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A BILL TO BE ENTITLED
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AN ACT
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relating to the creation of the Harris County Improvement District |
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No. 28; providing authority to issue bonds; providing authority to |
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impose assessments, fees, and taxes. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle C, Title 4, Special District Local Laws |
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Code, is amended by adding Chapter 3987 to read as follows: |
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CHAPTER 3987. HARRIS COUNTY IMPROVEMENT DISTRICT NO. 28 |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 3987.0101. DEFINITIONS. In this chapter: |
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(1) "Board" means the district's board of directors. |
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(2) "City" means the City of Houston. |
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(3) "County" means Harris County. |
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(4) "Director" means a board member. |
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(5) "District" means the Harris County Improvement |
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District No. 28. |
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Sec. 3987.0102. NATURE OF DISTRICT. The Harris County |
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Improvement District No. 28 is a special district created under |
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Section 59, Article XVI, Texas Constitution. |
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Sec. 3987.0103. PURPOSE; DECLARATION OF INTENT. (a) The |
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creation of the district is essential to accomplish the purposes of |
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Sections 52 and 52-a, Article III, and Section 59, Article XVI, |
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Texas Constitution, and other public purposes stated in this |
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chapter. |
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(b) By creating the district and in authorizing the city and |
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other political subdivisions to contract with the district, the |
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legislature has established a program to accomplish the public |
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purposes set out in Section 52-a, Article III, Texas Constitution. |
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(c) The creation of the district is necessary to promote, |
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develop, encourage, and maintain employment, commerce, |
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transportation, housing, tourism, recreation, the arts, |
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entertainment, economic development, safety, and the public |
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welfare in the district. |
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(d) This chapter and the creation of the district may not be |
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interpreted to relieve the city from providing the level of |
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services provided as of the effective date of the Act enacting this |
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chapter to the area in the district. The district is created to |
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supplement and not to supplant city services provided in the |
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district. |
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Sec. 3987.0104. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. |
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(a) All land and other property included in the district will |
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benefit from the improvements and services to be provided by the |
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district under powers conferred by Sections 52 and 52-a, Article |
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III, and Section 59, Article XVI, Texas Constitution, and other |
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powers granted under this chapter. |
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(b) The district is created to serve a public use and |
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benefit. |
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(c) The creation of the district is in the public interest |
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and is essential to further the public purposes of: |
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(1) developing and diversifying the economy of the |
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state; |
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(2) eliminating unemployment and underemployment; and |
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(3) developing or expanding transportation and |
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commerce. |
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(d) The district will: |
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(1) promote the health, safety, and general welfare of |
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residents, employers, potential employees, employees, visitors, |
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and consumers in the district, and of the public; |
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(2) provide needed funding for the district to |
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preserve, maintain, and enhance the economic health and vitality of |
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the district territory as a community and business center; |
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(3) promote the health, safety, welfare, and enjoyment |
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of the public by providing pedestrian ways and by landscaping and |
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developing certain areas in the district, which are necessary for |
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the restoration, preservation, and enhancement of scenic beauty; |
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and |
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(4) provide for water, wastewater, drainage, road, and |
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recreational facilities for the district. |
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(e) Pedestrian ways along or across a street, whether at |
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grade or above or below the surface, and street lighting, street |
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landscaping, parking, and street art objects are parts of and |
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necessary components of a street and are considered to be a street |
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or road improvement. |
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(f) The district will not act as the agent or |
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instrumentality of any private interest even though the district |
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will benefit many private interests as well as the public. |
