H.B. No. 1354

	relating to the creation of the Leander Hills Municipal Utility
	District of Williamson County; 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 8417 to read as follows:
	CHAPTER 8417.  LEANDER HILLS MUNICIPAL UTILITY DISTRICT OF
	WILLIAMSON COUNTY
	SUBCHAPTER A.  GENERAL PROVISIONS
	Sec. 8417.001.  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 Leander Hills Municipal
	Utility District of Williamson County.
	Sec. 8417.002.  NATURE OF DISTRICT.  The district is a
	municipal utility district created under Section 59, Article XVI,
	Texas Constitution.
	Sec. 8417.003.  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. 8417.004.  CONSENT OF MUNICIPALITY AND DEVELOPMENT
	AGREEMENT REQUIRED. The temporary directors may not hold an
	election under Section 8417.003 until each municipality in whose
	corporate limits or extraterritorial jurisdiction the district is
	located has:
	(1)  consented by ordinance or resolution to the
	creation of the district and to the inclusion of land in the
	district; and
	(2)  entered into a development agreement under Section
	212.172, Local Government Code, with the owners of the land
	described by Section 2 of the Act enacting this chapter.
	Sec. 8417.005.  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, improvement, operation,
	or maintenance of macadamized, graveled, or paved roads, or
	improvements, including storm drainage, in aid of those roads.
	Sec. 8417.006.  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. 8417.051.  GOVERNING BODY; TERMS.  (a)  The district is
	governed by a board of five elected directors.
	(b)  Except as provided by Section 8417.052, directors serve
	staggered four-year terms.
	Sec. 8417.052.  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 8417.003; 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 8417.003 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 8417.003; 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. 8417.101.  GENERAL POWERS AND DUTIES.  The district has
	the powers and duties necessary to accomplish the purposes for
	which the district is created.
	Sec. 8417.102.  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. 8417.103.  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. 8417.104.  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. 8417.105.  COMPLIANCE WITH MUNICIPAL CONSENT ORDINANCE
	OR RESOLUTION.  (a)  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.
	(b)  In addition to all the rights and remedies provided by
	other law, if the district violates the terms of an ordinance or
	resolution described by Subsection (a), a municipality is entitled
	to injunctive relief or a writ of mandamus issued by a court
	requiring the district and the district's officials to observe and
	comply with the terms of the ordinance or resolution.
	Sec. 8417.106.  EFFECT OF ANNEXATION BY OR INCLUSION WITHIN
	THE CORPORATE BOUNDARIES OF THE CITY OF LEANDER. (a) The City of
	Leander may annex all of the district into its corporate limits
	under the terms of an agreement entered into before the effective
	date of the Act enacting this chapter between the city and the
	owners of the land being annexed, and, in that instance, the
	district may not be dissolved, except as provided by Subsection
	(b).
	(b)  The district may be dissolved and its debts and
	obligations assumed by the city in accordance with Chapter 43,
	Local Government Code, including Sections 43.075 and 43.0715, on
	completion of the construction of the water, sanitary sewer, and
	drainage improvements and roads required to serve at least 95
	percent of the land in the district.
	(c)  Notwithstanding Section 54.016(f)(2), Water Code, an
	agreement between the City of Leander and the district that
	provides for the allocation of the taxes or revenues of the district
	and the city following the date of inclusion of all the district's
	territory in the corporate limits of the city may provide that the
	total annual ad valorem taxes collected by the city and the district
	from taxable property in the district may exceed the city's ad
	valorem tax on that property.
	SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS
	Sec. 8417.151.  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 8417.153.
