Bill Text: TX HB4298 | 2017-2018 | 85th Legislature | Enrolled

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Bill Title: Relating to the creation of the Harris County Municipal Utility District No. 553; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Sponsorship: Partisan Bill (Republican 2)

Status: (Enrolled - Dead) 2017-06-12 - Effective immediately [HB4298 Detail]

Download: Texas-2017-HB4298-Enrolled.html

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H.B. No. 4298

relating to the creation of the Harris County Municipal Utility
District No. 553; 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 7997 to read as follows:
CHAPTER 7997. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 553
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7997.001. 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. 553.
Sec. 7997.002. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7997.003. CONFIRMATION AND DIRECTORS' 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. 7997.004. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section 7997.003
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. 7997.005. 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, or improvement of
macadamized, graveled, or paved roads described by Section 54.234,
Water Code, or improvements, including storm drainage, in aid of
those roads.
Sec. 7997.006. 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. 7997.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 7997.052, directors serve
staggered four-year terms.
Sec. 7997.052. TEMPORARY DIRECTORS. (a) The temporary
board consists of:
(1) Ronda Rusk;
(2) Michael Kim;
(3) Mark Deruesse;
(4) Scott Burleson; and
(5) Art Musgrove.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7997.003; 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 7997.003 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 7997.003; 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. 7997.101. GENERAL POWERS AND DUTIES. The district has
the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7997.102. 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. 7997.103. AUTHORITY FOR ROAD PROJECTS. (a) Under
Section 52, Article III, Texas Constitution, the district may
design, acquire, construct, finance, issue bonds for, improve, and
convey to this state, a county, or a municipality for operation and
maintenance macadamized, graveled, or paved roads described by
Section 54.234, Water Code, or improvements, including storm
drainage, in aid of those roads.
(b) The district may exercise the powers provided by this
section without submitting a petition to or obtaining approval from
the commission as required by Section 54.234, Water Code.
Sec. 7997.104. APPROVAL OF ROAD PROJECT. (a) The district
may not undertake a road project authorized by Section 7997.103
unless:
(1) each municipality or county that will operate and
maintain the road has approved the plans and specifications of the
road project, if a municipality or county will operate and maintain
the road; or
(2) the Texas Transportation Commission has approved
the plans and specifications of the road project, if the state will
operate and maintain the road.
(b) Except as provided by Subsection (a), the district is
not required to obtain approval from the Texas Transportation
Commission to design, acquire, construct, finance, issue bonds for,
improve, or convey a road project.
Sec. 7997.105. 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.
Sec. 7997.106. LIMITATION ON USE OF EMINENT DOMAIN. The
district may not exercise the power of eminent domain outside the
district to acquire a site or easement for:
(1) a road project authorized by Section 7997.103; or
(2) a recreational facility as defined by Section
49.462, Water Code.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 7997.151. 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 7997.153.
(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. 7997.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7997.151, 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. 7997.153. 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. 7997.201. 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. 7997.202. 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. 7997.203. 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.
553 initially includes all the territory contained in the following
area:
Approximately 266.85 acres of land, being the following tracts of
land:
1. A called 98.5 acre tract of land conveyed to Gulf Coast
Land Trust in deed of gift recorded in Clerk's File No. 20120599690
in the Official Public Records of Harris County, Texas, said
description being referenced in Clerk's File No. E35554 in the
Official Public Records of Harris County, Texas and further
described in Volume 5676, Page 103 in the Harris County Deed
Records;
2. A called 63.7407 acre tract of land conveyed to Bauer
Road Properties, LLC described in a deed recorded in Clerk's File
No. 20150383255 in the Official Public Records of Harris County,
Texas;
3. A called 26.1706 acre tract of land conveyed to 22803
Scheil Partners, LLC described in a deed recorded in Clerk's File
No. 20130231162 in the Official Public Record of Harris County,
Texas;
4. A called 1.576 acre tract (Tract 1), a called 0.1514 acre
tract (Tract 2), and a called 0.1214 acre (Tract 3) tract of land
conveyed to 22803 Scheil Partners, LLC described in a deed recorded
in Clerk's File No. RP-2016-201349 in the Official Public Records
of Harris County, Texas;
5. A called 58.5889 acre tract of land (Tract 1) and a called
34.9999 acre tract of land (Tract 2) conveyed to 93 Scheil Road LTD.
described in a deed recorded in Clerk's File No. 20110106409 in the
Official Public Records of Harris County, Texas; SAVE AND EXCEPT a
called 17.0000 acre tract (Tract 1) out of said the 58.5889 acre
tract recorded in in Clerk's File No. 20130150358 in the Official
Public Records of Harris County, Texas;
all tracts located in the William McCann Survey, Abstract No. 585
and the J.B. Baker Survey, Abstract No. 116 in Harris County,
Texas. Said 266.85 acre tract being more fully described as
follows, with bearings based on the west line of said 63.7407 acre
tract the bearing being N 00°24'39" W:
BEGINNING: At a 3/4 inch iron rod found for the northwest corner of
