1-1     By:  Galloway                                          S.B. No. 921

 1-2           (In the Senate - Filed March 4, 1997; March 6, 1997, read

 1-3     first time and referred to Committee on Intergovernmental

 1-4     Relations; April 18, 1997, reported adversely, with favorable

 1-5     Committee Substitute by the following vote:  Yeas 10, Nays 0;

 1-6     April 18, 1997, sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 921                 By:  Galloway

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to the creation of the East Montgomery County Improvement

1-11     District; authorizing a tax.

1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-13           SECTION 1.  CREATION OF DISTRICT.  (a)  A special district to

1-14     be known as the "East Montgomery County Improvement District"

1-15     exists as a governmental agency,  body politic and corporate, and

1-16     political subdivision of the state.

1-17           (b)  The district is a governmental unit for purposes of

1-18     Chapter 101, Civil Practice and Remedies Code, and operations of

1-19     the district are considered for all purposes, including the

1-20     application of that chapter, to be essential governmental functions

1-21     and not proprietary functions.

1-22           (c)  The name of the district may be changed by resolution of

1-23     the board.

1-24           SECTION 2.  DECLARATION OF INTENT.  (a)  The creation of the

1-25     district is:

1-26                 (1)  essential to accomplish the purposes of  Section

1-27     52, Article III, and Section 59, Article XVI, Texas Constitution,

1-28     and other public purposes stated in this Act; and

1-29                 (2)  necessary to promote, develop, encourage, and

1-30     maintain employment, commerce, economic development, and the public

1-31     welfare in the eastern area of Montgomery County.

1-32           (b)  The district is created to supplement and not to

1-33     supplant the county, governmental agency, political subdivision, or

1-34     municipal services provided in the district.  This Act does not:

1-35                 (1)  relieve the county or a governmental agency,

1-36     political subdivision, or municipality from providing the  level of

1-37     services the entity provides in the district as of August 31, 1997;

1-38     or

1-39                 (2)  release the county or a governmental agency,

1-40     political subdivision, or municipality from the obligations the

1-41     entity has to provide services to that area.

1-42           SECTION 3.  DEFINITIONS.  In this Act:

1-43                 (1)  "Board" means the board of directors of the

1-44     district.

1-45                 (2)  "District" means the East Montgomery County

1-46     Improvement District.

1-47                 (3)  "County" means Montgomery County, Texas.

1-48           SECTION 4.  BOUNDARIES.  The boundaries of the district are

1-49     coextensive with the boundaries of the New Caney Independent School

1-50     District and the Splendora Independent School District as those

1-51     boundaries existed on January 1, 1997, but the district does not

1-52     include any portion of the City of Houston as it existed on January

1-53     1, 1997.

1-54           SECTION 5.  FINDINGS RELATING TO BOUNDARIES.  The boundaries

1-55     and field notes of the district form a closure.  If a mistake is

1-56     made in the field notes or in copying the field notes in the

1-57     legislative process, the mistake does not in any way affect the:

1-58                 (1)  organization, existence, and validity of the

1-59     district;

1-60                 (2)  right or power of the district to enter into a

1-61     contract for the purposes for which the district is created;

1-62                 (3)  right of the district to impose, assess, and

1-63     collect taxes, fees, or charges; or

1-64                 (4)  legality or operations of the district or its

 2-1     governing body.

 2-2           SECTION 6.  FINDING OF BENEFIT AND PUBLIC PURPOSE.  (a)  All

 2-3     the land and other property included in the district will be

 2-4     benefited by the works, projects, improvements, and services to be

 2-5     provided by the district under powers granted by  Section 52,

 2-6     Article III, and Section 59,  Article XVI,  Texas Constitution, and

 2-7     other powers granted by this Act.

 2-8           (b)  The district is created to serve a public use and

 2-9     benefit.  The creation of the district is in the public interest

2-10     and is essential to:

2-11                 (1)  further the public purposes of the development and

2-12     diversification of the economy of the state; and

2-13                 (2)  eliminate unemployment and underemployment and

2-14     develop or expand transportation and commerce.

2-15           (c)  The district will:

2-16                 (1)  promote the health, safety, and general welfare of

2-17     residents, employers, employees, and consumers in the district and

2-18     of the general public;

2-19                 (2)  promote and develop public transportation and

2-20     pedestrian facilities and systems by new and alternative means,

2-21     including securing expanded and improved transportation and

2-22     pedestrian facilities and systems;

2-23                 (3)  provide needed money for the area in the district

2-24     to preserve, maintain, and enhance the economic health and vitality

2-25     of the area as a community and business center; and

2-26                 (4)  promote the health, safety, welfare, education,

2-27     convenience, and enjoyment of the public by:

2-28                       (A)  improving, landscaping, and developing

2-29     certain areas in and adjacent to the district; and

2-30                       (B)  providing public services and facilities in

2-31     and adjacent to the district that are necessary for the

2-32     restoration, preservation, enhancement, and enjoyment of scenic and

2-33     aesthetic beauty.

2-34           (d)  Each improvement project authorized by this Act is

2-35     essential to carry out a public purpose.

2-36           (e)  The district will not act as the agent or

2-37     instrumentality of any private interest even though many private

2-38     interests will be benefited by the district, as will the general

2-39     public.

2-40           SECTION 7.  INITIAL DIRECTORS.  (a)  The Commissioners Court

2-41     of Montgomery County shall appoint eight initial directors.  To be

2-42     qualified for appointment as a director, a person must have the

2-43     qualifications specified in Section 12 of this Act.

2-44           (b)  In making appointments, the commissioners court shall

2-45     attempt to compose the board of persons who reflect the residents

2-46     in the area of the district.

2-47           SECTION 8.  CONFIRMATION ELECTION.  (a)  The initial

2-48     directors shall meet as soon as practicable after all initial

2-49     directors have qualified for office.  The board shall call a

2-50     confirmation election to determine if the proposed district shall

2-51     be established.  The board shall call the confirmation election at

2-52     the first meeting unless the board calls a hearing to exclude

2-53     territory from the district.

2-54           (b)  The confirmation election shall be held in the manner

2-55     provided by Section 49.102, Water Code.  The election must be held

2-56     on the next uniform election date provided by Section 41.001,

2-57     Election Code, that falls on or after the 45th day after the date

2-58     of the order calling the election.

2-59           (c)  If a majority of the votes cast in the election are

2-60     against the creation of the district, the board may not call or

2-61     hold another confirmation election until the expiration of six

2-62     months after the date of the most recent confirmation election.

2-63           (d)  Before the creation of the district is confirmed, the

2-64     district may not borrow money or impose taxes.  The district may

2-65     carry on other business as the board determines.

2-66           SECTION 9.  ELECTION OF DIRECTORS.  (a)  As soon as

2-67     practicable after the first anniversary of the date on which the

2-68     creation of the district is confirmed, the board shall call and

2-69     hold an election to elect the initial permanent directors.

 3-1           (b)  The election shall be held in the manner provided by

 3-2     Section 49.102, Water Code.

 3-3           (c)  The election must be held on the next uniform election

 3-4     date provided by Section 41.001, Election Code, that falls on or

 3-5     after the 45th day after the date of the order calling the

 3-6     election.  The directors elected at the first election shall draw

 3-7     lots to determine their terms so that four serve terms expiring on

 3-8     the first July 1 of an even-numbered year after the election and

 3-9     four serve terms expiring July 1 of the second year after the year

3-10     in which the first terms expire.

3-11           (d)  An election to elect the appropriate number of successor

3-12     directors shall be held on the uniform election date, established

3-13     by the Election Code, in May of each even-numbered year.

3-14           SECTION 10.  BOARD OF DIRECTORS; TERMS.  The district is

3-15     governed by a board of eight directors who serve staggered

3-16     four-year terms, with four members' terms expiring July 1 of each

3-17     even-numbered year.

3-18           SECTION 11.  ADMINISTRATION OF BOARD.  Sections 375.066

3-19     through 375.070, Local Government Code, apply to the board as if it

3-20     were established under Chapter 375, Local Government Code.

3-21           SECTION 12.  QUALIFICATIONS OF DIRECTOR.  (a)  To be

3-22     qualified to serve as a director, a person must be at least 18

3-23     years old and:

3-24                 (1)  a resident of the district;

3-25                 (2)  an owner of real property in the district;

3-26                 (3)  an owner of stock, whether beneficial or

3-27     otherwise, of a corporate owner of real property in the district;

3-28                 (4)  an owner of a beneficial interest in a trust that

3-29     owns real property in the district; or

3-30                 (5)  an agent, employee, or tenant of a person covered

3-31     by Subdivision (2), (3), or (4) of this subsection.

