BILL ANALYSIS

 

 

Senate Research Center	H.B. 2671
86R10237 AAF-F	By: Calanni (Kolkhorst)
	Intergovernmental Relations
	5/16/2019
	Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Continuing development and growth in Harris County has created the need for permanent improvements such as water supply and distribution facilities, wastewater collection and treatment facilities, drainage and flood control projects and road facilities. This provides for the creation of local governmental districts which are authorized to incur indebtedness to provide such permanent improvements and to levy taxes for the maintenance and operation of such improvements and for the repayment of such indebtedness.

 

H.B. 2671 amends the Special District Local Laws Code to create the Harris County Municipal Utility District No. 569 (district), subject to municipal consent and voter approval at a confirmation election. 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 expressly prohibits the district from exercising the power of eminent domain if the bill does not receive a two-thirds vote of all the members elected to each house.

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H.B. 2671 amends current law relating to the creation of the Harris County Municipal Utility District No. 569; 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 8057, as follows:

 

CHAPTER 8057. HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 569

 

Sets forth standard language for the creation of the Harris County Municipal Utility District No. 569 (district) in Harris County. Sets forth standards, procedures, requirements, and criteria for:

 

Creation and approval of the district (Sections 8057.0101� 8057.0106);

 

Size, composition, election or appointment, compensation and terms of the board of directors of the district, including the naming of and provisions related to temporary directors (Sections 8057.0201� 8057.0202);

 

Powers and duties of the district (Sections 8057.0301� 8057.0305);

 

General financial provisions and authority to impose an assessment (Sections 8057.0401� 8057.0403); and

 

Authority to impose a tax and to issue bonds and obligations for the district (Sections 8057.0501� 8057.0503).

 

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

 

SECTION 3. Provides that 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) Provides that, if this Act does not receive a two-thirds vote of all the members elected to each house, Subchapter C, Chapter 8057, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 8057.0306, as follows:

 

Sec. 8057.0306. 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), Article I, Texas Constitution.

 

SECTION 5. Effective date: upon passage or September 1, 2019.