By: Harris S.B. No. 1843
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
AN ACT
1-1 authorizing certain public entities to join together to finance,
1-2 construct, acquire, operate and maintain public facilities.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Title 10 of the Local Government Code shall be
1-5 amended by adding a new Chapter 334 to read as follows:
1-6 CHAPTER 334. JOINT OWNERSHIP OF PUBLIC FACILITIES
1-7 Sec. 334.001. The purpose of this Chapter is to clarify and
1-8 make definite and secure the right and authority of public entities
1-9 to join together as co-tenants or co-owners in the planning,
1-10 financing, acquisition, construction, ownership, operating and
1-11 maintenance of public facilities as a means of achieving economies
1-12 of scale and making more efficient use of public resources.
1-13 Sec. 334.002. As used in this Chapter:
1-14 "Public entities" mean any incorporated city or town, county,
1-15 independent school district, or public corporation acting on behalf
1-16 of said entities.
1-17 "Public facilities" means any administrative facility, public
1-18 safety facility, parks and recreational facility, maintenance and
1-19 service center facility, library facility, communication facility,
1-20 water treatment and storage facility, judicial facility, emergency
1-21 medical service facility, detention facility, or any other similar
2-1 facility necessary or incident to providing public services or
2-2 public accommodations.
2-3 Sec. 334.003. Two or more public entities are authorized to
2-4 join together to finance, acquire, construct, operate and maintain
2-5 public facilities and to enter into agreements for the planning,
2-6 financing, acquisition, construction, ownership, operation, and
2-7 maintenance of such public facilities so the same (or an undivided
2-8 interest therein) will be jointly owned as co-tenants or co-owners
2-9 with such ownership interests in such public facilities as may be
2-10 approved by their governing bodies and set forth in an agreement
2-11 approved and authorized by such governing bodies. In connection
2-12 with such jointly owned and operated public facilities, each public
2-13 entity shall owe all of the duties and shall have and be entitled
2-14 to all of the rights, powers, and liabilities and shall be entitled
2-15 to all the privileges and exemptions attributable to its undivided
2-16 interest which it would have with respect to an entire interest in
2-17 such public facilities planned, financed, acquired, constructed,
2-18 owned, operated and maintained by it alone. Any agreement by and
2-19 between public entities relating to the joint financing,
2-20 acquisition, construction, operation and maintenance of public
2-21 facilities executed pursuant to the provisions hereof may be
2-22 submitted to the Attorney General of Texas in connection with any
2-23 proceedings submitted for approval for the issuance of bonds or
2-24 other obligations issued by said public entities to finance the
2-25 cost of constructing or acquiring such public facilities and when
3-1 approved as to legality by such officer, such agreement shall be
3-2 incontestable. In the agreement relating to the financing,
3-3 acquisition, construction, ownership, operation and maintenance of
3-4 public facilities to be jointly owned by public entities, the
3-5 governing bodies of the public entities may delegate to one or more
3-6 officials of such public entities such powers and authority with
3-7 respect to the planning, design, construction, acquisition,
3-8 operation and maintenance of such public facilities as the
3-9 governing bodies may deem appropriate.
3-10 Sec. 334.004. Without limiting the general scope and
3-11 application of Section 334.003:
3-12 (a) Each public entity shall have the right and power to use
3-13 its means and assets in planning, acquiring, constructing, owning,
3-14 operating and maintaining its undivided interest and share in the
3-15 public facilities, and to issue bonds and other securities to raise
3-16 funds for those purposes in the same way and to the same extent and
3-17 subject to all of the conditions which would apply if the undivided
3-18 interest of the entity were an entire interest in such public
3-19 facility.
3-20 (b) A public entity shall have the right and power to
3-21 acquire, for the use and benefit of all participating public
3-22 entities, by purchase or through the exercise of the power of
3-23 eminent domain, lands, easements, and properties for the purpose of
3-24 jointly owned public facilities, and shall have the power to
3-25 transfer or convey such lands, easements, and properties, or
4-1 interests therein, or otherwise to cause such lands, easements, and
4-2 properties, or interests therein, to become vested in other
4-3 participating public entities to the extent and in the manner
4-4 agreed between the participating public entities. In all cases in
4-5 which a participating public entity exercises the right and power
4-6 of eminent domain conferred hereby, it shall be controlled by the
4-7 law governing the condemnation of property by incorporated cities
4-8 and towns in this state, and the right and power of eminent domain
4-9 hereby conferred shall include the right and power to take the fee
4-10 title in land so condemned, except that no participating public
4-11 entity has the right or power to take by the exercise of the power
4-12 of eminent domain any public facilities, or interest therein,
4-13 belonging to any other entity, or the power to take land or any
4-14 interest therein, by the exercise of the power of eminent domain.
4-15 (c) Each participating public entity shall have the right
4-16 and power to enter into contracts for specialized insurance
4-17 appertaining to property and risks in connection with and incident
4-18 to the ownership, operation, and maintenance of the public
4-19 facilities, in addition to the usual forms of available insurance.
4-20 Each participating public entity shall be authorized to enter into
4-21 contracts for insurance for the use and benefit of each of the
4-22 other participating public entities as though the insurance were of
4-23 its sole benefit and to cause the rights of the other participating
4-24 public entities to be protected under such contracts according to
4-25 their respective undivided interests or entitlement under
5-1 applicable agreements between the participating public entities.
5-2 Sec. 334.005. The powers and authority herein granted to
5-3 public entities shall be in addition to and in substitution for any
5-4 powers and authority granted to public entities under the laws of
5-5 this state, and the exercise by any public entities of the powers
5-6 and authority granted hereby and the performance or effectuation of
5-7 any agreements entered into pursuant to the provisions hereof shall
5-8 be deemed to constitute additional public purposes of such public
5-9 entities (including the power to issue bonds, notes, or other
5-10 obligations for the accomplishment of such purposes),
5-11 notwithstanding the existence of any express or implied limitations
5-12 of the powers, authority, or purposes under any other general or
5-13 special laws or charter provisions.
5-14 SECTION 2. If any word, phrase, clause, paragraph, sentence,
5-15 part, portion, or provision of this Act or the application thereof
5-16 to any person or circumstance shall be held to be invalid or
5-17 unconstitutional, the remainder of the Act shall nevertheless be
5-18 valid, and the legislature hereby declares that this Act would have
5-19 been enacted without such invalid or unconstitutional word, phrase,
5-20 clause, paragraph, sentence, part, portion, or provision.
5-21 SECTION 3. 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.