Bill Text: TX HB1379 | 2019-2020 | 86th Legislature | Comm Sub

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to the creation of the Harris County Municipal Utility District No. 565; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Passed) 2019-06-10 - Effective immediately [HB1379 Detail]

Download: Texas-2019-HB1379-Comm_Sub.html

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86R21246 AAF-F
By: Oliverson H.B. No. 1379
Substitute the following for H.B. No. 1379:
By: Craddick C.S.H.B. No. 1379

A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Harris County Municipal Utility
District No. 565; 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 8036 to read as follows:
CHAPTER 8036. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 565
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8036.0101. 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 Harris County Municipal
Utility District No. 565.
Sec. 8036.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 8036.0103. 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. 8036.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
8036.0103 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. 8036.0105. 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. 8036.0106. 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. 8036.0201. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 8036.0202, directors
serve staggered four-year terms.
Sec. 8036.0202. TEMPORARY DIRECTORS. (a) The temporary
board consists of:
(1) Amy Koy;
(2) Elizabeth Reeves;
(3) Taylor Lewis Gaver;
(4) Brandy Botter; and
(5) Hollye Seabolt.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 8036.0103; 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 8036.0103 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 8036.0103; 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. 8036.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 8036.0302. 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. 8036.0303. 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. 8036.0304. 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. 8036.0305. 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. 8036.0401. 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 8036.0403.
(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. 8036.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8036.0401, 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. 8036.0403. 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. 8036.0501. 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. 8036.0502. 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. 8036.0503. 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 Harris County Municipal Utility District
No. 565 initially includes all the territory contained in the
following area:
Being a 104.21 acre tract of land located in the Harris County
School Land Survey, Section 27 and Section 28, A-333, Harris
County, Texas; said 104.21 acre tract being a portion of a called
56.491 acre tract of land recorded in Clerk's File Number
RP-2018-392482 of the Official Public Records of Real Property
Harris County (O.P.R.R.P.H.C.), Texas and the remainder of a called
51.1936 acre tract of land recorded in Clerk's File No. M000378 of
the O.P.R.R.P.H.C.; said 104.21 acre tract being more particularly
described by metes and bounds in two tracts as follows (all bearings
are referenced to the Texas Coordinate System, NAD 83, 2001 Adj.,
South Central Zone):
Tract 1- 55.37 Acres
Beginning at a 1-1/4-inch iron rod found at the southeast corner of
said called 56.491 acre tract and a westerly interior corner of a
called 75.9019 acre tract of land recorded in Clerk's File Number
R062458 of the O.P.R.R.P.H.C.
1. Thence, with the south line of said called 56.491 acre
tract, a westerly line of said called 75.9019 acre tract, the north
line of a called 9.737 acre tract of land recorded in Clerk's File
Number U588970, the north line of a called 9.736 acre tract of land
recorded in Clerk's File Number U496673, and the north line of a
called 4.736 acre tract (north half) of land recorded in Clerk's
File Number 20140111501 all of the O.P.R.R.P.H.C, South 87 degrees
50 minutes 16 seconds West (called S89°49'29"W), a distance of
1,619.54 feet to a 5/8-inch iron rod with cap stamped "COSTELLO INC"
found on the east right-of-way (R.O.W.) line of Becker Road
(66-feet wide) from which a PK nail found for the southwest corner
of said called 56.491 acre tract bears S87°50'16"W, 33.00';
2. Thence, with said east R.O.W. line, North 02 degrees 09
minutes 37 seconds West, a distance of 1,484.67 feet to a 5/8-inch
iron rod found on the north line of said called 56.491 acre tract
and south line of a called 10.039 acre tract of land recorded in
Clerk's File No. 20120062218 of the O.P.R.R.P.H.C.;
3. Thence, with the north line of said called 56.491 acre
tract common with the south line of said called 10.039 acre tract,
North 87 degrees 38 minutes 44 seconds East (called North 89 degrees
38 minutes 21 seconds East), a distance of 1,623.50 feet (called
1623.69 feet) to the northeast corner of said called 56.491 acre
tract, the southwest corner of said call 10.039 acre tract and being
on the west line of aforesaid called 75.9019 acre tract;
4. Thence, with the east line of said called 56.491 acre
tract common with the west line of said called 75.9019 are tract,
South 02 degrees 00 minutes 29 seconds East (called South 00 degrees
00 minutes 52 seconds East), a distance of 1,490.13 feet (called
1489.98 feet) to the Point of Beginning and containing 55.37 acres
of land.
Tract 2- 48.84 Acres
Beginning at a 1-inch iron pipe found at the northeasterly corner of
a called two acre tract of land recorded in the name of Lendell
Martin and Lawanna Martin, co-trustees of the Justin Clint Martin
1994 Investment Trust in C.F. No. X651859 of the O.P.R.R.P.H.C.,
and being at the intersection of an interior south line of said
51.1936 acre tract with the westerly right-of-way line of Becker
Road (66-feet wide) as established by the map of Harris County
School Land recorded in Volume 17, Pages 222 and 223 of the Deed
Records of Harris County;
1. South 87 degrees 57 minutes 49 seconds West, a distance
of 484.00 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" found at an interior corner of said 51.1936 acre tract and the
northwest corner of said two acre tract;
2. South 02 degrees 09 minutes 19 seconds East, a distance
of 180.00 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" found at an interior corner of said 51.1936 acre tract and the
southwest corner of said two acre tract, from which a found 5/8-inch
iron rod bears North 87 degrees 54 minutes 26 seconds East, a
distance of 1.18 feet;
3. North 87 degrees 57 minutes 49 seconds East, a distance
of 484.00 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" found at the southeast corner of said two acre tract and being
on the aforesaid westerly right-of-way line of Becker Road, from
which a found 1-inch iron pipe bears North 49 degrees 58 minutes 30
seconds East, a distance of 1.81 feet;
4. Thence, with said westerly right-of-way line of Becker
Road, South 02 degrees 09 minutes 19 seconds East, a distance of
1,141.31 feet to a 5/8-inch iron rod found on the southerly line of
said 51.1936 acre tract and the northerly line of a called 20.00
acre tract of land recorded in the name of Tye E. Smith and wife,
Patricia B. Smith in C.F. No. S272354 of the O.P.R.R.P.H.C.;
5. Thence, with said southerly line of the 51.1936 acre
tract and said northerly line of the 20.00 acre tract, South 88
degrees 01 minutes 34 seconds West, a distance of 1,190.54 feet to a
5/8-inch iron rod found at the southwest corner of said 51.1936 acre
tract and an interior corner of said 20.00 acre tract;
6. Thence, with the westerly line of said 51.1936 acre
tract, an easterly line of said 20.00 acre tract, and the easterly
line of a called 58.4349 acre tract of land recorded in the name of
John Bryan Lowe, Jr. in C.F. No. M000380 of the O.P.R.R.P.H.C.,
North 02 degrees 10 minutes 06 seconds West, a distance of 1,859.46
feet to a 5/8-inch iron rod found on the southerly right-of-way line
of Botkins Road (66-feet wide) as established by aforesaid map of
Harris County School Land;
7. Thence, with said southerly right-of-way line of Botkins
Road, North 88 degrees 00 minutes 04 seconds East, a distance of
1,190.96 feet to a 3/4-inch iron rod found at the intersection with
aforesaid westerly right-of-way line of Becker Road;
8. Thence, with said westerly right-of-way line of Becker
Road, South 02 degrees 09 minutes 19 seconds East, a distance of
538.67 feet to the Point of Beginning and containing 48.84 acres of
land.
Parcel 1- 55.37 Acres
Parcel 2- 48.84 Acres
Total - 104.21 Acres
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
8036, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 8036.0306 to read as follows:
Sec. 8036.0306. 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, 2019.