S.B. No. 1326 AN ACT 1-1 relating to the creation, administration, powers, and authority of 1-2 the Chambers County Improvement District No. 1; granting the 1-3 authority to issue bonds. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. CREATION; LEGISLATIVE DECLARATION. (a) There is 1-6 created a special district to be known as the Chambers County 1-7 Improvement District No. 1. The district is a governmental agency, 1-8 a body politic and corporate, and a political subdivision of the 1-9 state. 1-10 (b) The name of the district may be changed by resolution of 1-11 the board of directors of the district at any time so long as the 1-12 name is descriptive of the location and the principal powers of the 1-13 district. 1-14 (c) The creation of the district is essential to accomplish 1-15 the purposes of Article III, Section 52, Article XVI, Section 59, 1-16 and Article III, Section 52-a, of the Texas Constitution and to 1-17 accomplish the other purposes of this Act. 1-18 (d) The legislature finds, determines, and declares that the 1-19 creation of the district is necessary to: 1-20 (1) diversify the economy of the state; 1-21 (2) promote, develop, expand, encourage, and maintain 1-22 employment, commerce, economic development, and the public welfare; 1-23 (3) promote the control, treatment, storage, and 2-1 distribution of water; 2-2 (4) protect, preserve, and restore the sanitary 2-3 conditions of water; 2-4 (5) promote the transportation of agricultural, 2-5 industrial, and commercial products; 2-6 (6) promote the health, safety, and general welfare 2-7 of: 2-8 (A) property owners, residents, employers, and 2-9 employees in the district; and 2-10 (B) the general public; 2-11 (7) promote the improvement of rivers, bays, creeks, 2-12 streams, and canals to permit or to aid navigation and commerce; 2-13 and 2-14 (8) promote the construction, maintenance, and 2-15 operation of streets, roads, highways, turnpikes, and railroads in 2-16 the greater Cedar Crossing area of Chambers County. 2-17 (e) The district will provide funding in the greater Cedar 2-18 Crossing area needed to preserve, maintain, and enhance the 2-19 economic health and vitality of the area as a community and a 2-20 business and industrial center. 2-21 (f) The district will not act as the agent or 2-22 instrumentality of a private interest even though many private 2-23 interests will be benefited by the district, as will the general 2-24 public. 2-25 (g) The legislature finds, determines, and intends that by 3-1 creating the district it has established a program to accomplish 3-2 the public purposes set out in Article III, Section 52-a, of the 3-3 Texas Constitution. 3-4 (h) The legislature finds that all of the land and other 3-5 property included within the boundaries of the district will be 3-6 benefited by the improvements and services to be provided by the 3-7 district under powers conferred by Article III, Section 52, Article 3-8 XVI, Section 59, and Article III, Section 52-a, of the Texas 3-9 Constitution, and other powers granted under this Act, and that the 3-10 district is created to serve a public use and benefit. 3-11 (i) This Act shall be liberally construed in conformance 3-12 with the legislative findings and purposes stated in this Act. 3-13 SECTION 2. DEFINITIONS. In this Act: 3-14 (1) "Board" means the board of directors of the 3-15 Chambers County Improvement District No. 1. 3-16 (2) "District" means the Chambers County Improvement 3-17 District No. 1. 3-18 (3) "Extraterritorial jurisdiction" has the meaning 3-19 assigned by Section 42.021, Local Government Code. 3-20 SECTION 3. BOUNDARIES. The district includes all of the 3-21 territory contained within the following described area: 3-22 BEING approximately 13,900 acres of land situated in Chambers 3-23 County, Texas, and being out of and a part of the Christian Smith 3-24 League, Abstract No. 22, the Thomas Shepherd Survey, Abstract No. 3-25 229, the Chambers County School Land Survey, Abstract No. 321, the 4-1 Solomon Barrow Survey, Abstract No. 3, the John Steele Survey, 4-2 Abstract No. 227, the J. L. Hill Survey, Abstract No. 106, the J. 4-3 K. Allen Survey, Abstract No. 31, the J. C. Fisher Survey, Abstract 4-4 No. 31, the W. D. Smith League, Abstract No. 23 and the John Ijams 4-5 Survey, Abstract No. 15. This tract of land is more particularly 4-6 described by metes and bounds as follows, to-wit: 