Bill Text: TX HB4676 | 2019-2020 | 86th Legislature | Enrolled


Bill Title: Relating to the creation of the Fort Bend County Management District No. 3; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Spectrum: Moderate Partisan Bill (Republican 4-1)

Status: (Passed) 2019-06-14 - Effective immediately [HB4676 Detail]

Download: Texas-2019-HB4676-Enrolled.html
 
 
  H.B. No. 4676
 
 
 
 
AN ACT
  relating to the creation of the Fort Bend County Management
  District No. 3; 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 C, Title 4, Special District Local Laws
  Code, is amended by adding Chapter 3984 to read as follows:
  CHAPTER 3984. FORT BEND COUNTY MANAGEMENT DISTRICT NO. 3
  SUBCHAPTER A.  GENERAL PROVISIONS
         Sec. 3984.0101.  DEFINITIONS. In this chapter:
               (1)  "Board" means the district's board of directors.
               (2)  "County" means Fort Bend County.
               (3)  "Director" means a board member.
               (4)  "District" means the Fort Bend County Management
  District No. 3.
         Sec. 3984.0102.  CREATION AND NATURE OF DISTRICT; IMMUNITY.
  (a) The Fort Bend County Management District No. 3 is a special
  district created under Section 59, Article XVI, Texas Constitution.
         (b)  The district is a governmental unit, as provided by
  Section 375.004, Local Government Code. 
         (c)  This chapter does not waive any governmental or
  sovereign immunity from suit, liability, or judgment that would
  otherwise apply to the district.
         Sec. 3984.0103.  PURPOSE; DECLARATION OF INTENT. (a) The
  creation of the district is essential to accomplish the purposes of
  Sections 52 and 52-a, Article III, and Section 59, Article XVI,
  Texas Constitution, and other public purposes stated in this
  chapter.
         (b)  By creating the district, the legislature has
  established a program to accomplish the public purposes set out in
  Sections 52 and 52-a, Article III, Texas Constitution.
         (c)  The creation of the district is necessary to promote,
  develop, encourage, and maintain employment, commerce,
  transportation, housing, tourism, recreation, the arts,
  entertainment, economic development, safety, and the public
  welfare in the district.
         (d)  This chapter and the creation of the district may not be
  interpreted to relieve the county or a municipality from providing
  the level of services provided as of the effective date of the Act
  enacting this chapter to the area in the district. The district is
  created to supplement and not to supplant county or municipal
  services provided in the district.
         Sec. 3984.0104.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
  (a) All land and other property included in the district will
  benefit from the improvements and services to be provided by the
  district under powers conferred by Sections 52 and 52-a, Article
  III, and Section 59, Article XVI, Texas Constitution, and other
  powers granted under this chapter.
         (b)  The district is created to serve a public use and
  benefit.
         (c)  The creation of the district is in the public interest
  and is essential to further the public purposes of:
               (1)  developing and diversifying the economy of the
  state;
               (2)  eliminating unemployment and underemployment; and
               (3)  developing or expanding transportation and
  commerce.
         (d)  The district will:
               (1)  promote the health, safety, and general welfare of
  residents, employers, potential employees, employees, visitors,
  and consumers in the district, and of the public;
               (2)  provide needed funding for the district to
  preserve, maintain, and enhance the economic health and vitality of
  the district territory as a community and business center;
               (3)  promote the health, safety, welfare, and enjoyment
  of the public by providing pedestrian ways, transit facilities,
  parking facilities, rail facilities, and public art objects, and by
  landscaping and developing certain areas in the district, which are
  necessary for the restoration, preservation, and enhancement of
  scenic beauty; and
               (4)  provide for water, wastewater, drainage, road, and
  recreational facilities for the district.
         (e)  Pedestrian ways along or across a street, whether at
  grade or above or below the surface, and street lighting, street
  landscaping, parking, and street art objects are parts of and
  necessary components of a street and are considered to be a street
  or road improvement.
         (f)  The district will not act as the agent or
  instrumentality of any private interest even though the district
  will benefit many private interests as well as the public.
         Sec. 3984.0105.  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 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 bonds for the purposes
  for which the district is created or to pay the principal of and
  interest on the bonds;
               (3)  right to impose or collect an assessment or tax; or
               (4)  legality or operation.
         Sec. 3984.0106.  ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
  All or any part of the area of the district is eligible to be
  included in:
               (1)  a tax increment reinvestment zone created under
  Chapter 311, Tax Code;
               (2)  a tax abatement reinvestment zone created under
  Chapter 312, Tax Code;
               (3)  an enterprise zone created under Chapter 2303,
  Government Code; or
               (4)  an industrial district created under Chapter 42,
  Local Government Code.
         Sec. 3984.0107.  APPLICABILITY OF MUNICIPAL MANAGEMENT
  DISTRICTS LAW. Except as otherwise provided by this chapter,
  Chapter 375, Local Government Code, applies to the district.
         Sec. 3984.0108.  CONSTRUCTION OF CHAPTER. This chapter
  shall be liberally construed in conformity with the findings and
  purposes stated in this chapter.
         Sec. 3984.0109.  CONFLICTS OF LAW.  This chapter prevails
  over any provision of general law, including a provision of Chapter
  375, Local Government Code, or Chapter 49, Water Code, that is in
  conflict or inconsistent with this chapter.
  SUBCHAPTER B. BOARD OF DIRECTORS
         Sec. 3984.0201.  GOVERNING BODY; TERMS.  (a)  The district is
  governed by a board of five directors elected or appointed as
  provided by this chapter and Subchapter D, Chapter 49, Water Code.
         (b)  Except as provided by Section 3984.0203, directors
  serve staggered four-year terms.
         Sec. 3984.0202.  COMPENSATION. A director is entitled to
  receive fees of office and reimbursement for actual expenses as
  provided by Section 49.060, Water Code. Sections 375.069 and
  375.070, Local Government Code, do not apply to the board.
         Sec. 3984.0203.  TEMPORARY DIRECTORS. (a) On or after the
  effective date of the Act creating this chapter, the owner or owners
  of a majority of the assessed value of the real property in the
  district according to the most recent certified tax appraisal roll
  for the county may submit a petition to the Texas Commission on
  Environmental Quality 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)  The temporary or successor temporary directors shall
  hold an election to elect five permanent directors as provided by
  Section 49.102, Water Code.
         (c)  Temporary directors serve until the earlier of:
               (1)  the date permanent directors are elected under
  Subsection (b); or
               (2)  the fourth anniversary of the effective date of
  the Act creating this chapter.
         (d)  If permanent directors have not been elected under
  Subsection (b) and the terms of the temporary directors have
  expired, successor temporary directors shall be appointed or
  reappointed as provided by Subsection (e) to serve terms that
  expire on the earlier of:
               (1)  the date permanent directors are elected under
  Subsection (b); or
               (2)  the fourth anniversary of the date of the
  appointment or reappointment.
         (e)  If Subsection (d) applies, the owner or owners of a
  majority of the assessed value of the real property in the district
  according to the most recent certified tax appraisal roll for the
  county may submit a petition to the Texas Commission on
  Environmental Quality 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.
         Sec. 3984.0204.  DISQUALIFICATION OF DIRECTORS.  Section
  49.052, Water Code, applies to the members of the board.
  SUBCHAPTER C.  POWERS AND DUTIES
         Sec. 3984.0301.  GENERAL POWERS AND DUTIES.  The district
  has the powers and duties necessary to accomplish the purposes for
  which the district is created.
         Sec. 3984.0302.  IMPROVEMENT PROJECTS AND SERVICES. (a)
  The district, using any money available to the district for the
  purpose, may provide, design, construct, acquire, improve,
  relocate, operate, maintain, or finance an improvement project or
  service authorized under this chapter or Chapter 375, Local
  Government Code.
         (b)  The district may contract with a governmental or private
  entity to carry out an action under Subsection (a).
         (c)  The implementation of a district project or service is a
  governmental function or service for the purposes of Chapter 791,
  Government Code.
         Sec. 3984.0303.  RECREATIONAL FACILITIES. The district may
  develop or finance recreational facilities as authorized by Chapter
  375, Local Government Code, Sections 52 and 52-a, Article III,
  Texas Constitution, Section 59, Article XVI, Texas Constitution,
  and any other law that applies to the district.
         Sec. 3984.0304.  AUTHORITY FOR ROAD PROJECTS.  Under Section
  52, Article III, Texas Constitution, the district may own, operate,
  maintain, design, acquire, construct, finance, issue bonds, notes,
  or other obligations for, improve, and convey to this state, a
  county, or a municipality for ownership, operation, and maintenance
  macadamized, graveled, or paved roads or improvements, including
  storm drainage, in aid of those roads.
         Sec. 3984.0305.  CONVEYANCE AND APPROVAL OF ROAD PROJECT.  
  (a)  The district may convey a road project authorized by Section
  3984.0304 to:
               (1)  a municipality or county that will operate and
  maintain the road if the municipality or county has approved the
  plans and specifications of the road project; or
               (2)  the state if the state will operate and maintain
  the road and the Texas Transportation Commission has approved the
  plans and specifications of the road project.
         (b)  Except as provided by Subsection (c), the district shall
  operate and maintain a road project authorized by Section 3984.0304
  that the district implements and does not convey to a municipality,
  a county, or this state under Subsection (a).
         (c)  The district may agree in writing with a municipality, a
  county, or this state to assign operation and maintenance duties to
  the district, the municipality, the county, or this state in a
  manner other than the manner described in Subsections (a) and (b).
         Sec. 3984.0306.  RAIL FACILITIES.  In addition to the powers
  granted under Section 375.0921(b), Local Government Code, the
  district may construct, acquire, improve, maintain, finance, and
  operate rail facilities and improvements in aid of those facilities
  for the transport of freight and other cargo.
         Sec. 3984.0307.  NONPROFIT CORPORATION.  (a)  The board by
  resolution may authorize the creation of a nonprofit corporation to
  assist and act for the district in implementing a project or
  providing a service authorized by this chapter.
         (b)  The nonprofit corporation:
               (1)  has each power of and is considered to be a local
  government corporation created under Subchapter D, Chapter 431,
  Transportation Code; and
               (2)  may implement any project and provide any service
  authorized by this chapter.
         (c)  The board shall appoint the board of directors of the
  nonprofit corporation. The board of directors of the nonprofit
  corporation shall serve in the same manner as the board of directors
  of a local government corporation created under Subchapter D,
  Chapter 431, Transportation Code, except that a board member is not
  required to reside in the district.
         Sec. 3984.0308.  LAW ENFORCEMENT SERVICES.  Section 49.216,
  Water Code, applies to the district.
         Sec. 3984.0309.  MEMBERSHIP IN CHARITABLE ORGANIZATIONS.  
  The district may join and pay dues to a charitable or nonprofit
  organization that performs a service or provides an activity
  consistent with the furtherance of a district purpose.
         Sec. 3984.0310.  ECONOMIC DEVELOPMENT PROGRAMS.  (a)  The
  district may engage in activities that accomplish the economic
  development purposes of the district.
         (b)  The district may establish and provide for the
  administration of one or more programs to promote state or local
  economic development and to stimulate business and commercial
  activity in the district, including programs to:
               (1)  make loans and grants of public money; and
               (2)  provide district personnel and services.
         (c)  The district may create economic development programs
  and exercise the economic development powers provided to
  municipalities by:
               (1)  Chapter 380, Local Government Code; and
               (2)  Subchapter A, Chapter 1509, Government Code.
         Sec. 3984.0311.  STRATEGIC PARTNERSHIP AGREEMENT. The
  district may negotiate and enter into a written strategic
  partnership agreement with a municipality under Section 43.0751,
  Local Government Code.
         Sec. 3984.0312.  REGIONAL PARTICIPATION AGREEMENT.  The
  district may negotiate and enter into a written regional
  participation agreement with a municipality under Section 43.0754,
  Local Government Code.
         Sec. 3984.0313.  PARKING FACILITIES. (a) The district may
  acquire, lease as lessor or lessee, construct, develop, own,
  operate, and maintain parking facilities or a system of parking
  facilities, including lots, garages, parking terminals, or other
  structures or accommodations for parking motor vehicles off the
  streets and related appurtenances.
         (b)  The district's parking facilities serve the public
  purposes of the district and are owned, used, and held for a public
  purpose even if leased or operated by a private entity for a term of
  years.
         (c)  The district's parking facilities are parts of and
  necessary components of a street and are considered to be a street
  or road improvement.
         (d)  The development and operation of the district's parking
  facilities may be considered an economic development program.
         Sec. 3984.0314.  ADDING OR EXCLUDING LAND. (a)  The district
  may add land in the manner provided by Subchapter J, Chapter 49,
  Water Code.
         (b)  The district may exclude land in the manner provided by
  Subchapter J, Chapter 49, Water Code. Section 375.044(b), Local
  Government Code, does not apply to the district.
         (c)  The district may include and exclude land as provided by
  Sections 54.739-54.747, Water Code. A reference in those sections
  to a "tax" means an ad valorem tax for the purposes of this
  subsection.
         (d)  If the district adopts a sales and use tax authorized at
  an election held under Section 3984.0602 and subsequently includes
  new territory in the district under this section, the district:
               (1)  is not required to hold another election to
  approve the imposition of the sales and use tax in the included
  territory; and
               (2)  shall impose the sales and use tax in the included
  territory as provided by Chapter 321, Tax Code.
         (e)  If the district adopts a sales and use tax authorized at
  an election held under Section 3984.0602 and subsequently excludes
  territory in the district under this section, the sales and use tax
  is inapplicable to the excluded territory, as provided by Chapter
  321, Tax Code, but is applicable to the territory remaining in the
  district.
         Sec. 3984.0315.  DISBURSEMENTS AND TRANSFERS OF MONEY. The
  board by resolution shall establish the number of directors'
  signatures and the procedure required for a disbursement or
  transfer of district money.
         Sec. 3984.0316.  AUDIT EXEMPTION. (a) The district may
  elect to complete an annual financial report in lieu of an annual
  audit under Section 375.096(a)(6), Local Government Code, if:
               (1)  the district had no bonds or other long-term (more
  than one year) liabilities outstanding during the fiscal period;
               (2)  the district did not have gross receipts from
  operations, loans, taxes, assessments, or contributions in excess
  of $250,000 during the fiscal period; and
               (3)  the district's cash and temporary investments were
  not in excess of $250,000 during the fiscal period.
         (b)  Each annual financial report prepared in accordance
  with this section must be open to public inspection and accompanied
  by an affidavit signed by a duly authorized representative of the
  district attesting to the accuracy and authenticity of the
  financial report.
         (c)  The annual financial report and affidavit shall be
  substantially similar in form to the annual financial report and
  affidavit forms prescribed by the executive director of the Texas
  Commission on Environmental Quality under Section 49.198, Water
  Code.
         Sec. 3984.0317.  NO EMINENT DOMAIN POWER. The district may
  not exercise the power of eminent domain.
  SUBCHAPTER D.  ASSESSMENTS
         Sec. 3984.0401.  PETITION REQUIRED FOR FINANCING SERVICES
  AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
  service or improvement project with assessments under this chapter
  unless a written petition requesting that service or improvement
  has been filed with the board.
         (b)  A petition filed under Subsection (a) must be signed by
  the owners of a majority of the assessed value of real property in
  the district subject to assessment according to the most recent
  certified tax appraisal roll for the county.
         Sec. 3984.0402.  METHOD OF NOTICE FOR HEARING. The district
  may mail the notice required by Section 375.115(c), Local
  Government Code, by certified or first class United States mail.
  The board shall determine the method of notice.
         Sec. 3984.0403.  ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)
  The board by resolution may impose and collect an assessment for any
  purpose authorized by this chapter in all or any part of the
  district.
         (b)  An assessment, a reassessment, or an assessment
  resulting from an addition to or correction of the assessment roll
  by the district, penalties and interest on an assessment or
  reassessment, an expense of collection, and reasonable attorney's
  fees incurred by the district:
               (1)  are a first and prior lien against the property
  assessed;
               (2)  are superior to any other lien or claim other than
  a lien or claim for county, school district, or municipal ad valorem
  taxes; and
               (3)  are the personal liability of and a charge against
  the owners of the property even if the owners are not named in the
  assessment proceedings.
         (c)  The lien is effective from the date of the board's
  resolution imposing the assessment until the date the assessment is
  paid. The board may enforce the lien in the same manner that the
  board may enforce an ad valorem tax lien against real property.
         (d)  The board may make a correction to or deletion from the
  assessment roll that does not increase the amount of assessment of
  any parcel of land without providing notice and holding a hearing in
  the manner required for additional assessments.
  SUBCHAPTER E. TAXES AND BONDS
         Sec. 3984.0501.  TAX ELECTION REQUIRED. The district must
  hold an election in the manner provided by Chapter 49, Water Code,
  or, if applicable, Chapter 375, Local Government Code, to obtain
  voter approval before the district may impose an ad valorem tax.
         Sec. 3984.0502.  OPERATION AND MAINTENANCE TAX. (a) If
  authorized by a majority of the district voters voting at an
  election under Section 3984.0501, the district may impose an
  operation and maintenance tax on taxable property in the district
  in the manner provided by Section 49.107, Water Code, for any
  district purpose, including to:
               (1)  maintain and operate the district;
               (2)  construct or acquire improvements; or
               (3)  provide a service.
         (b)  The board shall determine the operation and maintenance
  tax rate. The rate may not exceed the rate approved at the
  election.
         (c)  Section 49.107(h), Water Code, does not apply to the
  district.
         Sec. 3984.0503.  AUTHORITY TO BORROW MONEY AND TO ISSUE
  BONDS AND OTHER OBLIGATIONS. (a) The district may borrow money on
  terms determined by the board.
         (b)  The district may, by competitive bid or negotiated sale,
  issue bonds, notes, or other obligations payable wholly or partly
  from ad valorem taxes, assessments, impact fees, revenue, contract
  payments, grants, or other district money, or any combination of
  those sources of money, to pay for any authorized district purpose.
         (c)  The limitation on the outstanding principal amount of
  bonds, notes, or other obligations provided by Section 49.4645,
  Water Code, does not apply to the district.
         Sec. 3984.0504.  BONDS SECURED BY REVENUE OR CONTRACT
  PAYMENTS. The district may issue, without an election, bonds
  secured by:
               (1)  revenue other than ad valorem taxes, including
  contract revenues; or
               (2)  contract payments, provided that the requirements
  of Section 49.108, Water Code, have been met.
         Sec. 3984.0505.  BONDS SECURED BY AD VALOREM TAXES;
  ELECTIONS. (a) If authorized at an election under Section
  3984.0501, the district may issue bonds payable from ad valorem
  taxes.
         (b)  Section 375.243, Local Government Code, does not apply
  to the district.
         (c)  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 annual ad valorem tax, without
  limit as to rate or amount, for each year that all or part of the
  bonds are outstanding as required and in the manner provided by
  Sections 54.601 and 54.602, Water Code.
         (d)  All or any part of any facilities or improvements that
  may be acquired by a district by the issuance of its bonds may be
  submitted as a single proposition or as several propositions to be
  voted on at the election.
         Sec. 3984.0506.  CONSENT OF MUNICIPALITY REQUIRED. (a) The
  board may not hold an election under Section 3984.0501, issue
  bonds, or incur any debt 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.
         (b)  This section applies only to the district's first
  issuance of bonds payable from ad valorem taxes.
  SUBCHAPTER F. SALES AND USE TAX
         Sec. 3984.0601.  APPLICABILITY OF CERTAIN TAX CODE
  PROVISIONS. (a)  Chapter 321, Tax Code, governs the imposition,
  computation, administration, enforcement, and collection of the
  sales and use tax authorized by this subchapter except to the extent
  Chapter 321, Tax Code, is inconsistent with this chapter.
         (b)  A reference in Chapter 321, Tax Code, to a municipality
  or the governing body of a municipality is a reference to the
  district or the board, respectively.
         Sec. 3984.0602.  ELECTION; ADOPTION OF TAX. (a) The
  district may adopt a sales and use tax if authorized by a majority
  of the voters of the district voting at an election held for that
  purpose.
         (b)  The board by order may call an election to authorize the
  adoption of the sales and use tax. The election may be held on any
  uniform election date and in conjunction with any other district
  election.
         (c)  The ballot shall be printed to provide for voting for or
  against the proposition: "Authorization of a sales and use tax in
  the Fort Bend County Management District No. 3 at a rate not to
  exceed ____ percent" (insert rate of one or more increments of
  one-eighth of one percent).
         Sec. 3984.0603.  SALES AND USE TAX RATE. (a) On or after the
  date the results are declared of an election held under Section
  3984.0602, at which the voters approved imposition of the tax
  authorized by this subchapter, the board shall determine and adopt
  by resolution or order the initial rate of the tax, which must be in
  one or more increments of one-eighth of one percent.
         (b)  After the election held under Section 3984.0602, the
  board may increase or decrease the rate of the tax by one or more
  increments of one-eighth of one percent.
         (c)  The initial rate of the tax or any rate resulting from
  subsequent increases or decreases may not exceed the lesser of:
               (1)  the maximum rate authorized by the district voters
  at the election held under Section 3984.0602; or
               (2)  a rate that, when added to the rates of all sales
  and use taxes imposed by other political subdivisions with
  territory in the district, would result in the maximum combined
  rate prescribed by Section 321.101(f), Tax Code, at any location in
  the district.
         Sec. 3984.0604.  TAX AFTER MUNICIPAL ANNEXATION. (a)  This
  section applies to the district after a municipality annexes part
  of the territory in the district and imposes the municipality's
  sales and use tax in the annexed territory.
         (b)  If at the time of annexation the district has
  outstanding debt or other obligations payable wholly or partly from
  district sales and use tax revenue, Section 321.102(g), Tax Code,
  applies to the district.
         (c)  If at the time of annexation the district does not have
  outstanding debt or other obligations payable wholly or partly from
  district sales and use tax revenue, the district may:
               (1)  exclude the annexed territory from the district,
  if the district has no outstanding debt or other obligations
  payable from any source; or
               (2)  reduce the sales and use tax in the annexed
  territory by resolution or order of the board to a rate that, when
  added to the sales and use tax rate imposed by the municipality in
  the annexed territory, is equal to the sales and use tax rate
  imposed by the district in the district territory that was not
  annexed by the municipality.
         Sec. 3984.0605.  NOTIFICATION OF RATE CHANGE.  The board
  shall notify the comptroller of any changes made to the tax rate
  under this subchapter in the same manner the municipal secretary
  provides notice to the comptroller under Section 321.405(b), Tax
  Code.
         Sec. 3984.0606.  USE OF REVENUE. Revenue from the sales and
  use tax imposed under this subchapter is for the use and benefit of
  the district and may be used for any district purpose. The district
  may pledge all or part of the revenue to the payment of bonds,
  notes, or other obligations, and that pledge of revenue may be in
  combination with other revenue, including tax revenue, available to
  the district.
         Sec. 3984.0607.  ABOLITION OF TAX. (a)  Except as provided
  by Subsection (b), the board may abolish the tax imposed under this
  subchapter without an election.
         (b)  The board may not abolish the tax imposed under this
  subchapter if the district has outstanding debt secured by the tax,
  and repayment of the debt would be impaired by the abolition of the
  tax.
         (c)  If the board abolishes the tax, the board shall notify
  the comptroller of that action in the same manner the municipal
  secretary provides notice to the comptroller under Section
  321.405(b), Tax Code.
         (d)  If the board abolishes the tax or decreases the tax rate
  to zero, a new election to authorize a sales and use tax must be held
  under Section 3984.0602 before the district may subsequently impose
  the tax.
         (e)  This section does not apply to a decrease in the sales
  and use tax authorized under Section 3984.0604(c)(2).
  SUBCHAPTER G. HOTEL OCCUPANCY TAX
         Sec. 3984.0701.  DEFINITION. In this subchapter, "hotel"
  has the meaning assigned by Section 156.001, Tax Code.
         Sec. 3984.0702.  APPLICABILITY OF CERTAIN TAX CODE
  PROVISIONS.  (a)  For purposes of this subchapter:
               (1)  a reference in Subchapter A, Chapter 352, Tax
  Code, to a county is a reference to the district; and
               (2)  a reference in Subchapter A, Chapter 352, Tax
  Code, to the commissioners court is a reference to the board.
         (b)  Except as inconsistent with this subchapter, Subchapter
  A, Chapter 352, Tax Code, governs a hotel occupancy tax authorized
  by this subchapter, including the collection of the tax, subject to
  the limitations prescribed by Sections 352.002(b) and (c), Tax
  Code.
         Sec. 3984.0703.  TAX AUTHORIZED; USE OF REVENUE.  The
  district may impose a hotel occupancy tax for any purpose described
  by Section 351.101 or 352.101, Tax Code.
         Sec. 3984.0704.  TAX RATE.  (a)  The amount of the hotel
  occupancy tax may not exceed the lesser of:
               (1)  the maximum rate prescribed by Section 352.003(a),
  Tax Code; or
               (2)  a rate that, when added to the rates of all hotel
  occupancy taxes imposed by other political subdivisions with
  territory in the district and by this state, does not exceed the sum
  of the rate prescribed by Section 351.0025(b), Tax Code, plus two
  percent.
         (b)  The district tax is in addition to a tax imposed by a
  municipality under Chapter 351, Tax Code, or by the county under
  Chapter 352, Tax Code.
         Sec. 3984.0705.  INFORMATION.  The district may examine and
  receive information related to the imposition of hotel occupancy
  taxes to the same extent as if the district were a county.
         Sec. 3984.0706.  USE OF REVENUE.  The district may use
  revenue from the hotel occupancy tax for any district purpose that
  is an authorized use of hotel occupancy tax revenue under Chapter
  351 or 352, Tax Code.  The district may pledge all or part of the
  revenue to the payment of bonds, notes, or other obligations and
  that pledge of revenue may be in combination with other revenue
  available to the district.
         Sec. 3984.0707.  ABOLITION OF TAX. (a)  Except as provided
  by Subsection (b), the board may abolish the tax imposed under this
  subchapter.
         (b)  The board may not abolish the tax imposed under this
  subchapter if the district has outstanding debt secured by the tax,
  and repayment of the debt would be impaired by the abolition of the
  tax.
  SUBCHAPTER I. DISSOLUTION
         Sec. 3984.0901.  DISSOLUTION. (a) The board shall dissolve
  the district on written petition filed with the board by the owners
  of:
               (1)  66 percent or more of the assessed value of the
  property subject to assessment by the district based on the most
  recent certified county property tax rolls; or
               (2)  66 percent or more of the surface area of the
  district, excluding roads, streets, highways, utility
  rights-of-way, other public areas, and other property exempt from
  assessment by the district according to the most recent certified
  county property tax rolls.
         (b)  The board by majority vote may dissolve the district at
  any time.
         (c)  The district may not be dissolved by its board under
  Subsection (a) or (b) if the district:
               (1)  has any outstanding bonded indebtedness until that
  bonded indebtedness has been repaid or defeased in accordance with
  the order or resolution authorizing the issuance of the bonds;
               (2)  has a contractual obligation to pay money until
  that obligation has been fully paid in accordance with the
  contract; or
               (3)  owns, operates, or maintains public works,
  facilities, or improvements unless the district contracts with
  another person for the ownership, operation, or maintenance of the
  public works, facilities, or improvements.
         (d)  Sections 375.261, 375.262, and 375.264, Local
  Government Code, do not apply to the district.
         SECTION 2.  The Fort Bend County Management District No. 3
  initially includes all the territory contained in the following
  area:
         Being approximately 763.4 acres located in the John Jones
  Survey, Abstract 41, the Wiley Martin League, Abstract 56, the
  Peter Teal Survey, Abstract 337, and the M. M. Ryon Survey, Abstract
  368, and located in extraterritorial jurisdiction of the Town of
  Thompsons, Fort Bend County, Texas, more particularly described by
  metes and bounds as follows, (all bearings referenced to the Texas
  Coordinate System, South Central Zone, NAD83):
         Commencing for reference at the southeast corner of the Abner
  Kuykendall League, Abstract 48, said corner being in the northeast
  line of said John Jones Survey;
         Thence, North 67° 34' 45" West, 1,111.11 feet along the
  northeast line of said John Jones Survey to the north corner of the
  said John Jones Survey and east corner of said Wiley Martin League;
         Thence, South 52° 25' 15" West, 6,921.88 feet to the POINT OF
  BEGINNING of the herein described tract, said point being at the
  intersection of the west right-of-way line of State Farm to Market
  Road No. 762 (called 80 feet wide) and the southeast line of said
  Wiley Martin League and northwest line of said John Jones Survey;
         Thence, Southerly along the west right-of-way line of said
  State Farm to Market Road No. 762 with the following eleven (11)
  courses and distances:
         1.  South 08° 51' 57" East, 1,050.20 feet, more or less, to
  point, the beginning of a curve;
         2.  194.68 feet, more or less, along the arc of a tangent
  curve to the left, having a radius of 5,212.24 feet, a central angle
  of 02° 08' 24", and a chord which bears South 09° 56' 09" East, 194.67
  feet to a point for corner;
         3.  South 11° 00' 23" East, 117.20 feet, more or less, to a
  point;
         4.  South 07° 11' 32" East, 150.33 feet, more or less, to a
  point;
         5.  South 11° 00' 23" East, 450.00 feet, more or less, to a
  point;
         6.  South 16° 43' 01" East, 100.50 feet, more or less, to a
  point;
         7.  South 11° 00' 23" East, 340.80 feet, more or less, to
  point, the beginning of a curve;
         8.  402.80 feet, more or less, along the arc of a tangent
  curve to the right, having a radius of 685.50 feet, a central angle
  of 33° 40' 00", and a chord which bears South 05° 49' 37" West, 397.03
  feet to a point for corner;
         9.  South 22° 24' 43" West, at 248.71 feet pass a point in the
  North line of the Entrance Road, in all 330.91 feet, more or less,
  to a point in the South line of said Entrance Road to George Park;
         10.  South 22° 50' 06" West, 568.79 feet, more or less, to an
  angle point;
         11.  South 22° 29' 40" West, 1,570.38 feet, more or less, to
  the southeast corner of this tract;
         Thence, North 67° 30' 40" West, departing the west
  right-of-way line of said State Farm to Market Road No. 762,
  2,249.84 feet, more or less, to the southwest corner of this tract,
  said point being in the centerline of a farm road;
         Thence, North 25° 06' 53" East, along the centerline of a farm
  road, 843.77 feet, more or less, to a point for corner in the
  northwesterly line of the aforementioned M. M. Ryon Survey and the
  southeasterly line of the aforementioned Peter Teal Survey;
         Thence, South 42° 04' 42" West, with the common survey line of
  said M. M. Ryon and Peter Teal Surveys, 3,389.92 feet, more or less,
  to a point for the common east corner of said Peter Teal Survey and
  the William Byrne Survey, Abstract 112, Fort Bend County Texas;
         Thence, North 47° 55' 18" West, with the common survey line of
  said Peter Teal and said William Byrne Survey, 4,536.11 feet, more
  or less, to a point for the common west corner of said Peter Teal and
  William Byrne Surveys, same being in the southeasterly line of the
  Henry Wilcox Survey, Abstract 342, Fort Bend County, Texas;
         Thence, North 42° 04' 42" East, with the common survey line of
