Texas 2019 - 86th Regular

Texas Senate Bill SB2459 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	86R10840 JXC-F
1	2		By: Creighton S.B. No. 2459
2		-	(In the Senate - Filed March 26, 2019; March 27, 2019, read
3		-	first time and referred to Committee on Intergovernmental
4		-	Relations; April 23, 2019, reported favorably by the following
5		-	vote: Yeas 6, Nays 0; April 23, 2019, sent to printer.)
6		-	Click here to see the committee vote
7	3
8	4
9	5		A BILL TO BE ENTITLED
10	6		AN ACT
11	7		relating to the creation of the Wood Trace Management District of
12	8		Montgomery County, Texas; providing authority to issue bonds;
13	9		providing authority to impose assessments, fees, and taxes.
14	10		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
15	11		SECTION 1. Subtitle C, Title 4, Special District Local Laws
16	12		Code, is amended by adding Chapter 3967 to read as follows:
17	13		CHAPTER 3967. WOOD TRACE MANAGEMENT DISTRICT OF MONTGOMERY COUNTY,
18	14		TEXAS
19	15		SUBCHAPTER A. GENERAL PROVISIONS
20	16		Sec. 3967.0101. DEFINITIONS. In this chapter:
21	17		(1) "Board" means the district's board of directors.
22	18		(2) "County" means Montgomery County.
23	19		(3) "Director" means a board member.
24	20		(4) "District" means the Wood Trace Management
25	21		District of Montgomery County, Texas.
26	22		Sec. 3967.0102. CREATION AND NATURE OF DISTRICT; IMMUNITY.
27	23		(a) The district is a special district created under Section 59,
28	24		Article XVI, Texas Constitution.
29	25		(b) The district is a governmental unit, as provided by
30	26		Section 375.004, Local Government Code.
31	27		(c) This chapter does not waive any governmental or
32	28		sovereign immunity from suit, liability, or judgment that would
33	29		otherwise apply to the district.
34	30		Sec. 3967.0103. PURPOSE; DECLARATION OF INTENT. (a) The
35	31		creation of the district is essential to accomplish the purposes of
36	32		Sections 52 and 52-a, Article III, and Section 59, Article XVI,
37	33		Texas Constitution, and other public purposes stated in this
38	34		chapter. By creating the district, the legislature has established
39	35		a program to accomplish the public purposes set out in Sections 52
40	36		and 52-a, Article III, Texas Constitution.
41	37		(b) The creation of the district is necessary to promote,
42	38		develop, encourage, and maintain employment, commerce,
43	39		transportation, housing, tourism, recreation, the arts,
44	40		entertainment, economic development, safety, and the public
45	41		welfare in the district.
46	42		(c) This chapter and the creation of the district may not be
47	43		interpreted to relieve a municipality or the county from providing
48	44		the level of services provided as of the effective date of the Act
49	45		enacting this chapter to the area in the district. The district is
50	46		created to supplement and not to supplant governmental services
51	47		provided in the district.
52	48		Sec. 3967.0104. FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
53	49		(a) The district is created to serve a public use and benefit.
54	50		(b) All land and other property included in the district
55	51		will benefit from the improvements and services to be provided by
56	52		the district under powers conferred by Sections 52 and 52-a,
57	53		Article III, and Section 59, Article XVI, Texas Constitution, and
58	54		other powers granted under this chapter.
59	55		(c) The creation of the district is in the public interest
60	56		and is essential to further the public purposes of:
61	57		(1) developing and diversifying the economy of the
62	58		state;
63	59		(2) eliminating unemployment and underemployment; and
64	60		(3) developing or expanding transportation and
65	61		commerce.
66	62		(d) The district will:
67	63		(1) promote the health, safety, and general welfare of
68	64		residents, employers, potential employees, employees, visitors,
69	65		and consumers in the district, and of the public;
70	66		(2) provide needed funding for the district to
71	67		preserve, maintain, and enhance the economic health and vitality of
72	68		the district territory as a community and business center;
73	69		(3) promote the health, safety, welfare, and enjoyment
74	70		of the public by providing pedestrian ways, transit facilities,
75	71		parking facilities, and public art objects, and by landscaping and
76	72		developing certain areas in the district, which are necessary for
77	73		the restoration, preservation, and enhancement of scenic beauty;
78	74		and
79	75		(4) provide for water, wastewater, drainage, road, and
80	76		recreational facilities for the district.
81	77		(e) Pedestrian ways along or across a street, whether at
82	78		grade or above or below the surface, and street lighting, street
83	79		landscaping, parking, and street art objects are parts of and
84	80		necessary components of a street and are considered to be a street
85	81		or road improvement.
86	82		(f) The district will not act as the agent or
87	83		instrumentality of any private interest even though the district
88	84		will benefit many private interests as well as the public.
89	85		Sec. 3967.0105. DISTRICT TERRITORY. (a) The district is
90	86		initially composed of the territory described by Section 2 of the
91	87		Act enacting this chapter.
