Bill Text: TX SB1160 | 2021-2022 | 87th Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the creation of the Gulf Coast Protection District; providing authority to issue bonds; providing authority to impose fees; providing authority to impose a tax; granting the power of eminent domain.
Spectrum: Bipartisan Bill
Status: (Passed) 2021-06-16 - Effective immediately [SB1160 Detail]
Download: Texas-2021-SB1160-Introduced.html
Bill Title: Relating to the creation of the Gulf Coast Protection District; providing authority to issue bonds; providing authority to impose fees; providing authority to impose a tax; granting the power of eminent domain.
Spectrum: Bipartisan Bill
Status: (Passed) 2021-06-16 - Effective immediately [SB1160 Detail]
Download: Texas-2021-SB1160-Introduced.html
87R7595 JXC-D | ||
By: Taylor | S.B. No. 1160 |
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relating to the creation of the Gulf Coast Protection District; | ||
providing authority to issue bonds; providing authority to impose | ||
fees; providing authority to impose a tax; granting the power of | ||
eminent domain. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle K, Title 6, Special District Local Laws | ||
Code, is amended by adding Chapter 9502 to read as follows: | ||
CHAPTER 9502. GULF COAST PROTECTION DISTRICT | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 9502.0101. DEFINITIONS. In this chapter: | ||
(1) "Board" means the district's board of directors. | ||
(2) "Director" means a board member. | ||
(3) "District" means the Gulf Coast Protection | ||
District. | ||
(4) "Ecosystem restoration report" means the Sabine | ||
Pass to Galveston Bay, Texas Coastal Storm Risk Management and | ||
Ecosystem Restoration Final Integrated Feasibility | ||
Report—Environmental Impact Statement issued by the Galveston | ||
District, Southwestern Division, of the United States Army Corps of | ||
Engineers in May 2017. | ||
(5) "Protection and restoration study" means the | ||
Coastal Texas Protection and Restoration Feasibility Study Final | ||
Integrated Feasibility Report and Environmental Impact Statement | ||
to be issued by the Galveston District, Southwestern Division, of | ||
the United States Army Corps of Engineers, the draft version of | ||
which was issued in October 2020. | ||
Sec. 9502.0102. NATURE OF DISTRICT. The district is a | ||
special district created under Section 59, Article XVI, Texas | ||
Constitution. | ||
Sec. 9502.0103. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. | ||
(a) The creation of the district is essential to accomplish the | ||
purposes of Section 59, Article XVI, Texas Constitution, and other | ||
public purposes stated in this chapter. | ||
(b) The creation of the district is necessary to establish | ||
an instrumentality for protecting the coast in Brazoria, Chambers, | ||
Galveston, Harris, Jefferson, and Orange Counties in the manner | ||
provided by this chapter. | ||
(c) The district is created to serve a public use and | ||
benefit. | ||
(d) All land and other property included in the boundaries | ||
of the district will benefit from the works and projects | ||
accomplished by the district. | ||
Sec. 9502.0104. DISTRICT TERRITORY. (a) The district is | ||
composed of the territory in Brazoria, Chambers, Galveston, Harris, | ||
Jefferson, and Orange Counties and territory annexed to the | ||
district as described by Subsection (b). | ||
(b) The governing body of the district by order shall annex | ||
to the district the territory of a county included in the protection | ||
and restoration study at the request of the commissioners court of | ||
that county. | ||
Sec. 9502.0105. APPLICATION OF SUNSET ACT. (a) The | ||
district is subject to review under Chapter 325, Government Code | ||
(Texas Sunset Act), but may not be abolished under that chapter. | ||
The review shall be conducted under Section 325.025, Government | ||
Code, as if the authority were a state agency scheduled to be | ||
abolished September 1, 2033, and every 12th year after that year. | ||
(b) The limited review under this section must assess the | ||
district's: | ||
(1) governance; | ||
(2) management; | ||
(3) operating structure; and | ||
(4) compliance with legislative requirements. | ||
(c) The district shall pay the cost incurred by the Sunset | ||
Advisory Commission in performing the review. The Sunset Advisory | ||
