Bill Text: TX HB5347 | 2023-2024 | 88th Legislature | Enrolled

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Bill Title: Relating to the creation of the Harris County Municipal Utility District No. 597; 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) 2023-06-11 - Effective immediately [HB5347 Detail]

Download: Texas-2023-HB5347-Enrolled.html

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H.B. No. 5347

AN ACT
relating to the creation of the Harris County Municipal Utility
District No. 597; 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 7997A to read as follows:
CHAPTER 7997A. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 597
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7997A.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. 597.
Sec. 7997A.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7997A.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. 7997A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
7997A.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 as required by
applicable law.
Sec. 7997A.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. 7997A.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. 7997A.0201. GOVERNING BODY; TERMS. (a) The district
is governed by a board of five elected directors.
(b) Except as provided by Section 7997A.0202, directors
serve staggered four-year terms.
Sec. 7997A.0202. TEMPORARY DIRECTORS. (a) On or after the
effective date of the Act enacting this chapter, 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 temporary directors the five persons
named in the petition. The commission shall appoint as temporary
directors the five persons named in the petition.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under
Section 7997A.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 7997A.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 7997A.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. 7997A.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7997A.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. 7997A.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. 7997A.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. 7997A.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. 7997A.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
7997A.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. 7997A.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7997A.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. 7997A.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. 7997A.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. 7997A.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. 7997A.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.
597 initially includes all the territory contained in the following
area:
Being 528.9 acres of land located in the Harris County School
Land Survey, Section 2, Abstract No. 332, Harris County, Texas;
said 528.9 acres being all of Lots 1-8, 12, and 13, and a portion of
Lots 9-11 and 14, Section 2 of the plat of Harris County School Land
Four Leagues as recorded in Volume 17, Page 222-223 of the Harris
County Deed Records (H.C.D.R.) and being a part of a called 534.5455
acre tract of land recorded in the name of Bud Adams Ranches, Inc.
in Clerk's File (C.F.) No. N143996 of the Official Public Records
of Real Property of Harris County (O.P.R.R.P.H.C.); said 528.9 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 5/8-inch iron rod with cap stamped "COSTELLO
INC" set at the intersection of the southerly right-of-way line of
Castle Road (width varies), the southerly 29 feet being established
by said plat of Harris County School Lands Four Leagues and the
easterly right-of-way line of Stokes Road (called 99 feet wide in
said plat of Harris County School Land Four Leagues), and being on
the northerly line of said 534.5455 acre tract, from which a 1-inch
iron pipe found at the northwest corner of said 534.5455 acre tract
bears South 87 degrees 44 minutes 32 seconds West, a distance of
35.24 feet;
1. Thence, with the northerly line of said 534.5455 acre
tract and the southerly right-of-way line of said Castle Road,
North 87 degrees 44 minutes 32 seconds East, a distance of 5,372.87
feet to a 5/8-inch iron rod with cap stamped "COSTELLO INC" set at
the northeast corner of said 534.5455 acre tract, being at the
intersection of the southerly right-of-way line of said Castle Road
and the westerly right-of-way line of Binford Road (called 66 feet
wide in aforesaid plat of Harris County School Land Four Leagues);
2. Thence, with the easterly line of said 534.5455 acre
tract and the westerly right-of-way line of said Binford Road,
South 02 degrees 50 minutes 23 seconds East, a distance of 3,550.58
feet to a 5/8-inch iron rod with cap stamped "COSTELLO INC" set at
the most easterly southeast corner of said 534.5455 acre tract and
the northeast corner of a called 2.7481 acre tract of land recorded
in the name of Mark W. Patrick in C.F. No. V617308 of the
O.P.R.R.P.H.C., from which a found 5/8-inch iron rod bears North 10
degrees 36 minutes 46 seconds East, a distance of 11.53 feet;
3. Thence, with the southerly line of said 534.5455 acre
tract, the northerly line of said 2.7481 acre tract, the northerly
line of a called 12.967 acre tract of land recorded in the name of
David Allen Baskin in C.F. No. 20100430844 of the O.P.R.R.P.H.C.,
the northerly line of the remainder of a called 13.210 acre tract of
land recorded in the name of James Hurschel Thompson in C.F.
No. G150745 of the O.P.R.R.P.H.C., the northerly line of a called
6.6025 acre tract of land recorded in the name of Dianna Lynn Ward
in C.F. No. N033932 of the O.P.R.R.P.H.C., and the northerly line
of a called 64.683 acre tract of land recorded in the name of David
Allen Baskin in said C.F. No. 20100430844 of the O.P.R.R.P.H.C.,
South 87 degrees 41 minutes 53 seconds West, a distance of 3,037.38
feet to a 5/8-inch iron rod found at an interior corner of said
534.5455 acre tract and the northwest corner of said 64.683 acre
tract;
4. Thence, with the easterly line of said 534.5455 acre
tract and the westerly line of said 64.683 acre tract, South 02
degrees 34 minutes 04 seconds East, a distance of 1,659.17 feet to a
5/8-inch iron rod with cap stamped "COSTELLO INC" set on the
northerly right-of-way line of Vining Road (called 66 feet wide in
aforesaid plat of Harris County School Land Four Leagues);
5. Thence, with the northerly right-of-way line of said
Vining Road, South 87 degrees 35 minutes 44 seconds West, a distance
of 918.76 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" set;
6. Thence, continuing with the northerly right-of-way line
of said Vining Road, South 87 degrees 23 minutes 41 seconds West, a
distance of 1,433.80 feet to a 5/8-inch iron rod with cap stamped
"COSTELLO INC" set at the intersection of the northerly
right-of-way line of said Vining Road and the easterly right-of-way
line of aforesaid Stokes Road;
7. Thence, with the easterly right-of-way line of said
Stokes Road, North 02 degrees 40 minutes 05 seconds West, a distance
of 1,895.29 feet to a 5/8-inch iron rod with cap stamped "COSTELLO
INC" set;
8. Thence, continuing with the easterly right-of-way line
of said Stokes Road, North 02 degrees 29 minutes 23 seconds West, a
distance of 2,393.31 feet to a 5/8-inch iron rod with cap stamped
"COSTELLO INC" set;
9. Thence, continuing with the easterly right-of-way line
of said Stokes Road, North 02 degrees 32 minutes 53 seconds West, a
distance of 934.41 feet to the Point of Beginning and containing
528.9 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
7997A, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7997A.0306 to read as
follows:
Sec. 7997A.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, 2023.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 5347 was passed by the House on May 2,
2023, by the following vote: Yeas 110, Nays 35, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 5347 was passed by the Senate on May
17, 2023, by the following vote: Yeas 27, Nays 4.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor