Texas 2019 - 86th Regular

Texas Senate Bill SB2464 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
	1	+	86R15960 SLB-F
1	2		By: Creighton S.B. No. 2464
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 Montgomery County Municipal Utility
12	8		District No. 163; granting a limited power of eminent domain;
13	9		providing authority to issue bonds; providing authority to impose
14	10		assessments, fees, and taxes.
15	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
16	12		SECTION 1. Subtitle F, Title 6, Special District Local Laws
17	13		Code, is amended by adding Chapter 8091 to read as follows:
18	14		CHAPTER 8091. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 163
19	15		SUBCHAPTER A. GENERAL PROVISIONS
20	16		Sec. 8091.0101. DEFINITIONS. In this chapter:
21	17		(1) "Board" means the district's board of directors.
22	18		(2) "Commission" means the Texas Commission on
23	19		Environmental Quality.
24	20		(3) "Director" means a board member.
25	21		(4) "District" means the Montgomery County Municipal
26	22		Utility District No. 163.
27	23		Sec. 8091.0102. NATURE OF DISTRICT. The district is a
28	24		municipal utility district created under Section 59, Article XVI,
29	25		Texas Constitution.
30	26		Sec. 8091.0103. CONFIRMATION AND DIRECTOR ELECTION
31	27		REQUIRED. The temporary directors shall hold an election to
32	28		confirm the creation of the district and to elect five permanent
33	29		directors as provided by Section 49.102, Water Code.
34	30		Sec. 8091.0104. CONSENT OF MUNICIPALITY REQUIRED. The
35	31		temporary directors may not hold an election under Section
36	32		8091.0103 until each municipality in whose corporate limits or
37	33		extraterritorial jurisdiction the district is located has
38	34		consented by ordinance or resolution to the creation of the
39	35		district and to the inclusion of land in the district.
40	36		Sec. 8091.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
41	37		(a) The district is created to serve a public purpose and benefit.
42	38		(b) The district is created to accomplish the purposes of:
43	39		(1) a municipal utility district as provided by
44	40		general law and Section 59, Article XVI, Texas Constitution; and
45	41		(2) Section 52, Article III, Texas Constitution, that
46	42		relate to the construction, acquisition, improvement, operation,
47	43		or maintenance of macadamized, graveled, or paved roads, or
48	44		improvements, including storm drainage, in aid of those roads.
49	45		Sec. 8091.0106. INITIAL DISTRICT TERRITORY. (a) The
50	46		district is initially composed of the territory described by
51	47		Section 2 of the Act enacting this chapter.
52	48		(b) The boundaries and field notes contained in Section 2 of
53	49		the Act enacting this chapter form a closure. A mistake made in the
54	50		field notes or in copying the field notes in the legislative process
55	51		does not affect the district's:
56	52		(1) organization, existence, or validity;
57	53		(2) right to issue any type of bond for the purposes
58	54		for which the district is created or to pay the principal of and
59	55		interest on a bond;
60	56		(3) right to impose a tax; or
61	57		(4) legality or operation.
62	58		SUBCHAPTER B. BOARD OF DIRECTORS
63		-	Sec. 8091.0201. GOVERNING BODY; TERMS. (a) The district
64		-	is governed by a board of five elected directors.
	59	+	Sec. 8091.0201. GOVERNING BODY; TERMS. (a) The district is
	60	+	governed by a board of five elected directors.
65	61		(b) Except as provided by Section 8091.0202, directors
66	62		serve staggered four-year terms.
67	63		Sec. 8091.0202. TEMPORARY DIRECTORS. (a) On or after the
68	64		effective date of the Act enacting this chapter, the owner or owners
69	65		of a majority of the assessed value of the real property in the
70	66		district may submit a petition to the commission requesting that
71	67		the commission appoint as temporary directors the five persons
72	68		named in the petition. The commission shall appoint as temporary
73	69		directors the five persons named in the petition.
74	70		(b) Temporary directors serve until the earlier of:
75	71		(1) the date permanent directors are elected under
76	72		Section 8091.0103; or
77	73		(2) the fourth anniversary of the effective date of
78	74		the Act enacting this chapter.
79	75		(c) If permanent directors have not been elected under
80	76		Section 8091.0103 and the terms of the temporary directors have
81	77		expired, successor temporary directors shall be appointed or
82	78		reappointed as provided by Subsection (d) to serve terms that
83	79		expire on the earlier of:
84	80		(1) the date permanent directors are elected under
85	81		Section 8091.0103; or
86	82		(2) the fourth anniversary of the date of the
87	83		appointment or reappointment.
