Bill Text: TX HB304 | 2019-2020 | 86th Legislature | Enrolled

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Bill Title: Relating to the governance and operation of municipal management districts.

Sponsorship: Partisan Bill (Republican 6)

Status: (Passed) 2019-06-10 - Effective on 9/1/19 [HB304 Detail]

Download: Texas-2019-HB304-Enrolled.html

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H.B. No. 304

AN ACT
relating to the governance and operation of municipal management
districts.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 375.022(b), Local Government Code, is
amended to read as follows:
(b) The petition must be signed by the owners of a majority
of the assessed value of the real property in the proposed district
that would be subject to assessment by the district, according to
the most recent certified county property tax rolls.
SECTION 2. Section 375.063, Local Government Code, is
amended to read as follows:
Sec. 375.063. QUALIFICATIONS OF DIRECTOR. To be qualified
to serve as a director, a person must be at least 18 years old and:
(1) [a resident of the district;
[(2)] an owner of property in the district;
(2) [(3)] an owner of stock, whether beneficial or
otherwise, of a corporate owner of property in the district;
(3) [(4)] an owner of a beneficial interest in a trust
that owns property in the district; or
(4) [(5)] an agent, employee, or tenant of a person
covered by Subdivision (1), (2), or (3)[, or (4)].
SECTION 3. Sections 375.064(a), (b), and (c), Local
Government Code, are amended to read as follows:
(a) The initial and each succeeding board of directors
shall, and the owners of a majority of the assessed value of
property subject to assessment by the district may, recommend to
the governing body of the municipality persons to serve on the
succeeding board.
(b) After reviewing the recommendations, the governing body
shall approve or disapprove the directors recommended under
Subsection (a) [by the board].
(c) If the governing body is not satisfied with the
recommendations submitted under Subsection (a) [by the board], the
board, on the request of the governing body, shall submit to the
governing body additional recommendations.
SECTION 4. Section 375.092(f), Local Government Code, is
amended to read as follows:
(f) A district may acquire, construct, complete, develop,
own, operate, and maintain permanent improvements and provide
services that directly benefit property in the district, regardless
of whether the improvements or services are located inside or [and]
outside its boundaries.
SECTION 5. Section 375.114, Local Government Code, is
amended to read as follows:
Sec. 375.114. PETITION REQUIRED. The board may not finance
improvement projects or services [and improvement projects] under
this chapter unless a written petition has been filed with the board
requesting those improvements or services signed by:
(1) the owners of a majority [50 percent or more] of
the assessed value of the property in the district subject to
assessment, according to the most recent certified county property
tax rolls; or
(2) for a proposed assessment to be apportioned under
Section 375.119(1), the owners of a majority [50 percent or more]
of the surface area of the real property subject to assessment by
the district, [excluding roads, streets, highways, and utility
rights-of-way, other public areas, and any other property exempt
from assessment under Section 375.162 or 375.163,] according to the
most recent certified county property tax rolls.
SECTION 6. Section 375.243, Local Government Code, is
amended to read as follows:
Sec. 375.243. PETITION REQUIRED FOR BOND ELECTION. The
board may not call a bond election unless a written petition has
been filed with the board requesting an election signed by the
owners of a majority[:
[(1) 50 percent or more] of the assessed value of the
property subject to assessment or taxation by [in] the district as
determined from the most recent certified county property tax
rolls[; or
[(2) 50 percent or more of the surface area of the
district, excluding roads, streets, highways, utility
rights-of-way, other public areas, and other property exempt from
assessment under Sections 375.161, 375.163, and 375.164 as
determined from the most recent certified county property tax
rolls].
SECTION 7. Section 375.262, Local Government Code, is
amended to read as follows:
Sec. 375.262. DISSOLUTION BY PETITION BY OWNERS. Except as
limited by Section 375.264, the board shall dissolve the district
on written petition filed with the board by the owners of at least
two-thirds [:
[(1) 75 percent or more] of the assessed value of the
property subject to assessment or taxation by [in] the district
based on the most recent certified county property tax rolls[; or
[(2) 75 percent or more of the surface area of the
district, excluding roads, streets, highways, utility
rights-of-way, other public areas, and other property exempt from
assessment under Sections 375.161, 375.163, and 375.164, according
to the most recent certified county property tax rolls].
SECTION 8. Section 382.052(b), Local Government Code, is
amended to read as follows:
(b) If the population of the district is more than 1,000, to
be eligible to serve as a director, a person must be at least 18
years old, reside in the district, and be:
(1) an owner of property in the district;
(2) an owner of stock, whether beneficial or
otherwise, of a corporate owner of property in the district;
(3) an owner of a beneficial interest in a trust that
owns property in the district; or
(4) an agent, employee, or tenant of a person covered
by Subdivision (1), (2), or (3) [meet the qualifications of Section
375.063].
SECTION 9. Section 3855.052(b), Special District Local Laws
Code, is amended to read as follows:
(b) Section 375.063(2) [375.063(3)], Local Government Code,
does not apply to the district.
SECTION 10. Section 3818.251, Special District Local Laws
Code, is repealed.
SECTION 11. The change in law made by this Act to Section
375.063, Local Government Code, does not affect the entitlement of
a member serving on the board of directors of a district to which
that section applies immediately before the effective date of this
Act to continue to carry out the board's functions for the remainder
of the member's term. The change in law applies only to a member
appointed on or after the effective date of this Act.
SECTION 12. This Act takes effect September 1, 2019.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 304 was passed by the House on April
9, 2019, by the following vote: Yeas 142, Nays 6, 1 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 304 was passed by the Senate on May
21, 2019, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor