By: Metcalf (Senate Sponsor - Creighton) H.B. No. 4654

(In the Senate - Received from the House May 17, 2021; May 17, 2021, read first time and referred to Committee on Local Government; May 21, 2021, reported favorably by the following vote: Yeas 6, Nays 0; May 21, 2021, sent to printer.) Click here to see the committee vote

A BILL TO BE ENTITLED

AN ACT

relating to the creation of the Montgomery County Municipal Utility District No. 210; 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 7949A to read as follows:

CHAPTER 7949A. MONTGOMERY COUNTY MUNICIPAL UTILITY

DISTRICT NO. 210

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 7949A.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. 210.

Sec. 7949A.0102. NATURE OF DISTRICT. The district is a municipal utility district created under Section 59, Article XVI, Texas Constitution.

Sec. 7949A.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. 7949A.0104. CONSENT OF MUNICIPALITY REQUIRED. The temporary directors may not hold an election under Section 7949A.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. 7949A.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. 7949A.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. 7949A.0201. GOVERNING BODY; TERMS. (a) The district is governed by a board of five elected directors.

(b) Except as provided by Section 7949A.0202, directors serve staggered four-year terms.

Sec. 7949A.0202. TEMPORARY DIRECTORS. (a) On or after the effective date of the Act enacting this chapter, the owner or owners of a majority of the assessed value of the real property in the district may submit a petition to the commission requesting that the commission appoint as temporary directors the five persons named in the petition. The commission shall appoint as temporary directors the five persons named in the petition.

(b) Temporary directors serve until the earlier of:

(1) the date permanent directors are elected under Section 7949A.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 7949A.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 7949A.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. 7949A.0301. GENERAL POWERS AND DUTIES. The district has the powers and duties necessary to accomplish the purposes for which the district is created.

Sec. 7949A.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. 7949A.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. 7949A.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. 7949A.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.

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS

Sec. 7949A.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 7949A.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. 7949A.0402. OPERATION AND MAINTENANCE TAX. (a) If authorized at an election held under Section 7949A.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. 7949A.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. 7949A.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. 7949A.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. 7949A.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. 210 initially includes all the territory contained in the following area:

A METES & BOUNDS description of a calculated 473.5 acre tract of land situated in the Owen Shannon Survey, Abstract Number 36, and the John H. Wood Survey, Abstract Number 603, in Montgomery County, Texas, being all of a called 345.548 acre tract (Tract I) conveyed to Scott 2012 Trust by deed recorded in Clerk's File No. 2013001327, Montgomery County Official Public Records, being all of a called 125.758 acre tract, conveyed to Roger Scott and wife, Leigh Scott by deed recorded in Clerk's File No. 2006-032563, Montgomery County Official Public Records of Real Property, being all of a called 7.846 acre tract, conveyed to Roger Scott and wife, Leigh Scott by deed recorded in Clerk's File No. 2008-032591, Montgomery County Official Public Records of Real Property, and being all of a called 1.1319 acre tract conveyed to Scott 2012 Trust by deed recorded in Clerk's File No. 2013001327, Montgomery County Official Public Records, said 473.5 acre tract being more particularly described as follows with all bearings being based on the recorded west line of called 345.548 acre tract (Tract 1) as recorded under Clerk's File No. 2013001327, Montgomery County Official Public Records:

BEGINNING at a point for corner in the north line of a 74.146 acre tract recorded in Film Code No. 603-01-1804, Montgomery County, Texas and the southeast corner of a residue of a 24.8 acre tract recorded in Volume 546, Page 336, Deed Records, Montgomery County, Texas;

THENCE, North 00°20'47" East, 753.89 feet (bearing basis) to a point for corner being the northeast corner of above said residue tract and the southeast corner of a 17.75 acre tract recorded in Film Code No. 270-01-0530, Real Property Records, Montgomery County, Texas;

THENCE, North 00°19'04" East, 2,066.22 feet to a point for corner being the northeast corner of above said 17.75 acre tract and in the south line of a 74.057 acre tract recorded in Volume 757, Page 948, Deed Records, Montgomery County, Texas;

THENCE, North 89°06'24" East, 613.86 feet to a point for corner being the southeast corner of above said 74.507 acre tract;

