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Texas House Bill HB5408

Texas 2023 - 88th Regular

Texas House Bill HB5408 Compare Versions

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11 88R20015 SCP-F
22 By: Buckley H.B. No. 5408
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the creation of the Knob Creek Municipal Utility
88 District of Bell County; granting a limited power of eminent
99 domain; providing authority to issue bonds; providing authority to
1010 impose assessments, fees, and taxes.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Subtitle F, Title 6, Special District Local Laws
1313 Code, is amended by adding Chapter 8001A to read as follows:
1414 CHAPTER 8001A. KNOB CREEK MUNICIPAL UTILITY DISTRICT OF BELL
1515 COUNTY
1616 SUBCHAPTER A. GENERAL PROVISIONS
1717 Sec. 8001A.0101. DEFINITIONS. In this chapter:
1818 (1) "Board" means the district's board of directors.
1919 (2) "Commission" means the Texas Commission on
2020 Environmental Quality.
2121 (3) "Director" means a board member.
2222 (4) "District" means the Knob Creek Municipal Utility
2323 District of Bell County.
2424 Sec. 8001A.0102. NATURE OF DISTRICT. The district is a
2525 municipal utility district created under Section 59, Article XVI,
2626 Texas Constitution.
2727 Sec. 8001A.0103. CONFIRMATION AND DIRECTOR ELECTION
2828 REQUIRED. The temporary directors shall hold an election to
2929 confirm the creation of the district and to elect five permanent
3030 directors as provided by Section 49.102, Water Code.
3131 Sec. 8001A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
3232 temporary directors may not hold an election under Section
3333 8001A.0103 until each municipality in whose corporate limits or
3434 extraterritorial jurisdiction the district is located has
3535 consented by ordinance or resolution to the creation of the
3636 district and to the inclusion of land in the district as required by
3737 applicable law.
3838 Sec. 8001A.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
3939 (a) The district is created to serve a public purpose and benefit.
4040 (b) The district is created to accomplish the purposes of:
4141 (1) a municipal utility district as provided by
4242 general law and Section 59, Article XVI, Texas Constitution; and
4343 (2) Section 52, Article III, Texas Constitution, that
4444 relate to the construction, acquisition, improvement, operation,
4545 or maintenance of macadamized, graveled, or paved roads, or
4646 improvements, including storm drainage, in aid of those roads.
4747 Sec. 8001A.0106. INITIAL DISTRICT TERRITORY. (a) The
4848 district is initially composed of the territory described by
4949 Section 2 of the Act enacting this chapter.
5050 (b) The boundaries and field notes contained in Section 2 of
5151 the Act enacting this chapter form a closure. A mistake made in the
5252 field notes or in copying the field notes in the legislative process
5353 does not affect the district's:
5454 (1) organization, existence, or validity;
5555 (2) right to issue any type of bond for the purposes
5656 for which the district is created or to pay the principal of and
5757 interest on a bond;
5858 (3) right to impose a tax; or
5959 (4) legality or operation.
6060 SUBCHAPTER B. BOARD OF DIRECTORS
6161 Sec. 8001A.0201. GOVERNING BODY; TERMS. (a) The district
6262 is governed by a board of five elected directors.
6363 (b) Except as provided by Section 8001A.0202, directors
6464 serve staggered four-year terms.
6565 Sec. 8001A.0202. TEMPORARY DIRECTORS. (a) The temporary
6666 board consists of:
6767 (1) Tyler Johnson;
6868 (2) Blake Pitts;
6969 (3) William Hibbard;
7070 (4) Matthew Barge; and
7171 (5) Callie Paysse.
7272 (b) Temporary directors serve until the earlier of:
7373 (1) the date permanent directors are elected under
7474 Section 8001A.0103; or
7575 (2) September 1, 2027.
7676 (c) If permanent directors have not been elected under
7777 Section 8001A.0103 and the terms of the temporary directors have
7878 expired, successor temporary directors shall be appointed or
7979 reappointed as provided by Subsection (d) to serve terms that
8080 expire on the earlier of:
8181 (1) the date permanent directors are elected under
8282 Section 8001A.0103; or
8383 (2) the fourth anniversary of the date of the
8484 appointment or reappointment.
8585 (d) If Subsection (c) applies, the owner or owners of a
8686 majority of the assessed value of the real property in the district
8787 may submit a petition to the commission requesting that the
8888 commission appoint as successor temporary directors the five
8989 persons named in the petition. The commission shall appoint as
9090 successor temporary directors the five persons named in the
9191 petition.
9292 SUBCHAPTER C. POWERS AND DUTIES
9393 Sec. 8001A.0301. GENERAL POWERS AND DUTIES. The district
9494 has the powers and duties necessary to accomplish the purposes for
9595 which the district is created.
9696 Sec. 8001A.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
9797 DUTIES. The district has the powers and duties provided by the
9898 general law of this state, including Chapters 49 and 54, Water Code,
9999 applicable to municipal utility districts created under Section 59,
100100 Article XVI, Texas Constitution.
101101 Sec. 8001A.0303. AUTHORITY FOR ROAD PROJECTS. Under
102102 Section 52, Article III, Texas Constitution, the district may
103103 design, acquire, construct, finance, issue bonds for, improve,
104104 operate, maintain, and convey to this state, a county, or a
105105 municipality for operation and maintenance macadamized, graveled,
106106 or paved roads, or improvements, including storm drainage, in aid
107107 of those roads.
108108 Sec. 8001A.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
109109 road project must meet all applicable construction standards,
110110 zoning and subdivision requirements, and regulations of each
111111 municipality in whose corporate limits or extraterritorial
112112 jurisdiction the road project is located.
113113 (b) If a road project is not located in the corporate limits
114114 or extraterritorial jurisdiction of a municipality, the road
115115 project must meet all applicable construction standards,
116116 subdivision requirements, and regulations of each county in which
117117 the road project is located.
118118 (c) If the state will maintain and operate the road, the
119119 Texas Transportation Commission must approve the plans and
120120 specifications of the road project.
121121 Sec. 8001A.0305. COMPLIANCE WITH MUNICIPAL CONSENT
122122 ORDINANCE OR RESOLUTION. The district shall comply with all
123123 applicable requirements of any ordinance or resolution that is
124124 adopted under Section 54.016 or 54.0165, Water Code, and that
125125 consents to the creation of the district or to the inclusion of land
126126 in the district.
127127 Sec. 8001A.0306. DIVISION OF DISTRICT. (a) The board, on
128128 its own motion or on receipt of a petition signed by the owner or
129129 owners of a majority of the assessed value of the real property in
130130 the district, may adopt an order dividing the district.
131131 (b) An order dividing a district may create one or more new
132132 districts and may provide for the continuation of the district.
133133 (c) An order dividing the district shall:
134134 (1) name any new district;
135135 (2) include the metes and bounds description of the
136136 territory of each of the districts;
137137 (3) appoint temporary directors for any new district;
138138 and
139139 (4) provide for the division of assets and liabilities
140140 between the districts.
141141 (d) The board may adopt an order dividing the district
142142 before or after the date the board holds an election to confirm the
143143 district's creation.
144144 (e) The district may be divided only if the district:
145145 (1) has never issued any bonds; and
146146 (2) is not imposing ad valorem taxes.
147147 (f) A new district created by the division of the district
148148 may not, at the time the new district is created, contain any land
149149 outside the area described by Section 2 of the Act enacting this
150150 chapter.
151151 (g) On or before the 30th day after the date of adoption of
152152 an order dividing the district, the district shall file the order
153153 with the commission and record the order in the real property
154154 records of each county in which the district is located.
155155 (h) This chapter applies to any new district created by the
156156 division of the district, and a new district has all the powers and
157157 duties of the district.
158158 (i) A new district created by the division of the district
159159 shall hold a confirmation and directors' election.
160160 (j) If the creation of the new district is confirmed, the
161161 new district shall provide the election date and results to the
162162 commission.
163163 (k) A new district created by the division of the district
164164 must hold an election as required by this chapter to obtain voter
165165 approval before the district may impose a maintenance tax or issue
166166 bonds payable wholly or partly from ad valorem taxes.
167167 (l) The district may continue to rely on confirmation,
168168 directors', bond, or tax elections held prior to the division.
169169 (m) Municipal consent to the creation of the district and to
170170 the inclusion of land in the district acts as municipal consent to
171171 the creation of any new district created by the division of the
172172 district and to the inclusion of land in the new district.
173173 SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
174174 Sec. 8001A.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
175175 The district may issue, without an election, bonds and other
176176 obligations secured by:
177177 (1) revenue other than ad valorem taxes; or
178178 (2) contract payments described by Section
179179 8001A.0403.
180180 (b) The district must hold an election in the manner
181181 provided by Chapters 49 and 54, Water Code, to obtain voter approval
182182 before the district may impose an ad valorem tax or issue bonds
183183 payable from ad valorem taxes.
