Bill Text: TX SB1160 | 2021-2022 | 87th Legislature | Enrolled


Bill Title: Relating to the creation of the Gulf Coast Protection District; providing authority to issue bonds; providing authority to impose fees; providing authority to impose a tax; granting the power of eminent domain.

Spectrum: Bipartisan Bill

Status: (Passed) 2021-06-16 - Effective immediately [SB1160 Detail]

Download: Texas-2021-SB1160-Enrolled.html
 
 
  S.B. No. 1160
 
 
 
 
AN ACT
  relating to the creation of the Gulf Coast Protection District;
  providing authority to issue bonds; providing authority to impose
  fees; providing authority to impose a tax; granting the power of
  eminent domain.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle K, Title 6, Special District Local Laws
  Code, is amended by adding Chapter 9502 to read as follows:
  CHAPTER 9502. GULF COAST PROTECTION DISTRICT
  SUBCHAPTER A. GENERAL PROVISIONS
         Sec. 9502.0101.  DEFINITIONS. In this chapter:
               (1)  "Board" means the district's board of directors.
               (2)  "Director" means a board member.
               (3)  "District" means the Gulf Coast Protection
  District.
               (4)  "Ecosystem restoration report" means the Sabine
  Pass to Galveston Bay, Texas Coastal Storm Risk Management and
  Ecosystem Restoration Final Integrated Feasibility
  Report—Environmental Impact Statement issued by the Galveston
  District, Southwestern Division, of the United States Army Corps of
  Engineers in May 2017.
               (5)  "Protection and restoration study" means the
  Coastal Texas Protection and Restoration Feasibility Study Final
  Integrated Feasibility Report and Environmental Impact Statement
  to be issued by the Galveston District, Southwestern Division, of
  the United States Army Corps of Engineers, the draft version of
  which was issued in October 2020.
         Sec. 9502.0102.  NATURE OF DISTRICT. The district is a
  special district created under Section 59, Article XVI, Texas
  Constitution.
         Sec. 9502.0103.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
  (a) The creation of the district is essential to accomplish the
  purposes of Section 59, Article XVI, Texas Constitution, and other
  public purposes stated in this chapter.
         (b)  The creation of the district is necessary to establish
  an instrumentality for protecting the coast in Chambers, Galveston,
  Harris, Jefferson, and Orange Counties in the manner provided by
  this chapter.
         (c)  The district is created to serve a public use and
  benefit.
         (d)  All land and other property included in the boundaries
  of the district will benefit from the works and projects
  accomplished by the district.
         Sec. 9502.0104.  DISTRICT TERRITORY. (a) The district is
  composed of the territory in Chambers, Galveston, Harris,
  Jefferson, and Orange Counties and territory annexed to the
  district as described by Subsection (b).
         (b)  The governing body of the district by order shall annex
  to the district the territory of a county included in the protection
  and restoration study at the request of the commissioners court of
  that county.
         Sec. 9502.0105.  APPLICATION OF SUNSET ACT. (a) The
  district is subject to review under Chapter 325, Government Code
  (Texas Sunset Act), but may not be abolished under that chapter.
  The review shall be conducted under Section 325.025, Government
  Code, as if the authority were a state agency scheduled to be
  abolished September 1, 2033, and every 12th year after that year.
         (b)  The limited review under this section must assess the
  district's:
               (1)  governance;
               (2)  management;
               (3)  operating structure; and
               (4)  compliance with legislative requirements.
         (c)  The district shall pay the cost incurred by the Sunset
  Advisory Commission in performing the review. The Sunset Advisory
  Commission shall determine the cost, and the district shall pay the
  amount promptly on receipt of a statement from the Sunset Advisory
  Commission detailing the cost.
         (d)  The district may not be required to conduct a management
  audit under 30 T.A.C. Chapter 292.
  SUBCHAPTER B. BOARD OF DIRECTORS
         Sec. 9502.0201.  GOVERNING BODY; TERMS. (a) The district is
  governed by a board of 11 directors.
         (b)  The commissioners courts of Chambers County, Galveston
  County, Harris County, Jefferson County, and Orange County each
  shall appoint one director.
         (c)  The governor, with the advice and consent of the senate,
  shall appoint six directors as follows:
               (1)  two directors to represent Harris County, in
  addition to the member appointed by the commissioners court under
  Subsection (b);
               (2)  one director to represent a municipality in the
  district;
               (3)  one director to represent ports;
               (4)  one director to represent industry; and