3-32           (b)  A person or entity that owns an interest in a general or

3-33     limited partnership owning real property in the district or that

3-34     has a lease of real property in the district with a remaining term

3-35     of 10 years or more, excluding options, is considered to be an

3-36     owner of real property for purposes of this section.

3-37           SECTION 13.  QUORUM.  Five directors constitute a quorum, and

3-38     a concurrence of a majority of a quorum of directors is required

3-39     for any official action of the district.

3-40           SECTION 14.  PARTICIPATION IN VOTING.  A person who qualifies

3-41     to serve on the board is qualified to serve as a director and

3-42     participate in all votes pertaining to the business of the district

3-43     regardless of any other statutory provision to the contrary.

3-44           SECTION 15.  GENERAL POWERS.  The district has:

3-45                 (1)  all powers necessary or required to accomplish the

3-46     purposes for which the district was created;

3-47                 (2)  the rights, powers, privileges, and other

3-48     functions of a municipal management district under Subchapter E,

3-49     Chapter 375, Local Government Code; and

3-50                 (3)  the powers given to an industrial development

3-51     corporation organized under the Development Corporation Act of 1979

3-52     (Article 5190.6, Vernon's Texas Civil Statutes).

3-53           SECTION 16.  SPECIFIC POWERS AND LIMITATIONS.  (a)  The

3-54     district may:

3-55                 (1)  impose and collect, and apply the proceeds from, a

3-56     limited sales and use tax for the district's purposes;

3-57                 (2)  borrow money for the corporate purposes of the

3-58     district;

3-59                 (3)  add or exclude territory in the manner provided by

3-60     Subchapter J, Chapter 49, Water Code;

3-61                 (4)  contract with an individual or entity to

3-62     accomplish the district's purposes, including entering into a

3-63     contract for the payment, repayment, or reimbursement of costs

3-64     incurred by the person or entity on behalf of the district,

3-65     including all or part of the costs of an improvement project, from

3-66     tax proceeds or any other specified source of money;

3-67                 (5)  make application for and contract with an

3-68     individual or entity to receive, administer, and perform the

3-69     district's duties under a federal, state, local, or private gift,

 4-1     grant, loan, conveyance, transfer, bequest, donation, or other

 4-2     financial arrangement relating to the investigation, planning,

 4-3     analysis, acquisition, construction, completion, implementation, or

 4-4     operation of a proposed or existing improvement project;

 4-5                 (6)  establish and collect only at the district's

 4-6     facilities user fees, concession fees, admission fees, rental fees,

 4-7     or other similar fees or charges and apply the proceeds from those

 4-8     fees or charges for the enjoyment, sale, rental, or other use of

 4-9     the district's facilities, services, properties, or improvement

4-10     projects;

4-11                 (7)  adopt rules for:

4-12                       (A)  the administration and operation of the

4-13     district;

4-14                       (B)  the use, enjoyment, availability,

4-15     protection, security, and maintenance of the district's properties

4-16     and facilities; and

4-17                       (C)  the provision of public safety and security

4-18     in the district;

4-19                 (8)  provide or secure the payment or repayment of:

4-20                       (A)  an expense of the establishment,

4-21     administration, or operation of the district;

4-22                       (B)  a district cost relating to an improvement

4-23     project;

4-24                       (C)  a district contractual obligation or

4-25     indebtedness, because of a lease, installment purchase contract, or

4-26     other agreement; and

4-27                       (D)  a tax, user fee, concession fee, rental fee,

4-28     or other revenue or resources of the district; and

4-29                 (9)  undertake improvement projects separately or

4-30     jointly with other persons or entities and pay all or part of the

4-31     costs of improvement projects, including improvement projects that:

4-32                       (A)  improve, enhance, or support public safety

4-33     and security, fire protection, emergency medical services, or law

4-34     enforcement in the district;

4-35                       (B)  confer a general benefit on the entire

4-36     district and the areas adjacent to the district; or

4-37                       (C)  confer a special benefit on all or part of

4-38     the district.

4-39           (b)  The district may not employ peace officers.

4-40           (c)  The district may not impose ad valorem taxes on property

4-41     in the district.

