73R7888 JJT-F By Johnson H.B. No. 2864 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the creation, administration, powers, duties, 1-3 functions, operations, and financing of the Brookeland Municipal 1-4 Utility District; providing for the authorization of bonds and the 1-5 levy of property taxes. 1-6 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-7 SECTION 1. CREATION; LEGISLATIVE DECLARATION. (a) A 1-8 conservation and reclamation district, to be known as the 1-9 Brookeland Municipal Utility District, is created in Jasper County, 1-10 subject to approval at a confirmation election under Section 11 of 1-11 this Act. The district is a governmental agency and a body politic 1-12 and corporate. 1-13 (b) The district is created under and is essential to 1-14 accomplish the purposes of Article XVI, Section 59, of the Texas 1-15 Constitution. 1-16 SECTION 2. DEFINITION. In this Act, "district" means the 1-17 Brookeland Municipal Utility District. 1-18 SECTION 3. BOUNDARIES. The district includes the territory 1-19 contained within the following area: 1-20 BEING 1580 ACRES, MORE OR LESS, OUT OF THE M. CUMMINGS 1-21 SURVEY, ABSTRACT NO. 11, DONALD MCDONALD LEAGUE, 1-22 ABSTRACT NO. 36, E. S. JOHNSTON LEAGUE ABSTRACT NO. 26, 1-23 S. W. BLOUNT, JR. SURVEY, ABSTRACT NO. 493, SABINE 1-24 COUNTY, TEXAS, AND J. H. KIRBY SURVEY, ABSTRACT 2-1 NO. 917, AND THE WILLIAM WALKER SURVEY, ABSTRACT NO. 2-2 526, JASPER COUNTY, TEXAS, AND SAID 1580 ACRES, MORE OR 2-3 LESS, BEING MORE PARTICULARLY DESCRIBED AS FOLLOWS: 2-4 BEGINNING at a point at the intersection of the 2-5 centerline of U.S. Highway No. 96 and the centerline 2-6 of Mill Creek, said point being 400 feet, more or less, 2-7 north of the intersection of the centerlines of U.S. 2-8 Highway 96 and State Highway No. 149 in Jasper County; 2-9 THENCE West for a distance of 1700 feet, more or less, 2-10 to the United States Corp of Engineer Boundary line for 2-11 Sam Rayburn Reservoir; 2-12 THENCE in a northerly direction with the meanders of 2-13 the United States Corp of Engineers Boundary line for 2-14 the Sam Rayburn Reservoir for a distance of 13 miles, 2-15 more or less, to a point at the intersection of said 2-16 boundary line and the west right-of-way line of the 2-17 Gulf Coast and Santa Fe Railroad, said point being 2-18 located, along the west right-of-way line of said 2-19 railroad, a distance of 7500 feet more or less, north 2-20 of the Sabine County and Jasper County line; 2-21 THENCE in a southerly direction with the west 2-22 right-of-way line of said railroad for a distance of 2-23 9500 feet, more or less, to a point for corner at the 2-24 intersection of said railroad right-of-way and the 2-25 north boundary line of the City of Browndell, Texas; 2-26 said point being located 2350 feet, more or less, in a 2-27 southerly direction along the said railroad 3-1 right-of-way from the Sabine and Jasper county line; 3-2 THENCE in a northwesterly direction with the northerly 3-3 boundary line of said City of Browndell for a distance 3-4 of 5100 feet, more or less, to point for corner in the 3-5 east right-of-way line of said U.S. Highway No. 96; 3-6 THENCE in a southerly direction along the east 3-7 right-of-way line of U.S. Highway No. 96 for a 3-8 distance of 3000 feet, more or less, to the PLACE OF 3-9 BEGINNING. 3-10 SECTION 4. FINDINGS RELATING TO BOUNDARIES. The legislature 3-11 finds that the boundaries and field notes of the district form a 3-12 closure. A mistake in the field notes or in copying the field 3-13 notes in the legislative process does not affect the organization, 3-14 existence, or validity of the district, the right of the district 3-15 to issue bonds or refunding bonds or to pay the principal of or 3-16 interest on the bonds, the right of the district to levy and 3-17 collect taxes, or the legality or operation of the district or its 3-18 governing body. 3-19 SECTION 5. FINDING OF BENEFIT. All of the land and other 3-20 property included within the boundaries of the district will be 3-21 benefited by the works and projects that are to be accomplished by 3-22 the district under powers conferred by Article XVI, Section 59, of 3-23 the Texas Constitution. The district is created to serve a public 3-24 use and benefit. 3-25 SECTION 6. POWERS. (a) The district has all of the rights, 3-26 powers, privileges, authority, functions, and duties conferred by 3-27 the general law of this state, including those conferred by 4-1 Chapters 50 and 54, Water Code, applicable to municipal utility 4-2 districts created under Article XVI, Section 59, of the Texas 4-3 Constitution. This Act prevails over any provision of general law 4-4 that is in conflict or inconsistent with this Act. 4-5 (b) The rights, powers, privileges, authority, functions, 4-6 and duties granted to the district are subject to the continuing 4-7 right of supervision of the state, to be exercised by and through 4-8 the Texas Natural Resource Conservation Commission. 4-9 SECTION 7. BONDS. The district may issue bonds to provide 4-10 all improvements and the maintenance of the improvements necessary 4-11 to accomplish the purposes of Article XVI, Section 59, of the Texas 4-12 Constitution and this Act. 4-13 SECTION 8. TAXING AUTHORITY. (a) The district may levy, 4-14 assess, and collect equitably distributed taxes necessary: 4-15 (1) to pay the interest on bonds issued by the 4-16 district; 4-17 (2) to create a sinking fund for the payment of the 4-18 bonds; and 4-19 (3) for the maintenance of the district and 4-20 improvements. 4-21 (b) The district may levy, assess, collect, and pledge to 4-22 the payment of bonds all or a portion of: 4-23 (1) an annual ad valorem tax on all taxable property 4-24 within the district without limit as to rate or amount; or 4-25 (2) a tax, annual or otherwise, on all taxable real 4-26 property in the district apportioned according to a special benefit 4-27 received by the property as a result of district improvements. 5-1 (c) Any property within 100 feet of a water line, a sewer 5-2 line, or both is deemed to receive a special benefit, and the 5-3 district may impose on the property the tax authorized by 5-4 Subsection (b)(2) of this section. 5-5 (d) Before any tax is levied, the board of directors shall 5-6 hold a public hearing in the district. The board of directors 5-7 shall publish notice of the hearing in a newspaper of general 5-8 circulation in the district once a week for two consecutive weeks, 5-9 the date of the first publication to be not later than 14 days 5-10 before the date of the hearing. The board of directors may not 5-11 levy a tax unless the tax is approved at an election called and 5-12 conducted in the manner provided by Subchapter F, Chapter 54, Water 5-13 Code, for a bond election. The board of directors shall draft a 5-14 reasonable ballot proposition for the election. Taxes levied by 5-15 the district shall be equitably distributed. The annual ad valorem 5-16 tax shall be levied on an equal and uniform basis. 5-17 SECTION 9. MAINTENANCE TAX. (a) The district may levy and 5-18 collect a tax for maintenance purposes, including planning, 5-19 maintaining, repairing, and operating all necessary plants, works, 5-20 facilities, improvements, appliances, and equipment of the district 5-21 and paying costs of proper services, engineering, and legal fees 5-22 and organization and administrative expenses. 5-23 (b) A maintenance tax may not be levied by the district 5-24 until it is approved by a majority of the voters who vote in an 5-25 election held for that purpose. 5-26 (c) The maintenance tax election may be held at the same 5-27 time and in conjunction with the election to authorize bonds. The 6-1 election must be called and conducted in the manner provided by 6-2 Subchapter F, Chapter 54, Water Code, for a bond election. The 6-3 board of directors shall draft a reasonable ballot proposition for 6-4 the election. 