               (5)  one director to represent environmental concerns.
         (d)  In making the appointments required by Subsection (c),
  the governor shall ensure that residents of a single county do not
  make up a majority of the directors.
         (e)  The governor shall consult with:
               (1)  the commissioners court of Harris County in making
  the appointments required by Subsection (c)(1); and
               (2)  municipalities in the district in making the
  appointment required by Subsection (c)(2).
         (f)  Directors serve staggered four-year terms.
         (g)  When a director's term expires, the appointing entity
  shall appoint a successor.
         (h)  If a director's office becomes vacant by death,
  resignation, or removal, the appointing entity shall appoint a
  director to serve for the remainder of the unexpired term.
         (i)  The board shall elect a presiding officer from among the
  directors to serve in that position for two years. A director may
  serve as the presiding officer for not more than two consecutive
  terms.
         (j)  Notwithstanding Subsection (f), the governor shall
  designate from the 11 initial directors 5 directors to serve a first
  term of two years. This subsection expires September 1, 2025.
         Sec. 9502.0202.  QUALIFICATION. (a) To qualify for office,
  a director must be a registered voter who resides in the district.
         (b)  To qualify for office, a director described by Section
  9502.0201(b) or (c)(1) or (2) must be a resident of the county or
  municipality the person is appointed to represent.
         Sec. 9502.0203.  CERTAIN CONFLICTS PROHIBITED. (a) An
  individual is not eligible to serve as a director if, in the
  preceding 24 months, the individual had an interest in or was
  employed by or affiliated with a person who has submitted a bid or
  entered into a contract for a district project.
         (b)  The board may not employ or appoint an individual
  described by Subsection (a) to work for the district.
         (c)  A director may not acquire a direct or indirect interest
  in a district project.
         Sec. 9502.0204.  REIMBURSEMENT. A director is not entitled
  to compensation but is entitled to reimbursement for necessary
  expenses incurred in carrying out the duties and responsibilities
  of the board.
         Sec. 9502.0205.  VOTING. A concurrence of a majority of the
  directors is required for transacting any business of the district.
         Sec. 9502.0206.  TEMPORARY EXECUTIVE DIRECTOR. The governor
  shall appoint a temporary executive director for the district to
  serve until the initial board members hire an executive director
  for the district.
  SUBCHAPTER C. POWERS AND DUTIES
         Sec. 9502.0301.  GENERAL DISTRICT POWERS. (a) Except as
  otherwise provided by this section, the district may:
               (1)  establish, construct, extend, maintain, operate,
  or improve a coastal barrier or storm surge gate in the manner
  provided by Chapter 571, Local Government Code, for a county to
  establish, construct, extend, maintain, or improve a seawall;
               (2)  exercise the authority granted to counties to
  conduct any project described by Chapter 571, Local Government
  Code;
               (3)  establish, construct, and maintain recreational
  facilities for public use and environmental mitigation facilities
  related to a project described by Subdivision (1) or (2);
               (4)  establish, construct, maintain, or operate a
  project recommended in the ecosystem restoration report or the
  protection and restoration study; and
               (5)  provide interior drainage remediation or
  improvements to reduce additional flood risk for a project
  recommended in the ecosystem restoration report where additional
  flood risk results from the design or construction of a project
  described by Subdivision (1), (2), or (4).
         (b)  Sections 571.006, 571.007, 571.008, 571.009, and
  571.010, Local Government Code, do not apply to the district.
         (c)  Before implementing a project described by Subsection
  (a), the district shall consult with local, state, and federal
  entities to determine whether an environmental remediation
  response action is anticipated or located near or at the proposed
  location of the project.
         (d)  If implementation of a project described by Subsection
  (a) disrupts, wholly or partly, an ongoing or planned environmental
  remediation response action, the district shall:
               (1)  consult with the responsible party of the
  environmental remediation response action; and
               (2)  coordinate implementation of the project in a
  manner that does not disrupt the environmental remediation response
  action.
         Sec. 9502.0302.  TAXES AND BONDS. (a) The district must
  hold an election in the manner provided by Chapter 49, Water Code,
  to obtain voter approval before the district may impose an ad
  valorem tax or issue bonds payable from ad valorem taxes.
         (b)  The board may impose the tax at a rate not to exceed 5
  cents on each $100 valuation.
         (c)  The district, without an election, may issue bonds,
  notes, or other obligations secured by revenue other than ad
  valorem taxes.
         (d)  The district may grant an abatement for a tax owed to the
  district in the manner provided by Chapter 312, Tax Code.
         Sec. 9502.0303.  REQUIREMENTS FOR CERTAIN PROJECTS. If the
  district enters into an agreement with another entity to implement
  a project recommended in the ecosystem restoration report or the
  protection and restoration study, the district:
               (1)  shall develop a maintenance and operation plan for
  the project;
               (2)  may enter into a partnership with a private entity
  to fund a local share of the cost of the project; and
               (3)  may use any available money to provide matching
  funds to the United States Army Corps of Engineers to implement the
  project.
         Sec. 9502.0304.  ACQUISITION AND DISPOSITION OF PROPERTY AND
  RIGHTS. (a) The district may purchase, lease, acquire by gift,
  maintain, use, and operate property of any kind appropriate for the
  exercise of the district's functions, including acquiring property
  by mutual agreement with a navigation district or a drainage
  district.
         (b)  The district may acquire permits, licenses, and rights
  related to the exercise of the district's functions.
         Sec. 9502.0305.  COSTS OF RELOCATION OF PROPERTY; EASEMENTS.
  (a) In the event that the district, in the exercise of the power of
  eminent domain or power of relocation or any other power, makes
  necessary the relocation, raising, lowering, rerouting, or change
  in grade of or alteration in construction of any electric
  transmission or distribution line or telephone properties,
  facilities, or pipelines, all necessary relocations, raising,
  lowering, rerouting, or change in grade or alteration of
  construction shall be done at the sole expense of the district.
         (b)  In this section, "sole expense" means the actual cost of
  the relocation, raising, lowering, rerouting, or change in grade or
  alteration of construction and providing comparable replacement
  without enhancing the facilities after deducting from it the net
  salvage value derived from the old facility.
         (c)  The district has all necessary or useful rights-of-way
  and easements along, over, under, and across all public, state,
  municipal, and county roads, highways, and places for any of its
  purposes. The district shall restore a used facility to its
  previous condition as nearly as possible at the sole expense of the
  district.
         (d)  The district may acquire, sell, lease, convey, or
  otherwise dispose of a right-of-way or easement under terms and
  conditions determined by the district.
         Sec. 9502.0306.  AGREEMENTS. (a) The district may enter
  into a cooperative agreement with a political subdivision, a state
  agency, the United States Army Corps of Engineers, or another
  federal agency for a purpose related to the study, design,
  construction, operation, or maintenance of a district project.
         (b)  The district may enter into an interlocal agreement with
  a political subdivision for a purpose related to the study, design,
  construction, operation, or maintenance of a district project to
  include the acceptance of the assignment of rights or obligations
  in an existing design agreement or a project partnership agreement
  between the political subdivision and the United States Army Corps
  of Engineers.
         Sec. 9502.0307.  CONTRACTS GENERALLY. (a) The district may
  enter into contracts and execute instruments that are necessary or
  convenient to the exercise of the district's powers, rights,
  duties, and functions. A contract may be for any term, including
  for the life of any facility or structure in the territory of the
  district.
         (b)  The district and another governmental entity may enter
  into a contract for the operation or maintenance of an authorized
  project in the same way that a political subdivision may contract
  with another governmental entity under Chapter 472, Transportation
  Code, to construct or maintain a road or highway.
         (c)  The district may enter into a project partnership
  agreement with the United States Army Corps of Engineers for the
  study, design, construction, operation, and maintenance of a
  project recommended in the ecosystem restoration report or the
  protection and restoration study.
         (d)  A public agency or political subdivision is authorized
  to:
               (1)  enter into a contract with the district;
               (2)  determine, agree, and pledge that all or any part
  of its payments under a contract with the district shall be payable
