Amend CSHB 2001 as follows:
      On page 4, between lines 2 and 3, committee printed version,
add the appropriately numbered new sections to read as follows:
      SECTION ____.  Subtitle A, Title 12, Local Government Code,
is amended by adding Chapter 376 to read as follows:
       CHAPTER 376.  SPECIFIC MUNICIPAL MANAGEMENT DISTRICTS
             Subchapters A-D reserved for expansion
        SUBCHAPTER E.  GREATER EAST END MANAGEMENT DISTRICT
      Sec. 376.161.  CREATION OF DISTRICT.  (a)  A special district
to be known as the "Greater East End Management District" exists as
a governmental agency, body politic and corporate, and political
subdivision of the state.
      (b)  The name of the district may be changed by resolution of
the board.
      (c)  The creation of the district is essential to accomplish
the purposes of Section 52, Article III, Section 59, Article XVI,
and Section 52-a, Article III, Texas Constitution, and other public
purposes stated in this subchapter.
      Sec. 376.162.  DECLARATION OF INTENT.  (a)  The creation of
the district is necessary to promote, develop, encourage, and
maintain employment, commerce, transportation, housing, tourism,
recreation, arts, entertainment, economic development, safety, and
the public welfare in the Greater East End area of the city of
Houston.
      (b)  The creation of the district and this legislation are
not to be interpreted to relieve the county or the municipality
from providing the level of services, as of September 1, 1997, to
the area in the district or to release the county or the
municipality from the obligations each entity has to provide
services to that area.  The district is created to supplement and
not supplant the municipal or county services provided in the area
in the district.
      (c)  By creating the district and authorizing the
municipality, county, and other political subdivisions to contract
with the district, the legislature has established a program to
accomplish the public purposes set out in Section 52-a, Article
III, Texas Constitution.
      Sec. 376.163.  DEFINITIONS.  In this subchapter:
            (1)  "Board" means the board of directors of the
district.
            (2)  "District" means the Greater East End Management
District.
            (3)  "Municipality" means the City of Houston, Texas.
            (4)  "County" means Harris County, Texas.
      Sec. 376.164.  BOUNDARIES.  The district includes all the
territory contained in the following described area:
Being 17 square miles, more or less, out of the D. GREGG Survey,
Abstract No. 238, the S.M. WILLIAMS Survey, Abstract No. 87, the
HARRIS & WILSON Survey, Abstract No. 32, the L. MOORE Survey,
Abstract No. 51, the S.M. HARRIS Survey, Abstract No. 327, the J.
BROWN Survey, Abstract No. 8, the H. TIERWESTER Survey, Abstract
No. 76, the J. WELLS Survey, Abstract No. 832, the J. THOMAS
Survey, Abstract No. 74, the J. THOMAS Survey, Abstract No. 762,
the H.B. PRENTISS Survey, Abstract No. 56, the CALLAHAN & VINCE
Survey, Abstract No. 9, the J.R. HARRIS Survey, Abstract No. 27,
the J. AUSTIN Survey, Abstract No. 1, and the J. HOLMAN Survey,
Abstract No. 323, all located in Harris County, Texas, being more
particularly described by metes and bounds as follows:
BEGINNING AT A POINT being the point of intersection of the
centerline of the right-of-way of Clinton Drive and the centerline
of the right-of-way of East Loop 610,
Thence in a southerly direction with the centerline of the
right-of-way of East Loop 610, passing the centerline of the
channel of Buffalo Bayou and continuing in a southerly direction
with the centerline of the right-of-way of Loop 610 along a curve
to the right and proceeding in a southwesterly direction with the
centerline of the right-of-way of Loop 610, passing the centerline
of the right-of-way of Interstate 45 South to the point of
intersection with the centerline of the right-of-way of Telephone
Road,
Thence in a northwesterly direction with the centerline of the
right-of-way of Telephone Road to the point of intersection with
the center of the right-of-way of Interstate 45 South,
Thence in a northwesterly direction with the centerline of the
right-of-way of Interstate 45 South to the point of intersection
with the centerline of the right-of-way of U.S. Highway 59,
Thence in a northeasterly direction with the centerline of the
right-of-way of U.S. Highway 59 to the point of intersection with
the centerline of the right-of-way of Clay Street,
Thence in a southeasterly direction with the centerline of the
right-of-way of Clay Street to the point of intersection with the
East line of the right-of-way of Chartres Street,
Thence in a northeasterly direction with the East line of the
right-of-way of Chartres Street to the point of intersection with
the centerline of the right-of-way of Capitol Avenue,
Thence in a northwesterly direction with the centerline of the
right-of-way of Capitol Avenue to the point of intersection with
the centerline of the right-of-way of U.S. Highway 59,
Thence in a northeasterly direction with the with the centerline of
the right-of-way of U.S. Highway 59, to the point of intersection
with the centerline of the channel of Buffalo Bayou,
Thence in a southerly and easterly direction following the meanders
of the centerline of the channel of Buffalo Bayou to the point of
intersection with the centerline of the right-of-way of Jensen
Drive,
Thence in a northerly direction with the centerline of the
right-of-way of Jensen Drive to the point of intersection with the
centerline of the right-of-way of Clinton Drive,
Thence in an easterly and southeasterly direction with the
centerline of the right-of-way of Clinton Drive to the point of
intersection with the East line of the Harris & Wilson Survey,
Abstract No. 32, being also a point in the West line of the J.
