1-1     By:  Gallegos                                          S.B. No. 276
 1-2           (In the Senate - Filed January 26, 1999; February 1, 1999,
 1-3     read first time and referred to Committee on Intergovernmental
 1-4     Relations; February 25, 1999, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 5, Nays 0;
 1-6     February 25, 1999, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 276                    By:  Nixon
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the creation of the Greater East End Management
1-11     District; providing authority to impose a tax and issue bonds.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Chapter 376, Local Government Code, is amended by
1-14     adding Subchapter G to read as follows:
1-15             SUBCHAPTER G.  GREATER EAST END MANAGEMENT DISTRICT
1-16           Sec. 376.261.  CREATION OF DISTRICT.  (a)  A special district
1-17     to be known as the "Greater East End Management District" exists as
1-18     a governmental agency, body politic and corporate, and political
1-19     subdivision of the state.
1-20           (b)  The name of the district may be changed by resolution of
1-21     the board.
1-22           (c)  The creation of the district is essential to accomplish
1-23     the purposes of Section 52, Article III, Section 59, Article XVI,
1-24     and Section 52-a, Article III, Texas Constitution, and other public
1-25     purposes stated in this subchapter.
1-26           Sec. 376.262.  DECLARATION OF INTENT.  (a)  The creation of
1-27     the district is necessary to promote, develop, encourage, and
1-28     maintain employment, commerce, transportation, housing, tourism,
1-29     recreation, arts, entertainment, economic development, safety, and
1-30     the public welfare in the Greater East End area of the city of
1-31     Houston.
1-32           (b)  The creation of the district and this legislation are
1-33     not to be interpreted to relieve the county or the municipality
1-34     from providing the level of services as of the effective date of
1-35     this subchapter to the area in the district or to release the
1-36     county or the municipality from the obligations each entity has to
1-37     provide services to that area.  The district is created to
1-38     supplement and not supplant the municipal or county services
1-39     provided in the area in the district.
1-40           (c)  By creating the district and in authorizing the
1-41     municipality, county, and other political subdivisions to contract
1-42     with the district, the legislature has established a program to
1-43     accomplish the public purposes set out in Section 52-a, Article
1-44     III, Texas Constitution.
1-45           Sec. 376.263.  DEFINITIONS.  In this subchapter:
1-46                 (1)  "Board" means the board of directors of the
1-47     district.
1-48                 (2)  "County" means Harris County, Texas.
1-49                 (3)  "District" means the Greater East End Management
1-50     District.
1-51                 (4)  "Municipality" means the City of Houston, Texas.
1-52                 (5)  "Utility" means a person that provides to the
1-53     public cable television, gas, light, power, telephone, sewage, or
1-54     water service.
1-55           Sec. 376.264.  BOUNDARIES.  The district includes all the
1-56     territory contained in the following described area:
1-57     Being 17 square miles, more or less, out of the D. GREGG Survey,
1-58     Abstract No. 238, the S.M. WILLIAMS Survey, Abstract No. 87, the
1-59     HARRIS & WILSON Survey, Abstract No. 32, the L. MOORE Survey,
1-60     Abstract No. 51, the S.M. HARRIS Survey, Abstract No. 327, the J.