184184 (c) The district may not issue bonds payable from ad valorem
185185 taxes to finance a road project unless the issuance is approved by a
186186 vote of a two-thirds majority of the district voters voting at an
187187 election held for that purpose.
188188 Sec. 8001A.0402. OPERATION AND MAINTENANCE TAX. (a) If
189189 authorized at an election held under Section 8001A.0401, the
190190 district may impose an operation and maintenance tax on taxable
191191 property in the district in accordance with Section 49.107, Water
192192 Code.
193193 (b) The board shall determine the tax rate. The rate may not
194194 exceed the rate approved at the election.
195195 Sec. 8001A.0403. CONTRACT TAXES. (a) In accordance with
196196 Section 49.108, Water Code, the district may impose a tax other than
197197 an operation and maintenance tax and use the revenue derived from
198198 the tax to make payments under a contract after the provisions of
199199 the contract have been approved by a majority of the district voters
200200 voting at an election held for that purpose.
201201 (b) A contract approved by the district voters may contain a
202202 provision stating that the contract may be modified or amended by
203203 the board without further voter approval.
204204 SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
205205 Sec. 8001A.0501. AUTHORITY TO ISSUE BONDS AND OTHER
206206 OBLIGATIONS. The district may issue bonds or other obligations
207207 payable wholly or partly from ad valorem taxes, impact fees,
208208 revenue, contract payments, grants, or other district money, or any
209209 combination of those sources, to pay for any authorized district
210210 purpose.
211211 Sec. 8001A.0502. TAXES FOR BONDS. At the time the district
212212 issues bonds payable wholly or partly from ad valorem taxes, the
213213 board shall provide for the annual imposition of a continuing
214214 direct ad valorem tax, without limit as to rate or amount, while all
215215 or part of the bonds are outstanding as required and in the manner
216216 provided by Sections 54.601 and 54.602, Water Code.
217217 Sec. 8001A.0503. BONDS FOR ROAD PROJECTS. At the time of
218218 issuance, the total principal amount of bonds or other obligations
219219 issued or incurred to finance road projects and payable from ad
220220 valorem taxes may not exceed one-fourth of the assessed value of the
221221 real property in the district.
222222 SECTION 2. The Knob Creek Municipal Utility District of
223223 Bell County initially includes all the territory contained in the
224224 following area:
225225 BEING a tract of land situated in the Maximo Moreno Survey, Abstract
226226 Number 14, Bell County, Texas, and being all of the following
227227 tracts: Tract 1- called 125.579 acres, Tract 2- called 4.701 acres,
228228 Tract 3- called 10.062 acres, Tract 5- called 152.50 acres, Tract
229229 6- called 131.48 acres, Tract 7- called 65.000 acres, Tract
230230 8- called 73.02 acres and Tract 10- called 114.1 acres as described
231231 in deed to KJR Holdings, LLC as recorded in Document Number
232232 2011012311, Official Public Records of Bell County, Texas and being
233233 more particularly described as follows:
234234 BEGINNING at point at the north corner of said 73.02 acre tract;
235235 THENCE South 73°24'21" East, 2,019.96 feet to a point for the
236236 northeast corner of said 73.02 acre tract;
237237 THENCE along the southeast line of said 73.02 acre tract as follows:
238238 South 12°17'49" West, 134.29 feet to a point for corner;
239239 South 17°47'16" East, 326.63 feet to a point for corner;
240240 South 12°11'33" West, 1,041.53 feet to a point for corner;
241241 THENCE South 18°34'22" West, 29.50 feet to a point for corner;
242242 THENCE South 13°07'02" West, 36.05 feet to a point for corner;
243243 THENCE South 71°39'43" East, 200.84 feet to a point for corner;
244244 THENCE South 72°08'41" East, 180.11 feet to a point for corner;
245245 THENCE South 72°21'11" East, 216.15 feet to a point for corner;
246246 THENCE North 13°05'19" East, 49.14 feet to a point for corner;
247247 THENCE South 75°16'28" East, 859.36 feet to a point for the east
248248 corner of said 125.579 acre tract;
249249 THENCE along the southeast line of said 125.579 acre tract as
250250 follows:
251251 South 17°16'44" West, 1,282.07 feet to a point for corner;
252252 South 23°38'47" West, 244.19 feet to a point for the south corner of
253253 said 125.579 acre tract;
254254 THENCE North 71°46'28" West, 1,075.06 feet along the southwest line
255255 of said 125.579 acre tract to a point for the east corner of said
