Bill Text: TX HB4640 | 2019-2020 | 86th Legislature | Enrolled

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Bill Title: Relating to the creation of the Montgomery County Municipal Utility District No. 176 of Montgomery County; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Passed) 2019-06-10 - Effective on 9/1/19 [HB4640 Detail]

Download: Texas-2019-HB4640-Enrolled.html

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H.B. No. 4640

AN ACT
relating to the creation of the Montgomery County Municipal Utility
District No. 176 of Montgomery 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 8084 to read as follows:
CHAPTER 8084. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO.
176 OF MONTGOMERY COUNTY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8084.0101. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "City" means the City of Willis, Texas.
(3) "Commission" means the Texas Commission on
Environmental Quality.
(4) "Director" means a board member.
(5) "District" means the Montgomery County Municipal
Utility District No. 176 of Montgomery County.
Sec. 8084.0102. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 8084.0103. CONFIRMATION AND DIRECTOR ELECTION
REQUIRED. The temporary directors shall hold an election to
confirm the creation of the district and to elect five permanent
directors as provided by Section 49.102, Water Code.
Sec. 8084.0104. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section
8084.0103 until each municipality in whose corporate limits or
extraterritorial jurisdiction the district is located has
consented by ordinance or resolution to the creation of the
district and to the inclusion of land in the district.
Sec. 8084.0105. FINDINGS OF PUBLIC PURPOSE AND BENEFIT.
(a) The district is created to serve a public purpose and benefit.
(b) The district is created to accomplish the purposes of:
(1) a municipal utility district as provided by
general law and Section 59, Article XVI, Texas Constitution; and
(2) Section 52, Article III, Texas Constitution, that
relate to the construction, acquisition, improvement, operation,
or maintenance of macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Sec. 8084.0106. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section 2 of the Act enacting this chapter.
(b) The boundaries and field notes contained in Section 2 of
the Act enacting this chapter form a closure. A mistake made in the
field notes or in copying the field notes in the legislative process
does not affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for the purposes
for which the district is created or to pay the principal of and
interest on a bond;
(3) right to impose a tax; or
(4) legality or operation.
Sec. 8084.0107. EFFECT OF ANNEXATION. Notwithstanding any
other law, if any of the territory of the district is annexed by the
city into the city's corporate limits, the district:
(1) retains all of the district's outstanding debt and
obligations; and
(2) is not dissolved.
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8084.0201. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 8084.0202, directors
serve staggered four-year terms.
Sec. 8084.0202. TEMPORARY DIRECTORS. (a) On or after
September 1, 2019, 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 8084.0103; or
(2) September 1, 2023.
(c) If permanent directors have not been elected under
Section 8084.0103 and the terms of the temporary directors have
expired, successor temporary directors shall be appointed or
reappointed as provided by Subsection (d) to serve terms that
expire on the earlier of:
(1) the date permanent directors are elected under
Section 8084.0103; or
(2) the fourth anniversary of the date of the
appointment or reappointment.
(d) If Subsection (c) applies, the owner or owners of a
majority of the assessed value of the real property in the district
may submit a petition to the commission requesting that the
commission appoint as successor temporary directors the five
persons named in the petition. The commission shall appoint as
successor temporary directors the five persons named in the
petition.
SUBCHAPTER C. POWERS AND DUTIES
Sec. 8084.0301. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 8084.0302. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8084.0303. AUTHORITY FOR ROAD PROJECTS. Under Section
52, Article III, Texas Constitution, the district may design,
acquire, construct, finance, issue bonds for, improve, operate,
maintain, and convey to this state, a county, or a municipality for
operation and maintenance macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Sec. 8084.0304. ROAD STANDARDS AND REQUIREMENTS. (a) A
road project must meet all applicable construction standards,
zoning and subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the road project is located.
(b) If a road project is not located in the corporate limits
or extraterritorial jurisdiction of a municipality, the road
project must meet all applicable construction standards,
subdivision requirements, and regulations of each county in which
the road project is located.
(c) If the state will maintain and operate the road, the
Texas Transportation Commission must approve the plans and
specifications of the road project.
