1-1 By: Truan, Carona S.B. No. 570 1-2 (In the Senate - Filed February 12, 1997; February 17, 1997, 1-3 read first time and referred to Committee on International 1-4 Relations, Trade, and Technology; March 13, 1997, reported 1-5 adversely, with favorable Committee Substitute by the following 1-6 vote: Yeas 9, Nays 0; March 13, 1997, sent to printer.) 1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 570 By: Truan 1-8 A BILL TO BE ENTITLED 1-9 AN ACT 1-10 relating to the regulation of subdivisions in certain economically 1-11 distressed counties; providing civil and criminal penalties. 1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-13 SECTION 1. Chapter 232, Local Government Code, is amended by 1-14 adding Subchapter C to read as follows: 1-15 SUBCHAPTER C. ALTERNATE SUBDIVISION PLATTING REQUIREMENTS 1-16 IN CERTAIN OTHER ECONOMICALLY DISTRESSED COUNTIES 1-17 Sec. 232.071. APPLICABILITY. This subchapter applies only 1-18 to the subdivision of land located: 1-19 (1) outside a municipality or the extraterritorial 1-20 jurisdiction of a municipality; and 1-21 (2) in a county: 1-22 (A) eligible for financial assistance under 1-23 Section 15.407, Water Code, or Subchapter K, Chapter 17, Water 1-24 Code; and 1-25 (B) to which Subchapter B does not apply. 1-26 Sec. 232.072. PLAT REQUIRED. (a) The owner of a tract of 1-27 land that divides the tract in any manner that creates lots of five 1-28 acres or less intended for residential purposes must have a plat of 1-29 the subdivision prepared. A subdivision of a tract under this 1-30 section includes a subdivision of real property by any method of 1-31 conveyance, including a contract for deed, oral contract, contract 1-32 of sale, or other type of executory contract, regardless of whether 1-33 the subdivision is made by using a metes and bounds description. 1-34 (b) A plat required under this section must: 1-35 (1) include on the plat or have attached to the plat a 1-36 document containing a description of the water and sewer service 1-37 facilities that will be constructed or installed to service the 1-38 subdivision and a statement of the date by which the facilities 1-39 will be fully operable; and 1-40 (2) have attached to the plat a document prepared by 1-41 an engineer registered to practice in this state certifying that 1-42 the water and sewer service facilities described by the plat or the 1-43 document attached to the plat are in compliance with the model 1-44 rules adopted under Section 16.343, Water Code. 1-45 (c) A plat required under this section must be filed and 1-46 recorded with the county clerk of the county in which the tract is 1-47 located. The plat is subject to the filing and recording 1-48 provisions of Section 12.002, Property Code. 1-49 Sec. 232.073. APPROVAL BY COUNTY REQUIRED. A plat filed 1-50 under Section 232.072 is not valid unless the commissioners court 1-51 of the county in which the land is located approves the plat by an 1-52 order entered in the minutes of the court. The commissioners court 1-53 shall refuse to approve a plat if it does not meet the requirements 1-54 prescribed by or under this subchapter or if any bond required 1-55 under this subchapter is not filed with the county clerk. 1-56 Sec. 232.074. BOND REQUIREMENTS. (a) Unless a person has 1-57 completed the installation of all water and sewer service 1-58 facilities required by this subchapter on the date that person 1-59 applies for final approval of a plat under Section 232.073, the 1-60 commissioners court shall require the subdivider of the tract to 1-61 execute and maintain in effect a bond or, in the alternative, a 1-62 person may make a cash deposit in an amount the commissioners court 1-63 determines will ensure compliance with this subchapter. A person 1-64 may not meet the requirements of this subsection through the use of 2-1 a letter of credit unless that letter of credit is irrevocable and 2-2 issued by an institution guaranteed by the Federal Deposit 2-3 Insurance Corporation. The subdivider must comply with the 2-4 requirement before subdividing the tract. 