THENCE, North 00°38'16" East, 1,613.60 feet to a point for corner being the northeast corner of a 51.030 acre tract recorded in Film Code No. 302-01-1436, Real Property Records, Montgomery County, Texas;

THENCE, North 89°40'28" West, 2,756.64 feet to a point for corner being the northwest corner of above said 51.03 acre tract in the east line of a 34.28 acre tract recorded in Film Code No. 061-01-0271, Real Property Records;

THENCE, North 00°00'02" East, 206.69 feet to a point for corner in the south line of a 14.0 acre tract recorded in Volume 441, Page 361, Deed Records, Montgomery County, Texas;

THENCE, South 89°44'43" East, 458.78 feet to a point for corner being the southeast corner of above said 14.0 acre tract and the southwest corner of a 33.00 acre tract;

THENCE, South 88°54'44" East, 813.81 feet to a point for corner being the southeast corner of above said 33.00 acre tract and the southwest corner of a 4.50 acre tract recorded in Film Code No. 111-01-0656, Real Property Records, Montgomery County, Texas;

THENCE, South 89°56'18" East, 1,485.56 feet to a point for corner;

THENCE, North 89°45'51" East, 132.59 feet to a point for corner being the southeast corner of a 27.82 acre tract recorded in Film Code No. 207-01-0901, Real Property Records, Montgomery County, Texas;

THENCE, North 00°07'47" East, 2,736.90 feet to a point for corner in the east line of above said 27.82 acre tract;

THENCE, North 00°47'32" East, at 820.20 feet passing the northeast corner of above said 27.82 acre tract and continuing in all a total distance of 911.80 feet to a point for corner in the centerline of Little Lake Creek;

THENCE, with the centerline of above said creek, the following fifty (50) courses and distances: 1. South 46°32'00" East, 25.00 feet to a point for corner; 2. North 00°57'00" East, 281.10 feet to a point for corner; 3. South 85°51'07" East, 187.59 feet to a point for corner; 4. South 75°26'00" East, 76.50 feet to a point for corner; 5. South 63°20'00" East, 86.10 feet to a point for corner; 6. North 73°18'00" East, 76.90 feet to a point for corner; 7. North 81°41'00" East, 78.10 feet to a point for corner; 8. South 00°51'00" West, 50.90 feet to a point for corner; 9. South 56°38'00" West, 126.70 feet to a point for corner; 10. South 06°56'00" West, 185.50 feet to a point for corner; 11. South 70°50'00" East, 164.90 feet to a point for corner; 12. South 48°29'00" East, 35.00 feet to a point for corner; 13. South 47°41'00" East, 94.60 feet to a point for corner; 14. South 60°18'00" West, 71.90 feet to a point for corner; 15. South 18°04'00" West, 32.60 feet to a point for corner; 16. South 81°53'00" West, 105.00 feet to a point for corner; 17. South 61°38'00" West, 93.10 feet to a point for corner; 18. South 47°34'00" East, 138.10 feet to a point for corner; 19. South 85°49'00" East, 23.90 feet to a point for corner; 20. South 37°54'00" East, 42.50 feet to a point for corner; 21. South 06°50'00" West, 74.80 feet to a point for corner; 22. South 64°49'00" East, 73.30 feet to a point for corner; 23. South 19°23'00" West, 159.50 feet to a point for corner; 24. South 16°08'00" East, 235.90 feet to a point for corner; 25. North 65°12'00" East, 156.10 feet to a point for corner; 26. South 52°44'00" East, 32.10 feet to a point for corner; 27. South 17°20'00" West, 31.70 feet to a point for corner; 28. South 55°10'00" West, 31.90 feet to a point for corner; 29. South 27°49'00" West, 37.70 feet to a point for corner; 30. South 49°18'00" East, 59.10 feet to a point for corner; 31. South 76°46'00" East, 59.10 feet to a point for corner; 32. North 71°46'00" East, 131.80 feet to a point for corner; 33. North 48°49'00" West, 67.30 feet to a point for corner; 34. North 66°26'00" West, 68.20 feet to a point for corner; 35. North 02°53'00" East, 103.90 feet to a point for corner; 36. North 59°28'00" East, 129.30 feet to a point for corner; 37. North 66°53'00" East, 41.60 feet to a point for corner; 38. South 16°36'00" East, 99.80 feet to a point for corner; 39. South 29°58'00" East, 62.00 feet to a point for corner; 40. South 60°31'00" East, 95.70 feet to a point for corner; 41. North 00°15'00" West, 39.40 feet to a point for corner; 42. North 42°01'00" East, 134.10 feet to a point for corner; 43. North 80°53'00" East, 65.10 feet to a point for corner; 44. South 05°21'00" East, 144.90 feet to a point for corner; 45. South 01°21'00" West, 55.60 feet to a point for corner; 46. South 46°03'00" East, 47.60 feet to a point for corner; 47. North 72°10'00" East, 61.10 feet to a point for corner; 48. South 87°48'00" East, 61.60 feet to a point for corner; 49. South 13°42'00" East, 35.00 feet to a point for corner; 50. South 65°36'00" West, 41.80 feet to a point for corner in the 201 contour of Lake Conroe (as called for in Clerk's File No. 2013001327, Montgomery County Official Public Records);