Brown Survey, Abstract No. 8,
Thence in a northerly direction with the East line of the Harris &
Wilson Survey, Abstract No. 32, being also the West line of the J.
Brown Survey, Abstract No. 8 to the point of intersection with the
easterly projection of the centerline of the right-of-way of Market
Street,
Thence in a westerly direction with the easterly projection of the
centerline of the right-of-way of Market Street and continuing with
the centerline of the right-of-way of Market Street to the point of
intersection with the centerline of the right-of-way of Crown
Street,
Thence in a northerly direction with the centerline of the
right-of-way of Crown Street to the point of intersection with the
centerline of the right-of-way of Lyons Avenue,
Thence in an easterly direction with the centerline of the
right-of-way of Lyons Avenue to the point of intersection with the
northerly projection of the centerline of the right-of-way of
Dorsett Street,
Thence in a southerly direction with the northerly projection of
the centerline of the right-of-way of Dorsett Street and continuing
with the centerline of the right-of-way of Dorsett Street and
continuing with a southerly projection of the centerline of the
right-of-way of Dorsett Street to the point of intersection with
the centerline of the right-of-way of Market Street,
Thence in a westerly direction with the centerline of the
right-of-way of Market Street to the point of intersection with the
northerly projection of the centerline of the right-of-way of Labco
Street,
Thence in a southerly direction with the northerly projection of
the centerline of the right-of-way of Labco Street and continuing
with the centerline of the right-of-way of Labco Street to the
point of intersection with the centerline of the right-of-way of
Tilgham Street,
Thence in an easterly direction with the centerline of the
right-of-way of Tilgham Street to the point of intersection with
the northerly projection of the centerline of Dorsett Street,
Thence in a southerly direction with the northerly projection of
the centerline of the right-of-way of Dorsett Street and continuing
with the centerline of the right-of-way of Dorsett Street and
continuing with a southerly projection of the centerline of the
right-of-way of Dorsett Street to the point of intersection with
the centerline of the right-of-way of Clinton Drive,
Thence in a southeasterly direction with the centerline of the
right-of-way of Clinton Drive to the POINT of BEGINNING, SAVE AND
EXCEPT all tracts or parcels of land, rights-of-way, facilities,
and improvements owned by a public utility as defined by Section
2.0011(1), Public Utility Regulatory Act of 1995 (Article 1446c-O,
Vernon's Texas Civil Statutes).
      Sec. 376.165.  FINDINGS RELATING TO BOUNDARIES.  The
boundaries and field notes of the district form a closure.  If a
mistake is made in the field notes or in copying the field notes in
the legislative process, the mistake does not in any way affect
the:
            (1)  organization, existence, and validity of the
district;
            (2)  right of the district to issue any type of bonds
or refunding bonds for the purposes for which the district is
created or to pay the principal of and interest on the bonds;
            (3)  right of the district to impose and collect
assessments or taxes; or
            (4)  legality or operation of the district or its
governing body.
      Sec. 376.166.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
(a)  All the land and other property included in the district will
be benefited by the improvements and services to be provided by the
district under powers conferred by Section 52, Article III, Section
59, Article XVI, and Section 52-a, Article III, Texas Constitution,
and other powers granted under this subchapter, and the district is
created to serve a public use and benefit.