2-5 (b) The bond must be conditioned on the construction or 2-6 installation of water and sewer service facilities that will be in 2-7 compliance with the model rules adopted under Section 16.343, Water 2-8 Code. 2-9 Sec. 232.075. WATER AND SEWER SERVICE EXTENSION. (a) The 2-10 commissioners court may extend, beyond the date specified on the 2-11 plat or on the document attached to the plat, the date by which the 2-12 water and sewer service facilities must be fully operable if the 2-13 commissioners court finds the extension is reasonable and not 2-14 contrary to the public interest. 2-15 (b) The commissioners court may not grant an extension under 2-16 Subsection (a) if it would allow an occupied residence to be 2-17 without water or sewer services. 2-18 Sec. 232.076. CERTIFICATION REGARDING COMPLIANCE WITH PLAT 2-19 REQUIREMENTS. (a) On the approval of a plat by the commissioners 2-20 court, the commissioners court shall issue to the person applying 2-21 for the approval a certificate stating that the plat has been 2-22 reviewed and approved by the commissioners court. 2-23 (b) On its own motion or on the written request of a 2-24 subdivider, an owner or resident of a lot in a subdivision, or an 2-25 entity that provides a utility service, the commissioners court 2-26 shall: 2-27 (1) determine whether a plat is required under this 2-28 subchapter for an identified tract of land that is located within 2-29 the jurisdiction of the county; and 2-30 (2) if a plat is required for the identified tract, 2-31 determine whether a plat has been reviewed and approved by the 2-32 commissioners court. 2-33 (c) The request made under Subsection (b) must adequately 2-34 identify the land that is the subject of the request. 2-35 (d) Whenever a request is made under Subsection (b), the 2-36 commissioners court shall issue the requesting party a written 2-37 certification of its determinations. 2-38 (e) The commissioners court shall make its determinations 2-39 within 20 days after the date it receives the request under 2-40 Subsection (b) and shall issue the certificate, if appropriate, 2-41 within 10 days after the date the determinations are made. 2-42 (f) The commissioners court may adopt rules it considers 2-43 necessary to administer its duties under this section. 2-44 Sec. 232.077. CONNECTION OF UTILITIES IN CERTAIN COUNTIES. 2-45 (a) This section applies only to a tract of land for which a plat 2-46 is required under this subchapter. 2-47 (b) An entity described by Subsection (c) may not serve or 2-48 connect any land with water, sewer, electricity, gas, or other 2-49 utility service unless the entity has been presented with or 2-50 otherwise holds a certificate applicable to the land issued under 2-51 Section 232.076 stating that a plat has been reviewed and approved 2-52 for the land. 2-53 (c) The prohibition established by Subsection (b) applies 2-54 only to: 2-55 (1) a municipality, and officials of the municipality, 2-56 that provides water, sewer, electricity, gas, or other utility 2-57 service; 2-58 (2) a municipally owned or municipally operated 2-59 utility that provides any of those services; 2-60 (3) a public utility that provides any of those 2-61 services; 2-62 (4) a water supply or sewer service corporation 2-63 organized and operating under Chapter 76, Acts of the 43rd 2-64 Legislature, 1st Called Session, 1933 (Article 1434a, Vernon's 2-65 Texas Civil Statutes), that provides any of those services; 2-66 (5) a county that provides any of those services; and 2-67 (6) a special district or authority created by or 2-68 under state law that provides any of those services. 2-69 (d) The prohibition established by Subsection (b) applies 3-1 only to land that an entity described by Subsection (c) first 3-2 serves or first connects with services: 3-3 (1) between September 1, 1989, and June 16, 1995; or 3-4 (2) after the effective date of this subchapter. 3-5 Sec. 232.078. CONFLICT OF INTEREST; PENALTY. (a) In this 3-6 section, "subdivided tract" means a tract of land, as a whole, that 3-7 is subdivided into tracts or lots. The term does not mean an 3-8 individual lot in a subdivided tract of land. 3-9 (b) A person has an interest in a subdivided tract if the 3-10 person: 3-11 (1) has an equitable or legal ownership interest in 3-12 the tract; 3-13 (2) acts as a developer of the tract; 3-14 (3) owns voting stock or shares of a business entity 3-15 that: 3-16 (A) has an equitable or legal ownership interest 3-17 in the tract; or 3-18 (B) acts as a developer of the tract; or 3-19 (4) receives in a calendar year money or any thing of 3-20 value from a business entity described by Subdivision (3). 