1-61     BROWN Survey, Abstract No. 8, the H. TIERWESTER Survey, Abstract
1-62     No. 76, the J. WELLS Survey, Abstract No. 832, the J. THOMAS
1-63     Survey, Abstract No. 74, the J. THOMAS Survey, Abstract No. 762,
1-64     the H.B. PRENTISS Survey, Abstract No. 56, the CALLAHAN & VINCE
 2-1     Survey, Abstract No. 9, the J.R. HARRIS Survey, Abstract No. 27,
 2-2     the J. AUSTIN Survey, Abstract No. 1, and the J. HOLMAN Survey,
 2-3     Abstract No. 323, all located in Harris County, Texas, being more
 2-4     particularly described by metes and bounds as follows:
 2-5     BEGINNING AT A POINT being the point of intersection of the
 2-6     centerline of the right-of-way of Clinton Drive and the centerline
 2-7     of the right-of-way of East Loop 610,
 2-8     Thence in a southerly direction with the centerline of the
 2-9     right-of-way of East Loop 610, passing the centerline of the
2-10     channel of Buffalo Bayou and continuing in a southerly direction
2-11     with the centerline of the right-of-way of Loop 610 along a curve
2-12     to the right and proceeding in a southwesterly direction with the
2-13     centerline of the right-of-way of Loop 610, passing the centerline
2-14     of the right-of-way of Interstate 45 South to the point of
2-15     intersection with the centerline of the right-of-way of Telephone
2-16     Road,
2-17     Thence in a northwesterly direction with the centerline of the
2-18     right-of-way of Telephone Road to the point of intersection with
2-19     the center of the right-of-way of Interstate 45 South,
2-20     Thence in a northwesterly direction with the centerline of the
2-21     right-of-way of Interstate 45 South to the point of intersection
2-22     with the centerline of the right-of-way of U.S. Highway 59,
2-23     Thence in a northeasterly direction with the centerline of the
2-24     right-of-way of U.S. Highway 59 to the point of intersection with
2-25     the centerline of the right-of-way of Clay Street,
2-26     Thence in a southeasterly direction with the centerline of the
2-27     right-of-way of Clay Street to the point of intersection with the
2-28     East line of the right-of-way of Chartres Street,
2-29     Thence in a northeasterly direction with the East line of the
2-30     right-of-way of Chartres Street to the point of intersection with
2-31     the centerline of the right-of-way of Capitol Avenue,
2-32     Thence in a northwesterly direction with the centerline of the
2-33     right-of-way of Capitol Avenue to the point of intersection with
2-34     the centerline of the right-of-way of U.S. Highway 59,
2-35     Thence in a northeasterly direction with the with the centerline of
2-36     the right-of-way of U.S. Highway 59, to the point of intersection
2-37     with the centerline of the channel of Buffalo Bayou,
2-38     Thence in a southerly and easterly direction following the meanders
2-39     of the centerline of the channel of Buffalo Bayou to the point of
2-40     intersection with the centerline of the right-of-way of Jensen
2-41     Drive,
2-42     Thence in a northerly direction with the centerline of the
2-43     right-of-way of Jensen Drive to the point of intersection with the
2-44     centerline of the right-of-way of Clinton Drive,
2-45     Thence in an easterly and southeasterly direction with the
2-46     centerline of the right-of-way of Clinton Drive to the point of
2-47     intersection with the East line of the Harris & Wilson Survey,
2-48     Abstract No. 32, being also a point in the West line of the J.
2-49     Brown Survey, Abstract No. 8,
2-50     Thence in a northerly direction with the East line of the Harris &
2-51     Wilson Survey, Abstract No. 32, being also the West line of the J.
2-52     Brown Survey, Abstract No. 8 to the point of intersection with the
2-53     easterly projection of the centerline of the right-of-way of Market
2-54     Street,
2-55     Thence in a westerly direction with the easterly projection of the
2-56     centerline of the right-of-way of Market Street and continuing with
2-57     the centerline of the right-of-way of Market Street to the point of
2-58     intersection with the centerline of the right-of-way of Crown
2-59     Street,
2-60     Thence in a northerly direction with the centerline of the
2-61     right-of-way of Crown Street to the point of intersection with the
2-62     centerline of the right-of-way of Lyons Avenue,
2-63     Thence in an easterly direction with the centerline of the
2-64     right-of-way of Lyons Avenue to the point of intersection with the
2-65     northerly projection of the centerline of the right-of-way of
2-66     Dorsett Street,
2-67     Thence in a southerly direction with the northerly projection of
2-68     the centerline of the right-of-way of Dorsett Street and continuing
2-69     with the centerline of the right-of-way of Dorsett Street and
 3-1     continuing with a southerly projection of the centerline of the
 3-2     right-of-way of Dorsett Street to the point of intersection with
 3-3     the centerline of the right-of-way of Market Street,
 3-4     Thence in a westerly direction with the centerline of the
 3-5     right-of-way of Market Street to the point of intersection with the
 3-6     northerly projection of the centerline of the right-of-way of Labco
 3-7     Street,
 3-8     Thence in a southerly direction with the northerly projection of
 3-9     the centerline of the right-of-way of Labco Street and continuing
3-10     with the centerline of the right-of-way of Labco Street to the
3-11     point of intersection with the centerline of the right-of-way of
3-12     Tilgham Street,
3-13     Thence in an easterly direction with the centerline of the
3-14     right-of-way of Tilgham Street to the point of intersection with
3-15     the northerly projection of the centerline of Dorsett Street,
3-16     Thence in a southerly direction with the northerly projection of
3-17     the centerline of the right-of-way of Dorsett Street and continuing
3-18     with the centerline of the right-of-way of Dorsett Street and
3-19     continuing with a southerly projection of the centerline of the
3-20     right-of-way of Dorsett Street to the point of intersection with
3-21     the centerline of the right-of-way of Clinton Drive,
3-22     Thence in a southeasterly direction with the centerline of the
3-23     right-of-way of Clinton Drive to the POINT of BEGINNING, SAVE AND
3-24     EXCEPT all tracts or parcels of land, rights-of-way, facilities,
3-25     and improvements owned by a utility.
3-26           Sec. 376.265.  FINDINGS RELATING TO BOUNDARIES.  The
3-27     boundaries and field notes of the district form a closure.  If a
3-28     mistake is made in the field notes or in copying the field notes in
3-29     the legislative process, the mistake does not in any way affect
3-30     the:
3-31                 (1)  organization, existence, and validity of the
3-32     district;
3-33                 (2)  right of the district to issue any type of bonds
3-34     or refunding bonds for the purposes for which the district is
3-35     created or to pay the principal of and interest on the bonds;
3-36                 (3)  right of the district to impose and collect
3-37     assessments or taxes; or
3-38                 (4)  legality or operation of the district or its
3-39     governing body.
3-40           Sec. 376.266.  FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
3-41     (a)  All the land and other property included in the district will
3-42     be benefited by the improvements and services to be provided by the
3-43     district under powers conferred by Section 52, Article III, Section
3-44     59, Article XVI, and Section 52-a, Article III, Texas Constitution,
3-45     and other powers granted under this subchapter, and the district is
3-46     created to serve a public use and benefit.
3-47           (b)  The creation of the district is in the public interest
3-48     and is essential to:
3-49                 (1)  further the public purposes of the development and
3-50     diversification of the economy of the state; and
3-51                 (2)  eliminate unemployment and underemployment and
3-52     develop or expand transportation and commerce.
3-53           (c)  The district will:
3-54                 (1)  promote the health, safety, and general welfare of
3-55     residents, employers, employees, visitors, consumers in the
3-56     district, and the general public;
3-57                 (2)  provide needed funding for the Greater East End
3-58     area to preserve, maintain, and enhance the economic health and
3-59     vitality of the area as a community and business center;
3-60                 (3)  further promote the health, safety, welfare, and
3-61     enjoyment of the public by providing pedestrian ways and by
3-62     landscaping and developing certain areas in the district, which are
3-63     necessary for the restoration, preservation, and enhancement of
3-64     scenic and aesthetic beauty; and
3-65                 (4)  further eliminate unemployment and underemployment
3-66     and develop or expand transportation and commerce by providing or
3-67     by participating with other entities and educational institutions
3-68     in the establishment, equipping, financing, and operation of
3-69     workforce development, workforce education, and job training
 4-1     opportunities.
 4-2           (d)  Pedestrian ways along or across a street, whether at
 4-3     grade or above or below the surface, and street lighting, street
 4-4     landscaping, and street art objects are parts of and necessary
 4-5     components of a street and are considered to be a street or road
 4-6     improvement.
 4-7           (e)  The district will not act as the agent or
 4-8     instrumentality of any private interest even though many private
 4-9     interests will be benefited by the district, as will the general
4-10     public.
4-11           Sec. 376.267.  APPLICATION OF OTHER LAW.  Except as otherwise
4-12     provided by this subchapter, Chapter 375 applies to the district.
4-13           Sec. 376.268.  CONSTRUCTION OF SUBCHAPTER.  This subchapter
4-14     shall be liberally construed in conformity with the findings and
4-15     purposes stated in this subchapter.
4-16           Sec. 376.269.  BOARD OF DIRECTORS IN GENERAL.  (a)  The
4-17     district is governed by a board of 13 directors who serve staggered
4-18     terms of four years, with six members' terms expiring June 1 of an
4-19     odd-numbered year and seven members' terms expiring June 1 of the
4-20     following odd-numbered year.  The board may increase or decrease
4-21     the number of directors on the board by resolution, provided that
4-22     it is in the best interest of the district to do so and that the
4-23     board consists of not fewer than nine and not more than 30
4-24     directors.
4-25           (b)  Subchapter D, Chapter 375, applies to the board to the
4-26     extent that subchapter does not conflict with this subchapter.  The
4-27     imposition of a tax, assessment, or impact fee requires a vote of a
4-28     majority of the directors serving.  Directors may vote on any
4-29     matter authorized by Subchapter D, Chapter 375, and action may be
4-30     taken by the board only if it is approved in the manner prescribed
4-31     by Subchapter D, Chapter 375.
4-32           Sec. 376.270.  APPOINTMENT OF DIRECTORS; VACANCY.  The mayor
4-33     and members of the governing body of the municipality shall appoint
4-34     directors from persons recommended by the board who meet the
4-35     qualifications of Subchapter D, Chapter 375.  A vacancy in the
4-36     office of director because of the death, resignation, or removal of
4-37     a director shall be filled by the remaining members of the board by
4-38     appointing a qualified person for the unexpired term.
4-39           Sec. 376.271.  POWERS OF DISTRICT.  The district has:
4-40                 (1)  all powers necessary or required to accomplish the
4-41     purposes for which the district was created;
4-42                 (2)  the rights, powers, privileges, authority, and
4-43     functions of a district created under Chapter 375;
4-44                 (3)  the powers given to a corporation under Section
4-45     4B, Development Corporation Act of 1979 (Article 5190.6, Vernon's
4-46     Texas Civil Statutes), and the power to own, operate, acquire,
4-47     construct, lease, improve, and maintain projects;
4-48                 (4)  the power to impose ad valorem taxes, assessments,
4-49     or impact fees in accordance with Chapter 375 to provide
4-50     improvements and services for a project or activity the district is
4-51     authorized to acquire, construct, improve, or provide under this
4-52     subchapter; and
4-53                 (5)  the power to correct, add to, or delete
4-54     assessments from its assessment rolls after notice and hearing as
4-55     provided by Subchapter F, Chapter 375.
4-56           Sec. 376.272.  EMINENT DOMAIN.  The district may not exercise
4-57     the power of eminent domain.
4-58           Sec. 376.273.  EXPENSES AND LIABILITY FOR CERTAIN ACTIONS
4-59     AFFECTING PROPERTY.  (a)  If the district, in exercising a power
4-60     conferred by this subchapter, requires a relocation, adjustment,
4-61     raising, lowering, rerouting, or changing of the grade or the
4-62     construction of any of the following items, the district must take
4-63     that required action at the sole expense of the district:
4-64                 (1)  a street, alley, highway, overpass, underpass,
4-65     road, railroad track, bridge, facility, or other property;
4-66                 (2)  an electric line, conduit, facility, or other
4-67     property;
4-68                 (3)  a telephone or telegraph line, conduit, facility,
4-69     or other property;
 5-1                 (4)  a gas transmission or distribution pipe, pipeline,
 5-2     main, facility, or other property;
 5-3                 (5)  a water, sanitary sewer, or storm sewer pipe,
 5-4     pipeline, main, facility, or other property;
 5-5                 (6)  a cable television line, cable, conduit, facility,
 5-6     or other property; or
 5-7                 (7)  another pipeline, facility, or other property
 5-8     relating to the pipeline.
 5-9           (b)  The district shall bear damages that are suffered by
5-10     owners of the facility or other property.