THENCE, with the 201 contour of Lake Conroe, the following fifty-four (54) courses and distances: 1. North 46°17'00" West, 13.60 feet to a point for corner; 2. South 53°50'00" West, 37.60 feet to a point for corner; 3. South 42°08'00" West, 47.50 feet to a point for corner; 4. South 26°24'00" West, 76.70 feet to a point for corner; 5. South 48°35'00" West, 90.00 feet to a point for corner; 6. South 20°18'00" East, 108.60 feet to a point for corner; 7. South 05°44'00" East, 97.20 feet to a point for corner; 8. South 27°14'00" East, 171.90 feet to a point for corner; 9. South 47°12'00" East, 79.00 feet to a point for corner; 10. South 54°07'00" East, 93.20 feet to a point for corner; 11. South 65°12'00" East, 144.00 feet to a point for corner; 12. South 48°27'00" East, 189.30 feet to a point for corner; 13. South 29°45'00" East, 70.10 feet to a point for corner; 14. South 38°05'00" West, 92.30 feet to a point for corner; 15. South 08°01'00" West, 131.40 feet to a point for corner; 16. South 70°13'00" East, 54.10 feet to a point for corner; 17. South 63°03'00" East, 58.50 feet to a point for corner; 18. North 71°48'00" East, 80.50 feet to a point for corner; 19. North 41°21'00" East, 74.20 feet to a point for corner; 20. North 32°02'00" East, 70.00 feet to a point for corner; 21. South 82°00'00" East, 88.00 feet to a point for corner; 22. North 56°19'00" East, 50.40 feet to a point for corner; 23. South 41°56'00" East, 44.40 feet to a point for corner; 24. South 10°47'00" East, 58.40 feet to a point for corner; 25. South 83°04'00" West, 112.60 feet to a point for corner; 26. South 25°03'00" West, 49.20 feet to a point for corner; 27. South 52°09'00" East, 80.20 feet to a point for corner; 28. South 46°54'00" East, 50.20 feet to a point for corner; 29. South 18°30'00" East, 130.60 feet to a point for corner; 30. South 80°17'00" West, 70.60 feet to a point for corner; 31. South 58°20'00" West, 57.90 feet to a point for corner; 32. South 56°08'00" East, 185.90 feet to a point for corner; 33. South 46°12'00" East, 198.90 feet to a point for corner; 34. South 65°04'00" East, 125.40 feet to a point for corner; 35. South 29°05'00" East, 96.50 feet to a point for corner; 36. South 04°52'00" East, 218.60 feet to a point for corner; 37. South 16°36'00" East, 130.40 feet to a point for corner; 38. South 04°28'00" East, 212.40 feet to a point for corner; 39. South 07°36'00" West, 143.30 feet to a point for corner; 40. South 00°44'00" West, 127.00 feet to a point for corner; 41. South 05°01'00" West, 98.10 feet to a point for corner; 42. South 12°43'00" East, 195.20 feet to a point for corner; 43. South 23°24'00" East, 177.00 feet to a point for corner; 44. South 56°38'17" East, 131.37 feet to a point for corner; 45. South 58°15'45" East, 37.80 feet to a point for corner; 46. South 19°27'45" East, 78.90 feet to a point for corner; 47. South 51°53'45" East, 92.70 feet to a point for corner; 48. South 44°23'45" East, 111.00 feet to a point for corner; 49. South 75°33'45" East, 102.40 feet to a point for corner; 50. South 63°58'45" East, 155.10 feet to a point for corner; 51. South 53°48'45" East, 156.60 feet to a point for corner; 52. South 29°16'45" East, 188.00 feet to a point for corner; 53. South 19°12'45" East, 95.10 feet to a point for corner; 54. South 50°28'56" East, 42.74 feet to a point for corner in the west line of F.M. 1097;

