By Stiles H.B. No. 1531 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 Hamshire Municipal 1-4 Utility District and providing for the authorization of bonds and 1-5 the 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) Pursuant 1-8 to Article XVI, Section 59, of the Texas Constitution a 1-9 conservation and reclamation district is created in Jefferson 1-10 County to be known as "Hamshire Municipal Utility District," which 1-11 shall be a governmental agency and a body politic and corporate. 1-12 (b) The creation of the district is declared to be essential 1-13 to the accomplishment of the purposes of Article XVI, Section 59, 1-14 of the Texas Constitution. 1-15 SECTION 2. DEFINITION. In this Act, "district" means 1-16 Hamshire Municipal Utility District. 1-17 SECTION 3. BOUNDARIES. The district shall include all of 1-18 the territory contained within the following described area: 1-19 Boundary Description 1-20 Hamshire Municipal Utility District 1-21 BEGINNING at the point of intersection of the Southeasterly 1-22 right-of-way line of Interstate Highway 10 and the West boundary 1-23 line of Jefferson County, Texas, the same being the East boundary 2-1 line of Chambers County, Texas; 2-2 THENCE in a Southerly direction along the West boundary line of 2-3 Jefferson County, Texas and the East boundary line of Chambers 2-4 County, Texas to a point in the north line of the J. A. Dunshie 2-5 Survey, Abstract No. 677, Jefferson County, Abstract No. 609, 2-6 Chambers County; 2-7 THENCE in a Easterly direction along and with the most Northerly 2-8 line of the Trinity Bay Conservation District and the same being 2-9 the North line of the said J. A. Dunshie Survey; the T. & N.O.R.R. 2-10 Survey, Section 181, Abstract No. 345; the E. I. White Survey, 2-11 Abstract No. 621; the T. & N.O.R.R. Survey, Section 183, Abstract 2-12 No. 346; the T.J. Baldwin Survey, Abstract No. 624; the E.L. & 2-13 R.R.R., Section 373, Abstract No. 551; the Stephen Eaton Survey, 2-14 Abstract No. 22; the J.L. Dyson Survey, Abstract No. 791; the D.D. 2-15 Dyson Survey, Abstract No. 790; the T. & N.O.R.R. Survey, Section 2-16 215, Abstract No. 277; and the Seth Davis Survey, Abstract No. 491 2-17 to a point for corner, said point being the most Northeasterly 2-18 corner of the Seth Davis Survey, Abstract No. 491; 2-19 THENCE in a Northerly direction along the East line of the Seth 2-20 Davis Survey, Abstract No. 490; the T. & N.O.R.R. Survey, Section 2-21 169, Abstract No. 377; the J. E. Broussard Survey, Abstract No. 2-22 482; and the T. & N.O.R.R. Survey, Section 149, Abstract No. 369 to 2-23 a point for corner, said point being the most Northeasterly corner 2-24 of the T. & N.O.R.R. Survey Section 149; 2-25 THENCE in a Westerly direction to a point for corner along the 3-1 North line of the T. & N.O.R.R. Survey, Section 149 to the 3-2 intersection of the east line of the Lovan Hamshire Survey, 3-3 Abstract No. 507, said point being the most Southeasterly corner of 3-4 the Lovan Hamshire Survey, Abstract No. 507; 3-5 THENCE in a Northerly direction along the East line of the Lovan 3-6 Hamshire Survey, Abstract No. 507; and the T. & N.O.R.R. Survey, 3-7 Section 139, Abstract No. 364 to its intersection with the North 3-8 bank of the South Fork of Taylor's Bayou; 3-9 THENCE following and abutting the Southerly and Westerly lines of 3-10 the West Jefferson County Municipal Water District along the 3-11 following calls: 3-12 Westerly along the North bank of the South Fork of Taylor's 3-13 Bayou, the same being the most Southerly line of the 3-14 aforementioned Water District to the intersection of a line 3-15 300 east of, and measured at right angles to the West Line of 3-16 the J. W. Denny Survey, Abstract No. 747 and the A. D. 3-17 Knowlton Survey, Abstract No. 668; 3-18 Southerly on a line 300 feet East of and parallel to the west 3-19 line of the J. W. Denny Survey, Abstract No. 747 and the A. 3-20 D. Knowlton Survey, Abstract No. 668, to the North 3-21 right-of-way line of State Highway 73 to a point for corner; 3-22 Southerly and Southwesterly along the North right-of-way line 3-23 of State Highway 73 to its intersection with the 3-24 Southeasterly bank of Mayhaw Bayou, to a point for corner; 3-25 Northeasterly along the meanders of the Southeast bank of 4-1 Mayhaw Bayou to its intersection with the North bank of the 4-2 South Fork of Taylor's Bayou, to a point for corner; 4-3 Northwesterly along the meanders of the North bank of the 4-4 South Fork of Taylor's Bayou to its intersection with the 4-5 Southeasterly right-of-way of Interstate 10; 4-6 THENCE leaving the aforementioned District's boundary in a 4-7 Southwesterly direction along and with the Southeasterly 4-8 right-of-way line of Interstate 10 to the POINT OF BEGINNING. 4-9 SECTION 4. FINDINGS RELATING TO BOUNDARIES. The legislature 4-10 finds that the boundaries and field notes of the district form a 4-11 closure. If any mistake is made in the field notes or in copying 4-12 the field notes in the legislative process, it in no way affects 4-13 the organization, existence, and validity of the district, or the 4-14 right of the district to issue any type of bonds or refunding bonds 4-15 for the purposes for which the district is created or to pay the 4-16 principal of and interest on the bonds, or the right of the 4-17 district to levy and collect taxes, or in any other manner affects 4-18 the legality or operation of the district or its governing body. 4-19 SECTION 5. FINDING OF BENEFIT. The legislature finds that 4-20 all of the land and other property included within the boundaries 4-21 of the district will be benefited by the works and projects that 4-22 are to be accomplished by the district under powers conferred by 4-23 Article XVI, Section 59, of the Texas Constitution and that the 4-24 district is created to serve a public use and benefit. 4-25 SECTION 6: POWERS. (a) the district has all of the rights, 5-1 powers, privileges, authority, and functions conferred by the 5-2 general laws of this state applicable to municipal utility 5-3 districts created under Article XVI, Section 59, of the Texas 5-4 Constitution, including those conferred by Chapter 50 and Chapter 5-5 54, Water Code. If any provision of the general law is in conflict 5-6 or inconsistent with this Act, this Act prevails. 5-7 (b) The rights, powers, privileges, authority, and functions 5-8 granted to the district are subject to the continuing right of 5-9 supervision of the State of Texas to be exercised by and through 5-10 the Texas Natural Resource Conservation Commission. 5-11 (c) The district is authorized to issue bonds to provide all 5-12 improvements and the maintenance thereof requisite to the 5-13 achievement of the purposes of Article XVI, Section 59 of the Texas 5-14 Constitution and this Act and to levy, assess, collect and pledge 5-15 all or a portion thereof to the payment of bonds, all such taxes, 5-16 equitably distributed, as may be necessary for the payment of the 5-17 interest and the creation of a sinking fund for the payment of such 5-18 bonds and also for the maintenance of the district and 5-19 improvements. Specifically, without limiting the generality of the 5-20 foregoing authorization, the district is authorized to levy, 5-21 assess, collect, and pledge all or a portion thereof to the payment 5-22 of bonds: (i) an annual ad valorem tax on all taxable property 5-23 within the district without limit as to rate or amount; and (ii) a 5-24 tax annual or otherwise, on all taxable real property in the 5-25 district apportioned according to the special benefit received by 6-1 such property as a result of district improvements. Any property 6-2 within 100 feet of a water line or sewer line or both shall be 6-3 deemed to receive a special benefit and the tax authorized by this 6-4 subsection would be imposed on such property. Before any such tax 6-5 or taxes may be levied, a public hearing shall be held within the 6-6 district after notice of such hearing has been published in a 6-7 newspaper of general circulation in the district once a week for 6-8 two consecutive weeks, the date of the first publication to be at 6-9 least 14 days prior to the date stated therein for the hearing and 6-10 a proposition or propositions, authorizing the levy of any one or 6-11 more of such taxes shall have been approved at an election called 6-12 and conducted in the manner prescribed for a bond election. All 6-13 taxes levied by the district shall be equitably distributed and the 6-14 annual ad valorem tax herein authorized subject to the conditions 6-15 prescribed above shall be levied on an equal and uniform basis. 