BILL ANALYSIS
S.B. 1601
By: Brown (S. Turner)
May 18, 1995
Committee Report (Unamended)
BACKGROUND
The Westchase area of Houston lacks financial support for services
such as crime prevention programs and infrastructure improvements.
PURPOSE
As proposed, S.B. 1601 creates the Westchase Area Management
District in Harris County in order to promote, develop, encourage,
and maintain employment, commerce, transportation, housing,
tourism, recreation, arts, entertainment, economic development,
safety, and the public welfare in the district.
RULEMAKING AUTHORITY
It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.
SECTION BY SECTION ANALYSIS
SECTION 1. CREATION OF DISTRICT. (a) Declares that a special
district in Harris County to be known as the "Westchase Area
Management District" (district) exists as a governmental agency,
body politic and corporate, and political subdivision of the state.
(b) Authorizes the name of the district to be changed by
resolution of the board of directors of the district (board).
(c) Declares the creation of the district to be essential for
the purposes of specific sections of the Texas Constitution
and of other public purposes stated in this Act.
SECTION 2. LEGISLATIVE DECLARATION. Sets forth the findings and
intent of the legislature concerning the Westchase area of Harris
County.
SECTION 3. DEFINITIONS. Defines "board," "district," "city," and
"county."
SECTION 4. BOUNDARIES. Sets forth the boundaries of the district.
SECTION 5. FINDINGS RELATING TO BOUNDARIES. Sets forth the
findings of the legislature relating to the boundaries and field
notes of the district.
SECTION 6. FINDINGS OF BENEFIT AND PUBLIC. Sets forth the findings
of the legislature concerning the land and property included within
the district boundaries and the creation of the district. Declares
that the district will not act as the agent or instrumentality of
any private interest.
SECTION 7. APPLICATION OF OTHER LAW. Declares that Chapter 375,
Local Government Code, applies to the district, except as otherwise
provided by this Act.
SECTION 8. CONSTRUCTION OF ACT. Requires this Act to be liberally
construed in conformity with the legislative findings and purposes
stated in this Act.
SECTION 9. BOARD OF DIRECTORS IN GENERAL. (a) Declares that the
district is governed by a board of 17 directors (board) who serve
staggered four-year terms.
(b) Declares that Chapter 375D, Local Government Code, applies
to the board to the extent that subchapter does not conflict
with this Act.
SECTION 10. INITIAL DIRECTORS. Sets forth the initial
membership and term limits for the initial members of the board.
SECTION 11. SUBSEQUENT DIRECTORS. Sets forth guidelines for the
appointment of subsequent directors.
SECTION 12. EX OFFICIO MEMBERS OF BOARD OF DIRECTORS.
Authorizes the board to appoint nonvoting ex officio members to
serve on the board.
SECTION 13. POWERS OF DISTRICT. (a) Grants the district all
powers necessary or required to accomplish the purposes for which
the district was created.
(b) Grants the district the rights, powers, privileges,
authorities, and functions of a district created under Chapter
375, Local Government Code.
(c) Grants the district the powers conferred on a corporation
under Section 4B, Article 5190.6, V.T.C.S.
(d) Authorizes the district to levy certain taxes,
assessments, or fees, and to correct, add to, or delete
certain assessments from its assessment rolls.
(e) Prohibits the district from acquiring property through
eminent domain.
(f) Prohibits the district from levying a sales and use tax.
(g) Requires certain changes to certain district property to
be accomplished at the sole cost and expense of the district,
and requires damages suffered by owners of the property or
facilities to be borne by the district.
SECTION 14. CONFLICTS WITH OTHER LAW. Declares that this Act
prevails if any provision of law referenced in Section 13 of this
Act is in conflict with or is inconsistent with this Act. Declares
that any law referenced in this Act that is not in conflict or
inconsistent with this Act is adopted and incorporated by
reference.
SECTION 15. REQUIREMENTS FOR FINANCING SERVICES AND
IMPROVEMENTS. Prohibits the board from financing services and
improvement projects under this Act unless a written petition
requesting those improvements or services has been filed with the
board. Requires the petition to be signed by certain persons.
SECTION 16. DISBURSEMENTS OR TRANSFERS OF FUNDS. Requires the
board, by resolution, to establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of the district's money.
SECTION 17. BONDS. (a) Authorizes the district to issue bonds
or other obligations payable from ad valorem taxes, assessments,
impact fees, revenues, grants, or other funds of the district, to
pay for any authorized purpose of the district.
(b) Authorizes bonds or other obligations of the district to
be issued in certain forms.
(c) Requires the district to obtain the City of Houston's
(city's) approval of the issuance of bonds for an improvement
project and the plans and specifications of an improvement
project to be financed by the bonds.
(d) Authorizes the district, if it obtains the city's approval
of a capital improvements budget for a specified period not to
exceed five years, to finance the capital improvements and
issue bonds specified in the budget without further city
approval.
(e) Requires the district, before it issues bonds, to submit
the bonds and the district's record of the proceedings
relating to bond authorization to the attorney general for
approval.
SECTION 18. ASSESSMENTS. (a) Authorizes the board to levy and
collect an assessment for any purpose authorized by this Act.
(b) Makes certain assessments and reassessments, penalties and
interest, expenses of collections, and attorney's fees a first
and prior lien against the property assessed, superior to
certain liens or claims, and the personal liability of and
charge against the owners of the property.
(c) Sets forth requirements for the lien.
(d) Prohibits the district from imposing an assessment on
certain property, equipment, or facilities of a public
utility.
SECTION 19. APPROVAL OF CERTAIN IMPROVEMENT PROJECTS. Requires
the district to obtain the city's approval of the plans and
specifications of any district improvement project related to the
use of land owned by the city, an easement granted by the city, or
a right-of-way of a street, road, or highway.
SECTION 20. ELECTIONS. Requires the district, in addition to
the elections required under Chapter 375L, Local Government Code,
to hold an election in the manner provided by that subchapter to
obtain voter approval before the district imposes a maintenance tax
or issues bonds payable from ad valorem taxes or assessments.
(b) Authorizes the board to submit multiple purposes in a
single proposition.
(c) Prohibits the board from calling an election under this
Act unless a written petition requesting an election, signed
by certain persons, has been filed with the board.
SECTION 21. IMPACT FEES. (a) Authorizes the district to impose
an impact fee for a purpose authorized under Chapter 375G, Local
Government Code.
(b) Prohibits the district from imposing an impact fee on
certain property, equipment, or facilities of a public
utility.
SECTION 22. MAINTENANCE TAX. (a) Authorizes the district, if
authorized at an election under Section 20 of this Act, to levy and
collect an annual ad valorem tax, at a rate determined by the
board, on taxable property in the district for maintenance and
operation of the district and of the improvements constructed or
required by the district or for the provision of services to
industrial or commercial businesses, residents, and property
owners.
(b) Requires the board to determine the tax rate.
SECTION 23. DISSOLUTION OF THE DISTRICT. (a) Authorizes the
district to be dissolved under Chapter 375M, Local Government Code.
(b) Authorizes a district that has a debt to be dissolved as
provided by Chapter 375M, Local Government Code. Requires the
district, if it has debt and is dissolved, to remain in
existence solely for the limited purpose of discharging its
bonds or other obligations.
SECTION 24. CONTRACTS. (a) Authorizes the district, in order to
protect the public interest, to contract with the city or county
for the provision of law enforcement services on a fee basis.
(b) Authorizes the city, county, or other political
subdivision of the state to contract with the district to
implement a project of the district or to aid and assist the
district in providing services authorized under this Act.
Sets forth guidelines for such a contract.
(c) Authorizes the district to enter into a contract, lease,
or agreement with, or make or accept grants and loans to or
from, the United States; the state or a state agency; a
county, municipality, or other political subdivision of the
state; a public or private corporation; and any other person.
(d) Authorizes the district to perform all acts necessary for
the full exercise of the powers vested in the district on the
conditions and for the term that the board determines to be
advisable.
SECTION 25. COMPETITIVE BIDDING. Authorizes the district to
enter into a contract for more than $10,000 for services,
improvements, or the purchase of materials, machinery, equipment,
supplies, or other property as provided under Chapter 375K, Local
Government Code.
SECTION 26. NOTICE AND CONSENT. Sets forth the findings of the
legislature concerning notice and consent of this Act.
SECTION 27. Emergency clause.
Effective date: upon passage.
SUMMARY OF COMMITTEE ACTION
SB 1601 was considered by the Committee on State Affairs in a
public hearing on May 16, 1995. The Chair laid out SB 1601. The
bill was reported favorably without amendment, with the
recommendation that it do pass and be printed, and be sent to the
Committee on Local and Consent Calendars, by a record vote of: 9
ayes; 0 nays; 0 pnv; and 6 absent.