Texas 2019 - 86th Regular

Texas House Bill HB4710 Latest Draft

Bill / Enrolled Version Filed 05/25/2019

                            H.B. No. 4710


 AN ACT
 relating to the creation of the Montgomery County Municipal Utility
 District No. 180; granting a limited power of eminent domain;
 providing authority to issue bonds; providing authority to impose
 assessments, fees, and taxes.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Subtitle F, Title 6, Special District Local Laws
 Code, is amended by adding Chapter 8083 to read as follows:
 CHAPTER 8083. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 180
 SUBCHAPTER A. GENERAL PROVISIONS
 Sec. 8083.0101.  DEFINITIONS. In this chapter:
 (1)  "Board" means the district's board of directors.
 (2)  "Commission" means the Texas Commission on
 Environmental Quality.
 (3)  "Director" means a board member.
 (4)  "District" means the Montgomery County Municipal
 Utility District No. 180.
 Sec. 8083.0102.  NATURE OF DISTRICT. The district is a
 municipal utility district created under Section 59, Article XVI,
 Texas Constitution.
 Sec. 8083.0103.  CONFIRMATION AND DIRECTOR ELECTION
 REQUIRED. The temporary directors shall hold an election to
 confirm the creation of the district and to elect five permanent
 directors as provided by Section 49.102, Water Code.
 Sec. 8083.0104.  CONSENT OF MUNICIPALITY REQUIRED. The
 temporary directors may not hold an election under Section
 8083.0103 until each municipality in whose corporate limits or
 extraterritorial jurisdiction the district is located has
 consented by ordinance or resolution to the creation of the
 district and to the inclusion of land in the district.
 Sec. 8083.0105.  FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
 (a) The district is created to serve a public purpose and benefit.
 (b)  The district is created to accomplish the purposes of:
 (1)  a municipal utility district as provided by
 general law and Section 59, Article XVI, Texas Constitution; and
 (2)  Section 52, Article III, Texas Constitution, that
 relate to the construction, acquisition, improvement, operation,
 or maintenance of macadamized, graveled, or paved roads, or
 improvements, including storm drainage, in aid of those roads.
 Sec. 8083.0106.  INITIAL DISTRICT TERRITORY. (a) The
 district is initially composed of the territory described by
 Section 2 of the Act enacting this chapter.
 (b)  The boundaries and field notes contained in Section 2 of
 the Act enacting this chapter form a closure. A mistake made in the
 field notes or in copying the field notes in the legislative process
 does not affect the district's:
 (1)  organization, existence, or validity;
 (2)  right to issue any type of bond for the purposes
 for which the district is created or to pay the principal of and
 interest on a bond;
 (3)  right to impose a tax; or
 (4)  legality or operation.
 SUBCHAPTER B. BOARD OF DIRECTORS
 Sec. 8083.0201.  GOVERNING BODY; TERMS. (a) The district is
 governed by a board of five elected directors.
 (b)  Except as provided by Section 8083.0202, directors
 serve staggered four-year terms.
 Sec. 8083.0202.  TEMPORARY DIRECTORS. (a) On or after the
 effective date of the Act enacting this chapter, the owner or owners
 of a majority of the assessed value of the real property in the
 district may submit a petition to the commission requesting that
 the commission appoint as temporary directors the five persons
 named in the petition. The commission shall appoint as temporary
 directors the five persons named in the petition.
 (b)  Temporary directors serve until the earlier of:
 (1)  the date permanent directors are elected under
 Section 8083.0103; or
 (2)  the fourth anniversary of the effective date of
 the Act enacting this chapter.
 (c)  If permanent directors have not been elected under
 Section 8083.0103 and the terms of the temporary directors have
 expired, successor temporary directors shall be appointed or
 reappointed as provided by Subsection (d) to serve terms that
 expire on the earlier of:
 (1)  the date permanent directors are elected under
 Section 8083.0103; or
 (2)  the fourth anniversary of the date of the
 appointment or reappointment.
 (d)  If Subsection (c) applies, the owner or owners of a
 majority of the assessed value of the real property in the district
 may submit a petition to the commission requesting that the
 commission appoint as successor temporary directors the five
 persons named in the petition. The commission shall appoint as
 successor temporary directors the five persons named in the
 petition.
