Texas 2019 - 86th Regular

Texas House Bill HB2979 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 2979
	1	+	By: Bailes (Senate Sponsor - Nichols) H.B. No. 2979
	2	+	(In the Senate - Received from the House April 15, 2019;
	3	+	April 16, 2019, read first time and referred to Committee on
	4	+	Intergovernmental Relations; May 6, 2019, reported favorably by
	5	+	the following vote: Yeas 7, Nays 0; May 6, 2019, sent to printer.)
	6	+	Click here to see the committee vote
2	7
3	8
	9	+	A BILL TO BE ENTITLED
4	10		AN ACT
5	11		relating to the creation of the Liberty Grand Municipal Utility
6	12		District No. 1; granting a limited power of eminent domain;
7	13		providing authority to issue bonds; providing authority to impose
8	14		assessments, fees, and taxes.
9	15		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	16		SECTION 1. Subtitle F, Title 6, Special District Local Laws
11	17		Code, is amended by adding Chapter 8049 to read as follows:
12	18		CHAPTER 8049. LIBERTY GRAND MUNICIPAL UTILITY DISTRICT NO. 1
13	19		SUBCHAPTER A. GENERAL PROVISIONS
14	20		Sec. 8049.0101. DEFINITIONS. In this chapter:
15	21		(1) "Board" means the district's board of directors.
16	22		(2) "Commission" means the Texas Commission on
17	23		Environmental Quality.
18	24		(3) "Director" means a board member.
19	25		(4) "District" means the Liberty Grand Municipal
20	26		Utility District No. 1.
21	27		Sec. 8049.0102. NATURE OF DISTRICT. The district is a
22	28		municipal utility district created under Section 59, Article XVI,
23	29		Texas Constitution.
24	30		Sec. 8049.0103. CONFIRMATION AND DIRECTOR ELECTION
25	31		REQUIRED. The temporary directors shall hold an election to
26	32		confirm the creation of the district and to elect five permanent
27	33		directors as provided by Section 49.102, Water Code.
28	34		Sec. 8049.0104. CONSENT OF MUNICIPALITY REQUIRED. The
29	35		temporary directors may not hold an election under Section
30	36		8049.0103 until each municipality in whose corporate limits or
31	37		extraterritorial jurisdiction the district is located has
32	38		consented by ordinance or resolution to the creation of the
33	39		district and to the inclusion of land in the district.
34	40		Sec. 8049.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
35	41		(a) The district is created to serve a public purpose and benefit.
36	42		(b) The district is created to accomplish the purposes of:
37	43		(1) a municipal utility district as provided by
38	44		general law and Section 59, Article XVI, Texas Constitution; and
39	45		(2) Section 52, Article III, Texas Constitution, that
40	46		relate to the construction, acquisition, improvement, operation,
41	47		or maintenance of macadamized, graveled, or paved roads, or
42	48		improvements, including storm drainage, in aid of those roads.
43	49		Sec. 8049.0106. INITIAL DISTRICT TERRITORY. (a) The
44	50		district is initially composed of the territory described by
45	51		Section 2 of the Act enacting this chapter.
46	52		(b) The boundaries and field notes contained in Section 2 of
47	53		the Act enacting this chapter form a closure. A mistake made in the
48	54		field notes or in copying the field notes in the legislative process
49	55		does not affect the district's:
50	56		(1) organization, existence, or validity;
51	57		(2) right to issue any type of bond for the purposes
52	58		for which the district is created or to pay the principal of and
53	59		interest on a bond;
54	60		(3) right to impose a tax; or
55	61		(4) legality or operation.
56	62		SUBCHAPTER B. BOARD OF DIRECTORS
57	63		Sec. 8049.0201. GOVERNING BODY; TERMS. (a) The district is
58	64		governed by a board of five elected directors.
59	65		(b) Except as provided by Section 8049.0202, directors
60	66		serve staggered four-year terms.
