By Glaze H.B. No. 3647 77R6963 ATP-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the creation of the Smith County Economic Development 1-3 District; providing the 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. Subtitle B, Title 12, Local Government Code, is 1-6 amended by adding Chapter 385 to read as follows: 1-7 CHAPTER 385. SMITH COUNTY ECONOMIC DEVELOPMENT DISTRICT 1-8 SUBCHAPTER A. GENERAL PROVISIONS 1-9 Sec. 385.001. CREATION OF DISTRICT; LEGISLATIVE DECLARATION. 1-10 (a) Notwithstanding any law relating to consent by political 1-11 subdivisions to the creation of conservation and reclamation 1-12 districts and the inclusion of land in those districts, the Smith 1-13 County Economic Development District is created as a special 1-14 district under Section 59, Article XVI, Texas Constitution. 1-15 (b) The district is a unit of government for purposes of 1-16 Chapter 101, Civil Practice and Remedies Code (Texas Tort Claims 1-17 Act), and operations of the district are considered to be essential 1-18 governmental functions and not proprietary functions for all 1-19 purposes, including the application of the Texas Tort Claims Act. 1-20 (c) The board by resolution may change the district's name. 1-21 (d) The creation of the district is essential to the 1-22 accomplishment of the purposes of Section 52, Article III, and 1-23 Section 59, Article XVI, Texas Constitution, and to the 1-24 accomplishment of the public purposes stated in this chapter. 2-1 (e) The district is necessary to promote, develop, 2-2 encourage, and maintain employment, commerce, economic development, 2-3 and public welfare in the Smith County Economic Development 2-4 District. The creation of the district and this chapter are not to 2-5 be interpreted to relieve Smith County or any other political 2-6 subdivision from providing the level of services as of the 2-7 effective date of this chapter, to the area included in the 2-8 district or to release the county or political subdivision from its 2-9 obligations to provide services to that area. The district is 2-10 created to supplement and not supplant such services in the area 2-11 included within the district. 2-12 (f) Except as otherwise provided by this chapter, the 2-13 district is not subject to the jurisdiction or supervision of the 2-14 commission under Chapter 49, Water Code, or other law. 2-15 Sec. 385.002. DEFINITIONS. In this chapter: 2-16 (1) "Board" means the board of directors of the 2-17 district. 2-18 (2) "Commission" means the Texas Natural Resource 2-19 Conservation Commission. 2-20 (3) "District" means the Smith County Economic 2-21 Development District. 2-22 (4) "Improvement project" means any program or project 2-23 authorized by this chapter, inside or outside the district, that is 2-24 necessary to accomplish the public purposes of the district. 2-25 Sec. 385.003. BOUNDARIES. The district includes all of the 2-26 territory contained within the tracts of land described as follows: 2-27 Tract I 3-1 72.149 acres 3-2 All that certain tract or parcel of land situated in the A. J. 3-3 Lagrone Survey, Abstract 571, the David Barclay Survey, Abstract 3-4 91, and the Isaac Read Survey, Abstract 813, Smith County, Texas, 3-5 being out of and a part of the remainder of that certain 40.05 acre 3-6 First Tract and 44.88 acre Second Tract described in a Warranty 3-7 Deed from Ann Clyde (Clinkscales) McCombs to Betty Ruth Yancy et 3-8 vir Bobby Joe Yancy, dated May 27, 1992, and recorded in Volume 3-9 3238, Page 330 of the Land Records of Smith County, Texas, and 3-10 being more particularly described by metes and bounds as follows: 3-11 BEGINNING at a 1/2" iron rod found for the southwest corner of the 3-12 herein described tract, same being the point of intersection of the 3-13 west line of said 44.88 acre tract with the north right-of-way line 3-14 of Interstate Highway 20; a concrete monument found for reference 3-15 bears South 80 26'29" East, 40.46 feet; 3-16 THENCE, North 05 38'10" East, with the west line of said 44.88 acre 3-17 tract, same being the east line of that certain 25.555 acre Tract 3-18 One described in a Warranty Deed in Cancellation of Debt from 3-19 Featherston, Inc. to Black Stone Paving, Inc. and recorded in 3-20 Volume 3684, Page 800 of said Land Records, and generally with a 3-21 barbed wire fence, a distance of 1375.02 feet to a 1/2" iron rod 3-22 set for the northeast corner of said 25.555 acre tract, same being 3-23 the northeast corner of that certain tract described in a Special 3-24 Warranty Deed to Elbert Carroll Hooper et ux Rose Marie Hooper, of 3-25 record in Volume 1336, Page 174 of the Deed Records of Smith 3-26 County, same being in the south right-of-way line of U.S. Highway 3-27 271; 4-1 THENCE, North 68 19'10" East with said south right-of-way line of 4-2 U.S. Highway 271, a distance of 54.37 feet to a concrete 4-3 right-of-way monument found for an angle point in same; 4-4 THENCE, North 68 23'11" East, continuing with said south 4-5 right-of-way line of U.S. Highway 271, a distance of 800.26 feet to 4-6 a concrete right-of-way monument found for an angle point in same; 4-7 THENCE, North 65 30'49" East, continuing with said south 4-8 right-of-way line of U.S. Highway 271, a distance of 200.18 feet to 4-9 a concrete right-of-way monument found for an angle point in same; 4-10 THENCE, North 68 21'49" East, continuing with said south 4-11 right-of-way line of U.S. Highway 271, a distance of 956.63 feet to 4-12 a 1/2" iron pipe found for the northern northeast corner of the 4-13 herein described tract, same being the point of intersection of the 4-14 northern northeast line of said 40.05 acre tract with said south 4-15 right-of-way line; a concrete right-of-way monument found for 4-16 reference bears North 68 21'49" East, 142.48 feet; 4-17 THENCE, South 19 55'00" East, a distance of 217.20 feet to a 1/2" 4-18 iron rod set for the northern interior corner of said 40.05 acre 4-19 tract; 4-20 THENCE North 84 34'00" East, a distance of 117.56 feet to a 2" iron 4-21 rod found for the southern northeast corner of the herein described 4-22 tract, same being the point of intersection of the southern 4-23 northeast line of said 40.05 acre tract with the west right-of-way 4-24 line of FM Highway 757; 4-25 THENCE, South 20 11'34" West, with said west right-of-way line of 4-26 FM Highway 757, a distance of 608.33 feet to a 1/2" iron rod set 4-27 for the point of curvature and the beginning of a curve to the left 5-1 having a radius of 2,904.79 feet; 5-2 THENCE, continuing with said West right-of-way line of FM Highway 5-3 757, and along said curve to the left having a radius of 2,904.79 5-4 feet, a central angle of 05 49'43", and a chord bearing and 5-5 distance of South 17 16'43" West, 295.38 feet, an arc length of 5-6 259.50 feet to a 1/2" iron rod set for the end of said curve