92	88		(b) The boundaries and field notes of the district contained
93	89		in Section 2 of the Act enacting this chapter form a closure. A
94	90		mistake in the field notes or in copying the field notes in the
95	91		legislative process does not affect the district's:
96	92		(1) organization, existence, or validity;
97	93		(2) right to issue any type of bonds for a purpose for
98	94		which the district is created or to pay the principal of and
99	95		interest on the bonds;
100	96		(3) right to impose or collect an assessment or tax; or
101	97		(4) legality or operation.
102	98		Sec. 3967.0106. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
103	99		All or any part of the area of the district is eligible to be
104	100		included in:
105	101		(1) a tax increment reinvestment zone created under
106	102		Chapter 311, Tax Code;
107	103		(2) a tax abatement reinvestment zone created under
108	104		Chapter 312, Tax Code;
109	105		(3) an enterprise zone created under Chapter 2303,
110	106		Government Code; or
111	107		(4) an industrial district created under Chapter 42,
112	108		Local Government Code.
113	109		Sec. 3967.0107. APPLICABILITY OF MUNICIPAL MANAGEMENT
114	110		DISTRICTS LAW. Except as otherwise provided by this chapter,
115	111		Chapter 375, Local Government Code, applies to the district.
116	112		Sec. 3967.0108. LIBERAL CONSTRUCTION OF CHAPTER. This
117	113		chapter shall be liberally construed in conformity with the
118	114		findings and purposes stated in this chapter.
119	115		Sec. 3967.0109. CONFLICTS OF LAW. This chapter prevails
120	116		over any provision of general law, including a provision of Chapter
121	117		375, Local Government Code, or Chapter 49, Water Code, that is in
122	118		conflict or inconsistent with this chapter.
123	119		SUBCHAPTER B. BOARD OF DIRECTORS
124		-	Sec. 3967.0201. GOVERNING BODY; TERMS. (a) The district
125		-	is governed by a board of five directors elected or appointed as
	120	+	Sec. 3967.0201. GOVERNING BODY; TERMS. (a) The district is
	121	+	governed by a board of five directors elected or appointed as
126	122		provided by this chapter and Subchapter D, Chapter 49, Water Code.
127	123		(b) Except as provided by Section 3967.0203, directors
128	124		serve staggered four-year terms.
129	125		Sec. 3967.0202. COMPENSATION. A director is entitled to
130	126		receive fees of office and reimbursement for actual expenses as
131	127		provided by Section 49.060, Water Code. Sections 375.069 and
132	128		375.070, Local Government Code, do not apply to the board.
133	129		Sec. 3967.0203. TEMPORARY DIRECTORS. (a) On or after the
134	130		effective date of the Act creating this chapter, the owner or owners
135	131		of a majority of the assessed value of the real property in the
136	132		district according to the most recent certified tax appraisal roll
137	133		for the county may submit a petition to the Texas Commission on
138	134		Environmental Quality requesting that the commission appoint as
139	135		temporary directors the five persons named in the petition. The
140	136		commission shall appoint as temporary directors the five persons
141	137		named in the petition.
142	138		(b) The temporary or successor temporary directors shall
143	139		hold an election to elect five permanent directors as provided by
144	140		Section 49.102, Water Code.
145	141		(c) Temporary directors serve until the earlier of:
146	142		(1) the date permanent directors are elected under
147	143		Subsection (b); or
148	144		(2) the fourth anniversary of the effective date of
149	145		the Act creating this chapter.
150	146		(d) If permanent directors have not been elected under
151	147		Subsection (b) and the terms of the temporary directors have
152	148		expired, successor temporary directors shall be appointed or
153	149		reappointed as provided by Subsection (e) to serve terms that
154	150		expire on the earlier of:
155	151		(1) the date permanent directors are elected under
156	152		Subsection (b); or
157	153		(2) the fourth anniversary of the date of the
158	154		appointment or reappointment.
159	155		(e) If Subsection (d) applies, the owner or owners of a
160	156		majority of the assessed value of the real property in the district
161	157		according to the most recent certified tax appraisal roll for the
162	158		county may submit a petition to the Texas Commission on
163	159		Environmental Quality requesting that the commission appoint as
164	160		successor temporary directors the five persons named in the
165	161		petition. The commission shall appoint as successor temporary
166	162		directors the five persons named in the petition.
167	163		Sec. 3967.0204. DISQUALIFICATION OF DIRECTORS. Section
168	164		49.052, Water Code, applies to the members of the board.
169	165		SUBCHAPTER C. POWERS AND DUTIES
170	166		Sec. 3967.0301. GENERAL POWERS AND DUTIES. The district
171	167		has the powers and duties necessary to accomplish the purposes for
172	168		which the district is created.
173		-	Sec. 3967.0302. IMPROVEMENT PROJECTS AND SERVICES.
174		-	~~(a)~~ The district may provide, design, construct, acquire,
175		-	~~improve,~~ relocate, operate, maintain, or finance an improvement
176		-	~~project or~~ service using money available to the district for that
177		-	~~purpose, or~~ contract with a governmental or private entity to
178		-	~~provide, design,~~ construct, acquire, improve, relocate, operate,
179		-	~~maintain, or~~ finance an improvement project or service authorized
180		-	~~under this~~ chapter or under Chapter 375, Local Government Code.
	169	+	Sec. 3967.0302. IMPROVEMENT PROJECTS AND SERVICES. (a)
	170	+	The district may provide, design, construct, acquire, improve,
	171	+	relocate, operate, maintain, or finance an improvement project or
	172	+	service using money available to the district for that purpose, or
	173	+	contract with a governmental or private entity to provide, design,
	174	+	construct, acquire, improve, relocate, operate, maintain, or
	175	+	finance an improvement project or service authorized under this
	176	+	chapter or under Chapter 375, Local Government Code.
181	177		(b) The implementation of a district project or service is a
182	178		governmental function or service for the purposes of Chapter 791,
183	179		Government Code.
184	180		Sec. 3967.0303. RECREATIONAL FACILITIES. The district may
185	181		develop or finance recreational facilities as authorized by Chapter
186	182		375, Local Government Code, Sections 52 and 52-a, Article III,
187	183		Texas Constitution, Section 59, Article XVI, Texas Constitution,
188	184		and any other law that applies to the district.
189	185		Sec. 3967.0304. AUTHORITY FOR ROAD PROJECTS. Under Section
190	186		52, Article III, Texas Constitution, the district may own, operate,
191	187		maintain, design, acquire, construct, finance, issue bonds, notes,
192	188		or other obligations for, improve, and convey to this state, a
193	189		county, or a municipality for ownership, operation, and maintenance
194	190		macadamized, graveled, or paved roads or improvements, including
195	191		storm drainage, in aid of those roads.
196	192		Sec. 3967.0305. CONVEYANCE AND APPROVAL OF ROAD PROJECT.
197	193		(a) The district may convey a road project authorized by Section
198	194		3967.0304 to:
199	195		(1) a municipality or county that will operate and
200	196		maintain the road if the municipality or county has approved the
201	197		plans and specifications of the road project; or
202	198		(2) the state if the state will operate and maintain
203	199		the road and the Texas Transportation Commission has approved the
204	200		plans and specifications of the road project.
205	201		(b) Except as provided by Subsection (c), the district shall
206	202		operate and maintain a road project authorized by Section 3967.0304
207	203		that the district implements and does not convey to a municipality,
208	204		a county, or this state under Subsection (a).
209	205		(c) The district may agree in writing with a municipality, a
210	206		county, or this state to assign operation and maintenance duties to
211	207		the district, the municipality, the county, or this state in a
212	208		manner other than the manner described in Subsections (a) and (b).
213	209		Sec. 3967.0306. NONPROFIT CORPORATION. (a) The board by
214	210		resolution may authorize the creation of a nonprofit corporation to
215	211		assist and act for the district in implementing a project or
216	212		providing a service authorized by this chapter.
217	213		(b) The nonprofit corporation:
218	214		(1) has each power of and is considered to be a local
219	215		government corporation created under Subchapter D, Chapter 431,
220	216		Transportation Code; and
221	217		(2) may implement any project and provide any service
222	218		authorized by this chapter.
223	219		(c) The board shall appoint the board of directors of the
224	220		nonprofit corporation. The board of directors of the nonprofit
225	221		corporation shall serve in the same manner as the board of directors
226	222		of a local government corporation created under Subchapter D,
227	223		Chapter 431, Transportation Code, except that a board member is not
228	224		required to reside in the district.
229	225		Sec. 3967.0307. LAW ENFORCEMENT SERVICES. Section 49.216,
230	226		Water Code, applies to the district.
231	227		Sec. 3967.0308. MEMBERSHIP IN CHARITABLE ORGANIZATIONS.
232	228		The district may join and pay dues to a charitable or nonprofit
233	229		organization that performs a service or provides an activity
234	230		consistent with the furtherance of a district purpose.
235	231		Sec. 3967.0309. ECONOMIC DEVELOPMENT. (a) The district
236	232		may engage in activities that accomplish the economic development
237	233		purposes of the district.
238	234		(b) The district may establish and provide for the
239	235		administration of one or more programs to promote state or local
240	236		economic development and to stimulate business and commercial
241	237		activity in the district, including programs to:
242	238		(1) make loans and grants of public money; and
243	239		(2) provide district personnel and services.
244	240		(c) The district may create economic development programs
245	241		and exercise the economic development powers that:
246	242		(1) Chapter 380, Local Government Code, provides to a
247	243		municipality; and
248	244		(2) Subchapter A, Chapter 1509, Government Code,
249	245		provides to a municipality.
250	246		Sec. 3967.0310. STRATEGIC PARTNERSHIP AGREEMENT. The
251	247		district may negotiate and enter into a written strategic
252	248		partnership agreement with a municipality under Section 43.0751,
253	249		Local Government Code.
