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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 Gulf Coast Protection District; |
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providing authority to issue bonds; providing authority to impose |
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fees; providing authority to impose a tax; granting the power of |
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eminent domain. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subtitle K, Title 6, Special District Local Laws |
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Code, is amended by adding Chapter 9502 to read as follows: |
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CHAPTER 9502. GULF COAST PROTECTION DISTRICT |
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SUBCHAPTER A. GENERAL PROVISIONS |
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Sec. 9502.0101. DEFINITIONS. In this chapter: |
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(1) "Board" means the district's board of directors. |
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(2) "Director" means a board member. |
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(3) "District" means the Gulf Coast Protection |
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District. |
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(4) "Ecosystem restoration report" means the Sabine |
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Pass to Galveston Bay, Texas Coastal Storm Risk Management and |
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Ecosystem Restoration Final Integrated Feasibility |
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Report—Environmental Impact Statement issued by the Galveston |
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District, Southwestern Division, of the United States Army Corps of |
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Engineers in May 2017. |
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(5) "Protection and restoration study" means the |
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Coastal Texas Protection and Restoration Feasibility Study Final |
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Integrated Feasibility Report and Environmental Impact Statement |
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to be issued by the Galveston District, Southwestern Division, of |
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the United States Army Corps of Engineers, the draft version of |
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which was issued in October 2020. |
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Sec. 9502.0102. NATURE OF DISTRICT. The district is a |
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special district created under Section 59, Article XVI, Texas |
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Constitution. |
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Sec. 9502.0103. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. |
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(a) The creation of the district is essential to accomplish the |
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purposes of Section 59, Article XVI, Texas Constitution, and other |
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public purposes stated in this chapter. |
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(b) The creation of the district is necessary to establish |
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an instrumentality for protecting the coast in Chambers, Galveston, |
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Harris, Jefferson, and Orange Counties in the manner provided by |
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this chapter. |
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(c) The district is created to serve a public use and |
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benefit. |
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(d) All land and other property included in the boundaries |
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of the district will benefit from the works and projects |
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accomplished by the district. |
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Sec. 9502.0104. DISTRICT TERRITORY. (a) The district is |
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composed of the territory in Chambers, Galveston, Harris, |
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Jefferson, and Orange Counties and territory annexed to the |
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district as described by Subsection (b). |
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(b) The governing body of the district by order shall annex |
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to the district the territory of a county included in the protection |
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and restoration study at the request of the commissioners court of |
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that county. |
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Sec. 9502.0105. APPLICATION OF SUNSET ACT. (a) The |
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district is subject to review under Chapter 325, Government Code |
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(Texas Sunset Act), but may not be abolished under that chapter. |
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The review shall be conducted under Section 325.025, Government |
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Code, as if the authority were a state agency scheduled to be |
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abolished September 1, 2033, and every 12th year after that year. |
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(b) The limited review under this section must assess the |
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district's: |
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(1) governance; |
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(2) management; |
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(3) operating structure; and |
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(4) compliance with legislative requirements. |
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(c) The district shall pay the cost incurred by the Sunset |
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Advisory Commission in performing the review. The Sunset Advisory |
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Commission shall determine the cost, and the district shall pay the |
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amount promptly on receipt of a statement from the Sunset Advisory |
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Commission detailing the cost. |
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(d) The district may not be required to conduct a management |
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audit under 30 T.A.C. Chapter 292. |
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SUBCHAPTER B. BOARD OF DIRECTORS |
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Sec. 9502.0201. GOVERNING BODY; TERMS. (a) The district is |
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governed by a board of 11 directors. |
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(b) The commissioners courts of Chambers County, Galveston |
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County, Harris County, Jefferson County, and Orange County each |
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shall appoint one director. |
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(c) The governor, with the advice and consent of the senate, |
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shall appoint six directors as follows: |
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(1) two directors to represent Harris County, in |
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addition to the member appointed by the commissioners court under |
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Subsection (b); |
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(2) one director to represent a municipality in the |
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district; |
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(3) one director to represent ports; |
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(4) one director to represent industry; and |
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(5) one director to represent environmental concerns. |
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(d) In making the appointments required by Subsection (c), |
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the governor shall ensure that residents of a single county do not |
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make up a majority of the directors. |
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(e) The governor shall consult with: |
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(1) the commissioners court of Harris County in making |
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the appointments required by Subsection (c)(1); and |
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(2) municipalities in the district in making the |
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appointment required by Subsection (c)(2). |
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(f) Directors serve staggered four-year terms. |
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(g) When a director's term expires, the appointing entity |
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shall appoint a successor. |
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(h) If a director's office becomes vacant by death, |
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resignation, or removal, the appointing entity shall appoint a |
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director to serve for the remainder of the unexpired term. |
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(i) The board shall elect a presiding officer from among the |
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directors to serve in that position for two years. A director may |
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serve as the presiding officer for not more than two consecutive |
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terms. |
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(j) Notwithstanding Subsection (f), the governor shall |
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designate from the 11 initial directors 5 directors to serve a first |
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term of two years. This subsection expires September 1, 2025. |
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Sec. 9502.0202. QUALIFICATION. (a) To qualify for office, |
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a director must be a registered voter who resides in the district. |
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(b) To qualify for office, a director described by Section |
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9502.0201(b) or (c)(1) or (2) must be a resident of the county or |
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municipality the person is appointed to represent. |
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Sec. 9502.0203. CERTAIN CONFLICTS PROHIBITED. (a) An |
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individual is not eligible to serve as a director if, in the |
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preceding 24 months, the individual had an interest in or was |
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employed by or affiliated with a person who has submitted a bid or |
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entered into a contract for a district project. |
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(b) The board may not employ or appoint an individual |
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described by Subsection (a) to work for the district. |
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(c) A director may not acquire a direct or indirect interest |
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in a district project. |
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Sec. 9502.0204. REIMBURSEMENT. A director is not entitled |
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to compensation but is entitled to reimbursement for necessary |
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expenses incurred in carrying out the duties and responsibilities |
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of the board. |
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Sec. 9502.0205. VOTING. A concurrence of a majority of the |
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directors is required for transacting any business of the district. |
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Sec. 9502.0206. TEMPORARY EXECUTIVE DIRECTOR. The governor |
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shall appoint a temporary executive director for the district to |
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serve until the initial board members hire an executive director |
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for the district. |
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SUBCHAPTER C. POWERS AND DUTIES |
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Sec. 9502.0301. GENERAL DISTRICT POWERS. (a) Except as |
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otherwise provided by this section, the district may: |
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(1) establish, construct, extend, maintain, operate, |
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or improve a coastal barrier or storm surge gate in the manner |
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provided by Chapter 571, Local Government Code, for a county to |
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establish, construct, extend, maintain, or improve a seawall; |
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(2) exercise the authority granted to counties to |
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conduct any project described by Chapter 571, Local Government |
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Code; |
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(3) establish, construct, and maintain recreational |
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facilities for public use and environmental mitigation facilities |
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related to a project described by Subdivision (1) or (2); and |
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(4) establish, construct, maintain, or operate a |
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project recommended in the ecosystem restoration report or the |
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protection and restoration study. |
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(b) Sections 571.006, 571.007, 571.008, 571.009, and |
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571.010, Local Government Code, do not apply to the district. |
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(c) Before implementing a project described by Subsection |
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(a), the district shall consult with local, state, and federal |
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entities to determine whether an environmental remediation |
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response action is anticipated or located near or at the proposed |
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location of the project. |
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(d) If implementation of a project described by Subsection |
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(a) disrupts, wholly or partly, an ongoing or planned environmental |
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remediation response action, the district shall: |
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(1) consult with the responsible party of the |
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environmental remediation response action; and |
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(2) coordinate implementation of the project in a |
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manner that does not disrupt the environmental remediation response |
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action. |
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Sec. 9502.0302. TAXES AND BONDS. (a) The district must |
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hold an election in the manner provided by Chapter 49, Water Code, |
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to obtain voter approval before the district may impose an ad |
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valorem tax or issue bonds payable from ad valorem taxes. |
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(b) The board may impose the tax at a rate not to exceed 5 |
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cents on each $100 valuation. |
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(c) The district, without an election, may issue bonds, |
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notes, or other obligations secured by revenue other than ad |
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valorem taxes. |
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Sec. 9502.0303. REQUIREMENTS FOR CERTAIN PROJECTS. If the |
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district enters into an agreement with another entity to implement |
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a project recommended in the ecosystem restoration report or the |
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protection and restoration study, the district: |
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(1) shall develop a maintenance and operation plan for |
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the project; |
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(2) may enter into a partnership with a private entity |
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to fund a local share of the cost of the project; and |
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(3) may use any available money to provide matching |
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funds to the United States Army Corps of Engineers to implement the |
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project. |
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Sec. 9502.0304. ACQUISITION AND DISPOSITION OF PROPERTY AND |
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RIGHTS. (a) The district may purchase, lease, acquire by gift, |
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maintain, use, and operate property of any kind appropriate for the |
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exercise of the district's functions. |
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(b) The district may acquire permits, licenses, and rights |
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related to the exercise of the district's functions. |
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Sec. 9502.0305. AGREEMENTS. (a) The district may enter |
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into a cooperative agreement with a political subdivision, a state |
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agency, the United States Army Corps of Engineers, or another |
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federal agency for a purpose related to the study, design, |
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construction, operation, or maintenance of a district project. |
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(b) The district may enter into an interlocal agreement with |
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a political subdivision for a purpose related to the study, design, |
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construction, operation, or maintenance of a district project to |
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include the acceptance of the assignment of rights or obligations |