      (b)  The creation of the district is in the public interest
and is essential to:
            (1)  further the public purposes of the development and
diversification of the economy of the state; and
            (2)  eliminate unemployment and underemployment and
develop or expand transportation and commerce.
      (c)  The district will:
            (1)  promote the health, safety, and general welfare of
residents, employers, employees, visitors, consumers in the
district, and the general public;
            (2)  provide needed funding for the Greater East End
area to preserve, maintain, and enhance the economic health and
vitality of the area as a community and business center; and
            (3)  further promote the health, safety, welfare, and
enjoyment of the public by providing pedestrian ways and by
landscaping and developing certain areas in the district, which
improvements are necessary for the restoration, preservation, and
enhancement of scenic and aesthetic beauty.
      (d)  Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, and street art objects are parts of and necessary
components of a street and are considered to be a street or road
improvement.
      (e)  The district will not act as the agent or
instrumentality of any private interest even though many private
interests will be benefited by the district, as will the general
public.
      Sec. 376.167.  APPLICATION OF OTHER LAW.  Except as otherwise
provided by this subchapter, Chapter 375 applies to the district.
      Sec. 376.168.  CONSTRUCTION OF SUBCHAPTER.  This subchapter
shall be liberally construed in conformity with the findings and
purposes stated in this subchapter.
      Sec. 376.169.  BOARD OF DIRECTORS IN GENERAL.  (a)  The
district is governed by a board of 13 directors who serve staggered
terms of four years with six or seven members' terms expiring June
1 of each odd-numbered year.  The board may increase or decrease
the number of directors on the board by resolution, provided that
it is in the best interest of the district to do so and provided
that the board consists of not fewer than nine and not more than 30
directors.
      (b)  Subchapter D, Chapter 375, applies to the board to the
extent that subchapter does not conflict with this subchapter.  The
imposition of a tax, assessment, or impact fee requires a vote of a
majority of the directors serving.  Directors may vote on any
matter authorized by Subchapter D, Chapter 375, and action may be
taken by the board only if it is approved in the manner prescribed
by Subchapter D, Chapter 375.
      Sec. 376.170.  APPOINTMENT OF DIRECTORS; VACANCY.  The mayor
and members of the governing body of the municipality shall appoint
directors from among persons recommended by the board who meet the
qualifications of Subchapter D, Chapter 375.  A vacancy in the
office of director because of the death, resignation, or removal of
a director shall be filled by the remaining members of the board by
appointing a qualified person for the unexpired term.
      Sec. 376.171.  POWERS OF DISTRICT.  The district has:
            (1)  all powers necessary or required to accomplish the
purposes for which the district was created;
            (2)  the rights, powers, privileges, authority, and
functions of a district created under Chapter 375;
            (3)  the powers given to a corporation under Section
4B, Development Corporation Act of 1979 (Article 5190.6, Vernon's
Texas Civil Statutes), and the power to own, operate, acquire,
construct, lease, improve, and maintain projects;
            (4)  the power to impose ad valorem taxes, assessments,
or impact fees in accordance with Chapter 375 to provide
improvements and services for a project or activity the district is
authorized to acquire, construct, improve, or provide under this
subchapter; and
            (5)  the power to correct, add to, or delete
assessments from its assessment rolls after notice and hearing as
provided by Subchapter F, Chapter 375.
      Sec. 376.172.  EMINENT DOMAIN.  The district may not exercise
the power of eminent domain.
      Sec. 376.173.  EXPENSES AND LIABILITY FOR CERTAIN ACTIONS
AFFECTING PROPERTY.  (a)  If the district, in exercising a power
conferred by this subchapter, requires a relocation, adjustment,
raising, lowering, rerouting, or changing of the grade or the
construction of any of the following items, the district must take
that required action at the sole expense of the district:
            (1)  a street, alley, highway, overpass, underpass,
road, railroad track, bridge, facility, or other property;
            (2)  an electric line, conduit, facility, or other
property;
            (3)  a telephone or telegraph line, conduit, facility,
or other property;
            (4)  a gas transmission or distribution pipe, pipeline,
main, facility, or other property;
            (5)  a water, sanitary sewer, or storm sewer pipe,
pipeline, main, facility, or other property;
            (6)  a cable television line, cable, conduit, facility,
or other property; or
            (7)  another pipeline, facility, or other property
relating to the pipeline.
