By: Shapiro, Nelson S.B. No. 1782 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the creation of the Frisco Square Management District; 1-3 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. Chapter 376, Local Government Code, is amended by 1-6 adding Subchapter K to read as follows: 1-7 SUBCHAPTER K. FRISCO SQUARE MANAGEMENT DISTRICT 1-8 Sec. 376.451. CREATION OF DISTRICT. (a) The Frisco Square 1-9 Management District is created as a special district under Section 1-10 59, Article XVI, Texas Constitution. 1-11 (b) The board by resolution may change the district's name. 1-12 (c) The creation of the district is essential to accomplish 1-13 the purposes of Sections 52 and 52-a, Article III, and Section 59, 1-14 Article XVI, Texas Constitution, and other public purposes stated 1-15 in this subchapter. 1-16 Sec. 376.452. DECLARATION OF INTENT. (a) The creation of 1-17 the district is necessary to promote, develop, encourage, and 1-18 maintain employment, commerce, transportation, housing, tourism, 1-19 recreation, arts, entertainment, economic development, safety, and 1-20 the public welfare in the municipality's central business area. 1-21 (b) The creation of the district and this legislation are 1-22 not to be interpreted to relieve the county or the municipality 1-23 from providing the level of services, as of September 1, 2001, to 1-24 the area in the district or to release the county or the 1-25 municipality from the obligations each entity has to provide 2-1 services to that area. The district is created to supplement and 2-2 not supplant the municipal services provided in the area in the 2-3 district. 2-4 (c) By creating the district and in authorizing the 2-5 municipality, county, and other political subdivisions to contract 2-6 with the district, the legislature has established a program to 2-7 accomplish the public purposes set out in Section 52-a, Article 2-8 III, Texas Constitution. 2-9 Sec. 376.453. DEFINITIONS. In this subchapter: 2-10 (1) "Board" means the board of directors of the 2-11 district. 2-12 (2) "County" means Collin County. 2-13 (3) "District" means the Frisco Square Management 2-14 District. 2-15 (4) "Municipality" means the City of Frisco. 2-16 (5) "Utility" means a person that provides gas, 2-17 electricity, telephone, sewage, or water service to the public. 2-18 Sec. 376.454. BOUNDARIES. The district includes all the 2-19 territory contained within the following described area: 2-20 BEING a 114.8298 acre tract of land situated in the W.B. Watkins 2-21 Survey, Abstract No 1004, the Lewis H. McNeil Survey, Abstract No. 2-22 618 and the Clayton Rogers Survey, Abstract No 1089, all in the 2-23 City of Frisco, Collin County, Texas and being described more 2-24 particularly by metes and bounds as follows: 2-25 BEGINNING at a 1/2 inch iron rod found for the intersection of the 2-26 centerline of Cotton Gin Road with the east right-of-way line of 3-1 the Dallas North Tollway (300 feet R.O.W.), said point being on a 3-2 curve to the right having a central angle of 2 deg. 50 min. 55 3-3 sec., a radius of 3014.79 feet and a chord which bears South 01 3-4 deg. 22 min. 55 sec. East, and a chord distance of 149.88 feet; 3-5 1. THENCE southerly, with the east right-of-way line of 3-6 said Dallas North Tollway and said curve, through an arc distance 3-7 of 149.89 feet to the end of said curve at a point of tangency; 3-8 2. THENCE South 00 deg. 02 min. 33 sec. West, with the 3-9 east right-of-way line of said Dallas North Tollway, a distance of 3-10 607.59 feet to the beginning of,, a tangent circular curve to the 3-11 left having a central angle of 9 deg. 09 min. 55 sec., a radius of 3-12 2714.79 feet and a chord which bears South 04 deg. 32 min. 25 sec. 3-13 East, and a chord distance of 433.81 feet; 3-14 3. THENCE southerly, with the east right-of-way line of 3-15 said Dallas North Tollway and said curve, through an arc distance 3-16 of 434.27 feet to the end of said curve; 3-17 4. THENCE perpendicular to the right-of-way of Dallas 3-18 North Tollway, South 80 deg. 52 min. 37 sec. West, at a distance of 3-19 300 feet passing the common west right-of- way of said Dallas North 3-20 Tollway and the eastern line of that certain 129.759 acre tract of 3-21 land conveyed to Lill Yang, Trustee, as