Commission shall determine the cost, and the district shall pay the | ||
amount promptly on receipt of a statement from the Sunset Advisory | ||
Commission detailing the cost. | ||
(d) The district may not be required to conduct a management | ||
audit under Chapter 292, Title 30, Texas Administrative Code. | ||
SUBCHAPTER B. BOARD OF DIRECTORS | ||
Sec. 9502.0151. GOVERNING BODY; TERMS. (a) The district is | ||
governed by a board of 11 directors appointed by the governor. The | ||
governor shall consult with the commissioners courts of Brazoria | ||
County, Chambers County, Galveston County, Harris County, | ||
Jefferson County, and Orange County before appointing the board | ||
members. | ||
(b) Directors serve staggered four-year terms. | ||
(c) When a director's term expires, the governor shall | ||
appoint a successor. | ||
(d) If a director's office becomes vacant by death, | ||
resignation, or removal, the governor shall appoint a director to | ||
serve for the remainder of the unexpired term. | ||
(e) Notwithstanding Subsection (b), the governor shall | ||
designate five initial directors to serve a first term of two years. | ||
This subsection expires September 1, 2025. | ||
Sec. 9502.0152. REMOVAL. The governor may remove a | ||
director at any time and appoint a replacement director to serve the | ||
remainder of the unexpired term. | ||
Sec. 9502.0153. QUALIFICATION. To qualify for office, a | ||
director must be a registered voter who resides in the district. | ||
Sec. 9502.0154. CERTAIN CONFLICTS PROHIBITED. (a) An | ||
individual is not eligible to serve as a director if, in the | ||
preceding 24 months, the individual had an interest in or was | ||
employed by or affiliated with a person who has submitted a bid or | ||
entered into a contract for a district project. | ||
(b) The board may not employ or appoint an individual | ||
described by Subsection (a) to work for the district. | ||
(c) A director may not be employed professionally for | ||
remuneration in a profession related to the operation of the | ||
district during the director's term of office. | ||
Sec. 9502.0155. REIMBURSEMENT. A director is not entitled | ||
to compensation but is entitled to reimbursement for necessary | ||
expenses incurred in carrying out the duties and responsibilities | ||
of the board. | ||
Sec. 9502.0156. VOTING. A concurrence of a majority of the | ||
directors is required for transacting any business of the district. | ||
SUBCHAPTER C. POWERS AND DUTIES | ||
Sec. 9502.0201. GENERAL DISTRICT POWERS. (a) Except as | ||
provided by Subsection (b), the district may: | ||
(1) establish, construct, extend, maintain, operate, | ||
or improve a coastal barrier or storm surge gate in the manner | ||
provided by Chapter 571, Local Government Code, for a county to | ||
establish, construct, extend, maintain, or improve a seawall; | ||
(2) exercise the authority granted to counties to | ||
conduct any project described by Chapter 571, Local Government | ||
Code; | ||
(3) establish, construct, and maintain recreational | ||
facilities for public use and environmental mitigation facilities | ||
related to a project described by Subdivision (1) or (2); and | ||
(4) establish, construct, maintain, or operate a | ||
project recommended in the ecosystem restoration report or the | ||
protection and restoration study. | ||
(b) Sections 571.006, 571.007, 571.008, 571.009, and | ||
571.010, Local Government Code, do not apply to the district. | ||
Sec. 9502.0202. ELECTIONS REGARDING TAXES AND BONDS. (a) | ||
The district must hold an election in the manner provided by Chapter | ||
49, Water Code, to obtain voter approval before the district may | ||
impose an ad valorem tax or issue bonds payable from ad valorem | ||
taxes. | ||
(b) The district, without an election, may issue bonds, | ||
notes, or other obligations secured by revenue other than ad | ||
valorem taxes. | ||
Sec. 9502.0203. REQUIREMENTS FOR CERTAIN PROJECTS. If the | ||
district enters into an agreement with another entity to implement | ||
a project recommended in the ecosystem restoration report or the | ||
protection and restoration study, the district: | ||
(1) shall develop a maintenance and operation plan for | ||
the project; | ||
(2) may enter into a partnership with a private entity | ||
to fund a local share of the cost of the project; and | ||
(3) may use any available money to provide matching | ||
funds to the United States Army Corps of Engineers to implement the | ||
project. | ||
Sec. 9502.0204. ACQUISITION AND DISPOSITION OF PROPERTY AND | ||
RIGHTS. (a) The district may purchase, lease, acquire by gift, | ||
maintain, use, and operate property of any kind appropriate for the | ||
exercise of the district's functions. | ||
(b) The district may acquire permits, licenses, and rights | ||
related to the exercise of the district's functions. | ||
Sec. 9502.0205. AGREEMENTS. (a) The district may enter | ||
into a cooperative agreement with a political subdivision, state | ||
agency, or federal agency for a purpose related to the operation or | ||
maintenance of a district project. | ||
(b) The district may enter into an interlocal agreement with | ||
a political subdivision for a purpose related to the construction, | ||
operation, or maintenance of a district project. | ||
Sec. 9502.0206. CONTRACTS GENERALLY. (a) The district may | ||
enter into contracts and execute instruments that are necessary or | ||
convenient to the exercise of the district's powers, rights, | ||
duties, and functions. A contract may be for any term, including | ||
for the life of any facility or structure in the territory of the | ||
district. | ||
(b) The district and another governmental entity may enter | ||
into a contract for the operation or maintenance of an authorized | ||
project in the same way that a political subdivision may contract | ||
with another governmental entity under Chapter 472, Transportation | ||
Code, to construct or maintain a road or highway. | ||
(c) A public agency or political subdivision is authorized | ||
to: | ||
(1) enter into a contract with the district; | ||
(2) determine, agree, and pledge that all or any part | ||
of its payments under a contract with the district shall be payable | ||
from any source, subject only to the authorization by a majority | ||
vote of the governing body of such public agency or political | ||
subdivision of the contract, pledge, and payments; | ||
(3) use and pledge any available revenues or resources | ||
for and to the payment of amounts due under a contract with the | ||
district as an additional source of payment or as the sole source of | ||
payment and agree with the district to assure the availability of | ||
revenue and resources when required; and | ||
(4) fix, charge, and collect impact fees and utility | ||
charges, if the public agency or political subdivision is otherwise | ||
authorized to impose the fees and charges, and to use and pledge | ||
revenue from the fees or charges to make payments to the district | ||
required under a contract with the district. | ||
Sec. 9502.0207. CERTAIN CONTRACTS. (a) This section | ||
applies only to a contract for: | ||
(1) construction or repair; | ||
(2) purchase of material, equipment, or supplies; or | ||
(3) services other than technical, scientific, legal, | ||
fiscal, or other professional services. | ||
(b) If a contract will require an estimated expenditure of | ||
more than $25,000, or if a contract is for a term of more than five | ||
years, the district shall: | ||
(1) publish a notice to bidders once each week for | ||
three consecutive weeks before the date set for awarding the | ||
contract; and | ||
(2) award the contract to the lowest and best bidder. | ||
(c) The notice under Subsection (b) must: | ||
(1) state the time and place the bids will be opened; | ||
(2) describe: | ||
(A) the general nature of the work to be done; | ||
(B) the material, equipment, or supplies to be | ||
purchased; or | ||
(C) the nonprofessional services to be rendered; | ||
and | ||
(3) state the terms on which copies of the plans, | ||
specifications, or other pertinent information may be obtained. | ||
(d) The notice must be published in a newspaper of general | ||
circulation in the county or counties in which the contract is to be | ||
performed. In addition to publishing notice in a newspaper of | ||
general circulation, the notice may also be published in any other | ||
appropriate publication. | ||
(e) A person desiring to bid on the construction of any work | ||
advertised as provided by this section shall, on written | ||
application to the board, be furnished with a copy of the detailed | ||
plans and specifications or other detailed engineering and | ||
