By: Hinojosa	S.B. No. 587

	A BILL TO BE ENTITLED
	relating to the powers and duties of the Hidalgo County Water
	Control and Improvement District No. 19; providing authority to
	issue bonds; providing authority to impose fees and taxes.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subtitle I, Title 6, Special District Local Laws
	Code, is amended by adding Chapter 9044 to read as follows:
	CHAPTER 9044.  HIDALGO COUNTY WATER CONTROL AND IMPROVEMENT
	DISTRICT NO. 19
	SUBCHAPTER A.  GENERAL PROVISIONS
	Sec. 9044.001.  DEFINITION.  In this chapter, "district"
	means the Hidalgo County Water Control and Improvement District No.
	19.
	Sec. 9044.002.  NATURE AND PURPOSES OF DISTRICT.  (a)  The
	district is a water control and improvement district created under
	Section 59, Article XVI, Texas Constitution.
	(b)  The district is created to accomplish the purposes of:
	(1)  a water control and improvement 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. 9044.051.  GENERAL POWERS AND DUTIES.  The district has
	the powers and duties necessary to accomplish the purposes for
	which the district is created.
	Sec. 9044.052.  WATER CONTROL AND IMPROVEMENT DISTRICT
	POWERS AND DUTIES.  The district has the powers and duties provided
	by the general law of this state, including Chapters 49 and 51,
	Water Code, applicable to water control and improvement districts
	created under Section 59, Article XVI, Texas Constitution.
	Sec. 9044.053.  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. 9044.054.  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. 9044.055.  DIVISION OF DISTRICT. (a)  The district may
	be divided into two or more new districts only if the district:
	(1)  has no outstanding bonded debt; and
	(2)  is not imposing ad valorem taxes.
	(b)  This chapter applies to any new district created by the
	division of the district, and a new district has all the powers and
	duties of the district.
	(c)  Any new district created by the division of the district
	may not, at the time the new district is created, contain any land
	outside the district as of the effective date of the Act enacting
	this chapter.
	(d)  The district's board of directors, on its own motion or
	on receipt of a petition signed by the owner or owners of a majority
	of the assessed value of the real property in the district, may
	adopt an order dividing the district.
	(e)  An order dividing the district must:
	(1)  name each new district;
	(2)  include the metes and bounds description of the
	territory of each new district;
	(3)  appoint temporary directors serving staggered
	four-year terms for each new district; and
	(4)  provide for the division of assets and liabilities
	between or among the new districts.
	(f)  On or before the 30th day after the date of adoption of
	an order dividing the district, the district shall file the order
	with the Texas Commission on Environmental Quality and record the
	order in the real property records of each county in which the
	district is located.
	(g)  A new district created by the division of the district
	is not required to hold a confirmation election.
	(h)  The consent of a municipality or county is not required
	for the creation of any new district under this section if the new
	district's creation complies with Subsection (c).
	(i)  A new district created by the division of the district
	must hold an election to obtain voter approval before the district
	may impose a maintenance tax or issue bonds payable wholly or partly
	from ad valorem taxes.
	SUBCHAPTER C.  BONDS AND OTHER OBLIGATIONS
	Sec. 9044.101.  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 9044.053.
	(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 real property in the district.
	Sec. 9044.102.  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.
	SECTION 2.  The Hidalgo County Water Control and Improvement
	District No. 19 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 Hidalgo County Water
	Control and Improvement District No. 19 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, 2013.