BILL ANALYSIS

S.B. 1266

By: Nichols

Special Purpose Districts

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties contend that certain land located within the extraterritorial jurisdiction of the City of Conroe in Montgomery County would benefit from the creation of a municipal utility district to provide certain services to the area. S.B. 1266 seeks to address this issue.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

S.B. 1266 amends the Special District Local Laws Code to create the Montgomery County Municipal Utility District No. 135, subject to voter approval at a confirmation election and municipal consent. The bill grants the district the power to undertake certain road projects. The bill authorizes the district, subject to certain requirements, to issue obligations and impose property, operation and maintenance, and contract taxes. The bill, if it does not receive a two-thirds vote of all the members elected to each house, prohibits the district from exercising the power of eminent domain.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2013.