Bill Text: TX SB2259 | 2021-2022 | 87th Legislature | Comm Sub

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Bill Title: Relating to the creation of the Clear Sky Municipal Utility District No. 1 of Cooke County; granting a limited power of eminent domain.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2021-05-21 - Recommendations filed with the Senate [SB2259 Detail]

Download: Texas-2021-SB2259-Comm_Sub.html

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By: Springer S.B. No. 2259
(In the Senate - Filed May 13, 2021; May 14, 2021, read
first time and referred to Committee on Local Government;
May 19, 2021, reported favorably by the following vote: Yeas 9,
Nays 0; May 19, 2021, sent to printer.)
Click here to see the committee vote

A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Clear Sky Municipal Utility
District No. 1 of Cooke County; granting a limited power of eminent
domain.
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 7954A to read as follows:
CHAPTER 7954A. CLEAR SKY MUNICIPAL UTILITY DISTRICT NO. 1 OF COOKE
COUNTY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 7954A.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 Clear Sky Municipal Utility
District No. 1 of Cooke County.
Sec. 7954A.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 7954A.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. 7954A.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
7954A.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. 7954A.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. 7954A.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. 7954A.0201. GOVERNING BODY; TERMS. (a) The district
is governed by a board of five elected directors.
(b) Except as provided by Section 7954A.0202, directors
serve staggered four-year terms.
Sec. 7954A.0202. TEMPORARY DIRECTORS. (a) On or after
September 1, 2021, 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 7954A.0103; or
(2) September 1, 2025.
(c) If permanent directors have not been elected under
Section 7954A.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 7954A.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. 7954A.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 7954A.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. 7954A.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. 7954A.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. 7954A.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. 7954A.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
7954A.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. 7954A.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 7954A.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. 7954A.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. 7954A.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. 7954A.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. 7954A.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 Clear Sky Municipal Utility District No. 1 of
Cooke County initially includes all the territory contained in the
following area:
TRACT ONE
FIELD NOTES TO 179.94 ACRES IN THE JOHN ADDA SURVEY ABSTRACT 1177,
ET AL, COOKE COUNTY, TEXAS
All that certain tract or parcel of land situated in the John Adda
Survey Abstract 1177 and the E. Bradley Survey Abstract 34, Cooke
County, Texas, being part of a 293.56 acre tract conveyed by Rose
Marie Strickland, Trustee to Earl L. Bengtston by deed recorded in
Volume 1022, page 263, of the Cooke County Official Public Records,
and being more particularly described as follows:
BEGINNING at a found steel pin at the Northeast corner of said
Bengtston tract, common to the Southeast corner of a tract conveyed
to Alvrone Sater by deed recorded in Volume 734, page 275 of the
Cooke County Deed Records, in County Road 200, on the West line of a
tract conveyed to John Porter Farms, Inc. by deed recorded in Volume
626, page 123 of said Deed Records, said beginning corner further
being South 00 degrees 11 minutes 30 seconds East, a distance of
1219.85 feet from the Southwest corner of the J. R. Davis Survey
Abstract 334 in Cooke County.
THENCE South 00 degrees 11 minutes 30 seconds East, in said County
Road 200, crossing the South line of said Adda Survey, common to the
North line of said Bradley Survey, continuing a total of 2824.05
feet to a found steel pin at the Easternmost Southeast corner of
said John Porter Farms tract, on the North line of a tract conveyed
to Alvrone Sater, Trustee, by deed recorded in Volume 734, page 271
of said Deed Records, at a turn in said County Road 200, on the South
line of Cooke County, common to the North line of Denton County as
described in said Bengtston deed;
THENCE North 89 degrees 51 minutes 52 seconds West, with said North
line of said Sater tract, a distance of 40.68 feet to a found steel
pin;
THENCE South 89 degrees 45 minutes 12 seconds West, a distance of
3012.78 feet to a found steel pin at the Southernmost Southeast
corner of a tract conveyed to Troy P. Miller, Jr. by deed recorded
in Volume 805, page 156 of said Deed Records;
THENCE with an old fence line the following courses and distances:
North 07 degrees 55 minutes 34 seconds East, crossing the
line common to said Adda and Bradley Surveys, a distance of 745.34
feet to a found steel pin,
North 19 degrees 20 minutes 59 seconds East, a distance of
105.60 feet to a found steel pin,
North 10 degrees 07 minutes 43 seconds East, a distance of
796.69 feet to a found steel pin,
North 72 degrees 35 minutes 49 seconds East, a distance of
201.96 feet to a found steel pin;
THENCE North 00 degrees 20 minutes 42 seconds East, along or near a
fence, a distance of 1157.87 feet to a found steel pin at the
Southwest corner of said Sater tract;
THENCE South 89 degrees 55 minutes 19 seconds East, along or near a
fence, passing a found steel pin at a fence corner on the West line
of said County Road 200, continuing a total of 2566.42 feet to the
point of beginning containing 179.94 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
7954A, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 7954A.0306 to read as
follows:
Sec. 7954A.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 September 1, 2021.
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