Sec. 8084.0305. COMPLIANCE WITH MUNICIPAL CONSENT
ORDINANCE OR RESOLUTION. The district shall comply with all
applicable requirements of any ordinance or resolution that is
adopted under Section 54.016 or 54.0165, Water Code, and that
consents to the creation of the district or to the inclusion of land
in the district.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8084.0401. ELECTIONS REGARDING TAXES OR BONDS. (a)
The district may issue, without an election, bonds and other
obligations secured by:
(1) revenue other than ad valorem taxes; or
(2) contract payments described by Section 8084.0403.
(b) The district must hold an election in the manner
provided by Chapters 49 and 54, Water Code, to obtain voter approval
before the district may impose an ad valorem tax or issue bonds
payable from ad valorem taxes.
(c) The district may not issue bonds payable from ad valorem
taxes to finance a road project unless the issuance is approved by a
vote of a two-thirds majority of the district voters voting at an
election held for that purpose.
Sec. 8084.0402. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8084.0401, the
district may impose an operation and maintenance tax on taxable
property in the district in accordance with Section 49.107, Water
Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.
Sec. 8084.0403. CONTRACT TAXES. (a) In accordance with
Section 49.108, Water Code, the district may impose a tax other than
an operation and maintenance tax and use the revenue derived from
the tax to make payments under a contract after the provisions of
the contract have been approved by a majority of the district voters
voting at an election held for that purpose.
(b) A contract approved by the district voters may contain a
provision stating that the contract may be modified or amended by
the board without further voter approval.
SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8084.0501. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. The district may issue bonds or other obligations
payable wholly or partly from ad valorem taxes, impact fees,
revenue, contract payments, grants, or other district money, or any
combination of those sources, to pay for any authorized district
purpose.
Sec. 8084.0502. TAXES FOR BONDS. At the time the district
issues bonds payable wholly or partly from ad valorem taxes, the
board shall provide for the annual imposition of a continuing
direct ad valorem tax, without limit as to rate or amount, while all
or part of the bonds are outstanding as required and in the manner
provided by Sections 54.601 and 54.602, Water Code.
Sec. 8084.0503. BONDS FOR ROAD PROJECTS. At the time of
issuance, the total principal amount of bonds or other obligations
issued or incurred to finance road projects and payable from ad
valorem taxes may not exceed one-fourth of the assessed value of the
real property in the district.
SECTION 2. The Montgomery County Municipal Utility District
No. 176 of Montgomery County initially includes all the territory
contained in the following area:
MUD PARCEL NO. 1
Being 294.27 acres (12,818,448 square feet) tract of land situated
in the G.W. Lonis Survey, Abstract 313 and F.K. Henderson Survey,
Abstract 248 of Montgomery County, Texas, said 294.27 acre parcel
more particularly described by metes and bounds as follows with all
bearings based on Texas State Plane Coordinate System, Central
Zone, North American Datum 1983;
BEGINNING at a point whose Northing is 10,150,276.69 and whose
Easting is 3,822,867.80;
THENCE South 18°01'05" East, a distance of 335.13 feet to a
calculated point;
THENCE North 71°46'15" East, a distance of 412.81 feet to a
calculated point;
THENCE North 17°53'50" West, a distance of 110.93 feet to a
calculated point;
THENCE North 70°26'59" East, a distance of 326.66 feet to a
calculated point;
THENCE South 18°28'09" East, a distance of 483.98 feet to a
calculated point;
THENCE North 71°32'00" East, a distance of 270.35 feet to a
calculated point;
THENCE North 71°33'06" East, a distance of 80.01 feet to a
calculated point;
THENCE North 18°31'42" West, a distance of 350.11 feet to a
calculated point;
THENCE North 71°34'38" East, a distance of 270.35 feet to a
calculated point;
THENCE South 18°27'32" East, a distance of 620.03 feet to a
calculated point;
THENCE South 71°36'03" West, a distance of 140.65 feet to a
calculated point;
THENCE South 18°06'06" East, a distance of 310.14 feet to a
calculated point;
THENCE North 71°17'17" East, a distance of 590.59 feet to a
calculated point;
THENCE South 18°35'47" East, a distance of 1905.31 feet to a
calculated point;
THENCE North 71°11'29" East, a distance of 650.94 feet to a
calculated point;
THENCE South 18°30'33" East, a distance of 642.81 feet to a
calculated point;
THENCE South 71°56'03" West, a distance of 340.71 feet to a
calculated point;
THENCE North 18°3'57" West, a distance of 140.00 feet to a
calculated point;
THENCE South 71°56'03" West, a distance of 150.00 feet to a
calculated point;
THENCE South 18°3'57" East, a distance of 140.00 feet to a
calculated point;
THENCE North 71°56'03" East, a distance of 490.71 feet to a
calculated point;
THENCE South 18°30'33" East, a distance of 849.33 feet to a
calculated point;
THENCE North 71°52'24" East, a distance of 82.85 feet to a
calculated point;
THENCE South 19°00'55" East, a distance of 207.61 feet to a
calculated point;
THENCE North 71°06'37" East, a distance of 648.85 feet to a
calculated point;
THENCE South 19°15'09" East, a distance of 288.24 feet to a
calculated point;
THENCE South 71°04'26" West, a distance of 1389.13 feet to a
calculated point;
THENCE South 18°28'21" East, a distance of 85.59 feet to a
calculated point;
THENCE along a curve to the RIGHT, having a radius of 2643.58 feet,
a delta angle of 38°02'19", and whose long chord bears N 89°31°30"
West, a distance of 1723.01 feet to a calculated point;
THENCE along a curve to the RIGHT, having a radius of 2765.61 feet,
a delta angle of 20°11'13", and whose long chord bears South
53°40'39" West, a distance of 969.34 feet to a calculated point;
THENCE North 18°30'13" West, a distance of 175.85 feet to a
calculated point;
THENCE North 17°19'50" West, a distance of 241.94 feet to a
calculated point;
THENCE North 18°13'44" West, a distance of 1100.46 feet to a
calculated point;
THENCE North 17°19'51" West, a distance of 1399.32 feet to a
calculated point;
THENCE North 01°08'03" East, a distance of 105.25 feet to a
calculated point;
THENCE North 17°16'50" West, a distance of 692.66 feet to a
calculated point;
THENCE North 15°17'28" West, a distance of 707.80 feet to a
calculated point;
THENCE North 01°56'38" West, a distance of 414.79 feet to a
calculated point;
THENCE North 17°21'02" West, a distance of 150.29 feet to a
calculated point;
THENCE North 28°16'51" East, a distance of 56.78 feet to a
calculated point;
THENCE North 71°42'33" East, a distance of 453.28 to the POINT OF
BEGINNING, containing 294.27 acres (12,818,448 square feet) of land
in Montgomery County, Texas.
MUD PARCEL NO. 2
Being 4.21 acres (183,407 square feet) tract of land situated in the
F.K. Henderson Survey, Abstract 248 of Montgomery County, Texas,
said 4.21 acre parcel more particularly described by metes and
bounds as follows with all bearings based on Texas State Plane
Coordinate System, Central Zone, North American Datum 1983;
BEGINNING at a point whose Northing is 10,146,094.75 and whose
Easting is 3,827,643.55;
THENCE South 17°29'19" East, a distance of 718.64 feet to a
calculated point;
THENCE along a curve to the right, having a radius of 2645.09 feet,
a delta angle of 18°19'36", and whose long chord bears North
50°23'19" West, a distance of 842.45 feet to a calculated point;
THENCE North 71°05'48"" East, a distance of 457.74 feet to the POINT
OF BEGINNING, containing 4.21 acres (183,407 square feet) of land
in Montgomery County, Texas.
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
8084, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 8084.0306 to read as follows:
Sec. 8084.0306. NO EMINENT DOMAIN POWER. The district may
not exercise the power of eminent domain.
(b) This section is not intended to be an expression of a
legislative interpretation of the requirements of Section 17(c),
Article I, Texas Constitution.
SECTION 5. This Act takes effect September 1, 2019.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4640 was passed by the House on April
26, 2019, by the following vote: Yeas 123, Nays 16, 2 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4640 was passed by the Senate on May
22, 2019, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor