BILL ANALYSIS


                                                        S.B. 1671
                                                   By: Armbrister
                                                    State Affairs
                                                          4-28-95
                                     Committee Report (Unamended)
BACKGROUND

Since 1934, the legislature has regularly passed validation
statutes that apply to various activities and functions of cities. 
These statutes validate certain actions by cities regarding the
adoption of home rule charters, incorporation proceedings, and
annexation proceedings.

PURPOSE

As proposed, S.B. 1671 validates certain governmental acts or
proceedings of incorporated cities, towns, or villages operating
under a home-rule charter, incorporation, or annexation since the
last general validation passed by the 73rd Legislature.

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. Amends Title 28, V.T.C.S., by adding Article 974d-44,
as follows:

                         Article 974d-44

     Sec. 1.  APPLICATION.  Applies this article to any
     incorporated city, town, or village operating under general
     laws or a home-rule charter.  Provides that this act validates
     governmental acts (acts) or proceedings which may otherwise be
     invalid or void because of procedural defects in the manner of
     enactment.
     
     Sec. 2.  ADOPTION OR AMENDMENT OF HOME-RULE CHARTER.  (a)-(b)
     Provide that all acts and proceedings of a municipality
     regarding or since the adoption or attempted adoption
     (adoption) or amendment of a home-rule charter are validated
     as of the dates on which they occurred.
     
     Sec. 3.  INCORPORATION PROCEEDINGS.  (a) Provides that the
     incorporation proceedings of all cities and towns in this
     state that incorporated or attempted to incorporate
     (incorporated) and which have functioned or attempted to
     function as incorporated cities or towns since the date of
     such incorporation.  Prohibits the incorporation from being
     held invalid because the election or incorporation proceedings
     may not have been in accordance with law.
     
     (b) Provides that all governmental proceedings performed by
       the governing bodies of all such cities and towns and their
       officers since their incorporation are validated as of the
       date of such proceedings.
     Sec. 4.  ANNEXATION PROCEEDINGS.  (a) Provides that the
     governmental acts and proceedings of a city or town relating
     to the annexation or attempted annexation (annexation) of
     adjacent territory are validated as of the dates they
     occurred.  Prohibits the acts and proceedings from being held
     invalid because they were not in accordance with the
     procedural requirements.  Provides that this article does not
     validate an annexation ordinance if a service plan is not
     prepared by the governing body.  Provides that the boundaries
     fixed by the annexation are validated.
     
     (b) Prohibits the acts and proceedings from being held
       invalid on the ground that the annexation in the absence of
       this article was invalid.
     Sec. 5.  ANNEXATIONS NOT VALIDATED.  Provides that this Act
     does not validate acts or proceedings relating to a city's or
     town's annexation of territory in the extraterritorial
     jurisdiction of another city or town without the consent of
     that city or town in violation of Chapters 42 and 43,
     Government Code.
     
     Sec. 6.  Applies this article to acts and proceedings of
     cities and towns that occurred before March 1, 1995.
     
     Sec. 7.  ORDINANCE OR REGULATION NOT VALIDATED.  Provides that
     this article does not validate any ordinance or regulation of
     a municipality that violates Section 1.06 or 109.57, Alcoholic
     Beverage Code.
     
     Sec. 8.  INDUSTRIAL DEVELOPMENT SALES TAX ELECTION.  Provides
     that all acts and procedures of a municipality in calling and
     holding an industrial development sales tax election on a non-uniform election date before January 1, 1995, declaring the
     results thereof, and declaring the purposes for which the
     sales tax proceeds may be used are validated as of the dates
     on which they occurred.
     
     Sec. 9.  FORMATION OF LOCAL GOVERNMENT CORPORATION.  Provides
     that all acts and proceedings of a municipality in creating,
     organizing, and operating a local government corporation for
     purposes of owning and operating a facility licensed pursuant
     to Article 179e, V.T.C.S., are validated and approved as of
     the date of the creation of the corporation, all provisions of
     Article 1528l, V.T.C.S. apply to such corporation, and the
     activities of the corporation are validated or approved to be
     for a public purpose.
     
     Sec. 10.  EFFECT OF LITIGATION.  Provides that this article
     does not apply to any matter that on the effective date is
     involved in litigation if the litigation ultimately results in
     the matter being held invalid or any matter that has been held
     invalid by a final judgment of a court of competent
     jurisdiction.
     
     SECTION 2.     Emergency clause.
           Effective date: upon passage.