SLC S.B. 1137 75(R)BILL ANALYSIS


LAND & RESOURCE MANAGEMENT
S.B. 1137
By: Wentworth (Hilderbran)
5-5-97
Committee Report (Unamended)


BACKGROUND 

Currently, no state law exists relating to the option for a board of
directors of a municipal utility district (district) to select
extraterritorial jurisdiction for certain districts.  Property owners in
certain annexed districts may be subject to double taxation from the
municipality and the district, due to some districts having multiple
extraterritorial jurisdiction.  This provides the option for a board of
directors of a municipal utility district that is located in the
extraterritorial jurisdictions of more than one municipality to select the
municipality that may exercise authority within the district. 

PURPOSE

SB 1137 provides the option for a board of directors of a municipal
utility district that is located in the extraterritorial jurisdictions of
more than one municipality to select the municipality that may exercise
authority within the district. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency or
institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Subchapter B, Chapter 54, Water Code, by adding Section
54.0163, as follows: 

Sec. 54.0163. OPTION OF SELECTION OF EXTRATERRITORIAL JURISDICTION 
FOR CERTAIN DISTRICTS.  Authorizes the board of a municipal utility
district (district) that is located in the extraterritorial jurisdictions
of more than one municipality, by resolution, to select the municipality
may exercise authority within the district as a whole.  Requires the
resolution to state the effective date.  Requires the board to file with
each affected municipality and in the real property records of each county
in which the district is located a certified copy of the resolution.
Provides that the district is contained wholly in the extraterritorial
jurisdiction of the municipality selected by the resolution for all
purposes, on the effective date of the resolution.  Provides that no
action or approval by a municipality not selected is required.  Authorizes
a board that has made a selection of extraterritorial jurisdiction under
Section 54.0162 to confirm the selection by the adoption of a resolution
under this section.  Requires the selection to be effective from the date
of the original selection, if the selection under Section 54.0162 is
confirmed under this subsection. 

SECTION 2. States that the legislature validates and confirms in all
respects all resolutions, orders, and other acts or attempted acts of a
board of directors of a municipal utility district adopted or taken under
Sec. 54.0162, Water Code, before the effective date of this Act. 

SECTION 3. Emergency Clause. Effective Date.