83R16752 JXC-F
	By: S. Davis of Harris	H.B. No. 3930

	A BILL TO BE ENTITLED
	AN ACT
	relating to the creation of Saint George Place Management District;
	providing authority to issue bonds; providing authority to impose
	assessments, fees, or taxes.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subtitle C, Title 4, Special District Local Laws
	Code, is amended by adding Chapter 3925 to read as follows:
	CHAPTER 3925.  SAINT GEORGE PLACE MANAGEMENT DISTRICT
	SUBCHAPTER A.  GENERAL PROVISIONS
	Sec. 3925.001.  DEFINITIONS. In this chapter:
	(1)  "Board" means the district's board of directors.
	(2)  "City" means the City of Houston.
	(3)  "County" means Harris County.
	(4)  "Director" means a board member.
	(5)  "District" means the Saint George Place Management
	District.
	(6)  "Zone" means the Tax Increment Reinvestment Zone
	No. One, City of Houston, Texas, designated by the city in Ordinance
	No. 90-1452, dated December 12, 1990.
	Sec. 3925.002.  NATURE OF DISTRICT. The Saint George Place
	Management District is a special district created under Section 59,
	Article XVI, Texas Constitution.
	Sec. 3925.003.  PURPOSE; DECLARATION OF INTENT. (a) The
	creation 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
	chapter. By creating the district and in authorizing the city, the
	county, and other political subdivisions to contract with the
	district, the legislature has established a program to accomplish
	the public purposes set out in Section 52-a, Article III, Texas
	Constitution.
	(b)  The creation of the district is necessary to promote,
	develop, encourage, and maintain commerce, transportation,
	housing, recreation, economic development, safety, and the public
	welfare in the district.
	(c)  This chapter and the creation of the district may not be
	interpreted to relieve the city or the county from providing the
	level of services provided as of the effective date of the Act
	enacting this chapter to the area in the district. The district is
	created to supplement and not to supplant city or county services
	provided in the district.
	Sec. 3925.004.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a)
	The district is created to serve a public use and benefit.
	(b)  All land and other property included in the district
	will benefit from the improvements and services to be provided 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 chapter.
	(c)  The creation of the district is in the public interest
	and is essential to further the public purposes of:
	(1)  developing and diversifying the economy of the
	state;
	(2)  eliminating unemployment and underemployment; and
	(3)  developing or expanding transportation and
	commerce.
	(d)  The district will:
	(1)  promote the health, safety, and general welfare of
	residents, employers, potential employees, employees, visitors,
	and consumers in the district, and of the public;
	(2)  provide needed funding for the district to
	preserve, maintain, and enhance the economic health and vitality of
	the district territory as a community;
	(3)  promote the health, safety, welfare, and enjoyment
	of the public by providing pedestrian ways and by landscaping and
	developing certain areas in the district, which are necessary for
	the restoration, preservation, and enhancement of scenic beauty;
	and
	(4)  provide for water, wastewater, drainage, road,
	sound barrier and security walls, recreational facilities, and city
	code enforcement for the district.
	(e)  Pedestrian ways along or across a street, whether at
	grade or above or below the surface, and street lighting, street
	landscaping, parking, and street art objects are parts of and
	necessary components of a street and are considered to be a street
	or road improvement.
	(f)  The district will not act as the agent or
	instrumentality of any private interest even though the district
	will benefit many private interests as well as the public.
	Sec. 3925.005.  INITIAL DISTRICT TERRITORY. The district is
	initially composed of the territory described by Section 2 of the
	Act enacting this chapter.
	Sec. 3925.006.  APPLICABILITY OF MUNICIPAL MANAGEMENT
	DISTRICTS LAW. Except as otherwise provided by this chapter,
	Chapter 375, Local Government Code, applies to the district.
	Sec. 3925.007.  CONSTRUCTION OF CHAPTER. This chapter shall
	be liberally construed in conformity with the findings and purposes
	stated in this chapter.
	SUBCHAPTER B. BOARD OF DIRECTORS
	Sec. 3925.051.  GOVERNING BODY; TERMS. (a) The district is
	governed by a board of nine voting directors.
	(b)  Except as provided by Section 3925.052, the directors of
	the zone are the voting directors of the board  and their terms as
	directors of the district are coterminous with their terms as
	directors of the zone.
	Sec. 3925.052.  VOTING DIRECTORS IF ZONE DISSOLVED; TERMS.
	(a)  If the zone is dissolved, the mayor and members of the
	governing body of the city shall appoint voting directors from
	persons recommended by the board. A person is appointed if a
	majority of the members of the governing body and the mayor vote to
	appoint that person.
	(b)  Directors appointed under Subsection (a) serve
	staggered terms of four years, with four or five directors' terms
	expiring June 1 of each odd-numbered year. The initial directors
	appointed under Subsection (a) shall establish the staggered terms
	of each initial director by lot.
	Sec. 3925.053.  NONVOTING DIRECTORS. The board may appoint
	nonvoting directors to serve at the pleasure of the voting
	directors.
	Sec. 3925.054.  VACANCY IF ZONE DISSOLVED.  If a vacancy
	occurs on the board after the zone is dissolved, the remaining
	directors shall appoint a director for the remainder of the
	unexpired term.
	Sec. 3925.055.  QUORUM. For purposes of determining the
	requirements for a quorum of the board, the following are not
	counted:
	(1)  a board position vacant for any reason, including
	death, resignation, or disqualification;
	(2)  a director who is abstaining from participation in
	a vote because of a conflict of interest; or
	(3)  a nonvoting director.
	SUBCHAPTER C. POWERS AND DUTIES
	Sec. 3925.101.  GENERAL POWERS AND DUTIES. The district has
	the powers and duties necessary to accomplish the purposes for
	which the district is created.
	Sec. 3925.102.  IMPROVEMENT PROJECTS AND SERVICES. The
	district may provide, design, construct, acquire, improve,
	relocate, operate, maintain, or finance an improvement project or
	service using any money available to the district, or contract with
	a governmental or private entity to provide, design, construct,
	acquire, improve, relocate, operate, maintain, or finance an
	improvement project or service authorized under this chapter or
	Chapter 375, Local Government Code.
	Sec. 3925.103.  DEVELOPMENT CORPORATION POWERS. The
	district, using money available to the district, may exercise the
	powers given to a development corporation under Chapter 505, Local
	Government Code, including the power to own, operate, acquire,
	construct, lease, improve, or maintain a project under that
	chapter.
	Sec. 3925.104.  NONPROFIT CORPORATION. (a) The board by
	resolution may authorize the creation of a nonprofit corporation to
	assist and act for the district in implementing a project or
	providing a service authorized by this chapter.
	(b)  The nonprofit corporation:
	(1)  has each power of and is considered to be a local
	government corporation created under Subchapter D, Chapter 431,
	Transportation Code; and
	(2)  may implement any project and provide any service
	authorized by this chapter.
	(c)  The board shall appoint the board of directors of the
	nonprofit corporation. The board of directors of the nonprofit
	corporation shall serve in the same manner as the board of directors
	of a local government corporation created under Subchapter D,
	Chapter 431, Transportation Code, except that a board member is not
	required to reside in the district.
	Sec. 3925.105.  AGREEMENTS; GRANTS. (a) As provided by
	Chapter 375, Local Government Code, the district may make an
	agreement with or accept a gift, grant, or loan from any person.
	(b)  The district may enter into an agreement with the city
	to administer and enforce a city zoning ordinance applicable to the
	district in the territory of the district.
	(c)  The implementation of a project is a governmental
	function or service for the purposes of Chapter 791, Government
	Code.
	Sec. 3925.106.  LAW ENFORCEMENT SERVICES. To protect the
	public interest, the district may contract with a qualified party,
	including the county or the city, to provide law enforcement or
	security services in the district.