88	84		(d) If Subsection (c) applies, the owner or owners of a
89	85		majority of the assessed value of the real property in the district
90	86		may submit a petition to the commission requesting that the
91	87		commission appoint as successor temporary directors the five
92	88		persons named in the petition. The commission shall appoint as
93	89		successor temporary directors the five persons named in the
94	90		petition.
95	91		SUBCHAPTER C. POWERS AND DUTIES
96	92		Sec. 8091.0301. GENERAL POWERS AND DUTIES. The district
97	93		has the powers and duties necessary to accomplish the purposes for
98	94		which the district is created.
99	95		Sec. 8091.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
100	96		DUTIES. The district has the powers and duties provided by the
101	97		general law of this state, including Chapters 49 and 54, Water Code,
102	98		applicable to municipal utility districts created under Section 59,
103	99		Article XVI, Texas Constitution.
104	100		Sec. 8091.0303. AUTHORITY FOR ROAD PROJECTS. Under Section
105	101		52, Article III, Texas Constitution, the district may design,
106	102		acquire, construct, finance, issue bonds for, improve, operate,
107	103		maintain, and convey to this state, a county, or a municipality for
108	104		operation and maintenance macadamized, graveled, or paved roads, or
109	105		improvements, including storm drainage, in aid of those roads.
110	106		Sec. 8091.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
111	107		road project must meet all applicable construction standards,
112	108		zoning and subdivision requirements, and regulations of each
113	109		municipality in whose corporate limits or extraterritorial
114	110		jurisdiction the road project is located.
115	111		(b) If a road project is not located in the corporate limits
116	112		or extraterritorial jurisdiction of a municipality, the road
117	113		project must meet all applicable construction standards,
118	114		subdivision requirements, and regulations of each county in which
119	115		the road project is located.
120	116		(c) If the state will maintain and operate the road, the
121	117		Texas Transportation Commission must approve the plans and
122	118		specifications of the road project.
123	119		Sec. 8091.0305. COMPLIANCE WITH MUNICIPAL CONSENT
124	120		ORDINANCE OR RESOLUTION. The district shall comply with all
125	121		applicable requirements of any ordinance or resolution that is
126	122		adopted under Section 54.016 or 54.0165, Water Code, and that
127	123		consents to the creation of the district or to the inclusion of land
128	124		in the district.
129		-	Sec. 8091.0306. DIVISION OF DISTRICT. (a) The district
130		-	~~may~~ be divided into two or more new districts only if the district:
	125	+	Sec. 8091.0306. DIVISION OF DISTRICT. (a) The district may
	126	+	be divided into two or more new districts only if the district:
131	127		(1) has never issued any bonds; and
132	128		(2) is not imposing ad valorem taxes.
133	129		(b) This chapter applies to any new district created by the
134	130		division of the district, and a new district has all the powers and
135	131		duties of the district.
136	132		(c) A new district created by the division of the district
137	133		may not, at the time the new district is created, contain any land
138	134		outside the area described by Section 2 of the Act enacting this
139	135		chapter.
140	136		(d) The board, on its own motion or on receipt of a petition
141	137		signed by the owner or owners of a majority of the assessed value of
142	138		the real property in the district, may adopt an order dividing the
143	139		district.
144	140		(e) The board may adopt an order dividing the district
145	141		before or after the date the board holds an election under Section
146	142		8091.0103 to confirm the district's creation.
147	143		(f) An order dividing the district shall:
148	144		(1) name each new district;
149	145		(2) include the metes and bounds description of the
150	146		territory of each new district;
151	147		(3) appoint temporary directors for each new district;
152	148		and
153	149		(4) provide for the division of assets and liabilities
154	150		between the new districts.
155	151		(g) On or before the 30th day after the date of adoption of
156	152		an order dividing the district, the district shall file the order
157	153		with the commission and record the order in the real property
158	154		records of each county in which the district is located.
159	155		(h) A new district created by the division of the district
160	156		shall hold a confirmation and directors' election as required by
161	157		Section 8091.0103.
162	158		(i) If the creation of the new district is confirmed, the
163	159		new district shall provide the election date and results to the
164	160		commission.
165	161		(j) Any new district created by the division of the district
166	162		must hold an election as required by this chapter to obtain voter
167	163		approval before the district may impose a maintenance tax or issue
168	164		bonds payable wholly or partly from ad valorem taxes.
169	165		(k) Municipal consent to the creation of the district and to
170	166		the inclusion of land in the district granted under Section
171	167		8091.0104 acts as municipal consent to the creation of any new
172	168		district created by the division of the district and to the
173	169		inclusion of land in the new district.
174	170		SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
175		-	Sec. 8091.0401. ELECTIONS REGARDING TAXES OR BONDS.
176		-	~~(a)~~ The district may issue, without an election, bonds and other
	171	+	Sec. 8091.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
	172	+	The district may issue, without an election, bonds and other
177	173		obligations secured by:
178	174		(1) revenue other than ad valorem taxes; or
179	175		(2) contract payments described by Section 8091.0403.
180	176		(b) The district must hold an election in the manner
181	177		provided by Chapters 49 and 54, Water Code, to obtain voter approval
182	178		before the district may impose an ad valorem tax or issue bonds
183	179		payable from ad valorem taxes.
184	180		(c) The district may not issue bonds payable from ad valorem
185	181		taxes to finance a road project unless the issuance is approved by a
186	182		vote of a two-thirds majority of the district voters voting at an
187	183		election held for that purpose.
188	184		Sec. 8091.0402. OPERATION AND MAINTENANCE TAX. (a) If
189	185		authorized at an election held under Section 8091.0401, the
190	186		district may impose an operation and maintenance tax on taxable
191	187		property in the district in accordance with Section 49.107, Water
192	188		Code.
193	189		(b) The board shall determine the tax rate. The rate may not
194	190		exceed the rate approved at the election.
195	191		Sec. 8091.0403. CONTRACT TAXES. (a) In accordance with
196	192		Section 49.108, Water Code, the district may impose a tax other than
197	193		an operation and maintenance tax and use the revenue derived from
198	194		the tax to make payments under a contract after the provisions of
199	195		the contract have been approved by a majority of the district voters
200	196		voting at an election held for that purpose.
201	197		(b) A contract approved by the district voters may contain a
202	198		provision stating that the contract may be modified or amended by
203	199		the board without further voter approval.
204	200		SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
205	201		Sec. 8091.0501. AUTHORITY TO ISSUE BONDS AND OTHER
206	202		OBLIGATIONS. The district may issue bonds or other obligations
207	203		payable wholly or partly from ad valorem taxes, impact fees,
208	204		revenue, contract payments, grants, or other district money, or any
209	205		combination of those sources, to pay for any authorized district
210	206		purpose.
211	207		Sec. 8091.0502. TAXES FOR BONDS. At the time the district
212	208		issues bonds payable wholly or partly from ad valorem taxes, the
213	209		board shall provide for the annual imposition of a continuing
214	210		direct ad valorem tax, without limit as to rate or amount, while all
215	211		or part of the bonds are outstanding as required and in the manner
216	212		provided by Sections 54.601 and 54.602, Water Code.
217	213		Sec. 8091.0503. BONDS FOR ROAD PROJECTS. At the time of
218	214		issuance, the total principal amount of bonds or other obligations
219	215		issued or incurred to finance road projects and payable from ad
220	216		valorem taxes may not exceed one-fourth of the assessed value of the
221	217		real property in the district.
222	218		SECTION 2. The Montgomery County Municipal Utility District
223	219		No. 163 initially includes all the territory contained in the
224	220		following area:
225	221		A description of a 1229 acre tract of land, located in the
226	222		Alfonzo Steel Survey, Abstract 477, the T. & N.O. Railroad Company,
227	223		Section 4 Survey, Abstract 741, and the John Bricker Survey,
228	224		Abstract 98, in Montgomery County, Texas; out of the 273.466 acre
229	225		tract of land referenced as Tract III, Parcel 1, out of the 195. 961
230	226		acre tract of land referenced as Tract 2, Parcel 2, out the 90.860
231	227		acre tract referenced as Tract 2, Parcel 3, and out of that 648.855
232	228		acre tract describes as Tract I as described in the deed recorded
233	229		under Document Number 2018042236 of the Official Public Records of
234	230		Montgomery County, Texas and more particularly described as
235	231		follows:
236	232		BEGINNING at the northeast corner of said Tract I, and the
237	233		northeast corner of T. & N.O. Railroad Company, Section 4 Survey;
238	234		THENCE South 00° 06' 00" West - 4845.80', along the east line
239	235		of said Tract I, and the east line of said T. & N.O. Railroad
240	236		Company, Section 4 Survey, to the southeast corner of said Tract I,
241	237		and the southeast corner of said T. & N.O. Railroad Company, Section
242	238		4 Survey;
243	239		THENCE North 89° 57' 02" West - 5148.33', along the south line
244	240		of said tract I and the south line of said T. & N.O. Railroad
245	241		Company, Section 4 Survey, to the southwest corner of said Tract I,
246	242		and the southwest corner of said T. & N.O. RR. CO. Section 4 Survey,
247	243		in the east line of aforesaid Tract 2, Parcel 2, and the east line of
248	244		aforesaid John Bricker Survey;
249	245		THENCE South 30° 09' 50" East - 826.43', along the east line of
250	246		aforesaid Tract 2, Parcel 2, and along the east line of said John
251	247		Bricker Survey, to a southeast corner of said Tract 2, Parcel 2, and
252	248		a southeast corner of the John Bricker Survey, lying in the north
253	249		right-of-way line of State Highway 242;
254	250		THENCE South 30° 34' 35" East - 220.69', continuing along said
255	251		northeast line of said John Bricker Survey to a point for corner in
256	252		the south right-of-way line of said State Highway 242, in the north
257	253		line of said Tract 2, Parcel 3;
258	254		THENCE South 30° 15' 03" East - 688.49', along the northeast
259	255		line of said Tract 2, Parcel 3, and along the northeast line of said
260	256		John Bricker Survey, to the east corner of said Tract 2, Parcel 3,
261	257		and the southeast corner of said John Bricker Survey;
262	258		THENCE South 59° 13' 35" West - 3060.96', along the southeast
263	259		line of said Tract 2, Parcel 3 and the southeast line of said John
264	260		Bricker Survey, to the intersection of said southeast lines, and
265	261		the east right-of-way line of FM 1314 (Conroe Porter Road), being
266	262		the south corner of said Tract 2, Parcel 3;
267	263		THENCE North 24° 51' 16" West - 778.41', along said east
268	264		right-of-way line, and the west line of Tract 2, Parcel 3 to a point
269	265		for corner;
270	266		THENCE, North 22° 10' 36" West - 597.39', continuing along
271	267		said common line, to a point for corner;
272	268		THENCE, North 19° 50' 32" West - 241.38', continuing along
273	269		said common line, to at the south end of the southeasterly cutback
274	270		corner, and the northwest corner of aforesaid Tract 2, Parcel 3, at
275	271		the intersection of the aforesaid east right of way line of FM 1314
276	272		(Conroe Porter Road) and the south line of State Highway 242;
277	273		THENCE, North 16° 50' 19" West - 538.64', continuing along
278	274		said east right-of-way line, to the north end of the northeasterly
279	275		cutback corner of the said intersection, and the south corner of
280	276		aforesaid Tract 2, Parcel 2, at the intersection of the aforesaid
281	277		east right of way line of FM 1314 (Conroe Porter Road) and the south
282	278		line of State Highway 242;
283	279		THENCE, North 23° 14' 55" West - 200.33', continuing along
284	280		said east right-of-way line, and the west line of aforesaid Tract 2,
285	281		Parcel 2 to a point for corner;
286	282		THENCE, North 13° 30' 38" West - 995.85', continuing along
287	283		said common line, to a point for corner;
288	284		THENCE, North 12° 01' 58" West - 2102.94', continuing along
289	285		said common line, to a point for corner;
290	286		THENCE North 12° 33' 22" West - 1.21', along the aforesaid
291	287		east right of way line, and aforesaid west line of Tract 2, Parcel
292	288		2, and the aforesaid west line of Tract III, Parcel 1, to the point
293	289		of beginning of curve to the left;
294	290		THENCE, 1212.26', continuing along said east right-of-way
295	291		line, and the west line of said Tract III, Parcel 1 along said curve
296	292		to the left, having a radius of 1959.86', a central angle of 35° 26'
297	293		24", and a chord bearing and distance of North 30° 16' 34" West -
298	294		1193.03', to the end of curve;
299	295		THENCE North 48° 01' 22" West - 2935.99', continuing along
300	296		said common line, to the intersection of said common line, and the
301	297		north line of the Alfonzo Steel Survey, being the northwest corner
302	298		of said Tract III, Parcel 1;
303	299		THENCE, North 58° 58' 24" East - 3695.00', along said north
304	300		line to the north corner of said Tract III, Parcel 1, being the most
305	301		northerly west corner of the 178 acre tract of land described in the
306	302		deed recorded under Volume 20, Page 612 of the Deed Records of
307	303		Montgomery County, Texas;
308	304		THENCE South 30° 57' 11" East - 3592.37', along the east line
309	305		of said Tract III Parcel 1 and the southwest line of said 178 acre
310	306		tract, to an interior corner of said 178 acre tract;
311	307		THENCE South 59° 02' 57" West - 1387.45', along the south line
312	308		of said Tract III, Parcel 1 and the north line of said 178 acre
313	309		tract, to the most southerly west corner of said 178 acre tract;
314	310		THENCE South 30° 43' 40" East - 411.55', along a southwest
315	311		line of said 178 acre tract, to the south corner of said 178 acre
316	312		tract, in the south line of aforesaid Alfonzo Steel Survey, common
317	313		to a northwest line of aforesaid T. & N.O. Railroad Company, Section
318	314		4 Survey;
319	315		THENCE North 59° 36' 50" East - 3196.12', along said northwest
320	316		line, the northwest line of Tract 2, Parcel 2, the northwest line of
321	317		aforementioned Tract I, the southeast line of said Alfonzo Steel
322	318		Survey, and the southeast line of said 178 acre tract, to an
323	319		interior corner of said T. & N.O. Railroad Company, Section 4
324	320		Survey, common to the east corner of said Alfonzo Steel Survey, and
325	321		the east corner of said 178 acre tract;
326	322		THENCE North 30° 28' 49" West - 375.00', along the northwest
327	323		line of said Tract I, northwest line of said T. & N.O. Railroad
328	324		Company, Section 4 Survey, the northeast line of said Alfonzo Steel
329	325		Survey, and the northeast line of said 178 acre tract, to the most
330	326		northerly northwest corner of said Tract I and T. & N.O. Railroad
331	327		Company, Section 4 Survey;
332	328		THENCE North 89° 56' 58" East - 4636.24, along the north line
333	329		of said Tract I and T. & N.O. Railroad Company, Section 4 Survey, to
334	330		the POINT OF BEGINNING and containing 1229 acres of land, more or
335	331		less.
336	332		SECTION 3. (a) The legal notice of the intention to
337	333		introduce this Act, setting forth the general substance of this
338	334		Act, has been published as provided by law, and the notice and a
339	335		copy of this Act have been furnished to all persons, agencies,
340	336		officials, or entities to which they are required to be furnished
341	337		under Section 59, Article XVI, Texas Constitution, and Chapter 313,
342	338		Government Code.
343	339		(b) The governor, one of the required recipients, has
344	340		submitted the notice and Act to the Texas Commission on
345	341		Environmental Quality.
346	342		(c) The Texas Commission on Environmental Quality has filed
347	343		its recommendations relating to this Act with the governor, the
348	344		lieutenant governor, and the speaker of the house of
349	345		representatives within the required time.
350	346		(d) All requirements of the constitution and laws of this
351	347		state and the rules and procedures of the legislature with respect
352	348		to the notice, introduction, and passage of this Act are fulfilled
353	349		and accomplished.
354	350		SECTION 4. (a) If this Act does not receive a two-thirds
355	351		vote of all the members elected to each house, Subchapter C, Chapter
356	352		8091, Special District Local Laws Code, as added by Section 1 of
357	353		this Act, is amended by adding Section 8091.0307 to read as follows:
358	354		Sec. 8091.0307. NO EMINENT DOMAIN POWER. The district may
359	355		not exercise the power of eminent domain.
360	356		(b) This section is not intended to be an expression of a
361	357		legislative interpretation of the requirements of Section 17(c),
362	358		Article I, Texas Constitution.
363	359		SECTION 5. This Act takes effect immediately if it receives
364	360		a vote of two-thirds of all the members elected to each house, as
365	361		provided by Section 39, Article III, Texas Constitution. If this
366	362		Act does not receive the vote necessary for immediate effect, this
367	363		Act takes effect September 1, 2019.
368		-	* * * * *