	(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. 8417.152.  OPERATION AND MAINTENANCE TAX.  (a)  If
	authorized at an election held under Section 8417.151, 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. 8417.153.  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. 8417.201.  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. 8417.202.  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. 8417.203.  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 Leander Hills Municipal Utility District of
	Williamson County initially includes all the territory contained in
	the following area:
	being a 145.26 acres of land situated in the talbot chambers
	survey, abstract no. 125, williamson county, Texas, being comprised
	of ALL OF THE CALLED 92.621 acre tract DESCRIBED IN DEED TO DENSFORD
	AVIATION SERVICES, INC. RECORDED IN Document Number 2009070195 OF
	THE Official Public Records of Williamson County, Texas
	(O.P.R.W.C.T.) AND ALL OF THE CALLED 52.640 acre tract PER METES AND
	BOUNDS DESCRIPTION prepared BY SHANE SHAFER R.P.L.S. NO. 5281 DATED
	APRIL 29, 2009; AND being more particularly DESCRIBED BY METES AND
	BOUNDS AS FOLLOWS:
	beginning at a found 1/2" iron rod on the south line of said
	52.640 acre tract, same being the northwest corner of Tract 2 of the
	Kittie Hill Acres a subdivision of record in Document Number
	8419185 of the O.P.R.W.C.T. and recorded in Cabinet F, Slide 45 of
	the Plat Records of Williamson County Texas (P.R.W.C.T.) and being
	the northeast corner of a called 13.320 acre tract conveyed to Jack
	Scott Bradley, Amy L. Bradley, and Brian Gregory Holmes as recorded
	in Document Number 2000068029 of the O.P.R.W.C.T.;
	THENCE South 68°56'56" West with the south line of said 52.640
	acre tract, the north line of said 13.320 acre Bradley tract, the
	north line of a called 13.320 acre tract conveyed to Brian Olson and
	Charity M. Olson, husband and wife, and Gregory Olson and Hattie E.
	Olson, husband and wife, as recorded in Document Number 2001071867
	of the O.P.R.W.C.T. and the north line of a called 13.371 acre tract
	conveyed to Charles Hoskins and Patricia Hoskins, husband and wife
	as recorded in Document Number 2002036263 of the O.P.R.W.C.T.,
	passing at a distance of 445.22 feet the northwest corner of said
	13.320 acre Bradley tract and the northeast corner of said 13.320
	acre Olson Tract an continuing a total distance of 1332.94 feet to a
	found 1/2" iron rod for the southwest corner of said 52.640 acre
	tract, the northwest corner of said 13.371 acre tract, and being on
	the east line on a called 5.412 acre tract conveyed to Larry G.
	Miller and wife, Leslie M. Miller as recorded in Volume 2041, Page
	124 of the Deed Records of Williamson County, Texas (D.R.W.C.T);
	THENCE North 21°52'40" West with the west line of said 52.640
	acre tract and the east line of said 5.412 acre tract a distance of
	196.23 feet to a found 1/2" iron rod for the northeast corner of
	said 5.412 acre tract, and the southeast corner of a called 19.99
	acre tract conveyed to Mila J. Milliorn recorded in Document Number
	2006050300 of the O.P.R.W.C.T;
	THENCE with the west line of said 52.640 acre tract and the
	east line of said 19.99 acre tract, the following five (5) courses;
	(1)  North 19°41'08" West a distance of 62.72 feet to a found
	1/2" iron rod;
	(2)  North 43°25'16" East a distance of 17.20 feet to a found
	1/2" iron rod;
	(3)  North 22°58'31" West a distance of 160.69 feet to a 60D
	nail found in the west side of a 12" Live Oak tree;
	(4)  North 19°52'01" West a distance of 443.14 feet to a 40D
	nail found;
	(5)  North 20°50'38" West a distance of 370.34 feet to a found
	1/2" iron rod for the northeast corner of said 19.99 acre tract, and
	the southeast corner of a called 1.00 acre tract conveyed to Barbara
	E. Bratton described in Exhibit "B" document recorded in Volume
	2722, Page 551 of the D.R.W.C.T.;
	THENCE North 20°51'23" West with the west line of said 52.640
	acre tract and the east line of said Exhibit "B" tract a distance of
	208.65 feet to a found 1/2" iron rod for the northeast corner of
	said Exhibit "B" tract, and being at an angle point in of a 12.40
	acre tract conveyed to Barbara E. Bratton described in Exhibit "A"
	document recorded in Volume 2722, Page 551 of the D.R.W.C.T.;
	THENCE with the west line of said 52.640 acre tract and the
	east line of said Exhibit "A" tract, the following two (2) courses:
	(1)  North 20°36'15" West a distance of 361.45 feet to a 40D
	nail;
	(2)  North 22°06'13" West a distance of 313.49 feet to a 40D
	nail found for the northwest corner of said 92.621 acre tract;
	THENCE with the west line of said 92.621 acre tract and the
	east line of said Exhibit "A" tract, the following two (2) courses:
	1.  North 16°45'36" West a distance of 74.85 feet to a 40D
	nail found in the north side of a 14" Live Oak tree;
	2.  North 22°32'12" West a distance of 105.96 feet to a found
	iron rod with plastic cap stamped "DIAMOND SURVEYING" for the
	northwest corner of said 92.621 acre tract, the northeast corner of
	said 12.40 acre tract, and in the south line of the called 226 acre
	tract conveyed to Lawrence Virgil Toungate and wife, Louise M.
