84R7297 TSR-F
 
  By: Schofield H.B. No. 4163
 
 
 
A BILL TO BE ENTITLED
 
  relating to the creation of the Harris County Municipal Utility
  District No. 540; granting a limited power of eminent domain;
  providing authority to issue bonds; providing authority to impose
  assessments, fees, and taxes.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subtitle F, Title 6, Special District Local Laws
  Code, is amended by adding Chapter 7910 to read as follows:
  CHAPTER 7910.  HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 540
  SUBCHAPTER A.  GENERAL PROVISIONS
         Sec. 7910.001.  DEFINITIONS.  In this chapter:
               (1)  "Board" means the district's board of directors.
               (2)  "Commission" means the Texas Commission on
  Environmental Quality.
               (3)  "Director" means a board member.
               (4)  "District" means the Harris County Municipal
  Utility District No. 540.
         Sec. 7910.002.  NATURE OF DISTRICT.  The district is a
  municipal utility district created under Section 59, Article XVI,
  Texas Constitution.
         Sec. 7910.003.  CONFIRMATION AND DIRECTORS' ELECTION
  REQUIRED.  The temporary directors shall hold an election to
  confirm the creation of the district and to elect five permanent
  directors as provided by Section 49.102, Water Code.
         Sec. 7910.004.  CONSENT OF MUNICIPALITY REQUIRED. The
  temporary directors may not hold an election under Section 7910.003
  until each municipality in whose corporate limits or
  extraterritorial jurisdiction the district is located has
  consented by ordinance or resolution to the creation of the
  district and to the inclusion of land in the district.
         Sec. 7910.005.  FINDINGS OF PUBLIC PURPOSE AND BENEFIT. (a)  
  The district is created to serve a public purpose and benefit.
         (b)  The district is created to accomplish the purposes of:
               (1)  a municipal utility district as provided by
  general law and Section 59, Article XVI, Texas Constitution; and
               (2)  Section 52, Article III, Texas Constitution, that
  relate to the construction, acquisition, improvement, operation,
  or maintenance of macadamized, graveled, or paved roads, or
  improvements, including storm drainage, in aid of those roads.
         Sec. 7910.006.  INITIAL DISTRICT TERRITORY.  (a)  The
  district is initially composed of the territory described by
  Section 2 of the Act enacting this chapter.
         (b)  The boundaries and field notes contained in Section 2 of
  the Act enacting this chapter form a closure.  A mistake made in the
  field notes or in copying the field notes in the legislative process
  does not affect the district's:
               (1)  organization, existence, or validity;
               (2)  right to issue any type of bond for the purposes
  for which the district is created or to pay the principal of and
  interest on a bond;
               (3)  right to impose a tax; or
               (4)  legality or operation.
  SUBCHAPTER B.  BOARD OF DIRECTORS
         Sec. 7910.051.  GOVERNING BODY; TERMS.  (a)  The district is
  governed by a board of five elected directors.
         (b)  Except as provided by Section 7910.052, directors serve
  staggered four-year terms.
         Sec. 7910.052.  TEMPORARY DIRECTORS.  (a)  On or after the
  effective date of the Act enacting this chapter, the owner or owners
  of a majority of the assessed value of the real property in the
  district may submit a petition to the commission requesting that
  the commission appoint as temporary directors the five persons
  named in the petition.  The commission shall appoint as temporary
  directors the five persons named in the petition.
         (b)  Temporary directors serve until the earlier of:
               (1)  the date permanent directors are elected under
  Section 7910.003; or
               (2)  the fourth anniversary of the effective date of
  the Act enacting this chapter.
         (c)  If permanent directors have not been elected under
  Section 7910.003 and the terms of the temporary directors have
  expired, successor temporary directors shall be appointed or
  reappointed as provided by Subsection (d) to serve terms that
  expire on the earlier of:
               (1)  the date permanent directors are elected under
  Section 7910.003; or
               (2)  the fourth anniversary of the date of the
  appointment or reappointment.
         (d)  If Subsection (c) applies, the owner or owners of a
  majority of the assessed value of the real property in the district
  may submit a petition to the commission requesting that the
  commission appoint as successor temporary directors the five
  persons named in the petition.  The commission shall appoint as
  successor temporary directors the five persons named in the
  petition.
  SUBCHAPTER C.  POWERS AND DUTIES
         Sec. 7910.101.  GENERAL POWERS AND DUTIES.  The district has
  the powers and duties necessary to accomplish the purposes for
  which the district is created.
         Sec. 7910.102.  MUNICIPAL UTILITY DISTRICT POWERS AND
  DUTIES.  The district has the powers and duties provided by the
  general law of this state, including Chapters 49 and 54, Water Code,
  applicable to municipal utility districts created under Section 59,
  Article XVI, Texas Constitution.
         Sec. 7910.103.  AUTHORITY FOR ROAD PROJECTS. Under Section
  52, Article III, Texas Constitution, the district may design,
  acquire, construct, finance, issue bonds for, improve, operate,
  maintain, and convey to this state, a county, or a municipality for
  operation and maintenance macadamized, graveled, or paved roads, or
  improvements, including storm drainage, in aid of those roads.
         Sec. 7910.104.  ROAD STANDARDS AND REQUIREMENTS. (a) A road
  project must meet all applicable construction standards, zoning and
  subdivision requirements, and regulations of each municipality in
  whose corporate limits or extraterritorial jurisdiction the road
  project is located.
         (b)  If a road project is not located in the corporate limits
  or extraterritorial jurisdiction of a municipality, the road
  project must meet all applicable construction standards,
  subdivision requirements, and regulations of each county in which
  the road project is located.
         (c)  If the state will maintain and operate the road, the
  Texas Transportation Commission must approve the plans and
  specifications of the road project.
         Sec. 7910.105.  COMPLIANCE WITH MUNICIPAL CONSENT ORDINANCE
  OR RESOLUTION.  The district shall comply with all applicable
  requirements of any ordinance or resolution that is adopted under
  Section 54.016 or 54.0165, Water Code, and that consents to the
  creation of the district or to the inclusion of land in the
  district.
  SUBCHAPTER D.  GENERAL FINANCIAL PROVISIONS
         Sec. 7910.151.  ELECTIONS REGARDING TAXES OR BONDS. (a) The
  district may issue, without an election, bonds and other
  obligations secured by:
               (1)  revenue other than ad valorem taxes; or
               (2)  contract payments described by Section 7910.153.
         (b)  The district must hold an election in the manner
  provided by Chapters 49 and 54, Water Code, to obtain voter approval
  before the district may impose an ad valorem tax or issue bonds
  payable from ad valorem taxes.
         (c)  The district may not issue bonds payable from ad valorem
  taxes to finance a road project unless the issuance is approved by a
  vote of a two-thirds majority of the district voters voting at an
  election held for that purpose.
         Sec. 7910.152.  OPERATION AND MAINTENANCE TAX.  (a)  If
  authorized at an election held under Section 7910.151, the district
  may impose an operation and maintenance tax on taxable property in
  the district in accordance with Section 49.107, Water Code.
         (b)  The board shall determine the tax rate.  The rate may not
  exceed the rate approved at the election.
         Sec. 7910.153.  CONTRACT TAXES.  (a)  In accordance with
  Section 49.108, Water Code, the district may impose a tax other than
  an operation and maintenance tax and use the revenue derived from
  the tax to make payments under a contract after the provisions of
  the contract have been approved by a majority of the district voters
  voting at an election held for that purpose.
         (b)  A contract approved by the district voters may contain a
  provision stating that the contract may be modified or amended by
  the board without further voter approval.
  SUBCHAPTER E.  BONDS AND OTHER OBLIGATIONS
         Sec. 7910.201.  AUTHORITY TO ISSUE BONDS AND OTHER
  OBLIGATIONS.  The district may issue bonds or other obligations
  payable wholly or partly from ad valorem taxes, impact fees,
  revenue, contract payments, grants, or other district money, or any
  combination of those sources, to pay for any authorized district
  purpose.
         Sec. 7910.202.  TAXES FOR BONDS. At the time the district
  issues bonds payable wholly or partly from ad valorem taxes, the
  board shall provide for the annual imposition of a continuing
  direct ad valorem tax, without limit as to rate or amount, while all
  or part of the bonds are outstanding as required and in the manner
  provided by Sections 54.601 and 54.602, Water Code.
         Sec. 7910.203.  BONDS FOR ROAD PROJECTS. At the time of
  issuance, the total principal amount of bonds or other obligations
  issued or incurred to finance road projects and payable from ad
  valorem taxes may not exceed one-fourth of the assessed value of the
  real property in the district.
         SECTION 2.  The Harris County Municipal Utility District No.
  540 initially includes all the territory contained in the following
  area:
         TRACT 1
         BEING 159.65 acres of land situated in the H. & T. C. R. R. Co.
  Survey, Section 47, Block 2, Abstract Number 440, Harris County,
  Texas, being all of that certain called 159.6531 acres conveyed to
  Cunningham Interests, II, Ltd by deed recorded under Harris County
  Clerk's File Number (H.C.C.F. No.) 20110175218, said 159.65 acre
  tract being more particularly described by metes and bounds as
  follows:
         BEGINNING at a MAG Nail with shiner stamped "COSTELLO" found
  for the Southeast corner of said 159.6531 acre tract and being in
  the pavement of Stockdick School Road (width unknown) also being in
  the centerline of Peek road (60-foot wide) as referenced in Volume
  996, Page 491 of the Harris County Deed Records;
         THENCE, S 87° 58' 23" W, a distance of 2,582.65 feet along
  said Stockdick Road to the Southwest corner of said 159.6531 acre
  tract;
         THENCE, along the lines common to said 159.6531 acre tract
  and the remainder of a called 160 acre tract described in Volume
  1494, Page 230 of the Harris County Deed Records the following two
  (2) courses and distances:
               N 04° 45' 03" W, a distance of 309.54 feet to a 5/8-inch
  iron rod with cap stamped "COSTELLO INC. RPLS 4416" found for
  an interior ell corner of said 159.6531 acre tract;
               S 88° 22' 39" W, a distance of 42.85 feet to the
  Northeast corner of a called 3.00 acre tract described and
  recorded under H.C.C.F. No. D978707 from which a found
  5/8-inch iron rod with cap stamped "COSTELLO INC. RPLS 4416"
  bears N 84° 28' W, 0.37 feet, also being the Southeast corner
  of a called 158.33 acre tract described and recorded under
  H.C.C.F. No. 20130266472;
         THENCE, N 02° 04' 00" W, a distance of 2,330.87 feet along the
  line common to said 158.33 acre tract and said 159.6531 acre tract
  to the northern corner common to said 159.6531 acre tract and said
  158.33 acre tract from which a found 5/8-inch iron rod with cap
  stamped "COSTELLO INC. RPLS 4416" bears S 89° 21' W, 3.45 feet also
  being the Southwest corner of a called 156.432 acre tract described
  and recorded under H.C.C.F. No. V829107;
         THENCE, N 87° 59' 16" E, a distance of 2,640.00 feet along the
  North line of said 159.6531 acre tract and the South lines of said
  156.432 acre tract and a called 9.7770 acre tract described and
  recorded under H.C.C.F. No. G578991to the Northeast corner of said
  159.6531 acre tract and the herein described tract from which a
  found Nail with shiner stamped "COSTELLO" bears N 82° 39' W, 3.01
  feet;
         THENCE, S 02° 04' 00" E, a distance of 2,639.69 feet along and
  with the centerline of said Peek Road to the POINT OF BEGINNING and
  containing 159.65 acres of land. Bearing orientation is based on
  the Texas Coordinate System South Central Zone 4204, NAD83.
         TRACT 2
         BEING 247.03 acres of land situated in the George Spencer
  Survey, Abstract Number 1369 and the M. M. Willsey Survey, Abstract
  Number 1459 of the H. & T. C. R. R. Co. Survey, Block 2, Harris
  County, Texas, being all of that certain called 235.55 acres
  conveyed to Cunningham Interests, II, Ltd by deed recorded under
  Harris County Clerk's File Number (H.C.C.F. No.) 20120237422 and
  all of that certain called 11.526 acres conveyed to Cunningham
  Interests, II, Ltd by deed recorded under H.C.C.F. No. 20140170048,
  said 247.03 acre tract being more particularly described by metes
  and bounds as follows:
         BEGINNING at a 5/8-inch iron rod with aluminum Texas
  Department of Transportation (TxDot) cap found for the Southeast
  corner of said 235.55 acre tract and being in the North right-of-way
  line of Stockdick School Road (60-foot with, no deed found) also
  being the West right-of-way line of said Stockdick Road (width
  varies, no deed found);
         THENCE, S 87° 56' 23" W, a distance of 3,929.03 feet along the
  North right-of-way line of said Stockdick School Road to a 5/8-inch
  iron rod found for the Southeast corner of a called 17.00 acre tract
  described and recorded under H.C.C.F. No. V330498 and the Southwest
  corner of said 235.55 acre tract and the herein described tract;
         THENCE, N 01° 59' 51" W, a distance of 851.43 feet along the
  line common to said 17.00 acre tract and said 235.55 acre tract to
  the Northeast corner of said 17.00 acre tract and being the
  Southeast corner of said 11.526 acre tract and from which a 1/2-inch
  iron rod found bears S 87° 57' W, 4.59 feet;
         THENCE, S 87° 57' 20" W, a distance of 378.38 feet along the
  line common to said 17.00 acre tract and said 11.526 acre tract to
  the Southwest corner of said 11.526 acre tract and the southeast
  corner of a called 11.653 acre tract described and recorded under
  H.C.C.F. No. Y103912, said point being in the centerline of South
  Mayde Creek;
         THENCE, along and with the centerline of South Mayde Creek,
  same being the line common to said 11.526 acre tract and said 11.653
  acre tract the following sixteen (16) courses and distances:
               N 57° 32' 53" W, 185.76 feet to an angle point;
               N 76° 58' 36" W, 5.99 feet to an angle point;
               N 73° 39' 37" W, 44.16 feet to an angle point;
               N 27° 46' 16" W, 24.43 feet to an angle point;
               N 18° 48' 22" E, 80.98 feet to an angle point;
               N 21° 42' 27" E, 261.01 feet to an angle point;
               N 15° 34' 29" E, 88.96 feet to an angle point;
               N 22° 02' 24" W, 81.87 feet to an angle point;
               N 32° 50' 40" E, 34.54 feet to an angle point;
               N 21° 18' 18" W, 20.21 feet to an angle point;
               N 53° 13' 23" W, 47.36 feet to an angle point;
               N 85° 03' 23" W, 176.78 feet to an angle point;
               S 70° 36' 55" W, 107.89 feet to an angle point;
               N 73° 03' 25" W, 44.61 feet to an angle point;
               N 40° 29' 03" W, 186.40 feet to an angle point;
               N 55° 40' 31" W, 60.60 feet to the most westerly
  Northwest corner of the herein described tract and being in
  the South line of a called 25.8950 acre tract described and
  recorded under H.C.C.F. No. 20100452700;
         THENCE, N 88° 03' 56" E, a distance of 966.73 feet along the
  line common to said 25.8950 acre tract and said 11.256 acre tract to
  the Northeast corner of said 11.256 acre tract and the Southeast
  corner of said 25.8950 acre tract, being in the West line of said
  235.55 acre tract and from which a found 3/8-inch iron rod bears S
  87° 47' W, 6.77 feet;
         THENCE, N 01° 59' 51" W, a distance of 882.01 feet along the
  line common to said 235.55 acre tract and said 25.8950 acre tract to
  the Northeast corner of said 25.8950 acre tract and the Northwest
  corner of said 235.55 acre tract, being in the South line of a
  called 7.016 acre tract described and recorded under H.C.C.F.
  No. Y680341 and from which a found 3/8-inch iron rod bears S 83° 44'
  W, 9.92 feet;
         THENCE, N 87° 58' 30" E, a distance of 3,073.16 feet along the
  North line of said 235.55 acre tract and South lines of said 7.016
  acre tract and a called 5.8806 acre tract described and recorded
  under H.C.C.F. No. X209587 also the South lines of Lot 61 through
  Lot 76 of Katy Country Estates, an unrecorded subdivision to a
  concrete monument found for the southeast corner of said Lot 76 and
  the Southwest corner of a called 19.3136 acre tract described and
  recorded under H.C.C.F. No. X407934;
         THENCE, N 87° 46' 36" E, a distance of 852.54 feet continuing
  along the North line of said 235.55 acre tract and South line of
  said 19.3136 acre tract to a 3/8-inch iron rod found for the
  Northeast corner of said 235.55 acre tract and the herein described
  tract and the Southeast corner of said 19.3136 acre tract, said iron
  rod being in the West right-of-way line of said Stockdick Road;
         THENCE, S 02° 04' 14" E, a distance of 2,614.01 feet along said
  West right-of-way line to the POINT OF BEGINNING and containing
  247.03 acres of land. Bearing orientation is based on the Texas
  Coordinate System South Central Zone 4204, NAD83.
         SECTION 3.  (a) The legal notice of the intention to
  introduce this Act, setting forth the general substance of this
  Act, has been published as provided by law, and the notice and a
  copy of this Act have been furnished to all persons, agencies,
  officials, or entities to which they are required to be furnished
  under Section 59, Article XVI, Texas Constitution, and Chapter 313,
  Government Code.
         (b)  The governor, one of the required recipients, has
  submitted the notice and Act to the Texas Commission on
  Environmental Quality.
         (c)  The Texas Commission on Environmental Quality has filed
  its recommendations relating to this Act with the governor, the
  lieutenant governor, and the speaker of the house of
  representatives within the required time.
         (d)  All requirements of the constitution and 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)  If this Act does not receive a two-thirds
  vote of all the members elected to each house, Subchapter C, Chapter
  7910, Special District Local Laws Code, as added by Section 1 of
  this Act, is amended by adding Section 7910.106 to read as follows:
         Sec. 7910.106.  NO EMINENT DOMAIN POWER. The district may
  not exercise the power of eminent domain.
         (b)  This section is not intended to be an expression of a
  legislative interpretation of the requirements of Section 17(c),
  Article I, Texas Constitution.
         SECTION 5.  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, 2015.