and 5-7 the point of tangency; 5-8 THENCE, South 14 21'51" West, continuing with said west 5-9 right-of-way line of FM Highway 757 a distance of 549.28 feet to a 5-10 1/2" iron rod set a corner in the north right-of-way line of said 5-11 Interstate Highway 20; 5-12 THENCE, North 75 52'30" West, with said north right-of-way line of 5-13 Interstate Highway 20 a distance of 10.00 feet to a concrete 5-14 right-of-way monument found for a corner of same; 5-15 THENCE, South 14 31'05 West, continuing with said north 5-16 right-of-way line of Interstate Highway 20, a distance of 457.36 5-17 feet to a concrete right-of-way monument found for a corner of 5-18 same; 5-19 THENCE, North 75 07'02" West, continuing with said north 5-20 right-of-way line of Interstate Highway 20, a distance of 202.01 5-21 feet to a concrete right-of-way monument found for a corner of 5-22 same; 5-23 THENCE, South 62 34'10" West, continuing with said north 5-24 right-of-way line of Interstate Highway 20, a distance of 518.96 5-25 feet to a concrete right-of-way monument found for a corner of 5-26 same; 5-27 THENCE, South 87 33'33" West, continuing with said north 6-1 right-of-way line of Interstate Highway 20, a distance of 369.53 6-2 feet to a concrete right-of-way monument found for a corner of 6-3 same; 6-4 THENCE, North 80 26'29" West, continuing with said north 6-5 right-of-way line of Interstate Highway 20, at 576.73 feet pass 6-6 said concrete right-of-way monument found for reference, and 6-7 continuing in all a total distance of 617.19 feet to the POINT OF 6-8 BEGINNING and containing 72.149 acres of land. 6-9 Tract II 6-10 19.806 acres 6-11 All that certain tract or parcel of land situated in the Asa Wright 6-12 Survey, Abstract 1037, the David Barclay Survey, Abstract 91, and 6-13 the Isaac Read Survey, Abstract 813, Smith County, Texas, being out 6-14 of and a part of the remainder of that certain 25.555 acre Tract 6-15 One described in a Warranty Deed in Cancellation of Debt from 6-16 Featherston, Inc. to Black Stone Paving, Inc., dated June 1, 1995, 6-17 and recorded in Volume 3684, Page 800 of the Land Records of Smith 6-18 County, Texas, and being more particularly described by metes and 6-19 bounds as follows: 6-20 BEGINNING at a 1/2" iron rod found for the southeast corner of said 6-21 25.555 acre tract, same being in the north right-of-way line of 6-22 Interstate Highway 20; a concrete monument found for reference 6-23 bears South 80 26'29" East, 40.46 feet; 6-24 THENCE, North 66 15'00" West, with the south line of said 25.555 6-25 acre tract, same being said north right-of-way line of Interstate 6-26 Highway 20 (and the bearing basis of this survey as related to the 6-27 record bearing), a distance of 1,223.37 feet to a 1/2" iron rod 7-1 found for the southeast corner of that certain 3.000 acre tract 7-2 described in a deed to Exstar Development Inc., of record in Volume 7-3 3989, Page 568 of the Official Public Records of Smith County, 7-4 Texas, same being the southwest corner of the herein described 7-5 tract; 7-6 THENCE, North 28 35'30" East, with the southeast line of said 3000 7-7 acre tract, a distance of 395.10 feet to a 1/2" iron rod found for 7-8 a corner of same; 7-9 THENCE, North 21 30'45" West, a distance of 100.03 feet to a 1/2" 7-10 iron rod found for the northwest corner of the herein described 7-11 tract, same being in the north line of said 25.555 acre tract, same 7-12 being in the south right-of-way line of U.S. Highway 271; 7-13 THENCE, N 68 28'07" East, with the north line of said 25.555 acre 7-14 tract, same being said south right-of-way line of U.S. Highway 271, 7-15 a distance of 924.26 feet to a 1/2" iron rod found for the 7-16 northwest corner of that certain tract described in a Special 7-17 Warranty Deed to Elbert Carroll Hooper et ux Rose Marie Hooper, of 7-18 record in volume 1336, Page 174 of the Deed Records of Smith 7-19 County, Texas, same being the northern Northeast corner of the 7-20 herein described tract; 7-21 Thence South 05 27'10" West, a distance of 504.24 feet to a 1/2" 7-22 iron rod set for the southwest corner of said Hooper tract; 7-23 Thence, South 84 21'50" East, a distance of 230.40 feet to a 1/2" 7-24 iron rod set for the southeast corner of said Hooper tract, same 7-25 being the southern northeast corner of the hererin described tract; 7-26 same being in the east line of said 25.555 acre tract; 7-27 Thence, South 05 38'10" West, with the east line of said 25.555 8-1 acre tract, a distance of 750.95 feet to the POINT OF BEGINNING and 8-2 containing 19.806 acres of land. 8-3 Tract III 8-4 3.000 acres 8-5 All that certain tract or parcel of land situated in the Asa Wright 8-6 Survey, Abstract 1037, and the Isaac D. Read Survey, Abstract 813, 8-7 Smith County, Texas, being all of that certain called 2.500 acre 8-8 Tract One described in a Warranty Deed from Black Stone Paving, 8-9 Inc., to John Pollard, Jr., dated June 1, 1995, and recorded in 8-10 Volume 3684, Page 809 of the Land Records of Smith County, Texas, 8-11 and being out of and a part of the remainder of that certain 25.555 8-12 acre Tract One described in a Warranty deed in Cancellation of Debt 8-13 from Featherston, Inc. to Black Stone Paving, Inc., dated June 1, 8-14 1995, and recorded in Volume 3684, Page 800 of the Land Records of 8-15 Smith County, Texas, and being more particularly described by metes 8-16 and bounds as follows: 8-17 BEGINNING at a concrete monument found for the southwest corner of 8-18 said 2.500 acre tract, same being the point of intersection of the 8-19 north right-of-way line of Interstate Highway 20 with the southeast 8-20 right-of-way line of U.S. Highway 271; 8-21 THENCE, North 53 35'37" East, with said southeast right-of-way line 8-22 of U.S. Highway 271, a distance of 163.34 feet to a 1/2" iron rod 8-23 set for a corner of said 2.500 acre tract; 8-24 THENCE, North 72 39'34" East, continuing with said southeast 8-25 right-of-way line of U.S. Highway 271, a distance of 200.50 feet to 8-26 a 1/2" iron rod found for a corner of said 2.500 acre tract; 8-27 THENCE, North 68 28'53" East, continuing with said southeast 9-1 right-of-way line of U.S. Highway 271, a distance of 268.34 feet to 9-2 a 1/2" iron rod set for the northwest corner of said 2.500 acre 9-3 tract; 9-4 THENCE, South 21 30'45" East, a distance of 100.03 feet to a 1/2" 9-5 iron rod found for the northeast corner of said 2.500 acre tract; 9-6 Thence 28 35'30" West, a distance of 395.10 feet to a 1/2" iron rod 9-7 found for the southeast corner of the herein described tract, same 9-8 being in the south line of said 25.555 acre tract, same being in 9-9 said north right-of-way line of Interstate Highway 20; 9-10 Thence 66 15'00" West, with the South line of said 25.555 acre 9-11 tract, same being said North right-of-way line of Interstate 9-12 Highway 20 (and the bearing basis of this survey as related to the 9-13 record bearing), at 109.61 feet pass a 1/2" iron rod found for the 9-14 southeast corner of said 2.500 acre tract, and continuing in all a 9-15 total distance of 458.96 feet to the POINT OF BEGINNING and 9-16 containing 3.000 acres of land. 9-17 Tract IV 9-18 1.044 acres 9-19 All that certain tract or parcel of land situated in the A. J. 9-20 Lagrone Survey, Abstract 571, Smith County, Texas, being out of and 9-21 a part of that certain called 1.220 acre tract described in a 9-22 Warranty Deed with Vendor's Lien from J. G. Andrews to Herman L. 9-23 Stevenson et ux Dorothy Stevenson, dated December 10, 1968, 9-24 recorded in Volume 1286, Page 357 of the Deed Records of Smith 9-25 County, Texas, and being more particularly described by metes and 9-26 bounds as follows: 9-27 BEGINNING at a 1/2" iron pipe found for the northwest corner of 10-1 said 1.220 acre tract, same being in the south right-of-way line of 10-2 U.S. Highway 271; 10-3 THENCE, North 68 21'49" east, with said south right-of-way line of 10-4 U.S. Highway 271, a distance of 142.48 feet to a concrete 10-5 right-of-way monument found for an angle point in same, same being 10-6 a north corner of said 1.220 acre tract; 10-7 THENCE, South 76 09'34" East, continuing with said south 10-8 right-of-way line of U.S. Highway 271, a distance of 136.59 feet to 10-9 a concrete right-of-way monument found for a corner in the 10-10 northeast line of said 1.220 acre tract, same being in the west 10-11 right-of-way line of F.M. 757; 10-12 THENCE, South 19 10'20" West, with said west right-of-way line of 10-13 F.M. 757, a distance of 225.44 feet to a 2" iron rod found for the 10-14 southeast corner of the herein described tract, same being in the 10-15 southern northeast line of that certain 40.05 acre First Tract 10-16 described in a Warranty Deed from Ann Clyde (Clinkscales) McCombs 10-17 to Betty Ruth Yancy et vir Bobby Joe Yancy, dated May 27, 1992, and 10-18 recorded in Volume 3238, Page 330 of the Land Records of Smith 10-19 County, Texas; 10-20 THENCE, South 84 34'00" West, with said southern northeast line of 10-21 said 40.05 acre tract, a distance of 117.56 feet to a 1/2" iron rod 10-22 set for the northern interior corner of same; 10-23 THENCE, North 19 55'00" West, with the northern northeast line of 10-24 said 40.05 acre tract, a distance of 217.20 feet to the POINT OF 10-25 BEGINNING and containing 1.044 acres of land. 10-26 Tract V 10-27 10.394 acres 11-1 All of that certain parcel or tract of land located in the David 11-2 Barclay Survey, Abstract No. 91 and the Aston Shafner Survey, 11-3 Abstract No. 868, Smith County, Texas, and being part of that 11-4 certain 26.9 acre tract conveyed to James T. Kyles by Gerald W. 11-5 Kyles on October 13, 1964, and recorded in Volume 1133, Page 19 of 11-6 the Deed Records of Smith County, Texas, and being more completely 11-7 described as follows, to-wit: 11-8 BEGINNING at a 1/2" iron rod for corner, being at the intersection 11-9 of the East line of the above mentioned 26.9 acre tract and the 11-10 North right-of-way line of Interstate Highway 20; 11-11 THENCE in a Northwesterly direction, with the North right-of-way 11-12 line of the said Interstate Highway 20, as follows: North 87 29' 11-13 West 93.87 feet to a right-of-way monument; North 64 11' West 11-14 380.79 feet to a right-of-way monument; North 40 30' West 368.61 11-15 feet to a right-of-way monument; and North 73 44' West at 57.49 11-16 feet to a right-of-way monument; 11-17 THENCE North 14 39' East, a distance of 375.74 feet to a 1/2" iron 11-18 rod for corner, being at the intersection of the East right-of-way 11-19 line of FM Highway 757 and the South right-of-way line of FM 11-20 Highway No. 1252; 11-21 THENCE in an Easterly Direction, with the South right-of-way line 11-22 of FM Highway No. 1252 as follows: South 75 44' East 50.51 feet; 11-23 South 81 18' East 138.22 feet; South 88 34' East 120.49 feet; 11-24 North 84 12' East 118.61 feet; North 76 26' East 121.38 feet; and 11-25 North 71 37' East 107.38 feet to a 1" iron rod for corner, being 11-26 in the East line of the above mentioned 26.9 acre tract; 11-27 THENCE South 00 31' West, with the East line of the 26.9 acre 12-1 tract, a distance of 867.87 feet to the place of beginning, 12-2 containing 10.394 acres of land. 12-3 Tract VI 12-4 3.226 acres 12-5 All of that certain parcel or tract of land located in the David 12-6 Barclay Survey, Abstract No. 91 and the Aston Shafner Survey, 12-7 Abstract No. 868, Smith County, Texas, and being part of that 12-8 certain 26.9 acre tract conveyed to James T. Kyles by Gerald W. 12-9 Kyles on October 13, 1964, and recorded in Volume 1133, Page 19 of 12-10 the Deed Records of Smith County, Texas, and being more completely 12-11 described as follows, to-wit: 12-12 BEGINNING at a 1/2" iron rod for corner, being at the intersection 12-13 of the East line of the above mentioned 26.9 acre tract and the 12-14 South right-of-way line of Interstate Highway 20; 12-15 THENCE South 00 31' West, with the East line of the 26.9 acre 12-16 tract, a distance of 358.82 feet to a strap iron for corner, being 12-17 the southeast corner of the 26.9 acre tract; 12-18 Thence North 89 30' West, with the South line of the 26.9 acre 12-19 tract, a distance of 314.60 feet to a 1/2" iron rod for corner, 12-20 being in the center of a creek, also being the Southerly Southwest 12-21 corner of the 26.9 acre tract; 12-22 THENCE North 30 37' West, with the center of said creek, a 12-23 distance of 252.78 feet to a point for corner in the center of said 12-24 creek; 12-25 THENCE North 45 51' West, a distance of 52.88 feet to a 1/2" iron 12-26 rod for corner; said corner being in the South right-of-way line of 12-27 Interstate Highway 20; 13-1 THENCE North 63 42' East, with the South line of said Interstate 13-2 Highway 20, a distance of 254.85 feet to a right of way monument; 13-3 THENCE South 87 29' East, continuing with the South right-of-way 13-4 line of said Interstate Highway 20, a distance of 256.27 feet to 13-5 the place of beginning, containing 3.226 acres of land. 13-6 Tract VII 13-7 2.996 acres 13-8 All that certain tract or parcel of land situated in the Isaac D. 13-9 Read Survey, Abstract 813, and the David Barclay Survey, Abstract 13-10 91, Smith County, Texas, being all of that certain tract described 13-11 in a Special Warranty Deed to Elbert Carroll Hooper et ux Rose 13-12 Marie Hooper, of record in Volume 1336, Page 174 of the Deed 13-13 Records of Smith County, Texas, and being more particularly 13-14 described by metes and bounds as follows: 13-15 BEGINNING at a 1/2" iron rod found for the northwest corner of said 13-16 Hooper tract, same being in the South right-of-way line of U.S. 13-17 Highway 271; 13-18 THENCE, North 68 19'10" East, with said South