said 63.7407 acre tract, in the east right of way of Bauer road;
THENCE: S 89°46'26" E, along and with the north line of said
63.7407 acre tract, an approximate distance of 1718.62
feet to a point corner in the north line of said 63.7407
acre tract, the southwest corner of said 34.9999 acre
tract;
THENCE: N 00°00'34" W, along and with the west line of said
34.9999 acre tract, the west line of said 58.5889 acre
tract, an approximate distance of 922.92 feet to a point
at the northwest corner of said 58.5889 acre tract;
THENCE: S 89°42'56" E, along and with the north line of said
58.5889 acre tract, an approximate distance of 1513.57
feet to a point for an interior corner of said 58.5889
acre tract;
THENCE: N 01°07'00" E, along and with the west line of said
58.5889 acre tract, an approximate distance of 905.07
feet to a point at the southwest corner of said 17.0000
acre tract;
THENCE: S 89°58'02" E, along and with the south line of said
17.0000 acre tract, approximate distance of 1048.77 feet
to a point for the southeast corner of said 17.0000 acre
tract, in the east line of said 58.5889 acre tract;
THENCE: S 00°01'58" W, along and with the east line of said
58.5889 acre tract, the east line of said 34.9999 tract,
and a east line of said 26.1706 acre tract, an
approximate distance of 1913.91 feet to a point for the
southeast corner of said 26.1706 acre tract;
THENCE: Along and with the common line of said 26.1706 acre
tract, and said 8.7235 acre tract, the following course
and distance:
S 89°48'33" W, an approximate distance of 691.97 feet to a
point for corner,
S 00°08'29" W, an approximate distance of 1160.75 feet to
a point for corner at the southeast corner of said
26.1706, the southwest corner of said 8.7235 acre tract,
and in the north line of said 98.5 acre tract;
THENCE: S 84°08'16" E, along and with the north line of said north
line of said 98.5 acre tract, the south line of said
8.7235 acre tract, an approximate distance of 304.57
feet to a point for the southeast corner of said 8.7235
acre tract, and in the west line of said 1.576 acre
tract;
THENCE: Along and with the common line of said 8.7235 acre tract,
and said 1.576 acre tract the following course and
distance:
N 00°08'30" E, an approximate distance of 1132.87 feet to
a point interior corner of said 8.7235 acre tract, and
said 1.576 acre tract,
N 89°48'33" E, an approximate distance of 389.02 feet to
a point at the northeast corner of said 1.576 acre tract,
the southeast corner of said 8.7235 acre tract;
THENCE: Along and with the east line of said 1.576 acre tract the
following course and distance:
S 00°01'58" W, an approximate distance of 30.00 feet to a
point for corner,
S 89°48'33" W, an approximate distance of 343.24 feet to a
point for corner,
S 00°08'11" W, an approximate distance of 1193.49 feet to
a point for corner,
S 25°06'06" W, an approximate distance of 107.20 feet to a
point for the south corner of said 1.576 acre tract, and
in the east line of said 98.5 acre tract;
THENCE: S 00°04'28" E, along and with the east line of said 98.5
acre tract an approximate distance of 246.00 feet to a
point for the northwest corner of said 0.1514 acre tract;
THENCE: S 81°42'19" E, along and with the north line of said
0.1514 acre tract, an approximate distance of 61.59 feet
to a point for the northeast corner of said 0.1514 acre
tract;
THENCE: Along and with the east line of said 0.1514 acre tract the
following course and distance:
S 07°25'12" W, an approximate distance of 101.21 feet to
a point for corner,
S 52°31'04" W, an approximate distance of 59.76 feet to a
point for corner,
S 52°31'06" W, an approximate distance of 0.33 feet to a
point for corner in the east line of said 98.5 acre
tract,
THENCE: S 00°04'28" E, along and with the east line of said 98.5
acre tract, an approximate distance of 129.55 feet to a
point for the northwest corner of said 0.1266 acre tract,
THENCE: S 39°42'53" E, an approximate distatnce of 0.40' to an
angle point,
THENCE: S 39°42'51" E, along and with the north line of said
0.1266 acre tract, an approximate distance of 41.05 feet
to a point for the northeast corner of said 0.1266 acre
tract;
THENCE: Along a non-tangent curve to the left, having a radial
bearing of S 84°50'12" E, a radius of 6335.67 feet, a
central angle of 05°08'49", a chord bearing and
approximate distance of S 02°35'24" W, 568.93 feet, for
an arc length of 569.13 feet to a point for the south
corner of said 0.1266 acre tract the southeast corner of
said 98.5 acre tract;
THENCE: N 78°08'04" W, along and with the south line of said 98.5
acre tract, an approximate distance of 3983.14 feet to a
found 4"x4" conc monument for the southwest corner of
said 98.5 acre tract,
THENCE: N 00°10'33" W, along and with the west line of said 98.5
acre tract and also along east line of said Bauer Road,
an approximate distance of 892.80 to a found 4"x4" conc
monument for the northwest corner of said 98.5 acre tract
and for the southwest corner of said 63.7407 acre tract;
THENCE: N 00°24'39" W, (bearing basis), along and with the west
line of said 63.7407 acre tract and also along the east
line of said Bauer Road, an approximate distance of
892.51 feet to the POINT OF BEGINNING, and containing
266.85 acres in Harris County, Texas. Said tract being
described in accordance with a survey made on the ground
and a survey description and map prepared under job
number 40428-00 by Pape-Dawson Engineers, Inc.
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) Section 7997.106, Special District Local
Laws Code, as added by Section 1 of this Act, takes effect only if
this Act receives a two-thirds vote of all the members elected to
each house.
(b) If this Act does not receive a two-thirds vote of all the
members elected to each house, Subchapter C, Chapter 7997, Special
District Local Laws Code, as added by Section 1 of this Act, is
amended by adding Section 7997.106 to read as follows:
Sec. 7997.106. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
(c) 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, 2017.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4298 was passed by the House on May
19, 2017, by the following vote: Yeas 137, Nays 7, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4298 was passed by the Senate on May
24, 2017, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor