Bill Text: TX HB4635 | 2019-2020 | 86th Legislature | Enrolled
Bill Title: Relating to the creation of the Orchard Management District No. 1; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2019-06-14 - Effective immediately [HB4635 Detail]
Download: Texas-2019-HB4635-Enrolled.html
H.B. No. 4635 |
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relating to the creation of the Orchard Management District No. 1; | ||
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 C, Title 4, Special District Local Laws | ||
Code, is amended by adding Chapter 3792 to read as follows: | ||
CHAPTER 3792. ORCHARD MANAGEMENT DISTRICT NO. 1 | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 3792.0101. DEFINITIONS. In this chapter: | ||
(1) "Board" means the district's board of directors. | ||
(2) "Commission" means the Texas Commission on | ||
Environmental Quality. | ||
(3) "County" means Fort Bend County | ||
. | ||
(4) "Director" means a board member. | ||
(5) "District" means the Orchard Management District | ||
No. 1. | ||
Sec. 3792.0102. CREATION AND NATURE OF DISTRICT; IMMUNITY. | ||
(a) The district is a special district created under Section 59, | ||
Article XVI, Texas Constitution. | ||
(b) The district is a governmental unit, as provided by | ||
Section 375.004, Local Government Code. | ||
(c) This chapter does not waive any governmental or | ||
sovereign immunity from suit, liability, or judgment that would | ||
otherwise apply to the district. | ||
Sec. 3792.0103. 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. | ||
(b) By creating the district, the legislature has | ||
established a program to accomplish the public purposes set out in | ||
Sections 52 and 52-a, Article III, Texas Constitution. | ||
(c) The creation of the district is necessary to promote, | ||
develop, encourage, and maintain employment, commerce, | ||
transportation, housing, tourism, recreation, the arts, | ||
entertainment, economic development, safety, and the public | ||
welfare in the district. | ||
(d) This chapter and the creation of the district may not be | ||
interpreted to relieve the county or a municipality 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 county or municipal | ||
services provided in the district. | ||
Sec. 3792.0104. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. | ||
(a) 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. | ||
(b) The district is created to serve a public use and | ||
benefit. | ||
(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 and business center; | ||
(3) promote the health, safety, welfare, and enjoyment | ||
of the public by providing pedestrian ways, road facilities, | ||
transit facilities, parking facilities, rail facilities, | ||
recreational facilities, and public art objects 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, and drainage | ||
facilities 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. 3792.0105. 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 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 bonds for the purposes | ||
for which the district is created or to pay the principal of and | ||
interest on the bonds; | ||
(3) right to impose or collect an assessment or tax; or | ||
(4) legality or operation. | ||
Sec. 3792.0106. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES. | ||
All or any part of the area of the district is eligible to be | ||
included in: | ||
(1) a tax increment reinvestment zone created under | ||
Chapter 311, Tax Code; | ||
(2) a tax abatement reinvestment zone created under | ||
Chapter 312, Tax Code; | ||
(3) an enterprise zone created under Chapter 2303, | ||
Government Code; or | ||
(4) an industrial district created under Chapter 42, | ||
Local Government Code. | ||
Sec. 3792.0107. APPLICABILITY OF MUNICIPAL MANAGEMENT | ||
DISTRICTS LAW. Except as otherwise provided by this chapter, | ||
Chapter 375, Local Government Code, applies to the district. | ||
Sec. 3792.0108. LIBERAL CONSTRUCTION OF CHAPTER. This | ||
chapter shall be liberally construed in conformity with the | ||
findings and purposes stated in this chapter. | ||
Sec. 3792.0109. CONFLICTS OF LAW. This chapter prevails | ||
over any provision of general law, including a provision of Chapter | ||
375, Local Government Code, or Chapter 49, Water Code, that is in | ||
conflict or inconsistent with this chapter. | ||
SUBCHAPTER B. BOARD OF DIRECTORS | ||
Sec. 3792.0201. GOVERNING BODY; TERMS. (a) The district is | ||
governed by a board of five directors elected or appointed as | ||
provided by this chapter and Subchapter D, Chapter 49, Water Code. | ||
(b) Except as provided by Section 3792.0203, directors | ||
serve staggered four-year terms. | ||
Sec. 3792.0202. COMPENSATION. A director is entitled to | ||
receive fees of office and reimbursement for actual expenses as | ||
provided by Section 49.060, Water Code. Sections 375.069 and | ||
375.070, Local Government Code, do not apply to the board. | ||
Sec. 3792.0203. 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 according to the most recent certified tax appraisal roll | ||
for the county 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) The temporary directors shall hold an election to elect | ||
five permanent directors as provided by Section 49.102, Water Code. | ||
(c) Temporary directors serve until the earlier of: | ||
(1) the date permanent directors are elected under | ||
Subsection (b); or | ||
(2) the fourth anniversary of the effective date of | ||
the Act enacting this chapter. | ||
(d) If permanent directors have not been elected under | ||
Subsection (b) and the terms of the temporary directors have | ||
expired, successor temporary directors shall be appointed or | ||
reappointed as provided by Subsection (e) to serve terms that | ||
expire on the earlier of: | ||
(1) the date permanent directors are elected under | ||
Subsection (b); or | ||
(2) the fourth anniversary of the date of the | ||
appointment or reappointment. | ||
(e) If Subsection (d) applies, the owner or owners of a | ||
majority of the assessed value of the real property in the district | ||
according to the most recent certified tax appraisal roll for the | ||
county 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. | ||
Sec. 3792.0204. DISQUALIFICATION OF DIRECTORS. Section | ||
49.052, Water Code, applies to the members of the board. | ||
SUBCHAPTER C. POWERS AND DUTIES | ||
Sec. 3792.0301. GENERAL POWERS AND DUTIES. The district | ||
has the powers and duties necessary to accomplish the purposes for | ||
which the district is created. | ||
Sec. 3792.0302. IMPROVEMENT PROJECTS AND SERVICES. (a) | ||
The district, using any money available to the district for the | ||
purpose, may 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. | ||
(b) The district may contract with a governmental or private | ||
entity to carry out an action under Subsection (a). | ||
(c) The implementation of a district project or service is a | ||
governmental function or service for the purposes of Chapter 791, | ||
Government Code. | ||
Sec. 3792.0303. RECREATIONAL FACILITIES. The district may | ||
develop or finance recreational facilities as authorized by Chapter | ||
375, Local Government Code, Sections 52 and 52-a, Article III, | ||
Texas Constitution, Section 59, Article XVI, Texas Constitution, | ||
and any other law that applies to the district. | ||
Sec. 3792.0304. AUTHORITY FOR ROAD PROJECTS. Under Section | ||
52, Article III, Texas Constitution, the district may own, operate, | ||
maintain, design, acquire, construct, finance, issue bonds, notes, | ||
or other obligations for, improve, and convey to this state, a | ||
county, or a municipality for ownership, operation, and maintenance | ||
macadamized, graveled, or paved roads or improvements, including | ||
storm drainage, in aid of those roads. | ||
Sec. 3792.0305. CONVEYANCE AND APPROVAL OF ROAD PROJECT. | ||
(a) The district may convey a road project authorized by Section | ||
3792.0304 to: | ||
(1) a municipality or county that will operate and | ||
maintain the road if the municipality or county has approved the | ||
plans and specifications of the road project; or | ||
(2) the state if the state will operate and maintain | ||
the road and the Texas Transportation Commission has approved the | ||
plans and specifications of the road project. | ||
(b) Except as provided by Subsection (c), the district shall | ||
operate and maintain a road project authorized by Section 3792.0304 | ||
that the district implements and does not convey to a municipality, | ||
a county, or this state under Subsection (a). | ||
(c) The district may agree in writing with a municipality, a | ||
county, or this state to assign operation and maintenance duties to | ||
the district, the municipality, the county, or this state in a | ||
manner other than the manner described in Subsections (a) and (b). | ||
Sec. 3792.0306. RAIL FACILITIES. In addition to the powers | ||
granted under Section 375.0921(b), Local Government Code, the | ||
district may construct, acquire, improve, maintain, finance, and | ||
operate rail facilities and improvements in aid of those facilities | ||
for the transport of freight and other cargo. | ||
Sec. 3792.0307. 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. 3792.0308. LAW ENFORCEMENT SERVICES. Section 49.216, | ||
Water Code, applies to the district. | ||
Sec. 3792.0309. 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. 3792.0310. ECONOMIC DEVELOPMENT PROGRAMS. (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 that: | ||
(1) Chapter 380, Local Government Code, provides to a | ||
municipality; and | ||
(2) Subchapter A, Chapter 1509, Government Code, | ||
provides to a municipality. | ||
Sec. 3792.0311. STRATEGIC PARTNERSHIP AGREEMENT. The | ||
district may negotiate and enter into a written strategic | ||
partnership agreement with a municipality under Section 43.0751, | ||
Local Government Code. | ||
Sec. 3792.0312. REGIONAL PARTICIPATION AGREEMENT. The | ||
district may negotiate and enter into a written regional | ||
participation agreement with a municipality under Section 43.0754, | ||
Local Government Code. | ||
Sec. 3792.0313. PARKING FACILITIES. (a) The district may | ||
acquire, lease as lessor or lessee, construct, develop, own, | ||
operate, and maintain parking facilities or a system of parking | ||
facilities, including lots, garages, parking terminals, or other | ||
structures or accommodations for parking motor vehicles off the | ||
streets and related appurtenances. | ||
(b) The district's parking facilities serve the public | ||
purposes of the district and are owned, used, and held for a public | ||
purpose even if leased or operated by a private entity for a term of | ||
years. | ||
(c) The district's parking facilities are parts of and | ||
necessary components of a street and are considered to be a street | ||
or road improvement. | ||
(d) The development and operation of the district's parking | ||
facilities may be considered an economic development program. | ||
Sec. 3792.0314. ADDING OR EXCLUDING LAND. (a) The district | ||
may add land as provided by Subchapter J, Chapter 49, Water Code. | ||
(b) The district may exclude land as provided by Subchapter | ||
J, Chapter 49, Water Code. Section 375.044(b), Local Government | ||
Code, does not apply to the district. | ||
(c) The district may include and exclude land as provided by | ||
Sections 54.739-54.747, Water Code. A reference in those sections | ||
to a "tax" means an ad valorem tax for the purposes of this | ||
subsection. | ||
(d) If the district adopts a sales and use tax authorized at | ||
an election held under Section 3792.0602 and subsequently includes | ||
new territory in the district under this section, the district: | ||
(1) is not required to hold another election to | ||
approve the imposition of the sales and use tax in the included | ||
territory; and | ||
(2) shall impose the sales and use tax in the included | ||
territory as provided by Chapter 321, Tax Code. | ||
(e) If the district adopts a sales and use tax authorized at | ||
an election held under Section 3792.0602 and subsequently excludes | ||
territory in the district under this section, the sales and use tax | ||
is inapplicable to the excluded territory, as provided by Chapter | ||
321, Tax Code, but is applicable to the territory remaining in the | ||
district. | ||
Sec. 3792.0315. 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. 3792.0316. AUDIT EXEMPTION. (a) The district may | ||
elect to complete an annual financial report in lieu of an annual | ||
audit under Section 375.096(a)(6), Local Government Code, if: | ||
(1) the district had no bonds or other long-term (more | ||
than one year) liabilities outstanding during the fiscal period; | ||
(2) the district did not have gross receipts from | ||
operations, loans, taxes, assessments, or contributions in excess | ||
of $250,000 during the fiscal period; and | ||
(3) the district's cash and temporary investments were | ||
not in excess of $250,000 during the fiscal period. | ||
(b) Each annual financial report prepared in accordance | ||
with this section must be open to public inspection and accompanied | ||
by an affidavit signed by a duly authorized representative of the | ||
district attesting to the accuracy and authenticity of the | ||
financial report. | ||
(c) The annual financial report and affidavit shall be | ||
substantially similar in form to the annual financial report and | ||
affidavit forms prescribed by the executive director of the | ||
commission under Section 49.198, Water Code. | ||
Sec. 3792.0317. NO EMINENT DOMAIN POWER. The district may | ||
not exercise the power of eminent domain. | ||
SUBCHAPTER D. ASSESSMENTS | ||
Sec. 3792.0401. 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 | ||
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. 3792.0402. 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. 3792.0403. 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. | ||
SUBCHAPTER E. TAXES AND BONDS | ||
Sec. 3792.0501. TAX ELECTION REQUIRED. The district must | ||
hold an election in the manner provided by Chapter 49, Water Code, | ||
or, if applicable, Chapter 375, Local Government Code, to obtain | ||
voter approval before the district may impose an ad valorem tax. | ||
Sec. 3792.0502. OPERATION AND MAINTENANCE TAX. (a) If | ||
authorized by a majority of the district voters voting at an | ||
election under Section 3792.0501, the district may impose an | ||
operation and maintenance tax on taxable property in the district | ||
in the manner provided by 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 operation and maintenance | ||
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. 3792.0503. 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, by competitive bid or negotiated sale, 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. | ||
(c) The limitation on the outstanding principal amount of | ||
bonds, notes, or other obligations provided by Section 49.4645, | ||
Water Code, does not apply to the district. | ||
Sec. 3792.0504. BONDS SECURED BY REVENUE OR CONTRACT | ||
PAYMENTS. The district may issue, without an election, bonds | ||
secured by: | ||
(1) revenue other than ad valorem taxes, including | ||
contract revenues; or | ||
(2) contract payments, provided that the requirements | ||
of Section 49.108, Water Code, have been met. | ||
Sec. 3792.0505. BONDS SECURED BY AD VALOREM TAXES; | ||
ELECTIONS. (a) If authorized at an election under Section | ||
3792.0501, the district may issue bonds payable from ad valorem | ||
taxes. | ||
(b) Section 375.243, Local Government Code, does not apply | ||
to the district. | ||
(c) 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. | ||
(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. 3792.0506. CONSENT OF MUNICIPALITY REQUIRED. (a) The | ||
board may not hold an election under Section 3792.0501, issue | ||
bonds, or incur any debt 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. | ||
(b) This section applies only to the district's first | ||
issuance of bonds payable from ad valorem taxes. | ||
SUBCHAPTER F. SALES AND USE TAX | ||
Sec. 3792.0601. APPLICABILITY OF CERTAIN TAX CODE | ||
PROVISIONS. (a) Chapter 321, Tax Code, governs the imposition, | ||
computation, administration, enforcement, and collection of the | ||
sales and use tax authorized by this subchapter except to the extent | ||
Chapter 321, Tax Code, is inconsistent with this chapter. | ||
(b) A reference in Chapter 321, Tax Code, to a municipality | ||
or the governing body of a municipality is a reference to the | ||
district or the board, respectively. | ||
Sec. 3792.0602. ELECTION; ADOPTION OF TAX. (a) The | ||
district may adopt a sales and use tax if authorized by a majority | ||
of the voters of the district voting at an election held for that | ||
purpose. | ||
(b) The board by order may call an election to authorize the | ||
adoption of the sales and use tax. The election may be held on any | ||
uniform election date and in conjunction with any other district | ||
election. | ||
(c) The ballot shall be printed to provide for voting for or | ||
against the proposition: "Authorization of a sales and use tax in | ||
the Orchard Management District No. 1 at a rate not to exceed ____ | ||
percent" (insert rate of one or more increments of one-eighth of one | ||
percent). | ||
Sec. 3792.0603. SALES AND USE TAX RATE. (a) On or after the | ||
date the results are declared of an election held under Section | ||
3792.0602, at which the voters approved imposition of the tax | ||
authorized by this subchapter, the board shall determine and adopt | ||
by resolution or order the initial rate of the tax, which must be in | ||
one or more increments of one-eighth of one percent. | ||
(b) After the election held under Section 3792.0602, the | ||
board may increase or decrease the rate of the tax by one or more | ||
increments of one-eighth of one percent. | ||
(c) The initial rate of the tax or any rate resulting from | ||
subsequent increases or decreases may not exceed the lesser of: | ||
(1) the maximum rate authorized by the district voters | ||
at the election held under Section 3792.0602; or | ||
(2) a rate that, when added to the rates of all sales | ||
and use taxes imposed by other political subdivisions with | ||
territory in the district, would result in the maximum combined | ||
rate prescribed by Section 321.101(f), Tax Code, at any location in | ||
the district. | ||
Sec. 3792.0604. TAX AFTER MUNICIPAL ANNEXATION. (a) This | ||
section applies to the district after a municipality annexes part | ||
of the territory in the district and imposes the municipality's | ||
sales and use tax in the annexed territory. | ||
(b) If at the time of annexation the district has | ||
outstanding debt or other obligations payable wholly or partly from | ||
district sales and use tax revenue, Section 321.102(g), Tax Code, | ||
applies to the district. | ||
(c) If at the time of annexation the district does not have | ||
outstanding debt or other obligations payable wholly or partly from | ||
district sales and use tax revenue, the district may: | ||
(1) exclude the annexed territory from the district, | ||
if the district has no outstanding debt or other obligations | ||
payable from any source; or | ||
(2) reduce the sales and use tax in the annexed | ||
territory by resolution or order of the board to a rate that, when | ||
added to the sales and use tax rate imposed by the municipality in | ||
the annexed territory, is equal to the sales and use tax rate | ||
imposed by the district in the district territory that was not | ||
annexed by the municipality. | ||
Sec. 3792.0605. NOTIFICATION OF RATE CHANGE. The board | ||
shall notify the comptroller of any changes made to the tax rate | ||
under this subchapter in the same manner the municipal secretary | ||
provides notice to the comptroller under Section 321.405(b), Tax | ||
Code. | ||
Sec. 3792.0606. USE OF REVENUE. Revenue from the sales and | ||
use tax imposed under this subchapter is for the use and benefit of | ||
the district and may be used for any district purpose. The district | ||
may pledge all or part of the revenue to the payment of bonds, | ||
notes, or other obligations, and that pledge of revenue may be in | ||
combination with other revenue, including tax revenue, available to | ||
the district. | ||
Sec. 3792.0607. ABOLITION OF TAX. (a) Except as provided | ||
by Subsection (b), the board may abolish the tax imposed under this | ||
subchapter without an election. | ||
(b) The board may not abolish the tax imposed under this | ||
subchapter if the district has outstanding debt secured by the tax, | ||
and repayment of the debt would be impaired by the abolition of the | ||
tax. | ||
(c) If the board abolishes the tax, the board shall notify | ||
the comptroller of that action in the same manner the municipal | ||
secretary provides notice to the comptroller under Section | ||
321.405(b), Tax Code. | ||
(d) If the board abolishes the tax or decreases the tax rate | ||
to zero, a new election to authorize a sales and use tax must be held | ||
under Section 3792.0602 before the district may subsequently impose | ||
the tax. | ||
(e) This section does not apply to a decrease in the sales | ||
and use tax authorized under Section 3792.0604(c)(2). | ||
SUBCHAPTER I. DISSOLUTION | ||
Sec. 3792.0901. DISSOLUTION. (a) The board shall dissolve | ||
the district on written petition filed with the board by the owners | ||
of: | ||
(1) 66 percent or more of the assessed value of the | ||
property subject to assessment by the district based on the most | ||
recent certified county property tax rolls; or | ||
(2) 66 percent or more of the surface area of the | ||
district, excluding roads, streets, highways, utility | ||
rights-of-way, other public areas, and other property exempt from | ||
assessment by the district according to the most recent certified | ||
county property tax rolls. | ||
(b) The board by majority vote may dissolve the district at | ||
any time. | ||
(c) The district may not be dissolved by its board under | ||
Subsection (a) or (b) if the district: | ||
(1) has any outstanding bonded indebtedness until that | ||
bonded indebtedness has been repaid or defeased in accordance with | ||
the order or resolution authorizing the issuance of the bonds; | ||
(2) has a contractual obligation to pay money until | ||
that obligation has been fully paid in accordance with the | ||
contract; or | ||
(3) owns, operates, or maintains public works, | ||
facilities, or improvements unless the district contracts with | ||
another person for the ownership, operation, or maintenance of the | ||
