Bill not drafted by TLC or Senate E&E. Line and page numbers may not match official copy. By: Gallegos S.B. No. 858 A BILL TO BE ENTITLED AN ACT 1-1 relating to the provision of municipal services and the creation of 1-2 special municipal districts in areas annexed on or after December 1-3 1, 1996, by certain municipalities. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 43, Local Government Code is amended to 1-6 add Subchapters I and J to read as follows: 1-7 SUBCHAPTER I 1-8 PROVISION OF MUNICIPAL SERVICES IN 1-9 AREAS ANNEXED BY CERTAIN 1-10 MUNICIPALITIES ON OR AFTER 1-11 DECEMBER 1, 1996 1-12 Section 43.204. DEFINITIONS. In this subchapter: 1-13 (1) "Annexed area" means a tract of contiguous 1-14 territory that is annexed on or after December 1, 1996, by a 1-15 municipality. 1-16 (2) "Municipality" means a municipality with a 1-17 population of more than 1.5 million. 1-18 Section 43.205. PROVISION OF SERVICES TO ANNEXED AREA. 1-19 (a) A municipality shall provide services to an annexed area in 1-20 accordance with the requirements of Section 43.056, Local 1-21 Government Code. 1-22 (b) A municipality may not provide fewer services or a lower 1-23 level of services in the area than were in existence in the area 2-1 immediately preceding the date of the annexation. 2-2 Section 43.206. ENFORCEMENT. (a) A person residing in an 2-3 annexed area may enforce the requirements of Section 2 of this 2-4 subchapter by applying for a writ of mandamus. In a mandamus 2-5 proceeding, the burden shall be on the municipality to show that 2-6 the municipality has not provided fewer services or a lower level 2-7 of services in the annexed area than were in existence in the area 2-8 immediately preceding the date of the annexation. 2-9 (b) If the court issues the writ requested by a person 2-10 residing in an annexed area, the municipality shall pay the 2-11 person's costs and reasonable attorney's fees in bringing the 2-12 action. 2-13 (c) A writ issued under this section must provide the 2-14 municipality the option of disannexing the area within 30 days. 2-15 SUBCHAPTER J 2-16 CREATION OF SPECIAL MUNICIPAL 2-17 DISTRICTS IN AREAS 2-18 ANNEXED BY CERTAIN MUNICIPALITIES ON OR 2-19 AFTER DECEMBER 1, 1996 2-20 Section 43.207. DEFINITIONS. In this subchapter: 2-21 (1) "Annexed area" means a tract of contiguous 2-22 territory that is annexed on or after December 1, 1996, by a 2-23 municipality. 2-24 (2) "Municipality" means a municipality with a 2-25 population of more than 1.5 million. 3-1 (3) "Special municipal district" means an 3-2 instrumentality of a municipality that is sponsored by the 3-3 municipality under the authority of this subchapter. 3-4 Section 43.208. HEARING ON CREATION OF A SPECIAL MUNICIPAL 3-5 DISTRICT. 3-6 (a) The governing body of a municipality may, on its own 3-7 motion, or shall, in response to a valid petition of 1% of the 3-8 registered voters of a proposed special municipal district, or 50 3-9 such voters, whichever is less, call a public hearing on the 3-10 question of establishing a special municipal district within an 3-11 annexed area. 3-12 (b) The governing body shall conduct the public hearing 3-13 within 30 days after adoption of its own motion or determination of 3-14 the validity of a petition. Notice of the hearing shall be 3-15 published in a newspaper of general circulation in the annexed area 3-16 not more than ten days before the hearing. 3-17 Section 43.209. SPECIAL MUNICIPAL DISTRICT ELECTION. 3-18 (a) Following the public hearing, the governing body may call an 3-19 election to authorize the creation of the special municipal 3-20 district and elect members of the district board, if the governing 3-21 body adopts an ordinance finding that the establishment of the 3-22 district would be in the public interest. 3-23 (b) The governing body shall call the election within the 3-24 area of the special municipal district not later than 60 days after 3-25 the adoption of an ordinance determining that the creation of the 4-1 district is in the public interest. The election need not be 4-2 scheduled on a uniform election date established by state law. 4-3 (c) The governing body shall by ordinance approve the ballot 4-4 for the election, which shall contain a proposition authorizing the 4-5 creation of the district and the election of initial members of the 4-6 district board. The governing body shall adopt by ordinance rules 4-7 and procedures, consistent with the Texas Election Code, for 4-8 conducting elections relating to districts to which this subchapter 4-9 is applicable. 4-10 Section 43.210. TERRITORY WITHIN SPECIAL MUNICIPAL 4-11 DISTRICTS; NAME OF DISTRICT. (a) A special municipal district may 4-12 include any contiguous territory within the boundaries of an 4-13 annexed area. 4-14 (b) A special municipal district shall be designated by a 4-15 name, such as "Village of __________________," "________________ 4-16 Subdivision," or any other name that is descriptive of the 4-17 district. 4-18 Section 43.211. ARTICLES OF INCORPORATION AND BY-LAWS FOR 4-19 DISTRICTS. (a) The governing body of the municipality shall by 4-20 ordinance approve the articles of incorporation and by-laws for 4-21 each district established pursuant to this subchapter. 4-22 (b) The by-laws for each district shall include provisions 4-23 specifying the qualifications for, terms and number of members of 4-24 the district board, provisions specifying staggered terms of office 4-25 for elected board members, and provisions establishing other 5-1 procedures for governance of the district and oversight of the 5-2 district by the governing body of the municipality, including the 5-3 process and procedures for changing the boundaries of the district 5-4 after its creation. 5-5 Section 43.212. MUNICIPAL SERVICES AGREEMENT WITH DISTRICT. 5-6 (a) The municipality and a district may enter into a municipal 5-7 services agreement under which the district agrees to provide 5-8 police, fire, park maintenance, recreation, solid waste or other 5-9 services, and to be compensated by the municipality for the actual 5-10 cost of services. The municipality's service plan obligations 5-11 under Section 43.056, Local Government Code, are deemed to be 5-12 satisfied in full as to any category of service once the district 5-13 assumes the provision of that category of service pursuant to a 5-14 municipal services agreement. 5-15 (b) The term of a municipal services agreement between a 5-16 district and a municipality may not exceed fifteen years. 5-17 (c) A municipal services agreement entered into pursuant to 5-18 this subchapter may not require the municipality to pay a district 5-19 any amount in excess of the district's actual costs to deliver 5-20 services under the agreement. 5-21 SECTION 2. The importance of this legislation and the 5-22 crowded condition of the calendars in both houses create an 5-23 emergency and an imperative public necessity that the 5-24 constitutional rule requiring bills to be read on three several 5-25 days in each house be suspended, and this rule is hereby suspended, 6-1 and that this Act take effect and be in force from and after its 6-2 passage, and it is so enacted.