THENCE, with the west line of above said road, the following seven (7) courses and distances: 1. South 31°50'46" West, 300.73 feet to a point for corner; 2. South 25°46'07" West, 102.95 feet to a point for corner; 3. South 24°43'00" West, 103.80 feet to a point for corner; 4. South 11°51'26" West, 314.47 feet to a point for corner; 5. South 19°21'33" West, 398.89 feet to a point for corner; 6. South 72°49'24" East, 44.03 feet to a point for corner; 7. South 16°05'24" West, 579.11 feet to a point for corner being the northeast corner of a 10.00 acre tract recorded in File No. 8406528, Real Property Records, Montgomery County, Texas;

THENCE, North 89°40'06" West, 955.80 feet to a point for corner being the northwest corner of above said 10.00 acre tract;

THENCE, South 41°53'13" West, 576.96 feet to a point for corner being the northwest corner of a 4.9325 acre tract recorded under File No. 9232857, Real Property Records, Montgomery County, Texas, being the southwest corner of above said 10.00 acre tract;

THENCE, South 41°58'16" West, 203.49 feet to a point for corner being the southwest corner of above said 4.9325 acre tract, the northwest corner of a residue 9.789 acre tract recorded in Film Code No. 253-01-1898, Real Property Records, Montgomery County, Texas;

THENCE, South 42°02'16" West, 171.89 feet to a point for corner being the northwest corner of a 12.38 acre tract recorded in Film Code No. 402-01-1786, Real Property Records, Montgomery County, Texas and the southwest corner of above said residue tract;

THENCE, South 42°04'26" West, 607.87 feet to a point for corner in the north line of a 150.00 acre tract recorded in Volume 233, Page 142, Deed Records, Montgomery County, Texas;

THENCE, North 88°29'18" West, 339.86 feet to a point for corner being the northwest corner of above said 150.00 acre tract and a corner of above said 345.548 acre tract;

THENCE, South 01°25'00" West, 1,433.98 feet to a point for corner in the northwest line of F.M. 1097;

THENCE, with the northwest line of F.M. 1097, the following two (2) courses and distances: 1. South 52°24'11" West, 132.30 feet to a point for corner in the northerly line of that certain called 81.23 acre (80.72 net acres) tract described in instrument to Sarah Anne Peel Mabry, recorded in Volume 683, Page 279 of the Deed Records of Montgomery County, Texas, for the southerly southeasterly corner of above said 345.548 acre tract; 2. South 44°23'30" West, 473.59 feet severing said 81.23 acre tract to a point for corner in the westerly line of said 81.23 acre tract for the easterly southeast corner of a called 13.5 acre tract described as "Tract 29" in instrument to Joda Mize and Rexina Mize, recorded in Clerk's File No. 2015010982, Official Public Records of Real Property, Montgomery County, Texas;

THENCE, North 01°43'03" East, at 347.69 feet passing the common westerly corner of said 81.23 acre tract and said above said 345.548 acre tract and continuing in all a total distance of 1,236.98 feet to a point for corner, being the northeast corner of a 14.81 acre tract recorded in Volume 596, Page 81, Deed Records Montgomery County, Texas;

THENCE, North 88°57'34" West, 233.73 feet to a point for corner;

THENCE, North 88°55'24" West, 187.44 feet to a point for corner being the northwest corner of above said 14.81 acre tract and the northeast corner of above said 74.145 acre tract;

THENCE, North 88°56'36" West, 556.24 feet to the POINT OF BEGINNING, CONTAINING 473.5 acres (20,624,272 square feet) of land in Montgomery County, Texas, filed in the office of Manhard Consulting, Ltd. in The Woodlands, Texas.

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 7949A, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 7949A.0306 to read as follows:

Sec. 7949A.0306. 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, 2021.

* * * * *