diameter steel fence corner post found at the
northwest corner of said Hines Tract;
THENCE the following nineteen (19) calls coincident with the
perimeter and to the corners of said Hines Tract:
1. NORTH 88 degrees 07 minutes 25 seconds EAST, 160.65 feet
to a found 1/2 inch rebar;
2. NORTH 88 degrees 11 minutes 33 seconds EAST, 381.95 feet
to a found 1/2 inch rebar;
3. NORTH 88 degrees 17 minutes 11 seconds EAST, 557.49 feet
to a found cotton gin spindle in the base of a 24 inch Live Oak;
4. NORTH 87 degrees 48 minutes 14 seconds EAST, 106.07 feet
to a found 1/2 inch rebar;
5. NORTH 88 degrees 40 minutes 10 seconds EAST, 340.08 feet
to a found 1/2 inch rebar;
6. NORTH 88 degrees 21 minutes 35 seconds EAST, 161.15 feet
to a found 60D nail in the base of a 18 inch Cedar;
7. NORTH 88 degrees 02 minutes 57 seconds EAST, 588.76 feet
to a found 2.5 inch steel fence corner post;
8. NORTH 01 degree 44 minutes 40 seconds WEST, 760.21 feet
to a found 1/2 inch rebar;
9. NORTH 01 degree 29 minutes 14 seconds WEST, 214.13 feet
to a found 1/2 inch rebar;
10. NORTH 01 degree 53 minutes 17 seconds WEST, 590.33 feet
to a found 3/8 inch rebar;
11. SOUTH 77 degrees 00 minutes 08 seconds EAST, 491.52 feet
to a found 2.5 inch steel fence corner post;
12. NORTH 87 degrees 53 minutes 14 seconds EAST, 1554.95
feet to a found 2.5 inch steel fence corner post;
13. NORTH 00 degrees 38 minutes 32 seconds WEST, 566.01 feet
to a found 1/2 inch capped rebar stamped "Bergman 3103";
14. NORTH 00 degrees 28 minutes 11 seconds WEST, 406.18 feet
to a found 1/2 inch capped rebar stamp illegible;
15. NORTH 88 degrees 34 minutes 22 seconds EAST, 1439.89
feet to a found 1/2 inch rebar;
16. NORTH 89 degrees 03 minutes 16 seconds EAST, 502.28 feet
to a found 1/2 inch capped rebar stamped "Austin Surveyors";
17. NORTH 88 degrees 53 minutes 10 seconds EAST, 977.10 feet
to a found 1/2 inch rebar;
18. SOUTH 01 degree 17 minutes 47 seconds EAST, 2875.44 feet
to a found 3/8 inch rebar;
19. SOUTH 01 degree 12 minutes 03 seconds EAST, 1145.50 feet
to a set 1/2 inch capped rebar stamped "JPH LAND SURVEYING" set at
the intersection of the east line of said Hines Tract with the
Burnet-Travis County Line as described in Texas Senate Bill 1009,
an Act of May 22, 2013, 83rd Legislature, Regular Session, Chapter
599, filed in the Office of the Texas Secretary of State;
THENCE SOUTH 28 degrees 40 minutes 00 seconds WEST, with said
Burnet-Travis County Line, passing at 738.26 feet a found rock
mound noted as the 5th mile in the field notes by T. A. Chamberlain
recorded under Document Number 50949 of the County Boundary Files
for Burnet County in the Archives and Records of the Texas General
Land Office, in the vicinity of said rock mound a 1/2 inch capped
rebar stamped "Bergman RPLS 3103" lies northwesterly of said
Burnet-Travis County Line 2.5 feet, continuing for a total distance
of 1591.88 feet to a 1/2 inch capped rebar stamped "JPH LAND
SURVEYING" set at the intersection of said Burnet-Travis County
Line with a south line of said Hines Tract, from which a 6"x 6" x 44"
tall concrete monument marked "T" on the east side, "B" on the west
side and "1930" on the base found marking the corner of Burnet and
Blanco Counties and on the Travis County line bears SOUTH 28 degrees
40 minutes 00 seconds WEST, 1343.39 feet, and from said concrete
monument a 14 inch Live Oak Tree bears NORTH 86 degrees WEST, 16.5
feet;
THENCE the following six (6) calls coincident with the perimeter
and to the corners of said Hines Tract:
1. SOUTH 88 degrees 48 minutes 34 seconds WEST, 406.38 feet
to a found 1/2 inch rebar from which a found 5/8 inch capped rebar
stamped "RPLS 453?" bears NORTH 28 degrees WEST, 0.3 feet;
2. SOUTH 88 degrees 51 minutes 05 seconds WEST, 283.38 feet
to a found 60D nail in top of a 12 inch diameter fence corner post;
3. NORTH 01 degree 12 minutes 27 seconds WEST, 475.01 feet
to a found cotton gin spindle;
4. SOUTH 88 degrees 57 minutes 29 seconds WEST, 1924.98 feet
to a set mag nail in rock;
5. SOUTH 25 degrees 44 minutes 58 seconds WEST, 532.03 feet
to a found 1/2 inch capped rebar stamped "RPLS 4?52";
6. SOUTH 06 degrees 38 minutes 28 seconds WEST, 387.56 feet
to a set 1/2 inch capped rebar stamped "JPH LAND SURVEYING" set at
the intersection of an easterly line of said Hines Tract with the
Burnet-Blanco County Line;
THENCE NORTH 71 degrees 49 minutes 50 seconds WEST, 2120.42 feet
with said Burnet-Blanco County Line to a 1/2 inch capped rebar
stamped "JPH LAND SURVEYING" set at the intersection of the east
right of way line of State Highway 71 (formerly known as R.M.
Highway 93) a 150-foot right of way, as described in the deed to the
State of Texas recorded in Volume 98, Pages 530 and 531 of the Deed
Records of Burnet County, Texas with said Burnet-Blanco County
Line, from which a calculated point being a deed call tie as
described in said deed to the State of Texas to said Burnet-Blanco
County Line bears NORTH 71 degrees 49 minutes 50 seconds WEST, 148.8
feet;
THENCE the following four (4) calls coincident with the perimeter
and to the corners of the east right of way line of said State
Highway 71:
1. NORTH 48 degrees 03 minutes 28 seconds WEST, 518.91 feet
to a Texas Department of Transportation 4 inch x 4 inch concrete
right of way monument found at the beginning of a tangent curve
concave to the northeast, having a radius of 2805.00 feet;
2. northwesterly an arc length of 1334.88 feet to a Texas
Department of Transportation 4 inch x 4 inch concrete right of way
monument found at the beginning of a tangent line to the
aforementioned curve;
3. NORTH 20 degrees 47 minutes 28 seconds WEST, 635.31 feet
to a Texas Department of Transportation 4 inch x 4 inch concrete
right of way monument found at the beginning of a tangent curve
concave to the southwest having a radius of 5790.00 feet;
4. northerly an arc length of 596.51 feet to the POINT OF
BEGINNING, containing 643.0 acres.
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, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 are fulfilled
and accomplished.
SECTION 4. (a) If this Act does not receive a two-thirds
vote of all the members elected to each house, Subchapter C, Chapter
7913, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7913.107 to read as follows:
Sec. 7913.107. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
(b) This section is not intended to be an expression of a
legislative interpretation of the requirements of Section 17(c),
Article I, Texas Constitution.
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, 2015.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4160 was passed by the House on May 8,
2015, by the following vote: Yeas 140, Nays 2, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4160 was passed by the Senate on May
27, 2015, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor