By: Madla, Lindsay S.B. No. 89
A BILL TO BE ENTITLED
AN ACT
1-1 relating to municipal annexation; providing penalties.
1-2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-3 SECTION 1. Subchapter B, Chapter 42, Local Government Code,
1-4 is amended by adding Section 42.0225 to read as follows:
1-5 Sec. 42.0225. EXTRATERRITORIAL JURISDICTION AROUND CERTAIN
1-6 MUNICIPALLY OWNED PROPERTY. (a) This section applies only to an
1-7 area owned by a municipality that is:
1-8 (1) annexed by the municipality; and
1-9 (2) not contiguous to other territory of the
1-10 municipality.
1-11 (b) Notwithstanding Sections 42.021(2)-(5), the annexation
1-12 of the area expands the extraterritorial jurisdiction of the
1-13 municipality only to include the area located within one mile of
1-14 the boundaries of the annexed area.
1-15 (c) The extraterritorial jurisdiction of the municipality
1-16 does not expand following the annexation of territory located only
1-17 in the municipality's extraterritorial jurisdiction that is created
1-18 under Subsection (b).
1-19 SECTION 2. Subchapter A, Chapter 43, Local Government Code,
1-20 is amended by adding Section 43.002 to read as follows:
1-21 Sec. 43.002. CONTINUATION OF LAND USE. (a) A municipality
1-22 may not, after annexing an area, prohibit a person from:
1-23 (1) continuing to use land in the area in the manner
1-24 in which the land was being used on the date the annexation
2-1 proceedings were instituted if the land use was legal at that time;
2-2 or
2-3 (2) beginning to use land in the area in the manner
2-4 that was planned for the land before the 90th day before the
2-5 effective date of the annexation if:
2-6 (A) one or more licenses, certificates, permits,
2-7 approvals, or other forms of authorization by a governmental entity
2-8 were required by law for the planned land use; and
2-9 (B) a completed application for the initial
2-10 authorization was filed with the governmental entity before the
2-11 date the annexation proceedings were instituted.
2-12 (b) For purposes of this section, a completed application is
2-13 filed if the application includes all documents and other
2-14 information designated as required by the governmental entity in a
2-15 written notice to the applicant.
2-16 (c) This section does not prohibit a municipality from
2-17 imposing:
2-18 (1) a regulation relating to the location of sexually
2-19 oriented businesses as that term is defined by Section 243.002;
2-20 (2) a municipal ordinance, regulation, or other
2-21 requirement affecting colonias as that term is defined by Section
2-22 2306.581, Government Code;
2-23 (3) a regulation relating to preventing imminent
2-24 destruction of property or injury to persons;
2-25 (4) a regulation relating to public nuisances;
2-26 (5) a regulation relating to the storage and use of
3-1 hazardous substances;
3-2 (6) a regulation relating to the sale and use of
3-3 fireworks; or
3-4 (7) a regulation relating to the discharge of
3-5 firearms.
3-6 SECTION 3. The heading to Subchapter C, Chapter 43, Local
3-7 Government Code, is amended to read as follows:
3-8 SUBCHAPTER C. ANNEXATION PROCEDURE FOR AREAS ANNEXED
3-9 UNDER MUNICIPAL ANNEXATION PLAN
3-10 SECTION 4. Sections 43.052 and 43.053, Local Government
3-11 Code, are amended to read as follows:
3-12 Sec. 43.052. MUNICIPAL ANNEXATION PLAN REQUIRED. (a) A
3-13 municipality may annex an area identified in the annexation plan
3-14 only as provided by this section.
3-15 (b) A municipality shall prepare an annexation plan that
3-16 specifically identifies annexations that may occur beginning on the
3-17 third anniversary of the date the annexation plan is adopted. The
3-18 municipality may amend the plan to specifically identify
3-19 annexations that may occur beginning on the third anniversary of
3-20 the date the plan is amended.
3-21 (c) At any time during which an area is included in a
3-22 municipality's annexation plan, another political subdivision,
3-23 including a municipal utility district or other special district
3-24 and excluding a county, independent school district, and emergency
3-25 services district, in which the area is located may not:
3-26 (1) reduce the tax rate applicable to the area;
4-1 (2) voluntarily transfer an asset without
4-2 consideration; or
4-3 (3) enter into a contract for services that extends
4-4 beyond the three-year annexation plan period.
4-5 (d) A municipality may amend its annexation plan at any time
4-6 to remove an area proposed for annexation. If, before the end of
4-7 the 18th month after the month an area is included in the
4-8 three-year annexation cycle, a municipality amends its annexation
4-9 plan to remove the area, the municipality may not amend the plan to
4-10 again include the area in its annexation plan until the first
4-11 anniversary of the date the municipality amended the plan to remove
4-12 the area. If, during or after the 18 months after the month an
4-13 area is included in the three-year annexation cycle, a municipality
4-14 amends its annexation plan to remove the area, the municipality may
4-15 not amend the plan to again include the area in its annexation plan
4-16 until the second anniversary of the date the municipality amended
4-17 the plan to remove the area.
4-18 (e) Before the 90th day after the date a municipality adopts
4-19 or amends an annexation plan under this section, the municipality
4-20 shall give written notice to:
4-21 (1) each property owner in the affected area, as
4-22 indicated by the appraisal records furnished by the appraisal
4-23 district for each county in which the affected area is located,
4-24 that the area has been included in or removed from the
4-25 municipality's annexation plan;
4-26 (2) each public entity, as defined by Section 43.053,
5-1 or private entity that provides services in the area proposed for
5-2 annexation; and
5-3 (3) [ANNEXATION HEARING REQUIREMENTS. (a) Before a
5-4 municipality may institute annexation proceedings, the governing
5-5 body of the municipality must conduct two public hearings at which
5-6 persons interested in the annexation are given the opportunity to
5-7 be heard. The hearings must be conducted on or after the 40th day
5-8 but before the 20th day before the date of the institution of the
5-9 proceedings.]
