78R14740 DRH-F
By: Hochberg H.B. No. 3631
A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Sharpstown International
Improvement District; providing the authority to impose taxes and
issue bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. CREATION OF DISTRICT. (a) The Sharpstown
International Improvement District is a special district created
under Section 59, Article XVI, Texas Constitution.
(b) The board by resolution may change the name of the
district.
SECTION 2. DEFINITIONS. In this Act:
(1) "Board" means the board of directors of the
district.
(2) "District" means the Sharpstown International
Improvement District.
SECTION 3. DECLARATION OF INTENT. (a) The creation of the
district is essential to accomplish the purposes of Sections 52 and
52-a, Article III, and Section 59, Article XVI, Texas Constitution,
and other public purposes stated in this Act.
(b) The creation of the district is necessary to promote,
develop, encourage, and maintain employment, commerce,
transportation, housing, tourism, recreation, the arts,
entertainment, economic development, safety, and the public
welfare in the area of the district.
(c) This Act and the creation of the district may not be
interpreted to relieve Harris County or the City of Houston from
providing the level of services provided as of the effective date of
this Act to the area in the district. The district is created to
supplement and not to supplant the county or city services provided
in the area in the district.
SECTION 4. BOUNDARIES. (a) The district includes all the
territory contained in the following described area:
The following tract of land in the City of Houston, Harris County,
Texas:
POINT OF BEGINNING, the Northeast corner of the intersection of
Renwick and Richmond Avenue; thence West along the Northern
boundary of the Richmond Avenue right-of-way to the Northwest
corner of the intersection of Richmond Avenue and South Gessner
Road; thence South along the East boundary of South Gessner Road to
the intersection of South Gessner Road and Alief Clodine Road;
thence West along South boundary of Alief Clodine Road to the
intersection of Alief Clodine Road and Beltway 8; thence south
along the East Boundary of Beltway 8 to the intersection of Beltway
8 and Bellaire; thence west along South boundary of Bellaire
Boulevard right-of-way to the intersection of the Eastern Bank of
Brays Bayou; thence Northwesterly along the Bank of Brays Bayou to
the intersection of Brays Bayou, to the North boundary of
Alief-Clodine Road right-of-way; thence along the North boundary of
Alief-Clodine Road right-of-way to the West boundary of Dairy
Ashford Road right-of-way; thence south along the West boundary of
Dairy Ashford Road right-of-way to the South boundary of Bissonnet
Street right-of-way; thence East along the Southern boundary of
Bissonnet Street right-of-way to the West boundary of Wilcrest
Drive right-of-way; thence South along the West boundary of
Wilcrest Drive right-of-way; thence South along the West boundary
of Wilcrest Drive right-of-way to the South Boundary of U.S.
Highway 59 right-of-way; thence Northeast along the South boundary
of U.S. Highway 59 right-of-way to the Southern Bank of Keegans
Bayou; thence Northeast along the South Bank of Keegans Bayou to the
South boundary of South Braeswood Boulevard right-of-way; thence
along the South Boundary of South Braeswood Boulevard right-of-way
to the East Boundary of South Gessner Road right-of-way; thence
North along East boundary of South Gessner Road right-of-way to the
South boundary of Bissonnet Street right-of-way; thence Northeast
along the South boundary of Bissonnet Street right-of-way to the
East boundary of Hillcroft Avenue right-of-way; thence North along
the East boundary of Hillcroft Avenue right-of-way to the South
boundary of U.S. Highway 59 right-of-way; thence Northeast along
the South boundary of the U.S. Highway 59 right-of-way to the South
boundary of the Westpark Drive right-of-way; thence East along the
South boundary of Westpark Drive right-of-way to the East Bound of
Renwick Drive right-of-way; thence North along East boundary of
Renwick Drive right-of-way to the POINT OF BEGINNING.
(b) At the first meeting of the board, the board shall
authorize a survey to detemine whether any single-family detached
residential property is located in the district. On completion of
the survey, the board shall act to exclude any single-family
detached residential property from the district.
SECTION 5. FINDINGS RELATING TO BOUNDARIES. The boundaries
and field notes of the district form a closure. A mistake in the
field notes or in copying the field notes in the legislative process
does not in any way affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for a purpose for
which the district is created or to pay the principal of and
interest on a bond;
(3) right to impose or collect an assessment or tax; or
(4) legality or operation.
SECTION 6. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a) The
district is created to serve a public use and benefit.
(b) All land and other property included in the district
will benefit from the improvements and services to be provided by
the district under powers conferred by Sections 52 and 52-a,
Article III, and Section 59, Article XVI, Texas Constitution, and
other powers granted under this Act.
(c) The creation of the district is in the public interest
and is essential to:
(1) further the public purposes of development and
diversification of the economy of the state;
(2) eliminate unemployment and underemployment; and
(3) develop or expand transportation and commerce.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district, and of the public;
(2) provide needed funding to preserve, maintain, and
enhance the economic health and vitality of the district as a
community and business center; and
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and by landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic beauty.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, and street art objects are parts of and necessary
components of a street and are considered to be a street or road
improvement.
(f) The district will not act as the agent or
instrumentality of any private interest even though the district
will benefit many private interests as well as the public.
SECTION 7. APPLICATION OF OTHER LAW. (a) Except as
otherwise provided by this Act, Chapter 375, Local Government Code,
applies to the district.
(b) Chapter 311, Government Code (Code Construction Act),
applies to this Act.
SECTION 8. CONSTRUCTION OF ACT. This Act shall be liberally
construed in conformity with the findings and purposes stated in
this Act.
SECTION 9. BOARD OF DIRECTORS IN GENERAL. (a) The district
is governed by a board of nine directors appointed under Section 11
of this Act.
(b) Directors serve staggered terms of four years, with five
directors' terms expiring June 1 of an odd-numbered year and four
directors' terms expiring June 1 of the following odd-numbered
year.
SECTION 10. QUALIFICATIONS. (a) To be qualified to serve
as a director, a person must be at least 18 years old and:
(1) an owner of property subject to assessment by the
district;
(2) an owner of a beneficial interest in a trust that
owns property subject to assessment by the district; or
(3) an agent, employee, or tenant nominated by a
person described in Subdivision (1) or (2).
(b) Section 375.063, Local Government Code, does not apply
to the district.
SECTION 11. APPOINTMENT OF DIRECTORS. The mayor and
members of the governing body of the City of Houston shall appoint
directors from persons recommended by the board. A person is
appointed if a majority of the members of the governing body,
including the mayor, vote to appoint that person.
SECTION 12. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT. (a)
Except as provided by this section:
(1) a director may participate in all board votes and
decisions; and
(2) Chapter 171, Local Government Code, governs
conflicts of interest for directors.
(b) Section 171.004, Local Government Code, does not apply
to the district. A director who has a substantial interest in a
business or charitable entity that will receive a pecuniary benefit
from a board action shall file a one-time affidavit declaring the
interest. An additional affidavit is not required if the
director's interest changes. After the affidavit is filed with the
board secretary, the director may participate in a discussion or
vote on that action if:
(1) a majority of the directors have a similar
interest in the same entity; or
(2) all other similar business or charitable entities
in the district will receive a similar pecuniary benefit.
(c) A director who is also an officer or employee of a public
entity may not participate in the discussion of or vote on a matter
regarding a contract with that same public entity.
(d) For purposes of this section, a director has a
substantial interest in a charitable entity in the same manner that
a person would have a substantial interest in a business entity
under Section 171.002, Local Government Code.
SECTION 13. ELECTRONIC TRANSMISSIONS. (a) The district
may acquire, operate, or charge fees for the use of the district
conduits for:
(1) another person's:
(A) telecommunications network;
(B) fiber-optic cable; or
(C) electronic transmission line; or
(2) any other type of transmission line or supporting
facility.
(b) The district may not require a person to use a district
conduit.
SECTION 14. ADDITIONAL POWERS OF DISTRICT. The district
may exercise the powers given to:
(1) a corporation created under Section 4B,
Development Corporation Act of 1979 (Article 5190.6, Vernon's Texas
Civil Statutes); and
(2) a housing finance corporation created under
Chapter 394, Local Government Code, to provide housing or
residential development projects in the district.
SECTION 15. AGREEMENTS; GRANTS. (a) The district may make
an agreement with or accept a gift, grant, or loan from any person.
(b) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
SECTION 16. LAW ENFORCEMENT SERVICES. To protect the
public interest, the district may contract to provide law
enforcement services in the district for a fee.
SECTION 17. NONPROFIT CORPORATION. (a) The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act on behalf of the district in implementing a project
or providing a service authorized by this Act.
(b) The board shall appoint the board of directors of a
nonprofit corporation. The board of directors of the nonprofit
corporation shall serve in the same manner as the board of directors
of a local government corporation created under Chapter 431,
Transportation Code.
(c) The nonprofit corporation:
(1) has the powers of and is considered for purposes of
this Act to be a local government corporation created under Chapter
431, Transportation Code; and
(2) may implement any project and provide any service
authorized by this Act.
SECTION 18. REQUIREMENTS FOR FINANCING SERVICES AND
IMPROVEMENTS. The board may not finance a service or improvement
project with assessments under this Act unless a written petition
requesting that improvement or service has been filed with the
board. The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district subject to assessment as determined
by the most recent certified tax appraisal roll for Harris County;
or
(2) at least 50 owners of real property in the district
that is subject to assessment, if more than 50 persons own real
property subject to assessment in the district as determined by the
most recent certified tax appraisal roll for Harris County.
SECTION 19. ASSESSMENTS. (a) The board by resolution may
impose and collect an assessment for any purpose authorized by this
Act.
(b) An assessment, a reassessment, or an assessment
resulting from an addition to or correction of the assessment roll
by the district, penalties and interest on an assessment or
reassessment, an expense of collection, and reasonable attorney's
fees incurred by the district:
(1) are a first and prior lien against the property
assessed;
(2) are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad valorem
taxes; and
(3) are the personal liability of and charge against
the owners of the property even if the owners are not named in the
assessment proceedings.
(c) The lien is effective from the date of the resolution of
the board imposing the assessment until the date the assessment is
paid. The board may enforce the lien in the same manner that the
board may enforce an ad valorem tax lien against real property.
(d) The board may exempt any property from all or a part of
the assessments levied on that property or determine that the
property will not benefit from the proposed improvement project or
services.
SECTION 20. RESIDENTIAL PROPERTY. The district may not
impose an assessment on residential property.
SECTION 21. UTILITIES. The district may not impose an
impact fee or assessment on the property, including the equipment,
rights-of-way, facilities, or improvements, of an electric utility
or a power generation company as defined by Section 31.002,
Utilities Code, or a gas utility as defined by Section 101.003 or
121.001, Utilities Code, of a telecommunications provider as
defined by Section 51.002, Utilities Code, or of a person that
provides to the public cable television or advanced
telecommunications services.
SECTION 22. BONDS. (a) The district may issue bonds or
other obligations payable in whole or in part from ad valorem taxes,
assessments, impact fees, revenue, grants, or other money of the
district, or any combination of those sources of money, to pay for
any authorized purpose of the district.
(b) The board may not issue bonds for a service or
improvement project under this Act unless a written petition
requesting that improvement or service has been filed with the
board. The petition must be signed by the owners of a majority of
the assessed value of real property in the district that will be
subject to the assessment as determined by the most recent
certified tax appraisal roll for Harris County.
(c) In exercising the district's borrowing power, the
district may issue a bond or other obligation in the form of a bond,
note, certificate of participation or other instrument evidencing a
proportionate interest in payments to be made by the district, or
other type of obligation.
