2003S0994-1 04/04/03


By:  Fraser                                                       S.B. No. 1903


A BILL TO BE ENTITLED

AN ACT

relating to the creation, administration, and powers of municipal 
development districts.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subdivisions (2) and (3), Section 377.001, Local 
Government Code, are amended to read as follows:
		(2)  "District" means a municipal development district 
created under this chapter and Section 52-a, Article III, Texas 
Constitution.
		(3)  "Development project":                                                   
			(A)  means:                                                                  
				(i)  a "project" as that term is defined by 
Section 4B(a), Development Corporation Act of 1979 (Article 5190.6, 
Vernon's Texas Civil Statutes); or [and]
				(ii)  a convention center facility or 
related improvement such as a convention center, civic center, 
civic center building, civic center hotel, or auditorium; and
			(B)  includes parking areas or facilities that are 
used to park vehicles and that are located at or in the vicinity of 
other convention center facilities.
	SECTION 2.  Section 377.002, Local Government Code, is 
amended to read as follows:
	Sec. 377.002.  APPLICABILITY.  This chapter applies only to 
a municipality and a municipality's extraterritorial jurisdiction
[that is located in more than one county].
	SECTION 3.  Subsection (b), Section 377.021, Local 
Government Code, is amended to read as follows:
	(b)  The order calling the election must:                                      
		(1)  define the boundaries of the district to include:                 
			(A)  all or part of the boundaries of the 
municipality;             
			(B)  all or part of the boundaries of the 
municipality and all or part of the boundaries of the 
municipality's extraterritorial jurisdiction; or
			(C)  all or part of the municipality's 
extraterritorial jurisdiction; and
		(2)  call for the election to be held within those 
boundaries.              
	SECTION 4.  Subsections (b) and (d), Section 377.051, Local 
Government Code, are amended to read as follows:
	(b)  The board is appointed by the governing body of the 
municipality that called [in which] the election creating the
district [is located].
	(d)  To qualify to serve as a director, a person must be a 
resident of the municipality that called [in which] the election 
creating the district or the municipality's extraterritorial 
jurisdiction [is located].  An employee, officer, or member of the 
governing body of the municipality may serve as a director, but may 
not have a personal interest in a contract executed by the district 
other than as an employee, officer, or member of the governing body 
of the municipality.
	SECTION 5.  This Act takes effect September 1, 2003.