1-1 AN ACT 1-2 relating to the creation of the Greater Northside Management 1-3 District; providing authority to impose a tax and issue bonds. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 376, Local Government Code, is amended by 1-6 adding Subchapter K to read as follows: 1-7 SUBCHAPTER K. GREATER NORTHSIDE MANAGEMENT DISTRICT 1-8 Sec. 376.451. CREATION OF DISTRICT. (a) The Greater 1-9 Northside Management District is created as a special district 1-10 under Section 59, Article XVI, Texas Constitution. 1-11 (b) The board by resolution may change the district's name. 1-12 Sec. 376.452. DECLARATION OF INTENT. (a) The creation of 1-13 the district is necessary to promote, develop, encourage, and 1-14 maintain employment, commerce, transportation, housing, tourism, 1-15 recreation, arts, entertainment, economic development, safety, and 1-16 the public welfare in the north side of the city of Houston. 1-17 (b) The creation of the district and this legislation are 1-18 not to be interpreted to relieve the county or the municipality 1-19 from providing the level of services, as of the effective date of 1-20 this subchapter, to the area in the district or to release the 1-21 county or the municipality from its obligations to provide services 1-22 to that area. The district is created to supplement and not 1-23 supplant the county or municipal services provided in the area in 1-24 the district. 2-1 (c) The creation of the district is essential to accomplish 2-2 the purposes of Section 52, Article III, Section 59, Article XVI, 2-3 and Section 52-a, Article III, Texas Constitution, and other public 2-4 purposes stated in this subchapter. 2-5 Sec. 376.453. DEFINITIONS. In this subchapter: 2-6 (1) "Board" means the board of directors of the 2-7 district. 2-8 (2) "County" means Harris County, Texas. 2-9 (3) "District" means the Greater Northside Management 2-10 District. 2-11 (4) "Municipality" means the City of Houston, Texas. 2-12 (5) "Utility" means a person that provides to the 2-13 public cable television, gas, light, power, telephone, sewage, or 2-14 water service. 2-15 Sec. 376.454. BOUNDARIES. The district includes all the 2-16 territory contained in the following described area: 2-17 BEGINNING at the intersection of the center line of the 2-18 right-of-way of Interstate 10 East with the center line of the 2-19 right-of-way of State Highway 59 North (East Tex. Freeway); 2-20 Thence in a westerly direction to the intersection of the center 2-21 line of the right-of-way of Studemont-Studewood Street with the 2-22 center line of the right-of-way of Interstate 10 West; 2-23 Thence in a northerly direction with the center line of the 2-24 right-of-way of Studewood Street to the intersection with the 2-25 center line of the right-of-way of North Main Street; 2-26 Thence in a northwesterly direction with the center line of the 2-27 right of way of North Main Street to the intersection with the 3-1 center line of the right-of-way of Crosstimbers Boulevard; 3-2 Thence in a westerly direction with the center line of the 3-3 right-of-way of Crosstimbers Boulevard to the intersection with the 3-4 center line of the right-of-way of Yale Street; 3-5 Thence in a northerly direction with the center line of the 3-6 right-of-way of Yale Street to the intersection with the center 3-7 line of the right-of-way of West Parker Street; 3-8 Thence in an easterly direction with the center line of the 3-9 right-of-way West Parker Street to the intersection with the center 3-10 line of the right-of-way of Airline Drive; 3-11 Thence in a northerly direction with the center line of the 3-12 right-of-way of Airline Drive to the intersection with the center 3-13 line of the right-of-way of Carby Street; 3-14 Thence in an easterly direction with the center line of the 3-15 right-of-way of Carby Street to the intersection with the center 3-16 line of the right-of-way of Fieldworth Street; 3-17 Thence in a northerly direction with the center line of the 3-18 right-of-way of Fieldworth Street to the intersection with the 3-19 center line of the right-of-way of Cromwell Street; 3-20 Thence in an easterly direction with the center line of the 3-21 right-of-way of Cromwell Street to the intersection with the center 3-22 line of the right-of-way of the Hardy Toll Road; 3-23 Thence in a southerly direction with the center line of the 3-24 right-of-way of the Hardy Toll Road to the intersection with the 3-25 center line of the right-of-way of Little York Road; 3-26 Thence in an easterly direction with the center line of the 3-27 right-of-way of Little York Road to the intersection with the 4-1 center line of the right-of-way of State Highway 59 North (East 4-2 Tex. Freeway); 4-3 Thence in a southerly