recorded in Volume 3063, 3-22 Page 145, D.R.C.C.T., and continuing, in all, a total distance of 3-23 320.00 feet to a point said point being on a circular curve to the 3-24 right having a central angle of 9 deg.09 min. 55 sec., a radius of 3-25 3034.79 feet, a chord which bears North 4 deg. 32 min. 25 sec. 3-26 West, and a chord distance of 484.95 feet: 4-1 5. THENCE northerly, 20 feet parallel with said west 4-2 right- of-way line of the Dallas North Tollway and said curve, 4-3 through an arc distance of 485 46 feet to the end of said curve at 4-4 a point of tangency; 4-5 6. THENCE North 00 deg. 02 min. 33 sec. East, 20 feet 4-6 .parallel with said west right-of-way line, a distance of 607.59 4-7 feet to the beginning of a tangent curve to the left having a 4-8 central angle of 4 deg. 26 min. 55 sec., a radius of 2694 79 feet, 4-9 a chord which bears North 2 deg. 10 min. 55 sec. West, and a chord 4-10 distance of 209 17 feet; 4-11 7. THENCE northerly, 20 feet parallel with the west 4-12 right-of-way line of said Dallas North Tollway and said curve, 4-13 through an arc distance of 209 22 feet to the end of said curve; 4-14 8. THENCE North 89 deg. 53 min. 53 sec. East at a distance 4-15 of 20 03 feet passing the west right-of-way of said Dallas North 4-16 Tollway, and at a distance of 320 78 feet passing the east 4-17 right-of-way line of said Dallas North Tollway, and continuing, in 4-18 all, a distance of 601.01 feet to a point; 4-19 9. THENCE North 41 deg. 38 min. 52 sec. East, a distance 4-20 of 33 30 feet to a point; 4-21 10. THENCE North 6 deg. 36 min. 16 sec. West, a distance of 4-22 974 41 feet to a point 4-23 11. THENCE South 83 deg. 23 min. 44 sec West, .-a distance 4-24 of 270 00 feet to a .point, 4-25 12. THENCE South 38 deg. 23 min. 44 sec. West, a distance 4-26 of 28.28 feet to a point 5-1 13. THENCE South 83 deg. 23 min. 44 sec. West, a distance 5-2 of 10.00 feet to a point on the east right-of-way line of said 5-3 Dallas North Tollway; 5-4 14. THENCE North 06 deg. 36 min. 16 sec. West with the east 5-5 right-of-way line of said Dallas North Tollway, a distance of 5-6 1606.36 feet to the intersection of the east right-of-way line of 5-7 said Dallas North Tollway with the, proposed north right-of-way 5-8 line of Farm to Market Road 720 (F.M.720, variable width R. O. W.); 5-9 THENCE with the proposed north right-of-way line of said F M 720, 5-10 the folio-wing, metes and bounds: 5-11 15. South 48 deg. 08 min. 26 sec. East, a distance of 37 43 5-12 feet to a point; 5-13 16. South 89 deg. 40 min. 36 sec. East, a distance of 20.66 5-14 feet to a points said point being on a tangent curve to the left 5-15 having a central angle of 4 deg. 11 min 37 sec, radius of 2430.00 5-16 feet, a chord which bears North 88 deg. 13 min 36 sec. East, and a 5-17 distance of 177.82 feet; 5-18 17. Easterly, with said curve, through an arc distance of 5-19 177.86 feet to the end of said curve; 5-20 18. South 86 deg. 13 min. 33 sec. East, a distance of 97.72 5-21 feet to a point; 5-22 19. North 86 deg. 07 min. 47 sec. East, a distance of 5-23 1548.06 feet to a point; 5-24 20. South 20 deg. 38 min. 35 sec. East, a distance of 10.44 5-25 feet to a point;, 5-26 21. North 86 deg. 07 min. 47 sec. East, a distance of 28.75 6-1 feet to a point, said point being on a tangent curve to the left 6-2 having a central angle of 10 deg. 51 min. 32 sec., a radius of 6-3 2722.02 feet, a chord which bears South 88 deg. 26 min. 27 sec. 6-4 East, and a chord distance of 515.11 feet; 6-5 22. Easterly, with said curve,. through an arc distance of 6-6 515.88 feet to a point; 6-7 23. South 78 deg. 05 min. 56 sec. East, a distance of 6-8 555.37 feet to a point; 6-9 24. THENCE leaving the proposed north right-of-way line of 6-10 said F.M. 720, South 11 deg. 54 min. 04 sec. West, a distance of 6-11 80.00 feet to a point; 6-12 25. THENCE South 12 deg;. 