Texas 2017 85th Regular

Texas House Bill HB4349 Introduced / Bill

Filed 05/08/2017

                    85R29473 JXC-F
 By: Cortez H.B. No. 4349


 A BILL TO BE ENTITLED
 AN ACT
 relating to the creation of the Alamo Management District;
 providing authority to issue bonds; providing authority to impose
 assessments and fees.
 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 3636 to read as follows:
 CHAPTER 3636. ALAMO MANAGEMENT DISTRICT
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 3636.001.  DEFINITIONS. In this chapter:
 (1)  "Board" means the district's board of directors.
 (2)  "City" means the City of San Antonio.
 (3)  "Commissioner" means the commissioner of the
 General Land Office.
 (4)  "County" means Bexar County.
 (5)  "Director" means a board member.
 (6)  "District" means the Alamo Management District.
 Sec. 3636.002.  CREATION AND NATURE OF DISTRICT. The
 district is a special district created under Section 59, Article
 XVI, Texas Constitution.
 Sec. 3636.003.  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 protect and
 preserve the Alamo shrine and the area surrounding the Alamo
 shrine.
 (c)  The creation of the district is necessary to promote,
 develop, encourage, and maintain employment, commerce,
 transportation, tourism, recreation, the arts, entertainment,
 enjoyment of historic and cultural treasures, economic
 development, safety, health, and the public welfare in the
 district.
 (d)  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 on November 1, 2016, to the area in the
 district. The district is created to supplement and not to supplant
 city and county services provided in the district or city and county
 zoning or site development ordinances or orders applicable to the
 territory in the district.
 Sec. 3636.004.  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
 protect, preserve, maintain, and enhance the economic health and
 vitality of the district territory as a community, business,
 historic, and cultural 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,
 cultural, and aesthetic 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. Parking facilities 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. 3636.005.  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 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;
 (2)  right to issue any type of bond or other obligation
 for a purpose for which the district is created or to pay the
 principal of and interest on a bond;
 (3)  right to impose or collect an assessment; or
 (4)  legality or operation.
 Sec. 3636.006.  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;
 (3)  an enterprise zone created under Chapter 2303,
 Government Code; or
 (4)  a similar zone created for economic development
 purposes.
 Sec. 3636.007.  APPLICABILITY OF MUNICIPAL MANAGEMENT
 DISTRICTS LAW. Except as otherwise provided by this chapter,
 Chapter 375, Local Government Code, applies to the district.
 Sec. 3636.008.  LIBERAL CONSTRUCTION OF CHAPTER. This
 chapter shall be liberally construed in conformity with the
 findings and purposes stated in this chapter.
 Sec. 3636.009.  CONFLICT WITH RIVER AUTHORITY.  If any
 authority or power granted to the district overlaps or conflicts
 with any authority or power granted to the San Antonio River
 Authority, the authority or power granted to the San Antonio River
 Authority shall supersede and control over the authority or power
 granted to the district, unless the San Antonio River Authority
 consents to the exercise of the authority or power by the district.
 SUBCHAPTER B. BOARD OF DIRECTORS
 Sec. 3636.051.  BOARD; TERMS. (a) The district is governed
 by a board of seven voting directors who serve staggered terms of
 four years, with three or four directors' terms expiring February 1
 of each odd-numbered year.
 (b)  The board by resolution may change the number of voting
 directors on the board if the board determines that the change is in
 the best interest of the district. The board may not consist of
 fewer than 7 or more than 15 voting directors.
 Sec. 3636.052.  APPOINTMENT AND REMOVAL OF DIRECTORS. (a)
 The commissioner serves as the presiding officer of the board.
 (b)  The commissioner shall appoint the remaining members of
 the board as follows:
 (1)  a person with knowledge of Texas history;
 (2)  a  person with knowledge of preservation or
 operation of historic sites;
 (3)  a person with knowledge of fund-raising or state
 funding sources and procedures;
 (4)  a person with knowledge of municipal land use or
 site development regulation;
 (5)  a person who owns a business in or near the
 district; and
 (6)  a person qualified to serve as a director under
 Section 375.063, Local Government Code.
 (c)  If the board increases the number of directors under
 Section 3636.051 to more than seven, the commissioner shall appoint
 the additional directors. The additional directors must be
 qualified to serve as a director under Section 375.063, Local
 Government Code.
 (d)  If a vacancy occurs on the board, the commissioner shall
 appoint a director for the remainder of the unexpired term only with
 the approval of a majority of the remaining directors.
 (e)  Each director serves at the pleasure of the
 commissioner. The commissioner may remove a director at any time in
 a manner authorized by law.
 Sec. 3636.053.  NONVOTING DIRECTORS. The board may appoint
 nonvoting directors to serve at the pleasure of the voting
 directors.
 Sec. 3636.054.  QUORUM; BOARD ACTION. (a) Section 375.071,
 Local Government Code, does not apply to the board.
 (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;
 (2)  a director who is abstaining from participation in
 a vote because of a conflict of interest; or
 (3)  a nonvoting director.
 (c)  A concurrence of a majority of a quorum of directors is
 required for an official action of the district.
 (d)  Official actions of the district must be made by written
 resolution.
 SUBCHAPTER C. POWERS AND DUTIES
 Sec. 3636.101.  GENERAL POWERS AND DUTIES. The district has
 the powers and duties necessary to accomplish the purposes for
 which the district is created.
 Sec. 3636.102.  STANDARDS FOR LAND USE, SITE DEVELOPMENT,
 ARCHITECTURAL DESIGN. (a) The district may adopt and enforce
 standards for land use, site development, and architectural design
 in the district to ensure that land use, site development, and
 architecture in the district are compatible with land use, site
 development, and architecture in the Alamo complex.
 (b)  The district may create and adopt a master plan for land
 use, site development, and architectural design in the district. If
 the district adopts a master plan, any standards adopted under
 Subsection (a) must conform with the plan.
 (c)  A standard adopted under this section may not be less
 strict than a standard adopted by the city that applies to land or
 architecture in the district.
 Sec. 3636.103.  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. 3636.104.  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. 3636.105.  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. 3636.106.  CONTRACT WITH POLITICAL SUBDIVISION. The
 county, the city, or another political subdivision of this state,
 without further authorization, may contract with the district to
 implement a project of the district or assist the district in
 providing a service authorized under this chapter. A contract
 under this section may:
 (1)  be for a period on which the parties agree;
 (2)  include terms on which the parties agree;
 (3)  be payable from any source of revenue that may be
 available for that project or service; and
 (4)  provide terms under which revenue collected at a
 district project or from a person using or purchasing a commodity or
 service at a district project may be paid or rebated to the
 district.
 Sec. 3636.107.  MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
 district may join and pay dues to a charitable or nonprofit
 organization that performs a service or provides an activity
 consistent with the furtherance of a district purpose.
 Sec. 3636.108.  ANNEXATION. The district may annex
 territory that is adjacent to the district in the manner provided by
 Section 49.301, Water Code.
 Sec. 3636.109.  NO EMINENT DOMAIN POWER.  The district may
 not exercise the power of eminent domain.
 SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS; ASSESSMENTS
 Sec. 3636.151.  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 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. 3636.152.  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. 3636.153.  AUTHORITY TO IMPOSE ASSESSMENTS, IMPACT
 FEES, AND OTHER FEES. (a) The district may impose an assessment,
 impact fee, or other fee as provided by Chapter 375, Local
 Government Code, to finance:
 (1)  an improvement this chapter authorizes the
 district to construct or acquire; or
 (2)  a service this chapter authorizes the district to
 provide.
 (b)  The district may impose an assessment, impact fee, or
 other fee only on property on which a structure is, on or after the
 date the district is created:
 (1)  constructed; or
 (2)  renovated in a manner that removes, replaces, or
 renovates at least 50 percent of the square footage of the
 structure.
 Sec. 3636.154.  ASSESSMENTS; LIENS FOR ASSESSMENTS.  (a)
 The board by resolution may impose and collect an assessment for any
 purpose authorized by this chapter.
 (b)  An assessment or reassessment, including 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 proceeding.
 (c)  The lien is effective from the date of the board's
 resolution imposing the assessment until the date the assessment is
 paid.
 (d)  The board may correct, add to, or delete assessments
 from its assessment rolls after notice and hearing as provided by
 Subchapter F, Chapter 375, Local Government Code.
 Sec. 3636.155.  ASSESSMENT ABATEMENTS. The district may
 grant abatements of an assessment on property in the district.
 Sec. 3636.156.  USE OF ELECTRICAL OR OPTICAL LINES. (a) The
 district may impose an assessment to pay the cost of:
 (1)  burying or removing electrical power lines,
 telephone lines, cable or fiber-optic lines, or any other type of
 electrical or optical line;
 (2)  removing poles and any elevated lines using the
 poles; and
 (3)  reconnecting the lines described by Subdivision
 (2) to the buildings or other improvements to which the lines were
 connected.
 (b)  The district may acquire, operate, or charge fees for
 the use of the district conduits for:
 (1)  another person's:
 (A)  telecommunications network;
 (B)  fiber-optic cable; or
 (C)  electronic transmission line; or
 (2)  any other type of transmission line or supporting
 facility.
 (c)  The district may not require a person to use a district
 conduit.
 (d)  The district may not impose an assessment under this
 section on the property, including the equipment, rights-of-way,
 facilities, or improvements, of:
 (1)  a telecommunications provider, as defined by
 Section 51.002, Utilities Code; or
 (2)  a cable service provider or a video service
 provider, as defined by Section 66.002, Utilities Code.
 (e)  Subsection (d) does not apply to property that is used
 for an office.
 Sec. 3636.157.  NO AD VALOREM TAX.  The district may not
 impose an ad valorem tax.
 Sec. 3636.158.  BONDS AND OTHER OBLIGATIONS. (a) The
 district may issue bonds, notes, or other obligations payable
 wholly or partly from assessments or other money available to the
 district in the manner provided by Subchapter J, Chapter 375, Local
 Government Code.
 (b)  In exercising the district's borrowing power, the
 district may issue a bond or other obligation in the form of a bond,
 note, certificate of participation or other instrument evidencing a
 proportionate interest in payments to be made by the district, or
 other type of obligation.
 SUBCHAPTER E. DISSOLUTION BY BOARD
 Sec. 3636.201.  DISSOLUTION OF DISTRICT WITH OUTSTANDING
 DEBT. (a)  The board may dissolve the district regardless of
 whether the district has debt.  Section 375.264, Local Government
 Code, does not apply to the district.
 (b)  If the district has debt when it is dissolved, the
 district shall remain in existence solely for the purpose of
 discharging its debts. The dissolution is effective when all debts
 have been discharged.
 SUBCHAPTER Z. SPECIAL BOND PROVISIONS
 Sec. 3636.901.  APPLICABILITY. This subchapter applies to
 bonds payable wholly or partly from revenue derived from
 assessments on real property in the district.
 Sec. 3636.902.  CONFLICT OF LAWS. In the event of a conflict
 between this subchapter and any other law, this subchapter
 prevails.
 Sec. 3636.903.  WRITTEN AGREEMENT REGARDING SPECIAL
 APPRAISALS. Before issuing bonds, the district and any person to
 whom the governing body of the district intends that proceeds of the
 bonds be distributed, including a developer or other owner of land
 in the district, and any entity acting as a lender to a developer or
 other owner of land in the district for the purpose of a project
 relating to the district, must enter into a written agreement that:
 (1)  waives for the term of the agreement the right to a
 special appraisal with respect to taxation by the district under
 Subchapters B, C, D, E, F, and H, Chapter 23, Tax Code; and
 (2)  remains in effect for 30 years and is binding on
 the parties, on entities related to or affiliated with the parties,
 and on their successors and assignees.
 Sec. 3636.904.  REQUIREMENTS FOR ADVERTISING BOND ISSUE.
 The district may not advertise for an issuance of bonds until the
 completion of at least 25 percent of the projected value of the
 improvements, including houses and other buildings, that are liable
 for district assessments and necessary to support the district
 bonds.
 Sec. 3636.905.  REQUIREMENTS FOR BOND ISSUE.  The district
 may not issue bonds until:
 (1)  the district submits to the Texas Commission on
 Environmental Quality:
 (A)  an engineer's report describing the project
 for which the bonds will provide funding, including data, profiles,
 maps, plans, and specifications related to the project; and
 (B)  a cash flow analysis to determine the
 projected rate of assessment, which includes the following
 assumptions:
 (i)  each ending balance for debt service in
 the analysis is not less than 25 percent of the following year's
 debt service requirement;
 (ii)  interest income is only shown on the
 ending balance for debt service for the first two years; and
 (iii)  the projected rate of assessment is
 level or decreasing for the life of the bonds issued by the
 district;
 (2)  the completion of at least 75 percent of the
 projected value of the improvements, including houses and other
 buildings, that are liable for district assessments and necessary
 to support the district bonds; and
 (3)  the district has obtained an independent market
 study from a firm recognized in the area of real estate market
 analysis supporting the development projects for the real property
 that is liable for district assessments and necessary to support
 the district bonds.
 Sec. 3636.906.  REQUIREMENTS FOR COLLECTION OF REVENUE TO
 PAY CERTAIN BONDS. The district may not collect an assessment to be
 used for the payment of bonds to be issued to finance the
 construction of underground water, wastewater, and drainage
 facilities until:
 (1)  the completion of at least 95 percent of the
 underground water, wastewater, and drainage facilities financed
 from bond proceeds that are necessary to serve the projected
 build-out, as certified by the district's engineer;
 (2)  the district or other appropriate party has
 secured the groundwater, surface water, and water discharge permits
 that are necessary to secure capacity to support the projected
 build-out;
 (3)  the completion of at least 95 percent of lift
 station, water plant, and sewage treatment plant capacity
 sufficient to serve the connections constructed in the project for
 a period of not less than 18 months, as certified by the district's
 engineer; and
 (4)  the completion of at least 95 percent of the
 streets and roads that are necessary to provide access to the areas
 served by utilities and to be financed by the proceeds of the bonds,
 as certified by the district's engineer and constructed in
 accordance with city or county standards.
 SECTION 2.  The Alamo Management District initially includes
 all the territory contained in the following area:
 From the midpoint of the intersection of W Market Street and N
 Presa Street; Northward along N Presa Street, to the intersection
 of E Houston Street and N Presa Street; Eastward along E Houston
 Street to the intersection of E Houston Street and Jefferson;
 Northward along Jefferson to the intersection of Jefferson and E
 Travis Street; Eastward along E Travis Street, to the intersection
 of N Alamo Street and E Travis Street; Northeastward along N Alamo
 Street to the intersection of 4th Street and N Alamo Street;
 Southeastward along 4th Street to the intersection of Bonham Street
 and 4th Street; Northeastward along Bonham Street to the
 intersection of Elm Street and Bonham Street; Southward along Elm
 Street to the intersection of E Houston Street and Elm Street;
 Eastward along E Houston Street to IH-37; Southeastward along the
 south-bound lanes of IH-37, to the intersection of IH-37 and E
 Market Street; West-northwestward along E Market Street to the
 point of origin, the intersection of W Market Street and N Presa
 Street.
 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, 2017.