Bill Text: TX HB4594 | 2021-2022 | 87th Legislature | Enrolled

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Bill Title: Relating to the creation of the Harris County Municipal Utility District No. 576; 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) 2021-06-15 - Effective immediately [HB4594 Detail]

Download: Texas-2021-HB4594-Enrolled.html

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H.B. No. 4594

AN ACT
relating to the creation of the Harris County Municipal Utility
District No. 576; 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 7926A to read as follows:
CHAPTER 7926A. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 576
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7926A.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. 576.
Sec. 7926A.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7926A.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. 7926A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
7926A.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. 7926A.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. 7926A.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. 7926A.0201. GOVERNING BODY; TERMS. (a) The district
is governed by a board of five elected directors.
(b) Except as provided by Section 7926A.0202, directors
serve staggered four-year terms.
Sec. 7926A.0202. TEMPORARY DIRECTORS. (a) The temporary
board consists of:
(1) Mark Crosswell;
(2) Fred Wick;
(3) Aaron Brown;
(4) Tim Garde; and
(5) John Connolly.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7926A.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 7926A.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 7926A.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. 7926A.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7926A.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. 7926A.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. 7926A.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. 7926A.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. 7926A.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
7926A.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. 7926A.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7926A.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. 7926A.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. 7926A.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. 7926A.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. 7926A.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. 576 initially includes all the territory contained in the
following area:
Being a 617.0 acre tract of land located in the James O'Brien
Survey, Abstract No. 615 in Harris County, Texas; said 617.0 acre
tract being all of a called 617.0 acre tract of land recorded in the
name of Emptor Hockley, LLC. in Clerk's File (C.F.)
No. RP-2020-106668 of the Official Public Records of Real Property
of Harris County (O.P.R.R.P.H.C.); said 617.0 acre tract being more
particularly described by metes and bounds as follows (all bearings
are referenced to the Texas Coordinate System, North American Datum
of 1983 (NAD83), South Central Zone):
Beginning at a 1/2-inch iron rod found at the most easterly
southeast corner of said 617.0 acre tract and the northeast corner
of a called 10.0814 acre tract of land recorded in the name of C.
Sanchez Children's Commercial Real Estate Investments, Ltd. in C.F.
No. RP-2019-1083 of the O.P.R.R.P.H.C., and being on the westerly
right-of-way line of Warren Ranch Road (60-feet wide);
1. Thence, with a southerly line of said 617.0 acre tract
and the northerly line of said 10.0814 acre tract, South 88 degrees
40 minutes 41 seconds West, a distance of 256.66 feet to a 5/8-inch
iron rod with cap stamped "COSTELLO INC" found;
2. Thence, continuing with said southerly line of the 617.0
acre tract and the northerly line of said 10.0814 acre tract, South
88 degrees 48 minutes 30 seconds West, a distance of 360.03 feet to
a 5/8-inch iron rod with cap stamped "COSTELLO INC" found at an
interior corner of said 617.0 acre tract and the northwest corner of
said 10.0814 acre tract;
3. Thence, with an easterly line of said 617.0 acre tract
and the westerly line of said 10.0814 acre tract, South 02 degrees
08 minutes 06 seconds East, a distance of 713.51 feet to a 1/2-inch
iron rod found at the most southerly southeast corner of said 617.0
acre tract and the southwest corner of said 10.0814 acre tract, and
being on the northerly right-of-way line of Mound Road (50-feet
wide);
4. Thence, with the southerly line of said 617.0 acre tract
and said northerly right-of-way line of Mound Road, South 87
degrees 56 minutes 38 seconds West, a distance of 968.79 feet to a
5/8-inch iron rod with cap stamped "COSTELLO INC" found;
5. Thence, continuing with said southerly line of the 617.0
acre tract and said northerly right-of-way line of Mound Road,
South 87 degrees 54 minutes 14 seconds West, a distance of 1,722.99
feet to a 1/2-inch iron rod found at the southeast corner of a
called 105.000 acre tract of land recorded in the name of James A.
Warren in Clerk's File No. 20140186578 of the O.P.R.R.P.H.C.;