16 min. 44 sec. West, a distance 6-13 of 81.56 feet to a point; 6-14 26. THENCE South 77 deg. 53 min. 30 sec. East, a distance 6-15 of 61.81 feet to a point; 6-16 27. THENCE South 78 deg. 08 min. 24 sec. East, a distance 6-17 of 138.19 feet to a point on the west right-of-way line of the 6-18 Burlington Northern and Santa Fe Railroad; 6-19 28. THENCE South 12 deg. 16 min. 44 sec. West, with the 6-20 west right-of-way line of said Burlington Northern and Santa Fe 6-21 Railroad, a distance of 210.00 feet to the intersection of the west 6-22 right-of-way line of said Burlington Northern and Santa Fe Railroad 6-23 with the north right-of-way line of Main Street (80 feet R.O.W.); 6-24 29. THENCE South 12 deb. 13 min. 18 sec. West, with the 6-25 west right-of-way line of said Burlington Northern and Santa Fe 6-26 Railroad, a distance of 80.52 feet to the intersection of the west 7-1 right-of-way line of said Burlington Northern and Santa Fe Railroad 7-2 with the south right-of-way line of said Main Street; 7-3 30. THENCE South 12 deg. 51 min. 45 sec. West, with the 7-4 west right-of-way line of said Burlington Northern and Santa Fe 7-5 Railroad, a distance of 359.59 feet to the intersection of the west 7-6 right-of-way line of said Burlington Northern and Santa Fe Railroad 7-7 with the south right-of-way line of Elm Street (60 feet R.O.W.); 7-8 31. THENCE North 77 deg. 42 min. 06 see. West with said 7-9 south right-of-way line of Elm Street a distance of 296.41 feet to 7-10 the intersection of the south right-of-way line of said Elm Street 7-11 with the east right-of-way line of John W Elliot Drive (60 feet 7-12 R.O.W.); 7-13 32. THENCE South 12 deg. 16 min. 44 sec West, with the east 7-14 right-of-way line of said John W. Elliot Drive, a distance of 7-15 479.77 feet to a .point; 7-16 33. THENCE South 83 deg. 23 min. 44 sec. West, a distance 7-17 of 472.56 feet to a point; 7-18 34. THENCE South 06 deg. 36 min. 16 sec East, a distance of 7-19 270 50 feet to a point; 7-20 35. THENCE North 83 deg. 23 min. 44 see. East, a distance 7-21 of 316 62 feet to a point; 7-22 36. THENCE North 12 deg. 16 min. 44 sec East, a distance of 7-23 65 48 feet to a point; 7-24 37. THENCE South 77 deg. 43 min. 16 sec. East a distance of 7-25 281.14 feet to a 1/2 inch iron rod found on the west right-of-way 7-26 line of said Burlington Northern and Santa Fe Railroad; 8-1 38. THENCE South 19 deg. 00 min. 34 sec West, with the west 8-2 right-of-way line of said Burlington Northern and Santa Fe 8-3 Railroad, a distance of 96614 feet to a point; 8-4 39. THENCE North 06 deg. 36 min. 16 sec West, -a distance 8-5 of 174 73 feet to a point; 8-6 40. THENCE South 89 deg. 53 min. 53 sec West, a distance of 8-7 5 19 feet to a point; 8-8 41. THENCE North 06 deg. 36 min. 16 sec West, a distance of 8-9 586 41 feet to a point; 8-10 42. THENCE South 83 deg. 23 min. 44 sec. West- a distance 8-11 of 325 50 feet to a point; 8-12 43. THENCE South 06 deg. 36 min. 16 sec East, a distance of 8-13 549 31 feet to a point; 8-14 44. THENCE South 89 deg. 53 min 53 sec West, a distance of 8-15 8.56 feet to a point; 8-16 45. THENCE South 06 deg. 36 min 16 sec East, a distance of 8-17 272 91 feet to a point in the centerline of said Cotton Gin Road; 8-18 46. THENCE South 89 deg. 53 min. 53 sec. West, with the 8-19 centerline of said Cotton in Road, a distance of 56.36 feet to a 8-20 point; 8-21 47. THENCE North 06 deg. 36 min. 16 sec. West, a distance 8-22 of 265.87 feet to a point; 8-23 48. THENCE South 83 deg. 23 min. 44 sec. West, a distance 8-24 of 8.50 feet to a point; 8-25 49. THENCE North 06 deg. 36 min. 16 sec. West, a distance 8-26 of 549.00 feet to a point; 9-1 50. THENCE South 83 den:. 23 min. 44 sec. West, a distance 9-2 of 147.00 feet to a point; 9-3 51. THENCE North 06 deg. 36 min. 16 sec. West, a distance 9-4 of 48.50 feet to a point; 9-5 52. THENCE North 83 deg. 23 min. 44 sec. East a distance of 9-6 9.50 feet to a point; 9-7 53. THENCE North 06 deg. 36 min. 16 sec. West, a distance 9-8 of 41.50 feet to a point; 9-9 54. THENCE South 83 deg. 23 min. 44 sec. West, a distance 9-10 of 7.00 feet to a point; 9-11 55. THENCE North 06 deg. 36 min. 16 sec. West, a distance 9-12 of 319.00 feet to a point; 9-13 56. THENCE South 83 deg. 23 min. 44 sec. West, distance of 9-14 1216.51 feet to a point; 9-15 57. THENCE South 06 deg. 36 min. 16 sec. East, a distance 9-16 of 1067.78 feet to a point in the centerline of said Cotton Gin 9-17 Road; 9-18 58. THENCE South 89 deg. 54 min. 01 sec. West, with the 9-19 centerline of said Cotton Gin Road a distance of 379.06 feet to the 9-20 POINT OF BEGINNING and containing 5,001,987 square feet or 114.8298 9-21 acres of land. 9-22 SAVE AND EXCEPT all tracts or parcels of land, rights-of-way, 9-23 facilities, and improvements owned by a utility. 