direction with the center line of the 4-4 right-of-way of State Highway 59 (East Tex. Freeway) to the 4-5 intersection with the center line of the right-of-way of Langley 4-6 Road; 4-7 Thence in an easterly direction with the center line of the 4-8 right-of-way of Langley Road to the intersection with the center 4-9 line of the right-of-way of Hirsch Road; 4-10 Thence in a southerly direction with the center line of the right 4-11 of way of Hirsch Road to the intersection with the center line of 4-12 the right-of-way of East Crosstimbers Boulevard; 4-13 Thence in a westerly direction with the center line of the 4-14 right-of-way of East Crosstimbers Boulevard to the intersection 4-15 with the center line of the right-of-way line of Highway 59 North 4-16 (East Tex. Freeway); 4-17 Thence in a southerly direction with the center line of the 4-18 right-of-way of Highway 59 North (East Tex. Freeway) to the 4-19 intersection with the center line of the right-of-way of Interstate 4-20 10 East to the POINT of BEGINNING, SAVE AND EXCEPT all tracts or 4-21 parcels of land, rights-of-way, facilities, and improvements owned 4-22 by a utility. 4-23 Sec. 376.455. FINDINGS RELATING TO BOUNDARIES. The 4-24 boundaries and field notes of the district form a closure. If a 4-25 mistake is made in the field notes or in copying the field notes in 4-26 the legislative process, the mistake does not in any way affect the 4-27 district's: 5-1 (1) organization, existence, or validity; 5-2 (2) right to issue any type of bond for the purposes 5-3 for which the district is created or to pay the principal of and 5-4 interest on a bond; 5-5 (3) right to impose or collect an assessment or tax; 5-6 or 5-7 (4) legality or operation. 5-8 Sec. 376.456. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a) 5-9 The district is created to serve a public use and benefit. All the 5-10 land and other property included in the district will be benefited 5-11 by the improvements and services to be provided by the district 5-12 under powers conferred by Section 52, Article III, Section 59, 5-13 Article XVI, and Section 52-a, Article III, Texas Constitution, and 5-14 other powers granted under this subchapter. 5-15 (b) The creation of the district is in the public interest 5-16 and is essential to: 5-17 (1) further the public purposes of the development and 5-18 diversification of the economy of the state; and 5-19 (2) eliminate unemployment and underemployment and 5-20 develop or expand transportation and commerce. 5-21 (c) The district will: 5-22 (1) promote the health, safety, and general welfare of 5-23 residents, employers, potential employees, employees, visitors, 5-24 consumers in the district, and the general public; 5-25 (2) provide needed funding to preserve, maintain, and 5-26 enhance the economic health and vitality of the district as a 5-27 community and business center; and 6-1 (3) further promote the health, safety, welfare, and 6-2 enjoyment of the public by providing pedestrian ways and by 6-3 landscaping and developing certain areas in the district, which are 6-4 necessary for the restoration, preservation, and enhancement of 6-5 scenic beauty. 6-6 (d) Pedestrian ways along or across a street, whether at 6-7 grade or above or below the surface, and street lighting, street 6-8 landscaping, and street art objects are parts of and necessary 6-9 components of a street and are considered to be a street or road 6-10 improvement. 6-11 (e) The district will not act as the agent or 6-12 instrumentality of any private interest even though many private 6-13 interests will be benefited by the district, as will the general 6-14 public. 6-15 Sec. 376.457. APPLICATION OF OTHER LAW. Except as otherwise 6-16 provided by this subchapter, Chapter 375 applies to the district. 6-17 Sec. 376.458. CONSTRUCTION OF SUBCHAPTER. This subchapter 6-18 shall be liberally construed in conformity with the findings and 6-19 purposes stated in this subchapter. 6-20 Sec. 376.459. BOARD OF DIRECTORS IN GENERAL. (a) The 6-21 district is governed by a board of 11 directors who serve staggered 6-22 terms of four years, with five members' terms expiring June 1 of an 6-23 odd-numbered year and six members' terms expiring June 1 of the 6-24 following odd-numbered year. The board may increase or decrease 6-25 the number of directors on the board by resolution, provided that 6-26 it is in the best interest of the district to do so and that the 6-27 board consists of not fewer than 9 and not more than 30 directors. 7-1 (b) Subchapter D, Chapter 375, applies to the board to the 7-2 extent that subchapter does not conflict with this subchapter. The 7-3 imposition of a tax, assessment, or impact fee requires a vote of a 7-4 majority of the directors serving. Directors may vote on any 7-5 matter authorized by Subchapter D, Chapter 375, and action may be 7-6 taken by the board only if it is approved in the manner prescribed 7-7 by Subchapter D, Chapter 375. 7-8 Sec. 376.460. APPOINTMENT OF DIRECTORS; VACANCY. (a) The 7-9 mayor and members of the governing body of the municipality shall 7-10 appoint directors from persons recommended by the board who meet 7-11 the qualifications of Subchapter D, Chapter 375. 7-12 (b) A vacancy in the office of director because of the 7-13 death, resignation, or removal of a director shall be filled by the 7-14 remaining members of the board by appointing a qualified person for 7-15 the unexpired term. 7-16 Sec. 376.461. POWERS OF DISTRICT. The district has: 7-17 (1) all powers necessary or required to accomplish the 7-18 purposes for which the district was created; 7-19 (2) the rights, powers, privileges, authority, and 7-20 functions of a district created under Chapter 375; 7-21 (3) the powers given to a corporation under Section 7-22 4B, Development Corporation Act of 1979 (Article 5190.6, Vernon's 7-23 Texas Civil Statutes), and the power to own, operate, acquire, 7-24 construct, lease, improve, and maintain projects; 7-25 (4) the power to impose ad valorem taxes, assessments, 7-26 or impact fees in accordance with Chapter 375 to provide 7-27 improvements and services for a project or activity the district is 8-1 authorized to acquire, construct, improve, or provide under this 8-2 subchapter; and 8-3 (5) the power to correct, add to, or delete 8-4 assessments from its assessment rolls after notice and hearing as 8-5 provided by Subchapter F, Chapter 375. 8-6 Sec. 376.462. EMINENT DOMAIN. The district may not 8-7 exercise the power of eminent domain. 8-8 Sec. 376.463. EXPENSES AND LIABILITY FOR CERTAIN ACTIONS 8-9 AFFECTING PROPERTY. (a) If the district, in exercising a power 8-10 conferred by this subchapter, requires a relocation, adjustment, 8-11 raising, lowering, rerouting, or changing of the grade or the 8-12 construction of any of the following items, the district must take 8-13 that required action at the sole expense of the district: 8-14 (1) a street, alley, highway, overpass, underpass, 8-15 road, railroad track, bridge, facility, or other property; 8-16 (2) an electric line, conduit, facility, or other 8-17 property; 8-18 (3) a telephone or telegraph line, conduit, facility, 8-19 or other property; 8-20 (4) a gas transmission or distribution pipe, pipeline, 8-21 main, facility, or other property; 8-22 (5) a water, sanitary sewer, or storm sewer pipe, 8-23 pipeline, main, facility, or other property; 8-24 (6) a cable television line, cable, conduit, facility, 8-25 or other property; or 8-26 (7) another pipeline, facility, or other property 8-27 relating to the pipeline. 9-1 (b) The district shall bear damages that are suffered by 9-2 owners of the facility or other property. 9-3 Sec. 376.464. RELATION TO OTHER LAW. If any provision of 9-4 general law, including a law referenced in this subchapter, is in 9-5 conflict with or is inconsistent with this subchapter, this 9-6 subchapter prevails. Any law referenced in this subchapter that is 9-7 not in conflict or inconsistent with this subchapter is adopted and 9-8 incorporated by reference. 9-9 Sec. 376.465. REQUIREMENTS FOR FINANCING SERVICES AND 9-10 IMPROVEMENTS. The board may not finance services and improvement 9-11 projects under this subchapter unless a written petition requesting 9-12 those improvements or services has been filed with the board. The 9-13 petition must be signed by: 9-14 (1) the owners of a majority of the assessed value of 9-15 real property in the district as determined by the most recent 9-16 certified county property tax rolls; or 9-17 (2) at least 50 persons who own land in the district, 9-18 if there are more than 50 persons who own property in the district 9-19 as determined by the most recent certified county property tax 9-20 rolls. 9-21 Sec. 376.466. NONPROFIT CORPORATION. (a) The board by 9-22 resolution may authorize the creation of a nonprofit corporation to 9-23 assist and act on behalf of the district in implementing a project 9-24 or providing a service authorized by this subchapter. 9-25 (b) The board shall appoint the board of directors of a 9-26 nonprofit corporation created under this section. The board of 9-27 directors of the nonprofit corporation shall serve in the same 10-1 manner as, for the same term as, and on the conditions of the board 10-2 of directors of a local government corporation created under 10-3 Chapter 431, Transportation Code. 10-4 (c) A nonprofit corporation created under this section has 10-5 the powers of and is considered for purposes of this subchapter to 10-6 be a local government corporation created under Chapter 431, 10-7 Transportation Code. 10-8 (d) A nonprofit corporation created under this section may 10-9 implement any project and provide any services authorized by this 10-10 subchapter. 