H.B. No. 4635
AN ACT
relating to the creation of the Waller County Municipal Utility
District No. 38; 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 7944A to read as follows:
CHAPTER 7944A. WALLER COUNTY MUNICIPAL UTILITY DISTRICT NO. 38
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7944A.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 Waller County Municipal
Utility District No. 38.
Sec. 7944A.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7944A.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. 7944A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
7944A.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. 7944A.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. 7944A.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. 7944A.0201. GOVERNING BODY; TERMS. (a) The district
is governed by a board of five elected directors.
(b) Except as provided by Section 7944A.0202, directors
serve staggered four-year terms.
Sec. 7944A.0202. TEMPORARY DIRECTORS. (a) The temporary
board consists of:
(1) Allison Thompson;
(2) Zachary Boyer;
(3) Mario Gobert Sr.;
(4) Sean Hewitt; and
(5) Jerry Peruchini.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7944A.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 7944A.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 7944A.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. 7944A.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7944A.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. 7944A.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. 7944A.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. 7944A.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.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 7944A.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
7944A.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. 7944A.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7944A.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. 7944A.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. 7944A.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. 7944A.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. 7944A.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 Waller County Municipal Utility District No.
38 initially includes all the territory contained in the following
area:
A description of 469.7 acres of land located in the Nathan W.
Bush Survey, Abstract 76, and the John L. Boatright Survey,
Abstract 81, Waller County, Texas, and out a called 69 acre tract
(First Tract) described in the deed to Paul Arrington Wood,
Trustee, recorded under Volume 634, Page 710, in the Deed Records of
Waller County, Texas, a called 84 acre tract (Second Tract)
described in the deed to Paul Arrington Wood, Trustee, recorded
under Volume 634, Page 710, in the Deed Records of Waller County,
Texas, the called 205 acre tract described in the deed to Paul
Arrington Wood, Trustee, recorded under Volume 634, Page 710, in
the Deed Records of Waller County, Texas, and the 236 acre tract
described in the deed to Paul Arrington Wood, Trustee, recorded
under Volume 551, Page 50 and Volume 551, Page 52, in the Deed
Records of Waller County, Texas, and more particularly described by
metes and bounds as follows (all bearings referenced to the Texas
Coordinate System, South Central Zone (4204), NAD 83 (NA2011) Epoch
2010.00):
BEGINNING at a found fence post at the southeast corner of a
called 29.565 acre tract described in the deed to Huey Paul Beckham,
and wife, Carolyn Ann Beckham, recorded under Volume 319, Page 528,
in the Deed Records of Waller County, Texas, common to the southwest
corner of said 205 acre tract, and the southwest corner of the
herein described tract, in the north right-of-way line of Owens
Road (called 80 feet wide), (found to be 79.7 feet wide at this
point);
Thence, North 02° 23' 59" West – 2515.78', along the west line
of said 205 acre tract, and along a west line of the aforesaid First
Tract, to a found fence post at the northeast corner of said 29.565
acre tract, common to an angle corner of the herein described tract;
Thence, South 87° 20' 45" West – 297.31', along the north line
of said 29.565 acre tract, common to a south line of said First
Tract, to a found fence post at the most westerly southwest corner
of said First Tract, common to the southeast corner of a called
38.2977 acre tract, described as Tract 4B, described in the deed to
Cynthia Flukinger Stasny, recorded under Volume 410, Page 368, in
the Deed Records of Waller County, Texas;
Thence, North 02° 27' 25" West – 818.17', along a west line of
said "First Tract" common to the east line of said Tract 4B, to a
1/2" iron rod with cap stamped "Precision Surveying" found for the
southwest corner of a called 97.1861 acre tract described in the
deed to Edmund and So King Chan recorded under File Number 1502533,
in the Official Public Records of Waller County, Texas;
Thence, North 86° 09' 07" East – 3604.71', along the south line
of said 97.1861 acre tract, (at 2,196.59' passing a 1/2" iron rod
with cap stamped "Precision Surveying" found for the southeast
corner of said 97.1861 acre tract, common to the most northerly
northwest corner of aforesaid 205 acre tract), then continuing
along the north line of said 205 acre tract, common to the south
line of a called 25.453 acre tract (referenced as Tract 8) described
in the deed to Charley E. Richard and Eula P. Richard, recorded
under Volume 509, Page 221, in the Deed Records of Waller County,
Texas, and partially along the south line of a called 25.453 acre
tract (referenced as Tract 10) described in the deed to Charley E.
