BILL ANALYSIS

 

 

Senate Research Center	H.B. 4706
86R24612 SMT-F	By: Holland (Fallon)
	Intergovernmental Relations
	5/15/2019
	Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The proposed North Celina Municipal Management District No. 3 (district) encompasses a roughly 3,000-acre tract of land in Collin County. This property has a single owner that has entered into a development agreement with the City of Celina and requested that this district be formed to help facilitate its orderly development.

 

When completed, this area will have approximately 7,500 high-quality single-family homes and commercial/mixed use components. One hundred percent of this land is located within the extraterritorial jurisdiction or the corporate limits of the City of Celina. The City of Celina has passed a resolution of support for this district

 

H.B. 4706 amends the Special District Local Laws Code to create the district, subject to municipal consent by ordinance or resolution, to provide certain improvements, projects, and services for public use and benefit. The bill provides for, among other provisions, the addition or removal of territory from the district, a limitation on the district's eminent domain power, the division of the district, and the dissolution of the district by the governing body of the City of Celina. The bill sets out the district's powers and duties, which include public improvement district powers and, subject to certain requirements, the authority to impose and collect assessments and issue obligations. The bill prohibits the district from providing retail water or sewer services and, if the bill does not receive a two-thirds vote of all the members elected to each house, from exercising the power of eminent domain.

 

H.B. 4706 amends current law relating to the creation of the North Celina Municipal Management District No. 3; 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 C, Title 4, Special District Local Laws Code, by adding Chapter 3986, as follows:

 

CHAPTER 3986. NORTH CELINA MUNICIPAL MANAGEMENT DISTRICT NO. 3

 

Sets forth standard language for the creation of the North Celina Municipal Management District No. 3 (district) in the City of Celina. Sets forth the standards, procedures, requirements, and criteria for:

 

Creation and approval of the district (Sections 3986.0101�3986.0109);

 

Size, composition, election and appointment, terms, and compensation of the board of directors of the district, including provisions related to initial temporary directors (Sections 3986.0201�3986.0203);

 

Powers and duties of the district (Sections 3986.0301�3986.0311);

 

General financial provisions, including authority to impose assessments (Sections 3986.0401�3986.0402);

 

Authority to impose a tax and to issue bonds and obligations for the district (Sections 3986.0501�3986.0506); and

 

Dissolution of the district by the board (Section 3986.0901).

 

Prohibits the district from exercising the power of eminent domain.

 

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 have been fulfilled and accomplished.

 

SECTION 4. Effective date: upon passage or September 1, 2019.