Texas 2023 - 88th Regular

Texas Senate Bill SB2596 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1	By: Creighton S.B. No. 2596
2	2	(In the Senate - Filed April 5, 2023; April 11, 2023, read
3	3	first time and referred to Committee on Local Government;
4	4	April 28, 2023, reported favorably by the following vote: Yeas 7,
5	5	Nays 0; April 28, 2023, sent to printer.)
6	6	Click here to see the committee vote
7	7
8	8
9	9	A BILL TO BE ENTITLED
10	10	AN ACT
11	11	relating to the creation of the Montgomery County Municipal Utility
12	12	District No. 236; granting a limited power of eminent domain;
13	13	providing authority to issue bonds; providing authority to impose
14	14	assessments, fees, and taxes.
15	15	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
16	16	SECTION 1. Subtitle F, Title 6, Special District Local Laws
17	17	Code, is amended by adding Chapter 7968A to read as follows:
18	18	CHAPTER 7968A. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT
19	19	NO. 236
20	20	SUBCHAPTER A. GENERAL PROVISIONS
21	21	Sec. 7968A.0101. DEFINITIONS. In this chapter:
22	22	(1) "Board" means the district's board of directors.
23	23	(2) "Commission" means the Texas Commission on
24	24	Environmental Quality.
25	25	(3) "Director" means a board member.
26	26	(4) "District" means the Montgomery County Municipal
27	27	Utility District No. 236.
28	28	Sec. 7968A.0102. NATURE OF DISTRICT. The district is a
29	29	municipal utility district created under Section 59, Article XVI,
30	30	Texas Constitution.
31	31	Sec. 7968A.0103. CONFIRMATION AND DIRECTOR ELECTION
32	32	REQUIRED. The temporary directors shall hold an election to
33	33	confirm the creation of the district and to elect five permanent
34	34	directors as provided by Section 49.102, Water Code.
35	35	Sec. 7968A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
36	36	temporary directors may not hold an election under Section
37	37	7968A.0103 until each municipality in whose corporate limits or
38	38	extraterritorial jurisdiction the district is located has
39	39	consented by ordinance or resolution to the creation of the
40	40	district and to the inclusion of land in the district as required by
41	41	applicable law.
42	42	Sec. 7968A.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
43	43	(a) The district is created to serve a public purpose and benefit.
44	44	(b) The district is created to accomplish the purposes of:
45	45	(1) a municipal utility district as provided by
46	46	general law and Section 59, Article XVI, Texas Constitution; and
47	47	(2) Section 52, Article III, Texas Constitution, that
48	48	relate to the construction, acquisition, improvement, operation,
49	49	or maintenance of macadamized, graveled, or paved roads, or
50	50	improvements, including storm drainage, in aid of those roads.
51	51	Sec. 7968A.0106. INITIAL DISTRICT TERRITORY. (a) The
52	52	district is initially composed of the territory described by
53	53	Section 2 of the Act enacting this chapter.
54	54	(b) The boundaries and field notes contained in Section 2 of
55	55	the Act enacting this chapter form a closure. A mistake made in the
56	56	field notes or in copying the field notes in the legislative process
57	57	does not affect the district's:
58	58	(1) organization, existence, or validity;
59	59	(2) right to issue any type of bond for the purposes
60	60	for which the district is created or to pay the principal of and
61	61	interest on a bond;
62	62	(3) right to impose a tax; or
63	63	(4) legality or operation.
64	64	SUBCHAPTER B. BOARD OF DIRECTORS
65	65	Sec. 7968A.0201. GOVERNING BODY; TERMS. (a) The district
66	66	is governed by a board of five elected directors.
67	67	(b) Except as provided by Section 7968A.0202, directors
68	68	serve staggered four-year terms.
69	69	Sec. 7968A.0202. TEMPORARY DIRECTORS. (a) On or after the
70	70	effective date of the Act enacting this chapter, the owner or owners
71	71	of a majority of the assessed value of the real property in the
72	72	district may submit a petition to the commission requesting that
73	73	the commission appoint as temporary directors the five persons
74	74	named in the petition. The commission shall appoint as temporary
75	75	directors the five persons named in the petition.
76	76	(b) Temporary directors serve until the earlier of:
77	77	(1) the date permanent directors are elected under
78	78	Section 7968A.0103; or
79	79	(2) the fourth anniversary of the effective date of
80	80	the Act enacting this chapter.
81	81	(c) If permanent directors have not been elected under
82	82	Section 7968A.0103 and the terms of the temporary directors have
83	83	expired, successor temporary directors shall be appointed or
84	84	reappointed as provided by Subsection (d) to serve terms that
85	85	expire on the earlier of:
86	86	(1) the date permanent directors are elected under
87	87	Section 7968A.0103; or
88	88	(2) the fourth anniversary of the date of the
89	89	appointment or reappointment.
90	90	(d) If Subsection (c) applies, the owner or owners of a
91	91	majority of the assessed value of the real property in the district
92	92	may submit a petition to the commission requesting that the
93	93	commission appoint as successor temporary directors the five
94	94	persons named in the petition. The commission shall appoint as
95	95	successor temporary directors the five persons named in the
96	96	petition.
97	97	SUBCHAPTER C. POWERS AND DUTIES
98	98	Sec. 7968A.0301. GENERAL POWERS AND DUTIES. The district
99	99	has the powers and duties necessary to accomplish the purposes for
100	100	which the district is created.
101	101	Sec. 7968A.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
102	102	DUTIES. The district has the powers and duties provided by the
103	103	general law of this state, including Chapters 49 and 54, Water Code,
104	104	applicable to municipal utility districts created under Section 59,
105	105	Article XVI, Texas Constitution.
106	106	Sec. 7968A.0303. AUTHORITY FOR ROAD PROJECTS. Under
107	107	Section 52, Article III, Texas Constitution, the district may
108	108	design, acquire, construct, finance, issue bonds for, improve,
109	109	operate, maintain, and convey to this state, a county, or a
110	110	municipality for operation and maintenance macadamized, graveled,
111	111	or paved roads, or improvements, including storm drainage, in aid
112	112	of those roads.
113	113	Sec. 7968A.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
114	114	road project must meet all applicable construction standards,
115	115	zoning and subdivision requirements, and regulations of each
116	116	municipality in whose corporate limits or extraterritorial
117	117	jurisdiction the road project is located.
118	118	(b) If a road project is not located in the corporate limits
119	119	or extraterritorial jurisdiction of a municipality, the road
120	120	project must meet all applicable construction standards,
121	121	subdivision requirements, and regulations of each county in which
122	122	the road project is located.
123	123	(c) If the state will maintain and operate the road, the
124	124	Texas Transportation Commission must approve the plans and
125	125	specifications of the road project.
126	126	Sec. 7968A.0305. COMPLIANCE WITH MUNICIPAL CONSENT
127	127	ORDINANCE OR RESOLUTION. The district shall comply with all
128	128	applicable requirements of any ordinance or resolution that is
129	129	adopted under Section 54.016 or 54.0165, Water Code, and that
130	130	consents to the creation of the district or to the inclusion of land
131	131	in the district.
132	132	SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
133	133	Sec. 7968A.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
134	134	The district may issue, without an election, bonds and other
135	135	obligations secured by:
136	136	(1) revenue other than ad valorem taxes; or
137	137	(2) contract payments described by Section
138	138	7968A.0403.
139	139	(b) The district must hold an election in the manner
140	140	provided by Chapters 49 and 54, Water Code, to obtain voter approval
141	141	before the district may impose an ad valorem tax or issue bonds
142	142	payable from ad valorem taxes.
143	143	(c) The district may not issue bonds payable from ad valorem
144	144	taxes to finance a road project unless the issuance is approved by a
145	145	vote of a two-thirds majority of the district voters voting at an
146	146	election held for that purpose.
147	147	Sec. 7968A.0402. OPERATION AND MAINTENANCE TAX. (a) If
148	148	authorized at an election held under Section 7968A.0401, the
149	149	district may impose an operation and maintenance tax on taxable
150	150	property in the district in accordance with Section 49.107, Water
151	151	Code.
152	152	(b) The board shall determine the tax rate. The rate may not
153	153	exceed the rate approved at the election.
154	154	Sec. 7968A.0403. CONTRACT TAXES. (a) In accordance with
155	155	Section 49.108, Water Code, the district may impose a tax other than
156	156	an operation and maintenance tax and use the revenue derived from
157	157	the tax to make payments under a contract after the provisions of
158	158	the contract have been approved by a majority of the district voters
159	159	voting at an election held for that purpose.