      (b)  The district shall bear damages that are suffered by
owners of the facility or other property.
      Sec. 376.174.  RELATION TO OTHER LAW.  If any provision of a
law referenced in this subchapter is in conflict with or is
inconsistent with this subchapter, this subchapter prevails.  Any
law referenced in this subchapter that is not in conflict or
inconsistent with this subchapter is adopted and incorporated by
reference.
      Sec. 376.175.  REQUIREMENTS FOR FINANCING SERVICES AND
IMPROVEMENTS.  The district may not finance services and
improvement projects under this subchapter unless a written
petition requesting those improvements or services has been filed
with the board.  The petition must be signed by:
            (1)  the owners of a majority of the assessed value of
real property in the district as determined by the most recent
certified county property tax rolls; or
            (2)  at least 50 persons who own land in the district,
if there are more than 50 persons who own property in the district
as determined by the most recent certified county property tax
rolls.
      Sec. 376.176.  NONPROFIT CORPORATION.  (a)  The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act on behalf of the district in implementing a project
or providing a service authorized by this subchapter.
      (b)  The board shall appoint the board of directors of a
nonprofit corporation created under this section.  The board of
directors of the nonprofit corporation shall serve in the same
manner as, for the same term as, and on the conditions of the board
of directors of a local government corporation created under
Chapter 431, Transportation Code.
      (c)  A nonprofit corporation created under this section has
the powers of and is considered for purposes of this subchapter to
be a local government corporation created under Chapter 431,
Transportation Code.
      (d)  A nonprofit corporation created under this section may
implement any project and provide any services authorized by this
subchapter.
      Sec. 376.177.  DISBURSEMENTS OR TRANSFERS OF FUNDS.  The
board by resolution shall establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of district funds.
      Sec. 376.178.  BONDS.  (a)  The district may issue bonds or
other obligations payable in whole or in part from ad valorem
taxes, assessments, impact fees, revenues, grants, or other funds
of the district, or any combination of those sources of funds, to
pay for any authorized purpose of the district.
      (b)  Bonds or other obligations of the district may be issued
in the form of bonds, notes, certificates of participation,
including other instruments evidencing a proportionate interest in
payments to be made by the district, or other obligations that are
issued in the exercise of the district's borrowing power and may be
issued in bearer or registered form or not represented by an
instrument but the transfer of which is registered on books
maintained by or on behalf of the district.  The board may impose
and collect an assessment under Subchapter F, Chapter 375, for any
purpose authorized by this subchapter or by Chapter 375.
      (c)  Except as provided by Subsection (d), the district must
obtain the municipality's approval of:
            (1)  the issuance of bonds for an improvement project;
            (2)  the plans and specifications of the improvement
project to be financed by the bonds; and
            (3)  the plans and specifications of a district
improvement project related to:
                  (A)  the use of land owned by the municipality;
                  (B)  an easement granted by the municipality; or
                  (C)  a right-of-way of a street, road, or
highway.
      (d)  If the district obtains the municipality's approval of a
capital improvements budget for a specified period not to exceed
five years, the district may finance the capital improvements and
issue bonds specified in the budget without further municipal
approval.
      (e)  Before the district issues bonds, the district shall
submit the bonds and the record of proceedings of the district
relating to authorization of the bonds to the attorney general for
approval as provided by Chapter 53, Acts of the 70th Legislature,
2nd Called Session, 1987 (Article 717k-8, Vernon's Texas Civil
Statutes).
      Sec. 376.179.  ASSESSMENTS.  (a)  The board may impose and
collect an assessment for any purpose authorized by this
subchapter.
      (b)  Assessments, reassessments, or assessments resulting
from an addition to or correction of the assessment roll by the
district, penalties and interest on an assessment or reassessment,
expenses of collection, and reasonable attorney's fees incurred by
the district:
            (1)  are a first and prior lien against the property
assessed;
            (2)  are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad
valorem taxes; and
            (3)  are the personal liability of and charge against
the owners of the property even if the owners are not named in the
assessment proceedings.