	Toungate as described in Volume 922, Page 878 of the D.R.W.C.T);
	THENCE with the north line of said 92.621 acre tract and said
	south line of said 226 acre tract, the following two (2) courses:
	(1)  North 69°16'48" East a distance of 509.14 feet to a 40D
	nail found;
	(2)  North 68°42'17" East a distance of 1439.28 feet to a
	found 4" square concrete monument for the southwest corner of a
	called 100.16 acre tract conveyed to Huie H. Lamb, Jr., as described
	in Volume 2323, Page 739 of the O.P.R.W.C.T., and the southeast
	corner of said 226 acre tract;
	THENCE with the north line of said 92.621 acre tract and the
	south line of said 100.16 acre tract, the following two (2) courses:
	(1)  THENCE North 69°03'28" East a distance of 946.84 feet to
	a nail found in the south side of a 12" Cedar tree;
	(2)  THENCE North 74°03'27" East a distance of 84.55 feet to a
	found 4" square concrete monument for the southeast corner of said
	100.16 acre tract, and same the southwest corner of a called 9.53
	acre tract of land conveyed to Parmer 274 Investments, LLC as
	described in Document Number 2012041079 of the O.P.R.W.C.T.;
	THENCE with the north line of said 92.621 acre tract and said
	south line of said 9.53 acre tract, the following eleven (11)
	courses:
	(1)  South 86°58'08" East a distance of 77.96 feet to a found
	1/2" iron rod;
	(2)  North 62°48'33" East a distance of 45.79 feet to a 40D
	nail found in root of 12" Cedar tree;
	(3)  North 72°05'13" East a distance of 17.47 feet to a 40D
	nail found in 10" Cedar tree;
	(4)  North 80°39'55" East a distance of 23.31 feet to a 60D
	nail found in base of fence post;
	(5)  North 81°41'28" East a distance of 168.82 feet to a 60D
	nail found in 12" Cedar tree;
	(6)  North 60°56'49" East a distance of 39.32 feet to a 40D
	nail found;
	(7)  North 57°46'48" East a distance of 64.79 feet to a 60D
	nail found in 12" Cedar tree;
	(8)  North 65°38'37" East a distance of 30.84 feet to a 60D
	nail found in 30" Live Oak tree;
	(9)  North 68°16'06" East a distance of 158.61 feet to a 40D
	nail found;
	(10)  North 68°25'55" East a distance of 127.34 feet to a 60D
	nail found in 10" Cedar tree;
	(11)  North 72°46'46" East a distance of 108.25 feet to a
	found iron rod with plastic cap stamped "DIAMOND SURVEYING" for the
	northeast corner of said 92.621 acre tract, and in the existing west
	right-of-way line of Ronald Reagan Boulevard (right-of-way width
	varies);
	THENCE with the existing west right-of-way line of Ronald
	Reagan Boulevard, and the east line of said 92.621 acre tract, the
	following five (5) courses and distances:
	(1)  South 27°36'23" East a distance of 96.46 feet to a found
	iron rod with plastic cap stamped "DIAMOND SURVEYING";
	(2)  South 15°07'44" East a distance of 55.83 feet to a set
	1/2" iron rod with cap marked "LANDESIGN";
	(3)  South 01°20'00" East a distance of 356.82 feet to a found
	iron rod with plastic cap stamped "DIAMOND SURVEYING";
	(4)  South 10°10'14" East a distance of 100.76 feet to a found
	iron rod with plastic cap stamped "DIAMOND SURVEYING";
	(5)  South 23°56'30" East a distance of 432.73 feet to a found
	1/2" iron rod for the southeast corner of said 92.621 acre tract,
	and being on the north line of a called 57.07 acre tract conveyed to
	MP52 as recorded in Document Number 2012055771 of the O.P.R.W.C.T.;
	THENCE with the south line of said 92.621 acre tract and the
	north line of said 57.07 acre tract, the following twelve (12)
	course and distances:
	(1)  South 81°39'46" West a distance for of 531.74 feet to a
	found iron rod with plastic cap stamped "DIAMOND SURVEYING";
	(2)  South 81°17'07" West a distance of 639.06 feet to a metal
	fence corner post;
	(3)  South 09°38'31" East a distance of 164.03 feet to a found
	1/2" iron rod;
	(4)  South 80°18'44" West a distance of 586.19 feet to a found
	1/2" iron rod;
	(5)  South 09°17'01" East a distance of 36.68 feet to a found
	1/2" iron rod;
	(6)  South 68°47'48" West a distance of 142.01 feet to a found
	1/2" iron rod;
	(7)  South 00°28'08" East a distance of 272.60 feet to a found
	1/2" iron rod;
	(8)  South 59°00'22" East a distance of 567.45 feet to a metal
	fence post;
	(9)  South 31°41'25" West a distance of 74.76 feet to a found
	1/2" iron rod;
	(10)  South 56°38'19" East a distance of 741.46 feet to a
	found 1/2" iron rod;
	(11)  South 33°16'35" West a distance of 34.80 feet to a found
	1/2" iron rod;
	(12)  South 52°04'56" East a distance of 39.91 feet to a found
	1/2" iron rod for the southwest corner of said 57.07 acre tract, and
	being on a the north line of Tract 7, Kittie Hill Acres;
	THENCE with the south line of said 92.621 acre tract and the
	remainder of said Tract 7, the following two (2) courses:
	(1)  South 51°39'00" East for a distance of 81.12 feet to a
	found iron rod with plastic cap stamped "DIAMOND SURVEYING";
	(2)  South 17°00'35" West for a distance of 171.42 feet to a
	found 1/2" iron rod in the south line of said 92.621 acre tract, and
	in the existing north right-of-way line of Airport Drive (50'
	Right-of-Way);
	THENCE North 71°58'26" West with the south line of said 92.621
	acre tract and the north right-of-way line of Airport Drive, a
	distance of 328.07 feet to a 1/2" iron rod found for angle point in
	the south line of said 92.621 acre tract, and being the southeast
	corner of said 52.640 acre tract;
	THENCE South 69°17'46" West with the south line of said 52.640
	acre tract, the north line of said Kittie Hill Acres, passing an
	iron found for the northeast corner of said Tract 1, Kittie Hills
	Acres at a distance of 78.16 feet and continuing a total distance of
	120.34 feet to a 1/2" iron rod found for an angle point in the south
	line of said 52.640 acre tract, and being in the north line of said
	Tract 1, said Kittie Hill Acres;
	THENCE South 69°22'09" West with the south line of said 52.640
	acre tract, the north line of said Tract 1, and the north line of
	said Tract 2 a distance of 681.39 feet to the POINT OF BEGINNING;
	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
	8417, Special District Local Laws Code, as added by Section 1 of
	this Act, is amended by adding Section 8417.107 to read as follows:
	Sec. 8417.107.  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, 2013.
	______________________________	______________________________
	President of the Senate	Speaker of the House
	I certify that H.B. No. 1354 was passed by the House on May 2,
	2013, by the following vote:  Yeas 147, Nays 0, 2 present, not
	voting.
	______________________________
	Chief Clerk of the House
	I certify that H.B. No. 1354 was passed by the Senate on May
	22, 2013, by the following vote:  Yeas 31, Nays 0.
	______________________________
	Secretary of the Senate
	APPROVED:  _____________________
	Date
	_____________________
	Governor