	Sec. 3925.107.  MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
	district may join and pay dues to a charitable or nonprofit
	organization that performs a service or provides an activity
	consistent with the furtherance of a district purpose.
	Sec. 3925.108.  ECONOMIC DEVELOPMENT. (a) The district may
	engage in activities that accomplish the economic development
	purposes of the district.
	(b)  The district may establish and provide for the
	administration of one or more programs to promote state or local
	economic development and to stimulate business and commercial
	activity in the district, including programs to:
	(1)  make loans and grants of public money; and
	(2)  provide district personnel and services.
	(c)  The district may create economic development programs
	and exercise the economic development powers provided to
	municipalities by:
	(1)  Chapter 380, Local Government Code; and
	(2)  Subchapter A, Chapter 1509, Government Code.
	Sec. 3925.109.  APPROVAL BY CITY.  (a)  Except as provided by
	Subsection (c), the district must obtain the approval of the city
	for:
	(1)  the issuance of bonds that require the approval of
	the attorney general;
	(2)  the plans and specifications of an improvement
	project financed by bonds; and
	(3)  the plans and specifications of an improvement
	project related to the use of land owned by the city, an easement
	granted by the city, or a right-of-way of a street, road, or
	highway.
	(b)  The district may not issue bonds until the governing
	body of the city adopts a resolution or ordinance authorizing the
	issuance of the bonds.
	(c)  If the district obtains the approval of the governing
	body of the city of a capital improvements budget for a period not
	to exceed 10 years, the district may finance the capital
	improvements and issue bonds specified in the budget without
	further approval from the city.
	(d)  The governing body of the city:
	(1)  is not required to adopt a resolution or ordinance
	to approve plans and specifications described by Subsection (a);
	and
	(2)  may establish an administrative process to approve
	plans and specifications described by Subsection (a) without the
	involvement of the governing body.
	Sec. 3925.110.  NO EMINENT DOMAIN POWER.  The district may
	not exercise the power of eminent domain.
	SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS; ASSESSMENTS
	Sec. 3925.151.  DISBURSEMENTS AND TRANSFERS OF MONEY. The
	board by resolution shall establish the number of directors'
	signatures and the procedure required for a disbursement or
	transfer of district money.
	Sec. 3925.152.  MONEY USED FOR IMPROVEMENTS OR SERVICES.
	The district may acquire, construct, finance, operate, or maintain
	any improvement or service authorized under this chapter or Chapter
	375, Local Government Code, using any money available to the
	district.
	Sec. 3925.153.  PETITION REQUIRED FOR FINANCING SERVICES AND
	IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
	service or improvement project with assessments under this chapter
	unless a written petition requesting that service or improvement
	for all or part of the district has been filed with the board.
	(b)  A petition filed under Subsection (a) must be signed by
	the owners of a majority of the assessed value of real property in
	the district subject to assessment according to the most recent
	certified tax appraisal roll for the county.
	Sec. 3925.154.  METHOD OF NOTICE FOR HEARING. The district
	may mail the notice required by Section 375.115(c), Local
	Government Code, by certified or first class United States mail.
	The board shall determine the method of notice.
	Sec. 3925.155.  ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
	The board by resolution may impose and collect an assessment for any
	purpose authorized by this chapter in all or any part of the
	district.
	(b)  An assessment, a reassessment, or an assessment
	resulting from an addition to or correction of the assessment roll
	by the district, penalties and interest on an assessment or
	reassessment, an expense of collection, and reasonable attorney's
	fees incurred by the district:
	(1)  are a first and prior lien against the property
	assessed;
	(2)  are superior to any other lien or claim other than
	a lien or claim for county, school district, or municipal ad valorem
	taxes; and
	(3)  are the personal liability of and a charge against
	the owners of the property even if the owners are not named in the
	assessment proceedings.
	(c)  The lien is effective from the date of the board's
	resolution imposing the assessment until the date the assessment is
	paid. The board may enforce the lien in the same manner that the
	board may enforce an ad valorem tax lien against real property.
