Texas 2019 - 86th Regular

Texas House Bill HB4645 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	H.B. No. 4645
	1	+	By: Smith (Senate Sponsor - Fallon) H.B. No. 4645
	2	+	(In the Senate - Received from the House May 6, 2019;
	3	+	May 6, 2019, read first time and referred to Committee on
	4	+	Intergovernmental Relations; May 20, 2019, reported favorably by
	5	+	the following vote: Yeas 7, Nays 0; May 20, 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 Grayson County Municipal Utility
6	12		District No. 3; 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 8009 to read as follows:
12	18		CHAPTER 8009. GRAYSON COUNTY MUNICIPAL UTILITY DISTRICT NO. 3
13	19		SUBCHAPTER A. GENERAL PROVISIONS
14	20		Sec. 8009.0101. DEFINITIONS. In this chapter:
15	21		(1) "Board" means the district's board of directors.
16	22		(2) "City" means the city of Gunter, Texas.
17	23		(3) "Commission" means the Texas Commission on
18	24		Environmental Quality.
19	25		(4) "Director" means a board member.
20	26		(5) "District" means the Grayson County Municipal
21	27		Utility District No. 3.
22	28		Sec. 8009.0102. NATURE OF DISTRICT. The district is a
23	29		municipal utility district created under Section 59, Article XVI,
24	30		Texas Constitution.
25	31		Sec. 8009.0103. CONFIRMATION AND DIRECTOR ELECTION
26	32		REQUIRED. The temporary directors shall hold an election to
27	33		confirm the creation of the district and to elect five permanent
28	34		directors as provided by Section 49.102, Water Code.
29	35		Sec. 8009.0104. CONSENT OF MUNICIPALITY REQUIRED. The
30	36		temporary directors may not hold an election under Section
31	37		8009.0103 until each municipality in whose corporate limits or
32	38		extraterritorial jurisdiction the district is located has
33	39		consented by ordinance or resolution to the creation of the
34	40		district and to the inclusion of land in the district.
35	41		Sec. 8009.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
36	42		(a) The district is created to serve a public purpose and benefit.
37	43		(b) The district is created to accomplish the purposes of:
38	44		(1) a municipal utility district as provided by
39	45		general law and Section 59, Article XVI, Texas Constitution; and
40	46		(2) Section 52, Article III, Texas Constitution, that
41	47		relate to the construction, acquisition, improvement, operation,
42	48		or maintenance of macadamized, graveled, or paved roads, or
43	49		improvements, including storm drainage, in aid of those roads.
44	50		Sec. 8009.0106. INITIAL DISTRICT TERRITORY. (a) The
45	51		district is initially composed of the territory described by
46	52		Section 2 of the Act enacting this chapter.
47	53		(b) The boundaries and field notes contained in Section 2 of
48	54		the Act enacting this chapter form a closure. A mistake made in the
49	55		field notes or in copying the field notes in the legislative process
50	56		does not affect the district's:
51	57		(1) organization, existence, or validity;
52	58		(2) right to issue any type of bond for the purposes
53	59		for which the district is created or to pay the principal of and
54	60		interest on a bond;
55	61		(3) right to impose a tax; or
56	62		(4) legality or operation.
57	63		SUBCHAPTER B. BOARD OF DIRECTORS
58	64		Sec. 8009.0201. GOVERNING BODY; TERMS. (a) The district is
59	65		governed by a board of five elected directors.
60	66		(b) Except as provided by Section 8009.0202, directors
61	67		serve staggered four-year terms.
62	68		Sec. 8009.0202. TEMPORARY DIRECTORS. (a) On or after
63	69		September 1, 2019, the owner or owners of a majority of the assessed
64	70		value of the real property in the district may submit a petition to
65	71		the commission requesting that the commission appoint as temporary
66	72		directors the five persons named in the petition. The commission
67	73		shall appoint as temporary directors the five persons named in the
68	74		petition.
69	75		(b) Temporary directors serve until the earlier of:
70	76		(1) the date permanent directors are elected under
71	77		Section 8009.0103; or
72	78		(2) September 1, 2023.
73	79		(c) If permanent directors have not been elected under
74	80		Section 8009.0103 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 8009.0103; 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. 8009.0301. 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. 8009.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
94	100		DUTIES. (a) 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		(b) Notwithstanding Subsection (a), the district may not
99	105		act as a retail provider of water or wastewater service.
100	106		(c) The district shall make the district's water and
101	107		wastewater facilities available to an entity holding the applicable
102	108		certificate of public convenience and necessity.
103	109		Sec. 8009.0303. AUTHORITY FOR ROAD PROJECTS. Under Section
104	110		52, Article III, Texas Constitution, the district may design,
105	111		acquire, construct, finance, issue bonds for, improve, operate,
106	112		maintain, and convey to this state, a county, or a municipality for
107	113		operation and maintenance macadamized, graveled, or paved roads, or
108	114		improvements, including storm drainage, in aid of those roads.
109	115		Sec. 8009.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
110	116		road project must meet all applicable construction standards,
111	117		zoning and subdivision requirements, and regulations of each
112	118		municipality in whose corporate limits or extraterritorial
113	119		jurisdiction the road project is located.
114	120		(b) If a road project is not located in the corporate limits
115	121		or extraterritorial jurisdiction of a municipality, the road
116	122		project must meet all applicable construction standards,
117	123		subdivision requirements, and regulations of each county in which
118	124		the road project is located.
119	125		(c) If the state will maintain and operate the road, the
120	126		Texas Transportation Commission must approve the plans and
121	127		specifications of the road project.
122	128		Sec. 8009.0305. MAINTENANCE OF ROADS IN TERRITORY OUTSIDE
123	129		CORPORATE LIMITS OF CITY. If district territory, or a portion of
124	130		district territory, is located outside the corporate limits of the
125	131		city, the district shall maintain any road the district constructs
126	132		located in that territory.
127	133		Sec. 8009.0306. COMPLIANCE WITH MUNICIPAL CONSENT
128	134		ORDINANCE OR RESOLUTION. The district shall comply with all
129	135		applicable requirements of any ordinance or resolution that is
130	136		adopted under Section 54.016 or 54.0165, Water Code, and that
131	137		consents to the creation of the district or to the inclusion of land
132	138		in the district.
133	139		Sec. 8009.0307. DIVISION OF DISTRICT. (a) The district may
134	140		be divided into two or more new districts only if the district:
135	141		(1) has no outstanding bonded debt; and
136	142		(2) is not imposing ad valorem taxes.
137	143		(b) This chapter applies to any new district created by the
138	144		division of the district, and a new district has all the powers and
139	145		duties of the district.
140	146		(c) Any new district created by the division of the district
141	147		may not, at the time the new district is created, contain any land
142	148		outside the area described by Section 2 of the Act enacting this
143	149		chapter.
144	150		(d) The board, on its own motion or on receipt of a petition
145	151		signed by the owner or owners of a majority of the assessed value of
146	152		the real property in the district, may adopt an order dividing the
147	153		district.
148	154		(e) The board may adopt an order dividing the district
149	155		before or after the date the board holds an election under Section
150	156		8009.0103 to confirm the district's creation.
151	157		(f) An order dividing the district shall:
152	158		(1) name each new district;
153	159		(2) include the metes and bounds description of the
154	160		territory of each new district;
155	161		(3) appoint temporary directors for each new district;
156	162		and
157	163		(4) provide for the division of assets and liabilities
158	164		between or among the new districts.
159	165		(g) On or before the 30th day after the date of adoption of
160	166		an order dividing the district, the district shall file the order
161	167		with the commission and record the order in the real property
162	168		records of each county in which the district is located.
163	169		(h) Any new district created by the division of the district
164	170		shall hold a confirmation and directors' election as required by
165	171		Section 8009.0103. If the voters of a new district do not confirm
166	172		the creation of the new district, the assets, obligations,
167	173		territory, and governance of the new district revert to the
168	174		original district.
169	175		(i) Municipal consent to the creation of the district and to
170	176		the inclusion of land in the district granted under Section
171	177		8009.0104 acts as municipal consent to the creation of any new
172	178		district created by the division of the district and to the
173	179		inclusion of land in the new district.
174	180		(j) Any new district created by the division of the district
175	181		must hold an election as required by this chapter to obtain voter
176	182		approval before the district may impose a maintenance tax or issue
177	183		bonds payable wholly or partly from ad valorem taxes.
178	184		SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
179	185		Sec. 8009.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
180	186		The district may issue, without an election, bonds and other
181	187		obligations secured by:
182	188		(1) revenue other than ad valorem taxes; or
183	189		(2) contract payments described by Section 8009.0403.
184	190		(b) The district must hold an election in the manner
185	191		provided by Chapters 49 and 54, Water Code, to obtain voter approval
186	192		before the district may impose an ad valorem tax or issue bonds
187	193		payable from ad valorem taxes.
188	194		(c) The district may not issue bonds payable from ad valorem
189	195		taxes to finance a road project unless the issuance is approved by a
190	196		vote of a two-thirds majority of the district voters voting at an
191	197		election held for that purpose.
192	198		Sec. 8009.0402. OPERATION AND MAINTENANCE TAX. (a) If
193	199		authorized at an election held under Section 8009.0401, the
194	200		district may impose an operation and maintenance tax on taxable
195	201		property in the district in accordance with Section 49.107, Water
196	202		Code.
197	203		(b) The board shall determine the tax rate. The rate may not
198	204		exceed the rate approved at the election.
