1-1     By:  Nixon                                             S.B. No. 793
 1-2           (In the Senate - Filed March 2, 1999; March 3, 1999, read
 1-3     first time and referred to Committee on Intergovernmental
 1-4     Relations; March 18, 1999, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 4, Nays 1;
 1-6     March 18, 1999, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 793                    By:  Nixon
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the ability of certain areas located  within an area
1-11     proposed for annexation to incorporate as a municipality.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Subsection (a), Section 42.041, Local Government
1-14     Code, is amended to read as follows:
1-15           (a)  Except as provided by Section 42.0415, a [A]
1-16     municipality may not be incorporated in the extraterritorial
1-17     jurisdiction of an existing municipality unless the governing body
1-18     of the existing municipality gives its written consent by ordinance
1-19     or resolution.
1-20           SECTION 2.  Subchapter C, Chapter 42, Local Government Code,
1-21     is amended by adding Section 42.0415 to read as follows:
1-22           Sec. 42.0415.  INCORPORATION IN LIEU OF ANNEXATION.  (a)  Not
1-23     later than the 10th day after the date a municipality holds the
1-24     second public hearing required by Section 43.052, a petition that
1-25     meets the requirements of Subsection (b) may be presented to the
1-26     governing body of the annexing municipality to request:
1-27                 (1)  the release of all or part of the area to be
1-28     annexed from the annexation proceeding; and
1-29                 (2)  authorization to incorporate all or part of the
1-30     area to be annexed as a new municipality or as part of a new
1-31     municipality.
1-32           (b)  The petition must:
1-33                 (1)  be signed by 100 or more registered voters:
1-34                       (A)  of the portion of the area to be annexed
1-35     requesting release and incorporation under Subsection (a); or
1-36                       (B)  if the portion of the area to be annexed
1-37     requesting release and incorporation under Subsection (a) is part
1-38     of a larger area generally recognized as a neighborhood,
1-39     subdivision, or planned community, of any portion of the larger
1-40     area;
1-41                 (2)  describe the portion of the area proposed to be
1-42     annexed that the petitioners seek to incorporate as a new
1-43     municipality or as part of a new municipality;
1-44                 (3)  affirm that the area described by Subdivision (2):
1-45                       (A)  contains more than 2,500 residents; and
1-46                       (B)  is equal to or larger than the minimum
1-47     territorial requirements for the creation of any type of
1-48     general-law municipality; and
1-49                 (4)  state that the intent of the persons signing the
1-50     petition is to incorporate the described area as a new municipality
1-51     or as part of a new municipality.
1-52           (c)  If the governing body of the municipality determines
1-53     that the petition is valid, the municipality shall:
1-54                 (1)  release from the annexation proceeding the area
1-55     described in the petition; and
1-56                 (2)  authorize the incorporation of the area as a new
1-57     municipality or as part of a new municipality.
1-58           (d)  Not later than the fifth day after the date the
1-59     municipality releases an area from an annexation proceeding, the
1-60     persons within the released area shall begin the procedures
1-61     prescribed by this title for the municipal incorporation of the
1-62     area.
1-63           (e)  The incorporation proceeding in the area must be
1-64     completed not later than the first anniversary of the date the
 2-1     municipality releases the area from the annexation proceeding.
 2-2           (f)  If the area described under Subsection (b) is not
 2-3     incorporated within the time limits described by Subsection (e),
 2-4     the municipality may proceed with the annexation of the area, and
 2-5     the residents of the area may not present another petition under
 2-6     this section until the fifth anniversary of the date the initial
 2-7     petition was filed under Subsection (a).
 2-8           (g)  Section 43.053 does not apply during the time an area
 2-9     may attempt to incorporate under Subsection (e).
2-10           SECTION 3.  The importance of this legislation and the
2-11     crowded condition of the calendars in both houses create an
2-12     emergency and an imperative public necessity that the
2-13     constitutional rule requiring bills to be read on three several
2-14     days in each house be suspended, and this rule is hereby suspended,
2-15     and that this Act take effect and be in force from and after its
2-16     passage, and it is so enacted.
2-17                                  * * * * *