architectural documents showing the work to be done. The district | ||
may charge a fee to cover the cost of providing the copy. | ||
(f) All bids must be in writing, sealed and delivered to the | ||
board, and accompanied by a certified check on a bank located in | ||
this state, or a bid bond from a company approved by the board, in an | ||
amount equal to at least one percent of the total amount bid. | ||
(g) The amount of the check or bond shall be forfeited to the | ||
district if the successful bidder fails or refuses to: | ||
(1) enter into a proper contract; or | ||
(2) furnish bond as required by law. | ||
(h) The board may reject any or all bids. | ||
(i) Bids shall be opened at the time and place specified in | ||
the notice and shall be announced by the board. The place where the | ||
bids are opened and announced must be open to the public. | ||
(j) The contract price of all construction contracts of the | ||
district may be made in partial payment as the work progresses, but | ||
the payments may not exceed 90 percent of the amount due at the time | ||
of each payment. The board shall, during the progress of the work, | ||
inspect the work or cause the work to be inspected by a district | ||
employee. On the completion of any contract in accordance with the | ||
contract's terms, the board shall pay the balance due on the | ||
contract. | ||
(k) The person to whom a contract is awarded shall provide | ||
the performance and payment bonds required by law. | ||
(l) This section does not prohibit the district from | ||
purchasing surplus property from the United States by contract and | ||
without advertising for bids. | ||
(m) An officer, agent, or employee of the district who has a | ||
financial interest in a contract of the types described by | ||
Subsection (a) shall disclose that fact to the board before the | ||
board votes on the acceptance of the contract. | ||
(n) Notwithstanding any provision of any charter of any | ||
municipality, contracts between the authority and a municipality | ||
are not required to be approved by the voters of the municipality at | ||
an election. | ||
(o) In an emergency, the district is not required to comply | ||
with the bidding procedures described by this section and may award | ||
a contract necessary to protect and preserve the public health and | ||
welfare or the properties of the district. | ||
Sec. 9502.0208. NAVIGATION DISTRICT AUTHORITY. Except as | ||
provided by Section 9502.0209(b), an order or action of a | ||
navigation district relating to the operation or maintenance of a | ||
district project supersedes an order or action of the district to | ||
the extent of any conflict. | ||
Sec. 9502.0209. AUTHORITY TO DEVELOP BARRIER CLOSURE | ||
PROCEDURES. (a) If the district implements a project to create a | ||
coastal barrier, the district shall develop closure procedures in | ||
conjunction with each navigation district affected by the barrier | ||
or closure. | ||
(b) A navigation district may not unilaterally stop a | ||
closure that is proceeding in accordance with procedures developed | ||
under this section. | ||
Sec. 9502.0210. ANNUAL REPORT REQUIRED. The district shall | ||
annually submit a report to the legislature, the Legislative Budget | ||
Board, the General Land Office, and the commissioners court of each | ||
county in which the district is located. The report must: | ||
(1) describe the district's financial condition and | ||
operations during the preceding year; | ||
(2) propose a budget for the following year; and | ||
(3) describe generally the work proposed for the | ||
following year. | ||
Sec. 9502.0211. EMINENT DOMAIN. The district may exercise | ||
the power of eminent domain to acquire a fee simple or other | ||
interest in any type of property if the interest is necessary or | ||
convenient for the exercise of the district's functions. The | ||
district must exercise the power of eminent domain in the manner | ||
provided by Chapter 21, Property Code. | ||
SECTION 2. (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 3. (a) Section 9502.0211, 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 9502, Special | ||
District Local Laws Code, as added by Section 1 of this Act, is | ||
amended by adding Section 9502.0211 to read as follows: | ||
Sec. 9502.0211. 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 4. 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. |