1-1  By:  Stiles (Senate Sponsor - Galloway)               H.B. No. 1531
    1-2        (In the Senate - Received from the House April 18, 1995;
    1-3  April 19, 1995, read first time and referred to Committee on
    1-4  Natural Resources; April 24, 1995, rereferred to Committee on
    1-5  Intergovernmental Relations; May 3, 1995, reported favorably by the
    1-6  following vote:  Yeas 10, Nays 0; May 3, 1995, sent to printer.)
    1-7                         A BILL TO BE ENTITLED
    1-8                                AN ACT
    1-9  relating to the creation, administration, powers, duties,
   1-10  operation, and financing of the Hamshire Municipal Utility
   1-11  District.
   1-12        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-13        SECTION 1.  CREATION.  (a)  A conservation and reclamation
   1-14  district, to be known as the Hamshire Municipal Utility District,
   1-15  is created in Jefferson County, subject to approval at a
   1-16  confirmation election under Section 9 of this Act.  The district is
   1-17  a governmental agency and a body politic and corporate.
   1-18        (b)  The district is created under and is essential to
   1-19  accomplish the purposes of Section 59, Article XVI, Texas
   1-20  Constitution.
   1-21        SECTION 2.  DEFINITION.  In this Act, "district" means the
   1-22  Hamshire Municipal Utility District.
   1-23        SECTION 3.  BOUNDARIES.  The district includes the territory
   1-24  contained within the following area:
   1-25        BEGINNING at the point of intersection of the Southeasterly
   1-26  right-of-way line of Interstate Highway 10 and the West boundary
   1-27  line of Jefferson County, Texas, the same being the East boundary
   1-28  line of Chambers County, Texas;
   1-29        THENCE in a Southerly direction along the West boundary line
   1-30  of Jefferson County, Texas and the East boundary line of Chambers
   1-31  County, Texas to a point in the North line of the J. A. Dunshie
   1-32  Survey, Abstract No. 677, Jefferson County, Abstract No. 609,
   1-33  Chambers County;
   1-34        THENCE in a Easterly direction along and with the most
   1-35  Northerly line of the Trinty Bay Conservation District and the same
   1-36  being the North line of the said J. A. Dunshie Survey; the T. &
   1-37  N.O.R.R. Survey, Section 181, Abstract No. 345; the E. I. White
   1-38  Survey, Abstract No. 621; the T. & N.O.R.R. Survey, Section 183,
   1-39  Abstract No. 346; the T.J. Baldwin Survey, Abstract No. 624; the
   1-40  E.L. & R.R.R., Section 373, Abstract No. 551; the Stephen Eaton
   1-41  Survey, Abstract No. 22; the J.L. Dyson Survey, Abstract No. 791;
   1-42  the D.D. Dyson Survey, Abstract No. 790; the T. & N.O.R.R.  Survey,
   1-43  Section 215, Abstract No. 277; and the Seth Davis Survey, Abstract
   1-44  No.  491 to a point for corner, said point being the most
   1-45  Northeasterly corner of the Seth Davis Survey, Abstract No. 491;
   1-46        THENCE in a Northerly direction along the East line of the
   1-47  Seth Davis Survey, Abstract No. 490; the T. & N.O.R.R. Survey,
   1-48  Section 169, Abstract No. 377; the J. E. Broussard Survey, Abstract
   1-49  No. 482; and the T. & N.O.R.R. Survey, Section 149, Abstract No.
   1-50  369 to a point for corner, said point being the most Northeasterly
   1-51  corner of the T. & N.O.R.R. Survey Section 149;
   1-52        THENCE in a Westerly direction to a point for corner along
   1-53  the North line of the T. & N.O.R.R. Survey, Section 149 to the
   1-54  intersection of the east line of the Lovan Hamshire Survey,
   1-55  Abstract No. 507, said point being the most Southeasterly corner of
   1-56  the Lovan Hamshire Survey, Abstract No. 507;
   1-57        THENCE in a Northerly direction along the East line of the
   1-58  Lovan Hamshire Survey, Abstract No. 507; and the T. & N.O.R.R.
   1-59  Survey, Section 139, Abstract No. 364 to its intersection with the
   1-60  North bank of the South Fork of Taylor's Bayou;
   1-61        THENCE following and abutting the Southerly and Westerly
   1-62  lines of the West Jefferson County Municipal Water District along
   1-63  the following calls:
   1-64              Westerly along the North bank of the South Fork of
   1-65              Taylor's Bayou, the same being the most Southerly line
   1-66              of the aforementioned Water District to the
   1-67              intersection of a line 300 east of, and measured at
   1-68              right angles to the West Line of the J. W. Denny
    2-1              Survey, Abstract No. 747 and the A. D. Knowlton Survey,
    2-2              Abstract No. 668;
    2-3              Southerly on a line 300 feet East of and parallel to
    2-4              the west line of the J. W. Denny Survey, Abstract No.
    2-5              747 and the A. D. Knowlton Survey, Abstract No. 668, to
    2-6              the North right-of-way line of State Highway 73 to a
    2-7              point for corner;
    2-8              Southerly and Southwesterly along the North
    2-9              right-of-way line of State Highway 73 to its
   2-10              intersection with the Southeasterly bank of Mayhaw
   2-11              Bayou, to a point for corner;
   2-12              Northeasterly along the meanders of the Southeast bank
   2-13              of Mayhaw Bayou to its intersection with the North bank
   2-14              of the South Fork of Taylor's Bayou, to a point for
   2-15              corner;
   2-16              Northwesterly along the meanders of the North bank of
   2-17              the South Fork of Taylor's Bayou to its intersection
   2-18              with the Northwesterly right-of-way of Interstate 10;
   2-19              Northeasterly along the Northwesterly right-of-way of
   2-20              Interstate 10 to its intersection with the North bank
   2-21              of the North Fork of Taylor's Bayou;
   2-22              Westerly along the meanders of the North bank of the
   2-23              North Fork of Taylor's Bayou;
   2-24        THENCE leaving the aforementioned District's boundary in a
   2-25  Westerly direction along the meanders of the North bank of the
   2-26  Taylor's Bayou to a point on the East line of the T. & N.O.R.R.
   2-27  Survey, Section 63, Abstract No. 212;
   2-28        THENCE in a Northerly direction along the East line of the T.
   2-29  & N.O.R.R.  Survey, Section 63, Abstract No. 212 to the most
   2-30  Northeasterly corner of said survey to a point for corner;
   2-31        THENCE in a Westerly direction along the North line of the T.
   2-32  & N.O.R.R.  Survey, Section 63, Abstract No. 212 to the most
   2-33  Northwesterly corner of said survey to a point for corner;
   2-34        THENCE in a Southerly direction along the West line of the T.
   2-35  & N.O.R.R.  Survey, Section 63, Abstract No. 212 and the C.J.
   2-36  Peterson Survey, Abstract No.  594 to a point for corner on the
   2-37  North line of the C.J. Peterson Survey, Abstract No. 591, said
   2-38  point also being the most Southwesterly corner of the C.J. Peterson
   2-39  Survey, Abstract No. 594;
   2-40        THENCE in a Westerly direction along the North line of the
   2-41  C.J. Peterson Survey, Abstract No. 591 to the most Northwesterly
   2-42  corner of the said survey;
   2-43        THENCE in a Southerly direction along the West line of the
   2-44  C.J. Peterson Survey, Abstract No. 591 and the West boundary line
   2-45  of Jefferson County, Texas, the same being the East boundary line
   2-46  of Chambers County, Texas to the POINT OF BEGINNING.
   2-47        SECTION 4.  FINDINGS RELATING TO BOUNDARIES.  The legislature
   2-48  finds that the boundaries and field notes of the district form a
   2-49  closure.  A mistake in the field notes or in copying the field
   2-50  notes in the legislative process does not affect the organization,
   2-51  existence, or validity of the district, the right of the district
   2-52  to levy and collect taxes to issue bonds, or to pay the principal
   2-53  of or interest on the bonds, or the legality or operation of the
   2-54  district or its governing body.
   2-55        SECTION 5.  FINDING OF BENEFIT.  All of the land and other
   2-56  property included within the boundaries of the district will be
   2-57  benefited by the works and projects that are to be accomplished by
   2-58  the district under powers conferred by Section 59, Article XVI,
   2-59  Texas Constitution.  The district is created to serve a public use
   2-60  and benefit.
   2-61        SECTION 6.  POWERS.  (a)  The district has all of the rights,
   2-62  powers, privileges, authority, functions, and duties provided by
   2-63  the general law of this state, including Chapters 50 and 54, Water
   2-64  Code, applicable to municipal utility districts created under
   2-65  Section 59, Article XVI, Texas Constitution.  This Act prevails
   2-66  over any provision of general law that is in conflict or
   2-67  inconsistent with this Act.
   2-68        (b)  The rights, powers, privileges, authority, functions,
   2-69  and duties of the district are subject to the continuing right of
   2-70  supervision of the state to be exercised by and through the Texas
    3-1  Natural Resource Conservation Commission.
    3-2        SECTION 7.  BOARD OF DIRECTORS.  (a)  The district is
    3-3  governed by a board of seven directors.
    3-4        (b)  Temporary directors serve until initial directors are
    3-5  elected under Section 9 of this Act.
    3-6        (c)  Initial directors serve until permanent directors are
    3-7  elected under Section 10 of this Act.
    3-8        (d)  Permanent directors serve staggered four-year terms.
    3-9        (e)  Each director must qualify to serve as director in the
   3-10  manner provided by Section 54.025 or 54.116, Water Code, as
   3-11  appropriate.
   3-12        (f)  A director serves until the director's successor has
   3-13  qualified.
   3-14        SECTION 8.  TEMPORARY DIRECTORS.  (a)  The temporary board of
   3-15  directors is composed of:
   3-16              (1)  Robert Lott;
   3-17              (2)  Jim Broussard;
   3-18              (3)  Forrest R. Jones III;
   3-19              (4)  Jimmy D. Gregory;
   3-20              (5)  George V. Morris;
   3-21              (6)  Jerry Sparks; and
   3-22              (7)  Shirley Verret.
   3-23        (b)  If a temporary director does not qualify for office, the
   3-24  remaining directors shall appoint a person to fill the vacancy.  If
   3-25  at any time the number of qualified directors is less than seven
   3-26  because of the failure or refusal of one or more directors to
   3-27  qualify to serve, because of death or incapacitation, or for any
   3-28  other reason, the Commissioners Court of Jefferson County shall
   3-29  appoint the necessary number of directors to fill all vacancies on
   3-30  the board.
   3-31        SECTION 9.  CONFIRMATION AND INITIAL DIRECTORS' ELECTION.
   3-32  (a)  The temporary board of directors shall call and hold an
   3-33  election to confirm establishment of the district and to elect
   3-34  seven initial directors as provided by Chapter 54, Water Code.
   3-35        (b)  Section 41.001(a), Election Code, does not apply to a
   3-36  confirmation election held as provided by this section.
   3-37        (c)  The ballot for the confirmation election may contain a
   3-38  proposition for the levy of a maintenance tax or a special benefits
   3-39  tax or both.
   3-40        SECTION 10.  ELECTION OF DIRECTORS.  On the first Saturday in
   3-41  May of the first odd-numbered year after the year in which the
   3-42  confirmation election is held, an election shall be held in the
   3-43  district for the election of four directors who shall each serve
   3-44  two-year terms and three directors who shall each serve four-year
   3-45  terms.  Thereafter, on the same date in each subsequent second
   3-46  year, the appropriate number of directors shall be elected to the
   3-47  board.
   3-48        SECTION 11.  VACANCIES.  If at any time and for any reason
   3-49  the number of qualified directors is less than seven, the
   3-50  Commissioners Court of Jefferson County shall appoint the necessary
   3-51  number of directors to fill all vacancies on the board.
   3-52        SECTION 12.  SPECIAL BENEFITS TAX.  (a)  In addition to or
   3-53  instead of an ad valorem tax, and for the purpose of pledging all
   3-54  or part of the tax revenue to the payment of bonds, the district
   3-55  may levy, assess, and collect an annual tax on all taxable real
   3-56  property in the district apportioned and assessed according to the
   3-57  special benefit received by the property as a result of district
   3-58  improvements.  Any property within 100 feet of a water line or
   3-59  sewer line or both is considered to receive a special benefit, and
   3-60  the tax authorized by this section may be imposed on that property.
   3-61        (b)  Before a tax or taxes may be levied under this section,
   3-62  a public hearing must be held within the district after notice of
   3-63  the hearing has been published in a newspaper of general
   3-64  circulation in the district once a week for two consecutive weeks,
   3-65  the date of the first publication to be at least 14 days before the
   3-66  date of the hearing and a proposition authorizing the levy of the
   3-67  tax must have been approved at an election called and conducted in
   3-68  the manner prescribed for a bond election.
   3-69        SECTION 13.  PURCHASE OR SALE OF WATER.  The district may
   3-70  enter into contracts for the purchase or sale of both raw and
    4-1  treated water.
    4-2        SECTION 14.  WATER RIGHTS.  The district may acquire,
    4-3  develop, and use underground or surface water rights.
    4-4        SECTION 15.  WATER SUPPLY FACILITY, SEWER SYSTEM, AND SOLID
    4-5  WASTE DISPOSAL FACILITY STANDARDS.  (a)  Subject to the authority
    4-6  of the Texas Natural Resource Conservation Commission, the board of
    4-7  directors by rule may establish standard specifications for
    4-8  facilities within the district's boundaries that are designed or
    4-9  constructed to provide:
   4-10              (1)  storage, treatment, or transportation of water for
   4-11  domestic, municipal, or industrial purposes;
   4-12              (2)  collection, treatment, and disposal of sewage; or
   4-13              (3)  disposal of solid wastes.
   4-14        (b)  Appeal from an order adopting standard specifications is
   4-15  to the district court of Jefferson County, and the substantial
   4-16  evidence rule applies.
   4-17        (c)  The district may seek to enjoin the construction of a
   4-18  facility, an addition to an existing facility, or the operation of
   4-19  a facility that is not in compliance with the standard
   4-20  specifications.
   4-21        (d)  The standard specifications shall be filed with the
   4-22  Texas Natural Resource Conservation Commission.
   4-23        (e)  Specifications adopted under this section do not apply
   4-24  within the boundaries or extraterritorial jurisdiction of a
   4-25  municipality unless the governing body of the municipality by
   4-26  resolution consents.
   4-27        SECTION 16.  CONTRACT FOR ACQUISITION OF EXISTING SYSTEMS.  A
   4-28  contract for the acquisition of an existing water or sewer facility
   4-29  may be made on terms agreed on by the parties.
   4-30        SECTION 17.  FINDINGS RELATING TO PROCEDURAL REQUIREMENTS.
   4-31  (a)  The proper and legal notice of the intention to introduce this
   4-32  Act, setting forth the general substance of this Act, has been
   4-33  published as provided by law, and the notice and a copy of this Act
   4-34  have been furnished to all persons, agencies, officials, or
   4-35  entities to which they are required to be furnished by the
   4-36  constitution and other laws of this state, including the governor,
   4-37  who has submitted the notice and Act to the Texas Natural Resource
   4-38  Conservation Commission.
   4-39        (b)  The Texas Natural Resource Conservation Commission has
   4-40  filed its recommendations relating to this Act with the governor,
   4-41  lieutenant governor, and speaker of the house of representatives
   4-42  within the required time.
   4-43        (c)  All requirements of the constitution and laws of this
   4-44  state and the rules and procedures of the legislature with respect
   4-45  to the notice, introduction, and passage of this Act are fulfilled
   4-46  and accomplished.
   4-47        SECTION 18.  EMERGENCY.  The importance of this legislation
   4-48  and the crowded condition of the calendars in both houses create an
   4-49  emergency and an imperative public necessity that the
   4-50  constitutional rule requiring bills to be read on three several
   4-51  days in each house be suspended, and this rule is hereby suspended,
   4-52  and that this Act take effect and be in force from and after its
   4-53  passage, and it is so enacted.
   4-54                               * * * * *