3-21 (c) A person also is considered to have an interest in a 3-22 subdivided tract if the person is related in the second degree by 3-23 consanguinity or affinity, as determined under Chapter 573, 3-24 Government Code, to a person who, under Subsection (b), has an 3-25 interest in the tract. 3-26 (d) If a member of the commissioners court has an interest 3-27 in a subdivided tract, the member shall file, before a vote or 3-28 decision regarding the approval of a plat for the tract, an 3-29 affidavit with the county clerk stating the nature and extent of 3-30 the interest and shall abstain from further participation in the 3-31 matter. The affidavit must be filed with the county clerk. 3-32 (e) A member of the commissioners court of a county commits 3-33 an offense if the member violates Subsection (d). An offense under 3-34 this subsection is a Class A misdemeanor. 3-35 (f) The finding by a court of a violation of this section 3-36 does not render voidable an action of the commissioners court 3-37 unless the measure would not have passed the commissioners court 3-38 but for the vote of the member who violated this section. 3-39 (g) A conviction under Subsection (e) constitutes official 3-40 misconduct by the member and is grounds for removal from office. 3-41 Sec. 232.079. CIVIL PENALTIES. (a) A subdivider or an 3-42 agent of a subdivider may not cause, suffer, allow, or permit a lot 3-43 to be sold in a subdivision if the subdivision has not been platted 3-44 as required by this subchapter. 3-45 (b) A subdivider who fails to provide, in the time and 3-46 manner described in the plat, for the construction or installation 3-47 of water or sewer service facilities described on the plat or on 3-48 the document attached to the plat or who otherwise violates this 3-49 subchapter or a rule or requirement adopted by the commissioners 3-50 court under this subchapter is subject to a civil penalty of not 3-51 less than $500 or more than $1,000 for each violation and for each 3-52 day of a continuing violation but not to exceed $5,000 each day and 3-53 shall also pay court costs, investigative costs, and attorney's 3-54 fees for the governmental entity bringing the suit. 3-55 (c) Venue for an action under this section is in a district 3-56 court of Travis County, a district court in the county in which the 3-57 defendant resides, or a district court in the county in which the 3-58 violation or threat of violation occurs. 3-59 Sec. 232.080. ENFORCEMENT. (a) The attorney general, or 3-60 the district attorney, criminal district attorney, or county 3-61 attorney, may take any action necessary in a court of competent 3-62 jurisdiction on behalf of the state or on behalf of residents to: 3-63 (1) enjoin the violation or threatened violation of 3-64 applicable model rules adopted under Section 16.343, Water Code; 3-65 (2) enjoin the violation or threatened violation of a 3-66 requirement of this subchapter or a rule adopted by the 3-67 commissioners court under this subchapter; 3-68 (3) recover civil or criminal penalties, attorney's 3-69 fees, litigation costs, and investigation costs; and 4-1 (4) require platting as required by this subchapter. 4-2 (b) During the pendency of any enforcement action brought, 4-3 any resident of the affected subdivision, or the attorney general, 4-4 district attorney, or county attorney on behalf of a resident, may 4-5 file a motion against the provider of utilities to halt termination 4-6 of preexisting utility services. The services may not be 4-7 terminated if the court makes an affirmative finding after hearing 4-8 the motion that termination poses a threat to public health or to 4-9 the health, safety, or welfare of the residents. This subsection 4-10 does not prohibit a provider of utilities from terminating services 4-11 under other law to a resident who has failed to timely pay for 4-12 services. 4-13 SECTION 2. The importance of this legislation and the 4-14 crowded condition of the calendars in both houses create an 4-15 emergency and an imperative public necessity that the 4-16 constitutional rule requiring bills to be read on three several 4-17 days in each house be suspended, and this rule is hereby suspended, 4-18 and that this Act take effect and be in force from and after its 4-19 passage, and it is so enacted. 4-20 * * * * *