Texas 2021 87th Regular

Texas House Bill HB4623 Engrossed / Bill

Filed 05/16/2021

                    87R20921 SGM-F
 By: Leman H.B. No. 4623


 A BILL TO BE ENTITLED
 AN ACT
 relating to the creation of the Austin County Municipal Utility
 District No. 1; 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 7913A to read as follows:
 CHAPTER 7913A.  AUSTIN COUNTY MUNICIPAL UTILITY DISTRICT NO. 1
 SUBCHAPTER A.  GENERAL PROVISIONS
 Sec. 7913A.0101.  DEFINITIONS.  In this chapter:
 (1)  "Board" means the district's board of directors.
 (2)  "City" means the City of Sealy, Texas.
 (3)  "Commission" means the Texas Commission on
 Environmental Quality.
 (4)  "Director" means a board member.
 (5)  "District" means the Austin County Municipal
 Utility District No. 1.
 Sec. 7913A.0102.  NATURE OF DISTRICT.  The district is a
 municipal utility district created under Section 59, Article XVI,
 Texas Constitution.
 Sec. 7913A.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. 7913A.0104.  CONSENT OF MUNICIPALITY REQUIRED. The
 temporary directors may not hold an election under Section
 7913A.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. 7913A.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. 7913A.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. 7913A.0201.  GOVERNING BODY; TERMS.  (a)  The district
 is governed by a board of five elected directors.
 (b)  Except as provided by Section 7913A.0202, directors
 serve staggered four-year terms.
 Sec. 7913A.0202.  TEMPORARY DIRECTORS.  (a)  The temporary
 board consists of:
 (1)  Aaron Horvitz;
 (2)  Onyinyechi Muilenburg;
 (3)  Christine Harris;
 (4)  Regan John O'Connor; and
 (5)  Carol J Wooldridge.
 (b)  Temporary directors serve until the earlier of:
 (1)  the date permanent directors are elected under
 Section 7913A.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 7913A.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 7913A.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.
 Sec. 7913A.0203.  DESIGNATED BOARD MEETING LOCATION. (a)
 The board shall designate a meeting place inside the district for
 conducting the meetings of the board.  The meeting place designated
 may be a private residence or office, provided that, in the order
 designating the meeting place, the board declares the place where
 the meeting is held to be a public place and invites the public to
 attend any meeting of the board held in that place.
 (b)  If the board establishes that no suitable place exists
 for meeting inside the district, the board may designate a meeting
 place outside the district. The board shall give notice of the
 location of a meeting place outside the district by:
 (1)  filing a copy of the resolution designating the
 location and a justification of why the meeting will not be held in
 the district or within 10 miles of the boundary of the district, if
 applicable, with the commission; and
 (2)  publishing notice of the location in a newspaper
 of general circulation in the district.
 (c)  If the board changes the location of a meeting place
 outside the district, the board shall give notice of the change in
 the manner described by Subsection (b).
 SUBCHAPTER C.  POWERS AND DUTIES
 Sec. 7913A.0301.  GENERAL POWERS AND DUTIES.  The district
 has the powers and duties necessary to accomplish the purposes for
 which the district is created.
 Sec. 7913A.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. 7913A.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. 7913A.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. 7913A.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. 7913A.0306.  EFFECT OF ANNEXATION. Notwithstanding any
 other law, if all or any part of the territory of the district is
 annexed by the city into the city's corporate limits, the district
 retains all of the district's outstanding debt and obligations and
 is not dissolved.
 SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS
 Sec. 7913A.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
 7913A.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. 7913A.0402.  OPERATION AND MAINTENANCE TAX.  (a)  If
 authorized at an election held under Section 7913A.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. 7913A.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. 7913A.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. 7913A.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. 7913A.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 Austin County Municipal Utility District No.
 1 initially includes all the territory contained in the following
 area:
 A 38.118 acre, or 1,660,419 square feet more or less, tract of land,
 being a portion of that residue of called 38.143 acre tract of land
 conveyed to David Cryan as described in a deed recorded in Clerk's
 File No. 153921 of the Official Records of Austin County, Texas,
 situated in the San Felipe de Austin Survey, Abstract 5, in the City
 of Sealy, Austin County, Texas. Said 38.118 acre tract being more
 fully described as follows, with bearings based on the Texas
 Coordinate System of 1983, South Central Zone from the North
 American Datum of 1983 (NA2011) epoch 2010.00:
 BEGINNING:  At an iron rod with aluminum cap found in the
 centerline of Harrison Road (30 feet wide) as recorded under Volume
 Y, Page 318 of the Deed Records of Austin County, Texas and the
 northeast corner of said 38.143 acre tract and for the northeast
 corner of the herein described tract and being on the west
 right-of-way line of Schmidt Road (60 feet wide) a called 3.946
 acres of land as conveyed to the City of Sealy as recorded under
 Clerk's File No. 025841 of the official Records of Austin County,
 Texas;
 THENCE:  S 42°42'31" W, along and with the said west right-of-way
 line, a distance of 2,864.13 feet to a point to a 1/2 inch iron pipe
 with cap stamped "Brown & Gay" found for the southeast corner of the
 herein described tract and being on the northeast line of a called
 237.88 acre tract as described in a deed to Wal-Mart Stores East, LP
 recorded under Clerk's File No. 031749 of the Official Records of
 Austin County, Texas;
 THENCE:  N 47°18'41" W, along and with said northeast line, a
 distance of 578.43 feet to an iron rod with a yellow cap stamped
 "Pate-Dawson" to be set for the southwest corner of the herein
 described tract and the southeast corner of a called 70.00 acres of
 land conveyed to David Cryan as recorded in Clerk's File No. 126232
 of the Official Records of Austin County, Texas;
 THENCE:  N 42°39'39" E, along with said north line, a distance of a
 distance of 2,865.17 feet to a 1/2 inch iron rod found in the said
 centerline of Harrison Road and for the northwest corner of the
 herein described tract and the northeast corner of said 70.00
 acres;
 THENCE:  S 47°12'30" E, along said centerline of Harrison Road, a
 distance of 580.82 feet to the POINT OF BEGINNING, and containing
 38.118 acres in the City of Houston, Harris County, Texas.
 A 118.535 acre, or 5,163,385 square feet more or less, tract of
 land, being a portion of that residue of called 140.000 acre tract
 of land conveyed to Ranch County of Texas, Inc. as described in a
 deed recorded in Clerk's File No. 081189 of the Official Records of
 Austin County, Texas, and a portion of Tract 1, a residue of a
 called 55.3 acres of land conveyed to David Cryan as described in a
 deed recorded in Clerk's File No. 164420 of the Official Records of
 Austin County, Texas, and all of Tract 2, a called 28.172 acres of
 land conveyed to David Cryan as described in a deed recorded in
 Clerk's File No. 153921 of the Official Records of Austin County,
 Texas, and all of Tract 5, a called 6.1259 acres of land conveyed to
 David Cryan as described in a deed recorded in Clerk's File
 No. 164420 of the Official Records of Austin County, Texas, and all
 of Tract 4, a called 6.1259 acres of land conveyed to David Cryan as
 described in a deed recorded in Clerk's File No. 164420 of the
 Official Records of Austin County, Texas, and all of Tract 3, a
 called 6.1259 acres of land conveyed to David Cryan as described in
 a deed recorded in Clerk's File No. 164420 of the Official Records
 of Austin County, Texas, and all of Tract 2, a called 6.1259 acres
 of land conveyed to David Cryan as described in a deed recorded in
 Clerk's File No. 164420 of the Official Records of Austin County,
 Texas, and all of Parcel 1, a called 5.452 acres of land conveyed to
 David Cryan as described in a deed recorded in Clerk's File