254	250		Sec. 3967.0311. REGIONAL PARTICIPATION AGREEMENT. The
255	251		district may negotiate and enter into a written regional
256	252		participation agreement with a municipality under Section 43.0754,
257	253		Local Government Code.
258	254		Sec. 3967.0312. PARKING FACILITIES. (a) The district may
259	255		acquire, lease as lessor or lessee, construct, develop, own,
260	256		operate, and maintain parking facilities or a system of parking
261	257		facilities, including lots, garages, parking terminals, or other
262	258		structures or accommodations for parking motor vehicles off the
263	259		streets and related appurtenances.
264	260		(b) The district's parking facilities serve the public
265	261		purposes of the district and are owned, used, and held for a public
266	262		purpose even if leased or operated by a private entity for a term of
267	263		years.
268	264		(c) The district's parking facilities are parts of and
269	265		necessary components of a street and are considered to be a street
270	266		or road improvement.
271	267		(d) The development and operation of the district's parking
272	268		facilities may be considered an economic development program.
273		-	Sec. 3967.0313. ADDING OR EXCLUDING LAND. (a) The
274		-	~~district~~ may add land in the manner provided by Subchapter J,
275		-	~~Chapter 49,~~ Water Code.
	269	+	Sec. 3967.0313. ADDING OR EXCLUDING LAND. (a) The district
	270	+	may add land in the manner provided by Subchapter J, Chapter 49,
	271	+	Water Code.
276	272		(b) The district may exclude land as provided by Subchapter
277	273		J, Chapter 49, Water Code. Section 375.044(b), Local Government
278	274		Code, does not apply to the district.
279	275		(c) The district may include and exclude land as provided by
280	276		Sections 54.739-54.747, Water Code. A reference in those sections
281	277		to a "tax" means an ad valorem tax for the purposes of this
282	278		subsection.
283	279		(d) If the district adopts a sales and use tax authorized at
284	280		an election held under Section 3967.0602 and subsequently includes
285	281		new territory in the district under this section, the district:
286	282		(1) is not required to hold another election to
287	283		approve the imposition of the sales and use tax in the included
288	284		territory; and
289	285		(2) shall impose the sales and use tax in the included
290	286		territory as provided by Chapter 321, Tax Code.
291	287		(e) If the district adopts a sales and use tax authorized at
292	288		an election held under Section 3967.0602 and subsequently excludes
293	289		territory in the district under this section, the sales and use tax
294	290		is inapplicable to the excluded territory, as provided by Chapter
295	291		321, Tax Code, but is applicable to the territory remaining in the
296	292		district.
297	293		Sec. 3967.0314. DISBURSEMENTS AND TRANSFERS OF MONEY. The
298	294		board by resolution shall establish the number of directors'
299	295		signatures and the procedure required for a disbursement or
300	296		transfer of district money.
301	297		Sec. 3967.0315. AUDIT EXEMPTION. (a) The district may
302	298		elect to complete an annual financial report in lieu of an annual
303	299		audit under Section 375.096(a)(6), Local Government Code, if:
304	300		(1) the district had no bonds or other long-term (more
305	301		than one year) liabilities outstanding during the fiscal period;
306	302		(2) the district did not have gross receipts from
307	303		operations, loans, taxes, assessments, or contributions in excess
308	304		of $250,000 during the fiscal period; and
309	305		(3) the district's cash and temporary investments were
310	306		not in excess of $250,000 during the fiscal period.
311	307		(b) Each annual financial report prepared in accordance
312	308		with this section must be open to public inspection and accompanied
313	309		by an affidavit signed by a duly authorized representative of the
314	310		district attesting to the accuracy and authenticity of the
315	311		financial report.
316	312		(c) The annual financial report and affidavit shall be
317	313		substantially similar in form to the annual financial report and
318	314		affidavit forms prescribed by the executive director of the Texas
319	315		Commission on Environmental Quality under Section 49.198, Water
320	316		Code.
321	317		Sec. 3967.0316. NO EMINENT DOMAIN POWER. The district may
322	318		not exercise the power of eminent domain.
323	319		SUBCHAPTER D. ASSESSMENTS
324	320		Sec. 3967.0401. PETITION REQUIRED FOR FINANCING SERVICES
325		-	AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance
326		-	a service or improvement project with assessments under this
327		-	~~chapter~~ unless a written petition requesting that service or
328		-	~~improvement~~ has been filed with the board.
	321	+	AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
	322	+	service or improvement project with assessments under this chapter
	323	+	unless a written petition requesting that service or improvement
	324	+	has been filed with the board.
329	325		(b) The petition must be signed by the owners of a majority
330	326		of the assessed value of real property in the district subject to
331	327		assessment according to the most recent certified tax appraisal
332	328		roll for the county.
333	329		Sec. 3967.0402. METHOD OF NOTICE FOR HEARING. The district
334	330		may mail the notice required by Section 375.115(c), Local
335	331		Government Code, by certified or first class United States mail.
336	332		The board shall determine the method of notice.
337		-	Sec. 3967.0403. ASSESSMENTS; LIENS FOR ASSESSMENTS.
