H.B. No. 4658
AN ACT
relating to the creation of the Huntsville Municipal Utility
District No. 1 of Walker County, Texas; 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 7935A to read as follows:
CHAPTER 7935A. HUNTSVILLE MUNICIPAL UTILITY DISTRICT NO. 1 OF
WALKER COUNTY, TEXAS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7935A.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 Huntsville Municipal Utility
District No. 1 of Walker County, Texas.
Sec. 7935A.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7935A.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. 7935A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
7935A.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. 7935A.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. 7935A.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. 7935A.0201. GOVERNING BODY; TERMS. (a) The district
is governed by a board of five elected directors.
(b) Except as provided by Section 7935A.0202, directors
serve staggered four-year terms.
Sec. 7935A.0202. TEMPORARY DIRECTORS. (a) On or after the
effective date of the Act enacting this chapter, the owner or owners
of a majority of the assessed value of the real property in the
district may submit a petition to the commission requesting that
the commission appoint as temporary directors the five persons
named in the petition. The commission shall appoint as temporary
directors the five persons named in the petition.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7935A.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 7935A.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 7935A.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. 7935A.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7935A.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. 7935A.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. 7935A.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. 7935A.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. 7935A.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
7935A.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. 7935A.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7935A.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. 7935A.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. 7935A.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. 7935A.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. 7935A.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 Huntsville Municipal Utility District No. 1
of Walker County, Texas, initially includes all the territory
contained in the following area:
A METES & BOUNDS description of a calculated 350.0 acre tract
of land situated in the John Beauchamp Survey, Abstract No. 92, the
John Hume Survey, Abstract No. 264, the W.N. Mock Survey, Abstract
No. 401, and the I.&G.N. R.R. Co. Survey, Abstract No. 691, in
Walker County, Texas, being all of a called 6.00 acre tract (Tract 1 –
C.F. No. 201700028486) recorded in Clerk’s File No. 201700028486,
Walker County Official Records, and being all of a calculated 340.0
acre tract (Tract 2 – C.F. No. 201700028487) out of a called 710.308
acre tract recorded in Clerk’s File No. 201700028487, Walker County
Official Records, said calculated 350.0 acre tract being more
particularly described as follows:
(Tract 1 – C.F. No. 201700028486)
Being 6.000 acres (261,338 square feet) tract of land out of
the John Hume Survey, Abstract No. 264, and the John Beauchamp
Survey, Abstract No. 92, Walker County Texas and being out of the
Lot 3B of Amending Replat of Lot 3, Stephen H. Dawson Subdivision as
recorded under Volume 6, Page 35 of the Walker County Plat Records
(W.C.P.R.), Texas and being out of a called Lot 3 (18.251 acres) as
conveyed to BDB Investments, a Texas General Partnership composed
of J.D. Davis, Bradley D. Davis, and J. Barrett Davis as recorded
under Document No. 200800005295 of the Walker County Deed Records
(W.C.D.R.), Texas and a 0.63 acre tract (designated Tract One) and a
1.347 acre tract (designated Tract Two) as conveyed to BDB
Investments, a Texas General Partnership composed of J.D. Davis,
Bradley D. Davis, and J. Barrett Davis as recorded under Document
No. 201100005893 W.C.D.R. and being more particularly described by
metes and bounds as follows (with bearings referenced to Texas
State Plane Coordinate System Central Zone, NAD83).
BEGINNING at a point in the south right-of-way line of
Veterans Memorial Parkway (variable width as recorded in Volume
399, Page 705 W.C.D.R.) and being the northwest comer of a called
254.36 acre tract of land conveyed to Samuella W. Palmer, Trustee of
the Samuella W. Palmer Trust as recorded under Document No.