	(d)  The board may make a correction to or deletion from the
	assessment roll that does not increase the amount of assessment of
	any parcel of land without providing notice and holding a hearing in
	the manner required for additional assessments.
	Sec. 3925.156.  RESIDENTIAL PROPERTY NOT EXEMPT.  Section
	375.161, Local Government Code, does not apply to the district.
	Sec. 3925.157.  TAX AND ASSESSMENT ABATEMENT.  The district
	may designate reinvestment zones and may grant abatements of
	district taxes or assessments on property in the zones.
	SUBCHAPTER E. TAXES AND BONDS
	Sec. 3925.201.  ELECTIONS REGARDING TAXES AND BONDS. (a)
	The district may issue, without an election, bonds, notes, and
	other obligations secured by revenue other than ad valorem taxes.
	(b)  The district must hold an election in the manner
	provided by Subchapter L, Chapter 375, Local Government Code, to
	obtain voter approval before the district may impose an ad valorem
	tax or issue bonds payable from ad valorem taxes.
	(c)  Section 375.243, Local Government Code, does not apply
	to the district.
	(d)  All or any part of any facilities or improvements that
	may be acquired by a district by the issuance of its bonds may be
	submitted as a single proposition or as several propositions to be
	voted on at the election.
	Sec. 3925.202.  OPERATION AND MAINTENANCE TAX. (a) If
	authorized by a majority of the district voters voting at an
	election held in accordance with Section 3925.201, the district may
	impose an operation and maintenance tax on taxable property in the
	district in accordance with Section 49.107, Water Code, for any
	district purpose, including to:
	(1)  maintain and operate the district;
	(2)  construct or acquire improvements; or
	(3)  provide a service.
	(b)  The board shall determine the tax rate. The rate may not
	exceed the rate approved at the election.
	(c)  Section 49.107(h), Water Code, does not apply to the
	district.
	Sec. 3925.203.  AUTHORITY TO BORROW MONEY AND TO ISSUE BONDS
	AND OTHER OBLIGATIONS. (a) The district may borrow money on terms
	determined by the board.
	(b)  The district may issue bonds, notes, or other
	obligations payable wholly or partly from ad valorem taxes,
	assessments, impact fees, revenue, contract payments, grants, or
	other district money, or any combination of those sources of money,
	to pay for any authorized district purpose.
	Sec. 3925.204.  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 annual ad valorem tax, without limit as to rate or amount,
	for each year that 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. 3925.205.  CITY NOT REQUIRED TO PAY DISTRICT
	OBLIGATIONS. Except as provided by Section 375.263, Local
	Government Code, the city is not required to pay a bond, note, or
	other obligation of the district.
	SUBCHAPTER F. PUBLIC IMPROVEMENT DISTRICT DISSOLUTION
	Sec. 3925.251.  PUBLIC IMPROVEMENT DISTRICT DISSOLUTION.
	(a) The city shall dissolve a public improvement district created
	by the city under Chapter 372, Local Government Code, that is in the
	boundaries of the district if:
	(1)  the board imposes an assessment under Section
	3925.155; or
	(2)  district voters approve an ad valorem tax under
	Section 3925.202.
	(b)  A public improvement district that is dissolved under
	this section shall remain in effect for the purposes of meeting
	obligations of indebtedness and collecting delinquent assessments.
	SECTION 2.  The Saint George Place Management District
	initially includes all territory contained in the Tax Increment
	Reinvestment Zone No. One, City of Houston, Texas, designated by
	the City of Houston in Ordinance No. 90-1452, dated December 12,
	1990, as that zone is configured on the effective date of this Act.
	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,
	lieutenant governor, and speaker of the house of representatives
	within the required time.
	(d)  The general law relating to consent by political
	subdivisions to the creation of districts with conservation,
	reclamation, and road powers and the inclusion of land in those
	districts has been complied with.
	(e)  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 have been
	fulfilled and accomplished.
	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, 2013.