Bill Text: TX HB4505 | 2019-2020 | 86th Legislature | Enrolled


Bill Title: Relating to the creation of the Montgomery County Municipal Utility District No. 178; 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 immediately [HB4505 Detail]

Download: Texas-2019-HB4505-Enrolled.html
 
 
  H.B. No. 4505
 
 
 
 
AN ACT
  relating to the creation of the Montgomery County Municipal Utility
  District No. 178; 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 8086 to read as follows:
  CHAPTER 8086. MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 178
  SUBCHAPTER A. GENERAL PROVISIONS
         Sec. 8086.0101.  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. 178.
         Sec. 8086.0102.  NATURE OF DISTRICT. The district is a
  municipal utility district created under Section 59, Article XVI,
  Texas Constitution.
         Sec. 8086.0103.  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. 8086.0104.  CONSENT OF MUNICIPALITY REQUIRED. The
  temporary directors may not hold an election under Section
  8086.0103 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. 8086.0105.  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. 8086.0106.  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.
  SUBCHAPTER B. BOARD OF DIRECTORS
         Sec. 8086.0201.  GOVERNING BODY; TERMS. (a) The district is
  governed by a board of five elected directors.
         (b)  Except as provided by Section 8086.0202, directors
  serve staggered four-year terms.
         Sec. 8086.0202.  TEMPORARY DIRECTORS.  (a)  The temporary
  board consists of:
               (1)  Juan Trejo, III;
               (2)  Scott Carson;
               (3)  Darrin Warr;
               (4)  Will De la Rosa; and
               (5)  Cody Bark.
         (b)  Temporary directors serve until the earlier of:
               (1)  the date permanent directors are elected under
  Section 8086.0103; 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 8086.0103 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 8086.0103; 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. 8086.0301.  GENERAL POWERS AND DUTIES. The district
  has the powers and duties necessary to accomplish the purposes for
  which the district is created.
         Sec. 8086.0302.  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. 8086.0303.  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. 8086.0304.  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. 8086.0305.  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.
         Sec. 8086.0306.  DIVISION OF DISTRICT. (a) The district may
  be divided into two or more new districts only if the district:
               (1)  has never issued any bonds; 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 area described by Section 2 of the Act enacting 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
  8086.0103 to confirm the creation of the district.
         (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 commission 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 8086.0103.
         (i)  If the creation of the new district is confirmed, the
  new district shall provide the election date and results to the
  commission.
         (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.
         (k)  Municipal consent to the creation of the district and to
  the inclusion of land in the district granted under Section
  8086.0104 acts as municipal consent to the creation of any new
  district created by the division of the district and to the
  inclusion of land in the new district.
  SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
         Sec. 8086.0401.  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 8086.0403.
         (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. 8086.0402.  OPERATION AND MAINTENANCE TAX. (a) If
  authorized at an election held under Section 8086.0401, 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. 8086.0403.  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. 8086.0501.  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. 8086.0502.  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. 8086.0503.  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. 178 initially includes all the territory contained in the
  following area:
         Being 133.0 acres of land in the F. K. Henderson Survey,
  Abstract 248, Montgomery County, Texas, and being a portion of the
  116.9 acre tract ("First Tract") and a portion of the 139.78 acre
  tract ("Second Tract") described in the deed from Otway Taylor, et
  al., to Geo. B. Darden recorded in Volume 258, Page 84 of the
  Official Public Records of Real Property of Montgomery County,
  Texas, also described in deed from Geo. B. Darden conveying 50%
  interest in the above referenced tracts to W. T. Moran recorded in
  Volume 285, Page 598 of the Official Public Records of Real Property
  of Montgomery County, Texas, and being a portion of the 34 acre
  tract described in deed from Geo. B. Darden conveying 50% interest
  in said 34 acre tract to W. T. Moran recorded in Volume 285, Page 598
  of the Official Public Records of Real Property of Montgomery
  County, Texas, and being more particularly described by metes and
  bounds as follows with bearings based on the Texas Coordinate
  System of 1983, Central Zone:
         BEGINNING at a 1-inch pinched top pipe found for the most
  southerly corner of the called 4.4 acre tract described in the deed