9-24 Sec. 376.455. FINDINGS RELATING TO BOUNDARIES. The 9-25 boundaries and field notes of the district form a closure. If a 9-26 mistake is made in the field notes or in copying the field notes in 10-1 the legislative process, it does not affect the district's: 10-2 (1) organization, existence, or validity; 10-3 (2) right to issue any type of bond or other 10-4 obligation for the purposes for which the district is created or to 10-5 pay the principal of and interest on a bond; 10-6 (3) right to impose or collect assessments or taxes; 10-7 or 10-8 (4) legality or operation. 10-9 Sec. 376.456. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. 10-10 (a) All the land and other property included in the district will 10-11 be benefited by the improvements and services to be provided by the 10-12 district under powers conferred by Sections 52 and 52-a, Article 10-13 III, and Section 59, Article XVI, Texas Constitution, and other 10-14 powers granted under this subchapter, and the district is created 10-15 to serve a public use and benefit. 10-16 (b) The creation of the district is in the public interest 10-17 and is essential to: 10-18 (1) further the public purposes of the development and 10-19 diversification of the economy of the state; and 10-20 (2) eliminate unemployment and underemployment and 10-21 develop or expand transportation and commerce. 10-22 (c) The district will: 10-23 (1) promote the health, safety, and general welfare of 10-24 residents, employers, employees, visitors, consumers in the 10-25 district, and the general public; 10-26 (2) provide needed funding for the municipality's 11-1 central business area extension to the west to preserve, maintain, 11-2 and enhance the economic health and vitality of the area as a 11-3 community and business center and to provide a government center 11-4 for the municipality; 11-5 (3) further promote the health, safety, and general 11-6 welfare of residents, employers, employees, visitors, consumers in 11-7 the district, and the general public by providing, maintaining, and 11-8 operating attractive, safe, and convenient street and road 11-9 improvements and off-street parking facilities and necessary water, 11-10 sewer, and drainage facilities to serve the area within the 11-11 district; and 11-12 (4) further promote the health, safety, welfare, and 11-13 enjoyment of the public by providing pedestrian ways, parks, and 11-14 off-street parking and by landscaping and developing certain areas 11-15 in the district, which are necessary for the restoration, 11-16 preservation, and enhancement of scenic and aesthetic beauty. 11-17 (d) Pedestrian ways along or across a street, at grade or 11-18 above or below the surface, and street lighting, street 11-19 landscaping, and street art objects are parts of and necessary 11-20 components of a street and are considered to be a street or road 11-21 improvement. 11-22 (e) The district will not act as the agent or 11-23 instrumentality of any private interest, even though many private 11-24 interests will be benefited by the district, as will the general 11-25 public. 11-26 (f) Each improvement project or service authorized by this 12-1 subchapter is essential to carry out a public purpose and will 12-2 benefit all land and property in the district, the employees, 12-3 employers, and consumers of the district, and the general public. 12-4 Sec. 376.457. APPLICATION OF OTHER LAW. (a) Except as 12-5 otherwise provided by this subchapter: 12-6 (1) Chapter 375 applies to the district, its governing 12-7 body, and its employees; and 12-8 (2) the district has the rights and powers of a 12-9 district created under Chapter 375. 12-10 (b) If any provision of a law referenced in this subchapter 12-11 is in conflict with or is inconsistent with this subchapter, this 12-12 subchapter prevails. Any law referenced in this subchapter that is 12-13 not in conflict or inconsistent with this subchapter is adopted and 12-14 incorporated by reference. 12-15 Sec. 376.458. LIBERAL CONSTRUCTION OF SUBCHAPTER. This 12-16 subchapter shall be liberally construed in conformity with the 12-17 findings and purposes stated in this subchapter. 12-18 Sec. 376.459. BOARD OF DIRECTORS IN GENERAL. (a) The 12-19 district is governed by a board of five appointed directors and 12-20 three members serving ex officio. The appointed members serve 12-21 staggered terms of four years, with two directors' terms expiring 12-22 July 1 of an odd-numbered year and three directors' terms expiring 12-23 July 1 of the following odd-numbered year. 12-24 (b) A position on the board shall not be construed to be a 12-25 civil office of emolument for any purpose, including a purpose 12-26 described in Section 40, Article XVI, Texas Constitution. 13-1 Sec. 376.460. APPOINTMENT OF DIRECTORS. (a) The governing 13-2 body of the municipality shall appoint successor directors who meet 13-3 the qualifications of Subchapter D, Chapter 375. The governing 13-4 body of the municipality shall appoint a director to fill a vacancy 13-5 on the board. 13-6 (b) Notwithstanding the common law doctrine of 13-7 incompatibility, members of the governing body of the municipality 13-8 may be appointed to the board. The term of a director who is also 13-9 a member of the governing body of the municipality shall expire 13-10 when the member's term on the governing body of the municipality 13-11 expires, provided that the person may be reappointed to the board 13-12 of directors to complete the unexpired term on the board. 13-13 (c) A person may not be appointed to the board if the 13-14 appointment of that person would result in fewer than three of the 13-15 directors residing in the municipality. 13-16 (d) District directors are public officials entitled to 13-17 governmental immunity for their official actions. 13-18 (e) The governing body of the municipality after notice and 13-19 hearing may remove a director for misconduct or failure to carry 13-20 out the director's duties on a petition by a majority of the 13-21 remaining directors. 13-22 Sec. 376.461. EX OFFICIO BOARD MEMBERS. (a) The following 13-23 persons shall serve ex officio as nonvoting directors: 13-24 (1) the manager of the municipality; 13-25 (2) the financial director of the municipality; and 13-26 (3) the planning director of the municipality. 14-1 (b) If any of the offices described in Subsection (a) are 14-2 renamed, changed, or abolished, the governing body of the 14-3 municipality may appoint another officer or employee of the 14-4 municipality that performs duties comparable to those performed by 14-5 the officer described in Subsection (a). 14-6 Sec. 376.462. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT. 14-7 (a) Except as provided by Section 376.461 or this section: 14-8 (1) a director may participate in all board votes and 14-9 decisions; and 14-10 (2) Chapter 171 governs conflicts of interest for 14-11 board members. 14-12 (b) Section 171.004 does not apply to the district. A 14-13 director who has a substantial interest in a business or charitable 14-14 entity that will receive a pecuniary benefit from a board action 14-15 shall file a one-time affidavit declaring the interest. An 14-16 additional affidavit is not required if the director's interest 14-17 changes. After the affidavit is filed with the board secretary, 14-18 the director may participate in a discussion or vote on that action 14-19 if: 14-20 (1) a majority of the directors have a similar 14-21 interest in the same entity; 14-22 (2) all other similar business or charitable entities 14-23 in the district will receive a similar pecuniary benefit; or 14-24 (3) the director is a property owner in the district. 14-25 (c) A director who is also an officer or employee of a 14-26 public entity may not participate in the discussion of or vote on a 15-1 matter regarding a contract with that same public entity. 15-2 (d) For purposes of this section, a director has a 15-3 substantial interest in a charitable entity in the same manner that 15-4 a person would have a substantial interest in a business entity 15-5 under Section 171.002. 15-6 Sec. 376.463. POWERS OF DISTRICT. (a) The district has all 15-7 of the powers necessary or required to accomplish the purposes for 15-8 which the district was created. 15-9 (b) The district may exercise the powers given to a 15-10 corporation created under Section 4B, Development Corporation Act 15-11 of 1979 (Article 5190.6, Vernon's Texas Civil Statutes). 