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.

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