10-11 Sec. 376.467. DISBURSEMENTS OR TRANSFERS OF FUNDS. The 10-12 board by resolution shall establish the number of directors' 10-13 signatures and the procedure required for a disbursement or 10-14 transfer of the district's money. 10-15 Sec. 376.468. BONDS. (a) The district may issue bonds or 10-16 other obligations payable in whole or in part from ad valorem 10-17 taxes, assessments, impact fees, revenues, grants, or other money 10-18 of the district, or any combination of those sources of money, to 10-19 pay for any authorized purpose of the district. 10-20 (b) Bonds or other obligations of the district may be issued 10-21 in the form of bonds, notes, certificates of participation, 10-22 including other instruments evidencing a proportionate interest in 10-23 payments to be made by the district, or other obligations that are 10-24 issued in the exercise of the district's borrowing power and may be 10-25 issued in bearer or registered form or not represented by an 10-26 instrument but the transfer of which is registered on books 10-27 maintained by or on behalf of the district. 11-1 (c) Except as provided by Subsection (d), the district must 11-2 obtain the municipality's approval of: 11-3 (1) the issuance of bonds for an improvement project; 11-4 (2) the plans and specifications of the improvement 11-5 project to be financed by the bonds; and 11-6 (3) the plans and specifications of a district 11-7 improvement project related to: 11-8 (A) the use of land owned by the municipality; 11-9 (B) an easement granted by the municipality; or 11-10 (C) a right-of-way of a street, road, or 11-11 highway. 11-12 (d) If the district obtains the municipality's approval of a 11-13 capital improvements budget for a specified period not to exceed 11-14 five years, the district may finance the capital improvements and 11-15 issue bonds specified in the budget without further municipal 11-16 approval. 11-17 Sec. 376.469. ASSESSMENTS. (a) The board may impose and 11-18 collect an assessment under Subchapter F, Chapter 375, for any 11-19 purpose authorized by this subchapter or Chapter 375. 11-20 (b) Assessments, reassessments, or assessments resulting 11-21 from an addition to or correction of the assessment roll by the 11-22 district, penalties and interest on an assessment or reassessment, 11-23 expenses of collection, and reasonable attorney's fees incurred by 11-24 the district: 11-25 (1) are a first and prior lien against the property 11-26 assessed; 11-27 (2) are superior to any other lien or claim other than 12-1 a lien or claim for county, school district, or municipal ad 12-2 valorem taxes; and 12-3 (3) are the personal liability of and charge against 12-4 the owners of the property even if the owners are not named in the 12-5 assessment proceedings. 12-6 (c) The lien is effective from the date of the resolution of 12-7 the board levying the assessment until the assessment is paid. The 12-8 board may enforce the lien in the same manner that the board may 12-9 enforce an ad valorem tax lien against real property. 12-10 Sec. 376.470. PROPERTY EXEMPTED FROM TAX, FEE, OR 12-11 ASSESSMENT. (a) The district may not impose a tax, impact fee, or 12-12 assessment on a residential property, multiunit residential 12-13 property, or condominium. 12-14 (b) The district may not impose an impact fee or assessment 12-15 on the property, equipment, or facilities of a utility. 12-16 Sec. 376.471. ELECTIONS. (a) In addition to the elections 12-17 the district must hold under Subchapter L, Chapter 375, the 12-18 district shall hold an election in the manner provided by that 12-19 subchapter to obtain voter approval before the district imposes a 12-20 maintenance tax or issues bonds payable from ad valorem taxes or 12-21 assessments. 12-22 (b) The board may submit multiple purposes in a single 12-23 proposition at an election. 12-24 Sec. 376.472. IMPACT FEES. The district may impose an 12-25 impact fee for an authorized purpose as provided by Subchapter G, 12-26 Chapter 375. 12-27 Sec. 376.473. MAINTENANCE TAX. (a) If authorized at an 13-1 election held in accordance with Section 376.471, the district may 13-2 impose and collect an annual ad valorem tax on taxable property in 13-3 the district for the maintenance and operation of the district and 13-4 the improvements constructed or acquired by the district or for the 13-5 provision of services. 13-6 (b) The board shall determine the tax rate. 13-7 Sec. 376.474. DISSOLUTION OF DISTRICT. The district may 13-8 dissolve as provided by Subchapter M, Chapter 375. If the district 13-9 has debt and is dissolved, the district shall remain in existence 13-10 solely for the limited purpose of discharging its bonds or other 13-11 obligations according to their terms. 13-12 Sec. 376.475. CONTRACTS. (a) To protect the public 13-13 interest, the district may contract with the municipality or the 13-14 county for the municipality or county to provide law enforcement 13-15 services in the district for a fee. 13-16 (b) The municipality, the county, or another political 13-17 subdivision of the state, without further authorization, may 13-18 contract with the district to implement a project of the district 13-19 or assist the district in providing the services authorized under 13-20 this subchapter. A contract under this subsection may: 13-21 (1) be for a period on which the parties agree; 13-22 (2) include terms on which the parties agree; 13-23 (3) be payable from taxes or any other sources of 13-24 revenue that may be available for that purpose; or 13-25 (4) provide that taxes or other revenue collected at a 13-26 district project or from a person using or purchasing a commodity 13-27 or service at a district project may be paid or rebated to the 14-1 district under the terms of the contract. 14-2 (c) The district may enter into a contract, lease, or other 14-3 agreement with or make or accept grants and loans to or from: 14-4 (1) the United States; 14-5 (2) the state or a state agency; 14-6 (3) a county, a municipality, or another political 14-7 subdivision of the state; 14-8 (4) a public or private corporation, including a 14-9 nonprofit corporation created by the board under this subchapter; 14-10 or 14-11 (5) any other person. 14-12 (d) The district may perform all acts necessary for the full 14-13 exercise of the powers vested in the district on terms and for the 14-14 period the board determines advisable. 14-15 Sec. 376.476. INITIAL DIRECTORS. (a) The initial board 14-16 consists of the following persons: 14-17 Pos. No. Name of Director 14-18 1 Jeanette Rash 14-19 2 Lisa Cabral 14-20 3 Rodrigo Gonzalez 14-21 4 Toy Brando Halsey 14-22 5 Dr. John Perez 14-23 6 Leticia Elias 14-24 7 Sam Treynor 14-25 8 Candy Perez 14-26 9 Dr. San Juanita Garza 14-27 10 Jesse Tanner 15-1 11 Frumencio Reyes 15-2 (b) Of the initial directors, the terms of directors 15-3 appointed for positions 1 through 5 expire on June 1, 2003, and the 15-4 terms of directors appointed for positions 6 through 11 expire on 15-5 June 1, 2005. 15-6 (c) Section 376.460(a) does not apply to this section. 15-7 (d) This section expires September 1, 2006. 15-8 SECTION 2. The legislature finds that: 15-9 (1) proper and legal notice of the intention to 15-10 introduce this Act, setting forth the general substance of this 15-11 Act, has been published as provided by law, and the notice and a 15-12 copy of this Act have been furnished to all persons, agencies, 15-13 officials, or entities to which they are required to be furnished 15-14 by the constitution and laws of this state, including the governor, 15-15 who has submitted the notice and Act to the Texas Natural Resource 15-16 Conservation Commission; 15-17 (2) the Texas Natural Resource Conservation Commission 15-18 has filed its recommendations relating to this Act with the 15-19 governor, lieutenant governor, and speaker of the house of 15-20 representatives within the required time; 15-21 (3) the general law relating to consent by political 15-22 subdivisions to the creation of districts with conservation, 15-23 reclamation, and road powers and the inclusion of land in those 15-24 districts has been complied with; and 15-25 (4) all requirements of the constitution and laws of 15-26 this state and the rules and procedures of the legislature with 15-27 respect to the notice, introduction, and passage of this Act have 16-1 been fulfilled and accomplished. 16-2 SECTION 3. This Act takes effect immediately if it receives 16-3 a vote of two-thirds of all the members elected to each house, as 16-4 provided by Section 39, Article III, Texas Constitution. If this 16-5 Act does not receive the vote necessary for immediate effect, this 16-6 Act takes effect September 1, 2001. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 3634 was passed by the House on April 27, 2001, by the following vote: Yeas 143, Nays 0, 2 present, not voting. _______________________________ Chief Clerk of the House I certify that H.B. No. 3634 was passed by the Senate on May 23, 2001, by the following vote: Yeas 30, Nays 0, 1 present, not voting. _______________________________ Secretary of the Senate APPROVED: __________________________ Date __________________________ Governor