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in an existing design agreement or a project partnership agreement |
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between the political subdivision and the United States Army Corps |
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of Engineers. |
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Sec. 9502.0306. CONTRACTS GENERALLY. (a) The district may |
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enter into contracts and execute instruments that are necessary or |
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convenient to the exercise of the district's powers, rights, |
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duties, and functions. A contract may be for any term, including |
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for the life of any facility or structure in the territory of the |
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district. |
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(b) The district and another governmental entity may enter |
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into a contract for the operation or maintenance of an authorized |
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project in the same way that a political subdivision may contract |
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with another governmental entity under Chapter 472, Transportation |
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Code, to construct or maintain a road or highway. |
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(c) The district may enter into a project partnership |
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agreement with the United States Army Corps of Engineers for the |
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study, design, construction, operation, and maintenance of a |
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project recommended in the ecosystem restoration report or the |
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protection and restoration study. |
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(d) A public agency or political subdivision is authorized |
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to: |
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(1) enter into a contract with the district; |
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(2) determine, agree, and pledge that all or any part |
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of its payments under a contract with the district shall be payable |
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from any source, subject only to the authorization by a majority |
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vote of the governing body of such public agency or political |
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subdivision of the contract, pledge, and payments; |
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(3) use and pledge any available revenues or resources |
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for and to the payment of amounts due under a contract with the |
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district as an additional source of payment or as the sole source of |
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payment and agree with the district to assure the availability of |
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revenue and resources when required; and |
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(4) fix, charge, and collect impact fees and utility |
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charges, if the public agency or political subdivision is otherwise |
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authorized to impose the fees and charges, and to use and pledge |
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revenue from the fees or charges to make payments to the district |
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required under a contract with the district. |
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Sec. 9502.0307. CERTAIN CONTRACTS. The district may enter |
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into contracts in the manner provided by Chapter 49, Water Code, for |
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construction or repair projects and the purchase of equipment, |
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materials, or supplies. |
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Sec. 9502.0308. CONFLICT WITH ORDER OR ACTION OF ANOTHER |
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POLITICAL SUBDIVISION. An order or action of a navigation |
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district, port authority, river authority, or drainage district |
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relating to the operation or maintenance of a district project |
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supersedes an order or action of the district to the extent of any |
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conflict. |
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Sec. 9502.0309. AUTHORITY TO DEVELOP BARRIER CLOSURE |
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PROCEDURES. If the district implements a project to create a |
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coastal barrier, the district shall develop closure procedures in |
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conjunction with each board of trustees established under Chapter |
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54, Transportation Code, navigation district, drainage district, |
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and port authority affected by the barrier or closure. |
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Sec. 9502.0310. ANNUAL REPORT REQUIRED. The district shall |
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annually submit a report to the legislature, the Legislative Budget |
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Board, the General Land Office, and the commissioners court of each |
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county in which the district is located. The report must: |
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(1) describe the district's financial condition and |
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operations during the preceding year; |
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(2) propose a budget for the following year; and |
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(3) describe generally the work proposed for the |
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following year. |
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Sec. 9502.0311. EMINENT DOMAIN. The district may exercise |
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the power of eminent domain to acquire a fee simple or other |
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interest in any type of property if the interest is necessary or |
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convenient for the exercise of the district's functions. The |
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district must exercise the power of eminent domain in the manner |
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provided by Chapter 21, Property Code. |
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SECTION 2. (a) The legal notice of the intention to |
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introduce this Act, setting forth the general substance of this |
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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, |
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officials, or entities to which they are required to be furnished |
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under Section 59, Article XVI, Texas Constitution, and Chapter 313, |
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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 |
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Environmental Quality. |
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(c) The Texas Commission on Environmental Quality has filed |
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its recommendations relating to this Act with the governor, the |
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lieutenant governor, and the speaker of the house of |
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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 are fulfilled |
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and accomplished. |
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SECTION 3. (a) Section 9502.0311, Special District Local |
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Laws Code, as added by Section 1 of this Act, takes effect only if |
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this Act receives a two-thirds vote of all the members elected to |
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each house. |
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(b) If this Act does not receive a two-thirds vote of all the |
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members elected to each house, Subchapter C, Chapter 9502, Special |
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District Local Laws Code, as added by Section 1 of this Act, is |
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amended by adding Section 9502.0311 to read as follows: |
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Sec. 9502.0311. NO EMINENT DOMAIN POWER. The district may |
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not exercise the power of eminent domain. |
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(c) This section is not intended to be an expression of a |
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legislative interpretation of the requirements of Section 17(c), |
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Article I, Texas Constitution. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2021. |
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