199	205		Sec. 8009.0403. CONTRACT TAXES. (a) In accordance with
200	206		Section 49.108, Water Code, the district may impose a tax other than
201	207		an operation and maintenance tax and use the revenue derived from
202	208		the tax to make payments under a contract after the provisions of
203	209		the contract have been approved by a majority of the district voters
204	210		voting at an election held for that purpose.
205	211		(b) A contract approved by the district voters may contain a
206	212		provision stating that the contract may be modified or amended by
207	213		the board without further voter approval.
208	214		SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
209	215		Sec. 8009.0501. AUTHORITY TO ISSUE BONDS AND OTHER
210	216		OBLIGATIONS. The district may issue bonds or other obligations
211	217		payable wholly or partly from ad valorem taxes, impact fees,
212	218		revenue, contract payments, grants, or other district money, or any
213	219		combination of those sources, to pay for any authorized district
214	220		purpose.
215	221		Sec. 8009.0502. TAXES FOR BONDS. At the time the district
216	222		issues bonds payable wholly or partly from ad valorem taxes, the
217	223		board shall provide for the annual imposition of a continuing
218	224		direct ad valorem tax, without limit as to rate or amount, while all
219	225		or part of the bonds are outstanding as required and in the manner
220	226		provided by Sections 54.601 and 54.602, Water Code.
221	227		Sec. 8009.0503. BONDS FOR ROAD PROJECTS. At the time of
222	228		issuance, the total principal amount of bonds or other obligations
223	229		issued or incurred to finance road projects and payable from ad
224	230		valorem taxes may not exceed one-fourth of the assessed value of the
225	231		real property in the district.
226	232		SECTION 2. The Grayson County Municipal Utility District
227	233		No. 3 initially includes all the territory contained in the
228	234		following area:
229	235		All that certain tract or parcel of land situated in the Sarah Cross
230	236		Survey, Abstract Number 210, County of Grayson, State of Texas,
231	237		said tract being all of a called 578.517 acre tract as described in
232	238		Deed to Evans Family Partnership LTD, filed 23 March 2005, and
233	239		Recorded in Volume 3835 Page 465 of the Deed Records of the County
234	240		of Grayson, State of Texas, and being more fully described as
235	241		follows:
236	242		Beginning for the southwest corner of the tract being described
237	243		herein at a Wood Cross-Tie fence corner Post, said post being the
238	244		southwest corner of said Evans tract, and the southeast corner of a
239	245		tract as described in Deed to William H. Ledbetter, filed 11
240	246		December 1978, and Recorded in Volume 1456 Page 570 of said Deed
241	247		Records, and on the north Right-of-Way line of Farm-to-Market Road
242	248		Number 121 as described in deed to The State of Texas, filed 20
243	249		January 1951, and Recorded in Volume 638 Page 284 of said Deed
244	250		Records;
245	251		Thence: North 02 degrees 27 minutes 06 seconds East, with the west
246	252		line of said Evans tract, and the east line of said Ledbetter tract,
247	253		and passing at 1659.63 feet a Wood Cross-Tie fence corner post being
248	254		the northeast corner of said Ledbetter tract and the southwest
249	255		corner of a tract as described in deed to Donald Ray Martinek,
250	256		Trustee, and passing at 3757.23 feet a Wood Cross-Tie fence corner
251	257		post on the south side of Airport Road, and continuing on said
252	258		course for a total distance of 3784. 73 feet (3778.50) to a set
253	259		survey mark Nail in the center line of said Airport Road;
254	260		Thence: South 87 degrees 34 minutes 18 seconds East, with the north
255	261		line of said Evans tract, and in Airport Road, a distance of 6705.82
256	262		feel (6690.80) to a set survey mark nail for the northeast corner of
257	263		said Evan tract and at the intersection of said Airport Road and
258	264		Bodovsky Road, said nail also being on the east line of the Sarah
259	265		Cross Survey, and the west line of the Stephen Prather Survey,
260	266		Abstract Number 931;
261	267		Thence: South 02 degrees 20 minutes 52 seconds West, with the east
262	268		line of said Evans tract, and in Bodovsky Road, a distance of 799.69
263	269		feet to a found PK Nail for the southwest corner of said Prather
264	270		Survey and the northwest corner of the Benjamin S. Nounnan Survey
265	271		Abstract Number 903, and at a intersection of said Airport Road and
266	272		Bodovsky Road;
267	273		Thence: South 02 degrees 29 minutes 56 seconds West, with the east
268	274		line of said Evans tract, and in Bodovsky Road, a distance of
269	275		2981.56 feet to a found 3/4 inch Steel Rod for the southeast corner
270	276		of said Evan tract and at a turn in Bodovsky Road and on the north
