Texas 2023 - 88th Regular

Texas House Bill HB5385 Compare Versions

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1	1	H.B. No. 5385
2	2
3	3
4	4	AN ACT
5	5	relating to the creation of the Harris County Municipal Utility
6	6	District No. 582; granting a limited power of eminent domain;
7	7	providing authority to issue bonds; providing authority to impose
8	8	assessments, fees, and taxes.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subtitle F, Title 6, Special District Local Laws
11	11	Code, is amended by adding Chapter 7959A to read as follows:
12	12	CHAPTER 7959A. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 582
13	13	SUBCHAPTER A. GENERAL PROVISIONS
14	14	Sec. 7959A.0101. DEFINITIONS. In this chapter:
15	15	(1) "Board" means the district's board of directors.
16	16	(2) "Commission" means the Texas Commission on
17	17	Environmental Quality.
18	18	(3) "Director" means a board member.
19	19	(4) "District" means the Harris County Municipal
20	20	Utility District No. 582.
21	21	Sec. 7959A.0102. NATURE OF DISTRICT. The district is a
22	22	municipal utility district created under Section 59, Article XVI,
23	23	Texas Constitution.
24	24	Sec. 7959A.0103. CONFIRMATION AND DIRECTOR ELECTION
25	25	REQUIRED. The temporary directors shall hold an election to
26	26	confirm the creation of the district and to elect five permanent
27	27	directors as provided by Section 49.102, Water Code.
28	28	Sec. 7959A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
29	29	temporary directors may not hold an election under Section
30	30	7959A.0103 until each municipality in whose corporate limits or
31	31	extraterritorial jurisdiction the district is located has
32	32	consented by ordinance or resolution to the creation of the
33	33	district and to the inclusion of land in the district as required by
34	34	applicable law.
35	35	Sec. 7959A.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
36	36	(a) The district is created to serve a public purpose and benefit.
37	37	(b) The district is created to accomplish the purposes of:
38	38	(1) a municipal utility district as provided by
39	39	general law and Section 59, Article XVI, Texas Constitution; and
40	40	(2) Section 52, Article III, Texas Constitution, that
41	41	relate to the construction, acquisition, improvement, operation,
42	42	or maintenance of macadamized, graveled, or paved roads, or
43	43	improvements, including storm drainage, in aid of those roads.
44	44	Sec. 7959A.0106. INITIAL DISTRICT TERRITORY. (a) The
45	45	district is initially composed of the territory described by
46	46	Section 2 of the Act enacting this chapter.
47	47	(b) The boundaries and field notes contained in Section 2 of
48	48	the Act enacting this chapter form a closure. A mistake made in the
49	49	field notes or in copying the field notes in the legislative process
50	50	does not affect the district's:
51	51	(1) organization, existence, or validity;
52	52	(2) right to issue any type of bond for the purposes
53	53	for which the district is created or to pay the principal of and
54	54	interest on a bond;
55	55	(3) right to impose a tax; or
56	56	(4) legality or operation.
57	57	SUBCHAPTER B. BOARD OF DIRECTORS
58	58	Sec. 7959A.0201. GOVERNING BODY; TERMS. (a) The district
59	59	is governed by a board of five elected directors.
60	60	(b) Except as provided by Section 7959A.0202, directors
61	61	serve staggered four-year terms.
62	62	Sec. 7959A.0202. TEMPORARY DIRECTORS. (a) The temporary
63	63	board consists of:
64	64	(1) Joshua Tarr;
65	65	(2) Sarah Hognig;
66	66	(3) Kevin Stutts;
67	67	(4) Joseph Monk; and
68	68	(5) Kenneth Hepburn.
69	69	(b) Temporary directors serve until the earlier of:
70	70	(1) the date permanent directors are elected under
71	71	Section 7959A.0103; or
72	72	(2) the fourth anniversary of the effective date of
73	73	the Act enacting this chapter.
74	74	(c) If permanent directors have not been elected under
75	75	Section 7959A.0103 and the terms of the temporary directors have
76	76	expired, successor temporary directors shall be appointed or
77	77	reappointed as provided by Subsection (d) to serve terms that
78	78	expire on the earlier of:
79	79	(1) the date permanent directors are elected under
80	80	Section 7959A.0103; or
81	81	(2) the fourth anniversary of the date of the
82	82	appointment or reappointment.
