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.