61	67		Sec. 8049.0202. TEMPORARY DIRECTORS. (a) The temporary
62	68		board consists of:
63	69		(1) Barrett Von Blon;
64	70		(2) Randall Hancock;
65	71		(3) Robert Derrick III;
66	72		(4) Jess Arnold; and
67	73		(5) Jock Naponic.
68	74		(b) Temporary directors serve until the earlier of:
69	75		(1) the date permanent directors are elected under
70	76		Section 8049.0103; or
71	77		(2) the fourth anniversary of the effective date of
72	78		the Act enacting this chapter.
73	79		(c) If permanent directors have not been elected under
74	80		Section 8049.0103 and the terms of the temporary directors have
75	81		expired, successor temporary directors shall be appointed or
76	82		reappointed as provided by Subsection (d) to serve terms that
77	83		expire on the earlier of:
78	84		(1) the date permanent directors are elected under
79	85		Section 8049.0103; or
80	86		(2) the fourth anniversary of the date of the
81	87		appointment or reappointment.
82	88		(d) If Subsection (c) applies, the owner or owners of a
83	89		majority of the assessed value of the real property in the district
84	90		may submit a petition to the commission requesting that the
85	91		commission appoint as successor temporary directors the five
86	92		persons named in the petition. The commission shall appoint as
87	93		successor temporary directors the five persons named in the
88	94		petition.
89	95		SUBCHAPTER C. POWERS AND DUTIES
90	96		Sec. 8049.0301. GENERAL POWERS AND DUTIES. The district
91	97		has the powers and duties necessary to accomplish the purposes for
92	98		which the district is created.
93	99		Sec. 8049.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
94	100		DUTIES. The district has the powers and duties provided by the
95	101		general law of this state, including Chapters 49 and 54, Water Code,
96	102		applicable to municipal utility districts created under Section 59,
97	103		Article XVI, Texas Constitution.
98	104		Sec. 8049.0303. AUTHORITY FOR ROAD PROJECTS. Under Section
99	105		52, Article III, Texas Constitution, the district may design,
100	106		acquire, construct, finance, issue bonds for, improve, operate,
101	107		maintain, and convey to this state, a county, or a municipality for
102	108		operation and maintenance macadamized, graveled, or paved roads, or
103	109		improvements, including storm drainage, in aid of those roads.
104	110		Sec. 8049.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
105	111		road project must meet all applicable construction standards,
106	112		zoning and subdivision requirements, and regulations of each
107	113		municipality in whose corporate limits or extraterritorial
108	114		jurisdiction the road project is located.
109	115		(b) If a road project is not located in the corporate limits
110	116		or extraterritorial jurisdiction of a municipality, the road
111	117		project must meet all applicable construction standards,
112	118		subdivision requirements, and regulations of each county in which
113	119		the road project is located.
114	120		(c) If the state will maintain and operate the road, the
115	121		Texas Transportation Commission must approve the plans and
116	122		specifications of the road project.
117	123		Sec. 8049.0305. COMPLIANCE WITH MUNICIPAL CONSENT
118	124		ORDINANCE OR RESOLUTION. The district shall comply with all
119	125		applicable requirements of any ordinance or resolution that is
120	126		adopted under Section 54.016 or 54.0165, Water Code, and that
121	127		consents to the creation of the district or to the inclusion of land
122	128		in the district.
123	129		Sec. 8049.0306. DIVISION OF DISTRICT. (a) The district may
124	130		be divided into two or more new districts only if the district:
125	131		(1) has never issued any bonds; and
126	132		(2) is not imposing ad valorem taxes.
127	133		(b) This chapter applies to any new district created by the
128	134		division of the district, and a new district has all the powers and
129	135		duties of the district.
130	136		(c) Any new district created by the division of the district
131	137		may not, at the time the new district is created, contain any land
132	138		outside the area described by Section 2 of the Act enacting this
133	139		chapter.
134	140		(d) The board, on its own motion or on receipt of a petition
135	141		signed by the owner or owners of a majority of the assessed value of
136	142		the real property in the district, may adopt an order dividing the
137	143		district.