83	83	(d) If Subsection (c) applies, the owner or owners of a
84	84	majority of the assessed value of the real property in the district
85	85	may submit a petition to the commission requesting that the
86	86	commission appoint as successor temporary directors the five
87	87	persons named in the petition. The commission shall appoint as
88	88	successor temporary directors the five persons named in the
89	89	petition.
90	90	SUBCHAPTER C. POWERS AND DUTIES
91	91	Sec. 7959A.0301. GENERAL POWERS AND DUTIES. The district
92	92	has the powers and duties necessary to accomplish the purposes for
93	93	which the district is created.
94	94	Sec. 7959A.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
95	95	DUTIES. The district has the powers and duties provided by the
96	96	general law of this state, including Chapters 49 and 54, Water Code,
97	97	applicable to municipal utility districts created under Section 59,
98	98	Article XVI, Texas Constitution.
99	99	Sec. 7959A.0303. AUTHORITY FOR ROAD PROJECTS. Under
100	100	Section 52, Article III, Texas Constitution, the district may
101	101	design, acquire, construct, finance, issue bonds for, improve,
102	102	operate, maintain, and convey to this state, a county, or a
103	103	municipality for operation and maintenance macadamized, graveled,
104	104	or paved roads, or improvements, including storm drainage, in aid
105	105	of those roads.
106	106	Sec. 7959A.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
107	107	road project must meet all applicable construction standards,
108	108	zoning and subdivision requirements, and regulations of each
109	109	municipality in whose corporate limits or extraterritorial
110	110	jurisdiction the road project is located.
111	111	(b) If a road project is not located in the corporate limits
112	112	or extraterritorial jurisdiction of a municipality, the road
113	113	project must meet all applicable construction standards,
114	114	subdivision requirements, and regulations of each county in which
115	115	the road project is located.
116	116	(c) If the state will maintain and operate the road, the
117	117	Texas Transportation Commission must approve the plans and
118	118	specifications of the road project.
119	119	Sec. 7959A.0305. COMPLIANCE WITH MUNICIPAL CONSENT
120	120	ORDINANCE OR RESOLUTION. The district shall comply with all
121	121	applicable requirements of any ordinance or resolution that is
122	122	adopted under Section 54.016 or 54.0165, Water Code, and that
123	123	consents to the creation of the district or to the inclusion of land
124	124	in the district.
125	125	Sec. 7959A.0306. DIVISION OF DISTRICT. (a) The board, on
126	126	its own motion or on receipt of a petition signed by the owner or
127	127	owners of a majority of the assessed value of the real property in
128	128	the district, may adopt an order dividing the district.
129	129	(b) An order dividing a district may create one or more new
130	130	districts and may provide for the continuation of the district.
131	131	(c) An order dividing the district shall:
132	132	(1) name any new district;
133	133	(2) include the metes and bounds description of the
134	134	territory of each of the districts;
135	135	(3) appoint temporary directors for any new district;
136	136	and
137	137	(4) provide for the division of assets and liabilities
138	138	between the districts.
139	139	(d) The board may adopt an order dividing the district
140	140	before or after the date the board holds an election to confirm the
141	141	district's creation.
142	142	(e) The district may be divided only if the district:
143	143	(1) has never issued any bonds; and
144	144	(2) is not imposing ad valorem taxes.
145	145	(f) A new district created by the division of the district
146	146	may not, at the time the new district is created, contain any land
147	147	outside the area described by Section 2 of the Act enacting this
148	148	chapter.
149	149	(g) On or before the 30th day after the date of adoption of
150	150	an order dividing the district, the district shall file the order
151	151	with the commission and record the order in the real property
152	152	records of each county in which the district is located.
153	153	(h) This chapter applies to any new district created by the
154	154	division of the district, and a new district has all the powers and
155	155	duties of the district.
156	156	(i) A new district created by the division of the district
157	157	shall hold a confirmation and directors' election.
158	158	(j) If the creation of the new district is confirmed, the
159	159	new district shall provide the election date and results to the
160	160	commission.
161	161	(k) A new district created by the division of the district
162	162	must hold an election as required by this chapter to obtain voter
163	163	approval before the district may impose a maintenance tax or issue
164	164	bonds payable wholly or partly from ad valorem taxes.
