Bill Text: TX SB2521 | 2019-2020 | 86th Legislature | Engrossed

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Relating to the powers and duties of the Harris County Municipal Utility District No. 248; providing authority to issue bonds and impose fees and taxes.

Spectrum: Partisan Bill (Republican 2-0)

Status: (Passed) 2019-05-20 - Effective immediately [SB2521 Detail]

Download: Texas-2019-SB2521-Engrossed.html

---

By: Bettencourt S.B. No. 2521

A BILL TO BE ENTITLED
relating to the powers and duties of the Harris County Municipal
Utility District No. 248; providing authority to issue bonds and
impose 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 8087 to read as follows:
CHAPTER 8087. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 248
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8087.0101. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "District" means the Harris County Municipal
Utility District No. 248.
Sec. 8087.0102. NATURE AND PURPOSES OF DISTRICT. (a) The
district is a municipal utility district created under Section 59,
Article XVI, Texas Constitution.
(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.
SUBCHAPTER B. POWERS AND DUTIES
Sec. 8087.0201. GENERAL POWERS AND DUTIES. The district
has the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 8087.0202. 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. 8087.0203. 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. 8087.0204. 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.
SUBCHAPTER C. DEFINED AREAS
Sec. 8087.0301. AUTHORITY TO ESTABLISH DEFINED AREAS OR
DESIGNATED PROPERTY. The district may define areas or designate
certain property of the district to pay for improvements,
facilities, or services that primarily benefit that area or
property and do not generally and directly benefit the district as a
whole.
Sec. 8087.0302. PROCEDURE FOR ELECTION. (a) Before the
district may impose an ad valorem tax applicable only to the defined
area or designated property or issue bonds payable from ad valorem
taxes of the defined area or designated property, the board shall
hold an election in the defined area or designated property only.
(b) The board may submit the proposition to the voters on
the same ballot to be used in another election.
Sec. 8087.0303. DECLARING RESULT AND ISSUING ORDER.
(a) If a majority of the voters voting at an election held under
Section 8087.0302 approve the proposition or propositions, the
board shall declare the results and, by order, shall establish the
defined area or designated property and describe it by metes and
bounds or designate the specific property.
(b) A court may not review the board's order except on the
ground of fraud, palpable error, or arbitrary and confiscatory
abuse of discretion.
Sec. 8087.0304. TAXES FOR SERVICES, IMPROVEMENTS, AND
FACILITIES IN DEFINED AREAS OR DESIGNATED PROPERTY. On voter
approval and adoption of the order described by Section 8087.0303,
the district may apply separately, differently, equitably, and
specifically its taxing power and lien authority to the defined
area or designated property to provide money to construct,
administer, maintain, and operate services, improvements, and
facilities that primarily benefit the defined area or designated
property.
Sec. 8087.0305. ISSUANCE OF BONDS FOR DEFINED AREA OR
DESIGNATED PROPERTY. After an order under Section 8087.0303 is
adopted, the district may issue bonds to provide for any land,
improvements, facilities, plants, equipment, and appliances for
the defined area or designated property.
SUBCHAPTER D. BONDS AND OTHER OBLIGATIONS
Sec. 8087.0401. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS FOR ROAD PROJECTS. (a) 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 a
road project authorized by Section 8087.0203.
(b) 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.
(c) 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.
Sec. 8087.0402. TAXES FOR BONDS. At the time the district
issues bonds payable wholly or partly from ad valorem taxes, the
district 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.
SECTION 2. The Harris County Municipal Utility District
No. 248 retains all the rights, powers, privileges, authority,
duties, and functions that it had before the effective date of this
Act.
SECTION 3. (a) The legislature validates and confirms all
governmental acts and proceedings of the Harris County Municipal
Utility District No. 248 that were taken before the effective date
of this Act.
(b) This section does not apply to any matter that on the
effective date of this Act:
(1) is involved in litigation if the litigation
ultimately results in the matter being held invalid by a final court
judgment; or
(2) has been held invalid by a final court judgment.
SECTION 4. (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 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, 2019.