82R7361 NAJ-F
	By: Isaac	H.B. No. 3832

	A BILL TO BE ENTITLED
	AN ACT
	relating to the Hays County Development District No. 1.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Section 1, Chapter 1503, Acts of the 77th
	Legislature, Regular Session, 2001, is amended by amending
	Subsections (a) and (c) and adding Subsection (d) to read as
	follows:
	(a)  The legislature finds that the creation of Hays County
	Development District No. 1 (the "district"), [and] the project
	approved by the Hays County Commissioners Court on January 11, 2000
	(the "project"), and other improvement projects described by
	Section 5A will serve the public purpose of attracting visitors and
	tourists to Hays County and will result in employment and economic
	activity in the manner contemplated by Section 52-a, Article III,
	Texas Constitution, and Chapter 383, Local Government Code.
	(c)  The legislature further finds that the creation and
	operation of the district and the works, projects, improvements,
	and services that are to be promoted, facilitated, and accomplished
	by the district under powers conferred by Sections 52 and 52-a,
	Article III, and Section 59, Article XVI, Texas Constitution, and
	other powers granted under this Act will provide a substantial and
	continuing public use and benefit [and the acquisition or financing
	of the project by the district serve the purpose of Section 59,
	Article XVI, and Section 52, Article III, Texas Constitution, and
	that all steps necessary to create the district have been taken].
	(d)  The legislature further finds that the creation and
	continued operation of the district is essential to accomplish the
	purposes of Sections 52 and 52-a, Article III, and Section 59,
	Article XVI, Texas Constitution, and other public purposes stated
	in this Act.
	SECTION 2.  Section 5, Chapter 1503, Acts of the 77th
	Legislature, Regular Session, 2001, is amended to read as follows:
	Sec. 5.  POWERS.  (a) The district has all of the rights,
	powers, privileges, authority, functions, and duties provided by
	Chapters 375 and 383, Local Government Code, to county development
	districts and municipal management districts and the general laws
	relating to conservation and reclamation districts created under
	Section 59, Article XVI, Texas Constitution, including Chapters 49
	and 54, Water Code.
	(b)  The rights, powers, privileges, authority, functions,
	and duties include, [including] but are not limited to:
	(1)  the authority to levy, assess, and collect ad
	valorem taxes for the purposes approved at the elections conducted
	on November 7, 2000;
	(2)  the authority[, after approval by voters at an
	election conducted within the boundaries of the district,] to levy,
	assess and collect taxes for maintenance and operating purposes in
	the manner set forth in Sections 49.107(a)-(e), Water Code, and for
	the repayment of bonds, notes, warrants, lease purchase agreements,
	certificates of assessment, certificates of participation in lease
	purchase agreements, and other interest-bearing obligations in the
	manner set forth in Sections 49.106(a)-(d), Water Code, and for all
	of the purposes for which the district may expend funds;
	(3)  to establish, levy, and collect special
	assessments in the manner specified in Sections 375.111-375.124,
	Local Government Code; provided, however, that Sections
	375.161-375.163, Local Government Code, shall not apply to the
	assessments imposed by the district;
	(4)  to utilize funds, whether the funds are derived
	from ad valorem taxes, sales and use taxes, hotel occupancy taxes,
	assessments, revenues from the project, or any other source, for
	payment of projects or services in the manner authorized by
	Section 375.181, Local Government Code, Chapter 54, Water Code, and
	Chapter 383, Local Government Code;
	(5)  to enter into obligations, including, but not
	limited to, lease purchase agreements, certificates of
	participation in lease purchase agreements, general obligation
	bonds and notes and revenue bonds and notes, and combination
	general obligation and revenue bonds and notes and other
	interest-bearing obligations, in the manner specified in Sections
	375.201-375.204, Local Government Code. To enter into these
	obligations, the district shall obtain only those approvals
	required for the issuance of obligations by Hays County by Chapter
	53, Acts of the 70th Legislature, Second Called Session, 1987;
	(6)  to adopt the powers of a road district under
	Section 52(b)(3), Article III, Texas Constitution, in the manner
	specified in Sections 53.029(c) and (d), Water Code;
	(7)  to levy, assess, and collect ad valorem taxes to
	make payments on a contract under Sections 49.108(a)-(d), Water
	Code, after obtaining those approvals specified in Section 1,
	Chapter 778, Acts of the 74th Legislature, Regular Session, 1995;
	(8)  to exercise all of the rights, powers, and
	authority of a road district, a municipal management district, and
	a municipal utility district [water control and improvement
	district which are not specifically contradicted by Chapter 383,
	Local Government Code]; [and]
	(9)  to exercise all of the rights, powers, and
	authority granted to the district by this Act, and all of the
	rights, powers, and authority granted to the district by Chapters
	383 and 375, Local Government Code, and Chapters 49 and 54, Water
	Code, which are not contrary to [any provisions of] this Act, to
	finance, construct, or otherwise acquire an improvement project
	described by Section 5A or the project or any element of the project
	identified in the Commissioners Court Order Upon Hearing and
	Granting Petition Requesting the Creation of Hays County
	Development District No. 1 and Appointing Temporary Directors dated
	January 11, 2000, including, but not limited to, a [the] hotel, a
	residential area of a development, a nature trail, a commercial
	activity or endeavor, a [the] golf course, [the] water, sewer,
	drainage, and road improvements, [the] organizational costs, and
	[the] costs of issuance of the obligations of the district; and
	(10)  to purchase a right-of-way.
	SECTION 3.  Chapter 1503, Acts of the 77th Legislature,
	Regular Session, 2001, is amended by adding Sections 5A, 5B, 5C, 5D,
	5E, and 5F to read as follows:
	Sec. 5A.  IMPROVEMENT PROJECTS. (a) The district may
	provide, or it may contract with a governmental or private entity to
	provide, the following types of improvement projects or activities
	in support of or incidental to those projects:
	(1)  a supply and distribution facility or system to
	provide potable and nonpotable water to the residents and
	businesses of the district, including a wastewater collection
	facility;
	(2)  a paved road or street, inside and outside the
	district, to the extent authorized by Section 52, Article III,
	Texas Constitution;
	(3)  the planning, design, construction, improvement,
	and maintenance of:
	(A)  landscaping;
	(B)  highway right-of-way or transit corridor
	beautification and improvement;
	(C)  lighting, banners, and signs;
	(D)  a street or sidewalk;
	(E)  a hiking and cycling path or trail;
	(F)  a pedestrian walkway, skywalk, crosswalk, or
	tunnel;
	(G)  a park, lake, garden, recreational facility,
	sports facility, golf course, open space, scenic area, or related
	exhibit or preserve;
	(H)  a fountain, plaza, or pedestrian mall; or
	(I)  a drainage or storm-water detention
	improvement;
	(4)  protection and improvement of the quality of storm
	water that flows through the district;
	(5)  the planning, design, construction, improvement,
	maintenance, and operation of:
	(A)  a water or sewer facility; or
	(B)  an off-street parking facility or heliport;
	(6)  the planning and acquisition of:
	(A)  public art and sculpture and related exhibits
	and facilities; or
	(B)  an educational and cultural exhibit or
	facility;
	(7)  the planning, design, construction, acquisition,
	lease, rental, improvement, maintenance, installation, and
	management of and provision of furnishings for a facility for:
	(A)  a conference, convention, or exhibition;
	(B)  a manufacturer, consumer, or trade show;
	(C)  a civic, community, or institutional event;
	or
	(D)  an exhibit, display, attraction, special
	event, or seasonal or cultural celebration or holiday;
	(8)  the removal, razing, demolition, or clearing of
	land or improvements in connection with an improvement project;
	(9)  the acquisition and improvement of land or other
	property for the mitigation of the environmental effects of an
	improvement project;
	(10)  the acquisition of property or an interest in
	property in connection with an authorized improvement project;
	(11)  a special or supplemental service for the
	improvement and promotion of the district or an area adjacent to the
	district or for the protection of public health and safety in or
	adjacent to the district, including:
	(A)  advertising;
	(B)  promotion;
	(C)  tourism;
	(D)  health and sanitation;
	(E)  public safety;
	(F)  security;
	(G)  fire protection or emergency medical
	services;
	(H)  business recruitment;
	(I)  development;
	(J)  elimination of traffic congestion; and
	(K)  recreational, educational, or cultural
	improvements, enhancements, and services; or
	(12)  any similar public improvement, facility, or
	service, including a public improvement, facility, or service
	normally provided by a municipal utility district or municipal
	management district.
	(b)  The district may undertake:
	(1)  the project approved by the Hays County
	Commissioners Court on January 11, 2000, wholly or partly; or
	(2)  an improvement project under this section that the
	board determines is necessary to accomplish a public purpose of the
	district.
	Sec. 5B.  CONTRACT POWERS. (a) The district may contract
	with any person to accomplish a district purpose, including to:
	(1)  pay a person for any costs incurred by that person
	on behalf of the district, including all or part of the costs of an
	improvement project, and any interest on those costs; and
	(2)  use, occupy, lease, rent, operate, maintain, or
	manage all or part of an improvement project.
	(b)  The district may apply for and contract with any person
	to receive, administer, and perform a district duty under a
	federal, state, local, or private gift, grant, loan, conveyance,
	transfer, bequest, or other financial assistance arrangement
	relating to the investigation, planning, analysis, study, design,
	acquisition, construction, improvement, completion,
	implementation, or operation by the district or other entity of an
	improvement project.
	(c)  The district may contract with any person to carry out a
	district purpose on the terms and for a period determined by the
	board.
	(d)  A person may contract with the district to carry out a
	district purpose without further statutory or other authorization.
	Sec. 5C.  RULES; ENFORCEMENT. (a) The district may adopt
	rules:
	(1)  to administer or operate the district;
	(2)  for the use, enjoyment, availability, protection,
	security, and maintenance of the district's property, including
	facilities; or
	(3)  to provide for public safety and security in the
	district.
	(b)  The district may enforce its rules by injunctive relief.
	Sec. 5D.  CONFLICT WITH MUNICIPAL RULE, ORDER, OR ORDINANCE.
	To the extent a district rule conflicts with a rule, order, or
	ordinance of a municipality, the municipal rule, order, or
	ordinance controls.
	Sec. 5E.  USE OF ROADWAY, PARK, OR OTHER PUBLIC AREA OR
	FACILITY OF DISTRICT. (a) The board by rule may regulate the
	private use of a public roadway, open space, park, sidewalk, or
	similar public area or facility in the district. A rule may provide
	for the safe and orderly use of public roadways, open spaces, parks,
	sidewalks, and similar public areas or facilities.
	(b)  The board may require a permit for a parade,
	demonstration, celebration, entertainment event, or similar
	nongovernmental activity in or on a public roadway, open space,
	park, sidewalk, or similar public area or facility in the district.
	The board may charge a fee for the permit application or for public
	safety or security services for those facilities in an amount the
	board considers necessary.
	(c)  The board may require a permit or franchise agreement
	with a vendor, concessionaire, exhibitor, or similar private or
	commercial person or organization for the limited use of the area or
	facility in the district on terms and on payment of a permit or
	franchise fee the board may impose.
	Sec. 5F.  BONDS NOT SUBJECT TO JURISDICTION OR SUPERVISION
	OF TEXAS COMMISSION ON ENVIRONMENTAL QUALITY OR MUNICIPALITY. (a)
	The district's bonds and other securities are not subject to the
	jurisdiction or supervision of the Texas Commission on
	Environmental Quality under Chapter 49, Water Code, Chapter 375,
	Local Government Code, or any other law.
	(b)  Sections 375.207 and 375.208, Local Government Code, do
	not apply to the district.
	SECTION 4.  Sections 7(a) and (b), Chapter 1503, Acts of the
	77th Legislature, Regular Session, 2001, are amended to read as
	follows:
	(a)  The district shall [continue to] operate
	administratively as a municipal utility [county development]
	district and, subject to this Act [the provisions hereinafter set
	forth], comply with Subchapters C and D, Chapter 49, Water Code, and
	Subchapter C, Chapter 54, Water Code [383, Local Government Code].
	(b)  Each director who takes office after the effective date
	of the [this] Act of the 82nd Legislature, Regular Session, 2011,
	amending this section shall:
	(1)  own land in [within the boundaries of] the
	district; or
	(2)  be a qualified voter in the district.
	SECTION 5.  Section 8, Chapter 1503, Acts of the 77th
	Legislature, Regular Session, 2001, is amended to read as follows:
	Sec. 8.  LEGISLATIVE FINDINGS.  [The legislature finds that
	the principal function of the district is to provide for
	development and operation of the project, to facilitate economic
	development, and to attract visitors and tourists, which will
	result in employment and economic activity in Hays County.] The
	legislature finds that the district may provide water and sewer,
	landscaping, drainage, and reclamation services to residential
	retail or commercial customers or entertainment venues. The
	district is a district described in Section 49.181(h)(4), Water
	Code.
	SECTION 6.  Section 7(e), Acts of the 77th Legislature,
	Regular Session, 2001, is repealed.
	SECTION 7.  An election to confirm a person who is a member
	of the board of directors of the Hays County Development District
	No. 1 as of May 1, 2011, is not required.
	SECTION 8.  The legislature confirms and validates all
	actions of the Hays County Development District No. 1 that were
	taken before May 1, 2011, including any elections conducted by the
	district, including any election to impose maintenance and
	operation taxes or to adopt the powers of a road district.
	SECTION 9.  (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 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.
	(c)  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 10.  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, 2011.