5-10 [(b) At least one of the hearings must be held in the area
5-11 proposed for annexation if more than 20 adult residents of the area
5-12 file a written protest of the annexation with the secretary of the
5-13 municipality within 10 days after the date of the publication of
5-14 the notice required by this section. The protest must state the
5-15 name, address, and age of each protester who signs.]
5-16 [(c) The municipality must publish notice of the hearings in
5-17 a newspaper of general circulation in the municipality and in the
5-18 area proposed for annexation. The notice for each hearing must be
5-19 published at least once on or after the 20th day but before the
5-20 10th day before the date of the hearing. The municipality must
5-21 give additional notice by certified mail to] each railroad company
5-22 that serves the municipality and is on the municipality's tax roll
5-23 if the company's right-of-way is in the area proposed for
5-24 annexation.
5-25 (f) This section does not apply to an area proposed for
5-26 annexation if:
6-1 (1) the area has fewer than 250 permanent residents;
6-2 (2) the area will be annexed by vote or petition of
6-3 the qualified voters or property owners as provided by Subchapter
6-4 B;
6-5 (3) the area is the subject of an industrial district
6-6 contract under Section 42.044;
6-7 (4) the area is located in a colonia, as that term is
6-8 defined by Section 2306.581, Government Code;
6-9 (5) the area is annexed under Section 43.026, 43.027,
6-10 43.029, or 43.031; or
6-11 (6) the municipality determines that the annexation of
6-12 the area is necessary to protect the public health or safety.
6-13 Sec. 43.053. INVENTORY OF SERVICES AND FACILITIES REQUIRED.
6-14 (a) In this section, "public entity" includes a municipality,
6-15 county, fire protection service provider, including a volunteer
6-16 fire department, emergency medical services provider, including a
6-17 volunteer emergency medical services provider, municipal utility
6-18 district, or water control and improvement district.
6-19 (b) After adopting an annexation plan or amending an
6-20 annexation plan to include additional areas under Section 43.052, a
6-21 municipality shall compile a comprehensive inventory of services
6-22 and facilities provided by public and private entities, directly or
6-23 by contract, in each area proposed for annexation. The inventory
6-24 of services and facilities must include all services and facilities
6-25 the municipality is required to provide or maintain following the
6-26 annexation.
7-1 (c) The municipality shall request, in the notice provided
7-2 under Section 43.052(e), the information necessary to compile the
7-3 inventory from each public or private entity that provides services
7-4 or facilities in each area proposed for annexation. The public or
7-5 private entity shall provide to the municipality the information
7-6 held by the entity that is necessary to compile the inventory not
7-7 later than the 90th day after the date the municipality requests
7-8 the information. The information provided under this subsection
7-9 must include the type of service provided, the method of service
7-10 delivery, and all information prescribed by Subsections (e) and
7-11 (f). If a service provider fails to provide the information
7-12 required by this subsection within the 90-day period, the
7-13 municipality may impose an administrative penalty of $200 for each
7-14 day the service provider is in violation of this subsection. The
7-15 municipality shall prescribe procedures to provide for due process
7-16 in the imposition of an administrative penalty under this
7-17 subsection.
7-18 (d) The information required in the inventory shall be based
7-19 on the services and facilities provided during the year preceding
7-20 the date the municipality adopted the annexation plan or amended
7-21 the annexation plan to include additional areas.
7-22 (e) For utility facilities, roads, drainage structures, and
7-23 other infrastructure provided or maintained by public or private
7-24 entities, the inventory must include:
7-25 (1) an engineer's report that describes the physical
7-26 condition of all infrastructure elements in the area; and
8-1 (2) a summary of capital, operational, and maintenance
8-2 expenditures for that infrastructure.
8-3 (f) For police, fire, and emergency medical services
8-4 provided by public or private entities, the inventory must include
8-5 for each service:
8-6 (1) the average dispatch and delivery time;
8-7 (2) a schedule of equipment, including vehicles;
8-8 (3) a staffing schedule that discloses the
8-9 certification and training levels of personnel; and
8-10 (4) a summary of operating and capital expenditures.
8-11 (g) The municipality shall complete the inventory and make
8-12 the inventory available for public inspection on or before the 60th
8-13 day after the municipality receives the required information from
8-14 the service providers under Subsection (c). [PERIOD FOR COMPLETION
8-15 OF ANNEXATION; EFFECTIVE DATE. (a) The annexation of an area must
8-16 be completed within 90 days after the date the governing body
8-17 institutes the annexation proceedings or those proceedings are
8-18 void. Any period during which the municipality is restrained or
8-19 enjoined by a court of competent jurisdiction from annexing the
8-20 area is not included in computing the 90-day period.]
8-21 [(b) Notwithstanding any provision of a municipal charter to
8-22 the contrary, the governing body of a municipality with a
8-23 population of 1.5 million or more may provide that an annexation
8-24 take effect on any date within 90 days after the date of the
8-25 adoption of the ordinance providing for the annexation.]
8-26 SECTION 5. Subchapter C, Chapter 43, Local Government Code,
9-1 is amended by adding Section 43.0545 to read as follows:
9-2 Sec. 43.0545. ANNEXATION OF CERTAIN ADJACENT AREAS. (a) A
9-3 municipality may not annex an area that is located in the
9-4 extraterritorial jurisdiction of the municipality only because the
9-5 area is contiguous to municipal territory that is less than 1,000
9-6 feet in width at its narrowest point.
9-7 (b) A municipality may not annex an area that is located in
9-8 the extraterritorial jurisdiction of the municipality only because
9-9 the area is contiguous to municipal territory that:
9-10 (1) was annexed before September 1, 1999; and
9-11 (2) was in the extraterritorial jurisdiction of the
9-12 municipality at the time of annexation only because the territory
9-13 was contiguous to municipal territory that was less than 1,000 feet
9-14 in width at its narrowest point.
9-15 (c) Subsections (a) and (b) do not apply to an area:
9-16 (1) completely surrounded by incorporated territory of
9-17 one or more municipalities;
9-18 (2) for which the owners of the area have requested
9-19 annexation by the municipality;
9-20 (3) that is owned by the municipality; or
9-21 (4) that is the subject of an industrial district
9-22 contract under Section 42.044.
9-23 (d) Subsection (b) does not apply if the minimum width of
9-24 the narrow territory described by Subsection (b)(2), following
9-25 subsequent annexation, is no longer less than 1,000 feet in width
9-26 at its narrowest point.
10-1 (e) For purposes of this section, roads, highways, rivers,
10-2 lakes, or other bodies of water are not included in computing the
10-3 1,000 foot distance unless the area annexed includes land in
10-4 addition to a road, highway, river, lake, or other body of water.
10-5 SECTION 6. Section 43.056, Local Government Code, is amended
10-6 to read as follows:
10-7 Sec. 43.056. PROVISION OF SERVICES TO ANNEXED AREA.
10-8 (a) Before the first day of the 10th month after the month in
10-9 which the inventory is prepared as provided by Section 43.053
10-10 [publication of the notice of the first hearing required under
10-11 Section 43.052], the governing body of the municipality proposing
10-12 the annexation shall direct its planning department or other
10-13 appropriate municipal department to prepare a service plan that
10-14 provides for the extension of full municipal services to the area
10-15 to be annexed. The municipality shall provide the services by any
10-16 of the methods by which it extends the services to any other area
10-17 of the municipality.
10-18 (b) The service plan must include a program under which the
10-19 municipality will provide full municipal services in the annexed
10-20 area no later than 2-1/2 [4 1/2] years after the effective date of
10-21 the annexation, in accordance with Subsection (e), unless certain
10-22 services cannot reasonably be provided within that period and the
10-23 municipality proposes a schedule for providing those services
10-24 [(d)]. If the municipality proposes a schedule to extend the
10-25 period for providing certain services, the schedule must provide
10-26 for the provision of full municipal services no later than 4-1/2
11-1 years after the effective date of the annexation. However, under
11-2 the program the municipality must provide the following services in
11-3 the area on [within 60 days after] the effective date of the
11-4 annexation of the area:
11-5 (1) police protection;
11-6 (2) fire protection;
11-7 (3) emergency medical services;
11-8 (4) solid waste collection;
11-9 (5) operation and [(4)] maintenance of water and
11-10 wastewater facilities in the annexed area that are not within the
11-11 service area of another water or wastewater utility;
11-12 (6) operation and [(5)] maintenance of roads and
11-13 streets, including road and street lighting;
11-14 (7) operation and [(6)] maintenance of parks,
11-15 playgrounds, and swimming pools; and
11-16 (8) operation and [(7)] maintenance of any other
11-17 publicly owned facility, building, or service.
11-18 [(b-1) The service plan of a municipality with a population
11-19 of 1.5 million or more must include a program under which the
11-20 municipality will provide full municipal services in the annexed
11-21 area no later than 4-1/2 years after the effective date of the
11-22 annexation, in accordance with Subsection (d). However, under the
11-23 program the municipality must:]
11-24 [(1) provide the following services in the area on and
11-25 after the effective date of the annexation of the area:]
11-26 [(A) police protection; and]
12-1 [(B) solid waste collection;]
12-2 [(2) provide the following services in the area within
12-3 30 days after the effective date of the annexation of the area, if
12-4 the services are provided through a contract between the
12-5 municipality and a service provider:]
12-6 [(A) emergency medical service; and]
12-7 [(B) fire protection; and]
12-8 [(3) provide the following services in the area within
12-9 60 days after the effective date of the annexation of the area:]
12-10 [(A) maintenance of water and wastewater
12-11 facilities in the annexed area that are not within the service area
12-12 of another water or wastewater utility;]
12-13 [(B) maintenance of roads and streets, including
12-14 road and street lighting;]
12-15 [(C) maintenance of parks, playgrounds, and
12-16 swimming pools;]
12-17 [(D) maintenance of any other publicly owned
12-18 facility, building, or service; and]
12-19 [(E) emergency medical service and fire
12-20 protection, if the services are provided by municipal personnel and
12-21 equipment.]
12-22 (c) For purposes of this section, "full municipal services"
12-23 means services funded in whole or in part by municipal taxation and
12-24 provided by the annexing municipality within its full-purpose
12-25 boundaries.
12-26 (d) A municipality with a population of 1.5 million or more
13-1 may provide all or part of the municipal services required under
13-2 the service plan by contracting with service providers. If the
13-3 municipality owns a water and wastewater utility, the municipality
13-4 shall, subject to this section, extend water and wastewater service
13-5 to any annexed area not within the service area of another water or
13-6 wastewater utility. If the municipality annexes territory included
13-7 within the boundaries of a municipal utility district or a water
13-8 control and improvement district, the municipality shall comply
13-9 with applicable state law relating to annexation of territory
13-10 within a municipal utility district or a water control and
13-11 improvement district. The service plan shall summarize the service
13-12 extension policies of the municipal water and wastewater utility.