  to Bessie Ingrum, et al., recorded in Volume 613, Page 166 of the
  Official Public Records of Real Property of Montgomery County,
  Texas, and being on the existing east right-of-way line of
  Interstate Highway 45 (width varies) described in Volume 495, Page
  593 of the Montgomery County Deed Records and being a southwesterly
  corner of the herein described tract;
         THENCE North 72° 02' 04" East - 775.42 feet, with the
  southerly line of said called 4.4 acre tract to a 5-inch metal post
  at a barbed wire fence corner found for the most easterly corner of
  said called 4.4 acre tract;
         THENCE North 18° 13' 40" West - 258.57 feet, with the easterly
  line of said called 4.4 acre tract to a 3/4-inch pinched top pipe
  found for the most northerly corner of said called 4.4 acre tract
  and being the most easterly corner of the called 20.478 acre tract
  described in deed to O. G. Williams recorded under Volume 613, Page
  166 of the Official Public Records of Real Property of Montgomery
  County, Texas;
         THENCE North 18° 04' 15" West - 1902.34 feet, with the
  easterly line of said called 20.478 acre tract to a 5-inch metal
  post at a barbed wire fence corner found for the most northerly
  corner of said called 20.478 acre tract, being the northwest corner
  of the herein described tract and being on the southeasterly line
  of the 184 acre tract described in deed to W. T. Moran recorded in
  Volume 225, Page 324 of the Montgomery County Deed Records, and from
  which point a 1-inch pinched top pipe found on the existing east
  right-of-way line of said Interstate Highway 45 bears South 72° 30'
  01" West - 239.16 feet;
         THENCE North 72° 30' 01" East, at a distance of 2178.53 feet
  pass a found 1-1/4 inch iron pipe, in all a total distance of
  2996.55 feet to a 5/8-inch iron rod with cap stamped "IDS" set for
  an angle point in the center of the 50-feet wide Gulf States
  Utilities Company easement recorded in Volume 117, Page 578 of the
  Montgomery County Deed Records;
         THENCE North 18° 25' 50" West - 150.08 feet, with the
  centerline of said 50-feet wide easement, to a 4-inch metal pole in
  concrete found for the west corner of the 6.000 acre tract described
  in deed to Andrew Scott Munson recorded in File Number 2002-114531
  of the Official Public Records of Real Property of Montgomery
  County, Texas;
         THENCE South 77° 55' 33" East - 628.35 feet, with the
  southerly line of said 6.000 acre tract to a 5/8-inch iron rod with
  cap stamped "IDS" set for an angle point and being the north corner
  of the 1.724 acre tract described in deed to Boardman Lee Munson
  recorded in File Number 2005-039674 of the Official Public Records
  of Real Property of Montgomery County, Texas;
         THENCE South 13° 15' 38" West - 410.25 feet, with the westerly
  line of said 1.724 acre tract and subsequently the westerly line of
  the 2.00 acre tract described in deed to S.R.S. FAMILY, L.P.
  recorded in File Number 2016-072723 of the Official Public Records
  of Real Property of Montgomery County, Texas, to a 5/8-inch iron rod
  found for the southwest corner of said 2.00 acre tract and being an
  interior corner of the herein described tract;
         THENCE South 76° 38' 05" East - 418.77 feet, with the south
  line of said 2.00 acre tract, to a 1/2-inch iron rod found for the
  southeast corner of said 2.00 acre tract and being on the westerly
  right-of-way line of State Highway 75 (width varies);
         THENCE South 11° 56' 11" West - 641.18 feet, with the westerly
  right-of-way line of State Highway 75, to a 1/2-inch iron rod with
  cap stamped "JEFF MOON" found for the northeast corner of the
  30-feet wide access easement described in deed to City of Willis
  recorded in Volume 949, Page 600 of the Official Public Records of
  Real Property of Montgomery County, Texas;
         THENCE North 76° 39' 50" West - 170.90 feet, with the north
  line of said 30-feet wide access easement, to a 1/2-inch iron rod
  with cap stamped "JEFF MOON" found for the beginning of a curve to
  the left;
         THENCE in a southwesterly direction, with the north line of
  said 30-feet wide easement and with said curve to the left, having a
  radius of 275.00 feet, a central angle of 29° 50' 00", a chord
  bearing and distance of South 88° 25' 13" West - 141.58 feet, and an
  arc distance of 143.19 feet to a 1/2-inch iron rod (bent) found for
  the end of said curve;
         THENCE South 73° 30' 13" West - 376.45 feet, continuing with
  the north line of said 30-feet wide easement, to a 5/8-inch iron rod
  (bent) found for the northwest corner of said 30-feet wide easement
  and being the northeast corner of a 4.3668 acre tract described in
  deed to City of Willis recorded in File Number Volume 949, Page 593
  of the Official Public Records of Real Property of Montgomery
  County, Texas;
         THENCE South 73° 27' 30" West - 549.83 feet, with the north
  line of 4.3668 acre tract to a 5/8- inch iron rod found for the
  northwest corner of said 4.3668 acre tract;
         THENCE South 16° 08' 36" East - 74.20 feet, with a westerly
  line of said 4.3668 acre tract, to the centerline of East Fork of
  Crystal Creek and being a northerly corner of the called 56.537 acre
  tract described in deed to WILLIS INDEPENDENT SCHOOL DISTRICT
  recorded in File Number 2009-075919 of the Official Public Records
  of Real Property of Montgomery County, Texas;
         THENCE upstream with the centerline meanders of East Fork of
  Crystal Creek and the northerly lines of said 56.537 acre tract the
  following courses and distances:
               South 70° 35' 11" West - 33.39 feet to a point;
               North 80° 32' 26" West - 73.75 feet to a point;
               South 71° 37' 44" West - 71.55 feet to a point;
               North 37° 39' 44" West - 193.05 feet to a point;
               North 75° 27' 42" West - 15.78 feet to a point;
               South 79° 52' 36" West - 16.52 feet to a point;
               North 21° 05' 06" West - 17.97 feet to a point;
               North 36° 24' 29" East - 31.20 feet to a point;
               North 75° 23' 22" West - 89.92 feet to a point;
               North 72° 00' 47" West - 54.68 feet to a point;
               North 26° 03' 42" East - 25.75 feet to a point;
               North 61° 20' 29" East - 42.65 feet to a point;
               North 15° 26' 24" West - 11.68 feet to a point;
               North 53° 00' 21" West - 53.87 feet to a point;
               South 58° 16' 00" West - 20.71 feet to a point;
               North 79° 26' 57" West - 16.65 feet to a point;
               North 48° 21' 09" West - 27.21 feet to a point;
               North 18° 36' 35" West - 37.64 feet to a point;
               North 15° 59' 52" West - 45.67 feet to a point;
               North 30° 02' 36" West - 11.21 feet to a point;
               North 72° 54' 49" West - 31.82 feet to a point;
               North 86° 21' 07'' West - 28.71 feet to a point;
         THENCE with westerly lines of said 56.537 acre tract and
  interior lines of the herein described tract the following courses
  and distances:
               South 60° 52' 13" West - 439.62 feet to a 5/8-inch iron
  rod with cap stamped "M&A" found for an angle corner;
               South 12° 53' 19" West - 1415.35 feet to a 5/8-inch iron
  rod with cap stamped "M&A" found for an angle corner;
               South 22° 51' 04" East - 900.35 feet to a 5/8-inch iron
  rod with cap stamped "M&A" found for an angle corner;
               South 15° 52' 57'' East - 478.23 feet to a 5/8-inch iron
  rod with cap stamped "IDS" set on the arc of a non-tangent
  curve to the left and being on the north right-of-way line of
  FM 830 (120-feet wide) recorded in Volume 563, Page 60 of the
  Official Public Records of Real Property of Montgomery
  County, Texas;
         THENCE in a southwesterly direction, with the north
  right-of-way line of FM 830 and said curve to the left, having a
  radius of 2925.00 feet, a central angle of 03° 30' 20", a chord
  bearing and distance of South 87° 37' 26" West - 178.93 feet, and an
  arc distance of 178.96 feet to a TxDOT concrete monument found for
  the end of said curve;
         THENCE South 85° 52' 16" West - 902.35 feet, continuing with
  the north right-of-way line of FM 830, to the south corner of a
  cutback line at the intersection of the north right-of-way line of
  FM 830 and the easterly right-of-way line of said Interstate
  Highway 45, from which point a TxDOT concrete monument bears South
  46° 39' 14" East - 1.07 feet;
         THENCE North 39° 05' 47" West - 67.43 feet, with said cutback
  line, to the north corner of said cutback line and the easterly
  right-of-way line of said Interstate Highway 45, being the
  beginning of a non-tangent curve to the left, from which point a
  TxDOT concrete monument bears South 72° 08' 45" East - 0.46 feet;
         THENCE in a northwesterly direction, with the easterly
  right-of-way line of said Interstate Highway 45 and with said curve
  to the left, having a radius of 285.00 feet, a central angle of 64°
  59' 58", a chord bearing and distance of North 36° 39' 22" West -
  306.26 feet, and an arc distance of 323.32 feet to the end of said
  curve from which point a TxDOT concrete monument bears South 48° 43'
  13" East - 0.51 feet;
         THENCE North 69° 09' 21" West - 272.82 feet, continuing with
  the easterly right-of-way line of said Interstate Highway 45 to a
  TxDOT concrete monument found for the beginning of a curve to the
  right;
         THENCE in a northwesterly direction, continuing with the
  easterly right-of-way line of said Interstate Highway 45 and with
  said curve to the right, having a radius of 177.00 feet, a central
  angle of 65° 00' 00", a chord bearing and distance of North 36° 39'
  21" West - 190.20 feet, and an arc distance of 200.80 feet to a TxDOT
  concrete monument found for the end of said curve;
         THENCE North 04° 09' 21" West - 214.21 feet, continuing with
  the easterly right-of-way line of said Interstate Highway 45, to
  the POINT OF BEGINNING and containing 133.0 acres of land.
         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
  8086, Special District Local Laws Code, as added by Section 1 of
  this Act, is amended by adding Section 8086.0307 to read as follows:
         Sec. 8086.0307.  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, 2019.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 4505 was passed by the House on May 3,
  2019, by the following vote:  Yeas 124, Nays 16, 2 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 4505 was passed by the Senate on May
  22, 2019, by the following vote:  Yeas 30, Nays 1.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor       
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