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Sec. 3987.0105. INITIAL DISTRICT TERRITORY. (a) The |
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district is initially composed of the territory described by |
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Section 2 of the Act enacting this chapter. |
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(b) The boundaries and field notes contained in Section 2 of |
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the Act enacting this chapter form a closure. A mistake in the |
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field notes or in copying the field notes in the legislative process |
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does not affect the district's: |
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(1) organization, existence, or validity; |
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(2) right to issue any type of bonds for the purposes |
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for which the district is created or to pay the principal of and |
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interest on the bonds; |
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(3) right to impose or collect an assessment or tax; or |
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(4) legality or operation. |
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Sec. 3987.0106. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES. |
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All or any part of the area of the district is eligible to be |
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included in: |
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(1) a tax increment reinvestment zone created under |
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Chapter 311, Tax Code; or |
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(2) a tax abatement reinvestment zone created under |
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Chapter 312, Tax Code. |
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Sec. 3987.0107. APPLICABILITY OF MUNICIPAL MANAGEMENT |
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DISTRICTS LAW. Except as otherwise provided by this chapter, |
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Chapter 375, Local Government Code, applies to the district. |
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Sec. 3987.0108. CONSTRUCTION OF CHAPTER. This chapter |
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shall be liberally construed in conformity with the findings and |
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purposes stated in this chapter. |
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SUBCHAPTER B. BOARD OF DIRECTORS |
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Sec. 3987.0201. GOVERNING BODY; TERMS. (a) The district is |
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governed by a board of five voting directors who serve staggered |
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terms of four years, with two or three directors' terms expiring |
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June 1 of each odd-numbered year. |
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(b) The board by resolution may change the number of voting |
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directors on the board if the board determines that the change is in |
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the best interest of the district. The board may not consist of |
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fewer than 5 or more than 15 voting directors. |
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Sec. 3987.0202. APPOINTMENT OF VOTING DIRECTORS. The mayor |
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and members of the governing body of the city shall appoint voting |
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directors from persons recommended by the board. A person is |
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appointed if a majority of the members of the governing body, |
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including the mayor, vote to appoint that person. |
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Sec. 3987.0203. NONVOTING DIRECTORS. The board may appoint |
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nonvoting directors to serve at the pleasure of the voting |
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directors. |
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Sec. 3987.0204. QUORUM. For purposes of determining the |
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requirements for a quorum of the board, the following are not |
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counted: |
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(1) a board position vacant for any reason, including |
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death, resignation, or disqualification; |
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(2) a director who is abstaining from participation in |
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a vote because of a conflict of interest; or |
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(3) a nonvoting director. |
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Sec. 3987.0205. COMPENSATION. A director is entitled to |
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receive fees of office and reimbursement for actual expenses as |
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provided by Section 49.060, Water Code. Sections 375.069 and |
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375.070, Local Government Code, do not apply to the board. |
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Sec. 3987.0206. INITIAL VOTING DIRECTORS. (a) The initial |
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board consists of the following voting directors: |
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Pos. No. |
Name of Director |
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(b) Of the initial directors, the terms of directors |
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appointed for positions one through three expire June 1, 2021, and |
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the terms of directors appointed for positions four and five expire |
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June 1, 2023. |
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(c) Section 3987.0202 does not apply to this section. |
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(d) This section expires September 1, 2023. |
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SUBCHAPTER C. POWERS AND DUTIES |
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Sec. 3987.0301. GENERAL POWERS AND DUTIES. The district |
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has the powers and duties necessary to accomplish the purposes for |
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which the district is created. |
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Sec. 3987.0302. IMPROVEMENT PROJECTS AND SERVICES. (a) The |
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district, using any money available to the district for the |
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purpose, may provide, design, construct, acquire, improve, |
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relocate, operate, maintain, or finance an improvement project or |
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service authorized under this chapter or Chapter 375, Local |
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Government Code. |
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(b) The district may contract with a governmental or private |