160	160	(b) A contract approved by the district voters may contain a
161	161	provision stating that the contract may be modified or amended by
162	162	the board without further voter approval.
163	163	SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
164	164	Sec. 7968A.0501. AUTHORITY TO ISSUE BONDS AND OTHER
165	165	OBLIGATIONS. The district may issue bonds or other obligations
166	166	payable wholly or partly from ad valorem taxes, impact fees,
167	167	revenue, contract payments, grants, or other district money, or any
168	168	combination of those sources, to pay for any authorized district
169	169	purpose.
170	170	Sec. 7968A.0502. TAXES FOR BONDS. At the time the district
171	171	issues bonds payable wholly or partly from ad valorem taxes, the
172	172	board shall provide for the annual imposition of a continuing
173	173	direct ad valorem tax, without limit as to rate or amount, while all
174	174	or part of the bonds are outstanding as required and in the manner
175	175	provided by Sections 54.601 and 54.602, Water Code.
176	176	Sec. 7968A.0503. BONDS FOR ROAD PROJECTS. At the time of
177	177	issuance, the total principal amount of bonds or other obligations
178	178	issued or incurred to finance road projects and payable from ad
179	179	valorem taxes may not exceed one-fourth of the assessed value of the
180	180	real property in the district.
181	181	SECTION 2. Montgomery County Municipal Utility District
182	182	No. 236 initially includes all the territory contained in the
183	183	following area:
184	184	A 231.1123 ACRE TRACT OF LAND IN THE S. TERRY SURVEY, ABSTRACT
185	185	NO. 564, MONTGOMERY COUNTY, TEXAS, BEING OUT OF AND A PART OF A
186	186	CALLED 1,702.2 ACRE TRACT CONVEYED TO DAYAKAR PUSKOOR, TRUSTEE OF
187	187	1992 GUNIGANTI CREDIT SHELTER TRUSTS, AKA THE GUNIGANTI FAMILY
188	188	TRUSTS AS RECORDED UNDER MONTGOMERY COUNTY CLERK'S FILE NUMBER
189	189	(M.C.C.F. NO.) 2019097078 (DESCRIBED UNDER M.C.C.F. NO.
190	190	2012127211), THE SAID 231.1123 ACRE TRACT BEING MORE PARTICULARLY
191	191	DESCRIBED BY METES AND BOUNDS AS FOLLOWS, (WITH BEARINGS BASED ON
192	192	THE TEXAS COORDINATE SYSTEM OF 1983, CENTRAL ZONE, AS DETERMINED BY
193	193	GPS MEASUREMENTS):
194	194	COMMENCING at a 3/4-inch iron rod found marking an angle in
195	195	the west line of said 1,702.2 acre tract, and the west line of a
196	196	called 150.00 acre tract, conveyed to TC LB Royal Pines, LP as
197	197	recorded under M.C.C.F. NO. 2021171601;
198	198	THENCE, North 03°35'35" West, along the west line of said
199	199	1,702.2 acre tract, and said 150.00 acre tract, passing at a
200	200	distance of 10.54 feet, a found 5/8" iron rod with cap stamped
201	201	"TERRA", passing at a distance of 874 feet, the approximate
202	202	centerline of White Oak Creek, being the northwest corner of the
203	203	said 150.00 acre tract, continuing along the west line of said
204	204	1,702.2 acre tract a total distance of 4,572.60 feet, to a 1/2" iron
205	205	rod found marking the northeast corner of Lot 6, Block 3, White Oak
206	206	Crossing Sec 4 (WOC4), map or plat thereof recorded under Cabinet
207	207	(Cab.) Z, Sheet (Sht.) 3640 Montgomery County Map Records
208	208	(M.C.M.R.), and an interior corner of said 1,702.2 acre tract, and
209	209	the herein described tract;
210	210	THENCE, South 87°08'26" West, along the north lines of said
211	211	WOC4, and White Oak Crossing Sec 3 (WOC3), map or plat thereof
212	212	recorded under Cab. Z, Sht. 2286 M.C.M.R., common with the
213	213	southerly line of said 1,702.2 acre tract and the herein described
214	214	tract, a distance of 2,132.46 feet, to a 5/8" iron rod with cap
215	215	stamped "HOVIS" found marking the northwest corner of Lot 19, Block
216	216	5, of said WOC3;
217	217	THENCE, North 07°21'12" West, departing said common line,
218	218	over and across said WCO3, A 19.14 acre tract conveyed to Prabhakar
219	219	R. Guniganti as recorded under M.C.C.F. NO. 2016114018, and said
220	220	1,702.2 acre tract, a distance of 4,946.84 feet, to the west line of
221	221	said 1,702.2 acre tract marking the southwest corner, and POINT OF
222	222	BEGINNING of the herein described tract;
223	223	THENCE, North 02°19'57" West, along the west line of said
224	224	1,702.2 acre tract, passing at a distance of 7.13 feet the southerly
225	225	Right-Of-Way (R.O.W.) line of State Highway 99 (A.K.A. Grand
226	226	Parkway), as described in the agreed final judgement recorded under
227	227	M.C.C.F. NO. 2022115684, passing at a distance of 407.22 feet, the
228	228	northerly R.O.W. line of said State Highway 99, continuing a total
229	229	distance of 2,694.43 feet, to the northwest corner of said 1,702.2
230	230	acre tract and the herein described tract;
231	231	THENCE, North 86°56'15" East, along the northerly line of said
232	232	1,702.2 acre tract, a distance of 2,313.87 feet, to an angle in the
233	233	north line of said 1,702.2 acre tract and the herein described
234	234	tract;
235	235	THENCE, North 88°18'37" East, along the northerly line of said
236	236	1,702.2 acre tract, a distance of 84.62 feet, to the northeast
237	237	corner of the herein described tract;
238	238	THENCE, over and across said 1,702.2 acre tract, the
239	239	following twenty nine (29) courses and distances:
240	240	South 01°34'11" East, a distance of 523.07 feet, to an angle
241	241	in the east line of the herein described tract;
242	242	South 88°20'05" East, a distance of 320.48 feet, to an angle
243	243	in the east line of the herein described tract;
244	244	South 72°57'20" East, a distance of 524.04 feet, to an angle
245	245	in the east line of the herein described tract;
246	246	South 55°07'09" East, a distance of 242.85 feet, to an angle
247	247	in the east line of the herein described tract;
248	248	South 26°44'17" East, a distance of 274.37 feet, to an angle
249	249	in the east line of the herein described tract;
250	250	South 34°39'23" East, a distance of 466.61 feet, to an angle
251	251	in the east line of the herein described tract;
252	252	South 29°43'18" East, a distance of 94.04 feet, to an angle in
253	253	the east line of the herein described tract;
254	254	South 03°45'41" West, a distance of 196.73 feet, to an angle
255	255	in the east line of the herein described tract;
256	256	South 27°52'41" East, a distance of 382.54 feet, to an angle
257	257	in the east line of the herein described tract;
258	258	South 29°14'09" East, a distance of 98.06 feet, to an angle in
259	259	the east line of the herein described tract;
260	260	South 18°42'01" West, a distance of 156.58 feet, to an angle
261	261	in the east line of the herein described tract;
262	262	South 45°05'06" West, a distance of 138.46 feet, to an angle
263	263	in the east line of the herein described tract;
264	264	South 72°00'22" West, a distance of 171.11 feet, to an angle
265	265	in the east line of the herein described tract;
266	266	South 64°09'37" West, a distance of 133.85 feet, to the
267	267	beginning of a curve to the right;
268	268	In a southwesterly direction, along said curve to the right,
269	269	having a radius of 3,014.66 feet, a central angle of 01°26'03"
270	270	(chord bears South 64°04'47" West, 75.45 feet) and an arc distance
271	271	of 75.45 feet, to the beginning of a reverse curve to the left;
272	272	In a southwesterly direction, along said reverse curve to the
273	273	left, having a radius of 100.00 feet, a central angle of 13°17'38"
274	274	(chord bears South 57°47'21" West, 23.15 feet) and an arc distance
275	275	of 23.20 feet, to the beginning of a reverse curve to the right;
276	276	In a southwesterly direction, along said reverse curve to the
277	277	right, having a radius of 500.00 feet, a central angle of 12°42'15"
278	278	(chord bears South 57°29'40" West, 110.64 feet) and an arc distance
279	279	of 110.86 feet, to the beginning of a reverse curve to the left;
280	280	In a southwesterly direction, along said reverse curve to the
281	281	left, having a radius of 100.00 feet, a central angle of 07°23'59"
282	282	(chord bears South 60°08'48" West, 12.91 feet) and an arc distance
283	283	of 12.92 feet, to the beginning of a reverse curve to the right;
284	284	In a southwesterly direction, along said reverse curve to the
285	285	right, having a radius of 100.00 feet, a central angle of 23°30'02"
286	286	(chord bears South 68°11'50" West, 40.73 feet) and an arc distance
287	287	of 41.02 feet, to the point of tangency;
288	288	South 79°56'51" West, a distance of 52.57 feet, to the
289	289	beginning of a curve to the right;
290	290	In a westerly direction, along said curve to the right,
291	291	having a radius of 100.00 feet, a central angle of 24°12'11" (chord
292	292	bears North 87°57'04" West, 41.93 feet) and an arc distance of 42.24
293	293	feet, to the point of compound curvature;
294	294	In a northwesterly direction, along said compound curve to
295	295	the right, having a radius of 500.00 feet, a central angle of
296	296	01°07'37" (chord bears North 75°17'10" West, 9.83 feet) and an arc
297	297	distance of 9.83 feet, to the point of reverse curvature;
298	298	In a southwesterly direction, along said reverse curve to the
299	299	left, having a radius of 100.00 feet, a central angle of 59°15'48"
300	300	(chord bears South 75°38'44" West, 98.88 feet) and an arc distance
301	301	of 103.43 feet, to the point of tangency;
302	302	South 46°00'50" West, a distance of 240.66 feet, to an angle
303	303	in the southerly line of the herein described tract;
304	304	North 47°45'22" West, a distance of 351.90 feet, to the
305	305	beginning of a curve to the right;
306	306	In a northwesterly direction, along said curve to the right,
307	307	having a radius of 1,250.00 feet, a central angle of 01°33'58"
308	308	(chord bears North 46°58'23" West, 34.17 feet) and an arc distance
309	309	of 34.17 feet, to the point of tangency;
310	310	South 53°50'57" West, a distance of 302.10 feet, to the
311	311	beginning of a curve to the left;
312	312	In a southwesterly direction, along said curve to the left,
313	313	having a radius of 2,000.00 feet, a central angle of 17°35'11"
314	314	(chord bears South 45°03'21" West, 611.48 feet) and an arc distance
315	315	of 613.89 feet, to the point of tangency;
316	316	South 36°15'45" West, a distance of 406.05 feet, to an angle
317	317	in the southerly line of the herein described tract;
318	318	THENCE, North 68°09'29" West, a distance of 1,868.05 feet, to
319	319	the POINT OF BEGINNING, and containing 231.1123 acres of land.
320	320	SECTION 3. (a) The legal notice of the intention to
321	321	introduce this Act, setting forth the general substance of this
322	322	Act, has been published as provided by law, and the notice and a
323	323	copy of this Act have been furnished to all persons, agencies,
324	324	officials, or entities to which they are required to be furnished
325	325	under Section 59, Article XVI, Texas Constitution, and Chapter 313,
326	326	Government Code.
327	327	(b) The governor, one of the required recipients, has
328	328	submitted the notice and Act to the Texas Commission on
329	329	Environmental Quality.
330	330	(c) The Texas Commission on Environmental Quality has filed
331	331	its recommendations relating to this Act with the governor, the
332	332	lieutenant governor, and the speaker of the house of
333	333	representatives within the required time.
334	334	(d) All requirements of the constitution and laws of this
335	335	state and the rules and procedures of the legislature with respect
336	336	to the notice, introduction, and passage of this Act are fulfilled
337	337	and accomplished.
338	338	SECTION 4. (a) If this Act does not receive a two-thirds
339	339	vote of all the members elected to each house, Subchapter C, Chapter
340	340	7968A, Special District Local Laws Code, as added by Section 1 of
341	341	this Act, is amended by adding Section 7968A.0306 to read as
342	342	follows:
343	343	Sec. 7968A.0306. NO EMINENT DOMAIN POWER. The district may
344	344	not exercise the power of eminent domain.
345	345	(b) This section is not intended to be an expression of a
346	346	legislative interpretation of the requirements of Section 17(c),
347	347	Article I, Texas Constitution.
348	348	SECTION 5. This Act takes effect immediately if it receives
349	349	a vote of two-thirds of all the members elected to each house, as
350	350	provided by Section 39, Article III, Texas Constitution. If this
351	351	Act does not receive the vote necessary for immediate effect, this
352	352	Act takes effect September 1, 2023.
353	353	* * * * *