Texas 2017 - 85th 1st C.S.

Texas House Bill HB6 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85S10672 SCL-D
2	2	By: Huberty H.B. No. 6
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to municipal annexation.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Section 43.001, Local Government Code, is
10	10	amended to read as follows:
11	11	Sec. 43.001. DEFINITIONS [DEFINITION]. In this chapter:
12	12	(1) "Extraterritorial [, "extraterritorial]
13	13	jurisdiction" means extraterritorial jurisdiction as determined
14	14	under Chapter 42.
15	15	(2) "Tier 1 county" means a county with a population of
16	16	less than 500,000.
17	17	(3) "Tier 2 county" means a county with a population of
18	18	500,000 or more.
19	19	(4) "Tier 1 municipality" means a municipality wholly
20	20	located in one or more tier 1 counties that proposes to annex an
21	21	area wholly located in one or more tier 1 counties.
22	22	(5) "Tier 2 municipality" means a municipality:
23	23	(A) wholly or partly located in a tier 2 county;
24	24	or
25	25	(B) wholly located in one or more tier 1 counties
26	26	that proposes to annex an area wholly or partly located in a tier 2
27	27	county.
28	28	SECTION 2. Section 43.002, Local Government Code, is
29	29	amended by adding Subsection (e) to read as follows:
30	30	(e) Notwithstanding Subsection (c) and until the 20th
31	31	anniversary of the date of the annexation of an area that includes a
32	32	permanent retail structure, a municipality may not prohibit a
33	33	person from continuing to use the structure for the indoor seasonal
34	34	sale of retail goods if the structure:
35	35	(1) is more than 5,000 square feet; and
36	36	(2) was authorized under the laws of this state to be
37	37	used for the indoor seasonal sale of retail goods on the effective
38	38	date of the annexation.
39	39	SECTION 3. Section 43.021, Local Government Code, is
40	40	transferred to Subchapter A, Chapter 43, Local Government Code,
41	41	redesignated as Section 43.003, Local Government Code, and amended
42	42	to read as follows:
43	43	Sec. 43.003 [43.021]. AUTHORITY OF HOME-RULE MUNICIPALITY
44	44	TO ANNEX AREA AND TAKE OTHER ACTIONS REGARDING BOUNDARIES. A
45	45	home-rule municipality may take the following actions according to
46	46	rules as may be provided by the charter of the municipality and not
47	47	inconsistent with the requirements [procedural rules] prescribed
48	48	by this chapter:
49	49	(1) fix the boundaries of the municipality;
50	50	(2) extend the boundaries of the municipality and
51	51	annex area adjacent to the municipality; and
52	52	(3) exchange area with other municipalities.
53	53	SECTION 4. Chapter 43, Local Government Code, is amended by
54	54	adding Subchapter A-1 to read as follows:
55	55	SUBCHAPTER A-1. GENERAL AUTHORITY TO ANNEX
56	56	Sec. 43.011. APPLICABILITY. This subchapter applies to:
57	57	(1) a tier 1 municipality; and
58	58	(2) notwithstanding Subchapter C-4 or C-5, a tier 2
59	59	municipality.
60	60	Sec. 43.0115. AUTHORITY OF CERTAIN MUNICIPALITIES TO ANNEX
61	61	ENCLAVES. (a) This section applies only to a municipality that:
62	62	(1) is wholly or partly located in a county in which a
63	63	majority of the population of two or more municipalities, each with
64	64	a population of 300,000 or more, are located; and
65	65	(2) proposes to annex an area that:
66	66	(A) is wholly surrounded by a municipality and
67	67	within the municipality's extraterritorial jurisdiction; and
68	68	(B) has fewer than 100 dwelling units.
69	69	(b) Notwithstanding any other law, the governing body of a
70	70	municipality by ordinance may annex an area without the consent of
71	71	any of the residents of, voters of, or owners of land in the area
72	72	under the procedures prescribed by Subchapter C-1.
73	73	Sec. 43.0116. AUTHORITY OF MUNICIPALITY TO ANNEX INDUSTRIAL
74	74	DISTRICTS. Notwithstanding any other law, a municipality may annex
75	75	all or part of the area located in an industrial district designated
76	76	by the governing body of the municipality under Section 42.044
77	77	under the requirements applicable to a tier 1 municipality.
78	78	Sec. 43.0117. AUTHORITY OF MUNICIPALITY TO ANNEX AREA NEAR
79	79	MILITARY BASE. (a) In this section, "military base" means a
80	80	presently functioning federally owned or operated military
81	81	installation or facility.
82	82	(b) Notwithstanding any other law, a municipality may not
83	83	annex for full or limited purposes any part of the area located
84	84	within one-half mile of the boundaries of a military base unless the
85	85	municipality and the base authorities have entered into a
86	86	comprehensive written agreement that establishes provisions to
87	87	maintain the compatibility of the municipality's regulation of land
88	88	in the area with the military base operations following the
89	89	annexation.
90	90	SECTION 5. Section 43.026, Local Government Code, is
91	91	transferred to Subchapter A-1, Chapter 43, Local Government Code,
92	92	as added by this Act, redesignated as Section 43.012, Local
93	93	Government Code, and amended to read as follows:
94	94	Sec. 43.012 [43.026]. AUTHORITY OF TYPE A GENERAL-LAW
95	95	MUNICIPALITY TO ANNEX AREA IT OWNS. The governing body of a Type A
96	96	general-law municipality by ordinance may annex area that the
97	97	municipality owns under the procedures prescribed by Subchapter
98	98	C-1. The ordinance must describe the area by metes and bounds and
99	99	must be entered in the minutes of the governing body.
100	100	SECTION 6. Section 43.027, Local Government Code, is
101	101	transferred to Subchapter A-1, Chapter 43, Local Government Code,
102	102	as added by this Act, redesignated as Section 43.013, Local
103	103	Government Code, and amended to read as follows:
104	104	Sec. 43.013 [43.027]. AUTHORITY OF [GENERAL-LAW]
105	105	MUNICIPALITY TO ANNEX NAVIGABLE STREAM. The governing body of a
106	106	[general-law] municipality by ordinance may annex any navigable
107	107	stream adjacent to the municipality and within the municipality's
108	108	extraterritorial jurisdiction under the procedures prescribed by
109	109	Subchapter C-1.
110	110	SECTION 7. Section 43.051, Local Government Code, is
111	111	transferred to Subchapter A-1, Chapter 43, Local Government Code,
112	112	as added by this Act, and redesignated as Section 43.014, Local
113	113	Government Code, to read as follows:
114	114	Sec. 43.014 [43.051]. AUTHORITY TO ANNEX LIMITED TO
115	115	EXTRATERRITORIAL JURISDICTION. A municipality may annex area only
116	116	in its extraterritorial jurisdiction unless the municipality owns
117	117	the area.
118	118	SECTION 8. Section 43.031, Local Government Code, is
119	119	transferred to Subchapter A-1, Chapter 43, Local Government Code,
120	120	as added by this Act, and redesignated as Section 43.015, Local
121	121	Government Code, to read as follows:
122	122	Sec. 43.015 [43.031]. AUTHORITY OF ADJACENT MUNICIPALITIES
123	123	TO CHANGE BOUNDARIES BY AGREEMENT. Adjacent municipalities may
124	124	make mutually agreeable changes in their boundaries of areas that
125	125	are less than 1,000 feet in width.
126	126	SECTION 9. Section 43.035, Local Government Code, is
127	127	transferred to Subchapter A-1, Chapter 43, Local Government Code,
128	128	as added by this Act, redesignated as Section 43.016, Local
129	129	Government Code, and amended to read as follows:
130	130	Sec. 43.016 [43.035]. AUTHORITY OF MUNICIPALITY TO ANNEX
131	131	AREA QUALIFIED FOR AGRICULTURAL OR WILDLIFE MANAGEMENT USE OR AS
132	132	TIMBER LAND. (a) This section applies only to an area:
133	133	(1) eligible to be the subject of a development
134	134	agreement under Subchapter G, Chapter 212; and
135	135	(2) appraised for ad valorem tax purposes as land for
136	136	agricultural or wildlife management use under Subchapter C or D,
137	137	Chapter 23, Tax Code, or as timber land under Subchapter E of that
138	138	chapter.
139	139	(b) A municipality may not annex an area to which this
140	140	section applies unless:
141	141	(1) the municipality offers to make a development
142	142	agreement with the landowner under Section 212.172 that would:
143	143	(A) guarantee the continuation of the
144	144	extraterritorial status of the area; and
145	145	(B) authorize the enforcement of all regulations
146	146	and planning authority of the municipality that do not interfere
147	147	with the use of the area for agriculture, wildlife management, or
148	148	timber; and
149	149	(2) the landowner declines to make the agreement
150	150	described by Subdivision (1).
151	151	(c) For purposes of Section 43.003(2) [43.021(2)] or
152	152	another law, including a municipal charter or ordinance, relating
153	153	to municipal authority to annex an area adjacent to the
154	154	municipality, an area adjacent or contiguous to an area that is the
155	155	subject of a development agreement described by Subsection (b)(1)
156	156	is considered adjacent or contiguous to the municipality.
157	157	(d) A provision of a development agreement described by
158	158	Subsection (b)(1) that restricts or otherwise limits the annexation
159	159	of all or part of the area that is the subject of the agreement is
160	160	void if the landowner files any type of subdivision plat or related
161	161	development document for the area with a governmental entity that
162	162	has jurisdiction over the area, regardless of how the area is
163	163	appraised for ad valorem tax purposes.
164	164	(e) A development agreement described by Subsection (b)(1)
165	165	is not a permit for purposes of Chapter 245.
166	166	SECTION 10. Section 43.037, Local Government Code, is
167	167	transferred to Subchapter A-1, Chapter 43, Local Government Code,
168	168	as added by this Act, redesignated as Section 43.017, Local
169	169	Government Code, and amended to read as follows:
170	170	Sec. 43.017 [43.037]. PROHIBITION AGAINST ANNEXATION TO
171	171	SURROUND MUNICIPALITY IN CERTAIN COUNTIES. (a) A municipality
172	172	with a population of more than 175,000 located in a county that
173	173	contains an international border and borders the Gulf of Mexico may
174	174	not annex an area that would cause another municipality to be
175	175	entirely surrounded by the corporate limits or extraterritorial
176	176	jurisdiction of the annexing municipality.
177	177	(b) A municipality described by Subsection (a) to which
178	178	Section 42.0235 applies and a neighboring municipality may waive
179	179	Subsection (a) if the governing body of each municipality adopts,
180	180	on or after September 1, 2017, a resolution stating that this
181	181	section is waived.
182	182	SECTION 11. The heading to Subchapter B, Chapter 43, Local
183	183	Government Code, is amended to read as follows:
184	184	SUBCHAPTER B. GENERAL AUTHORITY TO ANNEX: TIER 1 MUNICIPALITIES
185	185	SECTION 12. Subchapter B, Chapter 43, Local Government
186	186	Code, is amended by adding Section 43.0205 to read as follows:
187	187	Sec. 43.0205. APPLICABILITY. This subchapter applies only
188	188	to a tier 1 municipality.
189	189	SECTION 13. The heading to Subchapter C, Chapter 43, Local
190	190	Government Code, is amended to read as follows:
191	191	SUBCHAPTER C. ANNEXATION PROCEDURE FOR AREAS ANNEXED UNDER
192	192	MUNICIPAL ANNEXATION PLAN: TIER 1 MUNICIPALITIES
193	193	SECTION 14. Subchapter C, Chapter 43, Local Government
194	194	Code, is amended by adding Section 43.0505 to read as follows:
195	195	Sec. 43.0505. APPLICABILITY. (a) Except as provided by
196	196	Subsection (b), this subchapter applies only to a tier 1
197	197	municipality.
198	198	(b) Unless otherwise specifically provided by this chapter,
199	199	this subchapter does not apply to a tier 2 municipality.
200	200	SECTION 15. Section 43.052(h), Local Government Code, is
201	201	amended to read as follows:
202	202	(h) This section does not apply to an area proposed for
203	203	annexation if:
204	204	(1) the area contains fewer than 100 separate tracts
205	205	of land on which one or more residential dwellings are located on
206	206	each tract;
207	207	(2) the area will be annexed by petition of more than
208	208	50 percent of the real property owners in the area proposed for
209	209	annexation or by vote or petition of the qualified voters or real
210	210	property owners as provided by Subchapter B;
211	211	(3) the area is or was the subject of:
212	212	(A) an industrial district contract under
213	213	Section 42.044; or
214	214	(B) a strategic partnership agreement under
215	215	Section 43.0751;
216	216	(4) the area is located in a colonia, as that term is
217	217	defined by Section 2306.581, Government Code;
218	218	(5) the area is annexed under Section 43.012, 43.013,
219	219	43.015 [43.026, 43.027], or 43.029[, or 43.031];
220	220	(6) the area is located completely within the
221	221	boundaries of a closed military installation; or
222	222	(7) the municipality determines that the annexation of
223	223	the area is necessary to protect the area proposed for annexation or
224	224	the municipality from:
225	225	(A) imminent destruction of property or injury to
226	226	persons; or
227	227	(B) a condition or use that constitutes a public
228	228	or private nuisance as defined by background principles of nuisance
229	229	and property law of this state.
230	230	SECTION 16. Section 43.054(a), Local Government Code, is
231	231	amended to read as follows:
232	232	(a) A municipality [with a population of less than 1.6
233	233	million] may not annex a publicly or privately owned area,
234	234	including a strip of area following the course of a road, highway,
235	235	river, stream, or creek, unless the width of the area at its
236	236	narrowest point is at least 1,000 feet.
237	237	SECTION 17. Sections 43.056(l) and (n), Local Government
238	238	Code, are amended to read as follows:
239	239	(l) A service plan is valid for 10 years. Renewal of the
240	240	service plan is at the discretion of the municipality. [A person
241	241	residing or owning land in an annexed area in a municipality with a
242	242	population of 1.6 million or more may enforce a service plan by
243	243	petitioning the municipality for a change in policy or procedures
244	244	to ensure compliance with the service plan. If the municipality
245	245	fails to take action with regard to the petition, the petitioner may
246	246	request arbitration of the dispute under Section 43.0565.] A
247	247	person residing or owning land in an annexed area [in a municipality
248	248	with a population of less than 1.6 million] may enforce a service
249	249	plan by applying for a writ of mandamus not later than the second
250	250	anniversary of the date the person knew or should have known that
251	251	the municipality was not complying with the service plan. If a writ
252	252	of mandamus is applied for, the municipality has the burden of
253	253	proving that the services have been provided in accordance with the
254	254	service plan in question. If a court issues a writ under this
255	255	subsection, the court:
256	256	(1) must provide the municipality the option of
257	257	disannexing the area within a reasonable period specified by the
258	258	court;
259	259	(2) may require the municipality to comply with the
260	260	service plan in question before a reasonable date specified by the
261	261	court if the municipality does not disannex the area within the
262	262	period prescribed by the court under Subdivision (1);
263	263	(3) may require the municipality to refund to the
264	264	landowners of the annexed area money collected by the municipality
265	265	from those landowners for services to the area that were not
266	266	provided;
267	267	(4) may assess a civil penalty against the
268	268	municipality, to be paid to the state in an amount as justice may
269	269	require, for the period in which the municipality is not in
270	270	compliance with the service plan;
271	271	(5) may require the parties to participate in
272	272	mediation; and
273	273	(6) may require the municipality to pay the person's
274	274	costs and reasonable attorney's fees in bringing the action for the
275	275	writ.
276	276	(n) Before the second anniversary of the date an area is
277	277	included within the corporate boundaries of a municipality by
278	278	annexation, the municipality may not:
279	279	(1) prohibit the collection of solid waste in the area
280	280	by a privately owned solid waste management service provider; or
281	281	(2) offer [impose a fee for] solid waste management
282	282	services in the area unless a privately owned solid waste
283	283	management service provider is unavailable [on a person who
284	284	continues to use the services of a privately owned solid waste
285	285	management service provider].
286	286	SECTION 18. Section 43.0562(a), Local Government Code, is
287	287	amended to read as follows:
288	288	(a) After holding the hearings as provided by Section
289	289	43.0561:
290	290	(1) [if a municipality has a population of less than
291	291	1.6 million,] the municipality and the property owners of the area
292	292	proposed for annexation shall negotiate for the provision of
293	293	services to the area after annexation or for the provision of
294	294	services to the area in lieu of annexation under Section 43.0563; or
295	295	(2) if a municipality proposes to annex a special
296	296	district, as that term is defined by Section 43.052, the
297	297	municipality and the governing body of the district shall negotiate
298	298	for the provision of services to the area after annexation or for
299	299	the provision of services to the area in lieu of annexation under
300	300	Section 43.0751.
301	301	SECTION 19. Section 43.0563(a), Local Government Code, is
302	302	amended to read as follows:
303	303	(a) The governing body of a municipality [with a population
304	304	of less than 1.6 million] may negotiate and enter into a written
305	305	agreement for the provision of services and the funding of the
306	306	services in an area with:
307	307	(1) representatives designated under Section
308	308	43.0562(b), if the area is included in the municipality's
309	309	annexation plan; or
310	310	(2) an owner of an area within the extraterritorial
311	311	jurisdiction of the municipality if the area is not included in the
312	312	municipality's annexation plan.
313	313	SECTION 20. The heading to Subchapter C-1, Chapter 43,
314	314	Local Government Code, is amended to read as follows:
315	315	SUBCHAPTER C-1. ANNEXATION PROCEDURE FOR AREAS EXEMPTED FROM
316	316	MUNICIPAL ANNEXATION PLAN: TIER 1 MUNICIPALITIES
317	317	SECTION 21. Section 43.061, Local Government Code, is
318	318	amended to read as follows:
319	319	Sec. 43.061. APPLICABILITY. (a) Except as provided by
320	320	Subsection (b), this [This] subchapter applies only to an area that
321	321	is proposed for annexation by a tier 1 municipality and that is not
322	322	required to be included in a municipal annexation plan under
323	323	Section 43.052(h) [43.052].
324	324	(b) Unless otherwise specifically provided by this chapter,
325	325	this subchapter does not apply to an area that is proposed for
326	326	annexation by a tier 2 municipality.
327	327	SECTION 22. Section 43.062(a), Local Government Code, is
328	328	amended to read as follows:
329	329	(a) Sections [43.051,] 43.054, 43.0545, 43.055, [43.0565,
330	330	43.0567,] and 43.057 apply to the annexation of an area to which
331	331	this subchapter applies.
332	332	SECTION 23. Section 43.064, Local Government Code, is
333	333	amended to read as follows:
334	334	Sec. 43.064. PERIOD FOR COMPLETION OF ANNEXATION[;
335	335	EFFECTIVE DATE]. [(a)] The annexation of an area must be completed
336	336	within 90 days after the date the governing body institutes the
337	337	annexation proceedings or those proceedings are void. Any period
338	338	during which the municipality is restrained or enjoined by a court
339	339	from annexing the area is not included in computing the 90-day
340	340	period.
341	341	[(b) Notwithstanding any provision of a municipal charter
342	342	to the contrary, the governing body of a municipality with a
343	343	population of 1.6 million or more may provide that an annexation
344	344	take effect on any date within 90 days after the date of the
345	345	adoption of the ordinance providing for the annexation.]
346	346	SECTION 24. Chapter 43, Local Government Code, is amended
347	347	by adding Subchapter C-2 to read as follows:
348	348	SUBCHAPTER C-2. GENERAL ANNEXATION AUTHORITY AND PROCEDURES: TIER
349	349	2 MUNICIPALITIES
350	350	Sec. 43.066. APPLICABILITY. This subchapter applies only
351	351	to a tier 2 municipality.
352	352	Sec. 43.0661. PROVISION OF CERTAIN SERVICES TO ANNEXED
353	353	AREA. (a) This section applies only to a municipality that
354	354	includes solid waste collection services in the list of services
355	355	that will be provided in the area proposed for annexation on or
356	356	before the second anniversary of the effective date of the
357	357	annexation of the area under a written agreement under Section
358	358	43.0672 or a resolution under Section 43.0682 or 43.0692.
359	359	(b) A municipality is not required to provide solid waste
360	360	collection services to a person who continues to use the services of
361	361	a privately owned solid waste management service provider as
362	362	provided by Subsection (c).
363	363	(c) Before the second anniversary of the effective date of
364	364	the annexation of an area, a municipality may not:
365	365	(1) prohibit the collection of solid waste in the area
366	366	by a privately owned solid waste management service provider; or
367	367	(2) offer solid waste management services in the area
368	368	unless a privately owned solid waste management service provider is
369	369	unavailable.
370	370	Sec. 43.0663. EFFECT ON OTHER LAW. Subchapters C-3 through
371	371	C-5 do not affect the procedures described by Section 397.005 or
372	372	397.006 applicable to a defense community as defined by Section
373	373	397.001.
374	374	SECTION 25. Section 43.030, Local Government Code, is
375	375	transferred to Subchapter C-2, Chapter 43, Local Government Code,
376	376	as added by this Act, redesignated as Section 43.0662, Local
377	377	Government Code, and amended to read as follows:
378	378	Sec. 43.0662 [43.030]. AUTHORITY OF MUNICIPALITY WITH
379	379	POPULATION OF 74,000 TO 99,700 IN URBAN COUNTY TO ANNEX SMALL,
380	380	SURROUNDED GENERAL-LAW MUNICIPALITY. (a) Notwithstanding
381	381	Subchapter C-4 or C-5, a [A] municipality that has a population of
382	382	74,000 to 99,700, that is located wholly or partly in a county with
383	383	a population of more than 1.8 million, and that completely
384	384	surrounds and is contiguous to a general-law municipality with a
385	385	population of less than 600, may annex the general-law municipality
386	386	as provided by this section.
387	387	(b) The governing body of the smaller municipality may adopt
388	388	an ordinance ordering an election on the question of consenting to
389	389	the annexation of the smaller municipality by the larger
390	390	municipality. The governing body of the smaller municipality shall
391	391	adopt the ordinance if it receives a petition to do so signed by a
392	392	number of qualified voters of the municipality equal to at least 10
393	393	percent of the number of voters of the municipality who voted in the
394	394	most recent general election. If the ordinance ordering the
395	395	election is to be adopted as a result of a petition, the ordinance
396	396	shall be adopted within 30 days after the date the petition is
397	397	received.
398	398	(c) The ordinance ordering the election must provide for the
399	399	submission of the question at an election to be held on the first
400	400	uniform election date prescribed by Chapter 41, Election Code, that
401	401	occurs after the 30th day after the date the ordinance is adopted
402	402	and that affords enough time to hold the election in the manner
403	403	required by law.
404	404	(d) Within 10 days after the date on which the election is
405	405	held, the governing body of the smaller municipality shall canvass
406	406	the election returns and by resolution shall declare the results of
407	407	the election. If a majority of the votes received is in favor of the
408	408	annexation, the secretary of the smaller municipality or other
409	409	appropriate municipal official shall forward by certified mail to
410	410	the secretary of the larger municipality a certified copy of the
411	411	resolution.
412	412	(e) The larger municipality, within 90 days after the date
413	413	the resolution is received, must complete the annexation by
414	414	ordinance in accordance with its municipal charter or the general
415	415	laws of the state. If the annexation is not completed within the
416	416	90-day period, any annexation proceeding is void and the larger
417	417	municipality may not annex the smaller municipality under this
418	418	section. However, the failure to complete the annexation as
419	419	provided by this subsection does not prevent the smaller
420	420	municipality from holding a new election on the question to enable
421	421	the larger municipality to annex the smaller municipality as
422	422	provided by this section.
423	423	(f) If the larger municipality completes the annexation
424	424	within the prescribed period, the incorporation of the smaller
425	425	municipality is abolished. The records, public property, public
426	426	buildings, money on hand, credit accounts, and other assets of the
427	427	smaller municipality become the property of the larger municipality
428	428	and shall be turned over to the officers of that municipality. The
429	429	offices in the smaller municipality are abolished and the persons
430	430	holding those offices are not entitled to further remuneration or
431	431	compensation. All outstanding liabilities of the smaller
432	432	municipality are assumed by the larger municipality.
433	433	(g) In the annexation ordinance, the larger municipality
434	434	shall adopt, for application in the area zoned by the smaller
435	435	municipality, the identical comprehensive zoning ordinance that
436	436	the smaller municipality applied to the area at the time of the
437	437	election. Any attempted annexation of the smaller municipality
438	438	that does not include the adoption of that comprehensive zoning
439	439	ordinance is void. That comprehensive zoning ordinance may not be
440	440	repealed or amended for a period of 10 years unless the written
441	441	consent of the landowners who own at least two-thirds of the surface
442	442	land of the annexed smaller municipality is obtained.
443	443	(h) If the annexed smaller municipality has on hand any bond
444	444	funds for public improvements that are not appropriated or
445	445	contracted for, the funds shall be kept in a separate special fund
446	446	to be used only for public improvements in the area for which the
447	447	bonds were voted.
448	448	(i) On the annexation, all claims, fines, debts, or taxes
449	449	due and payable to the smaller municipality become due and payable
450	450	to the larger municipality and shall be collected by it. If taxes
451	451	for the year in which the annexation occurs have been assessed in
452	452	the smaller municipality before the annexation, the amounts
453	453	assessed remain as the amounts due and payable from the inhabitants
454	454	of the smaller municipality for that year.
455	455	(j) This section does not affect a charter provision of a
456	456	home-rule municipality. This section grants additional power to
457	457	the municipality and is cumulative of the municipal charter.
458	458	SECTION 26. Chapter 43, Local Government Code, is amended
459	459	by adding Subchapters C-3, C-4, and C-5 to read as follows:
460	460	SUBCHAPTER C-3. ANNEXATION OF AREA ON REQUEST OF OWNERS: TIER 2
461	461	MUNICIPALITIES
462	462	Sec. 43.067. APPLICABILITY. This subchapter applies only
463	463	to a tier 2 municipality.
464	464	Sec. 43.0671. AUTHORITY TO ANNEX AREA ON REQUEST OF OWNERS.
465	465	Notwithstanding Subchapter C-4 or C-5, a municipality may annex an
466	466	area if each owner of land in the area requests the annexation.
467	467	Sec. 43.0672. WRITTEN AGREEMENT REGARDING SERVICES. (a)
468	468	The governing body of the municipality that elects to annex an area
469	469	under this subchapter must first negotiate and enter into a written
470	470	agreement with the owners of land in the area for the provision of
471	471	services in the area.
472	472	(b) The agreement must include:
473	473	(1) a list of each service the municipality will
474	474	provide on the effective date of the annexation; and
475	475	(2) a schedule that includes the period within which
476	476	the municipality will provide each service that is not provided on
477	477	the effective date of the annexation.
478	478	(c) The municipality is not required to provide a service
479	479	that is not included in the agreement.
480	480	Sec. 43.0673. PUBLIC HEARINGS. (a) Before a municipality
481	481	may adopt an ordinance annexing an area under this section, the
482	482	governing body of the municipality must conduct at least two public
483	483	hearings.
484	484	(b) The hearings must be conducted not less than 10 business
485	485	days apart.
486	486	(c) During the first public hearing, the governing body must
487	487	provide persons interested in the annexation the opportunity to be
488	488	heard. During the final public hearing, the governing body may
489	489	adopt an ordinance annexing the area.
490	490	(d) The municipality must post notice of the hearings on the
491	491	municipality's Internet website if the municipality has an Internet
492	492	website and publish notice of the hearings in a newspaper of general
493	493	circulation in the municipality and in the area proposed for
494	494	annexation. The notice for each hearing must be published at least
495	495	once on or after the 20th day but before the 10th day before the date
496	496	of the hearing. The notice for each hearing must be posted on the
497	497	municipality's Internet website on or after the 20th day but before
498	498	the 10th day before the date of the hearing and must remain posted
499	499	until the date of the hearing.
500	500	SUBCHAPTER C-4. ANNEXATION OF AREAS WITH POPULATION OF LESS THAN
501	501	200: TIER 2 MUNICIPALITIES
502	502	Sec. 43.068. APPLICABILITY. This subchapter applies only
503	503	to a tier 2 municipality.
504	504	Sec. 43.0681. AUTHORITY TO ANNEX. A municipality may annex
505	505	an area with a population of less than 200 only if the municipality
506	506	obtains consent to annex the area through a petition signed by more
507	507	than 50 percent of the registered voters of the area.
508	508	Sec. 43.0682. RESOLUTION. The governing body of the
509	509	municipality that proposes to annex an area under this subchapter
510	510	must adopt a resolution that includes:
511	511	(1) a statement of the municipality's intent to annex
512	512	the area;
513	513	(2) a detailed description and map of the area;
514	514	(3) a description of each service to be provided by the
515	515	municipality in the area on or after the effective date of the
516	516	annexation, including, as applicable:
517	517	(A) police protection;
518	518	(B) fire protection;
519	519	(C) emergency medical services;
520	520	(D) solid waste collection;
521	521	(E) operation and maintenance of water and
522	522	wastewater facilities in the annexed area;
523	523	(F) operation and maintenance of roads and
524	524	streets, including road and street lighting;
525	525	(G) operation and maintenance of parks,
526	526	playgrounds, and swimming pools; and
527	527	(H) operation and maintenance of any other
528	528	publicly owned facility, building, or service;
529	529	(4) a list of each service the municipality will
530	530	provide on the effective date of the annexation; and
531	531	(5) a schedule that includes the period within which
532	532	the municipality will provide each service that is not provided on
533	533	the effective date of the annexation.
534	534	Sec. 43.0683. NOTICE OF PROPOSED ANNEXATION. Not later
535	535	than the seventh day after the date the governing body of the
536	536	municipality adopts the resolution under Section 43.0682, the
537	537	municipality must mail to each resident in the area proposed to be
538	538	annexed notification of the proposed annexation that includes:
539	539	(1) notice of the public hearing required by Section
540	540	43.0684;
541	541	(2) an explanation of the 180-day petition period
542	542	described by Section 43.0685; and
543	543	(3) a description, list, and schedule of services to
544	544	be provided by the municipality in the area on or after annexation
545	545	as provided by Section 43.0682.
546	546	Sec. 43.0684. PUBLIC HEARING. The governing body of a
547	547	municipality must conduct at least one public hearing not earlier
548	548	than the 21st day and not later than the 30th day after the date the
549	549	governing body adopts the resolution under Section 43.0682.
550	550	Sec. 43.0685. PETITION. (a) The petition required by
551	551	Section 43.0681 may be signed only by a registered voter of the area
552	552	proposed to be annexed.
553	553	(b) The municipality may collect signatures on the petition
554	554	only during the period beginning on the 31st day after the date the
555	555	governing body of the municipality adopts the resolution under
556	556	Section 43.0682 and ending on the 180th day after the date the
557	557	resolution is adopted.
558	558	(c) The petition must clearly state that a person signing
559	559	the petition is consenting to the proposed annexation.
560	560	(d) The petition must include a map of and describe the area
561	561	proposed to be annexed.
562	562	(e) Signatures collected on the petition must be in writing.
563	563	(f) Chapter 277, Election Code, applies to a petition under
564	564	this section.
565	565	Sec. 43.0686. RESULTS OF PETITION. (a) When the petition
566	566	period prescribed by Section 43.0685 ends, the petition shall be
567	567	verified by the municipal secretary or other person responsible for
568	568	verifying signatures. The municipality must notify the residents
569	569	of the area proposed to be annexed of the results of the petition.
570	570	(b) If the municipality does not obtain the number of
571	571	signatures on the petition required to annex the area, the
572	572	municipality may not annex the area and may not adopt another
573	573	resolution under Section 43.0682 to annex the area until the first
574	574	anniversary of the date the petition period ended.
575	575	(c) If the municipality obtains the number of signatures on
576	576	the petition required to annex the area, the municipality may annex
577	577	the area after:
578	578	(1) providing notice under Subsection (a);
579	579	(2) holding a public hearing at which members of the
580	580	public are given an opportunity to be heard; and
581	581	(3) holding a final public hearing not earlier than
582	582	the 10th day after the date of the public hearing under Subdivision
583	583	(2) at which the ordinance annexing the area may be adopted.
584	584	Sec. 43.0687. VOTER APPROVAL BY MUNICIPAL RESIDENTS ON
585	585	PETITION. If a petition protesting the annexation of an area under
586	586	this subchapter is signed by a number of registered voters of the
587	587	municipality proposing the annexation equal to at least 50 percent
588	588	of the number of voters who voted in the most recent municipal
589	589	election and is received by the secretary of the municipality
590	590	before the date the petition period prescribed by Section 43.0685
591	591	ends, the municipality may not complete the annexation of the area
592	592	without approval of a majority of the voters of the municipality
593	593	voting at an election called and held for that purpose.
594	594	Sec. 43.0688. RETALIATION FOR ANNEXATION DISAPPROVAL
595	595	PROHIBITED. (a) The disapproval of the proposed annexation of an
596	596	area under this subchapter does not affect any existing legal
597	597	obligation of the municipality proposing the annexation to continue
598	598	to provide governmental services in the area, including water or
599	599	wastewater services.
600	600	(b) The municipality may not initiate a rate proceeding
601	601	solely because of the disapproval of a proposed annexation of an
602	602	area under this subchapter.
603	603	SUBCHAPTER C-5. ANNEXATION OF AREAS WITH POPULATION OF AT LEAST
604	604	200: TIER 2 MUNICIPALITIES
605	605	Sec. 43.069. APPLICABILITY. This subchapter applies only
606	606	to a tier 2 municipality.
607	607	Sec. 43.0691. AUTHORITY TO ANNEX. A municipality may annex
608	608	an area with a population of 200 or more only if the following
609	609	conditions are met, as applicable:
610	610	(1) the municipality holds an election in the area
611	611	proposed to be annexed at which the qualified voters of the area may
612	612	vote on the question of the annexation and a majority of the votes
613	613	received at the election approve the annexation; and
614	614	(2) if the registered voters of the area do not own
615	615	more than 50 percent of the land in the area, the municipality
616	616	obtains consent to annex the area through a petition signed by more
617	617	than 50 percent of the owners of land in the area.
618	618	Sec. 43.0692. RESOLUTION. The governing body of the
619	619	municipality that proposes to annex an area under this subchapter
620	620	must adopt a resolution that includes:
621	621	(1) a statement of the municipality's intent to annex
622	622	the area;
623	623	(2) a detailed description and map of the area;
624	624	(3) a description of each service to be provided by the
625	625	municipality in the area on or after the effective date of the
626	626	annexation, including, as applicable:
627	627	(A) police protection;
628	628	(B) fire protection;
629	629	(C) emergency medical services;
630	630	(D) solid waste collection;
631	631	(E) operation and maintenance of water and
632	632	wastewater facilities in the annexed area;
633	633	(F) operation and maintenance of roads and
634	634	streets, including road and street lighting;
635	635	(G) operation and maintenance of parks,
636	636	playgrounds, and swimming pools; and
637	637	(H) operation and maintenance of any other
638	638	publicly owned facility, building, or service;
639	639	(4) a list of each service the municipality will
640	640	provide on the effective date of the annexation; and
641	641	(5) a schedule that includes the period within which
642	642	the municipality will provide each service that is not provided on
643	643	the effective date of the annexation.
644	644	Sec. 43.0693. NOTICE OF PROPOSED ANNEXATION. Not later
645	645	than the seventh day after the date the governing body of the
646	646	municipality adopts the resolution under Section 43.0692, the
647	647	municipality must mail to each property owner in the area proposed
648	648	to be annexed notification of the proposed annexation that
649	649	includes:
650	650	(1) notice of the public hearings required by Section
651	651	43.0694;
652	652	(2) notice that an election on the question of
653	653	annexing the area will be held; and
654	654	(3) a description, list, and schedule of services to
655	655	be provided by the municipality in the area on or after annexation
656	656	as provided by Section 43.0692.
657	657	Sec. 43.0694. PUBLIC HEARINGS. (a) The governing body of a
658	658	municipality must conduct an initial public hearing not earlier
659	659	than the 21st day and not later than the 30th day after the date the
660	660	governing body adopts the resolution under Section 43.0692.
661	661	(b) The governing body must conduct at least one additional
662	662	public hearing not earlier than the 31st day and not later than the
663	663	90th day after the date the governing body adopts a resolution under
664	664	Section 43.0692.
665	665	Sec. 43.0695. PROPERTY OWNER CONSENT REQUIRED FOR CERTAIN
666	666	AREAS. (a) If the registered voters in the area proposed to be
667	667	annexed do not own more than 50 percent of the land in the area, the
668	668	municipality must obtain consent to the annexation through a
669	669	petition signed by more than 50 percent of the owners of land in the
670	670	area in addition to the election required by this subchapter.
671	671	(b) The municipality must obtain the consent required by
672	672	this section through the petition process prescribed by Section
673	673	43.0685, and the petition must be verified in the manner provided by
674	674	Section 43.0686(a).
675	675	(c) Notwithstanding Section 43.0685(e), the municipality
676	676	may provide for an owner of land in the area that is not a resident
677	677	of the area to sign the petition electronically.
678	678	Sec. 43.0696. ELECTION. (a) A municipality shall order an
679	679	election on the question of annexing an area to be held on the first
680	680	uniform election date that falls on or after:
681	681	(1) the 90th day after the date the governing body of
682	682	the municipality adopts the resolution under Section 43.0692; or
683	683	(2) if the consent of the owners of land in the area is
684	684	required under Section 43.0695, the 78th day after the date the
685	685	petition period to obtain that consent ends.
686	686	(b) An election under this section shall be held in the same
687	687	manner as general elections of the municipality. The municipality
688	688	shall pay for the costs of holding the election.
689	689	(c) A municipality that holds an election under this section
690	690	may not hold another election on the question of annexation before
691	691	the corresponding uniform election date of the following year.
692	692	Sec. 43.0697. RESULTS OF ELECTION AND PETITION. (a)
693	693	Following an election held under this subchapter, the municipality
694	694	must notify the residents of the area proposed to be annexed of the
695	695	results of the election and, if applicable, of the petition
696	696	required by Section 43.0695.
697	697	(b) If at the election held under this subchapter a majority
698	698	of qualified voters do not approve the proposed annexation, or if
699	699	the municipality is required to petition owners of land in the area
700	700	under Section 43.0695 and does not obtain the required number of
701	701	signatures, the municipality may not annex the area and may not
702	702	adopt another resolution under Section 43.0692 to annex the area
703	703	until the first anniversary of the date of the adoption of the
704	704	resolution.
705	705	(c) If at the election held under this subchapter a majority
706	706	of qualified voters approve the proposed annexation, and if the
707	707	municipality, as applicable, obtains the required number of
708	708	petition signatures under Section 43.0695, the municipality may
709	709	annex the area after:
710	710	(1) providing notice under Subsection (a);
711	711	(2) holding a public hearing at which members of the
712	712	public are given an opportunity to be heard; and
713	713	(3) holding a final public hearing not earlier than
714	714	the 10th day after the date of the public hearing under Subdivision
715	715	(2) at which the ordinance annexing the area may be adopted.
716	716	Sec. 43.0698. VOTER APPROVAL BY MUNICIPAL RESIDENTS ON
717	717	PETITION. If a petition protesting the annexation of an area under
718	718	this subchapter is signed by a number of registered voters of the
719	719	municipality proposing the annexation equal to at least 50 percent
720	720	of the number of voters who voted in the most recent municipal
721	721	election and is received by the secretary of the municipality
722	722	before the date the election required by this subchapter is held,
723	723	the municipality may not complete the annexation of the area
724	724	without approval of a majority of the voters of the municipality
725	725	voting at a separate election called and held for that purpose.
726	726	Sec. 43.0699. RETALIATION FOR ANNEXATION DISAPPROVAL
727	727	PROHIBITED. (a) The disapproval of the proposed annexation of an
728	728	area under this subchapter does not affect any existing legal
729	729	obligation of the municipality proposing the annexation to continue
730	730	to provide governmental services in the area, including water or
731	731	wastewater services.
732	732	(b) The municipality may not initiate a rate proceeding
733	733	solely because of the disapproval of a proposed annexation of an
734	734	area under this subchapter.
735	735	SECTION 27. Sections 43.0715(b) and (c), Local Government
736	736	Code, are amended to read as follows:
737	737	(b) If a municipality with a population of less than 1.5
738	738	million annexes a special district for full or limited purposes and
739	739	the annexation precludes or impairs the ability of the district to
740	740	issue bonds, the municipality shall, prior to the effective date of
741	741	the annexation, pay in cash to the landowner or developer of the
742	742	district a sum equal to all actual costs and expenses incurred by
743	743	the landowner or developer in connection with the district that the
744	744	district has, in writing, agreed to pay and that would otherwise
745	745	have been eligible for reimbursement from bond proceeds under the
746	746	rules and requirements of the Texas [Natural Resource Conservation]
747	747	Commission on Environmental Quality as such rules and requirements
748	748	exist on the date of annexation. [For an annexation that is subject
749	749	to preclearance by a federal authority, a payment will be
750	750	considered timely if the municipality: (i) escrows the
751	751	reimbursable amounts determined in accordance with Subsection (c)
752	752	prior to the effective date of the annexation; and (ii)
753	753	subsequently causes the escrowed funds and accrued interest to be
754	754	disbursed to the developer within five business days after the
755	755	municipality receives notice of the preclearance.]
756	756	(c) At the time notice of the municipality's intent to annex
757	757	the land within the district is first given [published] in
758	758	accordance with Section 43.052, 43.0683, or 43.0693, as applicable,
759	759	the municipality shall proceed to initiate and complete a report
760	760	for each developer conducted in accordance with the format approved
761	761	by the Texas [Natural Resource Conservation] Commission on
762	762	Environmental Quality for audits. In the event the municipality is
763	763	unable to complete the report prior to the effective date of the
764	764	annexation as a result of the developer's failure to provide
765	765	information to the municipality which cannot be obtained from other
766	766	sources, the municipality shall obtain from the district the
767	767	estimated costs of each project previously undertaken by a
768	768	developer which are eligible for reimbursement. The amount of such
769	769	costs, as estimated by the district, shall be escrowed by the
770	770	municipality for the benefit of the persons entitled to receive
771	771	payment in an insured interest-bearing account with a financial
772	772	institution authorized to do business in the state. To compensate
773	773	the developer for the municipality's use of the infrastructure
774	774	facilities pending the determination of the reimbursement amount
775	775	[or federal preclearance], all interest accrued on the escrowed
776	776	funds shall be paid to the developer whether or not the annexation
777	777	is valid. Upon placement of the funds in the escrow account, the
778	778	annexation may become effective. In the event a municipality
779	779	timely escrows all estimated reimbursable amounts as required by
780	780	this subsection and all such amounts, determined to be owed,
781	781	including interest, are subsequently disbursed to the developer
782	782	within five days of final determination in immediately available
783	783	funds as required by this section, no penalties or interest shall
784	784	accrue during the pendency of the escrow. Either the municipality
785	785	or developer may, by written notice to the other party, require
786	786	disputes regarding the amount owed under this section to be subject
787	787	to nonbinding arbitration in accordance with the rules of the
788	788	American Arbitration Association.
789	789	SECTION 28. Section 43.0751, Local Government Code, is
790	790	amended by amending Subsection (h) and adding Subsections (s) and
791	791	(t) to read as follows:
792	792	(h) On the full-purpose annexation conversion date set
793	793	forth in the strategic partnership agreement pursuant to Subsection
794	794	(f)(5) [(f)(5)(A)], the land included within the boundaries of the
795	795	district shall be deemed to be within the full-purpose boundary
796	796	limits of the municipality without the need for further action by
797	797	the governing body of the municipality. The full-purpose
798	798	annexation conversion date established by a strategic partnership
799	799	agreement may be altered only by mutual agreement of the district
800	800	and the municipality. However, nothing herein shall prevent the
801	801	municipality from terminating the agreement and instituting
802	802	proceedings to annex the district, on request by the governing body
803	803	of the district, on any date prior to the full-purpose annexation
804	804	conversion date established by the strategic partnership agreement
805	805	under the procedures applicable to a tier 1 municipality. Land
806	806	annexed for limited or full purposes under this section shall not be
807	807	included in calculations prescribed by Section 43.055(a).
808	808	(s) Notwithstanding any other law and except as provided by
809	809	Subsection (t), the procedures prescribed by Subchapters C-3, C-4,
810	810	and C-5 do not apply to the annexation of an area under this
811	811	section. Except as provided by Subsections (h) and (t), a
812	812	municipality shall follow the procedures established under the
813	813	strategic partnership agreement for full-purpose annexation of an
814	814	area under this section.
815	815	(t) Notwithstanding the provisions of this section, a
816	816	municipality subject to this subsection must annex an area
817	817	described by Subdivision (4)(B) in compliance with Subchapter C-3,
818	818	C-4, or C-5. This subsection applies only to a municipality that:
819	819	(1) has a population of less than 850,000;
820	820	(2) is served by a municipally owned electric utility
821	821	with 400,000 or more customers;
822	822	(3) is wholly or partly located in a tier 2 county; and
823	823	(4) is subject to a strategic partnership agreement:
824	824	(A) executed on or after September 1, 2009; and
825	825	(B) for which an area proposed for annexation
826	826	will be annexed before January 1, 2021.
827	827	SECTION 29. The heading to Section 43.101, Local Government
828	828	Code, is amended to read as follows:
829	829	Sec. 43.101. ANNEXATION OF MUNICIPALLY OWNED RESERVOIR [BY
830	830	GENERAL-LAW MUNICIPALITY].
831	831	SECTION 30. Section 43.101(c), Local Government Code, is
832	832	amended to read as follows:
833	833	(c) The area may be annexed without the consent of any [the]
834	834	owners or residents of the area under the procedures applicable to a
835	835	tier 1 municipality by:
836	836	(1) a tier 1 municipality; and
837	837	(2) if there are no owners other than the municipality
838	838	or residents of the area, a tier 2 municipality.
839	839	SECTION 31. Section 43.102(c), Local Government Code, is
840	840	amended to read as follows:
841	841	(c) The area may be annexed without the consent of any [the]
842	842	owners or residents of the area under the procedures applicable to a
843	843	tier 1 municipality by:
844	844	(1) a tier 1 municipality; and
845	845	(2) if there are no owners other than the municipality
846	846	or residents of the area, a tier 2 municipality.
847	847	SECTION 32. Section 43.1025(c), Local Government Code, is
848	848	amended to read as follows:
849	849	(c) The area described by Subsection (b) may be annexed
850	850	under the requirements applicable to a tier 2 municipality [without
851	851	the consent of the owners or residents of the area], but the
852	852	annexation may not occur unless each municipality in whose
853	853	extraterritorial jurisdiction the area may be located:
854	854	(1) consents to the annexation; and
855	855	(2) reduces its extraterritorial jurisdiction over
856	856	the area as provided by Section 42.023.
857	857	SECTION 33. The heading to Section 43.103, Local Government
858	858	Code, is amended to read as follows:
859	859	Sec. 43.103. ANNEXATION OF STREETS, HIGHWAYS, AND OTHER
860	860	WAYS BY GENERAL-LAW TIER 1 MUNICIPALITIES [MUNICIPALITY].
861	861	SECTION 34. Section 43.103(a), Local Government Code, is
862	862	amended to read as follows:
863	863	(a) A general-law tier 1 municipality with a population of
864	864	500 or more may annex, by ordinance and without the consent of any
865	865	person, the part of a street, highway, alley, or other public or
866	866	private way, including a railway line, spur, or roadbed, that is
867	867	adjacent and runs parallel to the boundaries of the municipality.
868	868	SECTION 35. Section 43.105, Local Government Code, is
869	869	amended by amending Subsection (a) and adding Subsection (a-1) to
870	870	read as follows:
871	871	(a) This section applies only to:
872	872	(1) a [A] general-law tier 1 municipality that:
873	873	(A) has a population of 1,066-1,067;
874	874	(B) [and] is located in a county with a
875	875	population of 85,000 or more; and
876	876	(C) [that] is not adjacent to a county with a
877	877	population of 2 million or more;[,] or
878	878	(2) a general-law tier 1 municipality that has a
879	879	population of 6,000-6,025.
880	880	(a-1) Subject to Section 43.1055, a municipality described
881	881	by Subsection (a) may annex, by ordinance and without the consent of
882	882	any person, a public street, highway, road, or alley adjacent to the
883	883	municipality.
884	884	SECTION 36. Subchapter E, Chapter 43, Local Government
885	885	Code, is amended by adding Section 43.1055 to read as follows:
886	886	Sec. 43.1055. ANNEXATION OF ROADS AND RIGHTS-OF-WAY IN
887	887	CERTAIN LARGE COUNTIES. Notwithstanding any other law, a tier 2
888	888	municipality may by ordinance annex a road or the right-of-way of a
889	889	road on request of the owner of the road or right-of-way or the
890	890	governing body of the political subdivision that maintains the road
891	891	or right-of-way under the procedures applicable to a tier 1
892	892	municipality.
893	893	SECTION 37. Sections 43.121(a) and (c), Local Government
894	894	Code, are amended to read as follows:
895	895	(a) Subject to Section 43.1211, the [The] governing body of
896	896	a home-rule municipality with more than 225,000 inhabitants by
897	897	ordinance may annex an area for the limited purposes of applying its
898	898	planning, zoning, health, and safety ordinances in the area.
899	899	(c) The provisions of this subchapter, other than Sections
900	900	43.1211 and [Section] 43.136, do not affect the authority of a
901	901	municipality to annex an area for limited purposes under Section
902	902	43.136 or any other statute granting the authority to annex for
903	903	limited purposes.
904	904	SECTION 38. Subchapter F, Chapter 43, Local Government
905	905	Code, is amended by adding Section 43.1211 to read as follows:
906	906	Sec. 43.1211. AUTHORITY OF CERTAIN TIER 2 MUNICIPALITIES TO
907	907	ANNEX FOR LIMITED PURPOSES. Except as provided by Section 43.0751,
908	908	beginning December 1, 2017, a tier 2 municipality described by
909	909	Section 43.121(a) may annex an area for the limited purposes of
910	910	applying its planning, zoning, health, and safety ordinances in the
911	911	area using the procedures under Subchapter C-3, C-4, or C-5, as
912	912	applicable.
913	913	SECTION 39. Sections 43.141(a) and (b), Local Government
914	914	Code, are amended to read as follows:
915	915	(a) A majority of the qualified voters of an annexed area
916	916	may petition the governing body of the municipality to disannex the
917	917	area if the municipality fails or refuses to provide services or to
918	918	cause services to be provided to the area:
919	919	(1) if the municipality is a tier 1 municipality,
920	920	within the period specified by Section 43.056 or by the service plan
921	921	prepared for the area under that section; or
922	922	(2) if the municipality is a tier 2 municipality,
923	923	within the period specified by the written agreement under Section
924	924	43.0672 or the resolution under Section 43.0682 or 43.0692, as
925	925	applicable.
926	926	(b) If the governing body fails or refuses to disannex the
927	927	area within 60 days after the date of the receipt of the petition,
928	928	any one or more of the signers of the petition may bring a cause of
929	929	action in a district court of the county in which the area is
930	930	principally located to request that the area be disannexed. On the
931	931	filing of an answer by the governing body, and on application of
932	932	either party, the case shall be advanced and heard without further
933	933	delay in accordance with the Texas Rules of Civil Procedure. The
934	934	district court shall enter an order disannexing the area if the
935	935	court finds that a valid petition was filed with the municipality
936	936	and that the municipality failed to:
937	937	(1) perform its obligations in accordance with:
938	938	(A) the service plan under Section 43.056;
939	939	(B) the written agreement entered into under
940	940	Section 43.0672; or
941	941	(C) the resolution adopted under Section 43.0682
942	942	or 43.0692, as applicable; or
943	943	(2) [failed to] perform in good faith.
944	944	SECTION 40. Sections 43.203(a) and (b), Local Government
945	945	Code, are amended to read as follows:
946	946	(a) Notwithstanding any other law, the [The] governing body
947	947	of a district by resolution may petition a municipality to alter the
948	948	annexation status of land in the district from full-purpose
949	949	annexation to limited-purpose annexation.
950	950	(b) On receipt of the district's petition, the governing
951	951	body of the municipality shall enter into negotiations with the
952	952	district for an agreement to alter the status of annexation that
953	953	must:
954	954	(1) specify the period, which may not be less than 10
955	955	years beginning on January 1 of the year following the date of the
956	956	agreement, in which limited-purpose annexation is in effect;
957	957	(2) provide that, at the expiration of the period, the
958	958	district's annexation status will automatically revert to
959	959	full-purpose annexation without following procedures provided by
960	960	Sections 43.014 and 43.052 [43.051] through 43.055 or any other
961	961	procedural requirement for annexation not in effect on January 1,
962	962	1995; and
963	963	(3) specify the financial obligations of the district
964	964	during and after the period of limited-purpose annexation for:
965	965	(A) facilities constructed by the municipality
966	966	that are in or that serve the district;
967	967	(B) debt incurred by the district for water and
968	968	sewer infrastructure that will be assumed by the municipality at
969	969	the end of the period of limited-purpose annexation; and
970	970	(C) use of the municipal sales taxes collected by
971	971	the municipality for facilities or services in the district.
972	972	SECTION 41. Section 43.905(a), Local Government Code, is
973	973	amended to read as follows:
974	974	(a) A municipality that proposes to annex an area shall
975	975	provide written notice of the proposed annexation to each public
976	976	school district located in the area proposed for annexation within
977	977	the period prescribed for providing [publishing] the notice of the
978	978	first hearing under Section 43.0561, [or] 43.063, 43.0673, 43.0683,
979	979	or 43.0693, as applicable.
980	980	SECTION 42. Subchapter Z, Chapter 43, Local Government
981	981	Code, is amended by adding Section 43.9051 to read as follows:
982	982	Sec. 43.9051. EFFECT OF ANNEXATION ON PUBLIC ENTITIES OR
983	983	POLITICAL SUBDIVISIONS. (a) In this section, "public entity"
984	984	includes a county, fire protection service provider, including a
985	985	volunteer fire department, emergency medical services provider,
986	986	including a volunteer emergency medical services provider, or
987	987	special district, as that term is defined by Section 43.052.
988	988	(b) A municipality that proposes to annex an area shall
989	989	provide written notice of the proposed annexation within the period
990	990	prescribed for providing the notice of the first hearing under
991	991	Section 43.0561, 43.063, 43.0673, 43.0683, or 43.0693, as
992	992	applicable, to each public entity that is located in or provides
993	993	services to the area proposed for annexation.
994	994	(c) A municipality that proposes to enter into a strategic
995	995	partnership agreement under Section 43.0751 shall provide written
996	996	notice of the proposed agreement within the period prescribed for
997	997	providing the notice of the first hearing under Section 43.0751 to
998	998	each political subdivision that is located in or provides services
999	999	to the area subject to the proposed agreement.
1000	1000	(d) A notice to a public entity or political subdivision
1001	1001	shall contain a description of:
1002	1002	(1) the area proposed for annexation;
1003	1003	(2) any financial impact on the public entity or
1004	1004	political subdivision resulting from the annexation, including any
1005	1005	changes in the public entity's or political subdivision's revenues
1006	1006	or maintenance and operation costs; and
1007	1007	(3) any proposal the municipality has to abate,
1008	1008	reduce, or limit any financial impact on the public entity or
1009	1009	political subdivision.
1010	1010	(e) The municipality may not proceed with the annexation
1011	1011	unless the municipality provides the required notice under this
1012	1012	section.
1013	1013	SECTION 43. Section 8395.151, Special District Local Laws
1014	1014	Code, is amended to read as follows:
1015	1015	Sec. 8395.151. ANNEXATION BY MUNICIPALITY. (a) The
1016	1016	governing body of a [A] municipality that plans to [may] annex all
1017	1017	or part of the district first must adopt a resolution of intention
1018	1018	to annex all or part of the district and transmit that resolution to
1019	1019	the district and the following districts:
1020	1020	(1) Travis County Municipal Utility District No. 4;
1021	1021	(2) Travis County Municipal Utility District No. 5;
1022	1022	(3) Travis County Municipal Utility District No. 6;
1023	1023	(4) Travis County Municipal Utility District No. 7;
1024	1024	(5) Travis County Municipal Utility District No. 8;
1025	1025	(6) Travis County Municipal Utility District No. 9;
1026	1026	and
1027	1027	(7) Travis County Water Control and Improvement
1028	1028	District No. 19.
1029	1029	(b) On receipt of a resolution described by Subsection (a),
1030	1030	the district and each of the districts listed in Subsection (a)
1031	1031	shall call an election to be held on the next uniform election date
1032	1032	on the question of whether the annexation should be authorized.
1033	1033	(c) The municipality may annex the territory described by
1034	1034	the resolution only if a majority of the total number of voters
1035	1035	voting in all of the districts' elections vote in favor of
1036	1036	authorizing the annexation.
1037	1037	(d) The municipality seeking annexation shall pay the costs
1038	1038	of the elections held under this section [on the earlier of:
1039	1039	[(1) the installation of 90 percent of all works,
1040	1040	improvements, facilities, plants, equipment, and appliances
1041	1041	necessary and adequate to:
1042	1042	[(A) provide service to the proposed development
1043	1043	within the district;
1044	1044	[(B) accomplish the purposes for which the
1045	1045	district was created; and
1046	1046	[(C) exercise the powers provided by general law
1047	1047	and this chapter; or
1048	1048	[(2) the 20th anniversary of the date the district was
1049	1049	confirmed].
1050	1050	SECTION 44. Section 8396.151, Special District Local Laws
1051	1051	Code, is amended to read as follows:
1052	1052	Sec. 8396.151. ANNEXATION BY MUNICIPALITY. (a) The
1053	1053	governing body of a [A] municipality that plans to [may] annex all
1054	1054	or part of the district first must adopt a resolution of intention
1055	1055	to annex all or part of the district and transmit that resolution to
1056	1056	the district and the following districts:
1057	1057	(1) Travis County Municipal Utility District No. 3;
1058	1058	(2) Travis County Municipal Utility District No. 5;
1059	1059	(3) Travis County Municipal Utility District No. 6;
1060	1060	(4) Travis County Municipal Utility District No. 7;
1061	1061	(5) Travis County Municipal Utility District No. 8;
1062	1062	(6) Travis County Municipal Utility District No. 9;
1063	1063	and
1064	1064	(7) Travis County Water Control and Improvement
1065	1065	District No. 19.
1066	1066	(b) On receipt of a resolution described by Subsection (a),
1067	1067	the district and each of the districts listed in Subsection (a)
1068	1068	shall call an election to be held on the next uniform election date
1069	1069	on the question of whether the annexation should be authorized.
1070	1070	(c) The municipality may annex the territory described in
1071	1071	the resolution only if a majority of the total number of voters
1072	1072	voting in all of the districts' elections vote in favor of
1073	1073	authorizing the annexation.
1074	1074	(d) The municipality seeking annexation shall pay the costs
1075	1075	of the elections held under this section [on the earlier of:
1076	1076	[(1) the installation of 90 percent of all works,
1077	1077	improvements, facilities, plants, equipment, and appliances
1078	1078	necessary and adequate to:
1079	1079	[(A) provide service to the proposed development
1080	1080	within the district;
1081	1081	[(B) accomplish the purposes for which the
1082	1082	district was created; and
1083	1083	[(C) exercise the powers provided by general law
1084	1084	and this chapter; or
1085	1085	[(2) the 20th anniversary of the date the district was
1086	1086	confirmed].
1087	1087	SECTION 45. Section 8397.151, Special District Local Laws
1088	1088	Code, is amended to read as follows:
1089	1089	Sec. 8397.151. ANNEXATION BY MUNICIPALITY. (a) The
1090	1090	governing body of a [A] municipality that plans to [may] annex all
1091	1091	or part of the district first must adopt a resolution of intention
1092	1092	to annex all or part of the district and transmit that resolution to
1093	1093	the district and the following districts:
1094	1094	(1) Travis County Municipal Utility District No. 3;
1095	1095	(2) Travis County Municipal Utility District No. 4;
1096	1096	(3) Travis County Municipal Utility District No. 6;
1097	1097	(4) Travis County Municipal Utility District No. 7;
1098	1098	(5) Travis County Municipal Utility District No. 8;
1099	1099	(6) Travis County Municipal Utility District No. 9;
1100	1100	and
1101	1101	(7) Travis County Water Control and Improvement
1102	1102	District No. 19.
1103	1103	(b) On receipt of a resolution described by Subsection (a),
1104	1104	the district and each of the districts listed in Subsection (a)
1105	1105	shall call an election to be held on the next uniform election date
1106	1106	on the question of whether the annexation should be authorized.
1107	1107	(c) The municipality may annex the territory described in
1108	1108	the resolution only if a majority of the total number of voters
1109	1109	voting in all of the districts' elections vote in favor of
1110	1110	authorizing the annexation.
1111	1111	(d) The municipality seeking annexation shall pay the costs
1112	1112	of the elections held under this section [on the earlier of:
1113	1113	[(1) the installation of 90 percent of all works,
1114	1114	improvements, facilities, plants, equipment, and appliances
1115	1115	necessary and adequate to:
1116	1116	[(A) provide service to the proposed development
1117	1117	within the district;
1118	1118	[(B) accomplish the purposes for which the
1119	1119	district was created; and
1120	1120	[(C) exercise the powers provided by general law
1121	1121	and this chapter; or
1122	1122	[(2) the 20th anniversary of the date the district was
1123	1123	confirmed].
1124	1124	SECTION 46. Section 8398.151, Special District Local Laws
1125	1125	Code, is amended to read as follows:
1126	1126	Sec. 8398.151. ANNEXATION BY MUNICIPALITY. (a) The
1127	1127	governing body of a [A] municipality that plans to [may] annex all
1128	1128	or part of the district first must adopt a resolution of intention
1129	1129	to annex all or part of the district and transmit that resolution to
1130	1130	the district and the following districts:
1131	1131	(1) Travis County Municipal Utility District No. 3;
1132	1132	(2) Travis County Municipal Utility District No. 4;
1133	1133	(3) Travis County Municipal Utility District No. 5;
1134	1134	(4) Travis County Municipal Utility District No. 7;
1135	1135	(5) Travis County Municipal Utility District No. 8;
1136	1136	(6) Travis County Municipal Utility District No. 9;
1137	1137	and
1138	1138	(7) Travis County Water Control and Improvement
1139	1139	District No. 19.
1140	1140	(b) On receipt of a resolution described by Subsection (a),
1141	1141	the district and each of the districts listed in Subsection (a)
1142	1142	shall call an election to be held on the next uniform election date
1143	1143	on the question of whether the annexation should be authorized.
1144	1144	(c) The municipality may annex the territory described in
1145	1145	the resolution only if a majority of the total number of voters
1146	1146	voting in all of the districts' elections vote in favor of
1147	1147	authorizing the annexation.
1148	1148	(d) The municipality seeking annexation shall pay the costs
1149	1149	of the elections held under this section [on the earlier of:
1150	1150	[(1) the installation of 90 percent of all works,
1151	1151	improvements, facilities, plants, equipment, and appliances
1152	1152	necessary and adequate to:
1153	1153	[(A) provide service to the proposed development
1154	1154	within the district;
1155	1155	[(B) accomplish the purposes for which the
1156	1156	district was created; and
1157	1157	[(C) exercise the powers provided by general law
1158	1158	and this chapter; or
1159	1159	[(2) the 20th anniversary of the date the district was
1160	1160	confirmed].
1161	1161	SECTION 47. Section 8399.151, Special District Local Laws
1162	1162	Code, is amended to read as follows:
1163	1163	Sec. 8399.151. ANNEXATION BY MUNICIPALITY. (a) The
1164	1164	governing body of a [A] municipality that plans to [may] annex all
1165	1165	or part of the district first must adopt a resolution of intention
1166	1166	to annex all or part of the district and transmit that resolution to
1167	1167	the district and the following districts:
1168	1168	(1) Travis County Municipal Utility District No. 3;
1169	1169	(2) Travis County Municipal Utility District No. 4;
1170	1170	(3) Travis County Municipal Utility District No. 5;
1171	1171	(4) Travis County Municipal Utility District No. 6;
1172	1172	(5) Travis County Municipal Utility District No. 8;
1173	1173	(6) Travis County Municipal Utility District No. 9;
1174	1174	and
1175	1175	(7) Travis County Water Control and Improvement
1176	1176	District No. 19.
1177	1177	(b) On receipt of a resolution described by Subsection (a),
1178	1178	the district and each of the districts listed in Subsection (a)
1179	1179	shall call an election to be held on the next uniform election date
1180	1180	on the question of whether the annexation should be authorized.
1181	1181	(c) The municipality may annex the territory described in
1182	1182	the resolution only if a majority of the total number of voters
1183	1183	voting in all of the districts' elections vote in favor of
1184	1184	authorizing the annexation.
1185	1185	(d) The municipality seeking annexation shall pay the costs
1186	1186	of the elections held under this section [on the earlier of:
1187	1187	[(1) the installation of 90 percent of all works,
1188	1188	improvements, facilities, plants, equipment, and appliances
1189	1189	necessary and adequate to:
1190	1190	[(A) provide service to the proposed development
1191	1191	within the district;
1192	1192	[(B) accomplish the purposes for which the
1193	1193	district was created; and
1194	1194	[(C) exercise the powers provided by general law
1195	1195	and this chapter; or
1196	1196	[(2) the 20th anniversary of the date the district was
1197	1197	confirmed].
1198	1198	SECTION 48. Section 8400.151, Special District Local Laws
1199	1199	Code, is amended to read as follows:
1200	1200	Sec. 8400.151. ANNEXATION BY MUNICIPALITY. (a) The
1201	1201	governing body of a [A] municipality that plans to [may] annex all
1202	1202	or part of the district first must adopt a resolution of intention
1203	1203	to annex all or part of the district and transmit that resolution to
1204	1204	the district and the following districts:
1205	1205	(1) Travis County Municipal Utility District No. 3;
1206	1206	(2) Travis County Municipal Utility District No. 4;
1207	1207	(3) Travis County Municipal Utility District No. 5;
1208	1208	(4) Travis County Municipal Utility District No. 6;
1209	1209	(5) Travis County Municipal Utility District No. 7;
1210	1210	(6) Travis County Municipal Utility District No. 9;
1211	1211	and
1212	1212	(7) Travis County Water Control and Improvement
1213	1213	District No. 19.
1214	1214	(b) On receipt of a resolution described by Subsection (a),
1215	1215	the district and each of the districts listed in Subsection (a)
1216	1216	shall call an election to be held on the next uniform election date
1217	1217	on the question of whether the annexation should be authorized.
1218	1218	(c) The municipality may annex the territory described in
1219	1219	the resolution only if a majority of the total number of voters
1220	1220	voting in all of the districts' elections vote in favor of
1221	1221	authorizing the annexation.
1222	1222	(d) The municipality seeking annexation shall pay the costs
1223	1223	of the elections held under this section [on the earlier of:
1224	1224	[(1) the installation of 90 percent of all works,
1225	1225	improvements, facilities, plants, equipment, and appliances
1226	1226	necessary and adequate to:
1227	1227	[(A) provide service to the proposed development
1228	1228	within the district;
1229	1229	[(B) accomplish the purposes for which the
1230	1230	district was created; and
1231	1231	[(C) exercise the powers provided by general law
1232	1232	and this chapter; or
1233	1233	[(2) the 20th anniversary of the date the district was
1234	1234	confirmed].
1235	1235	SECTION 49. Section 8401.151, Special District Local Laws
1236	1236	Code, is amended to read as follows:
1237	1237	Sec. 8401.151. ANNEXATION BY MUNICIPALITY. (a) The
1238	1238	governing body of a [A] municipality that plans to [may] annex all
1239	1239	or part of the district first must adopt a resolution of intention
1240	1240	to annex all or part of the district and transmit that resolution to
1241	1241	the district and the following districts:
1242	1242	(1) Travis County Municipal Utility District No. 3;
1243	1243	(2) Travis County Municipal Utility District No. 4;
1244	1244	(3) Travis County Municipal Utility District No. 5;
1245	1245	(4) Travis County Municipal Utility District No. 6;
1246	1246	(5) Travis County Municipal Utility District No. 7;
1247	1247	(6) Travis County Municipal Utility District No. 8;
1248	1248	and
1249	1249	(7) Travis County Water Control and Improvement
1250	1250	District No. 19.
1251	1251	(b) On receipt of a resolution described by Subsection (a),
1252	1252	the district and each of the districts listed in Subsection (a)
1253	1253	shall call an election to be held on the next uniform election date
1254	1254	on the question of whether the annexation should be authorized.
1255	1255	(c) The municipality may annex the territory described in
1256	1256	the resolution only if a majority of the total number of voters
1257	1257	voting in all of the districts' elections vote in favor of
1258	1258	authorizing the annexation.
1259	1259	(d) The municipality seeking annexation shall pay the costs
1260	1260	of the elections held under this section [on the earlier of:
1261	1261	[(1) the installation of 90 percent of all works,
1262	1262	improvements, facilities, plants, equipment, and appliances
1263	1263	necessary and adequate to:
1264	1264	[(A) provide service to the proposed development
1265	1265	within the district;
1266	1266	[(B) accomplish the purposes for which the
1267	1267	district was created; and
1268	1268	[(C) exercise the powers provided by general law
1269	1269	and this chapter; or
1270	1270	[(2) the 20th anniversary of the date the district was
1271	1271	confirmed].
1272	1272	SECTION 50. Section 8489.109, Special District Local Laws
1273	1273	Code, is amended to read as follows:
1274	1274	Sec. 8489.109. MUNICIPAL ANNEXATION ADJACENT TO DISTRICT.
1275	1275	For the purposes of Section 43.003(2) [43.021(2)], Local Government
1276	1276	Code, or other law, including a municipal charter or ordinance
1277	1277	relating to annexation, an area adjacent to the district or any new
1278	1278	district created by the division of the district is considered
1279	1279	adjacent to a municipality in whose corporate limits or
1280	1280	extraterritorial jurisdiction any of the land in the area described
1281	1281	by Section 2 of the Act enacting this chapter is located.
1282	1282	SECTION 51. Section 9038.110, Special District Local Laws
1283	1283	Code, is amended to read as follows:
1284	1284	Sec. 9038.110. MUNICIPAL ANNEXATION ADJACENT TO DISTRICT.
1285	1285	For the purposes of Section 43.003(2) [43.021(2)], Local Government
1286	1286	Code, or other law, including a municipal charter or ordinance
1287	1287	relating to annexation, an area adjacent to the district or any new
1288	1288	district created by the division of the district is considered
1289	1289	adjacent to a municipality in whose corporate limits or
1290	1290	extraterritorial jurisdiction any of the land in the area described
1291	1291	by Section 2 of the Act creating this chapter is located.
1292	1292	SECTION 52. Section 9039.110, Special District Local Laws
1293	1293	Code, is amended to read as follows:
1294	1294	Sec. 9039.110. MUNICIPAL ANNEXATION ADJACENT TO DISTRICT.
1295	1295	For the purposes of Section 43.003(2) [43.021(2)], Local Government
1296	1296	Code, or other law, including a municipal charter or ordinance
1297	1297	relating to annexation, an area adjacent to the district or any new
1298	1298	district created by the division of the district is considered
1299	1299	adjacent to a municipality in whose corporate limits or
1300	1300	extraterritorial jurisdiction any of the land in the area described
1301	1301	by Section 2 of the Act creating this chapter is located.
1302	1302	SECTION 53. Subtitle I, Title 6, Special District Local
1303	1303	Laws Code, is amended by adding Chapter 9073 to read as follows:
1304	1304	CHAPTER 9073. TRAVIS COUNTY WATER CONTROL AND IMPROVEMENT DISTRICT
1305	1305	NO. 19; ANNEXATION
1306	1306	Sec. 9073.001. DEFINITION. In this chapter, "district"
1307	1307	means the Travis County Water Control and Improvement District
1308	1308	No. 19.
1309	1309	Sec. 9073.002. ANNEXATION BY MUNICIPALITY. (a) The
1310	1310	governing body of a municipality that plans to annex all or part of
1311	1311	the district first must adopt a resolution of intention to annex all
1312	1312	or part of the district and transmit that resolution to the district
1313	1313	and the following districts:
1314	1314	(1) Travis County Municipal Utility District No. 3;
1315	1315	(2) Travis County Municipal Utility District No. 4;
1316	1316	(3) Travis County Municipal Utility District No. 5;
1317	1317	(4) Travis County Municipal Utility District No. 6;
1318	1318	(5) Travis County Municipal Utility District No. 7;
1319	1319	(6) Travis County Municipal Utility District No. 8;
1320	1320	and
1321	1321	(7) Travis County Municipal Utility District No. 9.
1322	1322	(b) On receipt of a resolution described by Subsection (a),
1323	1323	the district and each of the districts listed in Subsection (a)
1324	1324	shall call an election to be held on the next uniform election date
1325	1325	on the question of whether the annexation should be authorized.
1326	1326	(c) The municipality may annex the territory described in
1327	1327	the resolution only if a majority of the total number of voters
1328	1328	voting in all of the districts' elections vote in favor of
1329	1329	authorizing the annexation.
1330	1330	(d) The municipality seeking annexation shall pay the costs
1331	1331	of the elections held under this section.
1332	1332	SECTION 54. (a) Sections 43.036, 43.0546, 43.056(d) and
1333	1333	(h), 43.0565, 43.0567, 43.1025(e) and (g), and 43.906, Local
1334	1334	Government Code, are repealed.
1335	1335	(b) Section 43.056(p), Local Government Code, as amended by
1336	1336	S.B. 1878, Acts of the 85th Legislature, Regular Session, 2017, is
1337	1337	repealed.
1338	1338	(c) Section 5.701(n)(6), Water Code, is repealed.
1339	1339	(d) The repeal of Section 43.036, Local Government Code, by
1340	1340	this Act does not affect a boundary change agreement entered into
1341	1341	under that section, the release and transfer of area under a
1342	1342	boundary change agreement entered into under that section, or the
1343	1343	requirements related to a boundary change agreement entered into
1344	1344	under that section.
1345	1345	(e) The repeal of Sections 43.056(d), (h), and (p) and
1346	1346	Sections 43.0565 and 43.0567, Local Government Code, by this Act
1347	1347	and the change in law made by this Act to Sections 43.056(l) and
1348	1348	(n), Local Government Code, do not affect a right, requirement,
1349	1349	limitation, or remedy provided for under those sections and
1350	1350	applicable in an area annexed by a municipality for which the first
1351	1351	hearing notice required by Section 43.0561 or 43.063, Local
1352	1352	Government Code, as applicable, was published before December 1,
1353	1353	2017.
1354	1354	SECTION 55. The changes in law made by this Act apply to the
1355	1355	annexation of an area subject to a development agreement entered
1356	1356	into by a municipality with a population of more than 227,000 and
1357	1357	less than 236,000, according to the 2010 federal decennial census,
1358	1358	under Section 212.172, Local Government Code, before the effective
1359	1359	date of this Act that is initiated on or after the expiration date
1360	1360	provided for in the agreement. The annexation of an area subject to
1361	1361	the agreement that is initiated before the expiration date of the
1362	1362	agreement as the result of a termination of the agreement is
1363	1363	governed by the law in effect on January 1, 2017, and the former law
1364	1364	is continued in effect for that purpose.
1365	1365	SECTION 56. The changes in law made by this Act apply only
1366	1366	to the annexation of an area that is not final on the effective date
1367	1367	of this Act. An annexation of an area that was final before the
1368	1368	effective date of this Act is governed by those portions of Chapter
1369	1369	43, Local Government Code, that relate to post-annexation
1370	1370	procedures and requirements in effect immediately before the
1371	1371	effective date of this Act, and that law is continued in effect for
1372	1372	that purpose.
1373	1373	SECTION 57. This Act takes effect December 1, 2017.