 SUBCHAPTER C. POWERS AND DUTIES
 Sec. 8083.0301.  GENERAL POWERS AND DUTIES. The district
 has the powers and duties necessary to accomplish the purposes for
 which the district is created.
 Sec. 8083.0302.  MUNICIPAL UTILITY DISTRICT POWERS AND
 DUTIES. The district has the powers and duties provided by the
 general law of this state, including Chapters 49 and 54, Water Code,
 applicable to municipal utility districts created under Section 59,
 Article XVI, Texas Constitution.
 Sec. 8083.0303.  AUTHORITY FOR ROAD PROJECTS. Under Section
 52, Article III, Texas Constitution, the district may design,
 acquire, construct, finance, issue bonds for, improve, operate,
 maintain, and convey to this state, a county, or a municipality for
 operation and maintenance macadamized, graveled, or paved roads, or
 improvements, including storm drainage, in aid of those roads.
 Sec. 8083.0304.  ROAD STANDARDS AND REQUIREMENTS. (a) A
 road project must meet all applicable construction standards,
 zoning and subdivision requirements, and regulations of each
 municipality in whose corporate limits or extraterritorial
 jurisdiction the road project is located.
 (b)  If a road project is not located in the corporate limits
 or extraterritorial jurisdiction of a municipality, the road
 project must meet all applicable construction standards,
 subdivision requirements, and regulations of each county in which
 the road project is located.
 (c)  If the state will maintain and operate the road, the
 Texas Transportation Commission must approve the plans and
 specifications of the road project.
 Sec. 8083.0305.  COMPLIANCE WITH MUNICIPAL CONSENT
 ORDINANCE OR RESOLUTION. The district shall comply with all
 applicable requirements of any ordinance or resolution that is
 adopted under Section 54.016 or 54.0165, Water Code, and that
 consents to the creation of the district or to the inclusion of land
 in the district.
 Sec. 8083.0306.  DIVISION OF DISTRICT. (a) The district may
 be divided into two or more new districts only if the district:
 (1)  has never issued any bonds; and
 (2)  is not imposing ad valorem taxes.
 (b)  This chapter applies to any new district created by the
 division of the district, and a new district has all the powers and
 duties of the district.
 (c)  A new district created by the division of the district
 may not, at the time the new district is created, contain any land
 outside the area described by Section 2 of the Act enacting this
 chapter.
 (d)  The board, on its own motion or on receipt of a petition
 signed by the owner or owners of a majority of the assessed value of
 the real property in the district, may adopt an order dividing the
 district.
 (e)  The board may adopt an order dividing the district
 before or after the date the board holds an election under Section
 8083.0103 to confirm the district's creation.
 (f)  An order dividing the district shall:
 (1)  name each new district;
 (2)  include the metes and bounds description of the
 territory of each new district;
 (3)  appoint temporary directors for each new district;
 and
 (4)  provide for the division of assets and liabilities
 between the new districts.
 (g)  On or before the 30th day after the date of adoption of
 an order dividing the district, the district shall file the order
 with the commission and record the order in the real property
 records of each county in which the district is located.
 (h)  A new district created by the division of the district
 shall hold a confirmation and directors' election as required by
 Section 8083.0103.
 (i)  If the creation of the new district is confirmed, the
 new district shall provide the election date and results to the
 commission.
 (j)  Any new district created by the division of the district
 must hold an election as required by this chapter to obtain voter
 approval before the district may impose a maintenance tax or issue
 bonds payable wholly or partly from ad valorem taxes.
 (k)  Municipal consent to the creation of the district and to
 the inclusion of land in the district granted under Section
 8083.0104 acts as municipal consent to the creation of any new
 district created by the division of the district and to the
 inclusion of land in the new district.
 SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
 Sec. 8083.0401.  ELECTIONS REGARDING TAXES OR BONDS. (a)
 The district may issue, without an election, bonds and other
 obligations secured by:
 (1)  revenue other than ad valorem taxes; or
 (2)  contract payments described by Section 8083.0403.
 (b)  The district must hold an election in the manner
 provided by Chapters 49 and 54, Water Code, to obtain voter approval
 before the district may impose an ad valorem tax or issue bonds
 payable from ad valorem taxes.