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entity to carry out an action under Subsection (a). |
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(c) The implementation of a district project or service is a |
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governmental function or service for the purposes of Chapter 791, |
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Government Code. |
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Sec. 3987.0303. NONPROFIT CORPORATION. (a) The board by |
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resolution may authorize the creation of a nonprofit corporation to |
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assist and act for the district in implementing a project or |
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providing a service authorized by this chapter. |
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(b) The nonprofit corporation: |
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(1) has each power of and is considered to be a local |
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government corporation created under Subchapter D, Chapter 431, |
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Transportation Code; and |
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(2) may implement any project and provide any service |
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authorized by this chapter. |
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(c) The board shall appoint the board of directors of the |
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nonprofit corporation. The board of directors of the nonprofit |
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corporation shall serve in the same manner as the board of directors |
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of a local government corporation created under Subchapter D, |
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Chapter 431, Transportation Code, except that a board member is not |
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required to reside in the district. |
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Sec. 3987.0304. LAW ENFORCEMENT SERVICES. To protect the |
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public interest, the district may contract with a qualified party, |
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including the city, to provide law enforcement services in the |
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district for a fee. |
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Sec. 3987.0305. MEMBERSHIP IN CHARITABLE ORGANIZATIONS. |
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The district may join and pay dues to a charitable or nonprofit |
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organization that performs a service or provides an activity |
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consistent with the furtherance of a district purpose. |
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Sec. 3987.0306. ECONOMIC DEVELOPMENT PROGRAMS. (a) The |
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district may engage in activities that accomplish the economic |
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development purposes of the district. |
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(b) The district may establish and provide for the |
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administration of one or more programs to promote state or local |
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economic development and to stimulate business and commercial |
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activity in the district, including programs to: |
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(1) make loans and grants of public money; and |
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(2) provide district personnel and services. |
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(c) The district may create economic development programs |
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and exercise the economic development powers provided to |
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municipalities by: |
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(1) Chapter 380, Local Government Code; and |
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(2) Subchapter A, Chapter 1509, Government Code. |
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Sec. 3987.0307. PARKING FACILITIES. (a) The district may |
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acquire, lease as lessor or lessee, construct, develop, own, |
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operate, and maintain parking facilities or a system of parking |
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facilities, including lots, garages, parking terminals, or other |
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structures or accommodations for parking motor vehicles off the |
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streets and related appurtenances. |
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(b) The district's parking facilities serve the public |
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purposes of the district and are owned, used, and held for a public |
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purpose even if leased or operated by a private entity for a term of |
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years. |
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(c) The district's parking facilities are parts of and |
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necessary components of a street and are considered to be a street |
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or road improvement. |
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(d) The development and operation of the district's parking |
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facilities may be considered an economic development program. |
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Sec. 3987.0308. ADDING OR EXCLUDING LAND. The district may |
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add or exclude land in the manner provided by Subchapter J, Chapter |
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49, Water Code, or by Subchapter H, Chapter 54, Water Code. |
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Sec. 3987.0309. DISBURSEMENTS AND TRANSFERS OF MONEY. The |
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board by resolution shall establish the number of directors' |
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signatures and the procedure required for a disbursement or |
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transfer of district money. |
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Sec. 3987.0310. NO EMINENT DOMAIN POWER. The district may |
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not exercise the power of eminent domain. |
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SUBCHAPTER D. ASSESSMENTS |
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Sec. 3987.0401. PETITION REQUIRED FOR FINANCING SERVICES |
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AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a |
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service or improvement project with assessments under this chapter |
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unless a written petition requesting that service or improvement |
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has been filed with the board. |
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(b) A petition filed under Subsection (a) must be signed by |
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the owners of at least 60 percent of the assessed value of real |
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property in the district subject to assessment according to the |
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most recent certified tax appraisal roll for the county. |
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Sec. 3987.0402. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a) |
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The board by resolution may impose and collect an assessment for any |
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purpose authorized by this chapter in all or any part of the |
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district. |
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(b) An assessment, a reassessment, or an assessment |
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resulting from an addition to or correction of the assessment roll |
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by the district, penalties and interest on an assessment or |
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reassessment, an expense of collection, and reasonable attorney's |
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fees incurred by the district: |
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(1) are a first and prior lien against the property |
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assessed; |
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(2) are superior to any other lien or claim other than |
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a lien or claim for county, school district, or municipal ad valorem |
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taxes; and |
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(3) are the personal liability of and a charge against |
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the owners of the property even if the owners are not named in the |
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assessment proceedings. |
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(c) The lien is effective from the date of the board's |
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resolution imposing the assessment until the date the assessment is |
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paid. The board may enforce the lien in the same manner that the |
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board may enforce an ad valorem tax lien against real property. |
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(d) The board may make a correction to or deletion from the |
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assessment roll that does not increase the amount of assessment of |
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any parcel of land without providing notice and holding a hearing in |
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the manner required for additional assessments. |
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SUBCHAPTER E. TAXES AND BONDS |
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Sec. 3987.0501. TAX ELECTION REQUIRED. The district must |
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hold an election in the manner provided by Chapter 49, Water Code, |
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or, if applicable, Chapter 375, Local Government Code, to obtain |
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voter approval before the district may impose an ad valorem tax. |
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Sec. 3987.0502. OPERATION AND MAINTENANCE TAX. (a) If |
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authorized by a majority of the district voters voting at an |
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election under Section 3987.0501, the district may impose an |
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operation and maintenance tax on taxable property in the district |
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in the manner provided by Section 49.107, Water Code, for any |
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district purpose, including to: |
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(1) maintain and operate the district; |
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(2) construct or acquire improvements; or |
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(3) provide a service. |
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(b) The board shall determine the operation and maintenance |
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tax rate. The rate may not exceed the rate approved at the |
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election. |
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(c) Section 49.107(h), Water Code, does not apply to the |
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district. |
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Sec. 3987.0503. AUTHORITY TO BORROW MONEY AND TO ISSUE |
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BONDS AND OTHER OBLIGATIONS. (a) The district may borrow money on |
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terms determined by the board. |
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(b) The district may issue bonds, notes, or other |
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obligations payable wholly or partly from ad valorem taxes, |
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assessments, impact fees, revenue, contract payments, grants, or |
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other district money, or any combination of those sources of money, |
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to pay for any authorized district purpose. |
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(c) The limitation on the outstanding principal amount of |
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bonds, notes, or other obligations provided by Section 49.4645, |
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Water Code, does not apply to the district. |
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Sec. 3987.0504. BONDS SECURED BY REVENUE OR CONTRACT |
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PAYMENTS. The district may issue, without an election, bonds |
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secured by: |
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(1) revenue other than ad valorem taxes, including |
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contract revenues; or |
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(2) contract payments, provided that the requirements |
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of Section 49.108, Water Code, have been met. |
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Sec. 3987.0505. BONDS SECURED BY AD VALOREM TAXES; |
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ELECTIONS. (a) If authorized at an election under Section |
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3987.0501, the district may issue bonds payable from ad valorem |
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taxes only to purchase, construct, acquire, own, operate, repair, |
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improve, or extend facilities and improvements for and in support |
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of: |
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(1) parking as described by Section 3987.0307; |
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(2) parks and recreational facilities, including: |
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(A) parks, landscaping, and greenbelts; |
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(B) sidewalks and trails; |