4-7 BEGINNING at the Northeast corner of Tract No. 199-B, in the 4-8 East line of the Chambers County School Land Survey, Abstract No. 4-9 321 and in the West line of the Solomon Barrow Survey, Abstract No. 4-10 3 and in the South right of way line of the Houston Lighting and 4-11 Power Company Discharge Canal right of way. 4-12 THENCE in a Southerly direction with the East line of this 4-13 tract, the East line of the Chambers County School Land Survey and 4-14 the West line of the Solomon Barrow Survey to the Northwest corner 4-15 of Tract No. 100-A. 4-16 THENCE in an Easterly and Southerly direction with the North 4-17 and East lines of Tract No. 100-A to a point at the intersection of 4-18 the North line of Tract No. 100-A with the East right of way line 4-19 of F. M. Highway No. 2354. 4-20 THENCE in a Southerly direction with the East right of way 4-21 line of F. M. Highway No. 2354 to the intersection of the South 4-22 right of way line of Fisher Road (Rice Farm Road) with the East 4-23 right of way line of F. M. Highway No. 2354. 4-24 THENCE in a Westerly direction with the South right of way 4-25 line of Fisher Road to the most Northern Northeast corner of Tract 5-1 No. 89. 5-2 THENCE in a Southerly and Easterly direction with the East 5-3 and North lines of Tract No. 89 to the Northwest corner of a 4.00 5-4 acre tract of land conveyed to Chambers County. 5-5 THENCE in a Southerly and Easterly direction with the West 5-6 and South lines of the Chambers County 4.00 acre tract to the 5-7 intersection of the projection of the South line of the Chambers 5-8 County 4.00 acre tract with the East right of way line of F. M. 5-9 Highway No. 2354. 5-10 THENCE in a Southerly direction with the East right of way 5-11 line of F. M. Highway No. 2354 to a point at the intersection of 5-12 the East right of way line of F. M. Highway No. 2354 with the South 5-13 line, as extended, of a 0.9796 acre tract of land conveyed to 5-14 United States Steel Corporation by G. E. Troxell, Jr., by deed 5-15 recorded in Volume 283 at Page 454 of the Deed Records of Chambers 5-16 County, Texas. 5-17 THENCE in a Westerly direction with the South line of Tract 5-18 No. 89M said Troxell tract to the Southwest corner of said Troxell 5-19 tract in the East line of Tract No. 89M. 5-20 THENCE in a Southerly direction with the East line of Tract 5-21 No. 89M to the Southeast corner of Tract No. 89M in the North line 5-22 of Tract No. 125. 5-23 THENCE in a Easterly direction with the North line of Tract 5-24 No. 125 to the East right of way line of F. M. Highway No. 2354. 5-25 THENCE in a Southerly direction with the East right of way 6-1 line of Highway No. 2354 to the South line of Tract No. 125. 6-2 THENCE in a Westerly direction with the South line of Tract 6-3 No. 125 to the Southwest corner of Tract No. 125 in the East line 6-4 of Tract No. 119. 6-5 THENCE in a Southerly direction with the East line of Tracts 6-6 No. 119, 118, 117, 117A, 116 to the Southeast corner of Tract No. 6-7 116 in the North line of Tract No. 114. 6-8 THENCE in a Easterly direction with the North line of Tract 6-9 No. 114 to the East right of way line of F. M. Highway No. 2354. 6-10 THENCE in a Southerly direction with the East right of way 6-11 line of F. M. Highway No. 2354 to South line of Tract No. 4-D as 6-12 extended. 6-13 THENCE in a Westerly direction with the South line of Tract 6-14 No. 4-D to the most Northern Northeast corner of Tract No. 10-B. 6-15 THENCE in a Southerly direction with the East and Northerly 6-16 lines of Tract No. 10-B to a point at the intersection of the North 6-17 line of Tract No. 10-B, as extended, with the East right of way 6-18 line of F. M. Highway No. 2354. 6-19 THENCE in a Southwesterly direction with the East and South 6-20 right of way line of F. M. Highway No. 2354 to the intersection 6-21 with the East right of way line of Live Oak Drive. 6-22 THENCE in a Southwesterly direction with the East and South 6-23 right of way line of Live Oak Drive to the intersection of the 6-24 extended East line of the Nerco Oil and Gas Production Company 2.00 6-25 acre tract with the South right of way line of Live Oak Drive. 7-1 THENCE in a Northerly direction with the East line of the 7-2 Nerco Oil and Gas 2.00 acre tract to the Northeast corner of said 7-3 2.00 acre tract. 7-4 THENCE in a Westerly direction with the North lines of the 7-5 Nerco 2.00 acre tract, the Exxon 2.00 acre tract and the Exxon 5.00 7-6 acre tract of land to the Northwest corner of the Exxon 5.00 acre 7-7 tract of land. 7-8 THENCE in a Southerly direction with the West line of the 7-9 Exxon 5.00 acre tract to the Southwest corner of the Exxon 5.00 7-10 acre tract and a corner of the Jones and Laughlin Tract No. 3. 7-11 THENCE in a Westerly direction with the South and West lines 7-12 of the Jones and Laughlin Tract No. 3 and the shore line of 7-13 Galveston Bay and San Jacinto Bay and the West line of Tract No. 43 7-14 to the Southeast or East shore line of Cedar Bayou. 7-15 THENCE in a Northwesterly direction with the shore line of 7-16 Cedar Bayou and the West line of Tracts No. 43, Atlantic Pipeline 7-17 14.3427 acre and 43A to the Southwest corner of the Maurice Hirsch 7-18 so-called 40.28 acre tract and Northwest corner of Tract No. 43A. 7-19 THENCE in a Easterly direction with the South line of the 7-20 Hirsch tract and the North line of Tract No. 43A to a point in the 7-21 East right of way line of Tri-City Beach Road at the extension of 7-22 the North line of Tract No. 43A. 7-23 THENCE in a Southerly direction with the East line of 7-24 Tri-City Beach Road to the West right of way line of F. M. Highway 7-25 No. 1405. 8-1 THENCE in a Northerly direction with the West right of way 8-2 line of F. M. Highway No. 1405 to the Northeast corner of Tract No. 8-3 37. 8-4 THENCE in a Westerly direction with the North line of Tract 8-5 No. 37 to the centerline of Cedar Bayou, being the County Line 8-6 between Chambers and Harris Counties. 8-7 THENCE in a Northerly direction with the centerline of Cedar 8-8 Bayou and said County Line to a point at the intersection of the 8-9 centerline of Cedar Bayou with the South line of the Warrior and 8-10 Gulf 15.00 acre tract. 8-11 THENCE in an Easterly, Northerly, Westerly and Southerly 8-12 direction with the lines of the Warrior Gulf 15 acre tract and the 8-13 Hoesch Tubular Products Company 25 acre tract lines to a point at 8-14 the intersection of the West line of Hoesch 25 acre tract, 8-15 extended, with the centerline of Cedar Bayou and said County Line. 8-16 THENCE in a Northerly direction with the centerline of Cedar 8-17 Bayou to the intersection of the centerline of Cedar Bayou with the 8-18 extension of the South line of Johnnie and Rosemary Jennings 8-19 property. 8-20 THENCE in a Easterly, Northerly and Westerly direction around 8-21 the Jennings property to the intersection of the North line of the 8-22 Jennings property extended with the centerline of Cedar Bayou and 8-23 said County Line. 8-24 THENCE in a Northerly direction with the centerline of Cedar 8-25 Bayou to the intersection of the centerline of Cedar Bayou with the 9-1 South line, extended, of a Tract conveyed to McDonugh Company. 9-2 THENCE in an Easterly direction with the South line of the 9-3 McDonugh Company tract to a point for the Southeast corner of the 9-4 McDonugh Company tract in the West right of way line of West Bay 9-5 Road (Old F. M. Highway No. 1405). 9-6 THENCE in a Northerly direction with the West right of way 9-7 line of West Bay Road to a point at the intersection of the North 9-8 line, extended, of Tract No. 35-X. 9-9 THENCE in a Easterly direction with the North line of Tract 9-10 No. 35-X to the Northeast corner of Tract No. 35-X and in the West 9-11 right of way line of Houston Lighting and Power Company 330 foot 9-12 right of way and in the West line of Tract No. 5-D. 9-13 THENCE in a Northerly direction with the West line of Tract 9-14 No. 5-D and the West line of said 330 foot right of way to a point 9-15 in the North right of way line of West Bay Road. 9-16 THENCE in an Easterly direction with the North right of way 9-17 line of West Bay Road to a point for a corner of Tract No. 5-D 9-18 being in the East right of way line of the old right of way for 9-19 West Bay Road. 9-20 THENCE in an Easterly direction with the North line of Tract 9-21 No. 5-D to the intersection with the South right of way line of the 9-22 Houston Lighting and Power Company Discharge Canal. 9-23 THENCE in an Easterly direction with the South right of way 9-24 line of the Houston Lighting and Power Company Discharge Canal to 9-25 the Northwest corner of a 21.2152 acre tract of land conveyed to 10-1 Houston Lighting and Power Company. 10-2 THENCE in a Southerly direction with the West line of said 10-3 21.2152 acre tract to the Southwest corner of said 21.2152 acre 10-4 tract of land. 10-5 THENCE in an Easterly direction with the South line of said 10-6 21.2152 acre tract to the Southeast corner of said 21.2152 acre 10-7 tract of land in the West line of the Coastal Water Authority 5.115 10-8 acre tract of land. 10-9 THENCE in a Southerly, Easterly and Northerly direction 10-10 around said Coastal Water Authority 5.115 acre tract to a point for 10-11 the Northeast corner of said 5.115 acre tract in the South right of 10-12 way line of the Houston Lighting and Power Company Discharge Canal 10-13 right of way. 10-14 THENCE in an Easterly direction with the South line of the 10-15 Houston Lighting and Power Company Discharge Canal right of way to 10-16 the PLACE OF BEGINNING, containing within said boundaries 10-17 approximately 13,900 acres of land. 10-18 SECTION 4. FINDINGS RELATING TO BOUNDARIES. The legislature 10-19 finds that the boundaries and field notes of the district form a 10-20 closure. If a mistake is made in the field notes or in copying the 10-21 field notes in the legislative process, it does not affect the 10-22 organization, existence, or validity of the district, the right of 10-23 the district to issue any type of bonds or to issue or enter into 10-24 other types of obligations for the purposes for which the district 10-25 is created, or the right of the district to levy and collect 11-1 assessments or taxes, or affect in any manner the legality or 11-2 operation of the district or its governing body. 11-3 SECTION 5. BOARD OF DIRECTORS. (a) The district is 11-4 governed by a board of seven directors. 11-5 (b) Except for the initial directors, the commissioners 11-6 court of Chambers County shall appoint directors to represent a 11-7 director district in the manner provided in Section 375.064, Local 11-8 Government Code, from a list of candidates recommended by the board 11-9 in the manner provided in Section 375.064, Local Government Code. 11-10 Directors serve staggered four-year terms. A vacancy in the office 11-11 of director shall be filled by the remaining directors for the 11-12 remainder of the unexpired term. 11-13 (c) On the effective date of this Act, the following persons 11-14 constitute the initial board of directors of the district and are 11-15 appointed for the terms prescribed by Subsection (d) of this 11-16 section to represent the following director district positions: 11-17 Director District Position Name of Director 11-18 1 Deborah S. Hsi 11-19 2 Kandy K. Gregory 11-20 3 Langston H. Wood 11-21 4 Joseph S. Antoline 11-22 5 Donald E. Simpson 11-23 6 Robert B. Brown, Jr. 11-24 7 Robert Douglas Gates 11-25 (d) The initial directors appointed for director district 12-1 positions 1 through 3 serve until May 1, 1995, and the initial 12-2 directors appointed for director district positions 4 through 7 12-3 serve until May 1, 1997. 12-4 (e) Each director appointed by the commissioners court of 12-5 Chambers County shall meet the qualifications for directors 12-6 provided by Section 375.063, Local Government Code, for the area 12-7 included within the boundaries of the director district which such 12-8 director represents and no person may be appointed as a director or 12-9 continue to serve as a director unless the person satisfies the 12-10 requirements set forth in Section 375.063 for the area in the 12-11 director district such person is appointed to represent. Each 12-12 director shall qualify for office as required by Subchapter D, 12-13 Chapter 375, Local Government Code. 12-14 (f) The board is governed by Subchapter D, Chapter 375, 12-15 Local Government Code, to the extent that subchapter does not 12-16 conflict with this Act. Directors may vote on any matter 12-17 authorized by Subchapter D, Chapter 375, Local Government Code; 12-18 however, action may only be taken by the board if it is approved in 12-19 the manner prescribed by Subchapter D, Chapter 375, Local 12-20 Government Code. 12-21 (g) Each position on the board represents a separate area of 12-22 the district to be known as a director district. As soon as 12-23 possible after the effective date of this Act, the board shall 12-24 establish the boundaries of the director districts over areas in 12-25 the district that in the board's judgment provide a reasonable 13-1 balance in the board representation between acreage, value, 13-2 improvements, and interests of the property owners in the district. 13-3 All land in the district shall be in a director district. Director 13-4 districts may not overlap. The board from time to time may 13-5 establish new boundaries for one or more director districts if it 13-6 is necessary to provide a reasonable balance in the board 13-7 representation between acreage, value, improvements, and interests 13-8 of the property owners in the district. 13-9 (h) Directors shall be compensated in the manner provided by 13-10 Section 54.114, Water Code. 13-11 SECTION 6. GENERAL POWERS. (a) The district has all of the 13-12 rights, powers, privileges, and authority conferred by the general 13-13 law of this state applicable to districts created under Chapter 13-14 375, Local Government Code; Chapter 54, Water Code; Chapter 13, 13-15 Acts of the 68th Legislature, 2nd Called Session, 1984 (Article 13-16 6674r-1, Vernon's Texas Civil Statutes); and Chapter 623, Acts of 13-17 the 67th Legislature, Regular Session, 1981 (Article 6550c, 13-18 Vernon's Texas Civil Statutes). The district also has the rights, 13-19 powers, privileges, and authority granted to districts by 13-20 Subchapters E and M, Chapter 60, Water Code, and Section 61.116, 13-21 Water Code. Bonds or other obligations issued under any of those 13-22 laws may be secured by revenues, assessments, ad valorem taxes, 13-23 impact fees, grants, or other funds of the district, or any 13-24 combination of those funds. The district also has all of those 13-25 powers granted to municipal management districts under Sections 14-1 375.092 and 375.111, Local Government Code, to provide any services 14-2 or for any project the district is authorized to acquire, 14-3 construct, or improve under this Act. The district may acquire any 14-4 interest in land in accordance with Chapter 54, Water Code. If any 14-5 provision of the referenced laws is in conflict with or is 14-6 inconsistent with this Act, this Act prevails. All laws or 14-7 provisions of laws referenced in the Act and subsequent amendments 14-8 of those laws are adopted and incorporated into this Act for all 14-9 purposes and may be used by the district independently of each 14-10 other. 14-11 (b) The district may finance the cost of any authorized 14-12 improvement project or services in the manner provided by any law 14-13 made applicable to the district. A petition under Section 375.114, 14-14 Local Government Code, is not required for the board to be 14-15 authorized to levy taxes, assessments, or impact fees to finance 14-16 services and improvement projects under this Act. 14-17 (c) If the district, in exercising a power conferred by this 14-18 Act, requires a relocation, adjustment, raising, lowering, 14-19 rerouting, or changing the grade of or altering the construction of 14-20 any street, alley, highway, overpass, underpass, road, railroad 14-21 track, bridge, facility, or property, electric line, conduit, 14-22 facility, or property, telephone or telegraph line, conduit, 14-23 facility, or property, gas transmission or distribution pipe, 14-24 pipeline, main, facility, or property, water, sanitary sewer or 14-25 storm sewer pipe, pipeline, main, facility, or property, cable 15-1 television line, cable, conduit, facility, or property, or other 15-2 pipeline or facility or property relating to the pipeline, that 15-3 relocation, adjustment, raising, lowering, rerouting, changing of 15-4 grade, or altering of construction must be accomplished at the sole 15-5 cost and expense of the district, and damages that are suffered by 15-6 owners of the property or facilities shall be borne by the 15-7 district. 15-8 (d) The district may not own or operate an airport. 15-9 (e) The board shall establish by resolution the number of 15-10 director signatures or the procedure required for all disbursements 15-11 or transfers of the district's money. 15-12 SECTION 7. TORT CLAIMS. The district is a unit of 15-13 government for purposes of Chapter 101, Civil Practice and Remedies 15-14 Code. The operations of the district are essential governmental 15-15 functions for all purposes and not proprietary functions. 15-16 SECTION 8. ANNEXATION AND EXCLUSION OF TERRITORY BY THE 15-17 DISTRICT. The district may annex land to and exclude land from the 15-18 district as provided by Chapter 54, Water Code. The district may 15-19 not annex land in a municipality's extraterritorial jurisdiction 15-20 unless the municipality consents to the annexation. 15-21 SECTION 9. MUNICIPAL ANNEXATION OF THE DISTRICT. A 15-22 municipality in whose extraterritorial jurisdiction the district is 15-23 located may annex all or part of the district, notwithstanding any 15-24 provision of Chapter 43, Local Government Code. Annexation does 15-25 not result in total or partial dissolution of the district or an 16-1 assumption by the annexing municipality of any of the district's 16-2 obligations or indebtedness. Creation of the district does not 16-3 affect the power of a municipality in whose extraterritorial 16-4 jurisdiction the district or part of the district lies to designate 16-5 all or part of the district as an industrial district or to limit a 16-6 power of the municipality conferred by Chapter 42, Local Government 16-7 Code. Creation of the district does not affect the power of a 16-8 municipality to provide municipal services to any area in the 16-9 municipality or its extraterritorial jurisdiction that is in the 16-10 district and such municipality shall have the same power to extend 16-11 or provide municipal services after the creation of the district as 16-12 it had before its creation. A municipal annexation of all or part 16-13 of the district has no effect on the validity of the district and 16-14 the district shall continue to exist and exercise the powers 16-15 granted by this Act. 16-16 SECTION 10. BONDS AND ASSESSMENTS. (a) The district may 16-17 issue bonds or other obligations payable in whole or in part from 16-18 ad valorem taxes, assessments, impact fees, revenues, grants, or 16-19 other funds of the district, or any combination of those funds, to 16-20 pay for any authorized purpose of the district. Bonds or other 16-21 obligations of the district may be issued in the form of bonds, 16-22 notes, certificates of participation, including other instruments 16-23 evidencing a proportionate interest in payments to be made by the 16-24 district, or other obligations that are issued in the exercise of 16-25 the district's borrowing power and may be issued in bearer or 17-1 registered form or not represented by an instrument but the 17-2 transfer of which is registered on books maintained by or on behalf 17-3 of the district. The board may levy and collect an assessment 17-4 under Subchapter F, Chapter 375, Local Government Code, for any 17-5 authorized purpose only if the assessment does not conflict with 17-6 other provisions of this Act. 17-7 (b) No approval of bonds issued by the district is required 17-8 other than the approval of the attorney general as provided by 17-9 Section 375.205, Local Government Code, and the approval of the 17-10 Texas Water Commission if the bonds are issued for a purpose that 17-11 Section 375.208, Local Government Code, requires to be approved by 17-12 the commission. 17-13 (c) Assessments or reassessments by the district, penalties 17-14 and interest on an assessment or reassessment, expenses of 17-15 collection, and reasonable attorney fees incurred by the district 17-16 are a first and prior lien against the property assessed, are 17-17 superior to any other lien or claim other than a lien or claim for 17-18 county, school district, or municipal ad valorem taxes, and are the 17-19 personal liability of and charge against the owners of the property 17-20 even if the owners are not named in the assessment proceedings. 17-21 The lien is effective from the date of the resolution of the board 17-22 levying the assessment until the assessment is paid. The board may 17-23 enforce the lien in the same manner that the board may enforce an 17-24 ad valorem tax lien against real property. 17-25 (d) Bonds payable from an ad valorem tax levied over the 18-1 entire district may not be issued in an amount in excess of the 18-2 greater of (1) $50 million, or (2) 10 percent of the assessed value 18-3 of taxable property within the entire district as shown on the most 18-4 recent certified tax rolls of the county central appraisal 18-5 district, unless the Texas Water Commission approves the bonds as 18-6 to feasibility, in which case, the limit on the amount of bonds to 18-7 be issued shall be that amount set by the Texas Water Commission. 18-8 This provision will not limit the authority of the district to 18-9 issue bonds which are not payable from ad valorem taxes levied over 18-10 the entire district. 18-11 SECTION 11. ELECTIONS. The district shall hold elections as 18-12 provided by Subchapter L, Chapter 375, Local Government Code. The 18-13 district shall also hold an election in the manner provided by that 18-14 subchapter for the purpose of obtaining voter approval for the 18-15 district to levy a maintenance tax or to issue bonds payable from 18-16 ad valorem taxes or assessments. The board may submit multiple 18-17 purposes in a single proposition at an election. 18-18 SECTION 12. IMPACT FEES. The district may impose an impact 18-19 fee for an authorized purpose as provided by Subchapter G, Chapter 18-20 375, Local Government Code. The district may not impose an impact 18-21 fee or assessment on a single-family residential property or a 18-22 residential duplex, triplex, quadruplex, or condominium. 18-23 SECTION 13. MAINTENANCE TAX. If authorized at an election 18-24 held in accordance with Section 11 of this Act, the district may 18-25 levy and collect an annual ad valorem tax on taxable property in 19-1 the district for maintenance, operation, and upkeep of the district 19-2 and the improvements constructed or acquired by the district and 19-3 the provision of services to industrial and commercial businesses 19-4 and residents and property owners. The board shall determine the 19-5 tax rate. 19-6 SECTION 14. DISSOLUTION OF THE DISTRICT. The district may 19-7 be dissolved as provided in Section 375.261 or 375.262, Local 19-8 Government Code. If the district is dissolved, the district shall 19-9 remain in existence solely for the limited purpose of discharging 19-10 its bonds or other obligations according to their terms. 19-11 SECTION 15. CONTRACTS FOR SECURITY SERVICES. To protect the 19-12 public interest, the district may contract with a private entity or 19-13 a municipality, county, or other political subdivision for services 19-14 for the security and protection of residents and property in the 19-15 district. 19-16 SECTION 16. COMPETITIVE BIDDING. The district shall 19-17 contract for services, improvements, or the purchase of materials, 19-18 machinery, equipment, supplies, or other property in excess of 19-19 $25,000 as provided by Section 375.221, Local Government Code, or 19-20 Subchapter I, Chapter 49, Water Code, as added by H.B. No. 1266, 19-21 Acts of the 73rd Legislature, Regular Session, 1993. 19-22 SECTION 17. NOTICE AND CONSENT. The legislature finds that: 19-23 (1) proper and legal notice of the intention to 19-24 introduce this Act, setting forth the general substance of this 19-25 Act, has been published as provided by law, and the notice and a 20-1 copy of this Act have been furnished to all persons, agencies, 20-2 officials, or entities to which they are required to be furnished 20-3 by the constitution and laws of this state, including the Governor 20-4 of Texas, who has submitted the notice and Act to the Texas Water 20-5 Commission; 20-6 (2) the Texas Water Commission has filed its 20-7 recommendations relating to this Act with the governor, lieutenant 20-8 governor, and speaker of the house of representatives within the 20-9 required time; 20-10 (3) the general law relating to consent by political 20-11 subdivisions to the creation of districts with conservation, 20-12 reclamation, and road powers and the inclusion of land in those 20-13 districts has been complied with; and 20-14 (4) all requirements of the constitution and laws of 20-15 this state and the rules and procedures of the legislature with 20-16 respect to the notice, introduction, and passage of this Act have 20-17 been fulfilled and accomplished. 20-18 SECTION 18. SEVERABILITY CLAUSE. The provisions of this Act 20-19 are severable, and if any provision or part of this Act or the 20-20 application thereof to any person or circumstance is held by a 20-21 court of competent jurisdiction to be invalid or unconstitutional 20-22 for any reason, the remainder of this Act and the application of 20-23 that provision or part of this Act to other persons or 20-24 circumstances is not affected. 20-25 SECTION 19. EMERGENCY. The importance of this legislation 21-1 and the crowded condition of the calendars in both houses create an 21-2 emergency and an imperative public necessity that the 21-3 constitutional rule requiring bills to be read on three several 21-4 days in each house be suspended, and this rule is hereby suspended.