13-13 (e) [(d)] The service plan must also include a program under
13-14 which the municipality will initiate after the effective date of
13-15 the annexation the acquisition or construction of capital
13-16 improvements necessary for providing municipal services adequate to
13-17 serve the area. The construction shall [begin within two years
13-18 after the effective date of the annexation of the area and shall]
13-19 be substantially completed within the period provided in the
13-20 service plan. The service plan may be amended to extend the period
13-21 for construction if the construction is proceeding with all
13-22 deliberate speed [4-1/2 years after that date]. The acquisition or
13-23 construction of the facilities shall be accomplished by purchase,
13-24 lease, or other contract or by the municipality succeeding to the
13-25 powers, duties, assets, and obligations of a conservation and
13-26 reclamation district as authorized or required by law. The
14-1 construction of the facilities shall be accomplished in a
14-2 continuous process and shall be completed as soon as reasonably
14-3 possible, consistent with generally accepted local engineering and
14-4 architectural standards and practices. However, the municipality
14-5 does not violate this subsection if the construction process is
14-6 interrupted for any reason by circumstances beyond the direct
14-7 control of the municipality. The requirement that construction of
14-8 capital improvements must be substantially completed within the
14-9 time period provided in the service plan [4-1/2 years] does not
14-10 apply to a development project or proposed development project
14-11 within an annexed area if the annexation of the area was initiated
14-12 by petition or request of the owners of land in the annexed area
14-13 and the municipality and the landowners have subsequently agreed in
14-14 writing that the development project within that area, because of
14-15 its size or projected manner of development by the developer, is
14-16 not reasonably expected to be completed within that period.
14-17 (f) [(e)] A service plan may not:
14-18 (1) require the creation of another political
14-19 subdivision;
14-20 (2) require a landowner in the area to fund the
14-21 capital improvements necessary to provide municipal services in a
14-22 manner inconsistent with Chapter 395 unless otherwise agreed to by
14-23 the landowner; or
14-24 (3) provide [fewer] services [or lower levels of
14-25 services] in the area in a manner that would have the effect of
14-26 reducing the level of fire and police protection and emergency
15-1 medical services provided within the corporate boundaries of the
15-2 municipality before annexation.
15-3 (g) If the annexed area had a lower level of services than
15-4 the level of services provided within the corporate boundaries of
15-5 the municipality before annexation, a service plan must provide the
15-6 annexed area with a level of services that is comparable to the
15-7 level of services available in other parts of the municipality with
15-8 land uses and population densities similar to those reasonably
15-9 contemplated or projected in the area. If the annexed area had a
15-10 level of services equal to the level of services provided within
15-11 the corporate boundaries of the municipality before annexation, a
15-12 service plan must maintain that same level of services. Except as
15-13 provided by this subsection, if the annexed area had a level of
15-14 services superior to the level of services provided within the
15-15 corporate boundaries of the municipality before annexation, a
15-16 service plan must provide the annexed area with a level of services
15-17 that is comparable to the level of services available in other
15-18 parts of the municipality with land use and population densities
15-19 similar to those reasonably contemplated or projected in the area.
15-20 If the annexed area had a level of services for operating and
15-21 maintaining the infrastructure of the area, including the
15-22 facilities described by Subsections (b)(5)-(8), superior to the
15-23 level of services provided within the corporate boundaries of the
15-24 municipality before annexation, a service plan must provide for the
15-25 operation and maintenance of the infrastructure of the annexed area
15-26 at a level of services that is equal or superior to that level of
16-1 services[:]
16-2 [(A) than were in existence in the area
16-3 immediately preceding the date of the annexation; or]
16-4 [(B) than are otherwise available in other parts
16-5 of the municipality with land uses and population densities similar
16-6 to those reasonably contemplated or projected in the area].
16-7 (h) [(f)] If only a part of the area to be annexed is
16-8 actually annexed, the governing body shall direct the department to
16-9 prepare a revised service plan for that part.
16-10 (i) [(g)] The proposed service plan must be made available
16-11 for public inspection and explained to the inhabitants of the area
16-12 at the public hearings held under Section 43.0561 [43.052]. The
16-13 plan may be amended through negotiation at the hearings, but the
16-14 provision of any service may not be deleted. On completion of the
16-15 public hearings, the service plan shall be attached to the
16-16 ordinance annexing the area and approved as part of the ordinance.
16-17 (j) [(h)] On approval by the governing body, the service
16-18 plan is a contractual obligation that is not subject to amendment
16-19 or repeal except that if the governing body determines at the
16-20 public hearings required by this subsection that changed conditions
16-21 or subsequent occurrences make the service plan unworkable or
16-22 obsolete, the governing body may amend the service plan to conform
16-23 to the changed conditions or subsequent occurrences. An amended
16-24 service plan must provide for services that are comparable to or
16-25 better than those established in the service plan before amendment.
16-26 Before any amendment is adopted, the governing body must provide an
17-1 opportunity for interested persons to be heard at public hearings
17-2 called and held in the manner provided by Section 43.0561 [43.052].
17-3 (k) [(i)] A service plan is valid for 10 years. Renewal of
17-4 the service plan is at the discretion of the municipality. A
17-5 person residing or owning land in an annexed area may enforce a
17-6 service plan by applying for a writ of mandamus not later than the
17-7 second anniversary of the date the person knew or should have known
17-8 that the municipality was not complying with the service plan. If
17-9 a writ of mandamus is applied for, the municipality has the burden
17-10 of proving that the services have been provided in accordance with
17-11 the service plan in question.
17-12 (l) If a court issues a [the] writ under Subsection (k), the
17-13 court:
17-14 (1) [municipality shall pay the person's costs and
17-15 reasonable attorney's fees in bringing the action. A writ issued
17-16 under this subsection] must provide the municipality the option of
17-17 disannexing the area within a reasonable period specified by the
17-18 court;
17-19 (2) may require the municipality to comply with the
17-20 service plan in question before a reasonable date specified by the
17-21 court if the municipality does not disannex the area within the
17-22 period prescribed by the court under Subdivision (1);
17-23 (3) may require the municipality to refund to the
17-24 landowners of the annexed area money collected by the municipality
17-25 from those landowners for services to the area that were not
17-26 provided;
18-1 (4) may assess a civil penalty against the
18-2 municipality, to be paid to the state in an amount as justice may
18-3 require, for the period in which the municipality is not in
18-4 compliance with the service plan;
18-5 (5) may require the parties to participate in
18-6 mediation; and
18-7 (6) may require the municipality to pay the person's
18-8 costs and reasonable attorney's fees in bringing the action for the
18-9 writ [30 days].