165	165	(l) The district may continue to rely on confirmation,
166	166	directors', bond, or tax elections held prior to the division.
167	167	(m) Municipal consent to the creation of the district and to
168	168	the inclusion of land in the district acts as municipal consent to
169	169	the creation of any new district created by the division of the
170	170	district and to the inclusion of land in the new district.
171	171	SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
172	172	Sec. 7959A.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
173	173	The district may issue, without an election, bonds and other
174	174	obligations secured by:
175	175	(1) revenue other than ad valorem taxes; or
176	176	(2) contract payments described by Section
177	177	7959A.0403.
178	178	(b) The district must hold an election in the manner
179	179	provided by Chapters 49 and 54, Water Code, to obtain voter approval
180	180	before the district may impose an ad valorem tax or issue bonds
181	181	payable from ad valorem taxes.
182	182	(c) The district may not issue bonds payable from ad valorem
183	183	taxes to finance a road project unless the issuance is approved by a
184	184	vote of a two-thirds majority of the district voters voting at an
185	185	election held for that purpose.
186	186	Sec. 7959A.0402. OPERATION AND MAINTENANCE TAX. (a) If
187	187	authorized at an election held under Section 7959A.0401, the
188	188	district may impose an operation and maintenance tax on taxable
189	189	property in the district in accordance with Section 49.107, Water
190	190	Code.
191	191	(b) The board shall determine the tax rate. The rate may not
192	192	exceed the rate approved at the election.
193	193	Sec. 7959A.0403. CONTRACT TAXES. (a) In accordance with
194	194	Section 49.108, Water Code, the district may impose a tax other than
195	195	an operation and maintenance tax and use the revenue derived from
196	196	the tax to make payments under a contract after the provisions of
197	197	the contract have been approved by a majority of the district voters
198	198	voting at an election held for that purpose.
199	199	(b) A contract approved by the district voters may contain a
200	200	provision stating that the contract may be modified or amended by
201	201	the board without further voter approval.
202	202	SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
203	203	Sec. 7959A.0501. AUTHORITY TO ISSUE BONDS AND OTHER
204	204	OBLIGATIONS. The district may issue bonds or other obligations
205	205	payable wholly or partly from ad valorem taxes, impact fees,
206	206	revenue, contract payments, grants, or other district money, or any
207	207	combination of those sources, to pay for any authorized district
208	208	purpose.
209	209	Sec. 7959A.0502. TAXES FOR BONDS. At the time the district
210	210	issues bonds payable wholly or partly from ad valorem taxes, the
211	211	board shall provide for the annual imposition of a continuing
212	212	direct ad valorem tax, without limit as to rate or amount, while all
213	213	or part of the bonds are outstanding as required and in the manner
214	214	provided by Sections 54.601 and 54.602, Water Code.
215	215	Sec. 7959A.0503. BONDS FOR ROAD PROJECTS. At the time of
216	216	issuance, the total principal amount of bonds or other obligations
217	217	issued or incurred to finance road projects and payable from ad
218	218	valorem taxes may not exceed one-fourth of the assessed value of the
219	219	real property in the district.
