By: Ellis S.B. No. 1880
A BILL TO BE ENTITLED
AN ACT
relating to the Buffalo Bayou Management District and the creation
of the East Montrose Management District and the Fourth Ward
Management District out of part of the territory of the Buffalo
Bayou Management District; authorizing taxes and bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4, Chapter 997, Acts of the 78th
Legislature, Regular Session, 2003, is amended to read as follows:
Sec. 4. BOUNDARIES. The district includes all the
territory contained in the following described area:
POINT OF BEGINNING at the intersection of the west boundary line of
Montrose Boulevard right-of-way and the south boundary line of West
Dallas, then west along the south boundary line of West Dallas
right-of-way to the intersection of the west boundary of Shepherd
Drive right-of-way. Then north along the west boundary of Shepherd
Drive right-of-way to the intersection of the south boundary of the
Buffalo Bayou. Then west along the south boundary of the Buffalo
Bayou to the intersection of the south boundary of the Buffalo Bayou
and the west boundary of Westcott Street right-of-way. Then north
along the west boundary of Westcott Street right-of-way to the
intersection of the north boundary of Blossom Street right-of-way.
Then east along the north boundary of Blossom Street right-of-way
until the intersection of the north boundary of Blossom Street
right-of-way and the west boundary of Shepherd Street right-of-way.
Then north along the west boundary of Shepherd Street until the
intersection of the south boundary of Washington Avenue
right-of-way and the west boundary of Shepherd Street right-of-way.
Then east along the south boundary of Washington Avenue
right-of-way to the intersection of the east boundary of Yale
Street right-of-way. Then south along the east boundary of
Yale/Waugh Street right-of-way through the center of the Memorial
Street entrance ramps extending on a southerly line to the north
boundary of Buffalo Bayou. Then east along the north boundary of
Buffalo Bayou to the intersection of the west boundary of Montrose
Boulevard right-of-way and south on the west boundary of Montrose
Boulevard right-of-way to the POINT OF BEGINNING. [POINT OF
BEGINNING at the intersection of the west boundary line of the
Houston Downtown Management District and the north boundary of
Memorial Drive right-of-way, then west along the north boundary of
Memorial Drive right-of-way to the north boundary of Memorial
Drive's Heights North exit ramp, then northwest along the north
boundary of Memorial Drive's Heights North exit ramp to the east
boundary of Heights boulevard right-of-way, then west across
Heights Boulevard from the east boundary of Heights Boulevard
right-of-way to the west boundary of the Heights Boulevard
right-of-way, then south along the west boundary of Heights
boulevard right-of-way to the north boundary of Memorial Drive's
Memorial West entrance ramp, then southwest along the north
boundary of Memorial Drive's Memorial West entrance ramp to the
northern boundary line of Memorial Drive right-of-way, then west
along the northern boundary line of Memorial Drive right-of-way to
the west boundary line of Shepherd Drive right-of-way, then south
along the west boundary line of Shepherd Drive right-of-way to the
centerline of West Dallas, then east along the centerline of West
Dallas to the intersection of the west boundary of Montrose
Boulevard right-of-way and the centerline of West Dallas, then
south along the west boundary line of Montrose Boulevard
right-of-way to the south boundary line of U.S. Highway 59 and the
west boundary line of Montrose Boulevard right-of-way, then in an
easterly direction from said intersection along the south boundary
line of U.S. Highway 59 to the intersection of the west boundary
line of the Main Street right-of-way and then proceeding from said
intersection in a northwesterly direction along the boundary line
of the west Main Street right-of-way paralleling the boundary line
of the Greater Southeast Management District to the intersection of
the boundary line of the south Portland Street right-of-way and the
boundary line of the west Main Street right-of-way, being the
southern boundary line of the Midtown Management District, then
proceeding from said intersection in generally a northeasterly
direction the boundary line parallels the Midtown Management
District boundary line to the intersection of the west boundary
line of the US Hwy 45 right-of-way and the north boundary line of
the Cleveland Street right-of-way, being the western boundary line
of the Houston Downtown Management District, then north from said
intersection along the western boundary line of the Houston
Downtown Management District to the POINT OF BEGINNING.]
SECTION 2. Subsections (a) and (b), Section 9, Chapter 997,
Acts of the 78th Legislature, Regular Session, 2003, are amended to
read as follows:
(a) The district is governed by a board of 11 [31] voting
directors appointed under Section 10 of this Act and nonvoting
directors as provided by Section 11 of this Act.
(b) Voting directors serve staggered terms of four years,
with six [15] directors' terms expiring June 1 of an odd-numbered
year and five [16] directors' terms expiring June 1 of the following
odd-numbered year.