 No. 191010 of the Official Records of Austin County, Texas, and all
 of Parcel 2, a called 5.350 acres of land conveyed to David Cryan as
 described in a deed recorded in Clerk's File No. 191010 of the
 Official Records of Austin County, Texas, situated in the San
 Felipe de Austin Survey, Abstract 5, in the City of Sealy, Austin
 County, Texas. Said 118.535 acre tract being more fully described
 as follows, with bearings based on the Texas Coordinate System of
 1983, South Central Zone from the North American Datum of 1983
 (NA2011) epoch 2010.00:
 BEGINNING:  At an iron rod with aluminum cap found on the west
 right-of-way line of F.M. Highway No. 3013 (width varies) and the
 northeast corner of a called 38.69 acre tract of land conveyed to
 Jinsung T.E.C. Texas, L.L.C. Texas, L.L.C. as described in a deed
 recorded in Clerk's File No. 126413 of the Official Records of
 Austin County, Texas, and for the most northerly southeast corner
 of the herein described tract;
 THENCE:  N 47°17'47" W, a distance of 950.10 feet to a 5/8 inch iron
 rod found for an interior corner of the herein described tract and
 being the northwest corner of said 38.69 acres and on the east line
 of said Tract 1, a residue of a called 55.3 acres;
 THENCE:  S 42°39'37" W, along the common line of said Tract 1, a
 residue of a called 55.3 acres and said 38.69 acres, a distance of
 1,774.20 feet to an iron rod with aluminum cap found for the
 southeast corner of said Tract 1, a residue of a called 55.3 acres
 and the southwest corner of said 38.69 acres and for the most
 southerly southeast corner of the herein described tract and on the
 northerly line of a called 6.362 acres of land conveyed to the City
 of Sealy, Texas as recorded in Clerk's File No. 031750 of the
 Official Records of Austin County, Texas;
 THENCE:  N 47°18'41" W, along with said north line, a distance of
 1,607.38 feet to an iron rod with aluminum cap found on the east
 right-of-way line to Schmidt Road (60 feet wide) a called 3.946
 acres of land as conveyed to the City of Sealy as recorded under
 Clerk's File No. 025841 of the official Records of Austin County,
 Texas, and the southwest corner said Tract 2 of called 28.172 acres
 and the southwest corner of the herein described tract;
 THENCE:  N 42°42'31" E, along the said east right-of-way line and
 along said Tract 2 of called 28.172 acres, a distance of 2,864.02
 feet to an iron rod with aluminum cap found in the centerline of
 Harrison Road (30 feet wide) as recorded under Volume Y, Page 318 of
 Deed Records of Austin County, Texas and the northwest corner of
 said Tract 2 of called 28.172 acres and the northwest corner of the
 herein described tract;
 THENCE:  S 47°12'30" E, along and with said centerline of Harrison
 Road, a distance of 1,921.18 feet to a Mag Nail found for the most
 northerly northeast corner of the herein described tract and for
 the northeast corner of said Parcel 2 and the northwest corner of
 said Residue of called 140.000 acres;
 THENCE:  S 42°38'14" W, along and with the east line of said Parcel
 2, a distance of 736.53 feet to an iron rod with aluminum cap found
 for an interior corner of the herein described tract and for the
 southeast corner of said Parcel 2;
 THENCE:  S 47°18'33" E, departing said east line and along and with
 the north line of said Parcel 1, a distance of 633.63 feet to an iron
 rod with aluminum cap found on the west right-of-way line of said
 F.M. No. 3013 and the most southerly northeast corner of the herein
 described tract;
 THENCE:  S 42°39'57" W, a distance of 350.05 feet to the POINT OF
 BEGINNING, and containing 118.535 acres in the City of Houston,
 Harris County, Texas.
 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
 7913A, Special District Local Laws Code, as added by Section 1 of
 this Act, is amended by adding Section 7913A.0307 to read as
 follows:
 Sec. 7913A.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, 2021.