| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
| |
|
|
relating to the boundaries and financing of public improvement |
|
|
districts designated by a municipality or county. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 372.003, Local Government Code, is |
|
|
amended by adding Subsection (b-1) to read as follows: |
|
|
(b-1) Payment of expenses under Subsection (b)(14) may also |
|
|
include expenses related to the operation and maintenance of mass |
|
|
transportation facilities. |
|
|
SECTION 2. Subchapter A, Chapter 372, Local Government |
|
|
Code, is amended by adding Section 372.0035 to read as follows: |
|
|
Sec. 372.0035. COMMON CHARACTERISTIC OR USE FOR PROJECTS IN |
|
|
CERTAIN MUNICIPALITIES. (a) This section applies only to: |
|
|
(1) a municipality that has a population of more than |
|
|
one million and a council-manager form of government and that is |
|
|
located wholly or partly in a county with a population of more than |
|
|
two million; and |
|
|
(2) a public improvement district established under |
|
|
this subchapter and solely composed of territory in which the only |
|
|
businesses are hotels with 100 or more rooms ordinarily used for |
|
|
sleeping. |
|
|
(b) A municipality may undertake a project that confers a |
|
|
special benefit on areas that share a common characteristic or use. |
|
|
The areas may be noncontiguous. |
|
|
(c) This section does not prohibit a municipality from or |
|
|
limit a municipality to establishing a district that includes a |
|
|
noncontiguous area authorized by this subchapter. |
|
|
SECTION 3. Subchapter A, Chapter 372, Local Government |
|
|
Code, is amended by adding Section 372.0055 to read as follows: |
|
|
Sec. 372.0055. DEFERRED ASSESSMENT; ESTIMATE. If a |
|
|
proposed improvement under Section 372.005 includes a deferred |
|
|
assessment, before holding the hearing required by Section 372.009, |
|
|
the governing body of the municipality or county must estimate: |
|
|
(1) the appraised value of taxable real property |
|
|
liable for assessment in the district; and |
|
|
(2) the cost of the improvement. |
|
|
SECTION 4. Section 372.017(b), Local Government Code, is |
|
|
amended to read as follows: |
|
|
(b) After all objections have been heard and the governing |
|
|
body has passed on the objections, the governing body by ordinance |
|
|
or order shall levy the assessment as a special assessment on the |
|
|
property. The governing body by ordinance or order shall specify |
|
|
the method of payment of the assessment. The governing body may |
|
|
defer an assessment until a date the governing body specifies in the |
|
|
ordinance or order. The governing body may provide that assessments |
|
|
be paid in periodic installments, at an interest rate and for a |
|
|
period approved by the governing body. The provision that |
|
|
assessments be paid in periodic installments may, but is not |
|
|
required to, result in level annual installment payments. The |
|
|
installments must be in amounts necessary to meet annual costs for |
|
|
improvements and must continue for: |
|
|
(1) the period necessary to retire the indebtedness on |
|
|
the improvements; or |
|
|
(2) the period approved by the governing body for the |
|
|
payment of the installments. |
|
|
SECTION 5. Subchapter A, Chapter 372, Local Government |
|
|
Code, is amended by adding Section 372.031 to read as follows: |
|
|
Sec. 372.031. FINDINGS PRIOR TO ISSUANCE OF CERTAIN BONDS |
|
|
OR OBLIGATIONS. (a) Prior to the issuance under this chapter of |
|
|
bonds or obligations wholly or partly payable from or secured by |
|
|
assessments, the governing body of a municipality with a population |
|
|
of 250,000 or less or the governing body of a county with a |
|
|
population of 1 million or less issuing the bonds or obligations |
|
|
must find and determine the following: |
|
|
(1) construction of all underground water, |
|
|
wastewater, and drainage facilities and roadways to serve the real |
|
|
property liable for assessments necessary to support the payment of |
|
|
the bonds or obligations is at least 95 percent complete; and |
|
|
(2) construction of at least 25 percent of the houses |
|
|
or other buildings on the real property liable for assessments and |
|
|
necessary to support the bonds or obligations has been completed. |
|
|
(b) Prior to the issuance under this chapter of bonds or |
|
|
obligations wholly or partly payable from or secured by |
|
|
assessments, a municipality with a population of more than 250,000 |
|
|
or a county with a population of more than 1 million issuing the |
|
|
bonds or obligations must obtain an independent market study from a |
|
|
firm recognized in the area of real estate market analysis |
|
|
supporting the development projects for the real property liable |
|
|
for assessments and necessary to support the payment of the bonds or |
|
|
obligations. |
|
|
(c) Subsections (a) and (b) do not apply to general |
|
|
obligation bonds or certificates of obligations. |
|
|
(d) The Attorney General shall adopt rules to enforce this |
|
|
section and to ensure the integrity and economic feasibility of |
|
|
bonds or obligations issued under this chapter. |
|
|
SECTION 6. Section 372.041(a), Local Government Code, is |
|
|
amended to read as follows: |
|
|
(a) A home-rule municipality may create improvement |
|
|
districts for the purposes of: |
|
|
(1) levying, straightening, widening, enclosing, or |
|
|
otherwise improving a river, creek, bayou, stream, other body of |
|
|
water, street, or alley; |
|
|
(2) draining, grading, filling, and otherwise |
|
|
protecting and improving the territory within the municipality's |
|
|
limits; [and] |
|
|
(3) issuing bonds to finance improvements listed in |
|
|
this subsection; and |
|
|
(4) financing an improvement described in Subchapter |
|
|
A. |
|
|
SECTION 7. This Act takes effect September 1, 2011. |
|
|
|
|
|
* * * * * |