right-of-way line of 13-19 U.S. Highway 271, a distance of 261.13 feet to a 1/2" iron rod set 13-20 for the northeast corner of said Hooper tract; 13-21 THENCE, South 05 38'10" West, a distance of 624.07 feet to a 1/2" 13-22 iron rod set for the southeast corner of said Hooper tract; 13-23 THENCE, North 84 21'50" West, a distance of 230.40 feet to a 1/2" 13-24 iron rod set for the southwest corner of said Hooper tract; 13-25 THENCE, North 05 27'10" East, with the West line of said Hooper 13-26 tract, a distance of 504.24 feet to the POINT OF BEGINNING and 13-27 containing 2.996 acres of land. 14-1 Tract VIII 14-2 16.130 acres 14-3 All that certain tract or parcel of land, being 16.130 acres 14-4 situated in the Acton Shofner Survey, Abstract No. 868, Smith 14-5 County, Texas, being part of that certain called 26.93 acre tract 14-6 described in a Quitclaim Deed from James O. Kay to Buryl C. Kay, 14-7 dated July 24, 1996, recorded in Volume 3840, Page 474 of the Land 14-8 Records of Smith County, Texas, said 16.130 acres being more 14-9 completely described as follows, to-wit: 14-10 Bearings are based on the monumented East line of tracts one and 14-11 two described in a deed to Jay T. Gordon et al, recorded in Volume 14-12 4723, Page 277. 14-13 BEGINNING at the Northwest corner of the above mentioned Buryl C. 14-14 Kay tract, being near the center of the paved surface of FM Highway 14-15 1252 (also known as the Tyler-Thunderstruck Road), a 1" iron rod 14-16 (found for a reference) bears South 00 31'00" West, 42.06 feet, 14-17 said 1" iron rod being the Northeast corner of the Jay T. Gordon et 14-18 al Tract One (called 10.394 acres) recorded in Volume 4723, Page 14-19 277; 14-20 THENCE North 71 11'57" East, generally along the center of the 14-21 paved surface of said FM Highway 1252 and with the North line of 14-22 said Kay tract, a distance of 720.51 feet to the Northeast corner 14-23 of same, a Sucker rod (found for reference) bears South 00 55'54" 14-24 West, 42.74 feet, said Sucker rod being the Northwest corner of the 14-25 CBLS Family Trust called 1.952 acre tract recorded in Volume 3985, 14-26 Page 161; 14-27 THENCE South 00 55'54" West, with the East line of said Kay tract, 15-1 with the West line of said CBLS Family Trust Tract, with the West 15-2 Line of the Randall L. McIntyre, et ux, called 16.1013 acre tract 15-3 recorded in Volume 3500, Page 531 and with the West line of the 15-4 American Fidelity Savings Association called 0.786 of an acre 15-5 recorded in Volume 2893, Page 433, a total distance of 1171.51 feet 15-6 to a 1" iron pipe (found) for the Southwest corner of said 0.786 of 15-7 an acre tract, being in the North line of Interstate Highway 20; 15-8 THENCE North 87 28'34" West with the North line of said Interstate 15-9 Highway 20, a distance of 671.86 feet to a 1/2" iron rod (found) in 15-10 the West line of the above mentioned Buryl C. Kay tract, being the 15-11 Southeast corner of the above mentioned Jay T. Gordon et al Tract 15-12 One; 15-13 THENCE North 00 31'00" East, with the West line of the Kay tract, 15-14 same being the East line of said Jay T. Gordon, et al, tract, a 15-15 distance of 909.60 feet to THE PLACE OF BEGINNING, containing 15-16 16.130 acres of land, of which, 0.88 of an acre is within the 15-17 right-of-way of the above mentioned FM Highway 1252. 15-18 Sec. 385.004. FINDINGS RELATED TO BOUNDARIES. The 15-19 legislature finds that the boundaries and field notes of the 15-20 district form a closure. A mistake in the field notes or in copying 15-21 the field notes in the legislative process does not affect the 15-22 organization, existence, or validity of the district, the right of 15-23 the district to enter into any type of contract for the purposes 15-24 for which the district is created, the right of the district to 15-25 impose, assess, or collect taxes, fees, or charges, or the 15-26 operation of the district or its governing body. 15-27 Sec. 385.005. FINDING OF BENEFIT AND PUBLIC PURPOSE. (a) 16-1 All of the land and other property included within the boundaries 16-2 of the district will be benefited by the works, projects, 16-3 improvements, and services that are to be accomplished by the 16-4 district under powers conferred by Section 52, Article III, and 16-5 Section 59, Article XVI, Texas Constitution, and other powers 16-6 granted under this chapter. The district is created to serve a 16-7 public use and benefit. 16-8 (b) The creation of the district: 16-9 (1) is essential to further the public purposes of the 16-10 economic development and diversification of the state, the 16-11 elimination of unemployment and underemployment, and the 16-12 stimulation and development of transportation and commerce; 16-13 (2) is in the public interest; and 16-14 (3) will promote the health, safety, and general 16-15 welfare of residents, employers, employees, and consumers in the 16-16 district and of the general public. 16-17 (c) The district will provide needed funding for the 16-18 district area to preserve, maintain, and enhance the economic 16-19 health and vitality of the area as a community and business and 16-20 commerce center. The district will further promote the health, 16-21 safety, welfare, education, convenience, and enjoyment of the 16-22 public by improving, landscaping, and developing certain areas 16-23 within and adjacent to the district and providing public services 16-24 and facilities within and adjacent to the district that are 16-25 necessary for the restoration, preservation, enhancement, and 16-26 enjoyment of scenic and aesthetic beauty. The improvement projects 16-27 authorized by this Act are essential to carrying out a public 17-1 purpose. The district will not act as the agent or instrumentality 17-2 of any private interests, even though private interests and the 17-3 general public will benefit from the district. 17-4 Sec. 385.006. CONSTRUCTION OF CHAPTER. This chapter shall 17-5 be liberally construed in conformity with the findings and purposes 17-6 stated in this chapter. 17-7 (Sections 385.007-385.030 reserved for expansion 17-8 SUBCHAPTER B. POWERS AND DUTIES 17-9 Sec. 385.031. GENERAL POWERS AND DUTIES. (a) The district 17-10 has all of the powers and duties provided by the general law of 17-11 this state, including: 17-12 (1) Subchapter E, Chapter 375; 17-13 (2) the general laws of this state on conservation and 17-14 reclamation districts created under Section 59, Article XVI, Texas 17-15 Constitution, including Chapters 49 and 54, Water Code; and 17-16 (3) the general laws of this state on road districts 17-17 and road utility districts created under Section 52(b)(3), Article 17-18 III, Texas Constitution, including Chapter 441, Transportation 17-19 Code. 17-20 (b) If any provision of the general law is in conflict or 17-21 inconsistent with this chapter, this chapter prevails. Any general 17-22 law that supplements the power and authority of the district, to 17-23 the extent not in conflict or inconsistent with this chapter, is 17-24 adopted and incorporated by reference. 17-25 Sec. 385.032. IMPROVEMENT PROJECTS. The district may 17-26 conduct or authorize the following types of improvement projects or 17-27 activities in support of or incidental to improvement projects: 18-1 (1) the planning, design, construction, improvement, 18-2 and maintenance of: 18-3 (A) landscaping; 18-4 (B) highway right-of-way or transit corridor 18-5 beautification and improvements; 18-6 (C) lighting, banners, and signs; 18-7 (D) streets or sidewalks; 18-8 (E) hiking and cycling paths and trails, 18-9 pedestrian walkways, skywalks, crosswalks, or tunnels; 18-10 (F) parks, lakes, gardens, recreational 18-11 facilities, open space, scenic areas, and related exhibits and 18-12 preserves; 18-13 (G) fountains, plazas, and pedestrian malls; and 18-14 (H) drainage or storm water detention 18-15 improvements; 18-16 (2) the planning, design, construction, improvement, 18-17 maintenance, and operation of: 18-18 (A) solid waste, water, sewer, or power 18-19 facilities or services, including electrical, gas, steam, and 18-20 chilled water facilities; or 18-21 (B) off-street parking facilities, bus 18-22 terminals, and heliports; 18-23 (3) the planning and acquisition of: 18-24 (A) public art and sculpture and related 18-25 exhibits and facilities; and 18-26 (B) educational and cultural exhibits and 18-27 facilities; 19-1 (4) the planning, design, construction, acquisition, 19-2 lease, rental, improvement, maintenance, installation, and 19-3 management of and provision of furnishings for facilities for: 19-4 (A) conferences, conventions, or exhibitions; 19-5 (B) manufacturer, consumer, or trade shows; 19-6 (C) civic, community, or institutional events; 19-7 and 19-8 (D) exhibits, displays, attractions, special 19-9 events, and seasonal or cultural celebrations and holidays; 19-10 (5) the removal, razing, demolition, or clearing of 19-11 land or improvements in connection with any improvement project; 19-12 (6) the acquisition and improvement of land and other 19-13 property for the mitigation of the environmental effects of any 19-14 improvement project; 19-15 (7) the acquisition of real or personal property or an 19-16 interest in real or personal property in connection with an 19-17 authorized improvement project; 19-18 (8) any special or supplemental services for the 19-19 improvement and promotion of the district or the areas adjacent to 19-20 the district or for the protection of public health and safety 19-21 within or adjacent to the district, including advertising, 19-22 promotion, tourism, health and sanitation, public safety, security, 19-23 fire protection or emergency medical services, business 19-24 recruitment, development, elimination of traffic congestion, and 19-25 recreational, educational, or cultural improvements, enhancements, 19-26 and services; and 19-27 (9) any similar public improvements, facilities, or 20-1 services. 20-2 Sec. 385.033. POWERS RELATED GENERALLY TO FINANCIAL AND 20-3 TERRITORIAL MATTERS. The district may: 20-4 (1) impose, assess, and apply the proceeds from a 20-5 limited sales and use tax as authorized by Section 385.111 for 20-6 authorized purposes; 20-7 (2) borrow money for district purposes; 20-8 (3) add or exclude territory in the manner provided by 20-9 Subchapter J, Chapter 49, Water Code, as limited by Section 54.016, 20-10 Water Code, except that: 20-11 (A) for purposes of this subdivision, a 20-12 reference in Subchapter J, Chapter 49, Water Code, or Section 20-13 54.016, Water Code, to a tax means an ad valorem tax; and 20-14 (B) Section 54.016, Water Code, and Section 20-15 42.042, Local Government Code, do not apply to the district's 20-16 annexation of land restricted primarily to commercial or business 20-17 use; 20-18 (4) enter into a contract with any person for the 20-19 accomplishment of any district purpose, including a contract for: 20-20 (A) the payment, repayment, or reimbursement of 20-21 any costs incurred by that person for or on behalf of the district, 20-22 including all or part of the costs of any improvement project and 20-23 interest on the reimbursed cost; or 20-24 (B) the use, occupancy, lease, rental, 20-25 operation, maintenance, or management of all or part of a proposed 20-26 or existing improvement project; 20-27 (5) apply for and contract with any person to receive, 21-1 administer, and perform any duty or obligation of the district 21-2 under any federal, state, local, or private gift, grant, loan, 21-3 conveyance, transfer, bequest, donation, or other financial 21-4 assistance arrangement relating to the investigation, planning, 21-5 analysis, study, design, acquisition, construction, improvement, 21-6 completion, implementation, or operation by the district or others 21-7 of a proposed or existing improvement project; 21-8 (6) establish, revise, repeal, enforce, collect, and 21-9 apply the proceeds from user fees or charges for the enjoyment, 21-10 sale, rental, or other use of the district's facilities, services, 21-11 properties, or improvement projects; 21-12 (7) provide or secure the payment or repayment of the 21-13 costs and expenses of the establishment, administration, and 21-14 operation of the district and the district's costs or share of the 21-15 costs of any improvement project or district contractual obligation 21-16 or indebtedness by or through a lease, installment purchase 21-17 contract, or other agreement with any person, or the levy and 21-18 assessment of taxes, user fees, concessions, rentals, or other 21-19 revenues or resources of the district; 21-20 (8) undertake separately or jointly with other persons 21-21 all or part of the cost of an improvement project, including an 21-22 improvement project: 21-23 (A) for improving, enhancing, and supporting 21-24 public safety and security, fire protection and emergency medical 21-25 services, and law enforcement within and adjacent to the district; 21-26 or 21-27 (B) that confers a general benefit on the entire 22-1 district or a special benefit on a definable part of the district; 22-2 and 22-3 (9) impose, collect, and apply the proceeds from a 22-4 hotel occupancy tax as provided by Sections 385.112 and 385.113. 22-5 Sec. 385.034. RULES AND REGULATIONS. The district may 22-6 adopt, amend, and enforce by ordinary civil remedies reasonable 22-7 rules and regulations: 22-8 (1) for the administration and operation of the 22-9 district; 22-10 (2) for the use, enjoyment, availability, protection, 22-11 security, and maintenance of the district's properties and 22-12 facilities; and 22-13 (3) to provide for public safety and security within 22-14 the district. 22-15 Sec. 385.035. SECURITY SERVICES. The district may not 22-16 employ peace officers but may contract for off-duty peace officers 22-17 to provide public safety and security services as the board 22-18 determines necessary. 22-19 Sec. 385.036. ECONOMIC DEVELOPMENT. The district may 22-20 exercise the economic development powers and authority that Chapter 22-21 380 provides to a municipality with a population of more than 22-22 100,000, and Chapter 1509, Government Code, provides to a 22-23 municipality. 22-24 Sec. 385.037. ROADWAYS, PARKS, OTHER PUBLIC AREAS. (a) The 22-25 board by rule may regulate the private use of public roadways, open 22-26 spaces, parks, sidewalks, and similar public areas within the 22-27 district. To the extent the rules of the district conflict with a 23-1 rule, order, ordinance, or regulation of a county or municipality 23-2 with jurisdiction in the district's territory, the rule, order, 23-3 ordinance, or regulation of the county or municipality controls. 23-4 The rules may provide for the safe and orderly use of public 23-5 roadways, open spaces, parks, sidewalks, and similar public areas 23-6 or facilities. 23-7 (b) The board may require a permit for a parade, 23-8 demonstration, celebration, entertainment event, or a similar 23-9 nongovernmental activity in or on the public roadways, open spaces, 23-10 parks, sidewalks, and similar public areas or facilities. The board 23-11 may charge a fee for the permit application and for public safety 23-12 or security services in an amount the board considers necessary. 23-13 (c) The board may require a permit or franchise agreement 23-14 with a vendor, concessionaire, exhibitor, or similar private or 23-15 commercial person or organization for the limited use of the area 23-16 or facilities on terms and conditions and on payment of a permit or 23-17 franchise fee the board may impose. 23-18 Sec. 385.038. TERMS OF EMPLOYMENT; COMPENSATION. The board 23-19 may employ and establish the terms of employment and compensation 23-20 of a president, vice president, executive director, general 23-21 manager, and any other operating officer of the district the board 23-22 considers necessary. 23-23 Sec. 385.039. PROHIBITION ON EMINENT DOMAIN. The district 23-24 may not exercise the power of eminent domain. 23-25 Sec. 385.040. PROHIBITION ON IMPACT FEES AND ASSESSMENTS ON 23-26 CERTAIN RESIDENTIAL PROPERTY. Because the district is created in 23-27 an area that is devoted primarily to commercial and business 24-1 activity, the district may not impose an impact fee or assessment 24-2 on a single family residential property or a residential duplex, 24-3 triplex, quadriplex, or condominium. 24-4 (Sections 385.041-385.070 reserved for expansion 24-5 SUBCHAPTER C. BOARD OF DIRECTORS 24-6 Sec. 385.071. BOARD OF DIRECTORS. Except as provided by 24-7 this subchapter, the district is governed by a board of five 24-8 directors elected by the voters of the district at large. Except 24-9 as provided by Sections 385.073(b) and 385.074, directors serve 24-10 staggered terms of four years and until their successors have been 24-11 elected and have qualified. 24-12 Sec. 385.072. QUALIFICATIONS. To be qualified to serve as 24-13 an elected director, a person must be at least 18 years of age and 24-14 be: 24-15 (1) a resident of the district; 24-16 (2) an owner of real property in the district; 24-17 (3) an owner of at least 10 percent of the outstanding 24-18 interest of a corporation or general or limited partnership that 24-19 owns real property in the district; or 24-20 (4) an agent, employee, officer, or director of any 24-21 corporation or partnership that owns real property in the district. 24-22 Sec. 385.073. INITIAL BOARD. (a) On the effective date of 24-23 this Act, the initial board of directors is composed of the 24-24 following persons: 24-25 (1) Position One: Nanci Wright; 24-26 (2) Position Two: Gene Slater; and 24-27 (3) Position Three: Rohn Boone. 25-1 (b) The initial directors appointed to serve in Positions 25-2 One and Two shall serve until the first Saturday in May 2002, or 25-3 until their successors have been elected and been duly qualified. 25-4 The initial director appointed to serve in Position Three shall 25-5 serve until the first Saturday in May 2004, or until the successor 25-6 has been elected and been duly qualified. 25-7 Sec. 385.074. ELECTED BOARD. The board shall call and hold 25-8 an election on the first Saturday in May 2002 for the election of 25-9 directors to fill Positions One, Two, Four, and Five. Before the 25-10 election, the board shall determine which director, of the 25-11 directors serving in Positions Four and Five, shall serve a term 25-12 expiring in May 2004. The board shall call and hold an election on 25-13 the first Saturday in May 2004 to elect a director to Position 25-14 Three and elect a director to Position Four or Five, as determined 25-15 by the board. 25-16 Sec. 385.075. VACANCY. A vacancy in the office of director 25-17 shall be filled by appointment of a qualified individual by a 25-18 majority vote of the remaining directors. The board may remove a 25-19 director for misconduct or failure to carry out the director's 25-20 duties by unanimous vote of all of the remaining directors. 25-21 Sec. 385.076. DIRECTOR'S BOND. As soon as practicable after 25-22 a director is elected or appointed, the elected director shall 25-23 execute a bond for $10,000 payable to the district and conditioned 25-24 on the faithful performance of the director's duties. All of the 25-25 directors' bonds must be approved by the board. Each director 25-26 shall take the oath of office prescribed by the constitution for 25-27 public office. The bond and oath shall be filed with the district 26-1 and the district shall retain the bond and oath in its records. 26-2 Sec. 385.077. OFFICERS; COMPENSATION; QUORUM. (a) The 26-3 directors shall elect a chair, a vice chair, a secretary, and any 26-4 other officers as the board considers necessary. 26-5 (b) A position on the board may not be construed to be a 26-6 civil office of emolument for any purpose, including those purposes 26-7 described in Section 40, Article XVI, Texas Constitution. 26-8 (c) A director is not entitled to compensation for service 26-9 on the board but is entitled to be reimbursed for necessary 26-10 expenses incurred in carrying out the duties and responsibilities 26-11 of a director. 26-12 (d) Three directors constitute a quorum for the 26-13 consideration of matters pertaining to the district, and a 26-14 concurrence of a majority of a quorum of directors shall be 26-15 required for any official action of the district. 26-16 Sec. 385.078. COMMON LAW PRINCIPLES. A person who qualifies 26-17 to serve on the board is qualified to serve as a director and 26-18 participate in all votes pertaining to the business of the district 26-19 regardless of any common-law doctrine or statute regarding 26-20 conflict-of-interest, incompatibility, or similar matter to the 26-21 contrary. 26-22 Sec. 385.079. CONFIRMATION AND DIRECTORS ELECTION. (a) As 26-23 soon as practicable after all initial directors have qualified for 26-24 office, the initial directors shall hold an organizational meeting 26-25 and call a confirmation election to be held on the next available 26-26 uniform election date occurring not less than 45 days after the 26-27 date of the organizational meeting. 27-1 (b) The confirmation election shall be called and held to 27-2 confirm the establishment of the district in the manner provided by 27-3 Subchapter D, Chapter 49, Water Code. In the event a majority of 27-4 the votes cast at a confirmation election is against the creation 27-5 of the district, the board may not call another confirmation 27-6 election for six months after the date the former confirmation 27-7 election is held. Before a successful confirmation election, the 27-8 district: 27-9 (1) may not borrow money or impose or assess a tax; 27-10 and 27-11 (2) may carry on any business as the board may 27-12 determine except as provided by Subdivision (1). 27-13 (c) An election to authorize or to discontinue the 27-14 imposition and assessment of taxes may be held in conjunction with 27-15 a confirmation or director election. 27-16 (d) The district shall hold an election for directors on the 27-17 first Saturday in May in each even-numbered year in the manner 27-18 provided by Subchapter D, Chapter 49, Water Code. 27-19 Sec. 385.080. OPEN RECORDS AND MEETINGS. Chapters 551 and 27-20 552, Government Code, apply to the district. 27-21 (Sections 385.081-385.110 reserved for expansion 27-22 SUBCHAPTER D. TAXES; BONDS; CONTRACTS 27-23 Sec. 385.111. LIMITED SALES AND USE TAX. (a) Words and 27-24 phrases used in this section that are defined by Chapters 151 and 27-25 321, Tax Code, have the meanings assigned by Chapters 151 and 321, 27-26 Tax Code. 27-27 (b) Except as otherwise provided in this section, Subtitles 28-1 A and B, Title 2, Tax Code, and Chapter 151, Tax Code, apply to the 28-2 taxes and to the administration and enforcement of the taxes 28-3 imposed by the district in the same manner that those laws apply to 28-4 state taxes. 28-5 (c) The district may adopt, reduce, or repeal the limited 28-6 sales and use tax authorized by this section at an election in 28-7 which a majority of the qualified voters of the district voting in 28-8 the election approve the adoption or the abolition of the tax, as 28-9 applicable. 28-10 (d) The provisions of Subchapters C, D, E, and F, Chapter 28-11 323, Tax Code, relating to county sales and use taxes shall apply 28-12 to the application, collection, and administration of a sales and 28-13 use tax imposed under this section to the extent consistent with 28-14 this chapter, as if references in Chapter 323, Tax Code, to a 28-15 county referred to the district and references to a commissioners 28-16 court referred to the board. Sections 323.401-323.404 and 323.505, 28-17 Tax Code, do not apply to a tax imposed under this section. 28-18 (e) A tax imposed under this section or the repeal or 28-19 reduction of a tax under this section takes effect on the first day 28-20 of the calendar quarter occurring after the date on which the 28-21 comptroller receives the copy of the resolution as required by 28-22 Section 323.405(b), Tax Code. 28-23 (f) On adoption of the tax authorized by this section, there 28-24 is imposed a tax of two percent, or the maximum rate at which the 28-25 combined tax rate of all local sales and use taxes in any location 28-26 in the district does not exceed two percent, on the receipts from 28-27 the sale at retail of taxable items within the district, and an 29-1 excise tax on the use, storage, or other consumption within the 29-2 district of taxable items purchased, leased, or rented from a 29-3 retailer within the district during the period that the tax is in 29-4 effect. The rate of the excise tax is the same as the rate of the 29-5 sales tax portion of the tax and is applied to the sales price of 29-6 the taxable item. With respect to a taxable service, "use" means 29-7 the derivation in the district of direct or indirect benefit from 29-8 the service. 29-9 (g) An election to authorize, reduce, or repeal a limited 29-10 sales and use tax may be called by order of the board and must be 29-11 held on the next available uniform election date established by 29-12 Section 41.001, Election Code, that occurs 45 or more days after 29-13 the date on which the order calling the election was passed. Notice 29-14 of the election shall be given and the election shall be held and 29-15 conducted in the manner prescribed by Chapter 54, Water Code, for 29-16 bond elections for municipal utility districts. The ballots shall 29-17 be printed to provide for voting for or against the appropriate 29-18 proposition: 29-19 (1) "Adoption of a ___ percent district sales and use 29-20 tax within the district;" 29-21 (2) "Reduction of the district sales and use tax 29-22 within the district from ___ percent to ___ percent;" or 29-23 (3) "Abolition of the district sales and use tax 29-24 within the district." 29-25 (h) If all or part of the territory of the district is 29-26 annexed by a municipality that has adopted and is imposing a sales 29-27 and use tax, the sales and use tax imposed by the district in the 30-1 annexed territory shall be reduced, if required, in even multiples 30-2 of one-eighth percent, and without the necessity for an election, 30-3 so that the combined rate of all sales and use taxes imposed by the 30-4 county, the annexing municipality, and all other political 30-5 subdivisions within the annexed territory of the district will not 30-6 exceed two percent, provided that a sales and use tax previously 30-7 adopted by the district for the annexed territory shall not be 30-8 reduced to less than one-half percent, and provided further that no 30-9 reduction of the district's sales and use tax in the portions of 30-10 the district not so annexed shall be required. 30-11 (i) A tax imposed under this section or the reduction or 30-12 repeal of a tax under this section takes effect on the first day of 30-13 the calendar quarter occurring after the date on which the 30-14 comptroller receives the notice required by Section 323.405(b), Tax 30-15 Code. 30-16 (j) Not later than the 10th day after the date of the 30-17 annexation or exclusion of territory by the district or the 30-18 annexation of all or part of the territory of the district by a 30-19 municipality requiring a reduction of the district's sales and use 30-20 tax as provided by Subsection (h), the board shall send to the 30-21 comptroller, by certified or registered mail, certified copies of 30-22 all resolutions, orders, or ordinances pertaining to the annexation 30-23 or exclusion of the territory by a district or municipality. 30-24 (k) The district may examine and receive information related 30-25 to the imposition, assessment, and collection of sales and use 30-26 taxes to the same extent as if the district were a municipality. 30-27 Sec. 385.112. HOTEL OCCUPANCY TAX. (a) In this section, 31-1 "hotel" has the meaning assigned by Section 156.001, Tax Code. 31-2 (b) The board by order may impose, repeal, or increase or 31-3 decrease the rate of a tax on a person who, under a lease, 31-4 concession, permit, right of access, license, contract, or 31-5 agreement, pays for the use or possession or for the right to use 31-6 or possess a room that is in a hotel located in the boundaries of 31-7 the district, costs $2 or more each day, and is ordinarily used for 31-8 sleeping. The amount of the tax may not exceed seven percent of the 31-9 price paid for a room in a hotel. 31-10 (c) Subchapter A, Chapter 352, Tax Code, governs a hotel 31-11 occupancy tax authorized under this section, including the 31-12 collection of the tax, except as inconsistent with this section and 31-13 Section 385.113, subject to the limitations prescribed by Sections 31-14 352.002(b) and (c), Tax Code. 31-15 (d) The district may examine and receive information related 31-16 to the imposition, assessment, and collection of hotel occupancy 31-17 taxes to the same extent as if the district were a municipality. 31-18 (e) For purposes of this section, a reference in Subchapter 31-19 A, Chapter 352, Tax Code, to a county is a reference to the 31-20 district and a reference in Subchapter A, Chapter 352, Tax Code, to 31-21 the county's officers or governing body is a reference to the 31-22 board. 31-23 Sec. 385.113. USE OF HOTEL OCCUPANCY TAX. (a) The district 31-24 shall apply the proceeds from a hotel occupancy tax imposed under 31-25 Section 385.112 for any of the district's purposes and for the 31-26 purposes described by Section 352.1015, Tax Code, to the extent 31-27 considered appropriate by the board. 32-1 (b) During each interval of three calendar years following 32-2 the date on which a hotel occupancy tax imposed under Section 32-3 385.112 is initially collected, the board may not apply an annual 32-4 average of more than 10 percent of the amount of tax collected 32-5 under that section, excluding any interest earnings or investment 32-6 profits and after a deduction for the costs of imposing and 32-7 collecting the taxes, for the administrative expenses of the 32-8 district or a district purpose other than: 32-9 (1) the costs of advertising and promoting tourism; or 32-10 (2) the costs of business development and commerce, 32-11 including the costs of planning, designing, constructing, 32-12 acquiring, leasing, financing, owning, operating, maintaining, 32-13 managing, improving, repairing, rehabilitating, or reconstructing 32-14 improvement projects for conferences, conventions, and exhibitions, 32-15 manufacturer, consumer, or trade shows, and civic, community, or 32-16 institutional events. 32-17 (c) For purposes of this section, a reference in Subchapter 32-18 B, Chapter 352, Tax Code, to a county is a reference to the 32-19 district and a reference in Subchapter B, Chapter 352, Tax Code, to 32-20 the county's officers or governing body is a reference to the 32-21 board. 32-22 Sec. 385.114. BONDS. (a) The district may issue bonds in 32-23 the manner provided by Subchapter J, Chapter 375. Sections 375.207 32-24 and 375.208 do not apply to bonds issued under this section. 32-25 (b) If the district issues bonds for the primary purpose of 32-26 providing water, sewage, or drainage facilities, the district must 32-27 obtain the commission's approval in the manner provided by Section 33-1 49.181, Water Code. 33-2 (c) In addition to the sources of money described by 33-3 Subchapter J, Chapter 375, the bonds of the district may be secured 33-4 and made payable, wholly or partly, by a pledge of any part of the 33-5 net proceeds the district receives from the sales and use tax 33-6 authorized by Section 385.111 and the hotel occupancy tax 33-7 authorized by Section 385.112. 33-8 Sec. 385.115. CONTRACTS WITH DISTRICT. (a) A contract the 33-9 district enters into to carry out a purpose of this chapter may be 33-10 on any terms and for any period of time as the board may determine. 33-11 (b) Notwithstanding any other law or charter provision, a 33-12 state agency, municipality, county, other political subdivision, 33-13 corporation, individual, or other entity may contract with the 33-14 district to carry out the purposes of this chapter without any 33-15 further authorization. 33-16 (Sections 385.116-385.130 reserved for expansion 33-17 SUBCHAPTER E. DISSOLUTION 33-18 Sec. 385.131. DISSOLUTION. The board by majority vote may 33-19 dissolve the district at any time. The board shall dissolve the 33-20 district on written petition of the owners of 75 percent of the 33-21 acreage of real property in the district. 33-22 Sec. 385.132. INDEBTEDNESS AND CONTRACTUAL OBLIGATIONS. The 33-23 board may not dissolve the district until the district's 33-24 outstanding indebtedness or contractual obligations have been 33-25 repaid or discharged. 33-26 Sec. 385.133. TRANSFER OF PROPERTY AND ASSETS. After the 33-27 board elects to dissolve the district, the board shall transfer 34-1 ownership of all property and assets of the district to Smith 34-2 County. 34-3 SECTION 2. The legislature finds that the proper and legal 34-4 notice of the intention to introduce this Act, setting forth the 34-5 general substance of this Act, has been published as provided by 34-6 law, and the notice and a copy of this Act have been furnished to 34-7 all persons, agencies, officials, or entities to which they are 34-8 required to be furnished by the constitution and laws of this 34-9 state, including the governor, who has submitted the notice and Act 34-10 to the Texas Natural Resource Conservation Commission. The 34-11 legislature further finds that the Texas Natural Resource 34-12 Conservation Commission has filed its recommendations relating to 34-13 this Act with the governor, lieutenant governor, and speaker of the 34-14 house of representatives within the required time. All 34-15 requirements of the constitution and laws of this state and the 34-16 rules and procedures of the legislature with respect to the notice, 34-17 introduction, and passage of this Act have been fulfilled and 34-18 accomplished. 34-19 SECTION 3. This Act takes effect immediately if it receives 34-20 a vote of two-thirds of all the members elected to each house, as 34-21 provided by Section 39, Article III, Texas Constitution. If this 34-22 Act does not receive the vote necessary for immediate effect, this 34-23 Act takes effect September 1, 2001.