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  82R17113 NAJ-D
 
  By: Deshotel H.B. No. 557
 
  Substitute the following for H.B. No. 557:
 
  By:  Davis of Dallas C.S.H.B. No. 557
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the addition of a county to a freight rail district.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  The heading to Subchapter B, Chapter 171,
  Transportation Code, is amended to read as follows:
  SUBCHAPTER B. CREATION; ADDITION OF COUNTY TO DISTRICT
         SECTION 2.  Section 171.054, Transportation Code, is amended
  to read as follows:
         Sec. 171.054.  DISTRICT TERRITORY. The district consists of
  the territory of:
               (1)  each county that created the district;
               (2)  each county added to the district under Section
  171.055; and
               (3)  the territory of the most populous municipality in
  the most populous county if that municipality's territory is
  located in more than one county.
         SECTION 3.  Subchapter B, Chapter 171, Transportation Code,
  is amended by adding Section 171.055 to read as follows:
         Sec. 171.055.  ADDITION OF COUNTY TO DISTRICT. (a) A county
  may be added to a district if:
               (1)  the county is adjacent to a county with a
  population of 3.3 million or more that created the district; or
               (2)  the county:
                     (A)  is adjacent to a county that is added to the
  district under Subdivision (1); and
                     (B)  contains a navigation district.
         (b)  The following governing bodies must by joint resolution
  approve the addition of the county to the district:
               (1)  the commissioners court of the county to be added
  to the district;
               (2)  the commissioners court of each county in the
  district; and
               (3)  the governing body of the most populous
  municipality in the most populous county in the district.
         (c)  The resolution must include the number of directors the
  new county will have on the board.
         (d)  On adoption of the resolution by each commissioners
  court and the governing body of the municipality, the county is
  added to the district.
         SECTION 4.  Section 171.101, Transportation Code, is amended
  to read as follows:
         Sec. 171.101.  COMPOSITION OF BOARD; PRESIDING OFFICER. (a)
  The board consists of directors, including a presiding officer, as
  provided in the order or ordinance creating the district under
  Section 171.052(b).
         (b)  The board shall add directors for each county added to
  the district as provided in the joint resolution adding the county
  under Section 171.055.
         SECTION 5.  Section 171.152, Transportation Code, is amended
  to read as follows:
         Sec. 171.152.  GENERAL CONTRACT POWERS. A district may
  contract with any person, including:
               (1)  a county or municipality, including a county or
  municipality that is a member of [created] the district;
               (2)  this state or any political subdivision of this
  state;
               (3)  the United States; or
               (4)  a railroad.
         SECTION 6.  Section 171.301(a), Transportation Code, is
  amended to read as follows:
         (a)  A county or municipality that is a member of [created]
  the district may petition the board for approval to withdraw from
  the district.  The board may approve the petition only if:
               (1)  the district has no outstanding bonds; or
               (2)  the district has debt other than bonds and the
  board finds that the withdrawal of the county or municipality will
  not materially affect the ability of the district to repay the debt.
         SECTION 7.  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, 2011.