6-5 SECTION 10. BOARD OF DIRECTORS. (a) The district is 6-6 governed by a board of five directors. 6-7 (b) Except for the temporary and initial directors, each 6-8 director shall serve for the term of office provided for directors 6-9 under Chapter 54, Water Code, and until the director's successor is 6-10 elected and has qualified. 6-11 (c) Each director shall qualify to serve as director in the 6-12 manner provided by Chapter 54, Water Code. 6-13 (d) The temporary board of directors of the district is 6-14 composed of: 6-15 (1) Coy Pinnix; 6-16 (2) Doris Hamilton; 6-17 (3) Wilburn Weaver; 6-18 (4) Richard Chapman; and 6-19 (5) Mrs. J. C. Linscomb. 6-20 (e) If a temporary director fails to qualify for office, the 6-21 temporary directors who qualify for office shall appoint a person 6-22 to fill the vacancy for the unexpired term. If at any time the 6-23 number of qualified directors is fewer than three because of the 6-24 failure or refusal of one or more directors to qualify to serve, 6-25 because of death or incapacitation, or for any other reason, the 6-26 Commissioners Court of Jasper County shall appoint the necessary 6-27 number of directors to fill all vacancies on the board. 7-1 (f) The temporary directors shall serve until initial 7-2 directors are elected as provided by Section 11 of this Act and 7-3 Chapter 54, Water Code, and have qualified. 7-4 SECTION 11. CONFIRMATION AND DIRECTORS' ELECTION. (a) An 7-5 election shall be called and held to confirm establishment of the 7-6 district and to elect five initial directors as provided by Chapter 7-7 54, Water Code. 7-8 (b) Section 41.001(a), Election Code, does not apply to an 7-9 election under this section. 7-10 SECTION 12. ELECTION OF DIRECTORS. On the first Saturday in 7-11 May of the second year after the year in which the confirmation 7-12 election is held, an election shall be held in the district for the 7-13 election of two directors, each of whom shall serve a two-year 7-14 term, and three directors, each of whom shall serve a four-year 7-15 term. On the first Saturday in May of each subsequent second year, 7-16 the appropriate number of directors shall be elected to the board. 7-17 SECTION 13. ADDITIONAL AUTHORITY. (a) The district may 7-18 enter into contracts for: 7-19 (1) the purchase or sale of both raw and treated 7-20 water; 7-21 (2) the transportation, treatment, and disposal of the 7-22 district's domestic, industrial, or communal wastes; 7-23 (3) the transportation, treatment, and disposal of 7-24 domestic, industrial, or communal wastes as provided by Chapter 30, 7-25 Water Code; 7-26 (4) the purchase, lease, use, management, control, or 7-27 operation of water treatment or distribution facilities, sewer 8-1 collection and treatment facilities, or all or part of facilities 8-2 or systems owned by other political subdivisions; and 8-3 (5) planning, surveying, investigating, or preparing 8-4 reports of any kind. 8-5 (b) The district may acquire, develop, and use underground 8-6 or surface water rights. 8-7 SECTION 14. DISTRICT FACILITIES. (a) The district may 8-8 adopt standard specifications for facilities that are designed or 8-9 constructed to provide: 8-10 (1) storage, treatment, or transportation of water for 8-11 domestic, municipal, or industrial purposes; 8-12 (2) collection, treatment, and disposal of sewage; or 8-13 (3) disposal of solid wastes. 8-14 (b) The board shall hold a public hearing on the adoption of 8-15 standard specifications for facilities of the district. The board 8-16 shall give notice of the hearing to the Texas Natural Resource 8-17 Conservation Commission and shall publish notice of the hearing in 8-18 a newspaper with general circulation in the district not later than 8-19 the 10th day before the date set for the hearing. 8-20 (c) A person adversely affected by a standard specification 8-21 may bring suit in the district court of Jasper County for a 8-22 declaratory judgment on the validity of the specification. The 8-23 court may declare the specification invalid only if the court finds 8-24 the adoption of the standard to be arbitrary, capricious, or an 8-25 abuse of discretion. 8-26 (d) The district may bring suit to enjoin the construction 8-27 of a facility subject to the specifications or addition to an 9-1 existing facility subject to the specifications or against a 9-2 facility whose operations are not in compliance with the 9-3 specifications. 9-4 (e) The specifications shall be filed with the Texas Natural 9-5 Resource Conservation Commission. 9-6 (f) Specifications adopted under this section do not apply 9-7 to a facility within the boundaries or extraterritorial 9-8 jurisdiction of a municipality unless the governing body of the 9-9 municipality approves the specifications by resolution. 9-10 SECTION 15. CONSTRUCTION OR ACQUISITION OF WATER OR SEWER 9-11 SYSTEMS. (a) The district may acquire any existing water system, 9-12 sewer system, or water and sewer system that serves all or part of 9-13 the territory located inside or outside the district's boundaries. 9-14 (b) The district may improve and extend an acquired system 9-15 or may construct a water system, sewer system, or water and sewer 9-16 system. 9-17 (c) Construction contracts are governed by the competitive 9-18 bidding requirement provided by Subchapter B, Chapter 271, Local 9-19 Government Code, but contracts for the acquisition of existing 9-20 water or sewer facilities may be made on terms to which the parties 9-21 agree. 9-22 SECTION 16. FINDINGS RELATING TO PROCEDURAL REQUIREMENTS. 9-23 (a) The proper and legal notice of the intention to introduce this 9-24 Act, setting forth the general substance of this Act, has been 9-25 published as provided by law, and the notice and a copy of this Act 9-26 have been furnished to all persons, agencies, officials, or 9-27 entities to which they are required to be furnished by the 10-1 constitution and laws of this state, including the governor, who 10-2 has submitted the notice and Act to the Texas Natural Resource 10-3 Conservation Commission. 10-4 (b) The legislature finds that the Texas Natural Resource 10-5 Conservation Commission has filed its recommendations relating to 10-6 this Act with the governor, lieutenant governor, and speaker of the 10-7 house of representatives within the required time. 10-8 (c) The general law relating to consent by political 10-9 subdivisions to the creation of conservation and reclamation 10-10 districts and the inclusion of land in those districts has been 10-11 complied with, and all requirements of the constitution and laws of 10-12 this state and the rules and procedures of this legislature with 10-13 respect to the notice, introduction, and passage of this Act have 10-14 been fulfilled and accomplished. 10-15 SECTION 17. TRANSITION PROVISION. A reference in this Act 10-16 to the Texas Natural Resource Conservation Commission means the 10-17 Texas Water Commission until the name of the Texas Water Commission 10-18 is changed to the Texas Natural Resource Conservation Commission as 10-19 provided by Section 1.085, Chapter 3, Acts of the 72nd Legislature, 10-20 1st Called Session, 1991. 10-21 SECTION 18. EMERGENCY. The importance of this legislation 10-22 and the crowded condition of the calendars in both houses create an 10-23 emergency and an imperative public necessity that the 10-24 constitutional rule requiring bills to be read on three several 10-25 days in each house be suspended, and this rule is hereby suspended, 10-26 and that this Act take effect and be in force from and after its 10-27 passage, and it is so enacted. 11-1 COMMITTEE AMENDMENT NO. 1 11-2 Amend H.B. 2864 as follows: 11-3 On page 7, delete lines 15 and 16 and substitute the following: 11-4 "(b) The district may drill wells and acquire surface water 11-5 by contract." 11-6 Turner of Coleman