By: Bell of Montgomery, Oliverson H.B. No. 3140
        (Senate Sponsor - Kolkhorst)
         (In the Senate - Received from the House May 17, 2021;
  May 17, 2021, read first time and referred to Committee on Local
  Government; May 22, 2021, reported adversely, with favorable
  Committee Substitute by the following vote:  Yeas 7, Nays 0;
  May 22, 2021, sent to printer.)
Click here to see the committee vote
 
  COMMITTEE SUBSTITUTE FOR H.B. No. 3140 By:  Hall
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the creation of the Harris-Waller Counties Municipal
  Utility District No. 7; 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 7903A to read as follows:
  CHAPTER 7903A. HARRIS-WALLER COUNTIES MUNICIPAL UTILITY DISTRICT
  NO. 7
  SUBCHAPTER A. GENERAL PROVISIONS
         Sec. 7903A.0101.  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-Waller Counties
  Municipal Utility District No. 7.
         Sec. 7903A.0102.  NATURE OF DISTRICT. The district is a
  municipal utility district created under Section 59, Article XVI,
  Texas Constitution.
         Sec. 7903A.0103.  CONFIRMATION AND DIRECTOR 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. 7903A.0104.  CONSENT OF MUNICIPALITY REQUIRED. The
  temporary directors may not hold an election under Section
  7903A.0103 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. 7903A.0105.  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. 7903A.0106.  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. 7903A.0201.  GOVERNING BODY; TERMS. (a) The district
  is governed by a board of five elected directors.
         (b)  Except as provided by Section 7903A.0202, directors
  serve staggered four-year terms.
         Sec. 7903A.0202.  TEMPORARY DIRECTORS. (a) The temporary
  board consists of:
               (1)  Josh Trlicek;
               (2)  Sarah Sessum;
               (3)  Courtney Wilcox;
               (4)  Jonathan Corb; and
               (5)  Tyler Brown.
         (b)  Temporary directors serve until the earlier of:
               (1)  the date permanent directors are elected under
  Section 7903A.0103; 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 7903A.0103 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 7903A.0103; 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. 7903A.0301.  GENERAL POWERS AND DUTIES. The district
  has the powers and duties necessary to accomplish the purposes for
  which the district is created.
         Sec. 7903A.0302.  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. 7903A.0303.  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. 7903A.0304.  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. 7903A.0305.  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. 7903A.0401.  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
  7903A.0403.
         (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. 7903A.0402.  OPERATION AND MAINTENANCE TAX. (a) If
  authorized at an election held under Section 7903A.0401, 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. 7903A.0403.  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. 7903A.0501.  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. 7903A.0502.  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. 7903A.0503.  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-Waller Counties Municipal Utility
  District No. 7 initially includes all the territory contained in
  the following area:
         Being a tract of land containing 45.924 acres (2,000,467
  square feet) located in the J. Gibbons, Abstract Number (No.) 133 in
  Harris County and the J. Gibbons Survey, Abstract No. 286 in Waller
  County, Texas; Said 45.924 acre tract being all of a called 45.7143
  acre tract recorded in the name of Thomas F. Mathis, Jr., Ronald
  Gene Mathis and Cathy Mathis Willhoite in Volume 339, Page 6 of the
  Waller County Deed Records (W.C.D.R.) and in Harris County Clerk's
  File Number (H.C.C.F. No.) H603706, (all bearings are based on the
  Texas Coordinate System of 1983 (NAD83), South Central Zone, per
  GPS observations):
         Beginning at a 1-inch iron pipe found on the occupied West
  Right-Of-Way (R.O.W.) line of Mathis Road (called 99 feet wide in
  Volume 17, Page 222 of the Harris County Deed Records (H.C.D.R.) and
  shown as 66 feet wide on the Harris County Engineering Department
  R.O.W. Map No. 3912, Sec. 1, 1984), said pipe being at the northeast
  corner of a called 45.86 acre tract recorded in the name of Laretta
  Rena Callaway in H.C.C.F. No. U998001, for the southeast corner of
  the herein described tract, from which found 1/2-inch iron pipe for
  the southeast corner of said 45.86 acre tract bears South 02 degrees
  31 minutes 13 seconds East, a distance of 605.89 feet;
         Thence, with the line common to said 45.86 acre tract and said
  45.7143 acre tract, South 87 degrees 45 minutes 20 seconds West, a
  distance of 3314.83 feet (called 3297.22 feet) to a 5/8-inch iron
  rod with a Miller Survey Group (MSG) cap set on the east line of a
  called 36.3038 acre tract, recorded in the name of Leslie W. Lofton
  and Catherine A. Lofton in Volume 670, Page 885 of the W.C.D.R.,
  same being the northwest corner of said 45.86 acre tract for the
  southwest corner of said 45.7143 acre tract and the herein
  described tract, from which a found 3/4-inch pinch top pipe bears
  South 01 degrees 57 minutes 35 seconds East, a distance of 604.28
  feet;
         Thence, with the line common to said 36.3038 acre tract and
  said 45.7143 acre tract, North 01 degrees 57 minutes 35 seconds
  West, a distance of 603.94 feet to a 5/8-inch iron rod with a MSG cap
  set at the southwest corner of a called 37.759 acre tract of land
  recorded in the name of Brandon J. Cotton, et.al. in H.C.C.F.
  No. W570059, for the northwest corner of said 45.7143 acre tract
  and the herein described tract, from which a found 5/8-inch iron rod
  at the northwest corner of said 37.759 acre tract bears North 01
  degrees 57 minutes 35 seconds West, a distance of 697.56 feet and
  from which a found 5/8-inch iron rod bears North 07 degrees 06
  minutes West, a distance of 7.0 feet;
         Thence, with the south line of a called 37.759 acre tract and
  the south line of a called 5.7142 acre tract recorded in the name of
  Jesus Duran in RP-2016-303676 of the Official Public Records of
  Real Property of Harris County, Texas (O.P.R.R.P.H.C.T.), same
  being the north line of said 45.7143 acre tract, North 87 degrees 45
  minutes 20 seconds East, at a distance of 1649.83 feet pass a found
  2-inch iron pipe at the common south corner of said 37.759 acre
  tract and said 5.7142 acre tract, and continue for a total distance
  of 3309.87 feet (called 3297.22 feet) to a 5/8-inch iron rod with a
  MSG cap set on the west R.O.W. line of said Mathis Road, at the
  southeast corner of said 5.7142 acre tract, for the northeast
  corner of said 45.7143 acre tract and the herein described tract,
  from which a found 3/4-inch iron pipe at the northeast corner of
  said 5.7142 acre tract, bears North 02 degrees 25 minutes 47 seconds
  West, a distance of 150.00 feet;
         Thence, with the west R.O.W. line of said Mathis Road, same
  being the east line of said 45.7143 acre tract, South 02 degrees 25
  minutes 47 seconds East, a distance of 603.94 feet to the Point of
  Beginning and containing 45.924 acres (2,000,467 square feet) of
  land.
         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
  7903A, Special District Local Laws Code, as added by Section 1 of
  this Act, is amended by adding Section 7903A.0306 to read as
  follows:
         Sec. 7903A.0306.  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, 2021.
 
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