 (c)  The district may not issue bonds payable from ad valorem
 taxes to finance a road project unless the issuance is approved by a
 vote of a two-thirds majority of the district voters voting at an
 election held for that purpose.
 Sec. 8083.0402.  OPERATION AND MAINTENANCE TAX. (a) If
 authorized at an election held under Section 8083.0401, the
 district may impose an operation and maintenance tax on taxable
 property in the district in accordance with Section 49.107, Water
 Code.
 (b)  The board shall determine the tax rate. The rate may not
 exceed the rate approved at the election.
 Sec. 8083.0403.  CONTRACT TAXES. (a) In accordance with
 Section 49.108, Water Code, the district may impose a tax other than
 an operation and maintenance tax and use the revenue derived from
 the tax to make payments under a contract after the provisions of
 the contract have been approved by a majority of the district voters
 voting at an election held for that purpose.
 (b)  A contract approved by the district voters may contain a
 provision stating that the contract may be modified or amended by
 the board without further voter approval.
 SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
 Sec. 8083.0501.  AUTHORITY TO ISSUE BONDS AND OTHER
 OBLIGATIONS. The district may issue bonds or other obligations
 payable wholly or partly from ad valorem taxes, impact fees,
 revenue, contract payments, grants, or other district money, or any
 combination of those sources, to pay for any authorized district
 purpose.
 Sec. 8083.0502.  TAXES FOR BONDS. At the time the district
 issues bonds payable wholly or partly from ad valorem taxes, the
 board shall provide for the annual imposition of a continuing
 direct ad valorem tax, without limit as to rate or amount, while all
 or part of the bonds are outstanding as required and in the manner
 provided by Sections 54.601 and 54.602, Water Code.
 Sec. 8083.0503.  BONDS FOR ROAD PROJECTS. At the time of
 issuance, the total principal amount of bonds or other obligations
 issued or incurred to finance road projects and payable from ad
 valorem taxes may not exceed one-fourth of the assessed value of the
 real property in the district.
 SECTION 2.  The Montgomery County Municipal Utility District
 No. 180 initially includes all the territory contained in the
 following area:
 TRACT 1:
 Being 303.862 acres of land situated in the Lorenzo Jones
 Survey, A-294, and the Joseph B. Artoff Survey, A-56, Montgomery
 County, Texas, and being out of a residual of a certain 1731.823
 acres of land as described in deed recorded under County Clerk's
 File No. 2007-032747 of the Real Property Records of Montgomery
 County, Texas, said 303.862 acres of land being more particularly
 described by metes and bounds as follows:
 BEGINNING at a 5/8 inch iron rod with survey cap (Moyer) found
 in the east line of F.M. 1486, a 100 foot right-of-way, for the
 northwest corner of a certain 73.082 acres of land as described in
 deed recorded under County Clerk's File No. 2008-033746 of the Real
 Property Records of Montgomery County, Texas, same being the
 southwest corner and POINT OF BEGINNING of the herein described
 tract;
 THENCE North 02 degrees 35 minutes 18 seconds West, along the
 east line of said F.M. 1486 and the west boundary line of the herein
 described tract, a distance of 1424.40 feet to a 5/8 inch iron rod
 with survey cap (Moyer) set for the northwest corner of the herein
 described tract;
 THENCE North 87 degrees 31 minutes 51 seconds East, severing
 the said residual of 1731.823 acres of land along the north boundary
 line of the herein described tract, a distance of 9,294.00 feet to a
 5/8 inch iron rod with survey cap (Moyer) set for the northeast
 corner of the herein described tract;
 THENCE South 02 degrees 28 minutes 09 seconds East, severing
 the said 1731.823 acres of land along the east boundary line of the
 herein described tract, a distance of 1424.40 feet to a 5/8 inch
 iron rod with survey cap (Moyer) set for the southeast corner of the
 herein described tract;
 THENCE South 87 degrees 31 minutes 51 seconds West, severing
 the said 1731.823 acres of land along the south boundary line of the
 herein described tract, passing at 787.06 feet, a 5/8 inch iron rod
 with survey cap (Moyer) found for reference and the northeast
 corner of a certain 300.000 acres of land as described in deed
 recorded under County Clerk's File No. 2007-058588 of the Real
 Property Records of Montgomery County, Texas, passing at 6,862.31
 feet a 5/8 inch iron rod with survey cap (Moyer) found for reference
 and the northwest corner of the said 300.000 acres of land common to
 the northeast corner of the said 73.082 acres of land continuing in
 all a distance of 9291.04 feet to the POINT OF BEGINNING and
 containing 303.862 acres of land.
 TRACT 2:
 Being 362.014 acres of land situated in the Joseph M.
 Robinson Survey, A-450; the Lorenzo Jones Survey, A-294; and the
 Joseph B. Artoff Survey, A-56, Montgomery County, Texas, and being
 out of a residual of a certain 1731.823 acres of land as described
 in deed recorded under County Clerk's File No. 2007-032747 of the
 Real Property Records of Montgomery County, Texas, said 362.014
 acres of land being more particularly described by metes and bounds
 as follows:
 BEGINNING at a 5/8 inch iron rod with survey cap (Moyer) set
 in the east line of F.M. 1486 for the southwest corner of a certain
 640.75 acres of land as described in deed recorded under County
 Clerk's File No. 9726626 of the Real Property Records of Montgomery
 County, Texas, and the northwest corner of the herein described
 tract from which a masonry nail found for reference and the
 northwest corner of the said 1731.823 acres of land bears South 87
 degrees 31 minutes 52 seconds West, a distance of 50.00 feet;
 THENCE North 87 degrees 31 minutes 52 seconds East, along the
 south boundary line of the said 640.75 acres of land common to the
 north boundary line of the herein described tract, a distance of
 10,062.09 feet to a 5/8 inch iron rod with survey cap (Moyer) set
 for the northwest corner of a certain 19.000 acres of land as
 described in deed recorded under County Clerk's File
 No. 2009-107508 of the Real Property Records of Montgomery County,
 Texas, and the northeast corner of the herein described tract;
 THENCE South 04 degrees 28 minutes 21 seconds East, along the
 west boundary line of the said 19.000 acres of land and continuing
 along the west boundary line of a 33.000 acre residual out of 52.000
 acres of land as described in deed recorded under County Clerk's
 File No. 2008-106440 of the Real Property Records of Montgomery
 County, Texas, same being the east boundary line of the herein
 described tract, a distance of 1857.28 feet to a 5/8 inch iron rod
 with survey cap (Moyer) set for the southwest corner of the said
 52.000 acres of land and an easterly interior corner of the herein
 described tract;
 THENCE South 74 degrees 44 minutes 59 seconds East, along the
 southwest boundary line of the said 52.000 acres of land and a
 southeasterly boundary line of the herein described tract, a
 distance of 541.99 feet to a 5/8 inch iron rod with survey cap
 (Moyer) set for an interior southerly corner of the said 52.000
 acres of land and a southeasterly corner of the herein described
 tract;
 THENCE South 04 degrees 28 minutes 21 seconds East, along a
 southerly boundary line of the said 52.000 acres of land and the
 most easterly southeast boundary line of the herein described
 tract, passing at 372.00 feet, a 5/8 inch iron rod with survey cap
 (Moyer) set for reference, continuing in all, a distance of 437.87
 feet to a 5/8 inch iron rod with survey cap (Moyer) set in a curve in
 the northeast boundary line of a certain 98.000 acres of land as
 described in deed recorded under County Clerk's File
 No. 2009-031792 of the Real Property Records of Montgomery County,
 Texas, for a southwesterly corner of the said 52.000 acres of land
 and the southeast corner of the herein described tract;
 THENCE in a northwesterly direction along the northeast
 boundary line of the said 98.000 acres of land and a southeast
 boundary line of the herein described tract along a non-tangent
 curve to the left having as its elements: a radius of 1970.00 feet,
 a central angle of 07 degrees 02 minutes 06 seconds, an arc length
 of 241.88 feet, and a chord bearing of North 73 degrees 13 minutes
 22 seconds West, a distance of 241.73 feet to a 5/8 inch iron rod
 with survey cap (Moyer) set for the most northerly northeast corner
 of the said 98.000 acres of land and an interior southeasterly
 corner of the herein described tract;
 THENCE South 53 degrees 16 minutes 44 seconds West, along a
 northerly boundary line of the said 98.000 acres of land and a
 southeasterly boundary line of the herein described tract, a
 distance of 835.71 feet to a 5/8 inch iron rod with survey cap
 (Moyer) set for a northerly angle point of the said 98.000 acres of
 land and a southeasterly angle point of the herein described tract;
 THENCE South 87 degrees 31 minutes 51 seconds West,
 continuing along the north boundary line of the said 98.000 acres of
 land and a southeast boundary line of the herein described tract, a
 distance of 442.64 feet to a 5/8 inch iron rod with survey cap
 (Moyer) set for the southeast corner of a certain 303.862 acres of
 land as described in deed recorded under County Clerk's File
 No. 2009-002342 of the Real Property Records of Montgomery County,
 Texas, and the most southerly southeast corner of the herein
 described tract;
 THENCE North 02 degrees 28 minutes 09 seconds West, along the
 east boundary line of the said 303.862 acres of land common to the
 westerly southeast boundary line of the herein described tract, a
 distance of 1424.40 feet to a 5/8 inch iron rod with survey cap
 (Moyer) set for the northeast corner of the said 303.862 acres of
 land and an interior southeasterly corner of the herein described
 tract;
 THENCE South 87 degrees 31 minutes 51 seconds West, along the
 north boundary line of the said 303.862 acres of land common to the
 south boundary line of the herein described tract, a distance of
 9,294.00 feet to a 5/8 inch iron rod with survey cap (Moyer) set in
 the east line of said F.M. 1486 for the northwest corner of the said
 303.862 acres of land and the southwest corner of the herein
 described tract;
 THENCE North 02 degrees 35 minutes 18 seconds West, along the
 east line of said F.M. 1486 and the west boundary line of the herein
 described tract, a distance of 1425.04 feet to the POINT OF
 BEGINNING and containing 362.014 acres of land.
 SECTION 3.  (a) The legal notice of the intention to
 introduce this Act, setting forth the general substance of this
 Act, has been published as provided by law, and the notice and a
 copy of this Act have been furnished to all persons, agencies,
 officials, or entities to which they are required to be furnished
 under Section 59, Article XVI, Texas Constitution, and Chapter 313,
 Government Code.
 (b)  The governor, one of the required recipients, has
 submitted the notice and Act to the Texas Commission on
 Environmental Quality.
 (c)  The Texas Commission on Environmental Quality has filed
 its recommendations relating to this Act with the governor, the
 lieutenant governor, and the speaker of the house of
 representatives within the required time.
 (d)  All requirements of the constitution and laws of this
 state and the rules and procedures of the legislature with respect
 to the notice, introduction, and passage of this Act are fulfilled
 and accomplished.
 SECTION 4.  (a) If this Act does not receive a two-thirds
 vote of all the members elected to each house, Subchapter C, Chapter
 8083, Special District Local Laws Code, as added by Section 1 of
 this Act, is amended by adding Section 8083.0307 to read as follows:
 Sec. 8083.0307.  NO EMINENT DOMAIN POWER. The district may
 not exercise the power of eminent domain.
 (b)  This section is not intended to be an expression of a
 legislative interpretation of the requirements of Section 17(c),
 Article I, Texas Constitution.
 SECTION 5.  This Act takes effect immediately if it receives
 a vote of two-thirds of all the members elected to each house, as
 provided by Section 39, Article III, Texas Constitution. If this
 Act does not receive the vote necessary for immediate effect, this
 Act takes effect September 1, 2019.
 ______________________________ ______________________________
 President of the Senate Speaker of the House
 I certify that H.B. No. 4710 was passed by the House on May 3,
 2019, by the following vote:  Yeas 123, Nays 17, 2 present, not
 voting.
 ______________________________
 Chief Clerk of the House
 I certify that H.B. No. 4710 was passed by the Senate on May
 22, 2019, by the following vote:  Yeas 29, Nays 1, 1 present, not
 voting.
 ______________________________
 Secretary of the Senate
 APPROVED:  _____________________
 Date
 _____________________
 Governor