AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

S.B. 2028 creates Montgomery County Municipal Utility District No. 151 (district) as a political subdivision of the State of Texas.  The district will construct and finance water, sewer, drainage, road, and recreational facilities to serve property within the district, which is located in the extraterritorial jurisdiction of the City of Conroe in Montgomery County.  The district will be a municipal utility district operating pursuant to Chapters 49 (Provisions Applicable to All Districts) and 54 (Municipal Utility Districts), Water Code.

 

A special district is needed to finance and construct the utility infrastructure (water, sewer, drainage, roads and recreational facilities) necessary to promote the development of the area within the district.

 

Special districts are created for specific areas.  No special district currently serves the area proposed to be included in the district.

 

The owner of all of the land in the district supports the creation of the district.

 

As proposed, S.B. 2028 amends current law relating to the creation of the Montgomery County Municipal Utility District No. 151, grants a limited power of eminent domain, provides authority to issue bonds, and provides authority to impose assessments, fees, and taxes.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Subtitle F, Title 6, Special District Local Laws Code, by adding Chapter 7918, as follows:

 

CHAPTER 7918.  MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 151

 

Sets forth the standard language for the creation of the Montgomery County Municipal Utility District No. 151 (district) in Montgomery County. Sets forth standards, procedures, requirements, and criteria for:

 

Creation and approval of the district (Sections 7918.001-7918.006);

 

Size, composition, and election of temporary directors (Sections 7918.051 and 7918.152);

 

Powers and duties of the district (7918.101-7918.105);

 

General financial provisions and elections to impose taxes and to issue bonds and other obligations for the district (7918.151-7918.203).

 

SECTION 2. Sets forth the initial boundaries of the district.

 

SECTION 3. Provides that all requirements of the constitution and the laws of this state and the rules and procedures of the legislature with respect to the notice, introduction, and passage of this Act are fulfilled and accomplished.

 

SECTION 4. (a) Provides that if this Act does not receive a two-thirds vote of all the members elected to each house, Subchapter C, Chapter 7918, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 7918.106, as follows:

 

Sec. 7918.106. NO EMINENT DOMAIN POWER. Prohibits the district from exercising the power of eminent domain.

 

(b) Provides that this section is not intended to be an expression of a legislative interpretation of the requirements of Section 17(c) (authorizing the legislature, on or after January 1, 2012, to enact a general, local, or special law granting the power of eminent domain to an entity only on a two-thirds vote of all the members elected to each house), Article I, Texas Constitution.

 

SECTION 5. Effective date: upon passage or September 1, 2015.