SECTION 23. DISBURSEMENTS OR TRANSFERS OF MONEY. The board
by resolution shall establish the number of directors' signatures
and the procedure required for a disbursement or transfer of the
district's money.
SECTION 24. COMPETITIVE BIDDING LIMIT. Section 375.221,
Local Government Code, applies to the district only for a contract
that has a value greater than $25,000.
SECTION 25. EXCEPTION FOR DISSOLUTION OF DISTRICT WITH
OUTSTANDING DEBT. (a) The board may vote to dissolve a district
that has debt. If the vote is in favor of dissolution, the district
shall remain in existence solely for the limited purpose of
discharging its debts. The dissolution is effective when all debts
have been discharged.
(b) Section 375.264, Local Government Code, does not apply
to the district.
SECTION 26. INITIAL DIRECTORS. (a) The initial board
consists of the following persons:
Pos. No. Name of Director
1 Wea H. Lee
2 Hubert Vo
3 Welcome Wilson, Jr.
4 Peter Pham
5 Toni Franklin
6 David Scott
7 Kenneth Li
8 Robert Tanner
9 Maurisa Tolbert
(b) Of the initial directors, the terms of directors
appointed for positions 1 through 5 expire June 1, 2007, and the
terms of directors appointed for positions 6 through 9 expire June
1, 2005.
(c) Section 11 of this Act does not apply to this section.
(d) This section expires September 1, 2007.
SECTION 27. LEGISLATIVE FINDINGS. The legislature finds
that:
(1) proper and legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished by
the constitution and laws of this state, including the governor,
who has submitted the notice and Act to the Texas Commission on
Environmental Quality;
(2) the Texas Commission on Environmental Quality has
filed its recommendations relating to this Act with the governor,
lieutenant governor, and speaker of the house of representatives
within the required time;
(3) the general law relating to consent by political
subdivisions to the creation of districts with conservation,
reclamation, and road powers and the inclusion of land in those
districts has been complied with; and
(4) all requirements of the constitution and laws of
this state and the rules and procedures of the legislature with
respect to the notice, introduction, and passage of this Act have
been fulfilled and accomplished.
SECTION 28. EFFECTIVE DATE. This Act takes effect
immediately if it receives a vote of two-thirds of all the members
elected to each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this Act takes effect September 1, 2003.
COMMITTEE AMENDMENT NO. 1
Amend H.B. No. 3631 as follows:
(1) On page 9, strike lines 13-17, and substitute the
following:
and
(2) at least 30 other owners of real property in the
district that is subject to assessment, if more than 30 persons own
real property in the district that is subject to assessment and did
not sign the petition as part of the majority under Subdivision (1).
(2) On page 11, line 22, strike "$25,000" and substitute
"$15,000".
78R15891 DRH-F Bailey
COMMITTEE AMENDMENT NO. 2
Amend H.B. No. 3631 as follows:
(1) On page 5, between lines 23 and 24, insert a new SECTION
9 to read as follows:
SECTION 9. NOTICE AND APPROVAL OF PROPERTY OWNERS. (a) Not
later than the 30th day before the date of the first board meeting,
written notice must be mailed by certified mail, return receipt
requested, to each property owner in the district who could be
subject to assessment by the district at the address of the property
owner as reflected on the most recent certified tax appraisal roll
for Harris County.
(b) The notice under Subsection (a) of this section must
include:
(1) a description and definition of the Sharpstown
International Improvement District;
(2) the purpose of the district;
(3) a statement that the district, by action of the
board, may charge an assessment for improvements to be made in the
district;
(4) the time, date, and location of the first board
meeting; and
(5) a method by which the property owner may respond
indicating approval or disapproval of the creation of the district.
(c) If the majority of the property owners responding before
the time of the first board meeting indicate disapproval of the
creation of the district, the board may not take any action, except
that the board may schedule another meeting and repeat the process
provided by this section.
(2) Renumber the remaining SECTIONS of the bill as
appropriate.
78R15890 DRH-F Bailey