338		-	~~(a)~~ The board by resolution may impose and collect an assessment
339		-	~~for any~~ purpose authorized by this chapter in all or any part of the
	333	+	Sec. 3967.0403. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
	334	+	The board by resolution may impose and collect an assessment for any
	335	+	purpose authorized by this chapter in all or any part of the
340	336		district.
341	337		(b) An assessment, a reassessment, or an assessment
342	338		resulting from an addition to or correction of the assessment roll
343	339		by the district, penalties and interest on an assessment or
344	340		reassessment, an expense of collection, and reasonable attorney's
345	341		fees incurred by the district are:
346	342		(1) a first and prior lien against the property
347	343		assessed;
348	344		(2) superior to any other lien or claim other than a
349	345		lien or claim for county, school district, or municipal ad valorem
350	346		taxes; and
351	347		(3) the personal liability of and a charge against the
352	348		owners of the property even if the owners are not named in the
353	349		assessment proceedings.
354	350		(c) The lien is effective from the date of the board's
355	351		resolution imposing the assessment until the date the assessment is
356	352		paid. The board may enforce the lien in the same manner that the
357	353		board may enforce an ad valorem tax lien against real property.
358	354		(d) The board may make a correction to or deletion from the
359	355		assessment roll that does not increase the amount of assessment of
360	356		any parcel of land without providing notice and holding a hearing in
361	357		the manner required for additional assessments.
362	358		SUBCHAPTER E. TAXES AND BONDS
363	359		Sec. 3967.0501. TAX ELECTION REQUIRED. The district must
364	360		hold an election in the manner provided by Chapter 49, Water Code,
365	361		or, if applicable, Chapter 375, Local Government Code, to obtain
366	362		voter approval before the district may impose an ad valorem tax.
367	363		Sec. 3967.0502. OPERATION AND MAINTENANCE TAX. (a) If
368	364		authorized by a majority of the district voters voting at an
369	365		election under Section 3967.0501, the district may impose an
370	366		operation and maintenance tax on taxable property in the district
371	367		in the manner provided by Section 49.107, Water Code, for any
372	368		district purpose, including to:
373	369		(1) maintain and operate the district;
374	370		(2) construct or acquire improvements; or
375	371		(3) provide a service.
376	372		(b) The board shall determine the operation and maintenance
377	373		tax rate. The rate may not exceed the rate approved at the
378	374		election.
379	375		(c) Section 49.107(h), Water Code, does not apply to the
380	376		district.
381	377		Sec. 3967.0503. AUTHORITY TO BORROW MONEY AND TO ISSUE
382	378		BONDS AND OTHER OBLIGATIONS. (a) The district may borrow money on
383	379		terms determined by the board.
384	380		(b) The district may, by competitive bid or negotiated sale,
385	381		issue bonds, notes, or other obligations payable wholly or partly
386	382		from ad valorem taxes, assessments, impact fees, revenue, contract
387	383		payments, grants, or other district money, or any combination of
388	384		those sources of money, to pay for any authorized district purpose.
389	385		(c) The limitation on the outstanding principal amount of
390	386		bonds, notes, or other obligations provided by Section 49.4645,
391	387		Water Code, does not apply to the district.
392	388		Sec. 3967.0504. BONDS SECURED BY REVENUE OR CONTRACT
393	389		PAYMENTS. The district may issue, without an election, bonds
394	390		secured by:
395	391		(1) revenue other than ad valorem taxes, including
396	392		contract revenues; or
397	393		(2) contract payments, provided that the requirements
398	394		of Section 49.108, Water Code, have been met.
399	395		Sec. 3967.0505. BONDS SECURED BY AD VALOREM TAXES;
400	396		ELECTIONS. (a) If authorized at an election under Section
401	397		3967.0501, the district may issue bonds payable from ad valorem
402	398		taxes.
403	399		(b) Section 375.243, Local Government Code, does not apply
404	400		to the district.
405	401		(c) At the time the district issues bonds payable wholly or
406	402		partly from ad valorem taxes, the board shall provide for the annual
407	403		imposition of a continuing direct annual ad valorem tax, without
408	404		limit as to rate or amount, for each year that all or part of the
409	405		bonds are outstanding as required and in the manner provided by
410	406		Sections 54.601 and 54.602, Water Code.
411	407		(d) All or any part of any facilities or improvements that
412	408		may be acquired by a district by the issuance of its bonds may be
413	409		submitted as a single proposition or as several propositions to be
414	410		voted on at the election.
415	411		Sec. 3967.0506. CONSENT OF MUNICIPALITY REQUIRED. (a) The
416	412		board may not issue bonds until each municipality in whose
417	413		corporate limits or extraterritorial jurisdiction the district is
418	414		located has consented by ordinance or resolution to the creation of
419	415		the district and to the inclusion of land in the district.
420	416		(b) This section applies only to the district's first
421	417		issuance of bonds payable from ad valorem taxes.
