Bill Text: TX SB621 | 2013-2014 | 83rd Legislature | Introduced

---

Bill Title: Relating to the creation of the Montgomery County Municipal Utility District No. 140; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2013-02-25 - Referred to Intergovernmental Relations [SB621 Detail]

Download: Texas-2013-SB621-Introduced.html

---

83R7085 SLB-F
By: Williams S.B. No. 621

A BILL TO BE ENTITLED
relating to the creation of the Montgomery County Municipal Utility
District No. 140; 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 8425 to read as follows:
CHAPTER 8425. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT
NO. 140
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8425.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Commission" means the Texas Commission on
Environmental Quality.
(3) "Director" means a board member.
(4) "District" means the Montgomery County Municipal
Utility District No. 140.
Sec. 8425.002. NATURE OF DISTRICT. The district is a
municipal utility district created under Section 59, Article XVI,
Texas Constitution.
Sec. 8425.003. CONFIRMATION AND DIRECTORS' 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. 8425.004. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section 8425.003
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. 8425.005. 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. 8425.006. 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.
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8425.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 8425.052, directors serve
staggered four-year terms.
Sec. 8425.052. 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 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 8425.003; or
(2) the fourth anniversary of the effective date of
the Act enacting this chapter.
(c) If permanent directors have not been elected under
Section 8425.003 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 8425.003; 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. 8425.101. GENERAL POWERS AND DUTIES. The district has
the powers and duties necessary to accomplish the purposes for
which the district is created.
Sec. 8425.102. 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. 8425.103. 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.
Sec. 8425.104. 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. 8425.105. 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 D. GENERAL FINANCIAL PROVISIONS
Sec. 8425.151. 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 8425.153.
(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. 8425.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8425.151, 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. 8425.153. 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.
Sec. 8425.154. DIVISION OF DISTRICT. (a) The district may
be divided into two or more new districts only if:
(1) the district has no outstanding bonded debt;
(2) the district is not imposing ad valorem taxes; and
(3) the requirement of Subsection (i) is satisfied.
(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 area described by Section 2 of the Act creating this
chapter.
(d) The board, 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) The board may adopt an order dividing the district
before or after the date the board holds an election under Section
8425.151 to authorize the district's bonds.
(f) An order dividing the district shall:
(1) name each new district;
(2) include the metes and bounds description of the
territory of each new district;
(3) appoint temporary directors for each new district;
and
(4) provide for the division of assets and liabilities
between or among the new districts.
(g) 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.
(h) Any new district created by the division of the district
shall hold a confirmation and directors' election as required by
Section 8425.003.
(i) If the district is located wholly or partly in the
corporate limits or the extraterritorial jurisdiction of a
municipality, the district may not divide under this subchapter
unless the municipality by resolution or ordinance consents to the
division of the district.
(j) Any new district created by the division of the district
must hold an election as required by this chapter to obtain voter
approval before the district may impose a maintenance tax or issue
bonds payable wholly or partly from ad valorem taxes.
SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8425.201. 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. 8425.202. 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. 8425.203. 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. 140 initially includes all the territory contained in the
following area:
BEING ALL THAT CERTAIN TRACT OR PARCEL OF LAND CONTAINING
1207.52 ACRES OF LAND SITUATED IN THE WILLIAM VINCE SURVEY,
ABSTRACT No. 581, MONTGOMERY COUNTY, TEXAS, AND SAME BEING ALL OF A
CALLED 906.6 ACRE TRACT AS RECORDED IN VOLUME 593, PAGE 232, DEED
RECORDS MONTGOMERY COUNTY, TEXAS, ALL OF A CALLED 152.5 ACRE TRACT
AS RECORDED IN VOLUME 1106, PAGE 729 DEED RECORDS MONTGOMERY
COUNTY, TEXAS AND ALL OF A CALLED 152.5 ACRE TRACT AS RECORDED IN
VOLUME 467, PAGE 617 DEED RECORDS MONTGOMERY COUNTY, TEXAS; SAID
1207.52 ACRE TRACT BEING THE SAME CALLED 1207.816 ACRE TRACT AS
RECORDED IN FILM CODE No. 370-00-1195 REAL PROPERTY RECORDS
MONTGOMERY COUNTY, TEXAS AND BEING MORE PARTICULARLY DESCRIBED BY
METES AND BOUNDS AS FOLLOWS, TO-WIT:
BEGINNING at a fence corner found for an interior corner of a
called 1656 acre tract as recorded in Montgomery County Clerk's
File No. 9521239, same being the northeast corner of said 906.6 acre
tract, and this herein described tract;
THENCE South 20 degrees 59 minutes 02 seconds East, a
distance of 8513.69 feet with the east line of said William Vince
Survey, same being the west line of the B.B.B. and C. R.R. Co.
Survey, Abstract No. 112, and the west line of said 1656 acre tract,
to a 5/8 inch iron rod found in the north margin of a 170 foot wide
drainage easement as recorded in Montgomery County Clerk's File No.
9519948 for the southeast corner of said 906.6 acre tract and this
herein described tract;
THENCE South 89 degrees 52 minutes 51 seconds West, a
distance of 7796.46 feet with the south line of said William Vince
Survey, same being the north line of the George Mason Survey,
Abstract No. 341 and said 170 wide drainage easement to a 5/8 inch
iron rod set in the east bank of the San Jacinto River (West Fork)
for the southwest corner of said 906.6 acre tract and this herein
described tract;
THENCE along the east bank of said San Jacinto River with the
following meanders:
THENCE North 11 degrees 49 minutes 12 seconds East, a
distance of 380.67 feet;
THENCE North 01 degrees 16 minutes 09 seconds West, a
distance of 394.82 feet;
THENCE North 23 degrees 09 minutes 19 seconds West, a
distance of 960.49 feet;
THENCE North 04 degrees 50 minutes 29 seconds West, a
distance of 412.43 feet to a 5/8 inch iron rod set on the east bank
of said San Jacinto River, for the southwest corner of a called 250
acre tract as recorded in Volume 969, Page 543 Deed Records
Montgomery County, Texas, and same the upper southwest corner of
this herein described tract;
THENCE South 88 degrees 25 minutes 24 seconds East, a
distance of 1039.87 feet to a 3 inch iron pipe found for the
southeast corner of said 250 acre tract, the southwest corner of
said 152.5 acre tract as recorded in Volume 467, Page 617 Deed
Records Montgomery County, Texas, and same being an interior corner
of this herein described tract;
THENCE North 00 degrees 50 minutes 54 seconds East, a
distance of 4030.78 feet to a 3 inch iron pipe found for the
northeast corner of said 250 acre tract, the northwest corner of
said 152.5 acre tract, and same being an interior corner of this
herein described tract;
THENCE South 89 degrees 51 minutes 21 seconds West, a
distance of 3693.92 feet to a 5/8 inch iron rod set on the east bank
of said San Jacinto River for the northwest corner of said 250 acre
tract and same being the lower northwest corner of this herein
described tract;
THENCE along the east bank of said San Jacinto River with the
following meanders:
THENCE North 21 degrees 09 minutes 03 seconds East, a
distance of 471.62 feet;
THENCE North 03 degrees 09 minutes 38 seconds East, a
distance of 208.42 feet;
THENCE North 11 degrees 23 minutes 43 seconds West, a
distance of 330.30 feet;
THENCE North 07 degrees 42 minutes 59 seconds West, a
distance of 240.75 feet;
THENCE North 24 degrees 03 minutes 52 seconds West, a
distance of 409.87 feet;
THENCE North 26 degrees 49 minutes 19 seconds West, a
distance of 335.54 feet to a 5/8 inch iron rod set on the east bank
of said San Jacinto River for the northwest corner of said 906.6
acre tract, same being the northwest corner of this herein
described tract;
THENCE North 89 degrees 48 minutes 05 seconds East, with the
north line of said William Vince Survey, same being the south line
of the Allen Vince Survey, Abstract No. 52, the south line of a
called 92.181 acre tract as recorded in Montgomery County Clerk's
File No. 2002-091442, the south line of a called 55.08 acre tract as
recorded in Montgomery County Clerk's File No. 8337280, the south
line of the Wiatt Anderson Survey, Abstract No. 53, the south line
of a called 140.68 acre tract as recorded in Montgomery County
Clerk's File No. 8337280, the south line of Porter Heights, Section
1, as recorded in Volume 5, Page 339 Map Records Montgomery County,
Texas, and the south line of Porter Heights, Section 2, as recorded
in Volume 7, Page 259 Map Records Montgomery County, Texas a
distance of 7920.14 feet to the PLACE OF BEGINNING and containing
1207.52 acres.
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
8425, Special District Local Laws Code, as added by Section 1 of
this Act, is amended by adding Section 8425.106 to read as follows:
Sec. 8425.106. 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 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.