18-10 (m) [(j) A municipality that annexes an area shall provide
18-11 the area or cause the area to be provided with services in
18-12 accordance with the service plan for the area.]
18-13 [(k)] This section does not require that a uniform level of
18-14 full municipal services be provided to each area of the
18-15 municipality if the governing body of the municipality determines
18-16 that different characteristics of topography, land use, and
18-17 population density are considered a sufficient basis for providing
18-18 different levels of service. Nothing in this subsection modifies
18-19 the requirement under Subsection (g) for a service plan to provide
18-20 a level of services in an annexed area that is equal or superior to
18-21 the level of services provided within the corporate boundaries of
18-22 the municipality before annexation. To the extent of any conflict
18-23 between this subsection and Subsection (g), Subsection (g)
18-24 prevails.
18-25 SECTION 7. Subchapter C, Chapter 43, Local Government Code,
18-26 is amended by renumbering Section 43.0561 as Section 43.0566 and
19-1 adding Sections 43.0561, 43.0562, 43.0563, and 43.0564 to read as
19-2 follows:
19-3 Sec. 43.0561. ANNEXATION HEARING REQUIREMENTS. (a) Before
19-4 a municipality may institute annexation proceedings, the governing
19-5 body of the municipality must conduct two public hearings at which
19-6 persons interested in the annexation are given the opportunity to
19-7 be heard. The hearings must be conducted not later than the 90th
19-8 day after the date the inventory is available for inspection.
19-9 (b) At least one of the hearings must be held in the area
19-10 proposed for annexation if a suitable site is reasonably available
19-11 and more than 20 adults who are permanent residents of the area
19-12 file a written protest of the annexation with the secretary of the
19-13 municipality within 10 days after the date of the publication of
19-14 the notice required by this section. The protest must state the
19-15 name, address, and age of each protester who signs. If a suitable
19-16 site is not reasonably available in the area proposed for
19-17 annexation, the hearing may be held outside the area proposed for
19-18 annexation if the hearing is held in the nearest suitable public
19-19 facility.
19-20 (c) The municipality must publish notice of the hearings in
19-21 a newspaper of general circulation in the municipality and in the
19-22 area proposed for annexation. The notice for each hearing must be
19-23 published at least once on or after the 20th day but before the
19-24 10th day before the date of the hearing. The municipality must
19-25 give additional notice by certified mail to each railroad company
19-26 that serves the municipality and is on the municipality's tax roll
20-1 if the company's right-of-way is in the area proposed for
20-2 annexation.
20-3 Sec. 43.0562. NEGOTIATIONS REQUIRED. (a) After holding the
20-4 hearings as provided by Section 43.0561, the municipality and the
20-5 property owners of the area proposed for annexation shall negotiate
20-6 for the provision of services to the area after annexation or for
20-7 the provision of services to the area in lieu of annexation under
20-8 Section 43.0563.
20-9 (b) Except as provided by Subsection (c), the commissioners
20-10 court of the county in which the area proposed for annexation is
20-11 located shall select five representatives to negotiate with the
20-12 municipality for the provision of services to the area after
20-13 annexation. If the area proposed for annexation is located in more
20-14 than one county, the commissioners court of the county in which the
20-15 greatest number of residents reside shall select three
20-16 representatives to negotiate with the municipality, and the
20-17 commissioners courts of the remaining counties jointly shall select
20-18 two representatives to negotiate with the municipality.
20-19 (c) If a municipality proposes to annex a municipal utility
20-20 district, the governing body of the district shall negotiate with
20-21 the municipality for provision of services to the area after
20-22 annexation. If more than one municipal utility district is located
20-23 in the area proposed for annexation, the governing boards of the
20-24 districts may jointly select five representatives to negotiate with
20-25 the municipality on behalf of all the affected districts.
20-26 Sec. 43.0563. CONTRACTS FOR PROVISION OF SERVICES IN LIEU OF
21-1 ANNEXATION. (a) The governing body of a municipality may
21-2 negotiate and enter into a written agreement with representatives
21-3 designated under Section 43.0562 for the provision of services and
21-4 the funding of the services in the area. The agreement may also
21-5 include an agreement related to permissible land uses and
21-6 compliance with municipal ordinances.
21-7 (b) An agreement under this section is in lieu of annexation
21-8 by the municipality of the area.
21-9 (c) In negotiating an agreement under this section, the
21-10 parties may agree to:
21-11 (1) any term allowed under Section 42.044 or 43.0751,
21-12 regardless of whether the municipality or the area proposed for
21-13 annexation would have been able to agree to the term under Section
21-14 42.044 or 43.0751; and
21-15 (2) any other term to which both parties agree to
21-16 satisfactorily resolve any dispute between the parties, including
21-17 the creation of any type of special district otherwise allowed by
21-18 state law.
21-19 Sec. 43.0564. ARBITRATION REQUIRED. (a) If the
21-20 municipality and the representatives of the area proposed for
21-21 annexation cannot reach an agreement for the provision of services
21-22 under Section 43.0562, 43.0563, or 43.0751, either party by
21-23 majority decision of the party's representatives may request the
21-24 appointment of an arbitrator to resolve the service plan issues in
21-25 dispute. The request must be made in writing to the other party
21-26 before the 60th day after the date the service plan is completed
22-1 under Section 43.056. The municipality may not annex the area
22-2 under another section of this chapter during the pendency of the
22-3 arbitration proceeding or an appeal from the arbitrator's decision.
22-4 (b) The parties to the dispute may agree on the appointment
22-5 of an arbitrator. If the parties cannot agree on the appointment
22-6 of an arbitrator before the 31st day after the date arbitration is
22-7 requested, the chief administrative district judge in a county with
22-8 jurisdiction over either party shall appoint a qualified person who
22-9 is not a resident or property owner of the municipality or the area
22-10 proposed for annexation to serve as arbitrator.
22-11 (c) The arbitrator shall:
22-12 (1) set a hearing to be held not later than the 10th
22-13 day after the date the arbitrator is appointed; and
22-14 (2) notify the parties to the arbitration in writing
22-15 of the time and place of the hearing not later than the eighth day
22-16 before the date of the hearing.
22-17 (d) The authority of the arbitrator is limited to issuing a
22-18 decision relating only to the service plan issues in dispute.
22-19 (e) The arbitrator may:
22-20 (1) receive in evidence any documentary evidence or
22-21 other information the arbitrator considers relevant;
22-22 (2) administer oaths; and
22-23 (3) issue subpoenas to require:
22-24 (A) the attendance and testimony of witnesses;
22-25 and
22-26 (B) the production of books, records, and other
23-1 evidence relevant to an issue presented to the arbitrator for
23-2 determination.
23-3 (f) The arbitrator shall complete the hearing within one
23-4 day. The arbitrator, for good cause shown, may schedule an
23-5 additional hearing to be held not later than the seventh day after
23-6 the date of the first hearing. Unless otherwise agreed to by the
23-7 parties, the arbitrator must issue a decision in writing and
23-8 deliver a copy of the decision to the parties not later than the
23-9 14th day after the date of the final hearing.
23-10 (g) Either party may appeal any provision of an arbitrator's
23-11 decision that exceeds the authority granted under Subsection (d) to
23-12 a district court in a county in which the area proposed for
23-13 annexation is located.
23-14 (h) If the municipality does not agree with the terms of the
23-15 arbitrator's decision, the municipality may not annex the area
23-16 proposed for annexation before the fifth anniversary of the date of
23-17 the arbitrator's decision.
23-18 (i) The municipality shall pay the cost of arbitration.
23-19 Sec. 43.0566 [43.0561]. RELEASE OF EXTRATERRITORIAL
23-20 JURISDICTION BY GENERAL LAW MUNICIPALITY OVER CERTAIN TRACTS OF
23-21 LAND. (a) This section applies only to a tract of property that
23-22 is:
23-23 (1) 40 or more acres in size;
23-24 (2) located entirely in a county with a population of
23-25 more than 260,000; and
23-26 (3) located in the extraterritorial jurisdiction of a
24-1 general law municipality with a population of more than 1,000 but
24-2 less than 2,500 that provides water but not sewer services.
24-3 (b) The owner of a tract of land to which this section
24-4 applies that is adjacent to the corporate limits of another
24-5 municipality may petition the governing body of that other
24-6 municipality for annexation. On receipt of a petition, the
24-7 municipality may annex the area if the municipality agrees to a
24-8 service plan that provides both water and sewer services to the
24-9 tract not later than 3 1/2 years after the date of the annexation.
24-10 On annexation, the area is released from the extraterritorial
24-11 jurisdiction of the municipality described by Subsection (a)(3) and
24-12 becomes a part of the municipality agreeing to provide water and
24-13 sewer services.
24-14 (c) This section expires March 31, 1996, unless there is
24-15 litigation pending at that time involving the validity of the
24-16 annexation of a tract of land to which this section applies. If
24-17 litigation is pending, this section remains in effect until a court
24-18 enters a final judgment in the case.
24-19 SECTION 8. Chapter 43, Local Government Code, is amended by
24-20 adding Subchapter C-1 to read as follows:
24-21 SUBCHAPTER C-1. ANNEXATION PROCEDURE FOR AREAS EXEMPTED FROM
24-22 MUNICIPAL ANNEXATION PLAN
24-23 Sec. 43.061. APPLICABILITY. This subchapter applies to an
24-24 area proposed for annexation that is not required to be included in
24-25 a municipal annexation plan under Section 43.052.
24-26 Sec. 43.062. PROCEDURES APPLICABLE. Sections 43.051,
25-1 43.054, 43.0545, 43.055, 43.0565, and 43.057 apply to the
25-2 annexation of an area to which this subchapter applies.
25-3 Sec. 43.063. ANNEXATION HEARING REQUIREMENTS. (a) Before a
25-4 municipality may institute annexation proceedings, the governing
25-5 body of the municipality must conduct two public hearings at which
25-6 persons interested in the annexation are given the opportunity to
25-7 be heard. The hearings must be conducted on or after the 40th day
25-8 but before the 20th day before the date of the institution of the
25-9 proceedings.
25-10 (b) At least one of the hearings must be held in the area
25-11 proposed for annexation if a suitable site is reasonably available
25-12 and more than 10 percent of the adults who are permanent residents
25-13 of the area file a written protest of the annexation with the
25-14 secretary of the municipality within 10 days after the date of the
25-15 publication of the notice required by this section. The protest
25-16 must state the name, address, and age of each protester who signs.
25-17 (c) The municipality must publish notice of the hearings in
25-18 a newspaper of general circulation in the municipality and in the
25-19 area proposed for annexation. The notice for each hearing must be
25-20 published at least once on or after the 20th day but before the
25-21 10th day before the date of the hearing. The municipality must
25-22 give additional notice by certified mail to each railroad company
25-23 that serves the municipality and is on the municipality's tax roll
25-24 if the company's right-of-way is in the area proposed for
25-25 annexation.
25-26 Sec. 43.064. PERIOD FOR COMPLETION OF ANNEXATION; EFFECTIVE
26-1 DATE. (a) The annexation of an area must be completed within 90
26-2 days after the date the governing body institutes the annexation
26-3 proceedings or those proceedings are void. Any period during which
26-4 the municipality is restrained or enjoined by a court of competent
26-5 jurisdiction from annexing the area is not included in computing
26-6 the 90-day period.
26-7 (b) Notwithstanding any provision of a municipal charter to
26-8 the contrary, the governing body of a municipality with a
26-9 population of 1.5 million or more may provide that an annexation
26-10 take effect on any date within 90 days after the date of the
26-11 adoption of the ordinance providing for the annexation.
26-12 Sec. 43.065. PROVISION OF SERVICES TO ANNEXED AREA.
26-13 (a) Before the publication of the notice of the first hearing
26-14 required under Section 43.063, the governing body of the
26-15 municipality proposing the annexation shall direct its planning
26-16 department or other appropriate municipal department to prepare a
26-17 service plan that provides for the extension of full municipal
26-18 services to the area to be annexed. The municipality shall provide
26-19 the services by any of the methods by which it extends the services
26-20 to any other area of the municipality.
26-21 (b) Sections 43.056(b)-(m) apply to the annexation of an
26-22 area to which this subchapter applies.
26-23 SECTION 9. Section 43.0751, Local Government Code, is
26-24 amended by amending Subsection (b) and adding Subsection (o) to
26-25 read as follows:
26-26 (b) The governing bodies of a municipality and a district
27-1 may [shall] negotiate and [may] enter into a written strategic
27-2 partnership agreement for the district by mutual consent. The
27-3 governing body of a municipality, on written request from a
27-4 district included in the municipality's annexation plan under
27-5 Section 43.052, shall negotiate and enter into a written strategic
27-6 partnership agreement with the district [bodies of the
27-7 municipality and the district shall evidence their intention to
27-8 negotiate such an agreement by resolution, each of which
27-9 resolutions shall specify an expiration date if the other governing
27-10 body fails to adopt a resolution under this section on or before
27-11 the specified date. The governing body of a municipality that has
27-12 evidenced its intention by unexpired resolution to enter into
27-13 negotiations with a district for an agreement under this section
27-14 may not initiate proceedings to annex the district under any other
27-15 section of this code prior to the expiration of two years after the
27-16 adoption date of the resolution unless the municipality has
27-17 previously instituted annexation proceedings in granting consent to
27-18 the creation of the district prior to January 1, 1995].
27-19 (o) If a municipality required to negotiate with a district
27-20 under this section and the requesting district fail to agree on
27-21 the terms of a strategic partnership agreement, either party may
27-22 seek binding arbitration of the issues relating to the agreement in
27-23 dispute under Section 43.0564.
27-24 SECTION 10. Subsection (a), Section 43.121, Local Government
27-25 Code, is amended to read as follows:
27-26 (a) The governing body of a home-rule municipality with more
28-1 than 225,000 inhabitants[, if authorized under its home-rule
28-2 charter,] by ordinance may annex an area for the limited purposes
28-3 of applying its planning, zoning, health, and safety ordinances in
28-4 the area.
28-5 SECTION 11. Subsection (c), Section 43.141, Local Government
28-6 Code, is amended to read as follows:
28-7 (c) If the area is disannexed under this section, it may not
28-8 be annexed again within 10 [five] years after the date of the
28-9 disannexation. [If it is reannexed within seven years after the
28-10 date of the disannexation, a service plan for the area must be
28-11 implemented not later than one year after the date of the
28-12 reannexation.]
28-13 SECTION 12. Subchapter G, Chapter 43, Local Government Code,
28-14 is amended by adding Section 43.148 to read as follows:
28-15 Sec. 43.148. REFUND OF TAXES AND FEES. (a) If an area is
28-16 disannexed, the municipality disannexing the area shall refund to
28-17 the landowners of the area the amount of money collected by the
28-18 municipality in property taxes and fees from those landowners
28-19 during the period that the area was a part of the municipality less
28-20 the amount of money that the municipality spent for the direct
28-21 benefit of the area during that period.
28-22 (b) A municipality shall proportionately refund the amount
28-23 under Subsection (a) to the landowners according to a method to be
28-24 developed by the municipality that identifies each landowner's
28-25 approximate pro rata payment of the taxes and fees being refunded.
28-26 SECTION 13. Subchapter Z, Chapter 43, Local Government Code,
29-1 is amended by adding Section 43.905 to read as follows:
29-2 Sec. 43.905. EFFECT OF ANNEXATION ON OPERATION OF SCHOOL
29-3 DISTRICT. (a) A municipality that proposes to annex an area shall
29-4 provide written notice of the proposed annexation to each public
29-5 school district located in the area proposed to be annexed within
29-6 the time period prescribed for publishing the notice of the first
29-7 hearing under Section 43.0561 or 43.063, as applicable.
29-8 (b) A notice to a public school district shall contain a
29-9 description of:
29-10 (1) the area within the district proposed to be
29-11 annexed;
29-12 (2) any financial impact on the district resulting
29-13 from the annexation, including any changes in utility costs; and
29-14 (3) any proposal the municipality has to abate,
29-15 reduce, or limit any financial impact on the district.
29-16 (c) The municipality may not proceed with the annexation
29-17 unless the municipality provides the required notice.
29-18 (d) A municipality that has annexed any portion of an area
29-19 after December 1, 1996, and before September 1, 1999, in which a
29-20 school district has a facility shall grant a variance from the
29-21 municipality's building code for that facility if the facility does
29-22 not comply with the code. The municipality shall notify the
29-23 governing board of the school district in writing specifying the
29-24 building code variance granted by the municipality under this
29-25 subsection. The governing board of the school district shall
29-26 notify the municipality in writing specifying the actions the
30-1 governing board proposes to take regarding the variance granted.
30-2 SECTION 14. Subchapter A, Chapter 5, Property Code, is
30-3 amended by adding Section 5.011 to read as follows:
30-4 Sec. 5.011. SELLER'S DISCLOSURE REGARDING POTENTIAL
30-5 ANNEXATION. (a) A person who sells an interest in real property
30-6 in this state shall give to the purchaser of the property a written
30-7 notice that reads substantially similar to the following:
30-8 NOTICE REGARDING POSSIBLE ANNEXATION
30-9 If the property that is the subject of this
30-10 contract is located outside the limits of a
30-11 municipality, the property may now or later be included
30-12 in the extraterritorial jurisdiction of a municipality
30-13 and may now or later be subject to annexation by the
30-14 municipality. Each municipality maintains a map that
30-15 depicts its boundaries and extraterritorial
30-16 jurisdiction. To determine if the property is located
30-17 within a municipality's extraterritorial jurisdiction
30-18 or is likely to be located within a municipality's
30-19 extraterritorial jurisdiction, contact all
30-20 municipalities located in the general proximity of the
30-21 property for further information.
30-22 (b) The seller shall deliver the notice to the purchaser
30-23 before the date the executory contract binds the purchaser to
30-24 purchase the property. The notice may be given separately, as part
30-25 of the contract during negotiations, or as part of any other notice
30-26 the seller delivers to the purchaser.
31-1 (c) This section does not apply to a transfer:
31-2 (1) under a court order or foreclosure sale;
31-3 (2) by a trustee in bankruptcy;
31-4 (3) to a mortgagee by a mortgagor or successor in
31-5 interest or to a beneficiary of a deed of trust by a trustor or
31-6 successor in interest;
31-7 (4) by a mortgagee or a beneficiary under a deed of
31-8 trust who has acquired the land at a sale conducted under a power
31-9 of sale under a deed of trust or a sale under a court-ordered
31-10 foreclosure or has acquired the land by a deed in lieu of
31-11 foreclosure;
31-12 (5) by a fiduciary in the course of the administration
31-13 of a decedent's estate, guardianship, conservatorship, or trust;
31-14 (6) from one co-owner to another co-owner of an
31-15 undivided interest in the real property;
31-16 (7) to a spouse or a person in the lineal line of
31-17 consanguinity of the seller;
31-18 (8) to or from a governmental entity;
31-19 (9) of only a mineral interest, leasehold interest, or
31-20 security interest; or
31-21 (10) of real property that is located wholly within a
31-22 municipality's corporate boundaries.
31-23 (d) If the notice is delivered as provided by this section,
31-24 the seller has no duty to provide additional information regarding
31-25 the possible annexation of the property by a municipality.
31-26 (e) If an executory contract is entered into without the
32-1 seller providing the notice required by this section, the purchaser
32-2 may terminate the contract for any reason within the earlier of:
32-3 (1) seven days after the date the purchaser receives
32-4 the notice; or
32-5 (2) the date the transfer occurs.
32-6 SECTION 15. (a) This Act takes effect September 1, 1999,
32-7 except that Section 14 of this Act takes effect January 1, 2000.
32-8 (b) Each municipality shall adopt an annexation plan as
32-9 required by Section 43.052, Local Government Code, as amended by
32-10 this Act, on or before December 31, 1999, that becomes effective
32-11 December 31, 1999.
32-12 (c) Except as provided by Subsection (d) of this section,
32-13 the changes in law made by Sections 2 through 7 and 9 through 12 of
32-14 this Act apply only to an annexation included in a municipality's
32-15 annexation plan prepared under Section 43.052, Local Government
32-16 Code, as amended by this Act. Except as provided by Subsection (d)
32-17 of this section, a municipality may continue to annex any area
32-18 during the period beginning December 31, 1999, and ending December
32-19 31, 2002, under Chapter 43, Local Government Code, as it existed
32-20 immediately before September 1, 1999, if the area is not included
32-21 in the annexation plan, and the former law is continued in effect
32-22 for that purpose.
32-23 (d) The changes in law made by this Act in Sections 43.002,
32-24 43.0545, 43.056(b), (e), (f), (g), (k), (l), and (m), 43.121(a),
32-25 43.141(c), 43.148, and 43.905, Local Government Code, as added or
32-26 amended by this Act, apply to the annexation of an area that is not
33-1 included in the municipality's annexation plan during the period
33-2 beginning December 31, 1999, and ending December 31, 2002, if the
33-3 first hearing notice required by Section 43.052, Local Government
33-4 Code, as it existed immediately before September 1, 1999, is
33-5 published on or after that date.
33-6 (e) The changes in law made by this Act in Sections 43.002,
33-7 43.0545, 43.056(b), (e), (f), (g), (k), (l), and (m), 43.121(a),
33-8 43.141(c), 43.148, and 43.905, Local Government Code, as added or
33-9 amended by this Act, apply only to the annexation of an area that
33-10 is not required to be included in a municipal annexation plan under
33-11 Section 43.052, Local Government Code, as added by this Act, if the
33-12 first hearing notice required by Section 43.063, Local Government
33-13 Code, as added by this Act, is published on or after September 1,
33-14 1999.
33-15 (f) The change in law made by Section 1 of this Act applies
33-16 only to:
33-17 (1) an annexation included in a municipality's
33-18 annexation plan prepared under Section 43.052, Local Government
33-19 Code, as amended by this Act; and
33-20 (2) an annexation of an area that is not included in
33-21 the municipality's annexation plan during the period beginning
33-22 December 31, 1999, and ending December 31, 2002, if the first
33-23 hearing notice required by Section 43.052, Local Government Code,
33-24 as it existed immediately before September 1, 1999, is published on
33-25 or after that date.
33-26 (g) The change in law made by Section 14 of this Act applies
34-1 only to a transfer of property that occurs on or after January 1,
34-2 2000. For purposes of this section, a transfer of property occurs
34-3 before January 1, 2000, if the executory contract binding the
34-4 purchaser to purchase the property is executed before that date.
34-5 Property transferred before January 1, 2000, is covered by the law
34-6 in effect when the property was transferred, and the former law is
34-7 continued in effect for that purpose.
34-8 SECTION 16. The importance of this legislation and the
34-9 crowded condition of the calendars in both houses create an
34-10 emergency and an imperative public necessity that the
34-11 constitutional rule requiring bills to be read on three several
34-12 days in each house be suspended, and this rule is hereby suspended.