220	220	SECTION 2. The Harris County Municipal Utility District
221	221	No. 582 initially includes all the territory contained in the
222	222	following area:
223	223	A 195.749 acre, (8,526,822 square feet more or less) tract of
224	224	land, being all of Tract 1, a called 97.850 acre tract conveyed to
225	225	Joe D. Wood and Tract 2, a called 97.850 acre tract of conveyed to
226	226	Zola Wood Cater as described in a deed recorded in Clerk's File
227	227	No. 20140535364 in the Official Public Records of Harris County,
228	228	Texas, situated in the I. & G.N. Railroad Company Survey, Abstract
229	229	No. 966, Harris County, Texas. Said 195.749 acre tract being more
230	230	fully described as follows, with bearings based on the Texas
231	231	Coordinate System established for the South Central Zone from the
232	232	North American Datum of 1983 (NA2011) epoch 2010.00:
233	233	BEGINNING: At a railroad spike found for the northwest
234	234	corner of a said Tract 1, 97.850 acre tract, the northeast corner of
235	235	a called 5.0001 acre tract conveyed to Eduardo Loya as described in
236	236	a deed recorded in Clerk's File No. T085516 of the Official Public
237	237	Records of Real Property of Harris County, Texas, in the Centerline
238	238	of Mayer Road ( called 60' wide right-of-way, per WPA Official
239	239	Project No. 65-1-66-2749), and in the apparent survey line of I. &
240	240	G.M. Railroad Survey Company, Abstract No. 966 and Samuel Kelly
241	241	Survey, Abstract No. 501;
242	242	THENCE: N 87°29'16" E, along and with the north line of said
243	243	Tract 1, 97.850 acre tract, the north line of said Tract 2, 97.850
244	244	acre tract, the center line of said Mayer Road, the north line of
245	245	Abstract No. 966 and the south line of Abstract No. 501, a distance
246	246	of 3,143.68 feet to a mag nail with shiner stamped "Pape-Dawson" set
247	247	for the northeast corner of said Tract 2, 97.850 acre tract, the
248	248	northeast corner of Abstract No. 966, the southeast corner of
249	249	Abstract No. 501, The southwest corner of the B.B.B.&C. Company
250	250	Survey, Abstract No. 171, the northwest corner of B.B.B.&C.
251	251	Railroad Company Survey, Abstract No. 170, and in the center line
252	252	of said Mayer Road, from which a 1 inch iron pipe bears
253	253	N 17°34'00" W, a distance of 9.84 feet;
254	254	THENCE: S 02°16'53" E, departing the center line of said
255	255	Mayer Road, along and with the east line of said Tract 2, 97.850
256	256	acre tract, the west line of a called 617.91 acre tract conveyed to
257	257	Henry Schmidt, Jr. as described in a deed recorded in Clerk's File
258	258	No. G359500 of the Official Public Records of Real Property of
259	259	Harris County, Texas, the apparent east line of said Abstract
260	260	No. 966 and the west line of said Abstract No. 170, passing at a
261	261	distance of 30.00 feet a 5/8 inch iron rod with cap stamped
262	262	"Pape-Dawson" set in the south right-of-way line of Mayer road, in
263	263	the east line of said Tract 2, and the northwest corner of said
264	264	617.91 acre tract, continuing for a total distance of 3,296.84 feet
265	265	(called 3296.36 feet) to a 1/2 inch iron rod with cap found for the
266	266	southeast corner of said Tract 2, 97.850 acre tract, the northeast
267	267	corner of a called 22.029 acre tract conveyed to Lawrence
268	268	Frattalone, Jr. as described in a deed recorded in Clerk's File
269	269	No. X5447505 of the Official Public Records of Real Property of
270	270	Harris County, Texas, in the west line of said 617.91 acre tract,
271	271	the apparent east line of said Abstract No. 966 and the apparent
272	272	west line of said Abstract No. 170;
273	273	THENCE: S 88°14'50" W, along and with the south line of said
274	274	Tract 2, 97.850 acre tract and the north line of said 22.029 acre
275	275	tract, a distance of 796.15 feet to a 5/8 inch iron rod with cap
276	276	stamped "Pape-Dawson" set for a southwest corner of said Tract 2,
277	277	97.850 acre tract, the northwest corner of said 22.029 acre tract,
278	278	and in the east line of a called 13.265 acre tract conveyed to Larry
279	279	Frattalone as described in a deed recorded in Clerk's File
280	280	No. Z406306 of the Official Public Records of Real Property of
281	281	Harris County, Texas;
282	282	THENCE: N 02°32'31" W, along and with a west line of said
283	283	Tract 2, 97.850 acre tract, the east line of said 13.265 acre tract
284	284	and the east line of a called 11.765 acre tract conveyed to Larry
285	285	Frattalone as described in a deed recorded in Clerk's File
286	286	No. Z406306 of the Official Public Records of Real Property of