200700007382 W.C.D.R. and for the northeast corner of Lot 3B of
Amending Replat of Lot 3, Stephen H. Dawson Subdivision as recorded
under Volume 6, Page 35 of the Walker County Plat Records
(W.C.P.R.), Texas and herein described tract;
THENCE, South 03°00'42" East, 595.64 feet along the east line
of Lot 3B and the west line of the called 254.36 acre tract to the
northeast comer of a called 710.338 acre tract conveyed to
Alexander 263, Ltd.-Baker, LP, a Texas Limited Partnership as
recorded in Volume 956, Page 33 W.C.D.R., and the southeast corner
of Lot 3B and for corner of the herein described tract;
THENCE, North 67°41’21" West, 61.09 feet along the north line
of the called 710.338 acre tract and the south line of Lot 3B to the
northeast corner of a 0.63 acre tract (designated Tract One) as
conveyed to BDB Investments, a Texas General Partnership composed
of J.D. Davis, Bradley D. Davis, and J. Barrett Davis as recorded
under Document No. 201100005893 W.C.D.R. and the northwest corner
of the called 710.338 acre tract and for corner of the herein
described tract;
THENCE, South 22°11’28" West, 337.01 feet along the west line
of the called 710.338 acre tract and the east line of the called
0.63 acre tract and a 1.347 acre tract (designated Tract Two) as
conveyed to BDB Investments, a Texas General Partnership composed
of J.D. Davis, Bradley D. Davis, and J. Barrett Davis as recorded
under Document No. 201100005893 W.C.D.R. to the northeast corner of
a called 0.87 acre tract conveyed to City of Huntsville as recorded
under Volume 233, Page 130 W.C.D.R. and for the southeast corner of
the herein described tract;
THENCE, North 67°41’34” West, 275.10 feet along the south
line of the called 1.347 acre and a called 0.53 acre tract conveyed
to Alejandro Zavala and Patricia Zavala, husband and wife, as
recorded under Volume 433 Page 308 W.C.D.R. to a point in the east
right-of-way line of Marigold Lane (formerly known as Holly Lane-
50 foot width as recorded under Volume 1, Page 18 W.C.P.R.) and for
the southwest corner of the called 1.347 acre tract and the herein
described tract;
THENCE, North 22°18'30" East, 337.03 feet along the east
right-of-way line of Marigold Lane to a point in the south line of
said Lot 3B and for the northwest corner of said called 0.63 acre
tract and a corner of the herein described tract;
THENCE, North 67°41’21" West, 15.66 feet along the south line
of Lot 3B to a corner of the herein described tract;
THENCE, North 16°58'02" East, 120.96 feet departing the south
line of Lot 3B and through the interior of Lot 3B to an angle point;
THENCE, North 03°15'52" East, 99.24 feet to an angle point;
THENCE, North 03°02'25” West, 405.44 feet to a point in the
north line of Lot 3B and the south right-of-way line of Veterans
Memorial Parkway for the northwest comer of the herein described
tract;
THENCE, South 68°03'04" East, 45.14 feet along the north line
of Lot 3B and the south right-of-way line of Veterans Memorial
Parkway to an angle point;
THENCE, South 56°16’24" East, 216.37 feet continuing along
the north line of Lot 3B and the south right-of- way line of
Veterans Memorial Parkway to an angle point;
THENCE, South 68°00’20" East, 56.42 feet continuing along the
north line of Lot 3B and the south right-of- way line of Veterans
Memorial Parkway to the POINT OF BEGINNING, CONTAINING 6.00 acres
(261,338 square feet) of land in Walker County, Texas, filed in the
office of Elevation Land Solutions in The Woodlands, Texas.