Richard and Eula P. Richard, recorded under Volume 646, Page 772, in
the Deed Records of Waller County, Texas to a 3/4" iron pipe found
for the northeast corner of said 205 acre tract, common to an angle
corner of said Tract 10, in the west line of aforesaid 236 acre
tract;
Thence, North 02° 42' 37" West – 4.00', along the west line of
said 236 acre tract, common to an east line of said Tract 10, to a
5/8" iron rod with cap stamped "LJA SURVEY" set for an angle corner
of the herein described tract, common to the northwest corner of
said 236 acre tract, and an angle corner of said Tract 10;
Thence, North 86° 01' 48" East – 2474.62', along a south line
of said Tract 10, common to the north line of said 236 acre tract,
(at 1042.89' passing a 3/4" iron rod found for the southeast corner
of said Tract 10, common to the southwest corner of the 25.4535 acre
tract referenced in the deed to Donald G. Keischnick and Grace A.
Keischnick, recorded under Volume 412, Page 337, in the Deed
Records of Waller County, Texas, and described as 25.453 acres
(Tract Twelve) in the deed recorded under Volume 224, Page 170, of
the Deed Records of Waller County, Texas) then continuing along the
north line of said 236 acre tract, common to the south line of said
Tract Twelve, to a 5/8" iron rod with cap stamped "LJA SURVEY" set
for the northeast corner of the herein described tract, common to
the southeast corner of said Tract Twelve, in the west right-of-way
line of F.M. 362 (80' right-of-way width);
Thence, South 20° 44' 44" East – 2131.42', along said west
right-of-way line, to a 5/8" iron rod with cap stamped "LJA SURVEY"
set for the beginning of a tangent curve to the right;
Thence, 896.48', along said west right-of-way line, along
said tangent curve to the right, having a radius of 2824.93', a
central angle of 18° 10' 57", and a chord bearing and distance of
South 11° 39' 01" East – 892.71' to a 5/8" iron rod with cap stamped
"LJA SURVEY" set for the end of curve;
Thence, South 02° 33' 44" West – 464.00', continuing along
said west right-of-way line, to a found 12" cedar post at the
intersection of said west right-of-way line and the north
right-of-way line of aforesaid Owens Road (found to be 80' wide at
this point), common to the southeast corner of the herein described
tract;
Thence, South 86° 25' 49" West – 2412.90', along the north
right-of-way line of said Owens Road, to a 5/8" iron rod with cap
stamped "LJA SURVEY" set for an interior corner of the herein
described tract (said Owens Road found to be 78.4' wide at this
point);
Thence, North 04° 27' 13" West – 1054.33', generally along the
west side of a gravel drive, to a 5/8" iron rod with cap stamped "LJA
SURVEY" set for an interior corner of the herein described tract;
Thence, North 82° 00' 12" West – 841.76', generally along a 4'
barbed wire fence, to a 5/8" iron rod with cap stamped "LJA SURVEY"
set for an interior corner of the herein described tract, in the
east line of aforesaid 205 acre tract, common to the west line of
aforesaid 236 acre tract;
Thence, South 02° 42' 37" East – 1223.17', along said common
line, (at 872.58' passing a 1/2" iron rod found for the northwest
corner of a called 2.016 acre tract described in the deed to Charles
J. Wood and Robyn A. Wood recorded under Volume 498, Page 493, in
the Deed Records of Waller County, Texas), then continuing along
said common line, and the west line of said 2.016 acre tract, to the
southwest corner of said 2.016 acre tract, in the north
right-of-way line of said Owens Road (found to be 77.5' wide at this
point), from which a bent 1/2" iron rod bears North 86° 34' 26" East –
1.54'';
Thence, South 86° 34' 26" West – 3324.19', along the north
right-of-way line of said Owens Road, to the POINT OF BEGINNING and
containing 469.7 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
7944A, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7944A.0306 to read as
follows:
Sec. 7944A.0306. 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.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4635 was passed by the House on May
14, 2021, by the following vote: Yeas 105, Nays 40, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4635 was passed by the Senate on May
27, 2021, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor