80R16173 DRH-F
 
  By: Leibowitz H.B. No. 535
 
Substitute the following for H.B. No. 535:
 
  By:  Orr C.S.H.B. No. 535
 
A BILL TO BE ENTITLED
AN ACT
relating to the transfer of extraterritorial jurisdiction between
certain home-rule and general-law municipalities and annexation of
certain territory by the general-law municipalities.
       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
       SECTION 1.  Subchapter B, Chapter 42, Local Government Code,
is amended by adding Section 42.027 to read as follows:
       Sec. 42.027.  TRANSFER OF EXTRATERRITORIAL JURISDICTION
BETWEEN CERTAIN HOME-RULE AND GENERAL-LAW MUNICIPALITIES. (a) In
this section:
             (1)  "Accepting municipality" means a Type A
general-law municipality with a population of less than 7,500 that
does not own an electric, gas, or water utility and that is located
in the same county with at least 75 percent of the incorporated land
area of a releasing municipality.
             (2)  "Releasing municipality" means a home-rule
municipality with a population of more than 1.1 million that has
annexed territory for a limited purpose.
       (b)  The governing bodies of an accepting municipality and a
releasing municipality by resolution or ordinance may agree on or
before September 1, 2007, to include in the accepting
municipality's extraterritorial jurisdiction and exclude from the
releasing municipality's extraterritorial jurisdiction an area
that is in the extraterritorial jurisdiction of the releasing
municipality.
       (c)  If an agreement is not reached as provided by Subsection
(b), the governing body of an accepting municipality by resolution
or ordinance enacted before January 1, 2009, may include in the
accepting municipality's extraterritorial jurisdiction and exclude
from the releasing municipality's extraterritorial jurisdiction,
without the releasing municipality's consent, an area that is in
the extraterritorial jurisdiction of the releasing municipality if
the area:
             (1)  was not, as of September 30, 2004, identified for
annexation by the releasing municipality in the releasing
municipality's annexation plan under Section 43.052; and
             (2)  is contiguous to the accepting municipality's
corporate limits or extraterritorial jurisdiction as of the
effective date of the resolution or ordinance.
       (d)  A transfer of extraterritorial jurisdiction under
Subsection (b) or (c) may not take effect unless each homeowners' 
association in the area being transferred approves the transfer.
       (e)  The total area that may be transferred from a releasing
municipality's extraterritorial jurisdiction to an accepting
municipality's extraterritorial jurisdiction under this section
may not exceed in size 60 percent of the area contained in the
corporate limits of the accepting municipality as of the date of the
transfer.
       (f)  Not later than January 1, 2011, an accepting
municipality that has received territory in its extraterritorial
jurisdiction under Subsection (b) or (c) may without consent annex
the following in the manner provided by Subchapter C, Chapter 43:
             (1)  any territory located in the accepting
municipality's extraterritorial jurisdiction on January 1, 2007;
and
             (2)  an area transferred to the accepting
municipality's extraterritorial jurisdiction under this section.
       (g)  An area to be transferred under this section must be
identified by a map and a metes and bounds description that must be
attached to or included in the resolution or ordinance. The map and
metes and bounds description need not be established by an
on-the-ground survey.
       (h)  A copy of the resolution or ordinance adopted by the
accepting municipality must be published once in a newspaper of
general circulation within the accepting municipality and once in a
newspaper of general circulation within the releasing municipality
not later than the 30th day after the date the resolution or
ordinance is adopted. If the newspaper in which publication is made
is a newspaper of general circulation in both municipalities, only
one publication of the copy of the resolution or ordinance is
required.
       (i)  The transfer of extraterritorial jurisdiction
identified in the resolution or ordinance is effective on the 10th
day after the date of publication under Subsection (h).
       (j)  To the extent of any conflict, this section controls
over another provision of a home-rule charter, this chapter, or
Chapter 43 or any other provision of this code.
       (k)  A resolution or ordinance adopted under this section and
the relevant provisions of this subchapter may be challenged only
by a quo warranto proceeding initiated by the attorney general.
       (l)  This section expires January 2, 2011.
       SECTION 2.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2007.