15-12 (c) The district may exercise the powers given to a housing 15-13 finance corporation created under Chapter 394 to provide housing or 15-14 residential development projects in the district. 15-15 (d) The district may impose an ad valorem tax, assessment, 15-16 or impact fee in accordance with Chapter 375 on all property in the 15-17 district, including industrial, commercial, or residential 15-18 property, and may impose an assessment on municipal property in the 15-19 district to finance or provide improvements and services for a 15-20 project or activity this subchapter authorizes the district to 15-21 construct, acquire, improve, or provide or to make payments under a 15-22 contract. A contract for which the payments are secured wholly or 15-23 partly from ad valorem taxes may not be executed unless the 15-24 imposition of the ad valorem taxes to secure the payment of the 15-25 contract is approved by a majority, or a larger percentage if 15-26 constitutionally required, of the qualified voters in the district 16-1 voting at an election held for that purpose. 16-2 (e) The district may correct, add to, or delete assessments 16-3 from its assessment rolls and collect assessments after such 16-4 corrections, additions, or deletions after notice and hearing as 16-5 provided by Subchapter F, Chapter 375. 16-6 (f) All or any part of the area of the district is eligible, 16-7 notwithstanding other statutory criteria, to be included in a tax 16-8 increment reinvestment zone created by the municipality under 16-9 Chapter 311, Tax Code, or included in a tax abatement reinvestment 16-10 zone created by the municipality under Chapter 312, Tax Code. All 16-11 or any part of the district is also eligible to be included in an 16-12 enterprise zone established by the municipality under Chapter 2303, 16-13 Government Code. 16-14 Sec. 376.464. AGREEMENTS. (a) The district may make an 16-15 agreement with or accept a donation, grant, or loan from any 16-16 person. 16-17 (b) A municipality, county, or other political subdivision 16-18 of the state, without further authorization, may contract with the 16-19 district for the acquisition, construction, improvement, 16-20 implementation, maintenance, and operation of a project of the 16-21 district or for providing the services authorized under this 16-22 subchapter. A contract under this subsection may: 16-23 (1) be for a period and include terms on which the 16-24 parties agree; 16-25 (2) be payable from taxes or any other source of 16-26 revenue that may be available for such purpose; and 17-1 (3) provide that taxes or other revenues collected at 17-2 a district project or from a person using or purchasing a commodity 17-3 or service at a district project may be paid or rebated to the 17-4 district under the terms of the contract. 17-5 (c) The implementation of a project is a governmental 17-6 function or service for the purposes of Chapter 791, Government 17-7 Code. 17-8 (d) To protect the public interest, the district may 17-9 contract with the municipality for the municipality to provide law 17-10 enforcement services in the district for a fee. 17-11 Sec. 376.465. NONPROFIT CORPORATION. (a) The board by 17-12 resolution may authorize the creation of a nonprofit corporation to 17-13 assist and act on behalf of the district in implementing a project 17-14 or providing a service authorized by this subchapter. 17-15 (b) The board shall appoint the board of directors of a 17-16 nonprofit corporation created under this section. The board of 17-17 directors of the nonprofit corporation shall serve in the same 17-18 manner, term, and conditions as a board of directors of a local 17-19 government corporation created under Chapter 431, Transportation 17-20 Code. 17-21 (c) A nonprofit corporation created under this section has 17-22 the powers of and is considered for purposes of this subchapter to 17-23 be a local government corporation created under Chapter 431, 17-24 Transportation Code. 17-25 (d) A nonprofit corporation created under this section may 17-26 implement any project and provide any service authorized by this 18-1 subchapter. 18-2 Sec. 376.466. ANNEXATION. The district may: 18-3 (1) annex territory as provided by Subchapter C, 18-4 Chapter 375; and 18-5 (2) annex territory located inside the boundaries of a 18-6 reinvestment zone created by the municipality under Chapter 311, 18-7 Tax Code, if the governing body of the municipality consents to the 18-8 annexation. 18-9 Sec. 376.467. PETITION REQUIRED FOR FINANCING SERVICES AND 18-10 IMPROVEMENTS. The board may not finance a service or improvement 18-11 project under this subchapter unless a written petition requesting 18-12 the improvement or service has been filed with the board. The 18-13 petition must be signed by: 18-14 (1) the owners of a majority of the assessed value of 18-15 real property in the district as determined by the most recent 18-16 certified county property tax rolls; or 18-17 (2) at least 25 persons who own land in the district, 18-18 if there are more than 25 persons who own property in the district 18-19 as determined by the most recent certified county property tax 18-20 rolls. 18-21 Sec. 376.468. AUTHORIZATION OF MAINTENANCE TAX. (a) In 18-22 addition to the elections the district must hold under Subchapter 18-23 L, Chapter 375, the district shall hold an election in the manner 18-24 provided by that subchapter to obtain voter approval before the 18-25 district imposes a maintenance tax or issues bonds payable from ad 18-26 valorem taxes or assessments. 19-1 (b) The board may include more than one purpose in a single 19-2 proposition at an election. 19-3 (c) If the district obtains the written consent of 100 19-4 percent of the property owners in the district to impose a 19-5 maintenance tax or issue bonds payable from ad valorem taxes or 19-6 assessments, the district is exempt from the election requirement 19-7 under Subsection (a) and may cancel an election called under 19-8 Subsection (a). 19-9 Sec. 376.469. MAINTENANCE TAX. (a) If authorized in 19-10 accordance with Section 376.468, the district may impose and 19-11 collect an annual ad valorem tax on taxable property in the 19-12 district for the maintenance and operation of the district and the 19-13 improvements constructed or acquired by the district or for the 19-14 provision of services. 19-15 (b) The board shall determine the tax rate. 19-16 Sec. 376.470. ASSESSMENTS. (a) The board may impose and 19-17 collect an assessment for any purpose authorized by this 19-18 subchapter. 19-19 (b) The district may impose assessments against any 19-20 municipal property in the district. Payment of assessments by 19-21 other exempt jurisdictions must be established by contract. 19-22 (c) The board may apportion the cost of an improvement 19-23 project or services to be assessed against property in the district 19-24 on all property in the district according to a finding of the board 19-25 that the improvement project or services benefit all of the 19-26 property in the district. 20-1 (d) The board may include two or more types of improvements 20-2 and services in one assessment proceeding. The board may conduct 20-3 separate assessment proceedings as the district undertakes 20-4 improvement projects or the provision of services. 20-5 (e) The board may adjust annual assessments for services in 20-6 accordance with an annual budget the board adopts for the provision 20-7 of those services. An annual adjustment may not exceed the annual 20-8 amount set forth in the original assessment proceedings except 20-9 after public notice and hearing on the increase. 20-10 Sec. 376.471. ASSESSMENT LIEN. (a) Assessments, including 20-11 assessments resulting from an addition to or correction of the 20-12 assessment roll by the district, reassessments, penalties and 20-13 interest on an assessment or reassessment, expenses of collection, 20-14 and reasonable attorney's fees incurred by the district: 20-15 (1) are a first and prior lien against the property 20-16 assessed; 20-17 (2) are superior to any other lien or claim other than 20-18 a lien or claim for county, school district, or municipal ad 20-19 valorem taxes; and 20-20 (3) are the personal liability of and charge against 20-21 the owners of the property even if the owners are not named in the 20-22 assessment proceedings. 20-23 (b) A lien under this section is effective from the date of 20-24 the resolution of the board imposing the assessment until the 20-25 assessment is paid. The board may enforce the lien in the same 20-26 manner that the board may enforce an ad valorem tax lien against 21-1 real property. 21-2 Sec. 376.472. UTILITIES. The district may not impose an 21-3 assessment or impact fee on a utility's property. 21-4 Sec. 376.473. MUNICIPAL APPROVAL. (a) Except as provided 21-5 by Subsection (b), the district must obtain from the municipality's 21-6 governing body approval of: 21-7 (1) the issuance of bonds for an improvement project; 21-8 and 21-9 (2) the plans and specifications of an improvement 21-10 project financed by the bonds. 21-11 (b) If the district obtains approval from the municipality's 21-12 governing body of a capital improvements budget for a period not to 21-13 exceed five years, the district may finance the capital 21-14 improvements and issue bonds specified in the budget without 21-15 further approval from the municipality. 21-16 (c) The district must obtain approval from the 21-17 municipality's governing body of the plans and specifications of 21-18 any district improvement project related to the use of land owned 21-19 by the municipality, an easement granted by the municipality, or a 21-20 right-of-way of a street, road, or highway. 21-21 (d) Except as provided by Section 375.263, a municipality is 21-22 not obligated to pay any bonds, notes, or other obligations of the 21-23 district. 21-24 Sec. 376.474. DISBURSEMENTS OR TRANSFERS OF FUNDS. The 21-25 board by resolution shall establish the number of directors' 21-26 signatures and the procedure required for a disbursement or 22-1 transfer of the district's money. 22-2 Sec. 376.475. COMPETITIVE BIDDING LIMIT. Section 375.221 22-3 does not apply to the district unless the contract is for more than 22-4 $25,000. 22-5 Sec. 376.476. EXCEPTION FOR DISSOLUTION OF DISTRICT WITH 22-6 OUTSTANDING DEBTS. (a) The board may vote to dissolve a district 22-7 that has debt. If the vote is in favor of dissolution, the 22-8 district shall remain in existence solely for the limited purpose 22-9 of discharging its debts. The dissolution is effective when all 22-10 debts have been discharged. 22-11 (b) Section 375.264 does not apply to the district. 22-12 SECTION 2. The legislature finds that: 22-13 (1) proper and legal notice of the intention to 22-14 introduce this Act, setting forth the general substance of this 22-15 Act, has been published as provided by law, and the notice and a 22-16 copy of this Act have been furnished to all persons, agencies, 22-17 officials, or entities to which they are required to be furnished 22-18 by the constitution and laws of this state, including the governor, 22-19 who has submitted the notice and Act to the Texas Natural Resource 22-20 Conservation Commission; 22-21 (2) the Texas Natural Resource Conservation Commission 22-22 has filed its recommendations relating to this Act with the 22-23 governor, lieutenant governor, and speaker of the house of 22-24 representatives within the required time; 22-25 (3) the general law relating to consent by political 22-26 subdivisions to the creation of districts with conservation, 23-1 reclamation, and road powers and the inclusion of land in those 23-2 districts has been complied with; and 23-3 (4) all requirements of the constitution and laws of 23-4 this state and the rules and procedures of the legislature with 23-5 respect to the notice, introduction, and passage of this Act have 23-6 been fulfilled and accomplished. 23-7 SECTION 3. (a) The initial board of directors of the Frisco 23-8 Square Management District consists of: 23-9 Position No. 1. Kathleen A. Seei 23-10 2. Maher Maso 23-11 3. E. Michael Simpson 23-12 4. Joseph Cole McDowell, Jr. 23-13 5. Brenda N. McDonald 23-14 (b) With respect to the initial board members, the members 23-15 appointed for positions one through three serve until July 1, 2003, 23-16 and the members appointed for positions four and five serve until 23-17 July 1, 2005. 23-18 SECTION 4. This Act takes effect immediately if it receives 23-19 a vote of two-thirds of all the members elected to each house, as 23-20 provided by Section 39, Article III, Texas Constitution. If this 23-21 Act does not receive the vote necessary for immediate effect, this 23-22 Act takes effect September 1, 2001.