80(R) SB 2003 - 2nd reading 1 (H)

This website will be unavailable from Thursday, May 30, 2024 at 6:00 p.m. through Monday, June 3, 2024 at 7:00 a.m. due to data center maintenance.

Amend SB 2003 (house committee printing) as follows:

(1) Between the enacting clause and SECTION 1 of the bill (page 1, between lines 5 and 6), insert the following:

ARTICLE 1. KING'S CROSSING MUNICIPAL UTILITY DISTRICT OF GRAYSON
COUNTY
(2) Redesignate SECTIONS 1-3 of the bill as SECTIONS
1.01-1.03.
(3) In SECTION 1 of the bill, in added Subsection (a),
Section 8251.005, Special District Local Laws Code (page 2, line
10), strike "Section 2 of the Act" and substitute "Section 1.02 of
the Act".
(4) In SECTION 1 of the bill, in added Subsection (b),
Section 8251.005, Special District Local Laws Code (page 2, lines
11 and 12), strike "Section 2 of the Act" and substitute "Section
1.02 of the Act".
(5) In SECTION 3 of the bill (page 12, lines 10-27), strike
"Act" each time the word appears and substitute "article".
(6) Strike SECTION 4 of the bill (page 13, lines 1-5),
substitute the following appropriately numbered articles and
sections, and renumber subsequent articles and sections
accordingly:

ARTICLE ____. DOUBLE PLATINUM RANCH WATER CONTROL AND IMPROVEMENT
DISTRICT NO. 1 OF GRAYSON COUNTY
SECTION ____.01. Subtitle I, Title 6, Special District
Local Laws Code, is amended by adding Chapter 9206 to read as
follows:

CHAPTER 9206. DOUBLE PLATINUM RANCH WATER CONTROL AND IMPROVEMENT
DISTRICT NO. 1 OF GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 9206.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "Director" means a member of the board.
(3) "District" means the Double Platinum Ranch Water
Control and Improvement District No. 1 of Grayson County.
Sec. 9206.002. NATURE OF DISTRICT. The district is a water
control and improvement district in Grayson County created under
and essential to accomplish the purposes of Section 59, Article
XVI, Texas Constitution.
Sec. 9206.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 9206.064 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of
debts shall be transferred to Grayson County; and
(C) the organization of the district shall be
maintained until all debts are paid and remaining assets are
transferred; and
(2) this chapter expires September 1, 2014.
Sec. 9206.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
other indebtedness; or
(4) the legality or operation of the district or the
board.
Sec. 9206.005. ANNEXATION BY CITY OF GUNTER. (a)
Notwithstanding any other law, if all of the territory of the
district is annexed by the City of Gunter into the corporate limits
of that municipality before the date of the election held to confirm
the creation of the district, the district may not be dissolved and
shall continue until the district is dissolved under Section
43.074, Local Government Code.
(b) Any future annexation or inclusion of additional
territory into a district governed by this chapter may not occur
unless the City of Gunter is allowed to voluntarily annex the same
territory into its corporate limits.

[Sections 9206.006-9206.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 9206.051. DIRECTORS; TERMS. (a) The district is
governed by a board of five directors.
(b) Except as provided by Section 9206.061 of this code and
Section 49.102, Water Code, directors serve staggered four-year
terms, with the terms of two or three directors expiring June 1 of
each even-numbered year.
Sec. 9206.052. ELECTION OF DIRECTORS. On the uniform
election date in May of each even-numbered year, the appropriate
number of directors shall be elected.

[Sections 9206.053-9206.060 reserved for expansion]

SUBCHAPTER B-1. TEMPORARY PROVISIONS
Sec. 9206.061. INITIAL DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as initial directors the
five persons named in the petition.
(b) The commission shall appoint as initial directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If an initial director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Initial directors serve until the earlier of:
(1) the date the first directors are elected at the
confirmation election under Section 9206.064; or
(2) the date this subchapter expires under Section
9206.066.
Sec. 9206.062. ORGANIZATIONAL MEETING OF INITIAL
DIRECTORS. As soon as practicable after all the initial directors
have qualified under Section 49.055, Water Code, the initial
directors shall meet at a location in the district agreeable to a
majority of the directors. At the meeting, the initial directors
shall elect officers from among the initial directors and conduct
any other district business.
Sec. 9206.063. CONSENT OF MUNICIPALITY REQUIRED. The
initial directors may not hold an election under Section 9206.064
until all of the territory of the district is included in the
corporate limits of the City of Gunter.
Sec. 9206.064. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION. The initial directors shall hold an election to confirm
the creation of the district and to elect five directors as provided
by Section 49.102, Water Code.
Sec. 9206.065. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 9206.064 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 9206.066. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 9206.067-9206.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 9206.101. WATER CONTROL AND IMPROVEMENT DISTRICT
POWERS AND DUTIES. (a) The district has the powers and duties
provided by the general law of this state, including Chapters 49 and
51, Water Code, applicable to water control and improvement
districts created under Section 59, Article XVI, Texas
Constitution.
(b) Notwithstanding Subsection (a), the district may not
act as a retail provider of water or wastewater services.
(c) The district shall make its water and wastewater
facilities available to an entity holding the applicable
certificate of convenience and necessity.
Sec. 9206.102. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet or exceed all applicable
construction standards, zoning and subdivision requirements, and
regulatory ordinances of the municipality in whose corporate limits
or extraterritorial jurisdiction the district is located.
(c) If a portion of the territory of the district is
excluded from the corporate limits of the City of Gunter, the
district shall:
(1) improve, maintain, repair, and operate the roads
located in that portion of territory in accordance with the
ordinances and rules of the political subdivision possessing
jurisdiction over the roads in that portion of territory; and
(2) pay the entire cost of performing the district's
duties under Subdivision (1).
Sec. 9206.103. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if:
(1) the district has no outstanding bonded debt;
(2) the district is not imposing ad valorem taxes; and
(3) each new district is within the corporate limits
of the City of Gunter.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code. Sections 51.748 through 51.753, Water
Code, do not apply to the district.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) At the time of creation, any new district created by the
division of the district may not contain any land outside the area
described by Section ____.02 of the Act creating this chapter.

[Sections 9206.104-9206.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 9206.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 9206.201.

[Sections 9206.152-9206.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 9206.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 51, Water Code, to finance the
construction, maintenance, or operation of a project under Section
9206.101 or 9206.102.
(b) The district may not issue bonds to finance projects
authorized by Section 9206.102 unless the issuance is approved by a
vote of a two-thirds majority of the district voters voting at an
election called for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 9206.102 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Double Platinum Ranch Water Control
and Improvement District No. 1 of Grayson County includes all the
territory contained in the following area:

TRACT ONE:
All that certain tract or parcel of land situated in the John
Palms Survey, Abstract Number 926, County of Grayson, State of
Texas, said tract being part of a called 197.3 acre tract as
described in Deed to Dryden Dorchester Ltd., filed 27 December
2000, and Recorded in Volume 3014, Page 743 of the Deed Records of
the County of Grayson, State of Texas, and being more fully
described as follows:
BEGINNING for the northeast corner of the tract being herein
at a Wood Fence corner Post, said post being the northeast corner of
said Dryden tract, and the southeast corner of a tract as described
in Deed to Gordon W. Doodier et ux, Delores Goodier, filed 14
January 1971, and Recorded in Volume 1179, Page 63 of said Deed
Records, said post also being on a west line of a called 1022 acre
tract as described in Tract 7 in Deed to Jeribeth Sharp, filed 30
June 1998, and Recorded in Volume 2668 Page 09 of said Deed Records;
THENCE South 00 degrees 20 minutes 01 seconds East, with the
east line of said Dryden tract, and west line of said Sharp tract, a
distance of 3318.06 feet to a set ½ inch Steel Square Tubing for
the southeast corner of said Dryden tract, and an ell corner of said
Sharp tract;
THENCE South 88 degrees 45 minutes 58 8 seconds West, with the
south line at said Dryden tract, a distance of 2576.18 feet to a set
1\2 inch Steel Square Tubing for the southwest corner of said Dryden
tract, and an ell corner of said Sharp tract,

Thence: North 00 degrees 23 minutes 33 seconds West, with the west
line of said Dryden tract, a distance of 3325.00 feet to a found ½
inch Steel Rebar at the base of a wood fence corner post, being an
ell corner of said Dryden tract and Sharp tract and the Palms
Survey, and being the northeast corner of the John D. Nelson Survey,
Abstract Number 902;
THENCE South 89 degrees 45 minutes 03 seconds West, with a
wire fence line, and a south line of said Dryden tract, and a line of
said Sharp tract, a distance of 790.04 feet to a Wood Fence post for
the southwest corner of said Dryden tract, an ell corner of said
Palms Survey, and the southeast corner of the Antonia Hernandez
Survey, Abstract Number 489;
THENCE North, a distance of 26.12 feet to a set ½ inch Steel
Square Tubing Ike the northwest corner of said Dryden tract, and the
southwest corner of a tract described in Deed to Marjoriet Limited,
filed 24 March 1999, and Recorded in Volume 2769 Page 624 of said
Deed Records;
THENCE North 89 degrees 45 minutes 03 seconds East, with the
north line of said Dryden tact, and the south line of said Marjoriet
tract, a distance of 789.43 feet to a Wood Fence corner Post for a
corner;
THENCE North 89 degrees 30 minuses 06 seconds East, with the
north line of said Dryden tract, and passing the southeast corner of
said Marjoriet tract, and the southwest corner of said Goodier
tract, and continuing on said course for a total distance of 2579.75
feet to the POINT OF BEGINNING and containing 197.783 acres of land.

TRACT TWO:
Being a 1,022.20 acre tract of land situated in the John Palms
Survey, Abstract No. 926, and the John D. Nelson Survey, Abstract
No. 902, and being that certain tract of land conveyed to as Tract
I, to Marita Wiseman Sharp, Marita Wiseman Sharp Grantor Trust, and
Billy Jack Sharp Grantor Trust, by deed recorded in Volume 2427,
Page 448, and also conveyed as Tract 7, to Billy Jack Sharp Grantor
Trust, by deed recorded in Volume 2668, Page 00009, all of the Deed
Records of Grayson County, Texas, and being more particularly
described by metes and bounds as follows:
BEGINNING at a 1/2 inch iron rod set for corner, said point
being the southeast corner of said Billy Jack Sharp Grantor Trust
tract, and being at the centerline intersection more or less, of
McDonald Road, and Kimberlin Road;
THENCE North 86°52'06" West, along the common line of said
Billy Jack Sharp Grantor Trust tract, and the centerline more or
less of said Kimberlin Road, and along the south line of said Palms
Survey, passing the southwest corner of said Palms Survey, same
being the southeast corner of said Nelson Survey, and continuing
along the south line of said Nelson Survey, a distance of 6400.79
feet to a 1/2 inch iron rod set for corner, said point being in the
centerline of Kimberlin Road more of less, said point being the
southwest corner of said Billy Jack Sharp Grantor Trust tract, and
being the southeast corner of a called 1073.77 acre tract of land
conveyed to Davidson Land and Cattle Company, by deed recorded in
Volume 2235, Page 583, of the Deed Records of Grayson County, Texas;
THENCE North 02°35'02" East, along the common line of said
Billy Jack Sharp Grantor Trust tract, and said called 1073.77 acre
tract, a distance of 3806.58 feet to a 1/2 inch iron rod found for
corner;
THENCE North 85°53'34" West, continuing along the common line
of said Billy Jack Sharp Grantor Trust tract, and said called
1073.77 acre tract, a distance of 150.50 feet to a 1/2 inch iron rod
found for corner;
THENCE North 02°33'45" East, continuing along the common line
of said Billy Sank Grantor Trust tract, and said called 1073.77 acre
tract, a distance of 1112.85 feet to a 1/2 inch iron rod found for
corner;
THENCE South 87°0916' East, continuing along the common line
of said Billy Jack Sharp Grantor Trust tract, and said called
1073.77 acre tract, a distance of 149.97 feet to a 1/2 inch iron rod
found for corner;
THENCE North 02°38'21" East, continuing along the common line
of said Billy Jack Sharp Grantor Trust tract, and said called
1073.77 acre tract, a distance of 2500.00 feet to a 1/2 inch iron
rod found for corner, said point being in the north line of said
Nelson Survey, and the south line of Antonio Hernandez Survey,
Abstract No. 489, and being in the south line of a called 300 acre
tract of land conveyed to Lucian Touchtone, et ux, by deed recorded
in Volume 1013, Page 677, of the Deed Records of Grayson County,
Texas, and being the northeast corner of said called 1073.77 acre
tract, and being the northwest corner of said Billy Jack Sharp
Grantor Trust tract;
THENCE South 87°07'47" East, along the common line of said
Palms Survey, and the said Antonio Survey, and the common line of
said Billy Jack Sharp Grantor Trust tract, and said called 300 acre
tract, and passing the southeast corner of said called 300 acre
tract, same being the southeast corner of said Antonio Survey, same
being the southwest corner of said Palms Survey, and being the
southwest corner of a called 108.84 acre tract of land conveyed to
Lucian Touchtone, by deed recorded in Volume 1219, Page 360, of the
Deed Records of Grayson County, Texas, and continuing a total
distance of 2698.53 feet to a 1/2 inch iron rod found for corner,
said point being the northeast corner of said Nelson Survey, and an
ell corner of a called 197.3 acre tract of land conveyed to S.A.
Schott by deed recorded in Volume 359, Page 369, of the Deed Records
of Grayson County, Texas;
THENCE South 02°52'48" West, along the common line of said
Billy Jack Sharp Grantor Trust tract, and said called 197.3 acre
tract, a distance of 3325.00 feet to a 1/2 inch iron rod set for
corner, said point being the southwest corner of said called 197.3
acre tract;
THENCE South 87°56'40" East, along the common line of said
Billy Jack Sharp Grantor Trust tract, and said called 197.3 acre
tract, a distance of 2577.31 feet to a 1/2 inch iron rod set for
corner, said point being the southeast corner of said called 197.3
acre tract;
THENCE North 02°54'54" East, along the common line of said
Billy Jack Sharp Grantor Trust tract, and said called 197.3 acre
tract, a distance of 3318.06 feet to a 1/2 inch iron rod set for
corner, said point being the northwest corner of said called 197.3
acre tract, same being the southeast corner of a called 245.67 acre
tract of land conveyed to Gordon W. Goodier, et ux, by deed recorded
in Volume 1179, Page 63, of the Deed Records of Grayson County,
Texas;
THENCE North 03°09'39" East, along the common line of said
Billy Jack Sharp Grantor Trust tract, and said called 245.67 acre
tract, a distance of 4542.15 feet to a 1/2 inch iron rod found for
corner, said point being the northwest corner of said Billy Jack
Sharp Grantor Trust tract, same being the northeast corner of said
called 245.67 acre tract, and being in the south right-of-way line
of F.M. Highway 902;
THENCE South 86°51'00" East, along the north line of said
Billy Jack Sharp Grantor Trust tract, with the south right-of-way
line of F.M. Highway 902, a distance of 1119.25 feet to a railroad
spike found for corner, said point being in the centerline
intersection more or less of the south right-of-way line of F.M.
Highway 902, and McDonald Road, and being in the east line of said
Palms Survey;
THENCE South 02°47'31" West, with the east line of said Palms
Survey, and the east line of said Billy Jack Sharp Grantor Trust
tract, and along the centerline of McDonald Road more or less, a
distance of 12,018.20 feet to the POINT OF BEGINNING and containing
44,527,033 square feet or 1,022.20 acres of computed land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. FOUR SEASONS RANCH MUNICIPAL UTILITY DISTRICT NO. 1
OF DENTON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8208 to read as
follows:

CHAPTER 8208. FOUR SEASONS RANCH MUNICIPAL UTILITY DISTRICT NO. 1
OF DENTON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8208.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Four Seasons Ranch Municipal
Utility District No. 1 of Denton County.
Sec. 8208.002. NATURE OF DISTRICT. The district is a
municipal utility district in Denton County created under and
essential to accomplish the purposes of Section 59, Article XVI,
Texas Constitution.
Sec. 8208.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8208.024 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Denton County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8208.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
other indebtedness; or
(4) the legality or operation of the board.

[Sections 8208.005-8208.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8208.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8208.024; or
(2) the date this subchapter expires under Section
8208.026.
Sec. 8208.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8208.023. CONSENT OF MUNICIPALITY REQUIRED. The
temporary directors may not hold an election under Section 8208.024
until each municipality in whose corporate limits or
extraterritorial jurisdiction the district is located, if any, has
adopted a resolution consenting to the creation of the district.
Sec. 8208.024. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION. The temporary directors shall hold an election to
confirm the creation of the district and to elect five directors as
provided by Section 49.102, Water Code.
Sec. 8208.025. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8208.024 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8208.026. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8208.027-8208.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8208.051. DIRECTORS; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.
Sec. 8208.052. ELECTION OF DIRECTORS. On the uniform
election date in May of each even-numbered year, the appropriate
number of directors shall be elected.

[Sections 8208.053-8208.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8208.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8208.102. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads, or improvements in aid of those roads,
inside the district.
(b) A road project must meet or exceed all applicable
construction standards, zoning and subdivision requirements, and
regulatory ordinances of each municipality in whose corporate
limits or extraterritorial jurisdiction the district is located.
(c) The district may not undertake a road project unless
each municipality in whose corporate limits or extraterritorial
jurisdiction the district is located consents by ordinance or
resolution.
(d) The district shall, at its sole cost and expense,
maintain, improve, operate, and repair all roads constructed or
acquired by the district unless the municipality or county in which
a road is located voluntarily assumes the obligation. An
assumption of an obligation under this subsection is not valid or
binding unless the assumption is in writing, executed by the
necessary parties, and filed in the land records of the county in
which the road is located.
Sec. 8208.103. COMPLIANCE WITH MUNICIPAL ORDINANCES OR
RESOLUTIONS. The district shall comply with all applicable
requirements of any ordinance or resolution adopted by the
governing body of each municipality in whose corporate limits or
extraterritorial jurisdiction the district is located.
Sec. 8208.104. ANNEXATION OF LAND IN GRAYSON COUNTY. The
district may not annex land located in Grayson County without the
prior consent of the Commissioners Court of Grayson County.
Sec. 8208.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) A new district, at the time it is created by the division
of the district, may not contain land outside the area described by
Section ____.02 of the Act creating this chapter.

[Sections 8208.106-8208.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8208.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of and interest on bonds issued under
Section 8208.201.

[Sections 8208.152-8208.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8208.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, and to finance the
construction, maintenance, or operation of projects under Sections
8208.101 and 8208.102.
(b) The district may not issue bonds to finance projects
authorized by Section 8208.102 unless the issuance is approved by a
vote of a two-thirds majority of district voters voting at an
election called for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8208.102 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Four Seasons Ranch Municipal Utility
District No. 1 of Denton County initially includes all the
territory contained in the following area:

All that certain tract or parcel of land situated in the Juana
Curbello Survey, Abstract Number 213, and the A. H. Gee Survey,
Abstract Number 1522, County of Denton, State of Texas, said tract
being all of a Tract, as described in deed to Sadot Venture, LTD ,
filed 03 December 2003, and recorded in clerk number 2003-195563,
and being all of a tract as described in deed to McKinney 17 Venture
L.T.D., filed 28 May 2002, and recorded in volume 3257 page 22 of
the Deed Records of the County of Grayson, State of Texas, and
recorded in volume 5094 page 2020 of the Deed Records of the County
of Denton, State of Texas, said tract being all of a Tract, as
described in deed to Sadot Venture, LTD , filed 17 December 2003,
and recorded in clerk number 2003-203006, and being all of a tract
as described in deed to Netzer Environmental Consulting,, filed 28
May 2002, and recorded in volume 5094 page 2014 of the Deed Records
of the County of Denton, State of Texas and being more fully
described as follows:

Beginning for the southwest corner of the tract being described
herein at a found 1\2 inch rebar at the intersection of Garell Road
and Fritcher Road, said rebar being the southwest corner of said
Brock South tract;

Thence: North 00 degrees 32 minutes 08 seconds West, with the west
line of said Brock South tract, and with the center of said Garell
Road, a distance of 2487.12 feet to a found 1\2 inch rebar for an
angle point in the west line of said Brock South tract, same being
an angle point in said road;

Thence: North 00 degrees 01 minutes 19 seconds West, with the west
line of said Brock South tract, and with the center of said road, a
distance of 1439.64 feet to a found 1\2 inch rebar for the northwest
corner of said Brock South tract, same being a turn in said road;

Thence: North 86 degrees 29 minutes 35 seconds East, with the north
line of said Brock South tract, and with the center of said road, a
distance of 256.11 feet to a found 1\2 inch rebar for an ell corner
of this tract, and said rebar being the southwest corner of said
Street tract, same being a turn in said road, said rebar also being
an angle point in the north line of said Brock South tract;

Thence: North 02 degrees 34 seconds 12 seconds East, with the west
line of said Netzer tract, and with the center of said road, a
distance of 2019.60 feet to a point for an ell corner of this tract;

Thence: North 89 degrees 56 minutes 50 seconds East, a distance of
27.25 feet to a found 1\2 inch steel rebar for a corner of this
tract;

Thence: North 02 degrees 25 seconds 53 seconds East, with the west
line of said Venture tract, and with the east side of said road, a
distance of 1028.83 feet to a point for an ell corner of this tract;

Thence: North 89 degrees 53 minutes 08 seconds East, a distance of
521.59 feet to a found 1\2 inch rebar;

Thence: North 00 degrees 00 minutes 32 seconds East, with the west
line of said venture tract, a distance of 4225.1 feet to a found 1\2
inch steel square tubing for the northwest corner of said Venture
tract;

Thence: North 89 degrees 31 minutes 51 seconds East, with the north
line of said Venture tract, a distance of 866.39 feet to a set 1\2
inch steel square tubing for an ell corner of this tract;

Thence: South 00 degrees 06 minutes 09 seconds East, a distance of
18.01 feet to a set 1\2 inch steel square tubing for an ell corner of
this tract;

Thence: North 89 degrees 45 minutes 28 seconds East, with the north
line of said Brock North tract, and with the center of said road, a
distance of 1130.35 feet for a corner of this tract;

Thence: South 00 degrees 07 minutes 51 seconds East, with the
approximate location of the county line, a distance of 2818.67 feet
for a corner of this tract;

Thence: North 89 degrees 45 minutes 28 seconds East, with the
approximate location of the county line a distance of 2100.00 feet
for a corner of this tract;

Thence: South 89 degrees 59 minutes 54 seconds East, a distance of
244.55 feet to a found 1\2 inch steel square tubing, said tubing
being in the intersection of Merilee Road and County Road Number 10;

Thence: South 00 degrees 17 minutes 37 seconds East, with the
center of said road, a distance of 1409.82 feet to a found 1\2 inch
rebar;

Thence: South 00 degrees 18 minutes 38 seconds East, with the east
line of said Street tract, and with the center of said road, and
passing at 3031.32 feet the southeast corner of said Street tract,
same being the northeast corner of said Brock South tract, and
continuing on said course a total distance of 3071.37 feet to a
found 1\2 inch rebar for an angle point in said road;

Thence: South 00 degrees 23 minutes 56 seconds East, with the east
line of said Brock South tract, and with the center of said road, a
distance of 1104.84 feet to a found 1\2 inch rebar for the most
easterly southeast corner of said Brock South tract;

Thence: North 89 degrees 30 minutes 05 seconds West, a distance of
27.25 feet to a old wood fence corner post;

Thence: South 00 degrees 19 minutes 28 seconds East, with the east
line of said road, a distance of 1292.99 feet to a pipe fence corner
post for an ell corner of this tract;

Thence: North 89 degrees 31 minutes 21 seconds West, with the south
line of said Venture tract, a distance of 3326.78 feet to a pipe
fence corner post for an ell corner of said Venture South tract;

Thence: South 00 degrees 41 minutes 02 seconds East, a distance of
1534.63 feet to a found nail for the southeast corner of said
Venture tract, said nail being in the center of Fritcher Road;

Thence: North 89 degrees 30 minutes 14 seconds West, with the south
line of said Venture tract, and with the center of said road, a
distance of 527.38 feet to a found 1\2 inch rebar for an ell corner
of said Venture tract;

Thence: South 89 degrees 34 minutes 19 seconds West, with the south
line of said Venture tract, and with the center of said road, a
distance of 1437.85 feet to the POINT OF BEGINNING and containing
979.408 acres of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. GUNTER MUNICIPAL UTILITY DISTRICT NO. 1
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8238 to read as
follows:

CHAPTER 8238. GUNTER MUNICIPAL UTILITY DISTRICT NO. 1

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8238.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "Director" means a member of the board.
(3) "District" means the Gunter Municipal Utility
District No. 1.
Sec. 8238.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 59, Article XVI,
Texas Constitution.
Sec. 8238.003. CONFIRMATION ELECTION REQUIRED. The board
shall hold an election to confirm the creation of the district as
provided by Section 49.102, Water Code.
Sec. 8238.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a)
All land and other property included in the district will benefit
from the improvements and services to be provided by the district.
(b) The district is created to accomplish:
(1) the purposes of a municipal utility district as
provided by general law; and
(2) to the extent authorized by Section 52, Article
III, Texas Constitution, the construction, acquisition,
improvement, maintenance, or operation of macadamized, graveled,
or paved roads or improvements in aid of those roads.
Sec. 8238.005. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for the purposes
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.
Sec. 8238.006. ANNEXATION BY CITY OF GUNTER.
Notwithstanding any other law, if all of the territory of the
district is annexed by the City of Gunter into the corporate limits
of that municipality before the date of the election under Section
8238.003, the district may not be dissolved and shall continue
until the district is dissolved under Section 43.074, Local
Government Code.

[Sections 8238.007-8238.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8238.051. DIRECTORS; TERMS. (a) The district is
governed by a board of five directors.
(b) Except as provided by Section 8238.053, directors serve
staggered four-year terms.
Sec. 8238.052. ELECTION OF DIRECTORS. On the uniform
election date in May of each even-numbered year, the appropriate
number of directors shall be elected.
Sec. 8238.053. INITIAL DIRECTORS. (a) The initial board
consists of:
(1) Erik Nelson;
(2) David Kelly;
(3) Jeff Sallas;
(4) Howell Kemp; and
(5) Jill Tate.
(b) Unless the initial board otherwise agrees, the initial
directors shall draw lots to determine which two directors shall
serve until the first regularly scheduled election of directors and
which three directors shall serve until the second regularly
scheduled election of directors.
Sec. 8238.054. CONSENT OF MUNICIPALITY REQUIRED. The
initial directors may not hold an election under Section 8238.003
until:
(1) all of the territory of the district is included in
the corporate limits of the City of Gunter; and
(2) the City of Gunter has adopted a resolution
consenting to the creation of the district.

[Sections 8238.055-8238.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8238.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. (a) The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
(b) The district has the powers and duties necessary to
accomplish the purposes for which the district is created.
(c) Notwithstanding Subsection (a), the district may not
act as a retail provider of water or wastewater service.
(d) The district shall make the district's water and
wastewater facilities available to an entity holding the applicable
certificate of public convenience and necessity.
Sec. 8238.102. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or improvements in aid of those roads.
(b) A road project must meet all applicable standards,
regulations, and ordinances of the municipality or county in whose
jurisdiction the district is located.
(c) If a portion of the territory of the district is
excluded from the corporate limits of the City of Gunter, the
district shall:
(1) improve, maintain, repair, and operate the roads
located in that portion of territory in accordance with the
ordinances and rules of the political subdivision possessing
jurisdiction over the roads in that portion of territory; and
(2) pay the entire cost of performing the district's
duties under Subdivision (1).
Sec. 8238.103. COMPLIANCE WITH MUNICIPAL CONSENT
ORDINANCES OR RESOLUTIONS. Subject to the limitations of Section
54.016, Water Code, the district shall comply with all applicable
requirements of any ordinance or resolution adopted by the
governing body of the municipality that consents to the creation of
the district or to the inclusion of lands within the district.

[Sections 8238.104-8238.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8238.151. ELECTIONS REGARDING TAXES OR BONDS. (a) The
district may issue, without an election, bonds and other
obligations secured by revenue or contract payments from any source
other than ad valorem taxation.
(b) The district must hold an election in the manner
provided by Chapters 49 and 54, Water Code, to obtain voter approval
before the district may impose an operation and maintenance tax or
issue bonds payable from ad valorem taxes.
Sec. 8238.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8238.151, the district
may impose an operation and maintenance tax on taxable property in
the district in accordance with Section 49.107, Water Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.

[Sections 8238.153-8238.200 reserved for expansion]

SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8238.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
payable wholly or partly from ad valorem taxes, impact fees,
revenue, grants, or other district money, or any combination of
those sources, to pay for any authorized district purpose.
(b) The district may not issue bonds to finance projects
authorized by Section 8238.102 unless the issuance is approved by a
vote of a two-thirds majority of the voters of the district voting
at an election called for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8238.102 may not exceed one-fourth
of the assessed value of the real property in the district.
Sec. 8238.202. TAXES FOR BONDS. At the time bonds payable
wholly or partly from ad valorem taxes are issued:
(1) the board shall impose a continuing direct annual
ad valorem tax, without limit as to rate or amount, for each year
that all or part of the bonds are outstanding; and
(2) the district annually shall impose an ad valorem
tax on all taxable property in the district in an amount sufficient
to:
(A) pay the interest on the bonds as the interest
becomes due;
(B) create a sinking fund for the payment of the
principal of the bonds when due or the redemption price at any
earlier required redemption date; and
(C) pay the expenses of imposing the taxes.
SECTION ____.02. The Gunter Municipal Utility District No.
1 initially includes all the territory contained in the following
area:
BEING a tract of land located in the JESSE BARKER SURVEY,
ABSTRACT NO. 70, ROBERT MASON SURVEY, ABSTRACT NO. 784 and the
THOMAS POLK SURVEY, ABSTRACT NO. 938, Grayson County, Texas and
being part of a tract of land described as Tract 2 in Deed to Crooked
Cross Partners, LTD., recorded in Volume 3491, Page 263, Deed
Records, Grayson County, Texas and being more particularly
described as follows:
BEGINNING at a 1/2 inch square pipe found at the most
Northerly Northwest corner of said Tract 2 and the Northeast corner
of a tract of land described in Deed to Marion Lewis Cole and Linda
Rudolf Cole, recorded in Volume 2796, Page 848, Deed Records,
Grayson County, Texas, said point being the Southeast corner of a
tract of land described in Deed to Martinek Grain and Bins, Inc, a
Texas Corporation recorded in Volume 2352, Page 18, Deed Records
Grayson County, Texas, and the Southwest corner of a tract of land
described in Deed to Kenneth B. Jaresh and Gail A. Jaresh, recorded
in Volume 2344, Page 66, Deed Records, Grayson County, Texas;
THENCE along the North line of said Tract 2 the following
three (3) courses and distances:
South 88 degrees 57 minutes 20 seconds East, a distance of
941.12 feet to a 1/2 inch square pipe found at the Southeast corner
of said Jaresh tract and the Southwest corner of a tract of land
described in Deed to Beatrice Ann Jaresh, recorded in Volume 1251,
Page 169, Deed Records, Grayson County, Texas;
South 88 degrees 45 minutes 17 seconds East, a distance of
739.56 feet to a 1/2 inch iron rod found at the Southeast corner of
said Beatrice Ann Jaresh tract;
South 88 degrees 52 minutes 54 seconds East, a distance of
1,736.94 feet to a 1/2 inch iron rod with a red plastic camp stamped
"3258" found at the Northeast corner of said Tract 2 and the
Northwest corner of a tract of land described in Deed to Longhorn
Trail Ranch II, LTD., recorded in Volume 3768, Page 454, Deed
Records Grayson County, Texas;
THENCE South 00 degrees 43 minutes 35 seconds West, leaving
said North line, a distance of 2,252.51 feet to a 1/2 inch iron rod
found at the Southwest corner of said Longhorn tract;
THENCE South 42 degrees 04 minutes 28 seconds West, a
distance of 3,007.40 feet to a 1/2 inch iron rod found at the
Northeast corner of a tract of land described in Deed to D.B. Tate,
Jr. and Betty Jane Tate, recorded in Volume 2460, Page 683, Deed
records, Grayson County, Texas;
THENCE North 89 degrees 19 minutes 32 seconds West, a
distance of 4,477.51 feet to a 1/2 inch iron rod with a yellow
plastic cap stamped "DAA" set in the approximate center line of Old
Scaggs School Road, at the most Northerly Southwest corner of said
Tract 2 from which a 1/2 inch iron rod found bears South 49 degrees
24 minutes 30 seconds West, a distance of 9.55 feet;
THENCE along the approximate center line of said Old Scaggs
School Road the following four (4) courses and distances:
North 00 degrees 07 minutes 27 seconds West, a distance of
1,448.47 feet to a 1/2 inch iron rod found at the most Southerly
Northwest corner of said Tract 2;
South 89 degrees 02 minutes 31 seconds East, a distance of
3,081.02 feet to a 1/2 inch iron rod found at a Westerly Ell corner
of said Tract 2 and the Southeast corner of a tract of land
described in Deed to Platinum Ranch Venture, LTD., recorded in
Volume 3072, Page 217, Deed Records, Grayson County, Texas;
North 00 degrees 20 minutes 32 seconds East, a distance of
1,561.57 feet to a 1/2 inch iron rod found at the Northeast corner
of said Platinum Ranch Venture tract and the Southeast corner of a
said Cole tract;
North 00 degrees 38 minutes 33 seconds East, a distance of
1,540.67 feet to the POINT OF BEGINNING and containing 404.154
acres of land, more or less.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. GUNTER MUNICIPAL UTILITY DISTRICT NO. 2
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8239 to read as
follows:

CHAPTER 8239. GUNTER MUNICIPAL UTILITY DISTRICT NO. 2

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8239.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "Director" means a member of the board.
(3) "District" means the Gunter Municipal Utility
District No. 2.
Sec. 8239.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 59, Article XVI,
Texas Constitution.
Sec. 8239.003. CONFIRMATION ELECTION REQUIRED. The board
shall hold an election to confirm the creation of the district as
provided by Section 49.102, Water Code.
Sec. 8239.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a)
All land and other property included in the district will benefit
from the improvements and services to be provided by the district.
(b) The district is created to accomplish:
(1) the purposes of a municipal utility district as
provided by general law; and
(2) to the extent authorized by Section 52, Article
III, Texas Constitution, the construction, acquisition,
improvement, maintenance, or operation of macadamized, graveled,
or paved roads or improvements in aid of those roads.
Sec. 8239.005. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for the purposes
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.
Sec. 8239.006. ANNEXATION BY CITY OF GUNTER.
Notwithstanding any other law, if all of the territory of the
district is annexed by the City of Gunter into the corporate limits
of that municipality before the date of the election under Section
8239.003, the district may not be dissolved and shall continue
until the district is dissolved under Section 43.074, Local
Government Code.

[Sections 8239.007-8239.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8239.051. DIRECTORS; TERMS. (a) The district is
governed by a board of five directors.
(b) Except as provided by Section 8239.053, directors serve
staggered four-year terms.
Sec. 8239.052. ELECTION OF DIRECTORS. On the uniform
election date in May of each even-numbered year, the appropriate
number of directors shall be elected.
Sec. 8239.053. INITIAL DIRECTORS. (a) The initial board
consists of:
(1) Jennifer Milstead;
(2) Collette Sallas;
(3) Eddie Collins;
(4) Herschel Pierce; and
(5) Todd Cook.
(b) Unless the initial board otherwise agrees, the initial
directors shall draw lots to determine which two directors shall
serve until the first regularly scheduled election of directors and
which three directors shall serve until the second regularly
scheduled election of directors.
Sec. 8239.054. CONSENT OF MUNICIPALITY REQUIRED. The
initial directors may not hold an election under Section 8239.003
until:
(1) all of the territory of the district is included in
the corporate limits of the City of Gunter; and
(2) the City of Gunter has adopted a resolution
consenting to the creation of the district.

[Sections 8239.055-8239.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8239.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. (a) The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
(b) The district has the powers and duties necessary to
accomplish the purposes for which the district is created.
(c) Notwithstanding Subsection (a), the district may not
act as a retail provider of water or wastewater service.
(d) The district shall make the district's water and
wastewater facilities available to an entity holding the applicable
certificate of public convenience and necessity.
Sec. 8239.102. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or improvements in aid of those roads.
(b) A road project must meet all applicable construction
standards, regulations, and ordinances of the municipality or
county in whose jurisdiction the district is located.
(c) If a portion of the territory of the district is
excluded from the corporate limits of the City of Gunter, the
district shall:
(1) improve, maintain, repair, and operate the roads
located in that portion of territory in accordance with the
ordinances and rules of the political subdivision possessing
jurisdiction over the roads in that portion of territory; and
(2) pay the entire cost of performing the district's
duties under Subdivision (1).
Sec. 8239.103. COMPLIANCE WITH MUNICIPAL CONSENT
ORDINANCES OR RESOLUTIONS. Subject to the limitations of Section
54.016, Water Code, the district shall comply with all applicable
requirements of any ordinance or resolution adopted by the
governing body of the municipality that consents to the creation of
the district or to the inclusion of lands within the district.

[Sections 8239.104-8239.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8239.151. ELECTIONS REGARDING TAXES OR BONDS. (a) The
district may issue, without an election, bonds and other
obligations secured by revenue or contract payments from any source
other than ad valorem taxation.
(b) The district must hold an election in the manner
provided by Chapters 49 and 54, Water Code, to obtain voter approval
before the district may impose an operation and maintenance tax or
issue bonds payable from ad valorem taxes.
Sec. 8239.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8239.151, the district
may impose an operation and maintenance tax on taxable property in
the district in accordance with Section 49.107, Water Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.

[Sections 8239.153-8239.200 reserved for expansion]

SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8239.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
payable wholly or partly from ad valorem taxes, impact fees,
revenue, grants, or other district money, or any combination of
those sources, to pay for any authorized district purpose.
(b) The district may not issue bonds to finance projects
authorized by Section 8239.102 unless the issuance is approved by a
vote of a two-thirds majority of the voters of the district voting
at an election called for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8239.102 may not exceed one-fourth
of the assessed value of the real property in the district.
Sec. 8239.202. TAXES FOR BONDS. At the time bonds payable
wholly or partly from ad valorem taxes are issued:
(1) the board shall impose a continuing direct annual
ad valorem tax, without limit as to rate or amount, for each year
that all or part of the bonds are outstanding; and
(2) the district annually shall impose an ad valorem
tax on all taxable property in the district in an amount sufficient
to:
(A) pay the interest on the bonds as the interest
becomes due;
(B) create a sinking fund for the payment of the
principal of the bonds when due or the redemption price at any
earlier required redemption date; and
(C) pay the expenses of imposing the taxes.
SECTION ____.02. The Gunter Municipal Utility District No.
2 initially includes all the territory contained in the following
area:
BEING a tract of land located in the W.H. CAMPBELL SURVEY,
ABSTRACT NO. 243, W.M. LAKIN SURVEY, ABSTRACT NO. 714, JOHN
McMULLEN AND JAMES McGLOIN SURVEY, ABSTRACT NO. 761, ROBERT MASON
SURVEY, ABSTRACT NO. 784 and the THOMAS POLK SURVEY, ABSTRACT NO.
938, Grayson County, Texas and being all of a tract of land
described as Tract 1 and being part of a tract of land described as
Tract 2 in Deed to Crooked Cross Partners, LTD., recorded in Volume
3491, Page 263, Deed Records, Grayson County, Texas and being more
particularly described as follows:
BEGINNING at a PK nail found in the approximate center line of
Marilee Road, at the Southwest corner of said Tract 2;
THENCE North 00 degrees 11 minutes 49 seconds West, a
distance of 2,905.02 feet to a railroad tie fence post found for
corner;
THENCE North 00 degrees 20 minutes 00 seconds West, a
distance of 1,448.81 feet to a 1/2 inch iron rod found at the
Northeast corner of a tract of land described in Deed to D.B. Tate,
Jr. and Betty Jane Tate, recorded in Volume 2460, Page 683, Deed
Records, Grayson County, Texas;
THENCE North 42 degrees 04 minutes 28 seconds East, a
distance of 3,007.40 feet to a 1/2 inch iron rod found at the
Southwest corner of a tract of land described in deed to Longhorn
Trail Ranch II, LTD., recorded in Volume 3768, Page 454, Deed
Records, Grayson County, Texas;
THENCE South 89 degrees 02 minutes 27 seconds East, a
distance of 1,756.30 feet to a 1/2 inch iron rod found at the most
Easterly Northeast corner of said Tract 2 and the Northwest corner
of said Tract 1;
THENCE South 88 degrees 58 minutes 07 seconds East, a
distance of 2,459.10 feet to a 1/2 inch iron rod with a yellow
plastic camp stamped "#5439" found in the approximate centerline of
Longhorn Trail Drive at the Northeast corner of said Tract 1 and the
Northwest corner of a tract of land described as Tract 2 in Deed to
Jenchin Partners, LTD., recorded in Volume 3014, Page 569, Deed
Records, Grayson County, Texas;
THENCE South 00 degrees 33 minutes 16 seconds East, along the
West line of said Jenchin Tract 2 and said approximate centerline of
said Longhorn Trail Drive, a distance of 2,473.20 feet to a 5/8 inch
iron rod found at the Southeast corner of said Tract 1 and the
Northeast corner of a tract of land described in Deed to J.B. Hunn
and wife, Mitzi M. Hunn, recorded in Volume 2625, Page 182, Deed
Records, Grayson County, Texas;
THENCE North 89 degrees 28 minutes 11 seconds West, a
distance of 2,498.95 feet to a 5/8 inch iron rod found at the
Southwest corner of said Tract 1 in the East line of said Tract 2 at
the Northwest corner of said Hunn tract
THENCE South 00 degrees 32 minutes 49 seconds West, a
distance of 2,235.87 feet to a metal fence post found at the
Southwest corner of said Hunn tract and the Northwest corner of a
tract of a tract of land described in Deed to Thomas O. Eller,
recorded in Volume 1281, Page 315, Deed Records, Grayson County,
Texas;
THENCE South 00 degrees 08 minutes 34 seconds East, a
distance of 1,878.75 feet to a 1/2 inch iron rod found in the
approximate centerline of said Marilee Road at the Southeast corner
of said Tract 2 and the Southwest corner of said Eller tract;
THENCE North 89 degrees 11 minutes 55 seconds West, a
distance of 3,720.37 feet To the POINT OF BEGINNING and containing
657.166 acres of land, more or less.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. BEXAR METROPOLITAN WATER DISTRICT
SECTION ____.01. Section 5A, Chapter 306, Acts of the 49th
Legislature, Regular Session, 1945, is amended by adding Subsection
(c) to read as follows:
(c) The District's boundaries for the purpose of conducting
an election are coextensive with the boundaries of Bexar County.
SECTION ____.02. Chapter 306, Acts of the 49th Legislature,
Regular Session, 1945, is amended by adding Section 7A and amending
Section 9 to read as follows:
Sec. 7A. The District is governed by the Commissioners
Court of Bexar County serving ex officio as the board of directors
of the district.
Sec. 9. The Board of Directors from time to time shall be
authorized to make or cause to be made surveys and engineering
investigations for the information of the District to facilitate
the accomplishment of the purposes for which the District is
created, as expressed in the provisions of this Act; and may employ
engineers, attorneys and all other technical and non-technical
employees or assistants and fix and provide the amount and manner of
their compensation, and may provide for payment of expenditures
deemed essential to the proper maintenance and administration of
the District. Notwithstanding Section 49.060, Water Code, a member
[The members] of the Board of Directors is not entitled to receive
fees of office [shall receive a per diem of not more than Ten
Dollars ($10) per day, for the time actually expended on business of
the District, together with traveling and other necessary expenses,
provided that such per diem fee shall not be paid to a Director for
more than one hundred (100) days in any one year].
SECTION ____.03. Section 8, Chapter 306, Acts of the 49th
Legislature, Regular Session, 1945, is repealed.
SECTION ____.04. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8264 to read as
follows:

CHAPTER 8264. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8264.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Kimberlin Ranch Municipal
Utility District No. 1 of Grayson County.
Sec. 8264.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8264.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8264.023 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8264.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8264.005-8264.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8264.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8264.023; or
(2) the date this chapter expires under Section
8264.003.
Sec. 8264.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8264.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8264.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8264.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8264.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8264.026-8264.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8264.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8264.052-8264.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8264.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8264.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district water
or wastewater facility to each person that holds a certificate of
convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8264.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8264.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8264.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8264.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8264.107-8264.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8264.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8264.201.

[Sections 8264.152-8264.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8264.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8264.101 or 8264.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8264.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8264.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ___.02. The Kimberlin Ranch Municipal Utility
District No. 1 of Grayson County includes all the territory
contained in the following area:

BEING situated in the County of Grayson, State of Texas, being parts
of the JOHN NELSON SURVEY, ABSTRACT NO. 902, the JOHN W. BERGIN
SURVEY, ABSTRACT NO. 75, and the ANTONIO HERNANDEZ SURVEY, ABSTRACT
NO. 489, also being the 1073.77 acre tract of land conveyed to
Davidson Land and Cattle Company, L.P. by deed recorded in Volume
2235, Page 597, Real Property Records, GRAYSON County, Texas and
being described by metes and bounds as follows:

BEGINNING at a 2 inch steel rod set at the Southeast corner of the
758.750 acre tract of land conveyed to Larry Lehman, et ux, by deed
of record in Volume 2555, Page 624-655, of said Real Property
Records, the Southwest corner of said 1073.77 acre tract of land,
said rod also being in the North line of the 208.67 acre tract of
land conveyed to James and Juanell Bridges Family Living Trust by
deed of record in Volume 2506, Page 146, of said Real Property
Records;

THENCE North 00 degrees 00 minutes 00 seconds West with the West
line of said 1073.77 acre tract and the center of a public road a
distance of 4674.02 feet to a 2 inch steel rod set at the Southwest
corner of a 177.93 acre tract of land conveyed to Louis M. Rexrode,
et ux, by deed of record in Volume 2205, Page 639, of said Real
Property Records, also being the Southeast corner of the 133.05
acre tract of land conveyed to Henry S. Jackson, et ux, by deed of
record in Volume 2059, Page 273, of said Real Property Records;

THENCE North 89 degrees 22 minutes 34 seconds East with the South
line of said 177.93 acre tract a distance of 2805.74 feet to a 2 inch
steel rod set at a found wooden stake at the Southeast corner of
said 177.93 acre tract;

THENCE North 00 degrees 32 minutes 19 seconds West with a fence and
the East line of said 177.93 acre tract of land a distance of
2774.19 feet to a 2 inch steel rod set at a found wooden stake at the
Northeast corner of said 177.93 acre tract;

THENCE South 89 degrees 47 minutes 48 seconds West with the North
line of said 177.93 acre tract of land a distance of 2765.01 feet to
a 2 inch steel rod set at the Northwest corner of said 177.93 acre
tract, being in the East line of said 133.05 acre tract;

THENCE North 00 degrees 00 minutes 00 seconds West with the center
of a public road and said East line a distance of 1296.86 feet to a 2
inch steel rod set at the Northwest corner of said 1073.77 acre
tract, the Southeast corner of the 362.631 acre tract of land
conveyed to Taylor Strawn and Ernest B. Strawn, Jr., by deed of
record in Volume 2209, Page 772, of said Real Property Records, also
being the Southwest corner of the 121.14 acre tract of land
described as Part Two and conveyed to Jeribeth Sharp by deed of
record in Volume 2668, Page 009, of said Real Property Records;

THENCE North 89 degrees 37 minutes 51 seconds East with the South
line of said 121.14 acre tract, a distance of 4016.31 feet to a 2
inch steel rod set at a fence corner, being the Southeast corner of
said 121.14 acre tract;

THENCE South 00 degrees 10 minutes 16 seconds East with a fence a
distance of 1298.84 feet to a 2 inch steel rod set at a fence post;

THENCE North 89 degrees 30 minutes 06 seconds East with a fence a
distance of 2512.99 feet to a 2 inch steel rod set at the most
Easterly Northeast corner of said 1073.77 acre tract, the Northwest
corner of the 1022.21 acre tract of land described as Part One as
conveyed to Jeribeth Sharp by deed of record in Volume 2668, Page
009, of said Real Property Records;

THENCE with the West line of said 1022.21 acre tract of land and an
existing fence line, the following calls and distances:

South 00 degrees 40 minutes 13 seconds East, a distance of 2497.50
feet to a 2 inch steel rod set at a fence corner;

South 89 degrees 32 minutes 01 seconds West a distance of 150.18
feet to a 2 inch steel rod set a fence corner;

South 00 degrees 44 minutes 41 seconds East_ a distance of 1112.81
feet to a 2 inch steel rod set a fence corner;

South 89 degrees 13 minutes 04 seconds East a distance of 150.56
feet to a 2 inch steel rod set a fence corner;

South 00 degrees 45 minutes 51 seconds East a distance of 3832.16
feet to a 2 inch steel rod set in a public road, being the Southeast
corner of said 1073.77 acre tract, also being in the North line of
the 67 acre tract of land conveyed to James S. Rodgers, et ux, by
deed of record in Volume 1045, Page 759, of the Deed Records,
Grayson County, Texas;

THENCE South 89 degrees 24 minutes 04 seconds West with the South
line of said 1073.77 acre tract a distance of 6642.95 feet to the
POINT OF BEGINNING and CONTAINING 1065.860 acres of land, more or
less.
SECTION ___.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 2 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8265 to read as
follows:

CHAPTER 8265. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 2 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8265.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Kimberlin Ranch Municipal
Utility District No. 2 of Grayson County.
Sec. 8265.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8265.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8265.023 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8265.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8265.005-8265.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8265.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8265.023; or
(2) the date this chapter expires under Section
8265.003.
Sec. 8265.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8265.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8265.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8265.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8265.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8265.026-8265.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8265.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8265.052-8265.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8265.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8265.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district
water or wastewater facility to each person that holds a
certificate of convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8265.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8265.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8265.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8265.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8265.107-8265.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8265.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8264.201.

[Sections 8265.152-8265.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8265.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8265.101 or 8265.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8265.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8265.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Kimberlin Ranch Municipal Utility
District No. 2 of Grayson County includes all the territory
contained in the following area:

SITUATED in the County of GRAYSON, State of Texas, being a part of
the ROBERT MASON SURVEY, ABSTRACT NO. 784 and the SAMUEL Q. PETTUS
SURVEY, ABSTRACT NO. 939, being a part of a 297.715 acre tract of
land (described as 300.715 acres less 3.00 acres) conveyed by Regis
J. Sutton to Jean Anna Sutton in Agreement of Regis J. Sutton and
Jean Anna Sutton Partitioning Community Property dated June 3,
1983, recorded in Volume 1650, Page 260, Deed Records, GRAYSON
County, Texas, and being more particularly described by metes and
bounds as follows to-wit:

BEGINNING at a found 1/2 inch rebar on the most Southerly South line
of said 297.715 acre tract, the North line of a 201.711 acre tract
of land conveyed by Charles C. Graham, et ux to Mario Feliciano,
Trustee by Deed dated July 9, 1980, recorded in Volume 1523, Page
109, Deed Records, GRAYSON County, Texas, said rebar being North 87
degrees 08 minutes 06 seconds West, a distance of 626.13 feet from a
found spike nail maintaining the most Southerly Southeast corner of
said 297.715 acre tract, the most Northerly Northeast corner of
said 201.711 acre tract, in a public road known as Wall Street Road
and on an East line of said Mason Survey, the West line of the
William Kinnamon Survey, Abstract No. 676;

THENCE North 87 degrees 08 minutes 06 seconds West, with the general
line of a fence, the most Southerly South line of said 297.715 acre
tract, the North line of said 201.711 acre tract, a distance of
1141.44 feet to a fence post;

THENCE North 87 degrees 24 minutes 28 seconds West, continuing with
the general line of said fence, the Southerly South line of said
297.715 acre tract, the North line of said 201.77 acre tract, a
distance of 2156.98 feet to a set spike nail at the base of a fence
corner post for the Northwest corner of said 201.711 acre tract, the
most Southerly Southwest corner of said 297.715 acre tract, on the
East line of a 223.5639 acre tract of land conveyed by Kent Berlin
to The Berlin Family Limited Partnership by Deed dated January 10,
2000, recorded in Volume 2881, Page 924, Official Public Records,
GRAYSON County, Texas;

THENCE North 03 degrees 33 minutes 37 seconds East, with the general
line of a fence, the East line of said 223.5639 acre tract, a
distance of 1112.63 feet to a fence corner post maintaining the
Northeast corner of said 223.5639 acre tract, an ell corner of said
297.715 acre tract on a North line of said Mason Survey, the South
line of said Pettus Survey;

THENCE North 87 degrees 19 minutes 23 seconds West, with the general
line of a fence, the North line of said 223.5639 acre tract, a North
line of said Mason Survey, the South line of said Pettus Survey,
passing the Northwest corner of said 223.5639 acre tract, the
Northeast corner of a 20 foot wide strip of land described in Second
Tract in Deed from George M. Carter, et ux to Joe D. Johnson by Deed
dated March 29, 1961, recorded in Volume 930, Page 211, Deed
Records, GRAYSON County, Texas and continuing for a total distance
of 2911.41 feet to a set spike nail at the base of a fence corner
post for the Northwest corner of said Mason Survey, the most
Westerly Southwest corner of said 297.715 acre tract, the Southwest
corner of said Pettus Survey, on the East line of the Sarah Shoto
Survey, Abstract No. 1079, the East line of a 100 acre tract of land
described in First Tract in said Volume 930, Page 211;

THENCE North 03 degrees 27 minutes 34 seconds East, with the West
line of said Pettus Survey, the East line of both said Shoto Survey
and 100 acre tract, passing the Northeast corner of said 100 acre
tract, the Southeast corner of a 499.67 acre tract of land conveyed
by Mary H. Martinek to Mary H. Martinek, Trustee of the Mary H.
Martinek Revocable Living Trust by Deed dated April 11, 1997,
recorded in Volume 2562, Page 196, Official Public Records, GRAYSON
County, Texas and continuing with an East line of said 499.67 acre
tract for a total distance of 1263.89 feet to a found 1/2 inch rebar
at the base of a fence corner post, said rebar maintaining the
Northwest corner of said 297.715 acre tract, the Southwest corner
of a 223 acre tract of land now or formerly owned by Thelma Hunter
(no Deed reference available);

THENCE South 87 degrees 25 minutes 47 seconds East, with the general
line of a fence, the South line of said 223 acre tract, at a distance
of 6798.67 feet to a found 3/8 inch rebar maintaining the Southeast
corner of said 223 acre tract, the most Northerly Northeast corner
of said 297.715 acre tract, in said Wall Street Road and on the East
line of said Pettus Survey, the West line of said William Kinnamon
Survey, the West line of a tract of land described in North Tract in
Quitclaim Deed dated September 30, 1997 from Susan C. deCordova to
Susan C. deCordova, Trustee of the deCordova Trust recorded in
Volume 2577, Page 155, Official Public Records, GRAYSON County,
Texas;

THENCE South 03 degrees 15 minutes 00 seconds West, with an East
line of both said 297.715 acre tract and Mason Survey, the West line
of both said Kinnamon Survey and North Tract, passing the Southeast
corner of said Pettus Survey, the most Northerly Northeast corner
of said Mason Survey and continuing for a total distance of 1680.66
feet to a found spike nail maintaining a Southeast corner of said
297.715 acre tract, the Northeast corner of a 3.00 acre tract of
land conveyed by Anna Houck Trust to AHG Trust by Deed dated January
30, 2002, recorded in Volume 3194, Page 458, Official Public
Records, GRAYSON County, Texas;

THENCE North 87 degrees 04 minutes 00 seconds West with the North
line of said 3.00 acre tract, a distance of 626.13 feet to a found
1/2 inch rebar maintaining its Northwest corner;

THENCE South 03 degrees 15 minutes 00 seconds West, with the West
line of said 3.00 acre tract, at a distance of 208.71 feet passing a
found 1/2 inch rebar maintaining its Southwest corner and
continuing for a total distance of 711.76 feet to the PLACE OF
BEGINNING and CONTAINING 288.92 acres of land, more or less.

TRACT 2

All that certain tract or parcel of land situated in the Robert
Mason Survey, Abstract Number 784 County of Grayson, State of
Texas, said tract being part of a called 69 1\2 acres tract as
described in Deed to Marshall E. Anderson et ux, Marquerite
Anderson, filed 11 January 1962, and Recorded in Volume 947 Page 387
of the Deed Records of the County of Grayson, State of Texas, and
being more fully described as follows:

Beginning for the northeast corner of the tract being described
herein at a set 1\2 inch Steel Square Tubing, said tubing being the
northeast corner of said Anderson tract, and the southeast corner
of a called 100 acres tract as described in the First Tract, and on
the west line of a called 1.56 acre tract as described in the Second
tract in Deed to Joe D. Johnson, filed 30 March 1961, and Recorded
in Volume 930 Page 211 of said Deed Records;

Thence: South 03 degrees 29 minutes 22 seconds West, with the east
line of said Anderson tract, and with the west line of said Johnson
Second Tract, a distance of 609.07 feet to a found 1\2 inch Steel
Square Tubing for the northeast corner of a 1.25 acre tract as
surveyed out for Dennis Keating dated 27 December 1999;

Thence: North 86 degrees 56 minutes 26 seconds West, with the north
line of said Keating tract, a distance of 124.72 feet to a found 1\2
inch Steel Square Tubing for the northwest corner of said Keating
tract;

Thence: South 03 degrees 32 minutes 41 seconds West, with the west
line of said Keating tract, a distance of 435.58 feet to a found 1\2
inch Steel Square Tubing for the southwest corner of said Heating
tract, and on the north Right-of-Way line of Farm-to-Market Road
Number 121 as described in Deed to The State of Texas, filed 11
November 1953 and Recorded in Volume 744 Page 72 of said Deed
Records

Thence: North 87 degrees 07 minutes 47 seconds West, with the south
line of said Anderson tract, and the north ROW line of said FM 121,
a distance of 1856.89 feet to a found State of Texas Concrete
Right-of-Way Monument for a corner;

Thence: North 73 degrees 24 minutes 31 seconds West, with the south
line of said Anderson tract, and the north ROW line of FM 121, a
distance of 332.15 feet to a found 1\2 inch Steel Square Tubing for
the southeast corner of a 5 acre tract as described in Deed to
Ronald R. Baker et ux, Joanie C. Baker, filed 06 November 1995, and
Recorded in Volume 2428 Page 31 of said Deed Records;

Thence: North 29 degrees 08 minutes 03 seconds West, with the east
line of said Baker tract, a distance of 1078.23 feet to a found 1\2
inch Steel Square Tubing for the northeast corner of said Baker
tract, and on the south line of a tract as described in Deed to Steve
Bryant et ux, Judy Bryant, filed 02 January 2003, and Recorded in
Volume 3393 Page 846 of said Deed Records;

Thence: South 88 degrees 17 minutes 06 seconds East, with the north
line of said Anderson tract, and with the south line of said Bryant
tract, a distance of 1574.07 feet to a found 1\2 inch Steel Rebar at
the base of a wood fence corner post for the southeast corner of
said Bryant tract, and the southwest corner of said Johnson First
tract;

Thence: South 87 degrees 58 minutes 16 seconds East, with the north
line of said Anderson tract, and the south line of said Johnson
First Tract, a distance of 1313.83 feet to the POINT OF BEGINNING
and containing 58.946 acres of land.

TRACT 3

All that certain tract or parcel of land situated in the Robert
Mason Survey, Abstract Number 784 and the Sarah Shoto Survey,
Abstract Number 1079, County of Grayson, State of Texas, said tract
being all of a called 100 acres tract as described in the First
Tract, and all of a called 1.56 acre tract as described in the
Second tract in Deed to Joe D. Johnson, filed 30 March 1961, and
Recorded in Volume 930 Page 211 of the Deed Records of the County of
Grayson, State of Texas, and being more fully described as follows:

Beginning for the southeast corner of the tract being described
herein at a found 1\2 inch Steel Square Tubing, said tubing being
the southeast corner of said Johnson tract, and the southwest
corner of a called 223.457 acre tract as described in Deed to Gunter
223, LTD, filed 06 June 2005, and Recorded in Volume 3870 Page 800
of said Deed Records, said tubing also being on the north
Right-of-Way line of Farm-to-Market Road Number 121 as described in
Deed to The State of Texas, filed 11 November 1953 and Recorded in
Volume 744 Page 72 of said Deed Records;

Thence: North 86 degrees 52 minutes 52 seconds West, with the south
line of said Johnson Seconds Tract, and with the north ROW line of
said FM 121, a distance of 20.00 feet to a found 1\2 inch Steel
Square Tubing for the southwest corner of said Johnson Seconds
Tract, and the southeast corner of a 1.25 acre tract as surveyed out
for Dennis Keating dated 27 December 1999;

Thence: North 03 degrees 29 minutes 02 seconds East, with the west
line of said Johnson Second tract, a distance of 1044.78 feet to a
set 1\2 inch Steel Square Tubing with a plastic cap marked COX 4577
for the southeast corner of said Johnson First tract and the
northeast corner of a tract as described in Deed to Marshall E.
Anderson et ux, Marquerite Anderson, filed 11 January 1962, and
Recorded in Volume 947 Page 387 of said Deed Records;

Thence: North 87 degrees 58 minutes 16 seconds West, with the south
line of said Johnson First Tract, and with the north line of said
Anderson tract, a distance of 1313.82 feet to a found 1\2 inch Steel
Rebar for the southwest corner of said Johnson First Tract, and the
southeast corner of a tract as described in Deed to Steve Bryant et
ux, Judy Bryant, filed 02 January 2003, and Recorded in Volume 3393
Page 846 of said Deed Records;

Thence: North 03 degrees 21 minutes 26 seconds East, with the west
line of said Johnson First Tract, a distance of 3311.44 feet to a
Wood Fence corner Post for the northwest corner of said Johnson
First Tract;

Thence: South 86 degrees 54 minutes 56 seconds East, with the north
line of said Johnson First Tract, a distance of 1313.67 feet to a
set 1\2 inch Steel Square Tubing for the northeast corner of said
Johnson First Tract, and on the west line of a called 288.92 acre
tract as described in Deed to Inwood Plaza Joint Venture, filed 07
January 2004, and Recorded in Volume 3594 Page 147 of said Deed
Records;

Thence: South 03 degrees 27 minutes 34 seconds West, with the east
line of said Johnson First Tract, a distance of 960.75 feet to a
found 1\2 inch Steel Rebar at the base of a Wood Fence corner Post
for the northwest corner of said Johnson Second Tract, and the
southwest corner of said Inwood Plaza Joint Venture tract;

Thence: South 87 degrees 14 minutes 29 seconds East, with the north
line of said Johnson Second Tract, and with the south line of said
Inwood Plaza tract, a distance of 20.98 feet to a found 1\2 inch
Steel Rebar at the base of a wood fence corner post for the
northeast corner of said Johnson Second Tract, and the northwest
corner of said Gunter 223 tract;

Thence: South 03 degrees 20 minutes 36 seconds West, with the east
line of said Johnson Second Tract, and the west line of said Gunter
223 tract, a distance of 2326.24 feet to a Wood Fence corner Post
for an angle point;

Thence: South 03 degrees 29 minutes 00 seconds West, with the east
line of said Johnson Second Tract, and the west line of said Gunter
223 tract, a distance of 1045.16 feet to the POINT OF BEGINNING and
containing 101.005 acre of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 3 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8266 to read as
follows:

CHAPTER 8266. KIMBERLIN RANCH MUNICIPAL UTILITY DISTRICT NO. 3 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8266.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Kimberlin Ranch Municipal
Utility District No. 3 of Grayson County.
Sec. 8266.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8266.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8266.023 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8266.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8266.005-8266.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8266.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8266.023; or
(2) the date this chapter expires under Section
8266.003.
Sec. 8266.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8266.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8266.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8266.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8266.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8266.026-8266.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8266.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8266.052-8266.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8266.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8266.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district water
or wastewater facility to each person that holds a certificate of
convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8266.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8266.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8266.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8266.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8266.107-8266.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8266.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8266.201.

[Sections 8266.152-8266.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8266.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8266.101 or 8266.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8266.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8266.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Kimberlin Ranch Municipal Utility
District No. 3 of Grayson County includes all the territory
contained in the following area:

All that certain tract or parcel of land situated in the Ricardo
Garcia Survey, Abstract Number 446 and the M.S. Herrera Survey,
Abstract Number 545, County of Grayson, State of Texas, said tract
being all of a 303.943 acre tract as described in Deed to Morris
Morgan Jr., et ux, Bonita Morgan, filed 26 October 1996, and
Recorded in Volume 2364 Page 637, and all of a 20.333 acre tract as
described in Deed to Morris Morgan Jr., et ux, Bonita Morgan, filed
02 May 2003, and Recorded in Volume 3446 Page 71, and all of a
22.469 acre tract as described in Deed to Morris Morgan Jr., et ux,
Bonita Morgan, filed 20 February 2004, and Recorded in Volume 3616
Page 79 of the Deed Records of the County of Grayson, State of
Texas, and being more fully described as follows:

Beginning for the southeast corner of the tract being described
herein at a found 3\4 inch Steel Rod, said rod being the southeast
corner of said Morgan 303.943 acre tract, and the northeast corner
of a tract as described in Deed to Martinek Grain & Bin Inc,, filed
03 August 1994, and Recorded in Volume 2352 Page 18 of said Deed
Records, said rod also being in Scharff Road (gravel surfaced);

Thence: South 88 degrees 48 minutes 47 seconds West, with the south
line of said Morgan 303.943acre tract, and passing at 22.90 feet a
wood fence corner post on the west side of said road, and continuing
on said course for a total distance of 3725.83 feet to a found 1\2
inch Steel Square Tubing with a plastic cap marked Cox 4577 for the
southwest corner of said Morgan 303.943 acre tract, and the
southeast corner of said Morgan 20.333 acre tract;

Thence: South 89 degrees 50 minutes 58 seconds West, with the south
line of said Morgan 20.333 acre tract, a distance of 624.98 feet to
a found 1\2 inch Steel Square Tubing with a plastic cap marked COX
4577 for the southwest corner of said Morgan 20.333 acre tract, and
the southeast corner of said Morgan 22.469 acre tract;

Thence: South 89 degrees 52 minutes 55 seconds West, with the south
line of said Morgan 22.469 acre tract, a distance of 719.91 feet to
a found 1\2 inch Steel Square Tubing with a plastic cap marked COX
4577 for the southwest corner of said Morgan 22/469 acre tract;

Thence: North 01 degrees 01 minutes 06 seconds West, with the west
line of said Morgan 22.469 acre tract, a distance of 1400.92 feet to
a found 1\2 inch Steel Rebar by a wood Fence corner Post for the
northwest corner of said Morgan 22.469 acre tract, and an ell corner
of said Morgan 303.943 acre tract;

Thence: North 01 degrees 01 minutes 06 seconds West, with the west
line of said Morgan 303.943 acre tract, a distance of 1583.19 feet
to a found 1\2 inch Steel Rebar by a wood Fence corner Post for the
northwest corner of said Morgan 303.943 acre tract;

Thence: North 89 degrees 11 minutes 45 seconds East, with the north
line of said Morgan 303.943acre tract, a distance of 1378.61 feet to
a found 1\2 inch Steel Rebar by a wood fence corner post for a
corner;

Thence: North 89 degrees 04 minutes 46 seconds East, with the north
line of said Morgan 303.943 tract, a distance of 3678.41 feet to a
found 3\4 inch Steel Rod for th3e northeast corner of said Morgan
303.943 acre tract, and in Scharff Road.

Thence: South 01 degrees 16 minutes 42 seconds East, with the east
line of said Morgan 303.943 tract, and in said road, a distance of
2982.52 feet to the POINT OF BEGINNING and containing 347.744 acres
of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. PLATINUM RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8256 to read as
follows:

CHAPTER 8256. PLATINUM RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8256.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "Director" means a member of the board.
(3) "District" means the Platinum Ranch Municipal
Utility District No. 1 of Grayson County.
Sec. 8256.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 59, Article XVI,
Texas Constitution.
Sec. 8256.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8256.055 before September 1, 2009:
(1) the district is dissolved September 1, 2009,
except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of
debts shall be transferred to Grayson County; and
(C) the organization of the district shall be
maintained until all debts are paid and remaining assets are
transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8256.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
other indebtedness; or
(4) the legality or operation of the district or the
board.
Sec. 8256.005. ANNEXATION INTO CITY OF GUNTER. (a)
Notwithstanding any other law, if all of the territory of the
district is annexed by the City of Gunter into the corporate limits
of that municipality before the date of the election held to confirm
the creation of the district, the district is not dissolved and
shall continue in full force and effect.
(b) Any future annexation or inclusion of additional
territory into a district governed by this chapter may not occur
unless the City of Gunter is allowed to voluntarily annex the same
territory into the municipality's corporate limits.
Sec. 8256.006. DISSOLUTION. Section 43.074, Local
Government Code, applies to the dissolution of the district.

[Sections 8256.007-8256.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8256.051. DIRECTORS; TERMS. (a) The district is
governed by a board of five directors.
(b) Except as provided by Section 8256.053, directors serve
staggered four-year terms.
Sec. 8256.052. ELECTION OF DIRECTORS. On the uniform
election date in May of each even-numbered year, the appropriate
number of directors shall be elected.
Sec. 8256.053. INITIAL DIRECTORS. (a) The initial board
consists of:
(1) Mark McClure;
(2) Greg Meador;
(3) Lance Hancock;
(4) David Howell; and
(5) Mark Smith.
(b) The terms of the first three directors named in
Subsection (a) expire on the uniform election date in May 2008, and
the terms of the last two directors named in Subsection (a) expire
on the uniform election date in May 2010.
(c) This section expires September 1, 2011.
Sec. 8256.054. INCORPORATION OF DISTRICT TERRITORY INTO
MUNICIPALITY REQUIRED. The directors may not hold an election
under Section 8256.055 until all of the territory of the district is
included in the corporate limits of the City of Gunter.
Sec. 8256.055. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION. The initial directors shall hold an election to confirm
the creation of the district.

[Sections 8256.056-8256.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8256.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. (a) The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
(b) Notwithstanding Subsection (a), the district may not
act as a retail provider of water or wastewater service.
(c) The district shall make the district's water and
wastewater facilities available to an entity holding the applicable
certificate of convenience and necessity.
Sec. 8256.102. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulatory ordinances of
the municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
(c) If a portion of the territory of the district is
excluded from the corporate limits of the City of Gunter, the
district shall:
(1) improve, maintain, repair, and operate the roads
located in that portion of territory in accordance with the
ordinances and rules of the political subdivision possessing
jurisdiction over the roads in that portion of territory; and
(2) pay the entire cost of performing the district's
duties under Subdivision (1).
Sec. 8256.103. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if:
(1) the district has no outstanding bonded debt;
(2) the district is not imposing ad valorem taxes; and
(3) each new district is within the corporate limits
of the City of Gunter.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) At the time of creation, any new district created by the
division of the district may not contain any land outside the area
described by Section ____.02 of the Act creating this chapter.

[Sections 8256.104-8256.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8256.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8256.201.

[Sections 8256.152-8256.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8256.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8256.101 or 8256.102.
(b) The district may not issue bonds to finance projects
authorized by Section 8256.102 unless the issuance is approved by a
vote of a two-thirds majority of the district voters voting at an
election called for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8256.102 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Platinum Ranch Municipal Utility
District No. 1 of Grayson County includes all the territory
contained in the following area:

All that certain tract or parcel of land situated in the William
Richards Survey, Abstract Number 998, the Robert Mason Survey,
Abstract Number 784, the J.R. Worral Survey, Abstract Number 1357,
and the William Wells Survey, Abstract Number 1354, County of
Grayson, State of Texas and being all that called 339.24 acre tract
of land as described in Deed to Platinum Ranch Venture, LTD, filed
16 February 2001 and recorded in Volume 3033 Page 185 of the Deed
Records of the County of Grayson, State of Texas, and being all that
called 300.264 acre tract of land as described in Deed to Platinum
Ranch Venture, LTD, filed 16 February 2001 and recorded in Volume
3033 Page 189 of said Deed Records, and being all that called 100.00
acre tract of land as described in Deed to Platinum Ranch Venture,
LTD, filed 01 March 2001 and recorded in Volume 3038 Page 100 of
said Deed Records, and being all that called 851.808 acre tract of
land as described in Deed to Platinum Ranch Venture, LTD, filed 16
May 2001 and recorded in Volume 3072 Page 217 of said Deed Records,
and being all that called 78.427 acre tract of land as described in
Deed to Platinum Ranch Venture, LTD, filed 23 May 2002 and recorded
in Volume 3253 Page 743 of said Deed Records, and being more fully
described as follows:

BEGINNING for the Southeast corner of the tract being described
herein at a found 1\2 inch iron rod at the intersection of Old
Scaggs School Road and Merilee Roads for the Southeast corner of
said 851.808 acre tract, said rod being on the South line of said
Mason Survey;

Thence: South 89 degrees 57 minutes 55 seconds West, with the South
line of said 851.808 acre tract and said Mason Survey, along the
centerline of said Marilee Road, a distance of 3186.43 feet to a
found 1\2 inch iron rod for the Southwest corner of said 851.808
acre tract and the Southeast corner of said 329.424 acre tract;

Thence: North 89 degrees 22 minutes 52 seconds West, with the South
line of said 329.424 acre tract, continuing along the centerline of
said road, and passing at 4174.77 feet the Southwest corner of said
329.424 acre tract and the Southeast corner of said 100.00 acre
tract, and continuing along said course, a total distance of
5198.85 feet to a found 1\2 inch steel square tube for corner at the
intersection of said Marilee Road and County Road Number 10;

Thence: North 88 degrees 59 minutes 54 seconds West, continuing
with the South line of said 100.00 acre tract, along the centerline
of said Marilee Road, a distance of 244.55 feet to a found 1\2 inch
steel square tube at the intersection of said Marilee Road and Blame
Road for the Southwest corner of said 100.00 acre tract;

Thence: North 00 degrees 07 minutes 57 seconds West, with the West
line of said 100.00 acre tract, along the centerline of said Blaine
Road, and passing at 3425.72 feet the Northwest corner of said
100.00 acre tract and the Southwest corner of said 300.264 acre
tract, and continuing along said course and road, and passing at
5630.58 feet the Northwest corner of said 300.264 acre tract and the
Southwest corner of said 78.427 acre tract, and continuing along
said course and road, a total distance of 7236.34 feet to a found
1\2 inch steel square tube at the intersection of said Blaine Road
and Jaresh Road for the Northwest corner of said 78.427 acre tract;

Thence: North 88 degrees 26 minutes 13 seconds East, with the North
line of said 78.427 acre tract, along the centerline of said Jaresh
Road, a distance of 2076.20 feet to a found 1\2 inch iron rod for the
Northeast corner of said 78.427 acre tract;

Thence: South 01 degrees 09 minutes 52 seconds East, with the East
line of said 78.427 acre tract, and passing at 14.0 feet a cross-tie
fence corner post on the South side of said Jaresh Road, and
continuing along said course, along and near a fence, a total
distance of 1662.51 feet to a found 1\2 inch steel square tube for
the Southeast corner of said 78.427 acre tract, said tubing being on
the North line of said 300.264 acre tract, said tubing also being
the Southwest corner of a called 252.043 tract of land as described
in Deed to Ronald Evans Box, et ux Nita Gay Box, filed 15 December
1992 and recorded in Volume 2246 Page 173 of said Deed Records;

Thence: North 89 degrees 32 minutes 42 seconds East, with the North
line of said 300.264 acre tract and the South line of said Box
tract, with a fence, a distance of 1771.60 feet to a bois d' arc post
for corner;

Thence: North 89 degrees 04 minutes 11 seconds East, continuing
with the North line of said 300.264 acre tract and the South line of
said Box tract, with a fence, a distance of 1940.19 feet to a
cross-tie fence corner post for an ell corner of this tract, said
corner also being the Southeast corner of said Box tract;

Thence: North 00 degrees 40 minutes 31 seconds West, with the West
line of said 851.808 acre tract and the East line of said Box tract,
along and near a fence, a distance of 1208.96 feet to a wood fence
corner post for an ell corner of this tract and a Northeast corner
of said Box tract;

Thence: South 87 degrees 48 minutes 54 seconds West, continuing
with the West line of said 851.808 acre tract and the East line of
said Box tract, along and near a fence, a distance of 1749.62 feet
to a pipe fence corner post for corner;

Thence: North 01 degrees 29 minutes 27 seconds West, continuing
with the West line of said 851.808 acre tract and the East line of
said Box tract, along and near a fence, a distance of 1664.74 feet
to a pipe fence corner post for corner;

Thence: North 87 degrees 51 minutes 31 seconds East, continuing
with the West line of said 851.808 acre tract and the East line of
said Box tract, along and near a fence, 849.86 feet to a pipe fence
corner post for corner;

Thence: North 01 degrees 26 minutes 50 seconds West, continuing
with the West line of said 851.808 acre tract and the East line of
said Box tract, along and near a fence, a distance of 1216.06 feet
to a pipe fence corner post for the Northwest corner of said 851.808
acre tract, said post also being the Southwest corner of a called
374.17 acre tract of land as described in Deed to Martinek Grain &
Bins, Inc., filed 01 June 1993 and recorded in Volume 2272 Page 912
of said Deed Records;

Thence: North 87 degrees 58 minutes 36 seconds East, with the North
line of said 851.808 acre tract and the South line of said 374.17
acre tract, with the general course of a fence, a distance of 973.27
feet to a wood post for corner;

Thence: North 87 degrees 53 minutes 22 seconds East, continuing
with the North line of said 851.808 acre tract and the South tine of
said 374.17 acre tract, with said fence, a distance of 1091.88 feet
to a wood fence corner post for corner;

Thence: North 89 degrees 57 minutes 15 seconds East, continuing
with the North line of said 851.808 acre tract and the South line of
said 374.17 acre tract, with said fence, a distance of 1491.72 feet
to a cross-tie fence corner post for the Northeast corner of said
851.808 acre tract, said post also being the most Westerly
Northwest corner of a called 178.842 acre tract of land as described
in Deed to Martinek Grain & Bins, Inc., dated 03 August 1994 and
recorded in Volume 2352 Page 18 of said Deed Records;

Thence: South 02 degrees 33 minutes 15 seconds East, with the East
line of said 851.808 acre tract, along and near a fence, a distance
of 960.89 feet to a found 1\2 inch iron rod for a Southwest corner of
said 178.842 acre tract, said rod also being the Northwest corner of
a called 112.268 acre tract of land as described in Deed to Marion
Cole, et ux Linda Cole, dated 27 May 1999 and recorded in Volume
2796 Page 848 of said Deed Records;

Thence: South 02 degrees 57 minutes 08 seconds East, continuing
with the East line of said 851.808 acre tract and the West line of
said Cole tract, along and near a fence, a distance of 1552.77 feet
to a found 1\2 inch iron rod for the Southwest corner of said Cole
tract;

Thence: South 89 degrees 54 minutes 04 seconds East, continuing
with the East line of said 851.808 acre tract and the South line of
said Cole tract, along and near a fence, and passing a cross-tie
fence corner post on the West side of Old Skaggs School Road, and
continuing along said course, a distance of 3118.80 feet to a set
1\2 inch steel square tube with a plastic cap marked COX 4577 in the
centerline of said Old Skaggs School Road for the Southeast corner
of said Cole tract;

Thence: South 00 degrees 04 minutes 13 seconds East, continuing
with the East line of said 851.808 acre tract, along the center of
said Old Skaggs School Road, a distance of 1561.21 feet to a found
1\2 inch iron rod for corner, said road making a turn to the West at
this corner;

Thence: North 89 degrees 46 minutes 04 seconds West, continuing
with the East line of said 851.808 acre tract, along the center of
said Old Skaggs School Road, a distance of 3072.50 feet to a found
nail for corner, said nail being at a turn of said Old Skaggs School
Road;

Thence: South 00 degrees 51 minutes 03 seconds East, continuing
with the East line of said 851.808 acre tract, along the center of
said Old Scaggs School Road, a distance of 5800.26 feet to the POINT
OF BEGINNING and containing 1659.998 acres of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. PRESTON SUMMIT MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8254 to read as
follows:

CHAPTER 8254. PRESTON SUMMIT MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8254.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Preston Summit Municipal
Utility District No. 1 of Grayson County.
Sec. 8254.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8254.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8254.023 before September 1, 2011:
(1) the district is dissolved September 1, 2011,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2014.
Sec. 8254.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8254.005-8254.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8254.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8254.023; or
(2) the date this chapter expires under Section
8254.003.
Sec. 8254.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8254.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8254.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8254.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8254.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8254.026-8254.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8254.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8254.052-8254.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8254.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8254.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district water
or wastewater facility to each person that holds a certificate of
convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8254.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, zoning and subdivision requirements, and regulations of
each municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8254.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8254.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8254.106. COMPLIANCE WITH MUNICIPAL CONSENT
RESOLUTIONS. The district shall comply with all applicable
requirements of any ordinance or resolution adopted by the
governing body of each municipality in whose corporate limits or
extraterritorial jurisdiction the district is located.
Sec. 8254.107. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8254.108-8254.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8254.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8254.201.

[Sections 8254.152-8254.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8254.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8254.101 or 8254.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8254.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8254.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ___.02. The Preston Summit Municipal Utility
District No. 1 of Grayson County includes all the territory
contained in the following area:

TRACT 1:

SITUATED in the County of Grayson, State of Texas, being a part of
the John Blundell Survey, Abstract No. 95, a part of the Orry A.
VanDusen Survey, Abstract, No. 1424, a part of the William P.
Johnson Survey, Abstract No. 628 and a part of the Daniel Lloyd
Survey, Abstract No. 706, being a part of the 709.93648 acre tract
of land (Tract Two) and a part of the "approximate" 68.3 acre tract
of land (Tract One), conveyed by Correction Warranty Deed from C. J.
Christie and wife, Mattie P. Christie, to Christie Farm, Ltd., on
February 12, 1993 (effective date: June 17, 1992), recorded in
Volume 2255, Page 516, Real Property Records, Grayson County,
Texas, and being more particularly described as one tract of land,
by metes and bounds as follows, to-wit:

BEGINNING at a 1/2 inch rebar set in the South line of said Blundell
Survey and the North line of the Asa Hartfield Survey, Abstract No.
490, at an angle point in the East line of the Tommy Allen, III,
537.375 ac. in Vol. 3187, Pg. 766, O.P.R.G.C.T., at the Southwest
corner of said Christie 709.93648 ac. and the Northwest corner of
the Sangani Properties, Ltd. 26.861 ac. (Tract 3) in Vol. 3684, Pg.
182, O.P.R.G.C.T., said rebar being in the West ditch of Fallon
Road, a "North-South" public road, and being 15.5 ft. West of the
center of the asphalt paving of Fallon Road, and being in-line with
the center of Savage Road, a public road to the East;

THENCE North 24 deg. 58 min. 30 sec. East, with the East line of said
Allen 537.375 ac., intersecting the center of the asphalt paving of
Fallon Road at about 100 ft., and continuing now with said center of
Fallon Road, leaving said center of road at about 2400, and
continuing for a total distance of 2457.37 ft. to a 1/2 inch rebar
set near the East edge of said asphalt paving of said road, in the
East line of said VanDusen Survey and the most Western West line of
said Johnson Survey, at an angle point in said East line of the
Allen 537.375 ac.;

THENCE North 01 deg. 50 min. 30 sec. East, with said East line of the
VanDusen Survey and then the most Eastern East line of the H.T. &
B.R.R. Survey, Abstract No. 605 and with said Western West line of
the Johnson Survey, intersecting the center of the asphalt paving
of Fallon Road at about 80 ft., and continuing now with said center
of Fallon Road, leaving said center of road at about 4800, and
continuing for a total distance of 5330.70 ft. to a 1/2 inch rebar
set in an "East-West" wire fence maintaining the South line of both
the John S. Thom (AKA.; John. S. Thorn) Survey, Abstract No. 1189
and the Phillip S. Wildman 183.689 ac. (Exhibit "A") in Vol. 2535,
Pg. 484, O.P.R.G.C.T., at the Northwest corner of both said Johnson
Survey and the Christie 709.93648 ac., the most Eastern Northeast
corner of said H.T. & B.R.R. Survey;

THENCE South 89 deg. 00 min. 22 sec. East, with the general course
of said wire fence maintaining said South line of the Thom Survey
and the North line of said Johnson Survey, a distance of 1618.98 ft.
to a 5/8 inch rebar found in concrete, at the Southeast base of a
crosstie corner post, at the Southeast corner of said Wildman
183.689 ac. and the Southwest corner of the Phillip Sherwood
Wildman and wife, Teresa Marie "Donohoe" Wildman 240.811 ac.
(Exhibit "A") in Vol. 2583, Pg. 538, O.P.R.G.C.T.;

THENCE South 87 deg. 56 min. 05 sec. East, with the "scattered"
remains of an old fence, continuing with said South line of the Thom
Survey and said North line of the Johnson Survey, a distance of
2665.50 ft. to a spike nail found near the West base of a corner
post, in the center of an old "North-South" public road, now
abandoned, in the West line of both the Mary Miller Survey, Abstract
No. 775 and the Jack A. Turpin 233.480 ac. (Tract No. 1) in Vol.
1963, Pg. 436. R.P.R.G.C.T., at the Southeast corner of both the
Thom Survey and the Wildman 240.811 ac., the Northeast corner of
both the Johnson Survey and the Christie 709.93648 ac.;

THENCE South 00 deg. 12 min. 02 sec. East, with the general course
of a wire fence along the center of said abandoned road, with said
West line of the Miller Survey and the East line of said Johnson
Survey, a distance of 1331.48 ft. to an 8 inch wood post maintaining
an angle point in the west line of said Turpin 233.480 ac.;

THENCE South 17 deg. 23 min.. 18 sec. East, with a wire fence
maintaining the West line of said Turpin 233.480 ac., but not with
said Miller & Johnson Survey lines and not with the center of said
abandoned road, a distance of 301.70 ft. to an 8 inch wood post
maintaining another angle point in the West said Turpin 233.480 ac,
in the West line of said abandoned road;

THENCE South 00 deg. 28 min. 22 sec. East, with the general course
of a wire fence maintaining the West line of said Turpin 233.480
ac., and along the West line of said abandoned road, a distance of
1461.48 ft. to a crosstie corner post maintaining the Southwest
corner of said Turpin 233.480 ac.;

THENCE South 89 deg. 20 min. 53 sec. East, with a wire fence
maintaining the South line of said Turpin 233.480 ac., a distance of
16.97 ft. to a 1/2 inch rebar found at the base of a corner post, in
the center of said abandoned road, in the East line of both said
Johnson Survey and the Christie 709.93648 Sc., the West line of said
Miller Survey, at the Northwest corner of the Edwin A. Trapp, Jr.
Revocable Trust, 278.389 ac. (Tract One Exhibit "A") in Vol. 2271,
Pg. 274, R.P.R.G.C.T.;

THENCE South 00 deg. 17 min. 02 sec. East, with the general course
of a wire fence along the center of said abandoned road, with said
West line of the Miller Survey and said East line of the Johnson
Survey, a distance of 1813.09 ft. to a 5/8 inch rebar found at the
base of a corner post, at the Southwest corner of said Miller
Survey, the most Western Southwest corner of said Trapp 278.389ac.
and the Northwest corner of both said Daniel Lloyd Survey and the
Christie 68.3 ac.;

THENCE North 89 deg. 30 min. 05 sec. East, with the general course
of a wire fence maintaining a South line of said Miller Survey and
the North line of both said Lloyd Survey and the Christie 68.3 ac.,
leaving said abandoned road at 17 ft., and continuing with said
fence, for a total distance 914.48 ft. to a 1/2 inch rebar found at
the base of a corner post, in the West right-of-way line of State
Hwy. 289, at the most Eastern Northeast corner of the herein
described tract;

THENCE Southwesterly, with the West right-of-way line of State Hwy.
289, the following calls and distances:

1. South 28 deg. 15 min. 55 sec. West, a distance of 774.73 ft. to a
point at the East base of fence post;

2. South 15 deg. 32 min. 08 sec. West, a distance of 251.91 ft. to a
point at the East base of a corner post, in North right-of-way line
of the St. Louis, San Francisco & Texas (Frisco) Railroad, at the
most Eastern Southeast corner of the herein described tract;

THENCE Southwesterly, with the North right-of-way line of said
Frisco Railroad, the following calls and distances:

1. South 76 deg. 48 min. 15 sec. West, a distance of 3250.09 ft. to a
point at the beginning of a curve;

2. Southwesterly, with a curve to the left having a central angle
(delta) of 29 deg. 09 min. 37 sec. and a radius of 3869.83 ft. (chord
bears South 62 deg. 13 min.. 27 sec. West, 1948.33 ft.), an arc
distance of 1969.52 ft. to a 1/2 inch rebar set in the center of said
Savage Road, in the South line of said Blundell Survey and the North
line of said Hartfield Survey, at the most Southern Southeast
corner of both the Christie 709.93648 ac. and the herein described
tract;

THENCE North 88 deg. 36 mm, 08 sec. West, with the center of Savage
Road and with said Survey lines, a distance of 1216.55 ft. to the
PLACE OF BEGINNING and containing 721.495 ACRES of land.

TRACT 2:

SITUATED in the County of Grayson, State of Texas, being a part of
the John Blundell Survey, Abstract No. 95, a part of the William P.
Johnson Survey, Abstract No. 628 and a part of the Daniel Lloyd
Survey, Abstract No. 706, being part of the 90.71166 acre tract of
land (Tract Three) and a part of the "approximate" 68.3 acre tract
of land (Tract One), conveyed by Correction Warranty Deed from C. J.
Christie and wife, Mattie P. Christie, to Christie Farm, Ltd., on
February 12, 1993 (effective date: June 17, 1992), recorded in
Volume 2255, Page 516, Real Property Records, Grayson County,
Texas, and being more particularly described as one tract of land,
by metes and bounds as follows, to-wit:

BEGINNING at a 1/2 inch rebar found in the West right-of-way line of
State Hwy. 289 and the center of Savage Road, a public road to the
West, in the most Southern South line of said Johnson Survey, in the
South line of said Christie 90.71166 ac. and the North line of the
Asa Hartfield Survey, Abstract No. 490, at the most Southern
Southeast corner of the herein described tract and the Northeast
corner of the Sangani Properties, Ltd. 278.933 ac. (Tract 2) in Vol.
3684, Pg. 182, O.P.R.G.C.T.;

THENCE Westerly, with the center of Savage Road, with the South line
of said Christie 90.71166 ac. and the North line of said Sangani
278.933 ac., the following calls and distances:

1. North 88 deg. 01 min. 29 sec. West, a distance of 2702.40 ft. to
an angle point;

2. North 88 deg. 36 min. 08 sec. West, 969.77 ft. to a 1/2 inch rebar
set in the South or Southeast right-of-way line of the St. Louis,
San Francisco & Texas (Frisco) Railroad, at the Southwest corner of
said Christie 90.71166 ac. and the Northwest corner of said Sangani
278.933 ac.;

THENCE Northeasterly, with the South or Southeast right-of-way line
of said Frisco Railroad, the following calls and distances:

1. Northeasterly, with a curve to the right having a central angle
(delta) of 27 deg. 32 min. 56 sec. and a radius of 3769.83 ft. (chord
bears North 61 deg, 01 min. 47 sec. East, 1795.20 ft.), an arc
distance of 1812.61 ft. to a point at the end of said curve;

2. North 76 deg. 48 min. 15 sec. East, a distance of 3195.27 ft. to a
point at the East base of a corner post, in the West right-of-way
line of State Hwy. 289, at the Northeast corner of the herein
described tract;

THENCE Southeasterly, with the West right-of-way line of State Hwy.
289. the following calls and distances:

1. South 15 deg. 32 min. 08 sec. West, a distance of 625.74 ft. to a
point on a concrete & brass monument, said point being North 38 deg.
West, 0.5 ft. from the center of said monument;

2. South 25 deg. 08 min. 43 sec. West, a distance of 632.15 ft. to a
point on a concrete & brass monument, said point being North 17 deg.
West, 0.3 ft. from the center of said monument;

3. South 41 deg. 35 min. 40 sec. West, a distance of 314.23 ft. to a
point on a concrete & brass monument, said point being North 21 deg.
West, 0.2 ft. from the center of said monument;

4. South 46 deg. 32 min. 40 sec. West, a distance of 251.92 ft. to a
point on a concrete & brass monument, in the North line of said
Savage Road, said point being North 47 deg. West, 0.2 ft. from the
center of said monument;

THENCE North 88 deg. 59 min. 29 sec. West, continuing with said West
right-of-way line of Hwy. 289, along a "flare-out in said
right-of-way and with the North line of Savage Road, a distance of
210.77 ft. to a point on a concrete & brass monument, said point
being 0.8 ft. South of the center of said monument;

THENCE South 01 deg. 37 min. 50 sec. West, again with said West
right-of-way line of Hwy. 289 and partially across Savage Road, a
distance of 33.58 ft. to the PLACE OF BEGINNING and containing
95.259 ACRES of land.

TRACT 3:

SITUATED in the County of Grayson, State of Texas, being a part of
the Daniel Lloyd Survey, Abstract No. 706, being a part of the
"approximate" 68.3 acre tract of land (Tract One), conveyed by
Correction Warranty Deed from C. J. Christie and wife, Mattie P.
Christie, to Christie Farm, Ltd., on February 12, 1993 (effective
date: June 17, 1992), recorded in Volume 2255, Page 516, Real
Property Records, Grayson County, Texas, and being more
particularly described by metes and bounds as follows, to-wit:

BEGINNING at a 1/2 inch rebar found in East right-of-way line of
State Hwy. 289 and the center of Strawn Road, an "East-West" public
road, in the North line of the Asa Hartfield Survey, Abstract No.
490, at the Southwest corner of both said Daniel Lloyd Survey and
the Christie 68.3 ac., the Southeast corner of the William P.
Johnson Survey, Abstract No. 628;

THENCE North 00 deg, 13 min. 14 sec. West, with the East
right-of-way line of said Hwy. 289, with the West line of both said
Daniel Lloyd Survey and the Christie 68.3 ac. and the East line of
said Johnson Survey, a distance of 180.01 ft. to a point in the
center of a concrete & brass monument, at an angle point in said
right-of-way;

THENCE Northeasterly, continuing with said East right-of-way line
of Hwy. 289, but not with said Survey lines, the following calls and
distances:

1. North 39 deg. 45 min. 23 sec. East, a distance of 104.24 ft. to a
point in the center of a concrete & brass monument at an angle
point;

2. North 46 deg. 32 min. 40 sec. East, a distance of 656.69 ft. to a
point at the beginning of a curve;

3. Northeasterly, with a curve to the left having a central angle
(delta) of 42 deg. 14 min. 00 sec. and a radius of 1482.21 ft. (chord
bears North 25 deg. 25 min. 40 sec. East, 1067.99 ft.), an arc
distance of 1092.55 ft. to a point at the end of said curve;

4. North 04 deg. 18 min. 40 sec. East, a distance of 75.10 ft. to a
1/2 inch rebar set in the South right-of-way line of the St. Louis,
San Francisco & Texas (Frisco) Railroad, at most Northern Northwest
corner of the herein described tract;

THENCE North 76 deg. 48 min. 15 sec. East, with the South
right-of-way line of said Frisco Railroad, a distance of 324.79 ft.
to a point in the East line of said Christie 68.3 ac. and a West line
of the Edwin A. Trapp, Jr. Revocable Trust, 278.389 ac. (Tract One,
Exhibit "A") in Vol. 2271, Pg. 274, R.P.R.G.C.T., at the Northeast
corner of the herein described tract;

THENCE South 00 deg. 09 min. 43 sec. East, with said West line of the
Trapp 278.389 ac., passing a crosstie corner post at 8 ft., and
continuing now with the general course of a wire fence, passing a
1/2 inch rebar found in fence at 1777.7 ft., passing a corner post
in the North line of Strawn Road and leaving said fence at about
1792 ft., and continuing for a total distance of 1816.60 ft. to a
point in the center of Strawn Road in the South line of said Daniel
Lloyd Survey and the North line of said Hartfield Survey, at the
Southeast corner of said Christie 68.3 ac. and the most Southern
Southwest corner of said Trapp 278.389 ac.;

THENCE South 89 deg. 37 min. 18 sec. West, with the center of Strawn
Road and with said Survey lines, a distance of 1328.26 ft. to the
PLACE OF BEGINNING and containing 29.764 ACRES of land.

TRACT 4:

BEGINNING at a point in the East right-of-way line of State Hwy.
289, in the North line of both said Daniel Lloyd Survey and the
Christie 68.3 ac., in the South line of the Mary Miller Survey,
Abstract No. 775 and a South line of the Edwin A. Trapp, Jr.
Revocable Trust, 278.389 ac. (Tract One, Exhibit "A") in Vol. 2271,
Pg. 274, R.P.R.G.C.T., at the Northwest corner of the herein
described tract, said point being 2.1 ft. West of a 1/2 inch rebar
found at the base of a corner post;

THENCE North 89 deg. 36 min. 08 sec. East, with said South line of
the Trapp 278.389 ac. and with said Survey lines, passing said rebar
at 2.1 ft., and continuing now with a wire fence, for a total
distance of 155.34 ft. to a 1/2 inch rebar found at the base of a
corner post, at the Northeast corner of said Christie 68.3 ac. and
an Ell corner of said Trapp 278.389 ac.;

THENCE South 00 deg. 09 min. 43 sec. East, with the general course
of a wire fence maintaining a West line of said Trapp 278.389 ac.
and the East line of said Christie 68.3 ft., a distance of 727.30
ft. to a point in the North right-of-way line of the St. Louis, San
Francisco & Texas (Frisco) Railroad, at the Southeast corner of the
herein described tract;

THENCE South 76 deg. 48 min. 15 sec. West with the North
right-of-way line of said Frisco Railroad, a distance of 316.39 ft.
to a concrete & brass monument found in said East right-of-way line
of State Hwy. 289, at the Southwest corner of the herein described
tract;

THENCE North 10 deg. 41 min. 06 sec. East, with the East
right-of-way line of State Hwy. 289, a distance of 812.53 ft. to the
PLACE OF BEGINNING and containing 3.995 ACRES of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8258 to read as
follows:

CHAPTER 8258. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 1 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8258.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Sangani Ranch Municipal
Utility District No. 1 of Grayson County.
Sec. 8258.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8258.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8258.023 before September 1, 2009:
(1) the district is dissolved September 1, 2009,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2012.
Sec. 8258.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8258.005-8258.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8258.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8258.023; or
(2) the date this chapter expires under Section
8258.003.
Sec. 8258.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8258.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8258.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8258.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8258.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8258.026-8258.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8258.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8258.052-8258.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8258.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8258.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district water
or wastewater facility to each person that holds a certificate of
convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8258.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8258.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8258.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8258.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8258.107-8258.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8258.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8258.201.

[Sections 8258.152-8258.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8258.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8258.101 or 8258.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8258.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8258.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ___.02. The Sangani Ranch Municipal Utility
District No. 1 of Grayson County includes all the territory
contained in the following area:

Tract 1

All that certain tract or parcel of land situated in the A. S. A.
Hartfield Survey, Abstract Number 490, Grayson County, Texas, and
being part of a called Tract No. 3 as described in a deed from Jack
A. Turpin to JMS & Co., a Texas General Partnership as recorded in
Volume 1963, Page 451, Deed Records of Grayson County, Texas, and
being more particularly described as follows:

Beginning at a 1/2" iron rod found in the south line of said Tract
No. 3 and in the east right-of-way line of State Highway 289 and
also in an asphalt road under apparent public use posted as Mackey
Road;

Thence North 00 Degrees 32 Minutes 59 Seconds West with the said
east monumented right-of-way line and generally with a fence line,
a distance of 114.58 feet to a right-of-way monument found for
corner;

Thence North 45 Degrees 35 Minutes 10 Seconds East with the said
east monumented right-of-way line and generally with a fence line,
a distance of 180.50 feet to a right-of-way monument found for
corner;

Thence North 40 Degrees 07 Minutes 07 Seconds East with the said
east right-of-way line and generally with a fence line, a distance
of 329.14 feet to a 1/2" capped iron rod set for corner;

Thence North 45 Degrees 35 Minutes 13 Seconds East with the said
east right-of-way line and generally with a fence line, a distance
of 1391.07 feet to a 1/2'' capped iron rod set for corner;

Thence North 51 Degrees 15 Minutes 05 Seconds East with the said
east monumented right-of-way line and generally with a fence line,
a distance of 494.20 feet to a concrete monument for corner;

Thence North 45 Degrees 35 Minutes 13 Seconds East with the said
east right-of-way line and generally with a fence line, a distance
of 131.23 feet to a l/2" capped iron rod set for corner;

Thence North 42 Degrees 32 Minutes 58 Seconds East with the said
east monumented right-of-way line and generally with a fence line,
a distance of 3 15.33 feet to a concrete monument for corner;

Thence North 45 Degrees 35 Minutes 13 Seconds East with the said
east right-of-way line and generally with a fence line, a distance
of 98.43 feet to a 1/2" capped iron rod set for corner;

Thence North 40 Degrees 15 Minutes 20 Seconds East with the said
east right-of-way line and generally with a fence line, a distance
of 354.85 feet to a 1/2" capped iron rod set for the north corner of
said Tract No. 3 and at the northwest corner of a called 26.14 acre
tract of land described in a deed to Penny S. Avery as recorded in
Volume 2670, Page 802, Deed Records of Grayson County, Texas;

Thence South 01 Degrees 16 Minutes 21 Seconds East with the east
line of said Tract No. 3 and with the west line of said 26.14 acre
tract and also with or near a fence line, passing a 1/2" iron rod
found at 2400.96 feet and continuing along said coarse for a total
distance of 2425.74 feet to a 60 D nail found at the southeast comer
of said Tract No. 3 and at the southwest corner of said 26.14 acre
tract and also in said asphalt road;

Thence South 89 Degrees 39 Minutes 37 Seconds West with the south
line of said Tract No. 3 and along said asphalt road, a distance of
2379.51 feet to the POINT OF BEGINNING and containing in total
69.234 acres of land and in the occupied road way and a total of
1.413 acres of land.

Tract 2

All that certain tract or parcel of land situated in the A. S. A.
Hartfield Survey, Abstract Number 490, Grayson County, Texas, and
being part of a called Tract No. 2 as described in a deed from Jack
A. Turpin to JMS & Co., a Texas General Partnership as recorded in
Volume 1963, Page 451, Deed Records of Grayson County, Texas, and
being more particularly described as follows:

Beginning at a 1/2" capped iron rod set at the southwest corner of
said Tract No. 2 and in an asphalt road under apparent public use
posted as Fallow Road and also in the west line of said Hartfield
Survey;

Thence North 00 Degrees 57 Minutes 46 Seconds East with the west
line of said Tract No. 2 and along said asphalt road most of the way
and also with the said west line, a distance of 1786.81 feet to a
1/2" capped iron rod set for corner in the southeast right-of-way
line of S.C. & S.F. RAILROAD;

Thence North 12 Degrees 29 Minutes 16 Seconds East with the west
line of said Tract No, 2 and with the said southeast right-of-way
line, a distance of 1260.61 feet to a 1/2" capped iron rod set for
corner at the start of a curve to the right having a radius of
3699.71 feet;

Thence with said curve to the right and with the said west line and
also with the said southeast right-of-way line an arc length of
991.94 feet and said curve having a chord bearing of North 20
Degrees 16 Minutes 14 Seconds East, a distance of 988.97 feet to a
1/2" capped iron rod set for corner at the start of a curve to the
right having a radius of 3772.73 feet;

Thence with said curve to the right and with the said west line and
also with the said southeast right-of-way line an arc length
1350.21 feet and said curve having a chord bearing of North 38
Degrees 02 Minutes 43 Seconds East, a distance of 1343.02 feet to a
60 D nail found at the northwest corner of said Tract No. 2 and in an
asphalt road under apparent public use posted as Savage Road;

Thence South 89 Degrees 33 Minutes 30 Seconds East with the north
line of said Tract No. 2 and along said asphalt road, a distance of
969.10 feet to a 60 D nail found for corner;

Thence South 89 Degrees 58 Minutes 51 Seconds East with the said
north line and along said asphalt road, a distance of 2702.37 feet
to a point for the northeast corner of said Tract No. 2 and in the
west right-of-way line of State Highway 289;

Thence South 00 Degrees 40 Minutes 28 Seconds West with the said
west monumented right-of-way line, a distance of 198.93 feet to a
1/2" iron rod found in concrete for corner;

Thence South 45 Degrees 35 Minutes 18 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 967.85 feet to a brass capped monument found for
corner;

Thence South 51 Degrees 18 Minutes 23 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 494.83 feet to a brass capped monument found for
corner;

Thence South 45 Degrees 49 Minutes 03 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 97.35 feet to a brass capped monument found for
corner;

Thence South 39 Degrees 52 Minutes 13 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 494.65 feet to a brass capped monument found for
corner;

Thence South 45 Degrees 35 Minutes 18 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 1205.10 feet to a brass capped monument found for
corner;

Thence South 51 Degrees 19 Minutes 11 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 329.75 feet to a brass capped monument found for
corner;

Thence South 45 Degrees 28 Minutes 36 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 98.33 feet to a brass capped monument found for
corner;

Thence South 48 Degrees 35 Minutes 13 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 315.45 feet to a brass capped monument found for
corner;

Thence South 45 Degrees 56 Minutes 27 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 130.31 feet to a brass capped monument found for
corner;

Thence South 39 Degrees 47 Minutes 37 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 495.56 feet to a brass capped monument found for
corner;

Thence South 45 Degrees 35 Minutes 13 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 1226.52 feet to a concrete monument found for corner;

Thence South 51 Degrees 18 Minutes 15 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 494.51 feet to a concrete monument found for corner;

Thence South 46 Degrees 15 Minutes 32 Seconds West with the said
west monumented right-of-way line and generally near a fence line,
a distance of 97.79 feet to a concrete monument found for corner;

Thence South 37 Degrees 09 Minutes 28 Seconds West with the said
west right-of-way line, a distance of 409.29 feet to a 1/2" capped
iron rod set at the southeast corner of said Tract No. 2;

Thence South 89 Degrees 39 Minutes 37 Seconds West with the south
line of said Tract No. 2, a distance of 261.85 feet to the POINT OF
BEGINNING and containing in total 278.933 acres of land and in the
occupied in roadway and a total of 6.477 acres of land.

Tract 3

All that certain tract or parcel of land situated in the A. S. A.
Hartfield Survey, Abstract Number 490, Grayson County, Texas, and
being all of a called Tract No. 1 and all of a called Tract No. 4 as
described in a deed from Jack A. Turpin to JMS & Co., a Texas General
Partnership as recorded in Volume 1963, Page 451, Deed Records of
Grayson County, Texas, and being more particularly described as
follows:

Beginning at a 1/2" capped iron rod set at the northwest corner of
said Tract No. 1 and at the northwest corner of said Hartfield
Survey and also in an asphalt road under apparent public use posted
as Fallow Road;

Thence South 89 Degrees 33 Minutes 30 Seconds East with the north
line of said Tract No. 1 and with the north line of said Hartfield
Survey, a distance of 1212.54 feet to a 60 D nail found for the
northeast corner of said Tract No. 4 and in an asphalt road under
apparent public use posted as Savage Road and in the northwest
right-of-way line of S.C. & S.F. RAILROAD and also in a curve to the
left having a radius of 3872.73 feet;

Thence with said curve to the left and with the said northwest
right-of-way line an arc length of 1276.90 feet and said curve
having a chord bearing of South 37 Degrees 14 Minutes 32 Seconds
West, a distance of 1271.12 feet to a 1/2" capped iron rod set for
corner at the start of a curve to the left having a radius of 3799.71
feet;

Thence with said curve to the left and with said northwest line an
arc length of 1018.75 feet and said curve having a chord bearing of
South 20 Degrees 16 Minutes 14 Seconds West, a distance of 1015.70
feet to a 1/2" capped iron rod set for corner;

Thence South 12 Degrees 29 Minutes 16 Seconds West with the said
northwest right-of-way line, a distance of 771.10 feet to a 60 D
nail set for the south corner of said Tract No. 1 and in said Fallow
Road and also in the west line of said Hartfield Survey;

Thence North 00 Degrees 57 Minutes 32 Seconds East with the west
line of said Tract No. 1 and with the said west line and also with
said Fallow Road, a distance of 1721.54 feet to a 60 D nail set for
corner;

Thence North 01 Degrees 57 Minutes 45 Seconds East with the west
line of said Tract No. 1 and with the said west line and also with
said Fallow Road, a distance of 866.75 feet to a 60 D nail set for
corner;

Thence North 06 Degrees 54 Minutes 43 Seconds East with the west
line of said Tract No. 1, a distance of 140.40 feet to the POINT OF
BEGINNING and containing in total 26.861 acres of land and in an
occupied road way and a total of 2.173 acres of land.
SECTION ___.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 2 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8259 to read as
follows:

CHAPTER 8259. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 2 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8259.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Sangani Ranch Municipal
Utility District No. 2 of Grayson County.
Sec. 8259.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8259.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8259.023 before September 1, 2009:
(1) the district is dissolved September 1, 2009,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2012.
Sec. 8259.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8259.005-8259.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8259.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8259.023; or
(2) the date this chapter expires under Section
8259.003.
Sec. 8259.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8259.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8259.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8259.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8259.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8259.026-8259.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8259.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8259.052-8259.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8259.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8259.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district water
or wastewater facility to each person that holds a certificate of
convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8259.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8259.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8259.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8259.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8259.107-8259.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8259.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8259.201.

[Sections 8259.152-8259.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8259.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8259.101 or 8259.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8259.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8259.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Sangani Ranch Municipal Utility
District No. 2 of Grayson County includes all the territory
contained in the following area:

Tract One

All that certain tract or parcel of land situated in the Daniel
Lloyd Survey, Abstract Number 706, County of Grayson, State of
Texas, said tract being part of Tract One a called 278.389 acre
tract as described in deed to Edwin A. Trapp Jr., Trustee, filed 24
may 1993, and recorded in volume 2271 page 274 of the real property
records of the County of Grayson, State of Texas, and being more
fully described as follows:

Beginning for the southwest corner of the tract being described
herein at a set 1\2 inch steel square tubing, said tubing being the
most southerly southwest corner of said Trapp Tract One, same being
the southeast corner of Tract One as described in deed to Christie
Farm Ltd., filed 16 February 1993, and recorded in volume 2255 page
516 of said real property records, and said tubing being on the
north line of Tract Two a called 400.00 acre tract as described in
said Trapp deed, said tubing also being in Strawn Road;

Thence: North 01 degrees 32 minutes 43 seconds West, with the west
line of said Trapp Tract One, and with the east line of said
Christie Farm tract, and passing at 38.88 feet a set 1\2 inch steel
square tubing on the north side of said road, and continuing on said
course with an old barbed wire fence, and tree line, a total
distance of 1816.23 feet to a set 1\2 inch steel square tubing for
the northwest corner of this tract, said tubing being on the south
line of the Burlington Northern Railroad;

Thence: North 75 degrees 22 minutes 08 seconds East, with the south
line of said railroad, a distance of 1154.39 feet to a set 1\2 inch
steel square tubing for the start of a curve to the left having a
central angle of 19 degrees 36 minutes 08 seconds, and a radius of
2898.24 feet, and chord bearing of North 65 degrees 34 minutes 04
seconds East, and a chord distance of 986.73 feet;

Thence: With the south line of said railroad and with said curve to
the left, an arc length of 991.56 feet to a set 1\2 inch steel square
tubing for the northeast corner of this tract, said tubing being an
ell corner of said Trapp Tract One;

Thence: South 01 degrees 55 minutes 00 seconds East, with the east
line of said Trapp Tract One, and with the center of said road, a
distance of 2456.64 feet to a set 1\2 inch steel square tubing in a
turn in said road for the most southerly southeast corner of said
Trapp Tract One, and said tubing being on the north line of Tract 2 a
called 114 acre tract as described in deed to Brandon Douglas
Hunter, filed 11 July 2002, and recorded in volume 3278 page 336 of
the official public records of Grayson County, Texas;

Thence: South 88 degrees 19 minutes 20 seconds West, with the south
line of said Trapp Tract One, and with the north line of said Hunter
tract, and with said road, and passing at a distance of 1410.88 feet
to a found railroad spike, and continuing on said course a total
distance of 1854.17 feet to a found 1\2 inch rebar for the northwest
corner of said Hunter tract, same being the northeast corner of said
Trapp Tract Two, said rebar also being at the intersection of said
Strawn Road and Harris Road;

Thence: South 88 degrees 19 minutes 19 seconds West, with the south
line of said Trapp Tract One, and with the north line of said Trapp
Tract Two, and with said Strawn Road, a distance of 195.22 feet to
the POINT OF BEGINNING and containing 97.316 acres of land.

Tract Two

Beginning for the southwest corner of the tract being described
herein at a set 1\2 inch steel square tubing, said tubing being the
most westerly southwest corner of said Trapp Tract One, same being
the northwest corner of Tract One as described in deed to Christie
Farm Ltd., filed 16 February 1993, and recorded in volume 2255 page
516 of said real property records, and said tubing being on the east
line of Tract Two as described in said Christie deed, said tubing
also being in an abandoned road;

Thence: North 01 degrees 39 minutes 37 seconds West, with the west
line of said Trapp Tract One, and with the east line of said
Christie Tract Two, and with a barbed wire fence in the center of
said abandoned road bed, a distance of 1813.36 feet to a found 1\2
inch rebar for the northwest corner of said Trapp Tract One, said
rebar being on the south line of a called 233.48 acre tract as
described in deed to JMS Ltd., filed 23 June 2004, and recorded in
volume 3684 page 164 of the official public records of Grayson
County, Texas;

Thence: North 88 degrees 52 minutes 52 seconds East, with the north
line of said Trapp Tract One, and with the south line of said JMS
tract, and with an old barbed wire fence, a distance of1395.71 feet
to a found 1\2 inch rebar with a plastic cap marked Underwood for
the northeast corner of this tract, said rebar being the southeast
corner of said JMS tract, and said rebar being on the west line of
State Highway Number 289;

Thence: With the west line of said highway the following five (5)
calls:

1. South 10 degrees 50 minutes 55 seconds West, a distance of 27.66
feet,

2. South 05 degrees 41 minutes 07 seconds West, a distance of
164.82 feet,

3. South 11 degrees 06 minutes 58 seconds West, a distance of
823.97 feet,

4. South 14 degrees 04 minutes 31 seconds West, a distance of
656.55 feet,

5. South 27 degrees 11 minutes 10 seconds West, a distance of
194.90 feet to a found 1\2 inch rebar with a plastic cap marked
Underwood for the southeast corner of this tract, said rebar being
on the south line of said Trapp Tract One, same being the north line
of said Christie Tract One;

Thence: South 88 degrees 07 minutes 17 seconds West, with the south
line of said Trapp Tract One, and with the north line of said
Christie Tract One, a distance of 914.29 feet to the POINT OF
BEGINNING and containing 49.540 acres of land.

Tract Three

Beginning for the northwest corner of the tract being described
herein at a found 1\2 inch rebar with a plastic cap marked
Underwood, said rebar being on the north line of said Trapp Tract
One, and said rebar being the southwest corner of a called 134.431
acre tract as described in deed to JMS Ltd., filed 23 June 2004, and
recorded in volume 3684 page 164 of the official public records of
Grayson County, Texas, said rebar also being on the east line of
State Highway Number 289;

Thence: North 89 degrees 11 minutes 13 seconds East, with the north
line of said Trapp Tract One, and with the south line of said JMS
tract, and with an old barbed wire fence, and tree line, a distance
of 2500.41 feet to a found 1\2 inch rebar by an old wood fence corner
post for the northeast corner of said Trapp Tract One, same being
the northwest corner of a called 76 acre tract, the Second Tract in
Exhibit "B" as described in deed to Freels Family Limited
Partnership, filed 09 January 1997, and recorded in volume 2516
page 609 of said official public records;

Thence: South 00 degrees 53 minutes 47 seconds East, with the east
line of said Trapp Tract One, and with the west line of said Freels
tract, a distance of 1192.97 feet to a set 1\2 inch steel square
tubing for the southeast corner of this tract, said tubing being on
the north line of the Burlington Northern Railroad, said tubing
also being in a curve to the right having a central angle of 39
degrees 50 minutes 05 seconds, and a radius of 2798.24 feet, and
chord bearing of South 55 degrees 27 minutes 06 seconds West, and a
chord distance of 1906.53 feet;

Thence: With the north line of said railroad, and with said curve to
the right, an arc length of 1945.47 feet to a set 1\2 inch steel
square tubing for the end of said curve;

Thence: South 75 degrees 22 minutes 08 seconds West, with the north
line of said railroad, a distance of 1131.15 feet to a set 1\2 inch
steel square tubing for the most southerly southwest corner of this
tract, said tubing being on the west line of said Trapp Tract One,
and said tubing being on the east line of Tract One as described in
deed to Christie Farm Ltd., filed 16 February 1993, and recorded in
volume 2255 page 516 of said real property records;

Thence: North 01 degrees 32 minutes 43 seconds West, with the west
line of said Trapp Tract One, and with the east line of said
Christie Tract One, and with an old barbed wire fence and tree line,
a distance of 727.86 feet to a found 1\2 inch rebar by a wood fence
corner post for an ell corner of said Trapp Tract One, same being
the northeast corner of said Christie Tract One;

Thence: South 88 degrees 13 minutes 00 seconds West, with the south
line of said Trapp Tract One, and with the north line of said
Christie Tract One, and with an old barbed wire fence and tree line,
a distance of 152.97 feet to a found 1\2 inch rebar with a plastic
cap marked Underwood for the most westerly southwest corner of this
tract, said rebar being on the east line of said highway;

Thence: With the east line of said highway the following three (3)
calls:

1. North 09 degrees 22 minutes 56 seconds East, a distance of
129.92 feet,

2. North 08 degrees 16 minutes 56 seconds East, a distance of
657.02 feet,

3. North 11 degrees 12 minutes 13 seconds East, a distance of
1042.97 feet to the POINT OF BEGINNING and containing 127.870 acres
of land.

Tract Four

Beginning for the southeast corner of the tract being described
herein at a set 1\2 inch steel square tubing, said tubing being the
most easterly southeast corner of said Trapp Tract One, same being
the southwest corner of a called 76 acre tract, the Second Tract in
Exhibit "B" as described in deed to the Freels Family Limited
Partnership, filed 09 January 1997, and recorded in volume 2516
page 609 of the official public records of Grayson County, Texas,
said tubing also being in the center of Strawn Road;

Thence: South 89 degrees 06 minutes 49 seconds West, with the south
line of said Trapp Tract One, and with the center of said road, a
distance of 389.89 feet to a set 1\2 inch steel square tubing for
the southwest corner of this tract, said tubing being on the south
line of the Burlington Northern Railroad, said tubing also being in
a curve to the left having a central angle of 11 degrees 00 minutes
26 seconds, and a radius of 2898.24 feet, and a chord bearing of
North 43 degrees 38 minutes 14 seconds East, and a chord distance of
555.93 feet;

Thence: With the south line of said railroad, and with said curve to
the left, an arc length of 556.78 feet to a set 1\2 inch steel square
tubing for the northeast corner of this tract, said tubing being on
the east line of said Trapp Tract One, same being the west line of
said Freels tract;

Thence: South 00 degrees 53 minutes 47 seconds West, with the east
line of said Trapp Tract One, and with the west line of said Freels
Tract, and passing at 366.36 feet a set 1\2 inch steel square tubing
on the north side of said road, and continuing on said course a
total distance of 396.36 feet to the POINT OF BEGINNING and
containing 1.660 acres of land.

Tract 5

All that certain tract or parcel of land situated in the Asa
Hartfield Survey, Abstract Number 490 and the Harry Campbell
Survey, Abstract Number 244, County of Grayson, State of Texas,
said tract being the remainder of Tract Two a called 400.00 acre
tract as described in deed to Edwin A. Trapp Jr., Trustee, filed 24
may 1993, and recorded in volume 2271 page 274 of the real property
records of the County of Grayson, State of Texas, and being more
fully described as follows:

Beginning for the most northerly northeast corner of the tract
being described herein at a found 1\2 inch rebar, said rebar being
the most northerly northeast corner of said Tract Two, and said
rebar being the northwest corner of Tract 2, a called 114 acre tract
as described in deed to Brandon Douglas Hunter, filed 11 July 2002,
and recorded in volume 3278 page 336 of the official public records
of Grayson County, Texas, and said rebar being on the south line of
Tract One a called 278.389 acre tract as described in said Trapp
deed, said rebar also being at the intersection of Strawn Road and
Harris Road;

Thence: South 01 degrees 41 minutes 56 seconds East, with the east
line of said Tract Two, and with the west line of said Hunter Tract
2, and with said Harris Road, a distance of 1637.62 feet to a found
1\2 inch rebar for an ell corner of said Tract Two, same being the
southwest corner of said Hunter Tract 2;

Thence: North 88 degrees 41 minutes 40 seconds East, with the north
line of said Tract Two, and with the south line of said Hunter Tract
2, and with an old barbed wire fence and tree line, and passing at
3859.69 feet a wood fence post, and continuing on said course a
total distance of 3994.01 feet to a point in the East Fork of the
Trinity River for the most easterly northeast corner of said Tract
Two;

Thence: With the East Fork of the Trinity River the following thirty
five (35) calls:

1. South 04 degrees 16 minutes 06 seconds West, a distance of 13.44
feet,

2. South 71 degrees 38 minutes 03 seconds West, a distance of 30.00
feet,

3. South 16 degrees 22 minutes 03 seconds West, a distance of 35.50
feet,

4. South 44 degrees 05 minutes 05 seconds East, a distance of
118.73 feet,

5. South 21 degrees 02 minutes 52 seconds East, a distance of
114.70 feet,

6. South 28 degrees 15 minutes 39 seconds East, a distance of 49.91
feet,

7. South 46 degrees 49 minutes 00 seconds East, a distance of 93.47
feet,

8. South 59 degrees 59 minutes 37 seconds East, a distance of 97.33
feet,

9. North 87 degrees 21 minutes 13 seconds East, a distance of 56.79
feet,

10. North 41 degrees 45 minutes 50 seconds East, a distance of
32.24 feet,

11. North 21 degrees 45 minutes 20 seconds West, a distance of
68.89 feet,

12. North 13 degrees 33 minutes 07 seconds East, a distance of
51.57 feet,

13. South 76 degrees 46 minutes 26 seconds East, a distance of
67.85 feet,

14. South 56 degrees 03 minutes 42 seconds East, a distance of
47.74 feet,

15. South 05 degrees 21 minutes 57 seconds West, a distance of
66.45 feet,

16. South 19 degrees 16 minutes 48 seconds West, a distance of
44.53 feet,

17. South 62 degrees 01 minutes 44 seconds West, a distance of
46.70 feet,

18. South 24 degrees 16 minutes 44 seconds East, a distance of
107.73 feet,

19. North 80 degrees 21 minutes 03 seconds East, a distance of
72.00 feet,

20. North 41 degrees 38 minutes 02 seconds East, a distance of
51.16 feet,

21. North 71 degrees 31 minutes 13 seconds East, a distance of
90.02 feet,

22. South 87 degrees 37 minutes 31 seconds East, a distance of
84.31 feet,

23. South 29 degrees 55 minutes 31 seconds East, a distance of
251.82 feet,

24. South 36 degrees 47 minutes 19 seconds West, a distance of
208.87 feet,

25. South 39 degrees 55 minutes 52 seconds West, a distance of
166.41 feet,

26. South 27 degrees 53 minutes 18 seconds East, a distance of
118.83 feet,

27. South 51 degrees 28 minutes 57 seconds East, a distance of
47.21 feet,

28. South 35 degrees 04 minutes 21 seconds East, a distance of
307.05 feet,

29. South 89 degrees 36 minutes 39 seconds East, a distance of
85.00 feet,

30. North 85 degrees 30 minutes 21 seconds East, a distance of
155.00 feet,

31. South 11 degrees 27 minutes 21 seconds West, a distance of
200.00 feet,

32. South 43 degrees 02 minutes 39 seconds East, a distance of
160.00 feet,

33. South 07 degrees 28 minutes 29 seconds East, a distance of
135.00 feet,

34. South 02 degrees 28 minutes 21 seconds West, a distance of
95.00 feet,

35. South 43 degrees 16 minutes 03 seconds East, a distance of
77.43 feet to a point in a Soil Conservation Lake for the southeast
corner of said Tract Two, said point being on the north line of a
tract as described in deed to W. J. Harris, filed 08 November 1950,
and recorded in volume 629 page 119 of the deed records of said
Grayson County, Texas;

Thence: South 88 degrees 00 minutes 17 seconds West, with the south
line of said Tract Two, and with the north line of said Harris
tract, and passing at 540.02 feet a set 1\2 inch steel square tubing
on the west edge of said lake, and continuing on said course with an
old barbed wire fence and tree line, a total distance of 3456.64
feet to a found 1\2 inch rebar for the northeast corner of a called
4.461 acre tract as described in deed to Barry Harris et ux, Vickie
Lynn Harris, filed 03 September 1993, and recorded in volume 2291
page 101 of said real property records;

Thence: South 88 degrees 44 minutes 13 seconds West, with the south
line of said Tract Two, and with the north line of said Harris 4.461
acre tract, and with said fence and tree line, a distance of 334.09
feet to a found 1\2 inch rebar for the northwest corner of said
Harris 4.461 acre tract;

Thence: South 88 degrees 38 minutes 06 seconds West, with the south
line of said Tract Two, and with said fence and tree line, a
distance of 1370.38 feet to a found 1\2 inch rebar in said Harris
Road for the most southerly southwest corner of said Tract Two, same
being the northwest corner of said W. J. Harris tract, and said
rebar being on the east line of Tract 1, a called 105.27 acre tract
as described in said Hunter deed;

Thence: North 01 degrees 42 minutes 39 seconds West, with the west
line of said Tract Two, and with the east line of said Hunter Tract
1, and with said road, a distance of 780.48 feet to a set 1\2 inch
steel square tubing for an ell corner of said Tract Two, same being
the northeast corner of said Hunter Tract 1;

Thence: South 88 degrees 47 minutes 26 seconds West, with the south
line of said Tract Two, and with the north line of said Hunter Tract
1, and passing at 207.13 feet a wood fence post, and continuing on
said course with an old barbed wire fence, and tree line, a total
distance of 2201.38 feet to a found 1\2 inch rebar for the northwest
corner of said Hunter Tract 1, same being the northeast corner of a
tract as described in partition deed to Edna M. Woodall, filed 12
September 1977, and recorded in volume 1404 page 596 of said deed
records;

Thence: South 88 degrees 46 minutes 48 seconds West, with the south
line of said Tract Two, and with the north line of said Woodall
tract, and with said fence, a distance of 772.94 feet to a set 1\2
inch steel square tubing for a southwest corner of said Tract Two,
same being the southeast corner of a called 26.14 acre tract as
described in deed to Penny S. Avery, filed 07 July 1998, and
recorded in volume 2670 page 802 of said official public records;

Thence: North 02 degrees 17 minutes 36 seconds West, with the west
line of said Tract Two, and with the east line of said Avery tract, a
distance of 710.78 feet to a found 1\2 inch rebar for an ell corner
of said Tract Two, same being the northeast corner of said Avery
tract;

Thence: North 63 degrees 23 minutes 26 seconds West, with the south
line of said Tract Two, and with the north line of said Avery tract,
a distance of 710.78 feet to a found 1\2 inch rebar for the most
westerly southwest corner of said Tract Two, same being the most
northerly corner of said Avery tract, and said rebar being on the
east line of State Highway Number 289;

Thence: With the east line of said Highway the following nine (9)
calls:

1. North 45 degrees 06 minutes 45 seconds East, a distance of
386.68 feet,

2. South 44 degrees 48 minutes 33 seconds East, a distance of 20.00
feet,

3. North 45 degrees 11 minutes 27 seconds East, a distance of
1000.00 feet,

4. North 44 degrees 48 minutes 33 seconds East, a distance of 20.13
feet,

5. North 45 degrees 07 minutes 15 seconds East, a distance of
872.90 feet,

6. North 50 degrees 55 minutes 36 seconds East, a distance of
164.98 feet,

7. North 45 degrees 21 minutes 48 seconds East, a distance of
120.47 feet,

8. North 88 degrees 27 minutes 27 seconds East, a distance of
216.10 feet,

9. North 00 degrees 42 minutes 19 seconds West, a distance of 26.46
feet to a set 1\2 inch steel square tubing in said Strawn Road for
the remainder northwest corner of said Tract Two, same on the
southwest corner of Tract One as described deed to Christie Farm
Ltd., filed 16 February 1993, and recorded in volume 2255 page 516
of said real property records;

Thence: North 88 degrees 07 minutes 11 seconds East, with the north
line of said Tract Two, and with the south line of said Christie
Farm tract, and with said road, a distance of 1328.08 feet to a set
1\2 inch steel square tubing for the southeast corner of said
Christie Farm tract, same being the southwest corner of said Trapp
Tract One;

Thence: North 88 degrees 19 minutes 19 seconds East, with the north
line of said Tract Two, and with the south line of said Trapp Tract
One, and with said road, a distance of 195.22 feet to the POINT OF
BEGINNING and containing 399.348 acres of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 3 OF
GRAYSON COUNTY
SECTION ____.01. Subtitle F, Title 6, Special District
Local Laws Code, is amended by adding Chapter 8260 to read as
follows:

CHAPTER 8260. SANGANI RANCH MUNICIPAL UTILITY DISTRICT NO. 3 OF
GRAYSON COUNTY

SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8260.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Sangani Ranch Municipal
Utility District No. 3 of Grayson County.
Sec. 8260.002. NATURE OF DISTRICT. The district is a
municipal utility district in Grayson County created under and
essential to accomplish the purposes of Section 52, Article III,
and Section 59, Article XVI, Texas Constitution.
Sec. 8260.003. CONFIRMATION ELECTION REQUIRED. If the
creation of the district is not confirmed at a confirmation
election held under Section 8260.023 before September 1, 2009:
(1) the district is dissolved September 1, 2009,
except that the district shall:
(A) pay any debts incurred;
(B) transfer to Grayson County any assets that
remain after the payment of debts; and
(C) maintain the organization of the district
until all debts are paid and remaining assets are transferred; and
(2) this chapter expires September 1, 2012.
Sec. 8260.004. INITIAL DISTRICT TERRITORY. (a) The
district is initially composed of the territory described by
Section ____.02 of the Act creating this chapter.
(b) The boundaries and field notes contained in Section
____.02 of the Act creating this chapter form a closure. A mistake
made in the field notes or in copying the field notes in the
legislative process does not affect:
(1) the organization, existence, or validity of the
district;
(2) the right of the district to impose taxes;
(3) the validity of the district's bonds, notes, or
indebtedness; or
(4) the legality or operation of the district or the
board.

[Sections 8260.005-8260.020 reserved for expansion]

SUBCHAPTER A-1. TEMPORARY PROVISIONS
Sec. 8260.021. TEMPORARY DIRECTORS. (a) On or after
September 1, 2007, a person who owns land in the district may submit
a petition to the Texas Commission on Environmental Quality
requesting that the commission appoint as temporary directors the
five persons named in the petition.
(b) The commission shall appoint as temporary directors the
five persons named in the first petition received by the commission
under Subsection (a).
(c) If a temporary director fails to qualify for office, the
commission shall appoint a person to fill the vacancy.
(d) Temporary directors serve until the earlier of:
(1) the date directors are elected under Section
8260.023; or
(2) the date this chapter expires under Section
8260.003.
Sec. 8260.022. ORGANIZATIONAL MEETING OF TEMPORARY
DIRECTORS. As soon as practicable after all the temporary
directors have qualified under Section 49.055, Water Code, the
temporary directors shall meet at a location in the district
agreeable to a majority of the directors. At the meeting, the
temporary directors shall elect officers from among the temporary
directors and conduct any other district business.
Sec. 8260.023. CONFIRMATION AND INITIAL DIRECTORS'
ELECTION; ANNEXATION BY CITY. (a) The temporary directors shall
hold an election to confirm the creation of the district and to
elect five directors as provided by Section 49.102, Water Code.
(b) The temporary directors may not hold the election until
the City of Gunter has annexed into its corporate limits all
territory described by Section ____.02 of the Act creating this
chapter.
Sec. 8260.024. INITIAL ELECTED DIRECTORS; TERMS. The
directors elected under Section 8260.023 shall draw lots to
determine which two shall serve until the first regularly scheduled
election of directors and which three shall serve until the second
regularly scheduled election of directors.
Sec. 8260.025. EXPIRATION OF SUBCHAPTER. This subchapter
expires September 1, 2014.

[Sections 8260.026-8260.050 reserved for expansion]

SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8260.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five directors.
(b) Directors serve staggered four-year terms.

[Sections 8260.052-8260.100 reserved for expansion]

SUBCHAPTER C. POWERS AND DUTIES
Sec. 8260.101. MUNICIPAL UTILITY DISTRICT POWERS AND
DUTIES. The district has the powers and duties provided by the
general law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section 59,
Article XVI, Texas Constitution.
Sec. 8260.102. WATER AND WASTEWATER FACILITIES AND
SERVICES. (a) The district shall make available any district
water or wastewater facility to each person that holds a
certificate of convenience and necessity for land in the district.
(b) The district may not provide retail water or wastewater
services.
Sec. 8260.103. ROAD PROJECTS. (a) To the extent authorized
by Section 52, Article III, Texas Constitution, the district may
construct, acquire, improve, maintain, or operate macadamized,
graveled, or paved roads or turnpikes, or improvements in aid of
those roads or turnpikes, inside the district.
(b) A road project must meet all applicable construction
standards, subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located.
Sec. 8260.104. MAINTENANCE AND REPAIR OF ROADS IN TERRITORY
EXCLUDED FROM CITY. If the City of Gunter excludes district
territory from the city's corporate limits, the district shall
maintain, improve, operate, and repair any road located in that
territory in accordance with the ordinances and rules of each
political subdivision in whose jurisdiction the road is located.
Sec. 8260.105. DIVISION OF DISTRICT. (a) The district may
be divided into two new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district
has all the powers and duties of the district.
(d) Any new district created by the division of the district
may not, at the time the new district is created, contain any land:
(1) outside the area described by Section ____.02 of
the Act creating this chapter; or
(2) outside the corporate limits of the city of
Gunter.
Sec. 8260.106. LIMITATION ON ANNEXATION. (a) The district
may not add land to the district under Subchapter J, Chapter 49,
Water Code, if the land is located outside the corporate limits of
the city of Gunter.
(b) Section 43.075, Local Government Code, does not apply to
the district.

[Sections 8260.107-8260.150 reserved for expansion]

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8260.151. TAX TO REPAY BONDS. The district may impose
a tax to pay the principal of or interest on bonds or other
obligations issued under Section 8260.201.

[Sections 8260.152-8260.200 reserved for expansion]

SUBCHAPTER E. BONDS
Sec. 8260.201. AUTHORITY TO ISSUE BONDS AND OTHER
OBLIGATIONS. (a) The district may issue bonds or other obligations
as provided by Chapters 49 and 54, Water Code, to finance the
construction, maintenance, or operation of a project under Section
8260.101 or 8260.103.
(b) The district may not issue bonds or other obligations to
finance projects authorized by Section 8260.103 unless the issuance
is approved by a vote of a two-thirds majority of the district
voters voting at an election held for that purpose.
(c) Bonds or other obligations issued or incurred to finance
projects authorized by Section 8260.103 may not exceed one-fourth
of the assessed value of the real property in the district.
SECTION ____.02. The Sangani Ranch Municipal Utility
District No. 3 of Grayson County includes all the territory
contained in the following area:

Tract One

All that certain tract or parcel of land situated in the Mary Miller
Survey, Abstract Number 775, County of Grayson, State of Texas,
said tract being the remainder tract of a called 233.48 acre tract
as described in deed to JMS Ltd., filed 23 June 2004, and recorded
in volume 3684 page 164 of the official public records of the County
of Grayson, State of Texas, and being more fully described as
follows:

Beginning for the southeast corner of the tract being described
herein at a found 1\2 inch rebar marked Underwood 4709 on the west
right of way line of State Highway Number 289, said rebar being the
remainder southeast corner of said JMS tract, same being the
southwest corner of a called 2.286 acre tract as described in deed
to the State of Texas, and recorded in volume 2816 page 376 of said
official public records, and said rebar being the northwest corner
of a called 1.186 acre tract as described in deed to the State of
Texas, and recorded in volume 2792 page 411 of said official public
records, and said rebar also being on the north line of Tract One, a
called 278.389 acre tract as described in deed to Edwin A. Trapp
Jr., Trustee, filed 24 May 1993, and recorded in volume 2271 page
274 of the real property records of Grayson County, Texas;

Thence: South 88 degrees 52 minutes 52 seconds West, with the south
line of said JMS tract, and with the north line of said Trapp tract,
and with a barbed wire fence, and passing at 1395.71 feet a found
1\2 inch rebar in the center of an abandoned road, being the
northwest corner of said Trapp tract, and continuing on said course
a total distance of 1413.20 feet to a crosstie fence corner post for
the southwest corner of said JMS tract;

Thence: North 01 degrees 47 minutes 38 seconds West, with the west
line of said JMS tract, and with the west line of said abandoned
road, and with a barbed wire fence, a distance of 1462.01 feet to a
wood fence corner post for an angle point in the west line of said
JMS tract;

Thence: North 19 degrees 12 minutes 28 seconds West, with the west
line of said JMS tract, and with a barbed wire fence, a distance of
294.56 feet to a wood fence corner post for an angle point in the
west line of said JMS tract;

Thence: North 01 degrees 32 minutes 37 seconds West, with the west
line of said JMS tract, and with the center of said abandoned road,
and with a barbed wire fence, a distance of 1338.47 feet to a set 1\2
inch steel square tubing for an angle point, said tubing being the
southeast corner of a called 240.811 acre tract as described in deed
to Phillip S. Wildman et ux, Teresa Marie Wildman, filed 23 October
1997, and recorded in volume 2583 page 538 of said official public
records;

Thence: North 01 degrees 36 minutes 23 seconds West, with the east
line of said Wildman tract, and with said fence, and with the center
of said abandoned road, a distance of 1833.73 feet to a set 3\8 inch
rebar for the northwest corner of said JMS tract;

Thence: North 88 degrees 36 minutes 19 seconds East, with the north
line of said JMS tract, and with an old barbed wire fence and tree
line, a distance of 2639.27 feet to a set 1\2 inch steel square
tubing in the west right of way line of said highway for the
northeast remainder corner of said JMS tract, same being the
northwest corner of said State of Texas 2.286 acre tract;

Thence: With the west line of said highway, the following eleven
(11) calls:

1. South 11 degrees 11 minutes 30 seconds West, a distance of
1730.40 feet to a concrete monument,

2. South 16 degrees 52 minutes 30 seconds West, a distance of 165.19
feet to a concrete monument,

3. South 11 degrees 59 minutes 16 seconds West, a distance of 98.10
feet to a concrete monument,

4. South 05 degrees 28 minutes 02 seconds West , a distance of
164.76 feet to a concrete monument,

5. South 11 degrees 10 minutes 10 seconds West, a distance of
1601.67 feet to a concrete monument,

6. South 16 degrees 42 minutes 42 seconds West, a distance of 329.66
feet to a concrete monument,

7. South 11 degrees 42 minutes 34 seconds West, a distance of 98.54
feet to a concrete monument,

8. South 05 degrees 23 minutes 27 seconds West, a distance of 329.86
feet to a concrete monument,

9. South 11 degrees 12 minutes 13 seconds West, a distance of 298.04
feet to a concrete monument,

10. South 16 degrees 49 minutes 07 seconds West, a distance of
164.79 feet to a concrete monument,

11. South 11 degrees 19 minutes 08 seconds West, a distance of 70.88
feet to the POINT OF BEGINNING and containing 231.164 acres of land.

Tract Two

All that certain tract or parcel of land situated in the Mary Miller
Survey, Abstract Number 775, County of Grayson, State of Texas,
said tract being the remainder tract of a called 136.431 acre tract
as described in deed to JMS Ltd., filed 23 June 2004, and recorded
in volume 3684 page 164 of the official public records of the County
of Grayson, State of Texas, and being more fully described as
follows:

Beginning for the southwest corner of the tract being described
herein at a found 1\2 inch rebar marked Underwood 4709 on the east
right of way line of State Highway Number 289, said rebar being the
remainder southwest corner of said JMS tract, same being the
southeast corner of a called 0.959 acre tract as described in deed
to the State of Texas, and recorded in volume 2816 page 376 of said
official public records, and said rebar being the northeast corner
of a called 0.954 acre tract as described in deed to the State of
Texas, and recorded in volume 2792 page 417 of said official public
records, and said rebar also being on the north line of Tract One, a
called 278.389 acre tract as described in deed to Edwin A. Trapp
Jr., Trustee, filed 24 May 1993, and recorded in volume 2271 page
274 of the real property records of Grayson County, Texas;

Thence: With the east line of said highway, the following five (5)
calls:

1. North 11 degrees 30 minutes 45 seconds East, a distance of 505.16
feet to a concrete monument,

2. North 16 degrees 23 minutes 59 seconds East, a distance of 329.37
feet to a concrete monument,

3. North 11 degrees 09 minutes 31 seconds East, a distance of 98.37
feet to a concrete monument,

4. North 05 degrees 23 minutes 20 seconds East , a distance of
330.13 feet to a concrete monument,

5. North 11 degrees 11 minutes 34 seconds East, a distance of 518.12
feet to a found 1\2 inch rebar marked 4709 for the northwest
remainder corner of said JMS tract, same being the northeast corner
of said State of Texas 0.959 acre tract;

Thence: North 88 degrees 56 minutes 27 seconds East, with the north
line of said JMS tract, and with an old barbed wire fence and tree
line, a distance of 1333.17 feet to a set 1\2 inch steel square
tubing for an angle point in the north line of said JMS tract;

Thence: North 89 degrees 09 minutes 04 seconds East, with the north
line of said JMS tract, and with said fence, a distance of 2317.18
feet to a set 1\2 inch steel square tubing for the northeast corner
of said JMS tract, same being the west right of way line of the
Burlington Northern Railway, as described in deed to Red River
Texas and Southern Railway Company, filed 04 November 1905, and
recorded in volume 168 page 52 of the deed records of Grayson
County, Texas;

Thence: South 25 degrees 45 minutes 19 seconds West, with the east
line of said JMS tract, and with the west line of said railway, a
distance of 1949.51 feet to a set 1\2 inch steel square tubing for
the southeast corner of said JMS tract;

Thence: South 88 degrees 55 minutes 54 seconds West, with the south
line of said JMS tract, and with an old barbed wire fence and tree
line, a distance of 647.14 feet to a found 1\2 inch rebar for the
northeast corner of said Trapp tract;

Thence: South 89 degrees 11 minutes 13 seconds West, with the south
line of said JMS tract, and with the north line of said Trapp tract,
and with said fence, a distance of 2500.41 feet to the POINT OF
BEGINNING and containing 135.678 acres of land.

Tract Three

All that certain tract or parcel of land situated in the Mary Miller
Survey, Abstract Number 775, County of Grayson, State of Texas,
said tract being all of a called 85.470 acre tract as described in
deed to JMS Ltd., filed 23 June 2004, and recorded in volume 3684
page 164 of the official public records of the County of Grayson,
State of Texas, and being more fully described as follows:

Beginning for the southeast corner of the tract being described
herein at a found 1\2 inch steel square tubing, said tubing being
the southeast corner of said JMS tract, same being the northeast
corner of a tract as described in deed to the Freels Family Limited
Partnership, filed 09 January 1997, and recorded in volume 2516
page 609 of said official public records, and said tubing being in
Old Preston Road;

Thence: South 88 degrees 55 minutes 54 seconds West, with the south
line of said JMS tract, and with the north line of said Feeels
tract, a distance of 2011.77 feet to a set 1\2 inch steel square
tubing for the southwest corner of said JMS tract, same being the
east right of way line of the Burlington Northern Railway, as
described in deed to Red River Texas and Southern Railway Company,
filed 04 November 1905, and recorded in volume 168 page 52 of the
deed records of Grayson County, Texas;

Thence: North 25 degrees 45 minutes 19 seconds East, with the west
line of said JMS tract, and with the east line of said railway, a
distance of 3372.95 feet to a set 1\2 inch steel square tubing for
the northwest corner of said JMS tract;

Thence: South 89 degrees 54 minutes 13 seconds East, with the north
line of said JMS tract, a distance of 470.60 feet to a found 1\2 inch
steel square tubing for the northeast corner of said JMS tract, and
said tubing being in said road;

Thence: South 01 degrees 26 minutes 09 seconds East, with the east
line of said JMS tract, and with said road, a distance of 3000.51
feet to the POINT OF BEGINNING and containing 85.710 acres of land.
SECTION ____.03. (a) The legal notice of the intention to
introduce this article, setting forth the general substance of this
article, has been published as provided by law, and the notice and a
copy of this article have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and article to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this article with the governor, the
lieutenant governor, and the speaker of the house of
representatives within the required time.
(d) 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 article are
fulfilled and accomplished.

ARTICLE ____. EFFECTIVE DATE
SECTION ___.01. This Act takes effect September 1, 2007.