  said Peter Teal Survey and said Henry Wilcox Survey, 1,661.11 feet,
  more or less, to a point for the common north corner of said Peter
  Teal and Henry Wilcox Surveys, same being on the southwesterly line
  of the aforementioned Wiley Martin League;
         Thence, South 67° 54' 35" East, with the common line of said
  Peter Teal and Wiley Martin Leagues, 3,158.33 feet, more or less, to
  an angle point for corner;
         Thence, North 52° 04' 42" East, continuing with said common
  line, 1,929.30 feet, more or less, to a point for corner;
         Thence, departing the northeasterly line of said Peter Teal
  Survey and the southerly line of said Wiley Martin League, westerly
  and northerly along the centerline of a farm road the following
  eleven (11) courses and distances:
         1.  North 15° 05' 08" East, 224.85 feet, more or less, to a
  point for corner;
         2.  North 45° 58' 21" West, 1,101.01 feet, more or less, to a
  point for corner;
         3.  North 39° 47' 43" West, 109.50 feet, more or less, to a
  point for corner;
         4.  North 16° 57' 20" West, 99.03 feet, more or less, to a
  point for corner;
         5.  North 13° 29' 08" West, 438.57 feet, more or less, to a
  point for corner;
         6.  North 13° 38' 07" West, 1,498.84 feet, more or less, to a
  point for corner;
         7.  North 18° 59' 40" West, 80.30 feet, more or less, to a
  point for corner;
         8.  North 42° 20' 03" West, 62.14 feet, more or less, to a
  point for corner;
         9.  North 60° 52' 39" West, 236.49 feet, more or less, to a
  point for corner;
         10.  North 00° 52' 17" West, 160.45 feet, more or less, to a
  point for corner on a bridge at the centerline of Dry Creek for
  angle point;
         11.  North 00° 38' 30" West, 174.07 feet, more or less, to the
  northwest corner of this tract;
         Thence, North 66° 38' 04" East, departing said road, 278.20
  feet, more or less, to a point for corner;
         Thence, South 86° 26' 20" East, 71.37 feet, more or less, to a
  point for corner;
         Thence, North 48° 36' 58" East, 126.06 feet, more or less, to a
  point for corner;
         Thence, North 88° 02' 53" East, 131.33 feet, more or less, to a
  point for corner;
         Thence, North 68° 30' 10" East, 1,817.67 feet, more or less,
  to a point for re-entrant corner of this tract;
         Thence, North 38° 15' 23" West, 140.20 feet, more or less, to a
  point for corner;
         Thence, North 69° 38' 00" East, 224.50 feet, more or less, to
  the north corner of this tract, same being on the westerly
  right-of-way line of the aforementioned State Farm to Market Road
  No. 762;
         Thence, South 38° 09' 57" East, with said westerly
  right-of-way line, 1,241.87 feet, more or less, to the north corner
  of a State of Texas 2.2750 acre Tract;
         Thence, with the northerly, westerly, and southerly lines of
  said 2.2750 acre tract the following five (5) courses and
  distances:
         1.  South 51° 50' 03" West, 20.00 feet, more or less, to a
  point for corner;
         2.  South 38° 09' 57" East, 100.00 feet, more or less, to a
  point for corner, the beginning of a curve;
         3.  1,710.57 feet, more or less, along the arc of a tangent
  curve to the right, having a radius of 3,345.00 feet, a central
  angle of 29° 18' 00", and a chord which bears South 23° 30' 57" East,
  1,691.99 feet to a point for corner;
         4.  South 08° 51' 57" East, 100.00 feet, more or less, to a
  point for corner;
         5.  North 81° 08' 03" East, 20.00 feet, more or less, to a
  point for corner in the westerly right-of-way line of said State
  Farm Market Road No. 762;
         Thence, South 08° 51' 57" East, along said westerly
  right-of-way line, 289.74 feet, more or less, to the POINT OF
  BEGINNING and containing approximately 763.4 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,
  lieutenant governor, and 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 have been
  fulfilled and accomplished.
         SECTION 4.  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. 4676 was passed by the House on May 3,
  2019, by the following vote:  Yeas 127, Nays 13, 2 present, not
  voting; and that the House concurred in Senate amendments to H.B.
  No. 4676 on May 24, 2019, by the following vote:  Yeas 106, Nays 34,
  3 present, not voting.
 
  ______________________________
  Chief Clerk of the House   
 
         I certify that H.B. No. 4676 was passed by the Senate, with
  amendments, on May 22, 2019, by the following vote:  Yeas 29, Nays
  2.
 
  ______________________________
  Secretary of the Senate   
  APPROVED: __________________
                  Date       
   
           __________________
                Governor       
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