73R4374 LJR-F
          By Henderson                                            S.B. No. 88
          Substitute the following for S.B. No. 88:
          By Davila                                           C.S.S.B. No. 88
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the validation of governmental acts and proceedings by
    1-3  municipalities.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Title 28, Revised Statutes, is amended by adding
    1-6  Article 974d-40 to read as follows:
    1-7        Art. 974d-40
    1-8        Sec. 1.  APPLICATION.  This article applies to any
    1-9  incorporated city, town, or village operating under general law or
   1-10  under a home-rule charter.
   1-11        Sec. 2.  ADOPTION OF HOME-RULE CHARTER.  (a)  All
   1-12  governmental acts and proceedings of a municipality covered by this
   1-13  article regarding the adoption of a home-rule charter are validated
   1-14  as of the dates on which they occurred.
   1-15        (b)  All governmental acts and proceedings of the
   1-16  municipality since adoption or attempted adoption of the charter
   1-17  are validated as of the dates on which they occurred.
   1-18        Sec. 3.  INCORPORATION PROCEEDINGS.  (a)  The incorporation
   1-19  proceedings of all cities and towns in this state that incorporated
   1-20  or attempted to incorporate under the general laws of the State of
   1-21  Texas, whether under the aldermanic or commission form of
   1-22  government, and which have functioned or attempted to function as
   1-23  incorporated cities or towns since the date of such incorporation
   1-24  or attempted incorporation are validated as of the date of such
    2-1  incorporation or attempted incorporation.  The incorporation of
    2-2  such cities and towns shall not be held invalid by reason of the
    2-3  fact that the election proceedings or incorporation proceedings may
    2-4  not have been in accordance with law.
    2-5        (b)  All governmental proceedings performed by the governing
    2-6  bodies of all such cities and towns and their officers since their
    2-7  incorporation or attempted incorporation are validated as of the
    2-8  date of such proceedings, including extensions or attempted
    2-9  extensions of extraterritorial jurisdiction undertaken at the
   2-10  request of owners of territory.
   2-11        Sec. 4.  ANNEXATION PROCEEDINGS.  (a)  The governmental acts
   2-12  and proceedings of a city or town relating to the annexation or
   2-13  attempted annexation of adjacent territory by the city or town
   2-14  before December 31, 1992, are validated as of the dates they
   2-15  occurred.  The acts and proceedings may not be held invalid because
   2-16  they were not performed in accordance with the procedural or other
   2-17  requirements of Chapters 42 and 43, Local Government Code, or other
   2-18  law.  The boundaries fixed by the annexation or attempted
   2-19  annexation are validated.
   2-20        (b)  The governmental acts and proceedings of a city or town
   2-21  occurring after annexation may not be held invalid on the ground
   2-22  that the annexation, in the absence of this article, was invalid.
   2-23        Sec. 5.  ANNEXATIONS NOT VALIDATED.  This article does not
   2-24  validate governmental acts or proceedings relating to a city's or
   2-25  town's annexation or attempted annexation of territory in the
   2-26  extraterritorial jurisdiction of another city or town without the
   2-27  consent of that city or town in violation of Chapters 42 and 43,
    3-1  Local Government Code.
    3-2        Sec. 6.  ORDINANCE OR REGULATION NOT VALIDATED.  This article
    3-3  does not validate any ordinance or regulation of a municipality
    3-4  that violates Section 1.06 or 109.57, Alcoholic Beverage Code.
    3-5        Sec. 7.  EFFECT OF LITIGATION.  This article does not apply
    3-6  to any matter that on the effective date of this article:
    3-7              (1)  is involved in litigation if the litigation
    3-8  ultimately results in the matter being held invalid by a final
    3-9  judgment of a court of competent jurisdiction; or
   3-10              (2)  has been held invalid by a final judgment of a
   3-11  court of competent jurisdiction.
   3-12        SECTION 2.  Title 28, Revised Statutes, is amended by adding
   3-13  Article 974d-41 to read as follows:
   3-14        Art. 974d-41
   3-15        Sec. 1.  APPLICATION.  This article  applies to any
   3-16  municipality having a population of 1.5 million or more.
   3-17        Sec. 2.  PROCEEDINGS VALIDATED.  The governmental acts and
   3-18  proceedings of a municipality relating to a bond election that was
   3-19  held before December 1, 1991, and at which the ballot proposition
   3-20  was approved by more than 60 percent of the voters voting on the
   3-21  proposition are validated as of the dates they occurred.  The
   3-22  validation includes the preparation and wording of the ballot
   3-23  proposition, any action taken by the municipality in calling and
   3-24  holding the bond election, and any other action taken by the
   3-25  municipality before the effective date of this article in
   3-26  connection with the issuance of any bonds approved in the bond
   3-27  election.  The acts and proceedings may not be held invalid because
    4-1  they were not performed in accordance with law.  A municipality may
    4-2  take any further action or conduct any further proceeding necessary
    4-3  to complete the issuance of the bonds approved at the bond
    4-4  election, and, when issued, the bonds are valid and binding
    4-5  obligations of the municipality in accordance with the terms of the
    4-6  bonds.
    4-7        Sec. 3.  EFFECT ON LITIGATION.  This article does not apply
    4-8  to any matter that on the effective date of this article has been
    4-9  held invalid by a final judgment of a court of competent
   4-10  jurisdiction.
   4-11        Sec. 4.  RECOMMENDATION.  The legislature recommends to the
   4-12  governing body of a municipality that it adopt the aggregate goals
   4-13  for the municipality's contracting with minority and women
   4-14  enterprises set forth in the June 1992, report of Texas Southern
   4-15  University as specified for the categories of construction,
   4-16  procurement, and professional services.
   4-17        SECTION 3.  The importance of this legislation and the
   4-18  crowded condition of the calendars in both houses create an
   4-19  emergency and an imperative public necessity that the
   4-20  constitutional rule requiring bills to be read on three several
   4-21  days in each house be suspended, and this rule is hereby suspended,
   4-22  and that this Act take effect and be in force from and after its
   4-23  passage, and it is so enacted.