422	418		SUBCHAPTER F. SALES AND USE TAX
423	419		Sec. 3967.0601. APPLICABILITY OF CERTAIN TAX CODE
424	420		PROVISIONS. (a) Chapter 321, Tax Code, governs the imposition,
425	421		computation, administration, enforcement, and collection of the
426	422		sales and use tax authorized by this subchapter except to the extent
427	423		Chapter 321, Tax Code, is inconsistent with this chapter.
428	424		(b) A reference in Chapter 321, Tax Code, to a municipality
429	425		or the governing body of a municipality is a reference to the
430	426		district or the board, respectively.
431	427		Sec. 3967.0602. ELECTION; ADOPTION OF TAX. (a) The
432	428		district may adopt a sales and use tax if authorized by a majority
433	429		of the voters of the district voting at an election held for that
434	430		purpose.
435	431		(b) The board by order may call an election to authorize the
436	432		adoption of the sales and use tax. The election may be held on any
437	433		uniform election date and in conjunction with any other district
438	434		election.
439	435		(c) The ballot shall be printed to provide for voting for or
440	436		against the proposition: "Authorization of a sales and use tax in
441	437		the Wood Trace Management District of Montgomery County, Texas, at
442	438		a rate not to exceed ____ percent" (insert rate of one or more
443	439		increments of one-eighth of one percent).
444		-	Sec. 3967.0603. SALES AND USE TAX RATE. (a) On or after
445		-	~~the~~ date the results are declared of an election held under Section
	440	+	Sec. 3967.0603. SALES AND USE TAX RATE. (a) On or after the
	441	+	date the results are declared of an election held under Section
446	442		3967.0602, at which the voters approved imposition of the tax
447	443		authorized by this subchapter, the board shall determine and adopt
448	444		by resolution or order the initial rate of the tax, which must be in
449	445		one or more increments of one-eighth of one percent.
450	446		(b) After the election held under Section 3967.0602, the
451	447		board may increase or decrease the rate of the tax by one or more
452	448		increments of one-eighth of one percent.
453	449		(c) The initial rate of the tax or any rate resulting from
454	450		subsequent increases or decreases may not exceed the lesser of:
455	451		(1) the maximum rate authorized by the district voters
456	452		at the election held under Section 3967.0602; or
457	453		(2) a rate that, when added to the rates of all sales
458	454		and use taxes imposed by other political subdivisions with
459	455		territory in the district, would result in the maximum combined
460	456		rate prescribed by Section 321.101(f), Tax Code, at any location in
461	457		the district.
462	458		Sec. 3967.0604. TAX AFTER MUNICIPAL ANNEXATION. (a) This
463	459		section applies to the district after a municipality annexes part
464	460		of the territory in the district and imposes the municipality's
465	461		sales and use tax in the annexed territory.
466	462		(b) If at the time of annexation the district has
467	463		outstanding debt or other obligations payable wholly or partly from
468	464		district sales and use tax revenue, Section 321.102(g), Tax Code,
469	465		applies to the district.
470	466		(c) If at the time of annexation the district does not have
471	467		outstanding debt or other obligations payable wholly or partly from
472	468		district sales and use tax revenue, the district may:
473	469		(1) exclude the annexed territory from the district,
474	470		if the district has no outstanding debt or other obligations
475	471		payable from any source; or
476	472		(2) reduce the sales and use tax in the annexed
477	473		territory by resolution or order of the board to a rate that, when
478	474		added to the sales and use tax rate imposed by the municipality in
479	475		the annexed territory, is equal to the sales and use tax rate
480	476		imposed by the district in the district territory that was not
481	477		annexed by the municipality.
482	478		Sec. 3967.0605. NOTIFICATION OF RATE CHANGE. The board
483	479		shall notify the comptroller of any changes made to the tax rate
484	480		under this subchapter in the same manner the municipal secretary
485	481		provides notice to the comptroller under Section 321.405(b), Tax
486	482		Code.
487	483		Sec. 3967.0606. USE OF REVENUE. Revenue from the sales and
488	484		use tax imposed under this subchapter is for the use and benefit of
489	485		the district and may be used for any district purpose. The district
490	486		may pledge all or part of the revenue to the payment of bonds,
491	487		notes, or other obligations, and that pledge of revenue may be in
492	488		combination with other revenue, including tax revenue, available to
493	489		the district.
494	490		Sec. 3967.0607. ABOLITION OF TAX. (a) Except as provided
495	491		by Subsection (b), the board may abolish the tax imposed under this
496	492		subchapter without an election.
497	493		(b) The board may not abolish the tax imposed under this
498	494		subchapter if the district has outstanding debt secured by the tax,
499	495		and repayment of the debt would be impaired by the abolition of the
500	496		tax.
501	497		(c) If the board abolishes the tax, the board shall notify
502	498		the comptroller of that action in the same manner the municipal
503	499		secretary provides notice to the comptroller under Section
504	500		321.405(b), Tax Code.
505	501		(d) If the board abolishes the tax or decreases the tax rate
506	502		to zero, a new election to authorize a sales and use tax must be held
507	503		under Section 3967.0602 before the district may subsequently impose
508	504		the tax.