public works, facilities, or improvements. | ||
(d) Sections 375.261, 375.262, and 375.264, Local | ||
Government Code, do not apply to the district. | ||
SECTION 2. The Orchard Management District No. 1 initially | ||
includes all the territory contained in the following area: | ||
A Field Note Description of 920 Acres of Land, more or less, | ||
being the Easterly 287.5 Acres of Land, more or less, of the German | ||
Emigration Company Survey No. 6, Abstract 176 and 632.5 Acres of | ||
Land, more or less, being the remainder of the David Scott Heirs | ||
Survey, Abstract 316, Fort Bend County, Texas. | ||
Beginning at a point in the South line of the Gail Borden | ||
League, Abstract 12 marking the Northwest corner of the Peter | ||
McGreal Survey, Abstract 338 and Northeast corner of said German | ||
Emigration Company Survey No. 6, Abstract 176 and the Northeast | ||
corner of and place of beginning for this 920 Acre Tract; | ||
THENCE, South, 3279.63 feet, more or less, along the East | ||
line of said German Emigration Company Survey No. 6, Abstract 176 | ||
and the West line of said Peter McGreal Survey, Abstract 338 to the | ||
Southeast corner of said German Emigration Company Survey No. 6, | ||
Abstract 176 and the Southwest corner of said Peter McGreal Survey, | ||
Abstract 338 to a point marking a re-entrant corner for this tract; | ||
THENCE, East, 1120 feet, more or less, along the North line of | ||
the David Scott Heirs Survey, Abstract 316 and the South line of | ||
said Peter McGreal Survey, Abstract 338 to a point marking the | ||
Northeast corner of said David Scott Heirs Survey, Abstract 316 and | ||
Northwest corner of the German Emigration Company Survey No. 8, | ||
Abstract 177 and marking a Southerly Northeast corner for this | ||
tract; | ||
THENCE, South, 5445 feet, more or less, along the East line of | ||
said David Scott Heirs Survey, Abstract 316 and West line of said | ||
German Emigration Company Survey No. 8, Abstract 177 and Heirs of | ||
L. Burknapp Survey, Abstract 109 to the Southeast corner of said | ||
David Scott Heirs Survey, Abstract 316 for the Southeast corner of | ||
this tract; said corner also marking the Northeast corner of the | ||
Mark Smith Survey, Abstract 314; | ||
THENCE, West, 5060 feet, more or less, along the North line of | ||
the Mark Smith Survey, Abstract 314 and South line of said David | ||
Scott Heirs Survey, Abstract 316 to a point in the East right-of-way | ||
line of State Farm Market Road No. 1489 marking the Southwest | ||
corner for this tract; | ||
THENCE, North, along said East right-of-way line of said | ||
State Farm Market Road No. 1489, at 5445 feet, more or less, pass | ||
the North line of said David Scott Heirs Survey, Abstract 316 and | ||
South line of said German Emigration Company Survey No. 6, Abstract | ||
176, in all 7487.25 feet, more or less, to the point of curve to the | ||
right; | ||
THENCE, Continuing along said Southeast right-of-way line of | ||
State Farm Market Road No. 1489, Northeasterly along a curve to the | ||
right with the following data: Delta=63degrees 19'06', | ||
Radius=1086.28 feet, Length=1200.48 feet and Chord= North | ||
31deg.39'33" East, 1140.3 feet, more or less to point of tangency; | ||
THENCE, North 63deg.19'06" East, 594.11 feet, more or less | ||
along said Southeast right-of-way line of State Farm Market Road | ||
No. 1489 to a point in the South line of said Gail Borden League, | ||
Abstract 12 marking the Northwest corner for this tract; | ||
THENCE, East, 2810.65 feet, more or less, along said South | ||
line of said Gail Borden League, Abstract 12 and North line of said | ||
German Emigration Company Survey No. 6 to the place of beginning | ||
and containing 920 Acres of Land, more or less. | ||
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) 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, 2019. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I certify that H.B. No. 4635 was passed by the House on May 3, | ||
2019, by the following vote: Yeas 130, Nays 10, 2 present, not | ||
voting; and that the House concurred in Senate amendments to H.B. | ||
No. 4635 on May 23, 2019, by the following vote: Yeas 124, Nays 18, | ||
1 present, not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
I certify that H.B. No. 4635 was passed by the Senate, with | ||
amendments, on May 21, 2019, by the following vote: Yeas 29, Nays | ||
2. | ||
______________________________ | ||
Secretary of the Senate | ||
APPROVED: __________________ | ||
Date | ||
__________________ | ||
Governor |