6-16 SECTION 7. MAINTENANCE TAX. (a) The district may levy and 6-17 collect a tax for maintenance purposes, including funds for 6-18 planning, maintaining, repairing, and operating all necessary 6-19 plants, works, facilities, improvements, appliances, and equipment 6-20 of the district and for paying costs of proper services, 6-21 engineering, and legal fees, and organization and administrative 6-22 expenses. 6-23 (b) A maintenance tax may not be levied by the district 6-24 until it is approved by a majority of the electors voting in an 6-25 election held for that purpose. 7-1 (c) The maintenance tax may be held at the same time and in 7-2 conjunction with the election to authorize bonds, and the procedure 7-3 for calling the election, giving notice, conducting the election, 7-4 and canvassing the returns shall be the same procedure as for a 7-5 bond election. 7-6 SECTION 8. BOARD OF DIRECTORS. (a) The district is 7-7 governed by a board of seven directors. 7-8 (b) Except for the initial directors, each director shall 7-9 serve for the term of office provided for directors under Chapter 7-10 54, Water Code, and until his successor is elected and has 7-11 qualified. 7-12 (c) Each director shall qualify to serve as director in the 7-13 manner provided by Chapter 54, Water Code. 7-14 (d) At the time this Act takes effect, the following persons 7-15 shall constitute the initial board of directors of the district: 7-16 (1) Robert Lott 7-17 (2) Jim Broussard 7-18 (3) Forrest R. Jones, III 7-19 (4) Jimmy D. Gregory 7-20 (5) George V. Morris 7-21 (6) Jerry Sparks 7-22 (7) Shirley Verret 7-23 (e) If any of the directors listed in Subsection (d) of this 7-24 section fails to qualify for office, the remaining directors shall 7-25 appoint someone to fill the vacancy for the unexpired term. If at 8-1 any time the number of qualified directors is less than seven 8-2 because of the failure or refusal of one or more directors to 8-3 qualify to serve, because of death or incapacitation, or for any 8-4 other reason, the Commissioners Court of Jefferson County shall 8-5 appoint the necessary number of directors to fill all vacancies on 8-6 the board. 8-7 (f) The initial directors shall serve until permanent 8-8 directors are elected as provided by Section 9 of this Act and 8-9 Chapter 54, Water Code. 8-10 SECTION 9. CONFIRMATION AND DIRECTORS' ELECTION. An 8-11 election shall be called and held to confirm establishment of the 8-12 district and to elect seven permanent directors as provided by 8-13 Chapter 54, Water Code. 8-14 SECTION 10. ELECTION OF DIRECTORS. Beginning in the first 8-15 odd-numbered year following the confirmation and directors' 8-16 election, an election shall be held on the first Saturday in May 8-17 every two years to elect the appropriate number of directors to the 8-18 board. 8-19 SECTION 11. ADDITIONAL AUTHORITY. (a) The district may 8-20 enter into contracts for the following purposes: 8-21 (1) the purchase or sale of both raw and treated 8-22 water; 8-23 (2) the transportation, treatment, and disposal of its 8-24 domestic, industrial, or communal wastes; 8-25 (3) the transportation, treatment, and disposal of 9-1 domestic, industrial, or communal wastes of others as provided by 9-2 Chapter 30, Water Code; 9-3 (4) the purchase, lease, use, management, control, or 9-4 operation of water treatment or distribution, or sewer collection 9-5 and treatment, facilities, all or part of facilities or systems 9-6 owned by other political subdivisions; and 9-7 (5) planning, surveying, investigating, or preparing 9-8 reports of any kind. 9-9 (b) the district may acquire, develop, and use underground 9-10 or surface water rights. 9-11 SECTION 12. DISTRICT FACILITIES. (a) The district may 9-12 establish standard specifications for facilities that are designed 9-13 or constructed to provide: 9-14 (1) storage, treatment, or transportation of water for 9-15 domestic, municipal, or industrial purposes; 9-16 (2) collection, treatment, and disposal of sewage; or 9-17 (3) disposal of solid wastes. 9-18 (b) The board shall hold a public hearing on the adoption of 9-19 standards for facilities of the district. The board shall give 9-20 notice of the hearing to the Texas Natural Resource Conservation 9-21 Commission, the Texas Department of Health, and shall publish 9-22 notice of the hearing in a newspaper with general circulation in 9-23 the district not later than the 10th day before the date set for 9-24 the hearing. 9-25 (c) Appeal for an order adopting standard specifications may 10-1 be made to the district court of Jefferson County, and the 10-2 substantial evidence rule applies. 10-3 (d) The district may seek injunctive relief against the 10-4 construction of any facility or addition to an existing facility or 10-5 against a facility whose operations are not in compliance with the 10-6 standard specifications. 10-7 (e) The standard specifications shall be filed with the 10-8 Texas Natural Resource Conservation Commission. 10-9 (f) Specifications adopted under this section do not apply 10-10 within the boundaries or extraterritorial jurisdiction of a 10-11 municipality unless the governing body of the municipality by 10-12 resolution gives its approval. 10-13 SECTION 13. CONSTRUCTION AND ACQUISITION OF SYSTEMS. (a) 10-14 The district may acquire any existing water system, sewer system, 10-15 or water and sewer system that serves all or part of the territory 10-16 located inside or outside the district's boundaries. 10-17 (b) The district may improve and extend an acquired system 10-18 or may construct a water system, sewer system, or a water and sewer 10-19 system. 10-20 (c) Construction contracts are governed by the competitive 10-21 bidding requirement provided by the Texas Local Government Code, 10-22 but contracts for the acquisition of existing water or sewer 10-23 facilities may be made on terms agreed on by the parties. 10-24 SECTION 14. NOTICE, ETC. The legislature finds that proper 10-25 and legal notice of the intention to introduce this Act, setting 11-1 forth the general substance of this Act, has been published as 11-2 provided by law, and the notice and a copy of this Act has been 11-3 furnished to all persons, agencies, officials, or entities to which 11-4 they are required to be furnished by the constitution and laws of 11-5 this state, including the governor of Texas, who has submitted the 11-6 notice and Act to the Texas Natural Resource Conservation 11-7 Commission. Also, the legislature finds that the Texas Natural 11-8 Resource Conservation Commission has filed its recommendations 11-9 relating to this Act with the governor, lieutenant governor, and 11-10 speaker of the house of representatives within the required time. 11-11 The general law relating to consent by political subdivisions to 11-12 the creation of conservation and reclamation districts and the 11-13 inclusion of land in those districts has been complied with, and 11-14 all requirements of the constitution and laws of this state and the 11-15 rules and procedures of this legislature with respect to the 11-16 notice, introduction, and passage of this Act have been fulfilled 11-17 and accomplished. 11-18 SECTION 15. DIRECTOR'S TERM OF OFFICE. (a) At the 11-19 confirmation and directors' election, the three directors receiving 11-20 the highest number of votes shall serve four-year terms and until 11-21 their successors are elected and have qualified. The four 11-22 directors receiving the fewest number of votes shall serve two-year 11-23 terms and until their successors are elected and have qualified. 11-24 In the event of a tie, the persons receiving the same number of 11-25 votes shall draw lots for the office or term. Successor directors 12-1 serve four-year terms. 12-2 (b) The initial board of directors serve until the first 12-3 regular meeting of the board following the date the confirmation 12-4 and directors' election returns are canvassed. 12-5 SECTION 16. EMERGENCY CLAUSE. The importance of this 12-6 legislation and the crowded condition of the calendars in both 12-7 houses create an emergency and an imperative public necessity that 12-8 the constitutional rule requiring bills to be read on three 12-9 separate days in each house be suspended, and this rule is hereby 12-10 suspended, and that this Act take effect and be in force from and 12-11 after its passage, and it is so enacted.