509	505		(e) This section does not apply to a decrease in the sales
510	506		and use tax authorized under Section 3967.0604(c)(2).
511	507		SUBCHAPTER G. HOTEL OCCUPANCY TAX
512	508		Sec. 3967.0701. DEFINITION. In this subchapter, "hotel"
513	509		has the meaning assigned by Section 156.001, Tax Code.
514	510		Sec. 3967.0702. APPLICABILITY OF CERTAIN TAX CODE
515	511		PROVISIONS. (a) For purposes of this subchapter:
516	512		(1) a reference in Subchapter A, Chapter 352, Tax
517	513		Code, to a county is a reference to the district; and
518	514		(2) a reference in Subchapter A, Chapter 352, Tax
519	515		Code, to the commissioners court is a reference to the board.
520	516		(b) Except as inconsistent with this subchapter, Subchapter
521	517		A, Chapter 352, Tax Code, governs a hotel occupancy tax authorized
522	518		by this subchapter, including the collection of the tax, subject to
523	519		the limitations prescribed by Sections 352.002(b) and (c), Tax
524	520		Code.
525	521		Sec. 3967.0703. TAX AUTHORIZED; USE OF REVENUE. The
526	522		district may impose a hotel occupancy tax for any purpose described
527	523		by Section 351.101 or 352.101, Tax Code.
528	524		Sec. 3967.0704. TAX RATE. (a) The amount of the hotel
529	525		occupancy tax may not exceed the lesser of:
530	526		(1) the maximum rate prescribed by Section 352.003(a),
531	527		Tax Code; or
532	528		(2) a rate that, when added to the rates of all hotel
533	529		occupancy taxes imposed by other political subdivisions with
534	530		territory in the district and by this state, does not exceed the sum
535	531		of the rate prescribed by Section 351.0025(b), Tax Code, plus two
536	532		percent.
537	533		(b) The district tax is in addition to a tax imposed by a
538	534		municipality under Chapter 351, Tax Code, or by the county under
539	535		Chapter 352, Tax Code.
540	536		Sec. 3967.0705. INFORMATION. The district may examine and
541	537		receive information related to the imposition of hotel occupancy
542	538		taxes to the same extent as if the district were a county.
543	539		Sec. 3967.0706. USE OF REVENUE. The district may use
544	540		revenue from the hotel occupancy tax for any district purpose that
545	541		is an authorized use of hotel occupancy tax revenue under Chapter
546	542		351 or 352, Tax Code. The district may pledge all or part of the
547	543		revenue to the payment of bonds, notes, or other obligations and
548	544		that pledge of revenue may be in combination with other revenue
549	545		available to the district.
550	546		Sec. 3967.0707. ABOLITION OF TAX. (a) Except as provided
551	547		by Subsection (b), the board may abolish the tax imposed under this
552	548		subchapter.
553	549		(b) The board may not abolish the tax imposed under this
554	550		subchapter if the district has outstanding debt secured by the tax,
555	551		and repayment of the debt would be impaired by the abolition of the
556	552		tax.
557	553		SUBCHAPTER I. DISSOLUTION BY BOARD
558	554		Sec. 3967.0901. DISSOLUTION OF DISTRICT WITH OUTSTANDING
559	555		DEBT. (a) The board may dissolve the district regardless of
560	556		whether the district has debt. Section 375.264, Local Government
561	557		Code, does not apply to the district.
562	558		(b) If the district has debt when it is dissolved, the
563	559		district shall remain in existence solely for the purpose of
564	560		discharging its debts. The dissolution is effective when all debts
565	561		have been discharged.
566	562		SECTION 2. The Wood Trace Management District of Montgomery
567	563		County, Texas, initially includes all the territory contained in
568	564		the following area:
569	565		Being a 92.63-acre tract of land, located in the Andrew J.