(Tract 2 – C.F. No. 201700028487)
A METES & BOUNDS description of a certain 344.0 acre
(14,984,662 square feet) tract of land situated in the W.N. Mock
Survey, Abstract No. 401, and the I.&G.N. R.R. Co. Survey, Abstract
No. 691, in Walker County, Texas, being out of a called 710.308 acre
tract conveyed to East Loop Investments, L.L.C. by deed recorded in
Clerk’s File No. 201700028487, Walker County Official Records; said
344.0 acre (14,984,662 square feet) tract of land being more
particularly described as follows with all bearings referenced to
the Texas Coordinate System, Central Zone, NAD 83:
BEGINNING at a point for the northeast corner of a called
710.338 acres as conveyed to Alexander 263, Ltd-Baker, LP, a Texas
Limited Partnership and recorded under Volume 956, Page 33 Walker
County Deed Records and being the southeast corner of Lot 3B of
Amending Replat of Lot 3 Stephen H. Dawson Subdivision as recorded
under Volume 6, Page 35 of the Walker County Plat Records, Texas,
and being in the west line of a called 254.36 acre tract of land
conveyed to Samuella W. Palmer, Trustee of the Samuella W. Palmer
Trust as recorded under Document No. 200700007382 of the Walker
County Deed Records;
THENCE, South 02°44’23” East, 4171.62 feet along the east
line of the called 710.338 acre tract and the west line of the
called 254.36 acre tract to a point for corner in the north line of
the W.N. Mock Survey, Abstract No. 401;
THENCE, South 04°00’26" East, 193.30 feet to a point for
corner;
THENCE, North 87°01’45" East, 410.40 feet to a point for
corner in the east line of the called 710.338 acre tract;
THENCE, South 67°56’27" East, 153.25 feet continuing along
the east line of the called 710.338 acre tract to a point for corner
in the west line of a called 557 acre tract described as Tract No.
J12q conveyed to United States of America and recorded under Volume
82, Page 131 of the Walker County Deed Records;
THENCE, South 22°25’58” West, 3625.79 feet continuing along
the east line of the called 710.338 acre tract and the west line of
the called 557 acres tract to a point for corner;
THENCE, North 67°41’58” West, 3767.59 feet to a point for
corner in the west line of the called 710.338 acre tract and the
east line of a remainder called 200 acre tract as conveyed to Heath
Branch Fishing Club Incorporated as recorded under Volume 59, Page
348 of the Walker County Deed Records;
THENCE, North 21°40’17” East, 493.49 feet along the west line
of the called 710.338 acre tract and the east line of the called
remainder 200 acre tract to a point for the southwest corner of a
called 50 acre tract of land conveyed to Heath Branch Fishing Club
Incorporated as recorded under Volume 59, Page 348 of the Walker
County Deed Records and corner of the called 710.338 acre tract and
hereof;
THENCE, South 66°36’33” East, 682.37 feet along the west line
of the called 710.338 acre tract and the south line of the called 50
acre tract to a point for the southeast corner of the called 50 acre
tract and corner of the called 710.338 acre tract and hereof;
THENCE, North 23°07’10" East, 3136.07 feet along the west
line of the called 710.338 acre tract and the east line of the
called 50 acre tract to a point in the south line of a called 28.161
acre tract conveyed to MBV Ventured, Ltd., a Texas limited
partnership as recorded under Document No. 201300005357 of the
Walker County Deed Records, the northeast corner of said called 50
acre tract and a corner of the called 710.338 acre tract and hereof;
THENCE, South 67°41’58” East, 624.76 feet along the south
line of the called 28.161 acre tract and the west line of the called
710.338 acre tract to a point for the southeast corner of the called
28.161 acre tract and a corner for the 710.338 acre tract and
hereof;
THENCE, North 22°11’28” East, 3786.54 feet along the west
line of the called 710.338 acre tract to a point for corner in the
south line of Lot 3B of the Amending Replat of Lot 3 Stephen H.
Dawson Subdivision and for the northwest corner of said called
710.338 acre tract and hereof;
THENCE, South 67°41’21" East, 61.09 feet along the north line
of the called 710.338 acre tract and the south line of Lot 3B to the
POINT OF BEGINNING, CONTAINING 344.0 acres (14,984,662 square feet)
of land in Walker County, Texas, filed in the office of Elevation
Land Solutions in The Woodlands, 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
7935A, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7935A.0306 to read as
follows:
Sec. 7935A.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. 4658 was passed by the House on May
14, 2021, by the following vote: Yeas 105, Nays 40, 2 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 4658 on May 28, 2021, by the following vote: Yeas 100, Nays 43,
2 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4658 was passed by the Senate, with
amendments, on May 27, 2021, by the following vote: Yeas 30, Nays
1.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor