By Shapleigh S.B. No. 465
77R1933 MXM-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the creation of a border port authority; granting the
1-3 power of eminent domain and the right to 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 386 to read as follows:
1-7 CHAPTER 386. BORDER PORT AUTHORITIES
1-8 SUBCHAPTER A. GENERAL PROVISIONS
1-9 Sec. 386.001. DEFINITIONS. In this article:
1-10 (1) "Authority" means a border port authority created
1-11 under this chapter.
1-12 (2) "Board" means a board of border port
1-13 commissioners.
1-14 (3) "Border region" means the area composed of
1-15 Brewster, Cameron, Culberson, Dimmit, El Paso, Hidalgo, Hudspeth,
1-16 Jeff Davis, Kinney, La Salle, Maverick, Presidio, Starr, Terrell,
1-17 Val Verde, Webb, Willacy, Zapata, and Zavala counties.
1-18 (4) "Commissioner" means a member of a board.
1-19 (Sections 386.002-386.050 reserved for expansion
1-20 SUBCHAPTER B. CREATION OF AUTHORITY
1-21 Sec. 386.051. CREATION. (a) A border port authority may be
1-22 created as provided by this chapter.
1-23 (b) An authority created under this chapter is a:
1-24 (1) political subdivision of this state; and
2-1 (2) special district.
2-2 Sec. 386.052. AREA INCLUDED IN AUTHORITY. (a) An authority
2-3 may be created in territory located in at least one but not more
2-4 than three counties in the border region. Each of the counties
2-5 must be contiguous to one of the other counties if the authority is
2-6 created in more than one county.
2-7 (b) An authority must include territory that borders Mexico.
2-8 Sec. 386.053. PETITION FOR CREATION. (a) Except as
2-9 provided by Subsection (c), before an authority that contains
2-10 territory located in only one county may be created, the
2-11 commissioners court of that county must receive a petition signed
2-12 by a number of residents of the territory of the proposed authority
2-13 equal to at least five percent of the registered voters who reside
2-14 in the territory of the proposed authority.
2-15 (b) Except as provided by Subsection (c), before an
2-16 authority that contains territory located in more than one county
2-17 may be created, the commissioners court of each county in which the
2-18 proposed authority will be located must receive a petition signed
2-19 by a number of residents of the territory of the proposed authority
2-20 that is located in the county in which the commissioners court
2-21 presides equal to at least five percent of the registered voters
2-22 who reside in the territory of the proposed district that is
2-23 located in the county in which the commissioners court presides.
2-24 (c) If there are fewer than 100 registered voters who reside
2-25 in an area for which a petition must be filed, the petition must be
2-26 signed by a majority of the registered voters in the area.
2-27 Sec. 386.054. CONTENTS OF PETITION. The petition prescribed
3-1 by Section 386.053 must:
3-2 (1) request the establishment of an authority;
3-3 (2) state the name of the proposed authority;
3-4 (3) contain the proposed authority's boundaries,
3-5 designated by metes and bounds or other sufficient legal
3-6 description;
3-7 (4) show that the territory of the proposed authority
3-8 does not include territory of another border port authority;
3-9 (5) contain a statement of the general nature of the
3-10 improvements, facilities, industrial projects, or other structures
3-11 proposed;
3-12 (6) contain an estimate of the probable cost of the
3-13 proposed improvements, facilities, projects, or other structures
3-14 described by Subdivision (5);
3-15 (7) include a request for the issuance of revenue
3-16 bonds; and
3-17 (8) include the mailing address of each petitioner.
3-18 Sec. 386.055. FILING OF PETITION; HEARING. (a) If the
3-19 petition is in proper form, the commissioners court, on receipt of
3-20 the petition, shall:
3-21 (1) file the petition with the county clerk; and
3-22 (2) order a hearing to be held at a regular or special
3-23 term of the commissioners court.
3-24 (b) The hearing shall be held not later than the 60th day
3-25 after the date the petition is presented.
3-26 (c) At the time and place set for the hearing, the
3-27 commissioners court shall consider the petition. Any person who
4-1 might be affected by creation of the authority may:
4-2 (1) appear at the hearing and support or oppose
4-3 creation of the proposed authority; and
4-4 (2) offer testimony relating to:
4-5 (A) the necessity and feasibility of the
4-6 proposed authority;
4-7 (B) the benefits to accrue from formation of the
4-8 proposed authority;
4-9 (C) the boundaries of the proposed authority; or
4-10 (D) any other matter concerning the proposed
4-11 authority.
4-12 Sec. 386.056. FINDINGS; ORDERING OF ELECTION. (a) If it
4-13 appears at the hearing that the proposed improvements or
4-14 facilities, projects, or other structures, as appropriate, are
4-15 feasible and would provide a public benefit to the residents of the
4-16 proposed authority and that creation of the proposed authority is
4-17 in the best interests of the county, the commissioners court shall
4-18 make those findings and enter the findings in its records.
4-19 (b) If the commissioners court is unable to make the
4-20 findings under Subsection (a), it shall dismiss the petition at the
4-21 cost of the petitioners. Dismissal of the petition does not
4-22 prevent presentation of another petition at a later date.
4-23 (c) The commissioners court shall grant the petition if the
4-24 commissioners court makes the findings required under Subsection
4-25 (a).
4-26 (d) Except as provided by Subsection (e), the commissioners
4-27 court shall order an election to confirm the authority's creation
5-1 if a petition is granted by the commissioners court.
5-2 (e) If the petition indicates that the proposed authority
5-3 will contain territory in more than one county, the commissioners
5-4 courts may not order an election until the commissioners court of
5-5 each county in which the authority will be located has granted the
5-6 petition. The elections must be held on the same day, which must
5-7 be after the 45th day and before the 61st day after the date the
5-8 election is ordered.
5-9 (f) Section 41.001(a), Election Code, does not apply to an
5-10 election ordered under this section.
5-11 Sec. 386.057. ELECTION ORDER. The order calling the
5-12 election must state:
5-13 (1) the nature of the election, including the
5-14 proposition that is to appear on the ballot;
5-15 (2) the date of the election;
5-16 (3) the hours during which the polls will be open; and
5-17 (4) the locations of the polling places.
5-18 Sec. 386.058. NOTICE. (a) The commissioners court shall
5-19 give notice of the election by publishing a substantial copy of the
5-20 election order in a newspaper with general circulation in the
5-21 proposed authority once a week for two consecutive weeks.
5-22 (b) The first publication must appear before the 35th day
5-23 before the date set for the election.
5-24 Sec. 386.059. BALLOT PROPOSITION. The ballot for the
5-25 election shall be printed to permit voting for or against the
5-26 proposition: "The creation of the ____________ (name of authority)
5-27 Border Port Authority and the issuance of bonds."
6-1 Sec. 386.060. ELECTION RESULT. (a) Except as provided by
6-2 Subsections (b) and (c), an authority is created if a majority of
6-3 the votes cast in the election favor creation of the authority.
6-4 (b) If the proposed authority contains territory in more
6-5 than one county, an authority is created only if a majority of the
6-6 votes cast in each county favor creation of the authority.
6-7 (c) If the creation of the proposed authority is defeated,
6-8 another election on the question of creating an authority in the
6-9 area proposed for the defeated authority may not be held before the
6-10 first anniversary of the most recent election concerning the
6-11 creation of the authority.
6-12 (Sections 386.061-386.100 reserved for expansion
6-13 SUBCHAPTER C. AUTHORITY POWERS AND DUTIES
6-14 Sec. 386.101. PURPOSES OF AUTHORITY; POWERS. To facilitate
6-15 the transportation and other movement of goods through the
6-16 district, an authority may:
6-17 (1) survey, build, improve, operate, and maintain
6-18 facilities and industrial projects in the authority, including
6-19 warehouses, inspection stations, parking facilities, service
6-20 stations, toll roads, and toll bridges; and
6-21 (2) build and improve bridges and related structures
6-22 and infrastructures in the authority.
6-23 Sec. 386.102. COMPREHENSIVE DEVELOPMENT PLAN. (a) As soon
6-24 as practicable after the creation of an authority, the board shall:
6-25 (1) conduct a thorough inspection of bridges and
6-26 transportation-related facilities and industrial projects in the
6-27 authority; and
7-1 (2) prepare a comprehensive plan for the development
7-2 or improvement of those structures for any purpose for which the
7-3 authority was created.
7-4 (b) The board shall update the plan required by this section
7-5 at least once in each two-year period.
7-6 Sec. 386.103. ACQUISITION OF PROPERTY; EMINENT DOMAIN. (a)
7-7 An authority may:
7-8 (1) acquire, convey, grant a mortgage on, or otherwise
7-9 dispose of property; and
7-10 (2) exercise the power of eminent domain to acquire
7-11 property for any purpose authorized by this article, including the
7-12 power to:
7-13 (A) acquire fee title in land condemned; or
7-14 (B) impose a reasonable restriction on using the
7-15 surface of the property for mineral development if the authority
7-16 does not own the mineral rights.