      (c)  The lien is effective from the date of the resolution of
the board levying the assessment until the assessment is paid.  The
board may enforce the lien in the same manner that the board may
enforce an ad valorem tax lien against real property.
      Sec. 376.180.  PROPERTY EXEMPTED FROM TAX, FEE, OR
ASSESSMENT.  (a)  The district may not impose a tax, impact fee, or
assessment on a residential property, multiunit residential
property, or condominium.
      (b)  The district may not impose an impact fee or assessment
on the property, equipment, or facilities of a public utility as
defined by Section 2.0011(1), Public Utility Regulatory Act of 1995
(Article 1446c-0, Vernon's Texas Civil Statutes).
      Sec. 376.181.  ELECTIONS.  (a)  In addition to the elections
the district must hold under Subchapter L, Chapter 375, the
district shall 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)  The board may submit multiple purposes in a single
proposition at an election.
      Sec. 376.182.  IMPACT FEES.  The district may impose an
impact fee for an authorized purpose as provided by Subchapter G,
Chapter 375.
      Sec. 376.183.  MAINTENANCE TAX.  (a)  If authorized at an
election held in accordance with Section 376.181, the district may
impose and collect an annual ad valorem tax on taxable property in
the district for the maintenance and operation of the district and
the improvements constructed or acquired by the district or for the
provision of services.
      (b)  The board shall determine the tax rate.
      Sec. 376.184.  DISSOLUTION OF DISTRICT.  The district may be
dissolved as provided by Subchapter M, Chapter 375.  If the
district has debt and is dissolved, the district shall remain in
existence solely for the limited purpose of discharging its bonds
or other obligations according to their terms.
      Sec. 376.185.  CONTRACTS.  (a)  To protect the public
interest, the district may contract with the municipality or county
for the provision of law enforcement services by the county or
municipality in the district on a fee basis.
      (b)  The municipality, the county, or another political
subdivision of the state, without further authorization, may
contract with the district to implement a project of the district
or assist the district in providing the services authorized under
this subchapter.  A contract under this subsection may:
            (1)  be for a period on which the parties agree;
            (2)  include terms on which the parties agree;
            (3)  be payable from taxes or any other sources of
revenue that may be available for such purpose; or
            (4)  provide that taxes or other revenue collected at a
district project or from a person using or purchasing a commodity
or service at a district project may be paid or rebated to the
district under the terms of the contract.
      (c)  The district may enter into a contract, lease, or other
agreement with or make or accept grants and loans to or from:
            (1)  the United States;
            (2)  the state or a state agency;
            (3)  any county, any municipality, or another political
subdivision of the state;
            (4)  a public or private corporation, including a
nonprofit corporation created by the board under this subchapter;
or
            (5)  any other person.
      (d)  The district may perform all acts necessary for the full
exercise of the powers vested in the district on terms and for the
period the board determines advisable.
      Sec. 376.186.  INITIAL DIRECTORS.  (a)  The initial board
consists of the following persons:
            Pos. No.          Name of Director
            1                 Lynn Woolley
            2                 Rex Moran
            3                 Carlos Garcia
            4                 Mike Garver
            5                 Yolanda Black
            6                 Mike Parker
            7                 Carl Norman
            8                 Rafael Acosta
            9                 Dominic Quijano
            10                Margaret Lincoln
            11                Carl Norman
            12                Sonney Flores
            13                Jim McCoy
      (b)  Of the initial directors, the terms of directors
appointed for positions 1 through 6 expire on June 1, 1999, and the
terms of directors appointed for positions 7 through 13 expire on
June 1, 2001.
      (c)  This section expires September 1, 2002.
      SECTION ____  The legislature finds that:
            (1)  proper and legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
by the constitution and laws of this state, including the governor,
who has submitted the notice and Act to the Texas Natural Resource
Conservation Commission;
            (2)  the Texas Natural Resource Conservation Commission
has filed its recommendations relating to this Act with the
governor, lieutenant governor, and speaker of the house of
representatives within the required time;
            (3)  the general law relating to consent by political
subdivisions to the creation of districts with conservation,
reclamation, and road powers and the inclusion of land in those
districts has been complied with; and
            (4)  all requirements of the constitution and laws of
this state and the rules and procedures of the legislature with
respect to the notice, introduction, and passage of this Act have
been fulfilled and accomplished.