  from any source, subject only to the authorization by a majority
  vote of the governing body of such public agency or political
  subdivision of the contract, pledge, and payments;
               (3)  use and pledge any available revenues or resources
  for and to the payment of amounts due under a contract with the
  district as an additional source of payment or as the sole source of
  payment and agree with the district to assure the availability of
  revenue and resources when required; and
               (4)  fix, charge, and collect impact fees and utility
  charges, if the public agency or political subdivision is otherwise
  authorized to impose the fees and charges, and to use and pledge
  revenue from the fees or charges to make payments to the district
  required under a contract with the district.
         Sec. 9502.0308.  REQUIREMENTS FOR CERTAIN CONTRACTS. (a)
  Chapter 2269, Government Code, applies to the district's public
  work contracts, as defined by Section 2269.001, Government Code.
  Section 2269.003(d), Government Code, does not apply to the
  district.
         (b)  The district shall comply with Subchapter A, Chapter
  2254, Government Code.
         Sec. 9502.0309.  CONFLICT WITH ORDER OR ACTION OF ANOTHER
  POLITICAL SUBDIVISION. An order or action of the Harris County
  Flood Control District, a river authority, a port authority, a
  navigation district, or a drainage district relating to the
  operation or maintenance of a district project supersedes an order
  or action of the district to the extent of any conflict.
         Sec. 9502.0310.  AUTHORITY TO DEVELOP BARRIER CLOSURE
  PROCEDURES. If the district implements a project to create a
  coastal barrier, the district shall develop closure procedures in
  conjunction with each board of trustees established under Chapter
  54, Transportation Code, port authority, navigation district, and
  drainage district affected by the barrier or closure.  For the Texas
  City Channel, the district shall develop closure procedures with
  any common carrier terminal railroad providing rail and maritime
  terminal services to the users of the navigation channel.
         Sec. 9502.0311.  ANNUAL REPORT REQUIRED. The district shall
  annually submit a report to the legislature, the Legislative Budget
  Board, the General Land Office, and the commissioners court of each
  county in which the district is located. The report must:
               (1)  describe the district's financial condition and
  operations during the preceding year;
               (2)  propose a budget for the following year; and
               (3)  describe generally the work proposed for the
  following year.
         Sec. 9502.0312.  EMINENT DOMAIN. (a) The district may
  exercise the power of eminent domain to acquire a fee simple or
  other interest in any type of property if the interest is necessary
  or convenient for the exercise of the district's functions. The
  district must exercise the power of eminent domain in the manner
  provided by Chapter 21, Property Code.
         (b)  The district may not exercise the power of eminent
  domain to acquire property owned or operated by a port authority,
  navigation district, drainage district, or common carrier
  railroad.
         SECTION 2.  (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 3.  (a) Section 9502.0312, Special District Local
  Laws Code, as added by Section 1 of this Act, takes effect only if
  this Act receives a two-thirds vote of all the members elected to
  each house.
         (b)  If this Act does not receive a two-thirds vote of all the
  members elected to each house, Subchapter C, Chapter 9502, Special
  District Local Laws Code, as added by Section 1 of this Act, is
  amended by adding Section 9502.0312 to read as follows:
         Sec. 9502.0312.  NO EMINENT DOMAIN POWER. The district may
  not exercise the power of eminent domain.
         (c)  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 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, 2021.
 
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1160 passed the Senate on
  April 14, 2021, by the following vote:  Yeas 31, Nays 0;
  May 25, 2021, Senate refused to concur in House amendments and
  requested appointment of Conference Committee; May 27, 2021, House
  granted request of the Senate; May 29, 2021, Senate adopted
  Conference Committee Report by the following vote:  Yeas 31,
  Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1160 passed the House, with
  amendments, on May 20, 2021, by the following vote:  Yeas 130,
  Nays 16, one present not voting; May 27, 2021, House granted
  request of the Senate for appointment of Conference Committee;
  May 29, 2021, House adopted Conference Committee Report by the
  following vote:  Yeas 131, Nays 8, one present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
             Date
 
 
  ______________________________ 
            Governor
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