4-42           SECTION 17.  SPECIFIC POWERS RELATING TO IMPROVEMENTS.  An

4-43     improvement project or service provided by the district may

4-44     include:

4-45                 (1)  the construction, acquisition, lease, rental,

4-46     installment purchase, improvement, rehabilitation, repair,

4-47     relocation, and operation of:

4-48                       (A)  landscaping; lighting, banners, or signs;

4-49     streets or sidewalks, pedestrian or bicycle paths and trails;

4-50     pedestrian walkways, skywalks, crosswalks, or tunnels; highway

4-51     right-of-way or transit corridor beautification and improvements;

4-52                       (B)  drainage or storm water detention

4-53     improvements; solid waste, water, sewer, or power facilities and

4-54     services, including electrical, gas, steam, and chilled water

4-55     facilities and services;

4-56                       (C)  parks, lakes, gardens, recreational

4-57     facilities, open space, scenic areas, and related exhibits and

4-58     preserves; fountains, plazas, or pedestrian malls; public art or

4-59     sculpture and related exhibits and facilities; educational or

4-60     cultural exhibits and facilities; exhibits, displays, attractions,

4-61     or facilities for special events, holidays, or seasonal or cultural

4-62     celebrations;

4-63                       (D)  off-street parking facilities, bus

4-64     terminals, heliports, mass-transit, or roadway-borne or water-borne

4-65     transportation systems; and

4-66                       (E)  other public improvements, facilities, or

4-67     services similar to the improvements, facilities, or services

4-68     described by Paragraphs (A) through (D) of this subdivision;

4-69                 (2)  the cost of removal, razing, demolition, or

 5-1     clearing of land or improvements in connection with providing an

 5-2     improvement project;

 5-3                 (3)  the acquisition of real or personal property or an

 5-4     interest in the property that is made in connection with an

 5-5     authorized improvement project; and

 5-6                 (4)  the provision of special or supplemental services

 5-7     to improve or promote the area in the district or to protect the

 5-8     public health and safety in the district, including advertising,

 5-9     promotion, tourism, health and sanitation, public safety, security,

5-10     fire protection or emergency medical services, business

5-11     recruitment, development, elimination of traffic congestion, and

5-12     recreational, educational, or cultural improvements, enhancements,

5-13     or services.

5-14           SECTION 18.  RELATION TO OTHER LAW.  If a provision of a law

5-15     referenced in Section 15 of this Act or referenced in Subchapter E,

5-16     Chapter 375, Local Government Code, is in conflict with or

5-17     inconsistent with this Act, this Act prevails.  A law referenced in

5-18     Section 15 of this Act or referenced in Subchapter E, Chapter 375,

5-19     Local Government Code, that is not in conflict with or inconsistent

5-20     with this Act is adopted and incorporated by reference and may be

5-21     used by the district independently of each other.

5-22           SECTION 19.  NO EMINENT DOMAIN POWER.  The district may not

5-23     exercise the power of eminent domain.

5-24           SECTION 20.  CERTAIN RESIDENTIAL PROPERTY EXEMPT.  The

5-25     district may not impose an impact fee or assessment on a single

5-26     family residential property or a residential duplex, triplex,

5-27     quadruplex, or condominium.

5-28           SECTION 21.  SALES AND USE TAX; EXCISE TAX.  (a)  The

5-29     district may impose a sales and use tax for the benefit of the

5-30     district if authorized by a majority of the qualified voters of the

5-31     district voting at an election called for that purpose.

5-32           (b)  If the district adopts the tax:

5-33                 (1)  a tax is imposed on the receipts from the sale at

5-34     retail of taxable items in the district; and

5-35                 (2)  an excise tax is imposed on the use, storage, or

5-36     other consumption in the district of taxable items purchased,

5-37     leased, or rented from a retailer during the period that the tax is

5-38     effective in the district.

5-39           (c)  The rate of the excise tax is the same as the rate of

5-40     the sales tax portion of the tax applied to the sales price of the

5-41     taxable items and is included in the sales tax.

5-42           (d)  For purposes of this section:

5-43                 (1)  "taxable items" includes all items subject to any

5-44     sales and use tax that is imposed by the county if the county has

5-45     imposed a sales and use tax; and

5-46                 (2)  "use," with respect to a taxable service, means

5-47     the derivation in the district of direct or indirect benefit from

5-48     the service.

5-49           SECTION 22.  TAX ELECTION PROCEDURES.  (a)  The board by

5-50     order may call an election to adopt, change the rate of, or abolish

5-51     a sales and use tax.  The election may be held at the same time and

5-52     in conjunction with a confirmation or directors election.