7-17 (b) Before exercising the power of eminent domain, an
7-18 authority must obtain a resolution approving the proposed
7-19 condemnation from the governing body of a county or municipality in
7-20 which the property is located. For purposes of this section,
7-21 territory in the extraterritorial jurisdiction of a municipality is
7-22 considered to be in the municipality.
7-23 (c) The exercise of the power of eminent domain by the
7-24 authority is governed by Chapter 21, Property Code.
7-25 Sec. 386.104. ENTRY ON LAND. The board and any engineers
7-26 employed by the authority may enter any land inside the authority
7-27 to examine the land and to make plans, surveys, maps, and profiles
8-1 without being subject to an action of trespass.
8-2 Sec. 386.105. CONTRACTING AUTHORITY. An authority may
8-3 contract with a domestic or foreign public or private entity for
8-4 any purpose related to the authority's creation.
8-5 Sec. 386.106. COMPETITIVE BIDS. Before an authority may
8-6 enter into a contract requiring the expenditure of more than
8-7 $15,000, the authority must seek competitive bids for the contract.
8-8 The authority shall advertise for bids in the manner provided by
8-9 Subchapter C, Chapter 262.
8-10 Sec. 386.107. BOND OF CONTRACTOR. A person or entity to
8-11 whom a contract is awarded by a board after a competitive bidding
8-12 process shall execute a bond, payable to the authority, for twice
8-13 the amount of the contract price. The bond must be:
8-14 (1) approved by the board; and
8-15 (2) conditioned on the faithful performance of the
8-16 obligations under the contract and that in the event of default in
8-17 the performance of its duties under the contract, the contractor
8-18 will pay to the authority damages sustained as a result of the
8-19 contractor's default.
8-20 Sec. 386.108. ANNUAL REPORT. (a) Before January 2 of each
8-21 year, a board shall make an annual report of its official acts and
8-22 file the report with the clerk of the commissioners court of each
8-23 of the counties creating the authority.
8-24 (b) The report must include:
8-25 (1) a detailed description of the nature of work done
8-26 in the authority;
8-27 (2) the cost of the work described by Subdivision (1);
9-1 (3) the amount paid out on order of the general
9-2 manager, commissioner, or any other authorized person and for what
9-3 purpose paid; and
9-4 (4) any other information necessary to show the
9-5 condition of any projects undertaken to build facilities and
9-6 structures or of improvements made under this chapter.
9-7 Sec. 386.109. GENERAL MANAGER; PERSONNEL. (a) The board
9-8 shall employ a general manager for a term and salary set by the
9-9 board.
9-10 (b) The general manager is responsible for managing an
9-11 authority's day-to-day operations and may employ other persons as
9-12 necessary to carry out the authority's duties. The general manager
9-13 may perform any other duty assigned to the general manager by the
9-14 board.
9-15 Sec. 386.110. GENERAL MANAGER'S AND EMPLOYEES' BONDS. The
9-16 general manager and each employee of the authority who is charged
9-17 with the custody or payment of any of the authority's money shall
9-18 execute a surety bond. The board shall approve the form, amount,
9-19 and surety of the bond.
9-20 Sec. 386.111. COURT ACTIONS. An authority, through the
9-21 authority's board, may sue and be sued in any court of this state
9-22 in the name of the authority.
9-23 (Sections 386.112-386.150 reserved for expansion
9-24 SUBCHAPTER D. BOARD ORGANIZATION
9-25 Sec. 386.151. APPOINTMENT AND TERM OF COMMISSIONERS. (a)
9-26 An authority is governed by a board of six commissioners.
9-27 (b) For an authority created in a single county, the
10-1 commissioners court of the county shall appoint the members of the
10-2 board. For an authority created in two counties, the commissioners
10-3 court of each county shall appoint three members to the board. For
10-4 an authority created in three counties, the commissioners court of
10-5 each county shall appoint two members to the board.
10-6 (c) To be eligible to serve as a commissioner, a person must
10-7 reside in the district and be a qualified voter.
10-8 (d) An employee or member of the commissioners court of a
10-9 county that establishes an authority may serve as a commissioner of
10-10 the authority.
10-11 Sec. 386.152. TERM OF COMMISSIONER. Each commissioner
10-12 serves for a two-year term.
10-13 Sec. 386.153. ORGANIZATION; MEETINGS; VACANCIES. (a) A
10-14 board shall elect a presiding officer from among its members. The
10-15 board may provide for the election of other officers as necessary.
10-16 (b) The board shall meet:
10-17 (1) at least once in each four-month period; and
10-18 (2) at the call of:
10-19 (A) the presiding officer; or
10-20 (B) a majority of the commissioners.
10-21 (c) A vacancy in the office of commissioner shall be filled
10-22 for the unexpired term by the commissioners court that appointed
10-23 the commissioner whose office is vacant.
10-24 Sec. 386.154. COMPENSATION AND EXPENSES. A commissioner
10-25 serves without compensation but may be reimbursed for reasonable
10-26 and necessary expenses incurred in the performance of official
10-27 duties.
11-1 (Sections 386.155-386.200 reserved for expansion
11-2 SUBCHAPTER E. FINANCIAL PROVISIONS
11-3 Sec. 386.201. GENERAL FINANCIAL POWERS. An authority may:
11-4 (1) impose a charge or fee for using a facility or
11-5 bridge built by the authority or a service the authority provides;
11-6 (2) lease a facility owned by the authority;
11-7 (3) issue bonds as provided by this chapter;
11-8 (4) borrow money;
11-9 (5) loan money to fund a project or improvement; and
11-10 (6) invest money under its control in an investment
11-11 authorized by Chapter 2256, Government Code.
11-12 Sec. 386.202. AUTHORITY DEVELOPMENT FUND. (a) A board
11-13 shall establish and maintain an authority development fund. The
11-14 fund must include:
11-15 (1) money received from the sale of bonds; and
11-16 (2) fees or charges collected by the general manager
11-17 or any other authority employee.
11-18 (b) Except for costs incurred before the original petition
11-19 is filed under Section 386.055, the authority shall pay from the
11-20 fund all expenses necessarily incurred in connection with the
11-21 creation, establishment, and maintenance of an authority.
11-22 Sec. 386.203. SELECTION OF DEPOSITORY. (a) The board shall
11-23 select a depository for the authority in the same manner and to the
11-24 same extent as a county establishes a depository under Chapter 116.
11-25 (b) In selecting the depository, the board shall act in the
11-26 same capacity and perform the same duties as the county judge and
11-27 commissioners court in selecting a county depository.
12-1 Sec. 386.204. AUTHORITY TO ISSUE REVENUE BONDS. A board by
12-2 ordinance may issue revenue bonds to provide all or part of the
12-3 money to establish, acquire, construct, improve, equip, or repair a
12-4 facility, bridge, project, or other structure described by Section
12-5 386.101.
12-6 Sec. 386.205. PLEDGE OF REVENUE. (a) Bonds issued under
12-7 this chapter must be secured by a pledge of and be payable from all
12-8 or a designated part of the revenue from the facility, bridge, or
12-9 other structures for which the bonds are issued, as provided in the
12-10 ordinance authorizing the issuance of the bonds.
12-11 (b) The pledge securing the bonds is inferior to any
12-12 previous pledge of the revenue for the payment of revenue bonds or
12-13 revenue refunding bonds that are outstanding.
12-14 (c) A board that leases as lessee a facility described by
12-15 Section 386.101 may pledge all or part of the revenue from the
12-16 facility to the lease payments the authority must make.
12-17 Sec. 386.206. LIEN ON FACILITY. Subject to any limitation
12-18 contained in any previous pledge, a board may, in addition to
12-19 pledging the revenue from a facility, give a lien on all or part of
12-20 the physical property of the facility acquired with the proceeds of
12-21 bonds issued under this chapter.
12-22 Sec. 386.207. CHARGES FOR SERVICES. A board shall impose
12-23 and collect charges for the use of a facility the revenue of which
12-24 is pledged to secure bonds issued under this chapter, and for
12-25 services provided in connection with that use, in amounts at least
12-26 sufficient to comply with each covenant or provision in the
12-27 ordinance authorizing the issuance of the bonds.
13-1 (Sections 386.208-386.250 reserved for expansion
13-2 SUBCHAPTER F. DISSOLUTION
13-3 Sec. 386.251. LIMITATION. An authority may be dissolved
13-4 under this chapter only after all debts or obligations of the
13-5 authority have been satisfied.
13-6 Sec. 386.252. DISSOLUTION BY BOARD VOTE. The board may
13-7 dissolve an authority at any time.
13-8 Sec. 386.253. DISSOLUTION BY COMMISSIONERS COURT. The board
13-9 shall dissolve an authority if a majority of the commissioners
13-10 courts of the counties in which the authority is located agree by
13-11 order to dissolve the authority.
13-12 Sec. 386.254. DISSOLUTION BY VOTER PETITION. The board
13-13 shall dissolve an authority on written petition filed with the
13-14 board by more than 50 percent of the registered voters in the
13-15 authority.
13-16 Sec. 386.255. PROPERTY. Property that remains after
13-17 dissolution is conveyed to the county in which the property is
13-18 located.
13-19 SECTION 2. This Act takes effect September 1, 2001.