S.B. No. 1828




AN ACT
relating to the creation of the Smiley Road Water Control and Improvement District; providing authority to impose a tax and issue bonds. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle I, Title 6, Special District Local Laws Code, is amended by adding Chapter 9001 to read as follows:
CHAPTER 9001. SMILEY ROAD WATER CONTROL AND IMPROVEMENT DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 9001.001. DEFINITIONS. In this chapter: (1) "Board" means the board of directors of the district. (2) "Director" means a member of the board. (3) "District" means the Smiley Road Water Control and Improvement District. Sec. 9001.002. NATURE OF DISTRICT. The district is a water control and improvement district in Denton County created under and essential to accomplish the purposes of Section 52, Article III, and Section 59, Article XVI, Texas Constitution. The district is created to serve a public use and benefit. Sec. 9001.003. CONFIRMATION ELECTION REQUIRED. If the creation of the district is not confirmed at a confirmation election held under Section 9001.023 before September 1, 2007: (1) the district is dissolved September 1, 2007, except that: (A) any debts incurred shall be paid; (B) any assets that remain after the payment of debts shall be transferred to Denton County; and (C) the organization of the district shall be maintained until all debts are paid and remaining assets are transferred; and (2) this chapter expires September 1, 2010. Sec. 9001.004. INITIAL DISTRICT TERRITORY. (a) The district is initially composed of the territory described by Section 2 of the Act creating this chapter. (b) The boundaries and field notes contained in Section 2 of the Act creating 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: (1) the organization, existence, or validity of the district; (2) the right of the district to impose ad valorem taxes; or (3) the legality or operation of the district or the board. Sec. 9001.005. APPLICABILITY OF OTHER LAW. Except as otherwise provided by this chapter, Chapters 49 and 51, Water Code, apply to the district.
[Sections 9001.006-9001.020 reserved for expansion]
SUBCHAPTER A1. TEMPORARY PROVISIONS
Sec. 9001.021. TEMPORARY DIRECTORS. (a) The temporary board consists of: (1) Brett Blakey; (2) Michael Cummings; (3) Shane Jordan; (4) Mike Miller; and (5) Mike Mollo. (b) If a temporary director fails to qualify for office, the Texas Commission on Environmental Quality shall appoint a person to fill the vacancy. (c) Temporary directors serve until the earlier of: (1) the date directors are elected under Section 9001.023; or (2) the date this chapter expires under Section 9001.003. Sec. 9001.022. ORGANIZATIONAL MEETING OF TEMPORARY DIRECTORS. As soon as practicable after all the temporary directors have qualified under Section 49.055, Water Code, the temporary directors shall meet and elect officers from their membership. Sec. 9001.023. CONFIRMATION AND INITIAL DIRECTORS' ELECTION. Before September 1, 2007, the temporary directors shall hold an election to confirm the creation of the district and to elect five directors as provided by Section 49.102, Water Code. Sec. 9001.024. INITIAL ELECTED DIRECTORS; TERMS. The directors elected under Section 9001.023 shall draw lots to determine which two shall serve until the first regularly scheduled election of directors under Section 9001.052 and which three shall serve until the second regularly scheduled election of directors. Sec. 9001.025. EXPIRATION OF SUBCHAPTER. This subchapter expires September 1, 2010.
[Sections 9001.026-9001.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 9001.051. DIRECTORS; TERMS. (a) The district is governed by a board of five directors. (b) Directors serve staggered four-year terms. Sec. 9001.052. ELECTION OF DIRECTORS. On the uniform election date in May of each even-numbered year, the appropriate number of directors shall be elected.
[Sections 9001.053-9001.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 9001.101. GENERAL POWERS. (a) The district has: (1) all of the rights, powers, privileges, authority, functions, and duties provided by the general law of this state, including Chapters 49 and 51, Water Code, applicable to water control and improvement districts created under Section 59, Article XVI, Texas Constitution; and (2) subject to Section 9001.105, the rights, authority, privileges, and functions of a road district operating under Section 52(b)(3), Article III, Texas Constitution, Chapter 257, Transportation Code, and other general laws of this state relating to road districts. (b) The district may provide water, sanitary sewer, drainage, and, subject to Section 9001.105, road services to each part of the district not receiving those services on the effective date of the Act creating this chapter. Sec. 9001.102. AUTHORITY TO CONTRACT WITH OWNERS OF REAL PROPERTY IN DISTRICT. The district may enter into a contract with an owner of real property in the district for the construction, acquisition, financing, ownership, maintenance, and operation of a work or project described by Section 9001.101(b). Sec. 9001.103. CONTRACTS WITH CITY OF CELINA. The district shall use its best efforts to acquire water, sewer, and other powers permitted by law and, if successful, to enter into a contract with the City of Celina to provide water, sewer, and other services to the city. Sec. 9001.104. PROHIBITION ON DIVISION OF DISTRICT. The district may not divide into two or more districts in the manner specified by Section 51.748 or 53.029, Water Code. Sec. 9001.105. VOTER APPROVED ROAD DISTRICT POWERS. (a) If a majority of the voters of the district vote in favor of the district's assumption of road district powers in the manner provided by Section 53.029, Water Code, at an election held for that purpose, the district shall assume the rights, authority, privileges, and functions of a road district as described by Section 9001.101(a)(2). (b) If the voters approve road district powers under Subsection (a), the district may provide for, or provide aid for, the construction, acquisition, financing, maintenance, and operation of macadamized, graveled, or paved roads inside the district. Road district powers under this section do not include any powers related to the construction, acquisition, financing, maintenance, or operation of a turnpike or toll road. (c) A road project must meet or exceed all applicable construction standards, zoning and subdivision requirements, and regulatory ordinances of each municipality in whose corporate limits or extraterritorial jurisdiction the district is located. If the district is located outside the extraterritorial jurisdiction of a municipality, a road project must meet all applicable construction standards, zoning and subdivision requirements, and regulatory ordinances of each county in which the district is located. (d) The district may not undertake a road project unless each municipality in whose corporate limits or extraterritorial jurisdiction the district is located consents by ordinance or resolution. If the district is located outside the extraterritorial jurisdiction of a municipality, the district may not undertake a road project unless the county in which the district is located consents by ordinance or resolution. (e) If the district assumes road district powers under this section, construction plans and specifications for all roads must be submitted to Denton County for approval. (f) Section 49.182, Water Code, does not apply to a project undertaken by the district under this section. Sec. 9001.106. ADDITION OF LAND TO DISTRICT. The district may add land to the district in the manner provided by Section 49.301, Water Code, if the owner of the land submits a petition to the district for the addition of the land to the district and the land is adjacent to the territory of the district or is separated from the district only by public land or a right-of-way.
[Sections 9001.107-9001.150 reserved for expansion]
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 9001.151. AD VALOREM PLAN OF TAXATION. The district shall use the ad valorem plan of taxation, subject to voter approval at an election held in the district for that purpose. Sec. 9001.152. AD VALOREM TAX FOR ROAD PROJECTS. The district may impose an ad valorem tax to pay the principal of or interest on bonds issued under Section 9001.201(b) to finance projects under Section 9001.105. Sec. 9001.153. UTILITY EXEMPTION FROM IMPACT FEES AND ASSESSMENTS. The district may not impose an impact fee or assessment on the property, equipment, rights-of-way, facilities, or improvements of: (1) an electric utility as defined by Section 31.002, Utilities Code; (2) a gas utility as defined by Section 101.003 or 121.001, Utilities Code; (3) a telecommunications provider as defined by Section 51.002, Utilities Code; or (4) a cable operator as defined by 47 U.S.C. Section 522.
[Sections 9001.154-9001.200 reserved for expansion]
SUBCHAPTER E. BONDS
Sec. 9001.201. AUTHORITY TO ISSUE BONDS. (a) The district may issue bonds as provided by Chapter 49 or 51, Water Code, or Section 53.029, Water Code, the general laws of this state, or this section. (b) Except as provided by Subsection (c) and Section 9001.202, the district may issue bonds, notes, or other obligations as provided by Section 53.029, Water Code, to finance, or assist in the financing of, projects under Section 9001.105. (c) The district may not issue bonds under Subsection (b) unless the issuance is authorized by two-thirds of the district's voters voting at an election called for that purpose. (d) Section 49.181, Water Code, does not apply to a bond issued by the district under Section 53.029, Water Code. Sec. 9001.202. LIMIT ON BONDS AND OTHER OBLIGATIONS. (a) Bonds, notes, or other obligations issued or incurred by the district under Section 53.029, Water Code, may not exceed one-fourth of the assessed value of the real property in the district. (b) The district may not issue bonds until a development agreement between the City of Celina and the district has been signed. Sec. 9001.203. USE OF BOND PROCEEDS. The district may use proceeds from the sale of bonds to acquire improvements or facilities: (1) from a private water supply corporation to provide water or sanitary sewer services to territory in the district; or (2) to provide services described by Section 9001.101(b). SECTION 2. The Smiley Road Water Control and Improvement District initially includes all the territory contained in the following described area: All that certain tract or parcel of land lying and being situated in Denton County, Texas, a part of the ROBERT COWAN SURVEY, ABSTRACT NO. 211, and being comprised of the following: 1) All of an 85.17 acre tract described in a Deed to Celina West 637, Ltd., recorded in Volume 5140, Page 827 of the Real Property Records of Denton County 2) All of an 101.42 acre tract described in a Deed to Celina West 637, Ltd., recorded in Volume 5140, Page 821 of the Real Property Records of Denton County, 3) All of a tract said to contain 252.905 acres as described under the caption "Second Tract" in a Deed to Celina West 637, Ltd., recorded in Volume 5120 page 2232 of the Real Property Records of Denton County. 4) All of an 150.69 acre tract described in a Deed to Celina West 637, Ltd. Recorded in Volume 5167, Page 2788 of the Real Property Records of Denton County, and 5) All of a tract said to contain 35.426 acres as described in a deed to Underwood Financial, L.P., et al, recorded under Clerk's File No. 04-0029789, said tract or parcel of land is herein described as follows; to wit: BEGINNING at point at the intersection of Carey Road (a county road running in an easterly and westerly direction) with Smiley Road (a county road running in a northerly and southerly direction) for the southwest corner of the premises herein described; THENCE along Smiley Road North 00 degrees 30 minutes 10 seconds East, a distance of 2127.78 for the northwest corner of said 85.17 acre tract and an angle point of this tract; THENCE continuing along Smiley road North 00 degrees 47 minutes 09 seconds East 891.20 to a point in said road at the northwest corner of said called 35.426 acre tract for the most westerly northwest corner hereof: THENCE South 89 degrees 02 minutes 45 seconds East 1742.21 feet to a point in the west line of said 150.69 acre tract for the northeast corner of said called 35.426 acre tract and a re-entrant corner hereof; THENCE along the west line of said 150.69 acre tract, North 00 degrees 30 minutes 47 seconds East, a distance of 249.99 feet to a point for corner; THENCE North 00 degrees 03 minutes 52 seconds West, a distance of 57.13 feet to a point at the southwest corner said record 252.905 acre tract; THENCE along the west line of last named tract, North 00 degrees 46 minutes 57 seconds East, a distance of 393.91 feet to a point at the southeast corner of MEADOW VISTA PHASE 2, an addition to Denton County according to the Plat thereof recorded in Cabinet Q, page 271 of the Denton County Plat Records; THENCE North 00 degrees 36 minutes 12 seconds East, a distance of 2078.90 feet to a point for the most westerly northwest corner of said record 252.905 acre tract; THENCE South 88 degrees 07 minutes 27 seconds East, a distance of 2457.17 feet to a point for corner; THENCE North 00 degrees 15 minutes 45 seconds West, a distance of 862.00 feet to a point in the south line of F.M. Highway No. 428; THENCE South 89 degrees 44 minutes 26 seconds East, along the south line of said FM. Highway No. 428, a distance of 834.25 feet to point in the easterly radius of the Extraterritorial Jurisdiction of the Town of Celina; THENCE departing said south line, and said easterly radius, due South, a distance of 2620.43 feet to a point; THENCE North 90 degrees 00 minutes 00 seconds East, a distance of 3347.18 feet to a point in the paved surface of said County Line Road; THENCE South 00 degrees 27 minutes 20 seconds West, a distance of 662.33 feet to a point t in the paved surface of said County Line Road for the southeast corner of said 101.42 acre tract and an ell corner hereof: THENCE North 89 degrees 46 minutes 54 seconds West, a distance of 2668.49 feet to a point for the southwest corner of said 101.42 acre tract, same being the southeast corner of said record 252.905 acre tract; THENCE along the south line of last named tract, North 89 degrees 40 minutes 55 seconds West, a distance of 1999.64 feet to a point for the northeast corner of said 150.69 acre tract, said corner being a re-entrant corner hereof; THENCE South 00 degrees 31 minutes 41 seconds West, a distance of 3304.39 feet to a point in Carey Road at the southeast corner of said 150.69 acre tract, said corner being the most southerly southeast corner hereof: THENCE with the south line of said Carey Road, North 89 degrees 43 minutes 05 seconds West, a distance of 3731.89 feet to the PLACE OF BEGINNING and containing 522.25 acres of land of which approximately 1.0 acre is subject to the 100 year flood per FEMA Maps and which 4.00 acres are subject to existing County Road rights-of-way leaving a net area of 517.25 acres 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. 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, 2005.
______________________________ ______________________________ President of the Senate Speaker of the House
I hereby certify that S.B. No. 1828 passed the Senate on May 5, 2005, by the following vote: Yeas 31, Nays 0; and that the Senate concurred in House amendment on May 26, 2005, by the following vote: Yeas 31, Nays 0. ______________________________ Secretary of the Senate I hereby certify that S.B. No. 1828 passed the House, with amendment, on May 20, 2005, by the following vote: Yeas 139, Nays 0, two present not voting. ______________________________ Chief Clerk of the House Approved: ______________________________ Date ______________________________ Governor