5-53           (b)  The election must be held on the next uniform election

5-54     date that falls on or after the 45th day after the date the order

5-55     calling the election is adopted.

5-56           (c)  Notice of the election shall be given and the election

5-57     shall be held and conducted in the manner prescribed for bond

5-58     elections under Subchapter D, Chapter 49, Water Code.

5-59           (d)  In an election to adopt the tax, the ballot shall be

5-60     prepared to permit voting for or against the proposition: "The

5-61     adoption of a local sales and use tax in the East Montgomery County

5-62     Improvement District at the rate of (proposed tax rate)."

5-63           (e)  In an election to change the rate of the tax, the ballot

5-64     shall be prepared to permit voting for or against the proposition:

5-65     "The (increase or decrease, as applicable) in the rate of the local

5-66     sales and use tax imposed in the East Montgomery County Improvement

5-67     District from (tax rate on election date) percent to (proposed tax

5-68     rate) percent."

5-69           (f)  In an election to abolish the tax, the ballot shall be

 6-1     prepared to permit voting for or against the proposition:  "The

 6-2     abolition of the local sales and use tax in the East Montgomery

 6-3     County Improvement District."

 6-4           SECTION 23.  IMPOSITION, COMPUTATION, ADMINISTRATION, AND

 6-5     GOVERNANCE OF TAX.  (a)  Chapter 323, Tax Code, to the extent not

 6-6     inconsistent with this Act, governs the application, collection,

 6-7     and administration of the tax under this Act, except Sections

 6-8     323.401 through 323.406, and 323.505, Tax Code, do not apply.

 6-9     Subtitles A and B, Title 2, and Chapter 151, Tax Code, govern the

6-10     administration and enforcement of the taxes under this Act.

6-11           (b)  Chapter 323, Tax Code, does not apply to the use and

6-12     allocation of revenues under this Act.

6-13           (c)  In applying Chapter 323, Tax Code, the district's name

6-14     shall be substituted for references in that chapter to "the county"

6-15     and the board of directors of the district is substituted for

6-16     references in that chapter to "commissioners court."

6-17           SECTION 24.  EFFECTIVE DATE OF TAX OR TAX CHANGE.  The

6-18     adoption of a tax rate or change in the tax rate takes effect after

6-19     the expiration of the first complete calendar quarter occurring

6-20     after the date on which the comptroller receives a notice of the

6-21     results of the election.

6-22           SECTION 25.  TAX RATES.  The district may impose the sales

6-23     and use tax under this Act in increments of one-eighth of one

6-24     percent, with a minimum tax of one-half percent and a maximum tax

6-25     of one percent.

6-26           SECTION 26.  ABOLITION OF TAX RATE.  The board by order may

6-27     abolish the local sales and use tax rate without an election.

6-28           SECTION 27.  USE OF TAX.  Taxes collected under this Act may

6-29     be used only for the purposes for which the district was created.

6-30           SECTION 28.  SUBMISSION OF ANNEXATION INFORMATION.  Not later

6-31     than the 10th day after the date on which the district annexes or

6-32     excludes territory, the board shall send to the comptroller a

6-33     certified copy of any resolution, order, or ordinance relating to

6-34     the annexation or exclusion.

6-35           SECTION 29.  APPLICATION OF CERTAIN TAX PROCEEDS.

6-36     (a)  During each interval of three calendar years following the

6-37     date on which a tax imposed under this Act is collected for the

6-38     first time, the board shall apply an annual average of not less

6-39     than 10 percent of the net proceeds of the tax collection to

6-40     mitigate the impact of development in the district on adjacent

6-41     areas, including effects on public utilities and services, public

6-42     transportation and traffic movement, and scenic and aesthetic

6-43     beauty.

6-44           (b)  In this section, "net proceeds" means the difference

6-45     between the amount of tax collected and the total amount of the

6-46     general and administrative expenses of the district, including the

6-47     cost of imposing and collecting the tax.

6-48           SECTION 30.  LIMITATION ON INDEBTEDNESS.  The district may

6-49     borrow money for a term of less than one year to finance the

6-50     district's purposes and evidence the indebtedness by a contract,

6-51     promissory note, or similar instrument.  Before the district

6-52     borrows money, the board must find that the district's taxes and

6-53     other net revenue to be collected by the district during the

6-54     one-year period following the creation of the debt and money

6-55     available to the district from other sources will be sufficient to

6-56     repay or discharge the debt before that one-year period expires.

6-57           SECTION 31.  CONTRACTING AUTHORITY.  (a)  The district may

6-58     contract with a municipality, a county, another political

6-59     subdivision, a corporation, or another person to carry out the

6-60     purposes of this Act on terms and for the period of time the board

6-61     determines.

6-62           (b)  Notwithstanding any other law or charter provision to

6-63     the contrary, a state agency, a municipality, a county, another

6-64     political subdivision, a corporation, an individual, or another

6-65     entity is authorized to contract with the district to carry out the

6-66     purposes of this Act.

6-67           SECTION 32.  DISSOLUTION BY BOARD ORDER.  The board by order

6-68     may dissolve the district at any time unless the district has

6-69     outstanding indebtedness or contractual obligations.

 7-1           SECTION 33.  DISSOLUTION BY PETITION OF OWNERS.  (a)  The

 7-2     board by order shall dissolve the district if the board receives a

 7-3     written petition signed by the owners of 75 percent or more of the

 7-4     real property acreage in the district.

 7-5           (b)  After the date the district is dissolved, the district

 7-6     may not levy taxes.

 7-7           (c)  If on the date the district is dissolved the district

 7-8     has outstanding liabilities, the board shall, not later than the

 7-9     30th day after the dissolution, adopt a resolution certifying each

7-10     outstanding liability.  The county in which the district is located

7-11     shall assume the outstanding liabilities.  The county shall collect

7-12     the sales and use tax for the district for the remainder of the

7-13     calendar year.  The county may continue to collect the tax for an

7-14     additional calendar year if the commissioners court finds that the

7-15     tax revenue is needed to retire the district liabilities that were

7-16     assumed by the county.

7-17           (d)  The district and the board may continue to operate for a

7-18     period not to exceed two months after carrying out the

7-19     responsibilities required by Subsection (c) of this section.  The

7-20     board and the district are continued in effect for the purpose of

7-21     satisfying these responsibilities.

7-22           (e)  If the board and the district are continued in effect

7-23     under Subsection (d) of this section, the board and district are

7-24     dissolved entirely on the first day of the month following the

7-25     month in which the board certifies to the secretary of state that

7-26     no responsibilities of Subsection (c) of this section are left

7-27     unsatisfied.

7-28           SECTION 34.  ADMINISTRATION OF DISTRICT PROPERTY FOLLOWING

7-29     DISSOLUTION.  (a)  After the board orders the dissolution of the

7-30     district, the board shall transfer ownership of all property and

7-31     assets of the district to the county, except as provided by

7-32     Subsection (b) of this section.

7-33           (b)  If on the date on which the board orders the dissolution

7-34     of the district more than 50 percent of the territory in the

7-35     district is in the corporate limits of a municipality, the board

7-36     shall transfer ownership of the district's property and assets to

7-37     the municipality.

7-38           SECTION 35.  NOTICE AND CONSENT.  The legislature finds that:

7-39                 (1)  the proper and legal notice of the intention to

7-40     introduce this Act, setting forth the general substance of this

7-41     Act, has been published as provided by law, and the notice and a

7-42     copy of this Act have been furnished to all persons, agencies,

7-43     officials, or entities to which they are required to be furnished

7-44     by the constitution and laws of this state, including the governor,

7-45     who has submitted the notice and a copy of this Act to the Texas

7-46     Natural Resource Conservation Commission;

7-47                 (2)  the Texas Natural Resource Conservation Commission

7-48     has filed its recommendations relating to this Act with the

7-49     governor, lieutenant governor, and speaker of the house of

7-50     representatives within the required time;

7-51                 (3)  the general law relating to consent by political

7-52     subdivisions to the creation of districts with conservation,

7-53     reclamation, and road powers and the inclusion of land in those

7-54     districts has been complied with; and

7-55                 (4)  all requirements of the constitution and laws of

7-56     this state and the rules and procedures of the legislature with

7-57     respect to the notice, introduction, and passage of this Act have

7-58     been fulfilled and accomplished.

7-59           SECTION 36.  EMERGENCY.  The importance of this legislation

7-60     and the crowded condition of the calendars in both houses create an

7-61     emergency and an imperative public necessity that the

7-62     constitutional rule requiring bills to be read on three several

7-63     days in each house be suspended, and this rule is hereby suspended,

7-64     and that this Act take effect and be in force from and after its

7-65     passage, and it is so enacted.

7-66                                  * * * * *