271	277		line of a tract as described in Deed to GIC Hedges, filed 27 July
272	278		2006, and Recorded in Volume 4093 Page 207 of said Deed Records;
273	279		Thence: North 87 degrees 58 minutes 12 seconds West, with the south
274	280		line of said Evans tract, and in Bodovsky Road, a distance of
275	281		1160.49 feet to a found survey mark nail for the northwest corner of
276	282		a said Hedges tract, and the northeast corner of a tract as
277	283		described in Deed to Clifton G. Goodrum, filed 16 June 2006, and
278	284		Recorded in Volume 3010 Page 268 of said Deed Records, and at the
279	285		intersection of Bodovsky Road and Liberty Love Lane;
280	286		Thence: North 87 degrees 38 minutes 09 seconds, West, with the south
281	287		line of said Evans tract, and the north line of said Goodrum tract,
282	288		and in Bodovsky Road, a distance of 638.12 feet to a set survey mark
283	289		nail for the northwest corner of said Goodrum tract and on the east
284	290		Right-of-Way line of Farm-to-Market Road Number 121;
285	291		Thence: With the south line of said Evans tract, and along the north
286	292		ROW line of said FM 121, the following 8 (eight) calls;
287	293		1. North 04 degrees 11 minutes 10 seconds East, a distance
288	294		of 25.00 feet to a found State of Texas Concrete Right-of-Way
289	295		Monument;
290	296		2. North 87 degrees 38 minutes 07 seconds West, a distance
291	297		of 327.28 feet to a found State of Texas Concrete Right-of-Way
292	298		Monument, and the start of a curve to the left whose radius is
293	299		1185.94 feet, and a central angle of 09 degrees 08 minutes 00
294	300		seconds;
295	301		3. With said curve an arc length of 189.05 feet to a set 1/2
296	302		inch Steel Square Tubing for a corner;
297	303		4. North 87 degrees 51 minutes 33 seconds West, a distance
298	304		of 2040.40 feet to a found State of Texas Concrete Right-of-Way
299	305		Monument;
300	306		5. North 88 degrees 50 minutes 00 seconds West, a distance
301	307		of 1045.64 feet to a found State of Texas Concrete Right-of-Way
302	308		Monument;
303	309		6. North 85 degrees 03 minutes 00 seconds West, a distance
304	310		of 151.30 feet for a corner;
305	311		7. North 88 degrees 44 minutes 29 seconds West, a distance
306	312		of 447.05 feet to a found State of Texas Concrete Right-of-Way
307	313		Monument;
308	314		8. North 87 degrees 22 minutes 12 seconds West, a distance
309	315		of 707.52 feet to the POINT OF BEGINNING and containing 580.877
310	316		acres of land, more or less.
311	317		SECTION 3. (a) The legal notice of the intention to
312	318		introduce this Act, setting forth the general substance of this
313	319		Act, has been published as provided by law, and the notice and a
314	320		copy of this Act have been furnished to all persons, agencies,
315	321		officials, or entities to which they are required to be furnished
316	322		under Section 59, Article XVI, Texas Constitution, and Chapter 313,
317	323		Government Code.
318	324		(b) The governor, one of the required recipients, has
319	325		submitted the notice and Act to the Texas Commission on
320	326		Environmental Quality.
321	327		(c) The Texas Commission on Environmental Quality has filed
322	328		its recommendations relating to this Act with the governor, the
323	329		lieutenant governor, and the speaker of the house of
324	330		representatives within the required time.
325	331		(d) All requirements of the constitution and laws of this
326	332		state and the rules and procedures of the legislature with respect
327	333		to the notice, introduction, and passage of this Act are fulfilled
328	334		and accomplished.
329	335		SECTION 4. (a) If this Act does not receive a two-thirds
330	336		vote of all the members elected to each house, Subchapter C, Chapter
331	337		8009, Special District Local Laws Code, as added by Section 1 of
332	338		this Act, is amended by adding Section 8009.0308 to read as follows:
333	339		Sec. 8009.0308. NO EMINENT DOMAIN POWER. The district may
334	340		not exercise the power of eminent domain.
335	341		(b) This section is not intended to be an expression of a
336	342		legislative interpretation of the requirements of Section 17(c),
337	343		Article I, Texas Constitution.
338	344		SECTION 5. This Act takes effect September 1, 2019.
339		-	______________________________ ______________________________
340		-	President of the Senate Speaker of the House
341		-	I certify that H.B. No. 4645 was passed by the House on May 3,
342		-	2019, by the following vote: Yeas 126, Nays 14, 2 present, not
343		-	voting.
344		-	______________________________
345		-	Chief Clerk of the House
346		-	I certify that H.B. No. 4645 was passed by the Senate on May
347		-	22, 2019, by the following vote: Yeas 28, Nays 3.
348		-	______________________________
349		-	Secretary of the Senate
350		-	APPROVED: _____________________
351		-	Date
352		-	_____________________
353		-	Governor
	345	+	* * * * *