6. Thence, with the easterly line of said 105.000 acre
tract, North 02 degrees 59 minutes 19 seconds West, at 1,758.45 feet
pass a found 1/2-inch iron rod and continuing a total distance of
3,930.54 feet to a 1/2-inch iron rod with cap stamped "RPLS 2085"
found at an interior corner of aforesaid 617.0 acre tract and the
northeast corner of said 105.000 acre tract;
7. Thence, with the southerly line of said 617.0 acre tract,
the northerly line of said 105.000 acre tract, and the northerly
line of a called 95.000 acre tract of land recorded in the name of
the estate of John W. Warren, IV, by Nancy Warren, independent
co-executor and James A. Warren, independent co-executor in C.F.
No. 20140187356 of the O.P.R.R.P.H.C., South 88 degrees 07 minutes
49 seconds West, at a distance of 1,163.10 feet pass a 1/2-inch iron
rod with cap stamped "RPLS 2085" found at the northwest corner of
said 105.000 acre tract and the northeast corner of said 95.000 acre
tract and continuing a total distance of 2,215.06 feet to a 1/2-inch
rod found at an interior corner of said 617.0 acre tract, the
northwest corner of said 95.000 acre tract, and the northeast
corner of a called 447.471 acre tract of land (Tract II) recorded in
the name of Hilcroft-Medstar Joint Venture in C.F. No. Y173252 of
the O.P.R.R.P.H.C.;
8. Thence, continuing with the southerly line of said 617.0
acre tract and the northerly line of said 447.471 acre tract, South
87 degrees 45 minutes 02 seconds West, a distance of 4,977.98 feet
to a 1-inch iron pipe found at the most westerly southwest corner of
said 617.0 acre tract and the northwest corner of said 447.471 acre
tract, and being on the easterly line of a called 649.4535 acre
tract of land recorded in the name of Story-Lindsey, Family Limited
Partnership in C.F. No. S350808 of the O.P.R.R.P.H.C.;
9. Thence, with the westerly line of said 617.0 acre tract
and said easterly line of the 649.4535 acre tract, North 03 degrees
22 minutes 21 seconds West, a distance of 1,043.15 feet to a
5/8-inch iron rod with cap stamped "COSTELLO INC" found;
10. Thence, continuing with said westerly line of the 617.0
acre tract and said easterly line of the 649.4535 acre tract, North
03 degrees 35 minutes 34 seconds West, a distance of 310.26 feet to
a 5/8-inch iron rod with cap stamped "COSTELLO INC" found at the
northwest corner of said 617.0 acre tract, the northeast corner of
said 649.4535 acre tract, the southeast corner of a called 646.727
acre tract recorded in the name of Story-Lindsey, Family Limited
Partnership in C.F. No. S350808 of the O.P.R.R.P.H.C., and the
southwest corner of a called 636.3636 acre tract of land recorded in
the name of Story-Lindsey, Family Limited Partnership in C.F.
No. S350808 of the O.P.R.R.P.H.C.;
Thence, with the northerly line of said 617.0 acre tract and
the southerly line of said 636.3636 acre tract, the following four
(4) courses:
11. North 88 degrees 00 minutes 05 seconds East, a distance
of 3,037.93 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" found;
12. North 87 degrees 46 minutes 27 seconds East, a distance
of 423.91 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" found;
13. North 87 degrees 55 minutes 43 seconds East, a distance
of 1,014.75 feet to a 1/2-inch iron rod found;
14. North 87 degrees 57 minutes 47 seconds East, a distance
of 863.26 feet to a 1/2-inch iron rod with cap stamped "PREJEAN"
found at the southeast corner of said 636.3636 acre tract and the
southwest corner of a called 197.0000 acre tract of land recorded in
the name of DXC Technology Services LLC. in C.F. No. RP-2018-66195
of the O.P.R.R.P.H.C.;
15. Thence, with said northerly line of the 617.0 acre tract
, the southerly line of said 197.0000 acre tract, the southerly line
of a called 389.313 acre tract of land (Tract I) recorded in the
name of Hilcroft-Medstar Joint Venture in C.F. No. Y173252 of the
O.P.R.R.P.H.C., and the southerly line of a called 39.365 acre
tract of land recorded in the name of Floyd Emanuel Dennison and
wife, Ruby Dennison in C.F. No. J223460 of the O.P.R.R.P.H.C.,
North 88 degrees 01 minutes 10 seconds East, a distance of 5,264.15
feet to a 1-1/4-inch iron pipe found at the northeast corner of said
617.0 acre tract and the southeast corner of said 39.365 acre tract,
and being on the westerly right-of-way line of aforesaid Warren
Ranch Road;
16. Thence, with the easterly line of said 617.0 acre tract
and said westerly right-of-way line of Warren Ranch Road, South 01
degrees 57 minutes 51 seconds East, a distance of 4,558.73 feet to
the Point of Beginning and containing 617.0 acres of land.
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
7926A, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7926A.0306 to read as
follows:
Sec. 7926A.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, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4594 was passed by the House on May 8,
2021, by the following vote: Yeas 108, Nays 31, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4594 was passed by the Senate on May
27, 2021, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor