By: Armbrister S.B. No. 1823
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the approval of the creation and acts of Hays County
1-3 Development District No. 1 and its administration, powers, duties,
1-4 operation, financing and acquisition of its project.
1-5 BE ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. LEGISLATIVE FINDINGS. (a) The Legislature finds
1-7 that the creation of Hays County Development District No. 1 (the
1-8 "District") and the project approved by the Hays County
1-9 Commissioners Court on January 11, 2000 (the "Project") will serve
1-10 the public purpose of attracting visitors and tourists to Hays
1-11 County, and will result in employment and economic activity in the
1-12 manner contemplated by Article III, Section 52-a of Texas
1-13 Constitution and Chapter 383, Local Government Code.
1-14 (b) The Legislature further finds that economic development
1-15 is an essential function and purpose of the District.
1-16 (c) The Legislature further finds that the creation of the
1-17 District and the acquisition or financing of the Project by the
1-18 District serves the purpose of Article XVI, Section 59 and Article
1-19 III, Section 52 of the Texas Constitution, and all steps necessary
1-20 to create the District have been taken.
1-21 SECTION 2. APPROVAL OF CREATION. The creation of Hays
1-22 County Development District No.1 by the Hays County Commissioners
1-23 Court on January 11, 2000 and all actions heretofore taken with
2-1 regard to the District are hereby approved.
2-2 SECTION 3. FINDINGS RELATED TO BOUNDARIES. The District's
2-3 boundaries are those as found by the Hays County Commissioners
2-4 Court's Order Upon Hearing Granting Petition Requesting the
2-5 Creation of Hays County Development District No. 1 and Appointing
2-6 Temporary Directors dated January 11, 2000. The Legislature finds
2-7 that these boundaries form a closure. A mistake in field notes or
2-8 copying the field notes in the legislative process does not affect
2-9 the organization, existence, or validity of the District, the right
2-10 of the district to levy and collect taxes, or the legality or
2-11 operation of the district or its governing body.
2-12 SECTION 4. FINDING OF BENEFIT. All of the land and other
2-13 projects included within the boundaries of the District will be
2-14 benefitted by the works and projects that are to be accomplished by
2-15 the District pursuant to the powers conferred by Article III,
2-16 Section 52-a, Article III, Section 52 and Article XVI, Section 59
2-17 of the Texas Constitution. The District serves a public use and
2-18 benefit.
2-19 SECTION 5. POWERS. The District has all of the rights,
2-20 powers, privileges, authority, functions, and duties provided by
2-21 Chapters 375 and 383, Local Government Code, as amended, to County
2-22 Development Districts and Municipal Management Districts, including
2-23 but not limited to:
2-24 (1) The authority to levy, assess and collect ad
2-25 valorem taxes for the purposes approved at the elections conducted
2-26 on November 7, 2000.
3-1 (2) The authority, after approval by voters at an
3-2 election conducted within the boundaries of the District, to levy,
3-3 assess and collect taxes for maintenance and operating purposes in
3-4 the manner set forth in Section 49.107(a)-(e), Water Code, as
3-5 amended, and for the repayment of bonds, notes, warrants, lease
3-6 purchase agreements, certificates of assessment, certificates of
3-7 participation in lease purchase agreements, and other
3-8 interest-bearing obligations in the manner set forth in Section
3-9 49.106(a) - (d), Water Code, as amended, for all of the purposes
3-10 for which the District may expend funds.
3-11 (3) To establish, levy and collect special assessments
3-12 in the manner specified in Sections 375.111 through 375.124, Local
3-13 Government Code, as amended; provided, however, that Sections
3-14 375.161 through 375.163, Local Government Code, as amended, shall
3-15 not apply to the assessments imposed by the District;
3-16 (4) To utilize funds whether the funds are derived
3-17 from ad valorem taxes, sales and use taxes, hotel occupancy tax,
3-18 revenues from the Project or any other source, for payment of
3-19 projects or services in the manner authorized by Section 375.181,
3-20 Local Government Code as amended and Chapter 383, Local Government
3-21 Code as amended;
3-22 (5) To enter into obligations, including, but not
3-23 limited to, lease purchase agreements, certificates of
3-24 participation in lease purchase agreements, general obligation
3-25 bonds and notes and revenue bonds and notes, and combination
3-26 general obligation and revenue bonds and notes and other
4-1 interest-bearing obligations in the manner specified in Sections
4-2 375.201 through 375.204, Local Government Code, as amended. To
4-3 enter into these obligations, the District shall obtain only those
4-4 approvals required for the issuance of obligations by Hays County
4-5 by Chapter 53, Acts of the 70th Legislature, Second Called Session,
4-6 1987.
4-7 (6) To adopt the powers of a road district under
4-8 Article III, Section 52(b)(3), Texas Constitution in the manner
4-9 specified in Section 53.029(c) and (d), Water Code, as amended;
4-10 (7) To levy, assess and collect ad valorem taxes to
4-11 make payments on a contract under Section 49.108(a) through (d),
4-12 Water Code, as amended, after obtaining those approvals specified
4-13 in Section 1 of Chapter 778, Acts of the 74th Legislature, Regular
4-14 Session, 1995.
4-15 (8) To exercise all of the rights, powers and
4-16 authority of a road district, a municipal management district, and
4-17 a water control and improvement district which are not specifically
4-18 contradicted by Chapter 383, Local Government Code, as amended;
4-19 (9) To exercise all of the rights, powers and
4-20 authority granted to the District by this Act, and all of rights,
4-21 powers and authority granted to the District by Chapter 383 and
4-22 375, Local Government Code, which are not contrary to any
4-23 provisions of this Act, to finance, construct or otherwise acquire
4-24 the Project or any element of the Project identified in the
4-25 Commissioner Court Order Upon Hearing Granting Petition Requesting
4-26 the Creation of Hays County Development District No. 1 and
5-1 Appointing Temporary Directors dated January 11, 2000, including,
5-2 but not limited to the hotel, the golf course, the water, sewer,
5-3 drainage and road improvements, the organizational costs and costs
5-4 of issuance of the obligations of the District.
5-5 SECTION 6. LIBERAL CONSTRUCTION. This Act shall be
5-6 liberally construed in conformity with the legislative findings and
5-7 purposes set forth therein. This Act prevails over any provisions
5-8 of general law that is in conflict or inconsistent with this Act.
5-9 SECTION 7. ADMINISTRATIVE PROVISIONS. The District shall
5-10 continue to operate as a County Development District and, subject
5-11 to the provisions hereinafter set forth, comply with Subchapter C,
5-12 Chapter 383, Government Code:
5-13 (a) Each director who takes office after the effective date
5-14 of this Act shall own land within the boundaries of the District;
5-15 (b) A vacancy in the office of director shall be filled by
5-16 appointment by the remaining members of the board of directors;
5-17 (c) The Board of Directors may designate and establish one
5-18 or more district offices outside Hays County;
5-19 (d) The Board of Directors may, at any time, on its own
5-20 motion and shall, if presented with a petition bearing the
5-21 signatures of a majority of the registered voters of the district
5-22 gathered within a 30-day time period, call an election to determine
5-23 whether the Board of Directors of the District will be selected by
5-24 popular election, rather than being selected by appointment by the
5-25 Commissioners Court.
5-26 The order calling the election under this Section must state:
6-1 (i) the nature of the election, including the
6-2 proposition that is to appear on the ballot;
6-3 (ii) the date of the election;
6-4 (iii) the hours during which the polls will be
6-5 open;
6-6 (iv) the location of the poling places; and
6-7 (v) any other information necessary or
6-8 appropriate to comply with the Election Code, as amended.
6-9 Notice of the election shall be given by publishing a
6-10 substantial copy of the election order once a week for two (2)
6-11 consecutive weeks in a newspaper with general circulation in Hays
6-12 County. The first publication must appear no later than the 14th
6-13 day before the date set for the election.
6-14 The election shall be held in accordance with the
6-15 provision of the Election Code, to the extent not inconsistent with
6-16 this chapter.
6-17 The ballot shall be printed to permit voting for or
6-18 against the proposition: "The selection of directors of Hays County
6-19 Development District No. 1 by popular election."
6-20 After the election, the presiding judge shall make
6-21 returns of the result to the Board of Directors. The Board of
6-22 Directors shall canvass the returns and canvass the results.
6-23 If a majority of the votes cast in the election favor
6-24 the selection of directors by popular election, then the Board of
6-25 Directors shall declare the result and enter it into its minutes.
6-26 Thereafter, the Board of Directors shall take all steps necessary
7-1 to conduct an election on the uniform election date next preceding
7-2 the September 1 date on which an appointed director's term of
7-3 office expires. Each appointed director shall serve until his
7-4 successor is elected and duly qualifies. The term of office of
7-5 each elected director shall be four (4) years. The election of
7-6 directors shall be conducted in the manner authorized by the
7-7 Election Code.
7-8 If a majority of the votes cast in the election are
7-9 against the selection of directors by popular election, the Board
7-10 of Directors shall declare the result and enter it into its
7-11 minutes. Thereafter, the directors shall continue to be selected
7-12 by appointment by the commissioners court.
7-13 Elections to determine the manner of selection of
7-14 directors under this Section shall occur no more often than once
7-15 every 24 months.
7-16 A certified copy of the minute order declaring the
7-17 results of the election shall be sent to the commissioners court.
7-18 SECTION 8. The Legislature finds that the principal function
7-19 of the District is to provide for development and operation of the
7-20 Project to facilitate economic development and to attract visitors
7-21 and tourists which result in employment and economic activity in
7-22 Hays County. The Legislature finds that the District may provide
7-23 water and sewer, drainage and reclamation services to residential
7-24 retail or commercial customers. The District is a district
7-25 described in Section 49.181(h)(4), Water Code, as amended.
7-26 SECTION 9. ADDITION AND EXCLUSION OF LANDS
8-1 In addition to the authority granted to the District by
8-2 Section 383.084, Local Government Code, the District may add lands
8-3 in the manner provided by Section 49.301, Water Code, as amended,
8-4 and may exclude lands in the methods provided by Sections 49.303
8-5 through 49.308, Water Code, as amended.
8-6 SECTION 10. DISSOLUTION OF DISTRICT BY PETITION OF TAXPAYERS
8-7 In addition to the method of dissolution of the District set
8-8 forth in Sections 383.122 and 383.123, Local Government Code, as
8-9 amended, the District may be dissolved in the following manner:
8-10 (a) A Petition for Dissolution, duly executed by the
8-11 owners of taxable property equal to at least 60% of the appraised
8-12 value of property within the boundaries of the District which is
8-13 subject to ad valorem taxation by the District on the January 1
8-14 next preceding the date of the Petition for Dissolution, may be
8-15 filed with the Board of Directors, if all of the interest-bearing
8-16 obligations of the District have been paid.
8-17 (b) If a majority of the Board of Directors determines
8-18 that the Petition for Dissolution is in the form specified by this
8-19 Section 10 and that all of the interest-bearing obligations of the
8-20 District have been paid, then the Board of Directors shall enter an
8-21 order dissolving the District and execute instruments transferring
8-22 assets of the District to the owners of the property subject to ad
8-23 valorem taxation by the District on the January 1 next preceding
8-24 the date of the Petition for Dissolution. If the Board of
8-25 Directors fails to make the determination necessary to enter the
8-26 order dissolving the District, it shall dismiss the Petition for
9-1 Dissolution and set forth its reasons in writing in the dismissal
9-2 order.
9-3 (c) An order entered pursuant to Section 10(b) of this
9-4 Act may be challenged only in a state district court proceeding
9-5 filed by owners of property subject to ad valorem taxation by the
9-6 District. The proceeding shall be filed in the county in which the
9-7 District is located, not later than the 10th day after the date of
9-8 the order. If such a proceeding is not filed within the time
9-9 specified herein, the order becomes final and may not thereafter be
9-10 challenged, and each finding in the order becomes incontestable.
9-11 The order can be overturned only if the state district court finds
9-12 that the entry of the order constituted an abuse of discretion by
9-13 the Board of Directors.
9-14 SECTION 11. FINDINGS RELATING TO PROCEDURAL REQUIREMENTS.
9-15 The Legislature finds:
9-16 (a) The proper and legal notice of the intention to
9-17 introduce this Act, setting for the general substance of this Act,
9-18 has been published as provided by law, and the notice and a copy of
9-19 this Act have been furnished to all persons, agencies, officials,
9-20 or entities to which they are required to be furnished by the
9-21 constitution and other laws of this state, including the governor,
9-22 who has submitted the notice and the Act to the Texas Natural
9-23 Resource Conservation Commission.
9-24 (b) The Texas Natural Resource Conservation Commission has
9-25 filed its recommendations relating to this Act with the governor,
9-26 lieutenant governor, and speaker of the house of representatives
10-1 within the required time.
10-2 (c) All requirements of the constitution and laws of this
10-3 state and rules and procedures of the legislature with respect to
10-4 the notice, introduction, and passage of this Act are fulfilled and
10-5 accomplished.
10-6 SECTION 12. EFFECTIVE DATE. This Act takes effect
10-7 immediately if it receives a vote of two-thirds of all the members
10-8 elected to each house, as provided by Section 39, Article III,
10-9 Texas Constitution. If this Act does not receive the vote
10-10 necessary for immediate effect, this Act takes effect August 28,
10-11 2001.
10-12 Section 13. EMERGENCY. The importance of this legislation
10-13 and the crowded condition of the calendars in both houses create an
10-14 emergency and an imperative public necessity that the
10-15 constitutional rule requiring bills to be read on three several
10-16 days in each house be suspended, and this rule is hereby suspended.