570	566		Hensley, Abstract No. 255 in Montgomery County, Texas; said
571	567		92.63-acre tract being out of a called 2,253.2253-acre tract of
572	568		land conveyed to Terra Investments, LP in Clerk's File Number
573	569		2004023496 of the Official Public Records of Real Property of
574	570		Montgomery County Texas (O.P.R.R.P.M.C.T.); said 92.63-acre tract
575	571		being more particularly described by metes and bounds as follows
576	572		(all bearings are referenced to the north line of said
577	573		2,253.2253-acre tract):
578	574		Beginning at a 5/8-inch iron rod with aluminum cap found at
579	575		the northwest corner of a called 10.0000-acre tract of land
580	576		recorded in Clerk's File Number 9350680 of the O.P.R.R.P.M.C.T.,
581	577		same being on the west line of said called 2,253.2253-acre tract and
582	578		the east right-of-way (R.O.W.) line of Highway 149 (60-feet wide);
583	579		1. Thence, with the common line of said Highway 149 and said
584	580		called 2,253.2253-acre tract, North 08 degrees 35 minutes 16
585	581		seconds West, a distance of 620.67 feet;
586	582		2. Thence, continuing with said common line, 291.17 feet
587	583		along the arc of a curve to the right, said curve having a central
588	584		angle of 05 degrees 59 minutes 03 seconds, a radius of 2,787.83 feet
589	585		and a chord that bears North 05 degrees 35 minutes 45 seconds West,
590	586		a distance of 291.04 feet;
591	587		3. Thence, with the northwest line of said called
592	588		2,253.2253-acre tract, North 42 degrees 18 minutes 44 seconds East,
593	589		a distance of 1,390.50 feet;
594	590		4. Thence, continuing with the northwest line of said called
595	591		2,253.2253-acre tract, North 43 degrees 05 minutes 06 seconds East,
596	592		a distance of 188.90 feet to the most westerly corner of a called
597	593		34.6647-acre tract of land recorded in Clerk's File Number
598	594		2018021947 of the O.P.R.R.P.M.C.T.;
599	595		Thence, with the west line of said called 34.6647-acre tract,
600	596		the following five (5) courses:
601	597		5. 1,433.79 feet along the arc of a curve to the right, said
602	598		curve having a central angle of 30 degrees 49 minutes 40 seconds, a
603	599		radius of 2,664.79 feet and a chord that bears South 25 degrees 30
604	600		minutes 44 seconds East, a distance of 1,416.55 feet;
605	601		6. South 10 degrees 05 minutes 54 seconds East, a distance of
606	602		415.32 feet;
607	603		7. South 10 degrees 05 minutes 54 seconds East, a distance of
608	604		300.00 feet;
609	605		8. South 10 degrees 05 minutes 54 seconds East, a distance of
610	606		516.07 feet;
611	607		9. 1,088.92 feet along the arc of a curve to the left, said
612	608		curve having a central angle of 10 degrees 31 minutes 19 seconds, a
613	609		radius of 5,929.58 feet and a chord that bears South 15 degrees 21
614	610		minutes 34 seconds East, a distance of 1,087.39 feet to the south
615	611		corner of aforesaid called 34.6647-acre tract, same being a
616	612		northwesterly line of a called 12.500-acre tract of land recorded
617	613		in Clerk's File Number 2014032464 of the O.P.R.R.P.M.C.T. and a
618	614		southeasterly interior line of aforesaid called 2,253.2253-acre
619	615		tract;
620	616		10. Thence, with the common line of said called 12.500-acre
621	617		tract and said called 2,253.2253-acre tract, South 41 degrees 39
622	618		minutes 24 seconds West, a distance of 434.22 feet to a westerly
623	619		corner of said called 2,253.2253-acre tract;
624	620		11. Thence, with the southwest line of said called
625	621		2,253.2253-acre tract, North 47 degrees 46 minutes 25 seconds West,
626	622		a distance of 1,585.59 feet to the south corner of aforesaid called
627	623		10.0000-acre tract;
628	624		Thence, with the east and north lines of said called
629	625		10.0000-acre tract, the following six (6) courses:
630	626		12. North 42 degrees 13 minutes 34 seconds East, a distance
631	627		of 435.59 feet;
632	628		13. North 30 degrees 32 minutes 17 seconds West, a distance
633	629		of 629.68 feet;
634	630		14. South 81 degrees 24 minutes 44 seconds West, a distance
635	631		of 342.11 feet;
636	632		15. South 54 degrees 50 minutes 52 seconds West, a distance
637	633		of 44.73 feet;
638	634		16. South 08 degrees 35 minutes 16 seconds East, a distance
639	635		of 30.00 feet;
640	636		17. South 81 degrees 24 minutes 44 seconds West, a distance
641	637		of 200.00 feet to the Point of Beginning and containing 92.63 acres
642	638		of land.
643	639		SECTION 3. (a) The legal notice of the intention to
644	640		introduce this Act, setting forth the general substance of this
645	641		Act, has been published as provided by law, and the notice and a
646	642		copy of this Act have been furnished to all persons, agencies,
647	643		officials, or entities to which they are required to be furnished
648	644		under Section 59, Article XVI, Texas Constitution, and Chapter 313,
649	645		Government Code.
650	646		(b) The governor, one of the required recipients, has
651	647		submitted the notice and Act to the Texas Commission on
652	648		Environmental Quality.
653	649		(c) The Texas Commission on Environmental Quality has filed
654	650		its recommendations relating to this Act with the governor,
655	651		lieutenant governor, and speaker of the house of representatives
656	652		within the required time.
657	653		(d) All requirements of the constitution and laws of this
658	654		state and the rules and procedures of the legislature with respect
659	655		to the notice, introduction, and passage of this Act have been
660	656		fulfilled and accomplished.
661	657		SECTION 4. This Act takes effect immediately if it receives
662	658		a vote of two-thirds of all the members elected to each house, as
663	659		provided by Section 39, Article III, Texas Constitution. If this
664	660		Act does not receive the vote necessary for immediate effect, this
665	661		Act takes effect September 1, 2019.
666		-	* * * * *