Texas 2025 - 89th Regular

Texas House Bill HB5524 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1		By: Guillen H.B. No. 5524
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4	6		A BILL TO BE ENTITLED
5	7		AN ACT
6	8		relating to creation of the Palangana Energy District; granting a
7	9		limited power of eminent domain; providing authority to issue
8	10		bonds; providing authority to impose assessments, fees, and taxes.
9	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	12		SECTION 1. Subtitle X, Special District Local Laws Code, is
11	13		amended by adding Chapter 11012 to read as follows:
12	14		CHAPTER 11012. THE PALANGANA ENERGY DISTRICT
13	15		SUBCHAPTER A. GENERAL PROVISIONS
14	16		Sec. 11012.001. DEFINITIONS. In this chapter:
15	17		(1) "Board" means the board of directors of the
16	18		district.
17	19		(2) "Bond" means bond or note.
18	20		(3) "District" means the Palangana Energy District.
19	21		(4) "Director" means a member of the board.
20	22		Sec. 11012.002. APPLICABILITY. (a) This chapter only
21	23		applies to a county with a population of more than 8,000 but less
22	24		than 12,000 that:
23	25		(1) has the longest state highway passing through it;
24	26		(2) is located within 50 miles of the Texas-Mexico
25	27		Border;
26	28		Sec. 11012.003. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
27	29		(a) The district is created to serve a public use and benefit.
28	30		(b) The creation of the district is necessary to accomplish
29	31		essential public functions under the constitution of this state
30	32		that enhance energy security, reliability, and resiliency in an
31	33		environmentally responsible manner; to promote and diversify
32	34		economic development and commerce; and to conserve, secure, and
33	35		develop the natural energy resources of this state for the benefit
34	36		of the South Texas region and this state.
35	37		SUBCHAPTER B. BOARD OF DIRECTORS
36	38		Sec. 11012.005. DIRECTORS. (a) The district is governed by
37	39		a board of directors consisting of at least 7 members.
38	40		(b) The board is responsible for the management, operation,
39	41		and control of the district.
40	42		(c) The board by rule shall:
41	43		(1) establish the number of directors of the district;
42	44		and
43	45		(2) establish that directors serve staggered
44	46		four-year terms.
45	47		Sec. 11012.006. ELIGIBILITY TO SERVE AS DIRECTOR. (a) To
46	48		be eligible to serve as a director, a person must be at least 18
47	49		years of age.
48	50		(b) To be eligible to serve as a director, a person may not:
49	51		(1) hold another public office; and
50	52		(2) be an officer or employee of the district.
51	53		(c) A director is eligible for reappointment.
52	54		Sec. 11012.007. VACANCIES. Any vacancy occurring on the
53	55		board shall be filled for the unexpired term by appointment in the
54	56		manner in which the vacating director was appointed.
55	57		Sec. 11012.008. REMOVAL OF DIRECTOR. A director may be
56	58		removed from office at any time, with or without cause.
57	59		Sec. 11012.009. OFFICERS. At the first meeting of the board
58	60		after May 1 of each year, the board shall elect officers for the
59	61		district, including a chair, vice chair, secretary, and treasurer.
60	62		Sec. 11012.010. MEETINGS AND ACTIONS OF BOARD; QUORUM.
61	63		(a) The board may meet as many times each year as the board
62	64		considers appropriate.
63	65		(b) A majority of the membership of the board constitutes a
64	66		quorum at a meeting of the board.
65	67		(c) A concurrence of a majority of the directors present and
66	68		voting is sufficient for transacting any business of the district
67	69		unless other applicable law, or the district by rule, requires a
68	70		concurrence of a greater number of directors for a specific type of
69	71		decision.
70	72		SUBCHAPTER C. POWERS AND DUTIES
71	73		Sec. 11012.011. GENERAL POWERS AND DUTIES. The district
72	74		has the powers and duties necessary to accomplish the purposes for
73	75		which the district is created. The district may:
74	76		(1) acquire, purchase, own, hold, lease, construct,
75	77		operate, repair, improve, maintain, or extend a groundwater well or
76	78		other source of water supply, water and wastewater works, drainage,
77	79		road improvements, salt cavern storage facilities, facilities that
78	80		generate electricity, and any type of transmission line or
79	81		supporting facilities;
80	82		(3) finance any purchase or acquisition through a
81	83		bond, note, or other obligation or through a lease-purchase
82	84		agreement; and
83	85		(4) sell, lease, convey, or otherwise dispose of any
84	86		right, interest, or property the district considers to be
85	87		unnecessary for the efficient operation or maintenance of the
86	88		district's facilities.
87	89		Sec. 11012.012. EMINENT DOMAIN. (a) The district may
88	90		exercise the power of eminent domain to acquire a fee simple or
89	91		other interest in property if the interest is necessary for the
90	92		district to exercise the rights or authority conferred by this
91	93		chapter.
92	94		(b) The district must exercise the power of eminent domain
93	95		in the manner provided by Chapter 21, Property Code.
94	96		Sec. 11012.013. CONTRACTS. The district may contract with
95	97		any person to carry out a power authorized by this chapter.
96	98		Sec. 11012.014. COOPERATIVE CONTRACTS. The district may
97	99		enter into an interlocal contract with a local government under
98	100		Chapter 791, Government Code, to carry out a power of the district.
99	101		SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
100	102		Sec. 11012.015. GIFTS, GRANTS, LOANS, AND OTHER FUNDS. The
101	103		district may apply for, accept, receive, and administer gifts,
102	104		grants, loans, and other funds available from any source.
103	105		Sec. 11012.016. AUTHORITY TO ISSUE BONDS, NOTES, AND OTHER
104	106		OBLIGATIONS. The district may issue bonds, notes, or other
105	107		obligations payable wholly or partly from ad valorem taxes, impact
106	108		fees, revenue, contract payments, grants, sales and use taxes,
107	109		other district money, or any combination of those sources to pay for
108	110		any authorized district purpose.
109	111		Sec. 11012.017. TAXES FOR BONDS. At the time the district
110	112		issues bonds payable wholly or partly from ad valorem taxes, the
111	113		board shall provide for the annual imposition of continuing a
112	114		direct ad valorem tac, without limit to rate or amount, while all or
113	115		part of the bonds are outstanding as required and in the manner
114	116		provided by Chapter 49 of the Water Code.
115	117		Sec. 11012.018. BONDS, NOTES, AND OTHER OBLIGATIONS EXEMPT
116	118		FROM TAXATION. A bond, note, or other obligation issued under this
117	119		chapter, a transaction related to the bond, note, or other
118	120		obligation, the interest on the bond, note, or other obligation,
119	121		and the profit from the sale of the bond, note, or other obligation
120	122		are exempt from taxation by this state or a political subdivision of
121	123		this state.
122	124		SUBCHAPTER E. ASSESSMENTS
123	125		Sec. 11012.019. PETITION REQUIRED FOR FINANCING SERVICES
124	126		AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
125	127		service or improvement project with assessments under this chapter
126	128		unless a written petition requesting that service or improvement
127	129		has been filed with the board.
128	130		(b) A petition filed under Subsection (a) must be signed by
129	131		the owners of a majority of the assessed value of real property in
130	132		the district subject to assessment according to the most recent
131	133		certified tax appraisal roll for the county.
132	134		Sec. 11012.020. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
133	135		The board by resolution may impose and collect an assessment for any
134	136		purpose authorized by this chapter in all or any part of the
135	137		district.
136	138		(b) An assessment, a reassessment, or an assessment
137	139		resulting from an addition to or correction of the assessment roll
138	140		by the district, penalties and interest on an assessment or
139	141		reassessment, an expense of collection, and reasonable attorney's
140	142		fees incurred by the district:
141	143		(1) are a first and prior lien against the property
142	144		assessed;
143	145		(2) are superior to any other lien or claim other than
144	146		a lien or claim for county, school district, or municipal ad valorem
145	147		taxes; and
146	148		(3) are the personal liability of and a charge against
147	149		the owners of the property even if the owners are not named in the
148	150		assessment proceedings.
149	151		(c) The lien is effective from the date of the board's
150	152		resolution imposing the assessment until the date the assessment is
151	153		paid. The board may enforce the lien in the same manner that the
152	154		board may enforce an ad valorem tax lien against real property.
153	155		(d) The board may make a correction to or deletion from the
154	156		assessment roll that does not increase the amount of assessment of
155	157		any parcel of land without providing notice and holding a hearing in
156	158		the manner required for additional assessments.
157	159		SUBCHAPTER F. TAXES AND BONDS
158	160		Sec. 11012.021. TAX ELECTION REQUIRED. The district must
159	161		hold an election in the manner provided by Chapter 49, Water Code,
160	162		to obtain voter approval before the district may impose an ad
161	163		valorem tax.
162	164		Sec. 11012.022. OPERATION AND MAINTENANCE TAX. (a) If
163	165		authorized by a majority of the district voters voting at an
164	166		election, the district may impose an operation and maintenance tax
165	167		on taxable property in the district in the manner provided by
166	168		Section 49.107, Water Code, for any district purpose, including to:
167	169		(1) maintain and operate the district;
168	170		(2) construct or acquire improvements; or
169	171		(3) provide a service.
170	172		(b) The board shall determine the operation and maintenance
171	173		tax rate. The rate may not exceed the rate approved at the
172	174		election.
173	175		SECTION 2. This Act takes effect immediately if it receives
174	176		a vote of two-thirds of all the members elected to each house, as
175	177		provided by Section 39, Article III, Texas Constitution. If this
176	178		Act does not receive the vote necessary for immediate effect, this
177	179		Act takes effect September 1, 2025.