287	287	Harris County, Texas, a distance of 770.69 feet (called 770.62
288	288	feet) to a 5/8 inch iron rod with cap stamped "Pape-Dawson" set for
289	289	an interior corner of said Tract 2, 97.850 acre tract and the
290	290	northeast corner of said 11.765 acre tract;
291	291	THENCE: S 87°24'01" W, along and with a south line of said
292	292	Tract 1 and Tract 2, the north line of said 11.765 acre tract, the
293	293	north line of a called 51.125 acre tract conveyed to Edwin Lee
294	294	Kohutek, Jr. as described in a deed recorded in Clerk's File
295	295	No. U725401 of the Official Public Records of Real Property of
296	296	Harris County, Texas, and the north line of a called 159.96 acre
297	297	tract conveyed to Texas FLG, LLC as described in a deed recorded in
298	298	Clerk's File No. RP-2018-421130 of the Official Public Records of
299	299	Real Property of Harris County, Texas, passing a distance of
300	300	1,787.90 feet a 1 inch bar found for the northwest corner of said
301	301	51.125 acre tract and a northeast corner of said 159.96 acre tract,
302	302	a total distance of 2,340.39 feet to a 1/2 inch iron rod found for a
303	303	southwest corner of said Tract 1, interior corner of said 159.96
304	304	acre tract;
305	305	THENCE: N 02°21'55" W, along and with the west line of Tract
306	306	1, passing at a distance of 591.43 feet to a 1/2 inch iron rod, 1.82'
307	307	left, passing at a distance of 2,489.15 feet a 5/8 inch iron rod
308	308	with cap stamped "Pape Dawson" set in the south right-of-way line of
309	309	Mayer Road, and continuing for a total distance of 2,519.15 feet
310	310	(called 2518.74 feet) to the POINT OF BEGINNING, and containing
311	311	195.749 total acres, having 2.165 acres within the right-of-way of
312	312	Mayer Road, leaving 193.584 net acres in Harris County, Texas. Said
313	313	tract being described in accordance with a survey made on the ground
314	314	and a survey map prepared under job number 49181-20 by Pape-Dawson
315	315	Engineers, Inc.
316	316	SECTION 3. (a) The legal notice of the intention to
317	317	introduce this Act, setting forth the general substance of this
318	318	Act, has been published as provided by law, and the notice and a
319	319	copy of this Act have been furnished to all persons, agencies,
320	320	officials, or entities to which they are required to be furnished
321	321	under Section 59, Article XVI, Texas Constitution, and Chapter 313,
322	322	Government Code.
323	323	(b) The governor, one of the required recipients, has
324	324	submitted the notice and Act to the Texas Commission on
325	325	Environmental Quality.
326	326	(c) The Texas Commission on Environmental Quality has filed
327	327	its recommendations relating to this Act with the governor, the
328	328	lieutenant governor, and the speaker of the house of
329	329	representatives within the required time.
330	330	(d) All requirements of the constitution and laws of this
331	331	state and the rules and procedures of the legislature with respect
332	332	to the notice, introduction, and passage of this Act are fulfilled
333	333	and accomplished.
334	334	SECTION 4. (a) If this Act does not receive a two-thirds
335	335	vote of all the members elected to each house, Subchapter C, Chapter
336	336	7959A, Special District Local Laws Code, as added by Section 1 of
337	337	this Act, is amended by adding Section 7959A.0307 to read as
338	338	follows:
339	339	Sec. 7959A.0307. NO EMINENT DOMAIN POWER. The district may
340	340	not exercise the power of eminent domain.
341	341	(b) This section is not intended to be an expression of a
342	342	legislative interpretation of the requirements of Section 17(c),
343	343	Article I, Texas Constitution.
344	344	SECTION 5. This Act takes effect immediately if it receives
345	345	a vote of two-thirds of all the members elected to each house, as
346	346	provided by Section 39, Article III, Texas Constitution. If this
347	347	Act does not receive the vote necessary for immediate effect, this
348	348	Act takes effect September 1, 2023.
349	349	______________________________ ______________________________
350	350	President of the Senate Speaker of the House
351	351	I certify that H.B. No. 5385 was passed by the House on May 9,
352	352	2023, by the following vote: Yeas 108, Nays 34, 2 present, not
353	353	voting.
354	354	______________________________
355	355	Chief Clerk of the House
356	356	I certify that H.B. No. 5385 was passed by the Senate on May
357	357	21, 2023, by the following vote: Yeas 27, Nays 4.
358	358	______________________________
359	359	Secretary of the Senate
360	360	APPROVED: _____________________
361	361	Date
362	362	_____________________
363	363	Governor