138	144		(e) The board may adopt an order dividing the district
139	145		before or after the date the board holds an election under Section
140	146		8049.0103 to confirm the creation of the district.
141	147		(f) An order dividing the district shall:
142	148		(1) name each new district;
143	149		(2) include the metes and bounds description of the
144	150		territory of each new district;
145	151		(3) appoint temporary directors for each new district;
146	152		and
147	153		(4) provide for the division of assets and liabilities
148	154		between or among the new districts.
149	155		(g) On or before the 30th day after the date of adoption of
150	156		an order dividing the district, the district shall file the order
151	157		with the commission and record the order in the real property
152	158		records of each county in which the district is located.
153	159		(h) Any new district created by the division of the district
154	160		shall hold a confirmation and directors' election as required by
155	161		Section 8049.0103.
156	162		(i) If the creation of the new district is confirmed, the
157	163		new district shall provide the election date and results to the
158	164		commission.
159	165		(j) Any new district created by the division of the district
160	166		must hold an election as required by this chapter to obtain voter
161	167		approval before the district may impose a maintenance tax or issue
162	168		bonds payable wholly or partly from ad valorem taxes.
163	169		(k) Municipal consent to the creation of the district and to
164	170		the inclusion of land in the district granted under Section
165	171		8049.0104 acts as municipal consent to the creation of any new
166	172		district created by the division of the district and to the
167	173		inclusion of land in the new district.
168	174		SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
169	175		Sec. 8049.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
170	176		The district may issue, without an election, bonds and other
171	177		obligations secured by:
172	178		(1) revenue other than ad valorem taxes; or
173	179		(2) contract payments described by Section 8049.0403.
174	180		(b) The district must hold an election in the manner
175	181		provided by Chapters 49 and 54, Water Code, to obtain voter approval
176	182		before the district may impose an ad valorem tax or issue bonds
177	183		payable from ad valorem taxes.
178	184		(c) The district may not issue bonds payable from ad valorem
179	185		taxes to finance a road project unless the issuance is approved by a
180	186		vote of a two-thirds majority of the district voters voting at an
181	187		election held for that purpose.
182	188		Sec. 8049.0402. OPERATION AND MAINTENANCE TAX. (a) If
183	189		authorized at an election held under Section 8049.0401, the
184	190		district may impose an operation and maintenance tax on taxable
185	191		property in the district in accordance with Section 49.107, Water
186	192		Code.
187	193		(b) The board shall determine the tax rate. The rate may not
188	194		exceed the rate approved at the election.
189	195		Sec. 8049.0403. CONTRACT TAXES. (a) In accordance with
190	196		Section 49.108, Water Code, the district may impose a tax other than
191	197		an operation and maintenance tax and use the revenue derived from
192	198		the tax to make payments under a contract after the provisions of
193	199		the contract have been approved by a majority of the district voters
194	200		voting at an election held for that purpose.
195	201		(b) A contract approved by the district voters may contain a
196	202		provision stating that the contract may be modified or amended by
197	203		the board without further voter approval.
198	204		SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
199	205		Sec. 8049.0501. AUTHORITY TO ISSUE BONDS AND OTHER
200	206		OBLIGATIONS. The district may issue bonds or other obligations
201	207		payable wholly or partly from ad valorem taxes, impact fees,
202	208		revenue, contract payments, grants, or other district money, or any
203	209		combination of those sources, to pay for any authorized district
204	210		purpose.
205	211		Sec. 8049.0502. TAXES FOR BONDS. At the time the district
206	212		issues bonds payable wholly or partly from ad valorem taxes, the
207	213		board shall provide for the annual imposition of a continuing
208	214		direct ad valorem tax, without limit as to rate or amount, while all
209	215		or part of the bonds are outstanding as required and in the manner
210	216		provided by Sections 54.601 and 54.602, Water Code.