256256 131.48 acre tract;
257257 THENCE along the east line of said 131.48 acre tract as follows:
258258 South 17°52'28" West, 2,487.10 feet to a point for corner;
259259 North 72°47'07" West, 542.05 feet to a point for corner;
260260 South 17°52'28" West, 1,625.55 feet to a point for the south corner
261261 of said 131.48 acre tract;
262262 THENCE North 72°47'07" West, 1,048.45 feet along the southwest line
263263 of said 131.48 acre tract to a point for the west corner of said
264264 131.48 acre tract, said point also being the south corner of said
265265 152.50 acre tract;
266266 THENCE North 72°26'52" West, 1,634.64 feet along the southwest line
267267 of said 152.50 acre tract to a point for the most southerly
268268 southwest corner of said 152.50 acre tract;
269269 THENCE North 17°33'08" East, 733.92 feet to a point for corner;
270270 THENCE North 72°26'52" West, 2,051.24 feet to a point for the most
271271 westerly southwest corner of said 152.50 acre tract;
272272 THENCE North 17°02'03" East, 3,373.21 feet to a point for the north
273273 corner of said 114.1 acre tract;
274274 THENCE along the northeast line of said 114.1 acre tract as follows:
275275 South 72°55'11" East, 1,008.23 feet to a point for corner;
276276 South 72°20'36" East, 806.11 feet to a point for the east corner of
277277 said 114.1 acre tract, said point being the north corner of said
278278 65.000 acre tract;
279279 THENCE South 71°23'38" East, 253.39 feet along the northeast line of
280280 said 65.000 acre tract to a point for corner the north corner of
281281 said 4.701 acre tract;
282282 THENCE South 72°37'07" East, 606.56 feet to a point for the east
283283 corner of said 4.701 acre tract;
284284 THENCE South 72°39'31" East, 810.18 feet to a point for the east
285285 corner of said 65.000 acre tract, said point also being the north
286286 corner of said 10.062 acre tract corner;
287287 THENCE South 72°33'56" East, 232.00 feet to a point for the east
288288 corner of said 10.062 acre tract, said point also being in the
289289 northwest line of said 131.48 acre tract;
290290 THENCE North 18°14'08" East, 26.76 feet to a point for corner, said
291291 point being in the southwest line of said 125.579 acre tract;
292292 THENCE North 71°45'52" West, 1,034.12 feet along the southwest line
293293 of said 125.579 acre tract to a point for the west corner of said
294294 125.579 acre tract;
295295 THENCE North 17°15'34" East, 1,424.27 feet along the northwest line
296296 of said 125.579 acre tract to a point for the north corner of said
297297 125.579 acre tract, said point also being the west corner of said
298298 73.02 acre tract;
299299 THENCE North 16°39'01" East, 1,438.09 feet along the northwest line
300300 of said 73.02 acre tract to the POINT OF BEGINNING and containing
301301 28,084,968 square feet or 644.7422 acres of land.
302302 SECTION 3. (a) The legal notice of the intention to
303303 introduce this Act, setting forth the general substance of this
304304 Act, has been published as provided by law, and the notice and a
305305 copy of this Act have been furnished to all persons, agencies,
306306 officials, or entities to which they are required to be furnished
307307 under Section 59, Article XVI, Texas Constitution, and Chapter 313,
308308 Government Code.
309309 (b) The governor, one of the required recipients, has
310310 submitted the notice and Act to the Texas Commission on
311311 Environmental Quality.
312312 (c) The Texas Commission on Environmental Quality has filed
313313 its recommendations relating to this Act with the governor, the
314314 lieutenant governor, and the speaker of the house of
315315 representatives within the required time.
316316 (d) All requirements of the constitution and laws of this
317317 state and the rules and procedures of the legislature with respect
318318 to the notice, introduction, and passage of this Act are fulfilled
319319 and accomplished.
320320 SECTION 4. (a) If this Act does not receive a two-thirds
321321 vote of all the members elected to each house, Subchapter C, Chapter
322322 8001A, Special District Local Laws Code, as added by Section 1 of
323323 this Act, is amended by adding Section 8001A.0307 to read as
324324 follows:
325325 Sec. 8001A.0307. NO EMINENT DOMAIN POWER. The district may
326326 not exercise the power of eminent domain.
327327 (b) This section is not intended to be an expression of a
328328 legislative interpretation of the requirements of Section 17(c),
329329 Article I, Texas Constitution.
330330 SECTION 5. This Act takes effect September 1, 2023.