5-11           Sec. 376.274.  RELATION TO OTHER LAW.  If any provision of
5-12     general law, including a law referenced in this subchapter, is in
5-13     conflict with or is inconsistent with this subchapter, this
5-14     subchapter prevails.  Any law referenced in this subchapter that is
5-15     not in conflict or inconsistent with this subchapter is adopted and
5-16     incorporated by reference.
5-17           Sec. 376.275.  REQUIREMENTS FOR FINANCING SERVICES AND
5-18     IMPROVEMENTS.  The board may not finance services and improvement
5-19     projects under this subchapter unless a written petition requesting
5-20     those improvements or services has been filed with the board.  The
5-21     petition must be signed by:
5-22                 (1)  the owners of a majority of the assessed value of
5-23     real property in the district as determined by the most recent
5-24     certified county property tax rolls; or
5-25                 (2)  at least 50 persons who own land in the district,
5-26     if there are more than 50 persons who own property in the district
5-27     as determined by the most recent certified county property tax
5-28     rolls.
5-29           Sec. 376.276.  NONPROFIT CORPORATION.  (a)  The board by
5-30     resolution may authorize the creation of a nonprofit corporation to
5-31     assist and act on behalf of the district in implementing a project
5-32     or providing a service authorized by this subchapter.
5-33           (b)  The board shall appoint the board of directors of a
5-34     nonprofit corporation created under this section.  The board of
5-35     directors of the nonprofit corporation shall serve in the same
5-36     manner as, for the same term as, and on the conditions of the board
5-37     of directors of a local government corporation created under
5-38     Chapter 431, Transportation Code.
5-39           (c)  A nonprofit corporation created under this section has
5-40     the powers of and is considered for purposes of this subchapter to
5-41     be a local government corporation created under Chapter 431,
5-42     Transportation Code.
5-43           (d)  A nonprofit corporation created under this section may
5-44     implement any project and provide any services authorized by this
5-45     subchapter.
5-46           Sec. 376.277.  DISBURSEMENTS OR TRANSFERS OF FUNDS.  The
5-47     board by resolution shall establish the number of directors'
5-48     signatures and the procedure required for a disbursement or
5-49     transfer of the district's money.
5-50           Sec. 376.278.  BONDS.  (a)  The district may issue bonds or
5-51     other obligations payable in whole or in part from ad valorem
5-52     taxes, assessments, impact fees, revenues, grants, or other money
5-53     of the district, or any combination of those sources of money, to
5-54     pay for any authorized purpose of the district.
5-55           (b)  Bonds or other obligations of the district may be issued
5-56     in the form of bonds, notes, certificates of participation,
5-57     including other instruments evidencing a proportionate interest in
5-58     payments to be made by the district, or other obligations that are
5-59     issued in the exercise of the district's borrowing power and may be
5-60     issued in bearer or registered form or not represented by an
5-61     instrument but the transfer of which is registered on books
5-62     maintained by or on behalf of the district.  The board may impose
5-63     and collect an assessment under Subchapter F, Chapter 375, for any
5-64     purpose authorized by this subchapter or by Chapter 375.
5-65           (c)  Except as provided by Subsection (d), the district must
5-66     obtain the municipality's approval of:
5-67                 (1)  the issuance of bonds for an improvement project;
5-68                 (2)  the plans and specifications of the improvement
5-69     project to be financed by the bonds; and
 6-1                 (3)  the plans and specifications of a district
 6-2     improvement project related to:
 6-3                       (A)  the use of land owned by the municipality;
 6-4                       (B)  an easement granted by the municipality; or
 6-5                       (C)  a right-of-way of a street, road, or
 6-6     highway.
 6-7           (d)  If the district obtains the municipality's approval of a
 6-8     capital improvements budget for a specified period not to exceed
 6-9     five years, the district may finance the capital improvements and
6-10     issue bonds specified in the budget without further municipal
6-11     approval.
6-12           (e)  Before the district issues bonds, the district shall
6-13     submit the bonds and the record of proceedings of the district
6-14     relating to authorization of the bonds to the attorney general for
6-15     approval as provided by Chapter 53, Acts of the 70th Legislature,
6-16     2nd Called Session, 1987 (Article 717k-8, Vernon's Texas Civil
6-17     Statutes).
6-18           Sec. 376.279.  ASSESSMENTS.  (a)  The board may impose and
6-19     collect an assessment for any purpose authorized by this
6-20     subchapter.
6-21           (b)  Assessments, reassessments, or assessments resulting
6-22     from an addition to or correction of the assessment roll by the
6-23     district, penalties and interest on an assessment or reassessment,
6-24     expenses of collection, and reasonable attorney's fees incurred by
6-25     the district:
6-26                 (1)  are a first and prior lien against the property
6-27     assessed;
6-28                 (2)  are superior to any other lien or claim other than
6-29     a lien or claim for county, school district, or municipal ad
6-30     valorem taxes; and
6-31                 (3)  are the personal liability of and charge against
6-32     the owners of the property even if the owners are not named in the
6-33     assessment proceedings.
6-34           (c)  The lien is effective from the date of the resolution of
6-35     the board levying the assessment until the assessment is paid.  The
6-36     board may enforce the lien in the same manner that the board may
6-37     enforce an ad valorem tax lien against real property.
6-38           Sec. 376.280.  PROPERTY EXEMPTED FROM TAX, FEE, OR
6-39     ASSESSMENT.  (a)  The district may not impose a tax, impact fee, or
6-40     assessment on a residential property, multiunit residential
6-41     property, or condominium.
6-42           (b)  The district may not impose an impact fee or assessment
6-43     on the property, equipment, or facilities of a utility.
6-44           Sec. 376.281.  ELECTIONS.  (a)  In addition to the elections
6-45     the district must hold under Subchapter L, Chapter 375, the
6-46     district shall hold an election in the manner provided by that
6-47     subchapter to obtain voter approval before the district imposes a
6-48     maintenance tax or issues bonds payable from ad valorem taxes or
6-49     assessments.
6-50           (b)  The board may submit multiple purposes in a single
6-51     proposition at an election.
6-52           Sec. 376.282.  IMPACT FEES.  The district may impose an
6-53     impact fee for an authorized purpose as provided by Subchapter G,
6-54     Chapter 375.
6-55           Sec. 376.283.  MAINTENANCE TAX.  (a)  If authorized at an
6-56     election held in accordance with Section 376.281, the district may
6-57     impose and collect an annual ad valorem tax on taxable property in
6-58     the district for the maintenance and operation of the district and
6-59     the improvements constructed or acquired by the district or for the
6-60     provision of services.
6-61           (b)  The board shall determine the tax rate.
6-62           Sec. 376.284.  WORKFORCE DEVELOPMENT SERVICES AND PROJECTS.
6-63     (a)  As soon as possible after its creation, the district shall
6-64     develop and implement a plan for workforce development services.
6-65     The services may include:
6-66                 (1)  job training;
6-67                 (2)  workforce education;
6-68                 (3)  financing of special educational opportunities;
6-69                 (4)  student summer work programs; or
 7-1                 (5)  other projects that promote workforce development.
 7-2           (b)  The district's initial plan under Subsection (a)  must
 7-3     be for a period of at least five years.  For the first five years
 7-4     of the plan, the district shall allocate to the services listed in
 7-5     Subsection (a) not less than three percent of its assessment
 7-6     revenues.
 7-7           (c)  The district may develop and implement additional plans
 7-8     under Subsection (a).
 7-9           (d)  To assist in implementing this section, the district
7-10     may:
7-11                 (1)  accept a donation, grant, or loan from any person;
7-12                 (2)  work with schools of all levels;
7-13                 (3)  work with any person that provides workforce
7-14     development funds or projects; or
7-15                 (4)  participate with other entities.
7-16           Sec. 376.285.  DISSOLUTION OF DISTRICT.  The district may be
7-17     dissolved as provided by Subchapter M, Chapter 375.  If the
7-18     district has debt and is dissolved, the district shall remain in
7-19     existence solely for the limited purpose of discharging its bonds
7-20     or other obligations according to their terms.
7-21           Sec. 376.286.  CONTRACTS.  (a)  To protect the public
7-22     interest, the district may contract with the municipality or the
7-23     county for the municipality or county to provide law enforcement
7-24     services in the district for a fee.
7-25           (b)  The municipality, the county, or another political
7-26     subdivision of the state, without further authorization, may
7-27     contract with the district to implement a project of the district
7-28     or assist the district in providing the services authorized under
7-29     this subchapter.  A contract under this subsection may:
7-30                 (1)  be for a period on which the parties agree;
7-31                 (2)  include terms on which the parties agree;
7-32                 (3)  be payable from taxes or any other sources of
7-33     revenue that may be available for that purpose; or
7-34                 (4)  provide that taxes or other revenue collected at a
7-35     district project or from a person using or purchasing a commodity
7-36     or service at a district project may be paid or rebated to the
7-37     district under the terms of the contract.
7-38           (c)  The district may enter into a contract, lease, or other
7-39     agreement with or make or accept grants and loans to or from:
7-40                 (1)  the United States;
7-41                 (2)  the state or a state agency;
7-42                 (3)  a county, a municipality, or another political
7-43     subdivision of the state;
7-44                 (4)  a public or private corporation, including a
7-45     nonprofit corporation created by the board under this subchapter;
7-46     or
7-47                 (5)  any other person.
7-48           (d)  The district may perform all acts necessary for the full
7-49     exercise of the powers vested in the district on terms and for the
7-50     period the board determines advisable.
7-51           Sec. 376.287.  INITIAL DIRECTORS.  (a)  The initial board
7-52     consists of the following persons:
7-53                 Pos. No.                   Name of Director
7-54                 1                          Lynn Woolley
7-55                 2                          Rex Moran
7-56                 3                          Carlos Garcia
7-57                 4                          Mike Garver
7-58                 5                          Yolanda Black Navarro
7-59                 6                          Mike Parker
7-60                 7                          Carl Norman
7-61                 8                          Rafael Acosta
7-62                 9                          Dominic Quijano
7-63                 10                         Margaret Lincoln
7-64                 11                         Cliff Dieterle
7-65                 12                         Sonny Flores
7-66                 13                         Dan Nip
7-67           (b)  Of the initial directors, the terms of directors
7-68     appointed for positions 1 through 6 expire on June 1, 2001, and the
7-69     terms of directors appointed for positions 7 through 13 expire on
 8-1     June 1, 2003.
 8-2           (c)  This section expires September 1, 2004.
 8-3           SECTION 2.  The legislature finds that:
 8-4                 (1)  proper and legal notice of the intention to
 8-5     introduce this Act, setting forth the general substance of this
 8-6     Act, has been published as provided by law, and the notice and a
 8-7     copy of this Act have been furnished to all persons, agencies,
 8-8     officials, or entities to which they are required to be furnished
 8-9     by the constitution and laws of this state, including the governor,
8-10     who has submitted the notice and Act to the Texas Natural Resource
8-11     Conservation Commission;
8-12                 (2)  the Texas Natural Resource Conservation Commission
8-13     has filed its recommendations relating to this Act with the
8-14     governor, lieutenant governor, and speaker of the house of
8-15     representatives within the required time;
8-16                 (3)  the general law relating to consent by political
8-17     subdivisions to the creation of districts with conservation,
8-18     reclamation, and road powers and the inclusion of land in those
8-19     districts has been complied with; and
8-20                 (4)  all requirements of the constitution and laws of
8-21     this state and the rules and procedures of the legislature with
8-22     respect to the notice, introduction, and passage of this Act have
8-23     been fulfilled and accomplished.
8-24           SECTION 3.  The importance of this legislation and the
8-25     crowded condition of the calendars in both houses create an
8-26     emergency and an imperative public necessity that the
8-27     constitutional rule requiring bills to be read on three several
8-28     days in each house be suspended, and this rule is hereby suspended,
8-29     and that this Act take effect and be in force from and after its
8-30     passage, and it is so enacted.
8-31                                  * * * * *