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(C) pedestrian crosswalks, bridges, and tunnels; |
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(D) public right-of-way beautification projects; |
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(E) plazas, pedestrian malls, and places of |
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public assembly; |
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(F) lighting, banners, and signs; |
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(G) works of art; and |
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(H) recreational equipment and facilities; and |
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(3) water, sewer, drainage, and road facilities and |
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improvements. |
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(b) Section 375.243, Local Government Code, does not apply |
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to the district. |
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(c) At the time the district issues bonds payable wholly or |
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partly from ad valorem taxes, the board shall provide for the annual |
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imposition of a continuing direct annual ad valorem tax, without |
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limit as to rate or amount, for each year that all or part of the |
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bonds are outstanding as required and in the manner provided by |
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Sections 54.601 and 54.602, Water Code. |
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(d) All or any part of any facilities or improvements that |
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may be acquired by a district by the issuance of its bonds may be |
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submitted as a single proposition or as several propositions to be |
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voted on at the election. |
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Sec. 3987.0506. CONSENT OF MUNICIPALITY REQUIRED. (a) The |
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board may not issue bonds until each municipality in whose |
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corporate limits or extraterritorial jurisdiction the district is |
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located has consented by ordinance or resolution to the creation of |
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the district and to the inclusion of land in the district. |
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(b) This section applies only to the district's first |
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issuance of bonds payable from ad valorem taxes. |
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Sec. 3987.0507. CITY NOT REQUIRED TO PAY DISTRICT |
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OBLIGATIONS. Except as provided by Section 375.263, Local |
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Government Code, the city is not required to pay a bond, note, or |
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other obligation of the district. |
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Sec. 3987.0508. CONFIRMATION ELECTION REQUIRED. The |
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district must hold an election to confirm the creation of the |
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district before the district may impose an ad valorem tax or issue |
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bonds payable from ad valorem taxes. |
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SUBCHAPTER I. DISSOLUTION |
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Sec. 3987.0901. DISSOLUTION. (a) The board shall dissolve |
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the district on written petition filed with the board by the owners |
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of: |
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(1) 66 percent or more of the assessed value of the |
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property subject to assessment by the district based on the most |
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recent certified county property tax rolls; or |
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(2) 66 percent or more of the surface area of the |
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district, excluding roads, streets, highways, utility |
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rights-of-way, other public areas, and other property exempt from |
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assessment by the district according to the most recent certified |
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county property tax rolls. |
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(b) The board by majority vote may dissolve the district at |
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any time. |
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(c) The district may not be dissolved by its board under |
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Subsection (a) or (b) if the district: |
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(1) has any outstanding bonded indebtedness until that |
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bonded indebtedness has been repaid or defeased in accordance with |
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the order or resolution authorizing the issuance of the bonds; |
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(2) has a contractual obligation to pay money until |
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that obligation has been fully paid in accordance with the |
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contract; or |
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(3) owns, operates, or maintains public works, |
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facilities, or improvements unless the district contracts with |
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another person for the ownership, operation, or maintenance of the |
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public works, facilities, or improvements. |
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(d) Sections 375.261, 375.262, and 375.264, Local |
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Government Code, do not apply to the district. |
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SECTION 2. The Harris County Improvement District No. 28 |
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initially includes all territory contained in the following area: |
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Being a tract or parcel, containing 6.011 acres (261,835 |
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square feet) of land, situated in the John Austin Two League Grant, |
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|
Abstract Number 1, City of Houston, Harris County, Texas, and being |
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all of Unrestricted Reserve "A" and part of and out of Unrestricted |
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Reserve "B", Block 1, CWA GILLETTE STREET, a plat of subdivision |
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recorded under Film Code Number 657260, Map Records of Harris |
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County, Texas (M.R.H.C.); also being all that certain called 6.011 |
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acres described in deed to Westcreek HTX Real Estate Partners-D, |
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L.P. (herein referred to as the "Westcreek Tract"), as recorded |
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under County Clerk's File (C.C.F.) Number 20150175209, Official |
|
|
Public Records of Real Property of Harris County, Texas |
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(O.P.R.R.P.H.C.); the herein described 6.011 acre tract being more |
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particularly described by metes and bounds as follows (bearings |
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herein are grid bearings based on the Texas State Plane Coordinate |
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System, South Central Zone, NAD 83, as evidenced on said |
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subdivision plat of CWA GILLETTE STREET; distances are surface |
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distances based on the U.S. Survey Foot and may be converted to grid |
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|
by multiplying by a combined scale factor of 0.999890843): |
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BEGINNING at a 5/8-inch iron rod with plastic cap, stamped |
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"TERRA SURVEYING", set marking the intersection of the south |
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right-of-way (R.O.W.) line of Allen Parkway (public), based on a |
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195-foot width, with the east R.O.W. line of Gillette Street |
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(public), based on a 60-foot width; both street rights-of-way being |
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part of and out of the remainder of that certain called 48.78 acres |
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described in deed to City of Houston, as recorded in Volume 372, |
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Page 235, Deed Records of Harris County, Texas; also, the alignment |
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of said street rights-of-way are depicted on City File Room |
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Drawings 6064 and 9387 for Allen Parkway, and 8064 and 36778 for |
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Gillette Street; said iron rod also marking the northwest corner of |
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said Westcreek Tract, said Unrestricted Reserve "A", and the herein |
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|
described tract; |
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THENCE, North 87°38'58" East, with the south R.O.W. line of |
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said Allen Parkway, a distance of 387.79 feet to a 3/4-inch iron rod |
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found marking the northwest corner of Reserve "A", Block 1, ALLEN |
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PARKWAY VILLAGE, a plat of subdivision recorded under Film Code |
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Number 428006, M.R.H.C.; said iron rod also marking the northeast |
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corner of said Westcreek Tract, said Unrestricted Reserve "A", and |
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|
the herein described tract, from which a 5/8-inch iron rod found for |
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|
reference bears South 84°04' West, 2.40 feet; |
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THENCE, South 02°19'25" East, departing said south R.O.W. |
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line with the west line of said Reserve "A", and the east line of |
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said Westcreek Tract and said Unrestricted Reserve "A", at 373.40 |
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|
feet pass a 3/4-inch iron rod found marking the most easterly common |
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|
corner of the aforesaid Unrestricted Reserves "A" and "B"; |
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|
continuing, with said west line, and the east line of said Westcreek |
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|
Tract and said Unrestricted Reserve "B", a total distance of 675.57 |
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|
feet to a 5/8-inch iron rod with plastic cap, stamped "TERRA |
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|
SURVEYING", set marking the southeast corner of said Westcreek |
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|
Tract and the herein described tract; |
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|
THENCE, South 87°38'09" West, across said Unrestricted |
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|
Reserve "B" with the south line of said Westcreek Tract, a distance |
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|
of 387.31 feet to a 5/8-inch iron rod with plastic cap, stamped |
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|
"TERRA SURVEYING", set in the east R.O.W. line of the aforesaid |
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|
Gillette Street and marking the southwest corner of said Westcreek |
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|
Tract and the herein described tract; |
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|
THENCE, North 02°21'51" West, with the east R.O.W. line of |
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|
said Gillette Street, at 418.66 feet pass the most westerly common |
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|
corner of the aforesaid Unrestricted Reserves "A" and "B", from |
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|
which a 3/4-inch iron rod found for reference bears South 87°38'58" |
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|
West, 0.13 feet; continuing, a total distance of 675.66 feet to the |
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POINT OF BEGINNING and containing 6.011 acres (261,835 square feet) |
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of land. |
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|
SECTION 3. (a) The legal notice of the intention to |
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|
introduce this Act, setting forth the general substance of this |
|
|
Act, has been published as provided by law, and the notice and a |
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|
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. |
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|
(b) The governor, one of the required recipients, has |
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|
submitted the notice and Act to the Texas Commission on |
|
|
Environmental Quality. |
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|
(c) The Texas Commission on Environmental Quality has filed |
|
|
its recommendations relating to this Act with the governor, |
|
|
lieutenant governor, and speaker of the house of representatives |
|
|
within the required time. |
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|
(d) All requirements of the constitution and laws of this |
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|
state and the rules and procedures of the legislature with respect |
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|
to the notice, introduction, and passage of this Act have been |
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|
fulfilled and accomplished. |
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|
SECTION 4. 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, 2019. |
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* * * * * |