211	217		Sec. 8049.0503. BONDS FOR ROAD PROJECTS. At the time of
212	218		issuance, the total principal amount of bonds or other obligations
213	219		issued or incurred to finance road projects and payable from ad
214	220		valorem taxes may not exceed one-fourth of the assessed value of the
215	221		real property in the district.
216	222		SECTION 2. The Liberty Grand Municipal Utility District No.
217	223		1 initially includes all the territory contained in the following
218	224		area:
219	225		BEING a 815.0-acre tract of land situated in the Edward King
220	226		Survey, Abstract No. 56, the A.S. McLemore Survey, Abstract
221	227		No. 700, the G.C. & S.F. R.R. Co. Survey, Abstract No. 463 and the
222	228		H. & T.C. R.R. Co. Survey, Abstract No. 267 of Liberty County, Texas
223	229		and being a portion of a called 100-acre tract of land as described
224	230		in an instrument to Stoesser Farms, Inc. recorded under Volume 745,
225	231		Page 268 of the Deed Records Liberty County (D.R.L.C.), a portion of
226	232		the 63rd Tract, 59th Tract, 66th Tract, 58th Tract, 43rd Tract, 37th
227	233		Tract and 39th Tract of lands as described in an instrument to
228	234		Stoesser Farms, Inc. recorded under Volume 601, Page 541 D.R.L.C.,
229	235		and all of the 56th Tract, 55th Tract-First Tract, and 60th
230	236		Tract-First Tract, of lands described in an instrument to Stoesser
231	237		Farms, Inc. recorded under Volume 601, Page 541 D.R.L.C., said
232	238		815.0-acre tract of land described by metes and bounds as follows:
233	239		BEGINNING at a 3/4-inch iron pipe found for an interior
234	240		corner of a called 85.63-acre tract of land, designated Tract 2,
235	241		described in an instrument to Coastal Water Authority recorded
236	242		under Liberty County Clerk's File Number (L.C.C.F. No.) 2012015879,
237	243		same being the Northwest corner of the remainder of said 100-acre
238	244		tract and the herein described tract;
239	245		THENCE, N 87°56'55" E, along and with the North line of the
240	246		remainder of said 100-acre tract and the North line of the remainder
241	247		of said 63rd Tract, same being a South line of said 85.63-acre
242	248		tract, a distance of 1,832.14 feet to a point for the Northeast
243	249		corner of the herein described tract;
244	250		THENCE, over and across the remainder of said 63rd Tract, the
245	251		remainder of said 59th Tract, and said 58th Tract, the following
246	252		courses and distances:
247	253		S 43°07'30" E, a distance of 66.12 feet to an angle
248	254		point of the herein described tract;
249	255		S 39°22'30" E, a distance of 1,727.57 feet to an angle
250	256		point of the herein described tract;
251	257		S 36°28'36" E, a distance of 942.93 feet to an angle
252	258		point of the herein described tract;
253	259		S 41°33'17" E, a distance of 280.68 feet to an angle
254	260		point of the herein described tract;
255	261		S 39°22'30" E, a distance of 1,727.57 feet to an angle
256	262		point of the herein described tract;
257	263		S 35°37'30" E, a distance of 1,102.16 feet to a point
258	264		for corner of the herein described tract, lying on the North line of
259	265		a called 80-acre tract of land, designated Tract Six, described in
260	266		an instrument to Phillip Fouts McMillan recorded under Volume 1102,
261	267		Page 722 of the Official Public Records of Liberty County Texas;
262	268		THENCE, along and with the North, West, South and East line of
263	269		said 80-acre tract, the following courses and distances:
264	270		S 88°25'48" W, a distance of 477.57 feet to a point for
265	271		the Northwest corner of said 80-acre tract and an interior corner of
266	272		the herein described tract;
267	273		S 01°34'12" E, a distance of 2,357.45 feet to a point
268	274		for the Southwest corner of said 80-acre tract and an interior
269	275		corner of the herein described tract;
270	276		N 88°25'48" E, a distance of 1,481.36 feet to a point
271	277		for the Southeast corner of said 80-acre tract and an interior
272	278		corner of the herein described tract;
273	279		N 01°34'12" W, a distance of 721.07 feet to a point for
274	280		corner of the herein described tract, lying on the West line of the
275	281		remainder of said 43rd Tract;
276	282		THENCE, S 31°52'30" E, over and across said 43rd Tract, a
277	283		distance of 184.89 feet to a point for corner of the herein
278	284		described tract, lying on a West Line of a called 519.20-acre tract
279	285		of land, designated Tract 2, described in an instrument to Cedar
280	286		Bayou Wildlife, LLC recorded under L.C.C.F. No. 2013000064;
281	287		THENCE, along and with the West lines of said 519.20-acre
282	288		tract the following courses and distances:
283	289		S 33°56'12" W, a distance of 84.47 feet to a point for an
284	290		interior corner of the herein described tract;
285	291		S 01°44'10" E, a distance of 541.13 feet to a point for
286	292		corner of the herein described tract;
287	293		S 87°49'15" W, a distance of 455.56 feet to a point for
288	294		an interior corner of the herein described tract;
289	295		S 01°52'18" E, a distance of 2,162.71 feet to an angle
290	296		point of the herein described tract;
291	297		S 10°26'41" W, a distance of 1,258.99 feet to a point
292	298		for corner of the herein described tract;
293	299		S 85°40'34" W, a distance of 610.17 feet to a point for
294	300		an interior corner of the herein described tract;
295	301		S 22°15'26" W, a distance of 858.89 feet to a point for
296	302		corner of the herein described tract;
297	303		S 78°54'43" W, a distance of 719.66 feet to a point for
298	304		the Southernmost corner of the herein described tract, lying on the
299	305		line common to said H. & T.C. R.R. Co. Survey, Abstract No. 267 and
300	306		the A.G. Penn Survey, Abstract No. 764;
301	307		THENCE, N 01°48'36" W, along and with said common line, a
302	308		distance of 30.17 feet to the common corner of said H. & T.C. R.R.
303	309		Co. Survey, Abstract No. 267, said A.G. Penn Survey, Abstract
304	310		No. 764, said G.C. & S.F. R.R. Co. Survey, Abstract No. 463 and the
305	311		J. Ross Survey, Abstract No. 806, same being an angle point of the
306	312		herein described tract;
307	313		THENCE, N 02°12'38" W, along and with the West line of said
308	314		G.C. & S.F. R.R. Co. Survey, Abstract No. 463, the remainder of said
309	315		39th Tract, and said the remainder of said 37th Tract, a distance
310	316		of 4,049.42 feet to a point for corner of the remainder of said 37th
311	317		Tract and the herein described tract, same being the Southwest
312	318		corner of a called 1.000-acre tract of land, designated Tract 6,
313	319		described in an instrument to Ray E. Stoesser, et ux, recorded under
314	320		L.C.C.F. No. 2014019951;
315	321		THENCE, along and with the lines common to the remainder of
316	322		said 37th Tract and said 1.000-acre tract, the following courses
317	323		and distances:
318	324		N 87°47'22" E, a distance of 208.71 feet to a point for
319	325		the Southeast corner of said 1.000-acre tract and an interior
320	326		corner of the herein described tract;
321	327		N 02°12'38" W, a distance of 208.71 feet to a point for
322	328		the Northeast corner of said 1.000-acre tract and an interior
323	329		corner of the herein described tract;
324	330		S 87°47'22" W, a distance of 208.71 feet to a point for
325	331		the Northwest corner of said 1.000-acre tract, same being a common
326	332		corner of said 37th Tract and the herein described tract;
327	333		THENCE, N 02°12'38" W, along and with the West line of the
328	334		remainder of said 37th Tract, a distance of 30.00 feet to a point
329	335		for corner lying on South line of said 60th Tract;
330	336		THENCE, S 88°22'49" W, along and with the South line of said
331	337		60th Tract, said 55th Tract, and said 56th Tract, a distance of
332	338		1,885.45 feet to the South common corner of said 56th Tract and the
333	339		remainder of said 66th Tract, same being an angle point of the
334	340		herein described tract;
335	341		THENCE, along and with the South line of the remainder of said
336	342		66th Tract, the following courses and distances:
337	343		S 89°38'05" W, a distance of 1,049.76 feet to an angle
338	344		point of the herein described tract;
339	345		S 87°54'35" W, a distance of 963.09 feet to a point for
340	346		corner the herein described tract, being the Southeast corner of
341	347		said 85.63-acre tract;
342	348		THENCE, N 02°04'22" W, along and with an East line of said
343	349		85.63-acre tract, same being the West lines of the remainder of said
344	350		66th Tract and the remainder of said 100-acre tract, a distance of
345	351		7,074.86 feet to the POINT OF BEGINNING and containing 820.0 acres
346	352		of land (Gross), SAVE & EXCEPT a called 5-acre tract of land,
347	353		designated 55th Tract, Second Tract, described in an instrument to
348	354		Stoesser Farms, Inc. recorded under Volume 601, Page 541 D.R.L.C.
349	355		leaving a net acreage of 815.0 acres of land.
350	356		Bearing orientation is based on the Texas Coordinate System
351	357		of 1983 (NAD83), South Central Zone 4204 and is referenced to deed
352	358		bearings of the West lines of said 519.20-acre tract of land as
353	359		cited herein.
354	360		SECTION 3. (a) The legal notice of the intention to
355	361		introduce this Act, setting forth the general substance of this
356	362		Act, has been published as provided by law, and the notice and a
357	363		copy of this Act have been furnished to all persons, agencies,
358	364		officials, or entities to which they are required to be furnished
359	365		under Section 59, Article XVI, Texas Constitution, and Chapter 313,
360	366		Government Code.
361	367		(b) The governor, one of the required recipients, has
362	368		submitted the notice and Act to the Texas Commission on
363	369		Environmental Quality.
364	370		(c) The Texas Commission on Environmental Quality has filed
365	371		its recommendations relating to this Act with the governor, the
366	372		lieutenant governor, and the speaker of the house of
367	373		representatives within the required time.
368	374		(d) All requirements of the constitution and laws of this
369	375		state and the rules and procedures of the legislature with respect
370	376		to the notice, introduction, and passage of this Act are fulfilled
371	377		and accomplished.
372	378		SECTION 4. (a) If this Act does not receive a two-thirds
373	379		vote of all the members elected to each house, Subchapter C, Chapter
374	380		8049, Special District Local Laws Code, as added by Section 1 of
375	381		this Act, is amended by adding Section 8049.0307 to read as follows:
376	382		Sec. 8049.0307. NO EMINENT DOMAIN POWER. The district may
377	383		not exercise the power of eminent domain.
378	384		(b) This section is not intended to be an expression of a
379	385		legislative interpretation of the requirements of Section 17(c),
380	386		Article I, Texas Constitution.
381	387		SECTION 5. This Act takes effect immediately if it receives
382	388		a vote of two-thirds of all the members elected to each house, as
383	389		provided by Section 39, Article III, Texas Constitution. If this
384	390		Act does not receive the vote necessary for immediate effect, this
385	391		Act takes effect September 1, 2019.
386		-	______________________________ ______________________________
387		-	President of the Senate Speaker of the House
388		-	I certify that H.B. No. 2979 was passed by the House on April
389		-	12, 2019, by the following vote: Yeas 138, Nays 5, 2 present, not
390		-	voting.
391		-	______________________________
392		-	Chief Clerk of the House
393		-	I certify that H.B. No. 2979 was passed by the Senate on May
394		-	15, 2019, by the following vote: Yeas 30, Nays 1.
395		-	______________________________
396		-	Secretary of the Senate
397		-	APPROVED: _____________________
398		-	Date
399		-	_____________________
400		-	Governor
	392	+	* * * * *