SECTION 3. Section 17, Chapter 997, Acts of the 78th
Legislature, Regular Session, 2003, is amended to read as follows:
Sec. 17. REQUIREMENTS FOR FINANCING SERVICES AND
IMPROVEMENTS. The board may not finance a service or improvement
project with assessments under this Act unless a written petition
requesting that improvement or service has been filed with the
board. The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district subject to assessment as determined
by the most recent certified tax appraisal roll for Harris County;
or
(2) at least 50 persons who own real property in the
district, if more than 50 persons own real property in the district
as determined by the most recent certified tax appraisal roll for
Harris County.
SECTION 4. Subsections (a), (b), and (c), Section 31,
Chapter 997, Acts of the 78th Legislature, Regular Session, 2003,
are amended to read as follows:
(a) The [initial] board consists of the following persons: Pos. No. Name of Director
1 Kay Crooker
2 Mike Garver
3 Karen Domino [Jackie Martin]
4 Max Schuette [Mark Lee]
5 Mark Lee [John Chase, Jr.]
6 Graham Painter [Adrian Collins]
7 Maria Munoz-Blanco [Max Schuette]
8 Tom Hook [June Deadrick]
9 Susan Keeton [Don Cutrer]
10 Claire Caudill [Raju Adwaney]
11 Rey de la Reza [Mike Mark
[12 Sia Ravari
[13 Cherry Walker
[14 John Hansen
[15 John Dao
[16 William Taylor
[17 Karen Domino
[18 Kevin Hoffman
[19 Jeff Andrews
[20 William Paul Thomas
[21 Theola Petteway
[22 Keith Wade
[23 Chryisse Wilson
[24 Sadie Rucker
[25 Julie McClure
[26 Angie Gomez
[27 Tom Fricke
[28 James Robert McDermaid
[29 Kathy Hubbard
[30 Marsha Johnson
[31 Craig Jackson]
(b) Of these [the initial] directors, the terms of directors
appointed for positions 1 through 5 [15] expire June 1, 2007 [2005],
and the terms of directors appointed for positions 6 [16] through 11
[31] expire June 1, 2009 [2007].
(d) This section expires September 1, 2009 [2007].
SECTION 5. Subtitle C, Title 4, Special District Local Laws
Code, is amended by adding Chapter 3848 to read as follows:
CHAPTER 3848. EAST MONTROSE MANAGEMENT DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 3848.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "District" means the East Montrose Management
District.
Sec. 3848.002. EAST MONTROSE MANAGEMENT DISTRICT. The East
Montrose Management District is a special district created under
Section 59, Article XVI, Texas Constitution.
Sec. 3848.003. PURPOSE; DECLARATION OF INTENT. (a) The
creation of the district is essential to accomplish the purposes of
Sections 52 and 52-a, Article III, and Section 59, Article XVI,
Texas Constitution, and other public purposes stated in this
chapter. By creating the district and in authorizing the City of
Houston, Harris County, and other political subdivisions to
contract with the district, the legislature has established a
program to accomplish the public purposes set out in Section 52-a,
Article III, Texas Constitution.
(b) The creation of the district is necessary to promote,
develop, encourage, and maintain employment, commerce,
transportation, housing, tourism, recreation, the arts,
entertainment, economic development, safety, and the public
welfare in the district.
(c) This chapter and the creation of the district may not be
interpreted to relieve Harris County or the City of Houston from
providing the level of services provided as of the effective date of
the Act enacting this chapter to the area in the district. The
district is created to supplement and not to supplant the county or
city services provided in the area in the district.
Sec. 3848.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
(a) The district is created to serve a public use and benefit.
(b) All land and other property included in the district
will benefit from the improvements and services to be provided by
the district under powers conferred by Sections 52 and 52-a,
Article III, and Section 59, Article XVI, Texas Constitution, and
other powers granted under this chapter.
(c) The creation of the district is in the public interest
and is essential to:
(1) further the public purposes of developing and
diversifying the economy of the state;
(2) eliminate unemployment and underemployment; and
(3) develop or expand transportation and commerce.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district and of the public;
(2) provide needed funding to preserve, maintain, and
enhance the economic health and vitality of the district territory
as a community and business center; and
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and by landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic beauty.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, parking, and street art objects are parts of and
necessary components of a street and are considered to be a street
or road improvement.
(f) The district will not act as the agent or
instrumentality of any private interest even though the district
will benefit many private interests as well as the public.
Sec. 3848.005. DISTRICT TERRITORY. (a) The district is
composed of the territory described by Section 6 of the Act enacting
this chapter, as that territory may have been modified under:
(1) Subchapter J, Chapter 49, Water Code; or
(2) other law.
(b) The boundaries and field notes of the district contained
in Section 6 of the Act enacting this chapter form a closure. A
mistake in the field notes or in copying the field notes in the
legislative process does not in any way affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for a purpose for
which the district is created or to pay the principal of and
interest on the bond;
(3) right to impose or collect an assessment or tax; or
(4) legality or operation.
Sec. 3848.006. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
All or any part of the area of the district is eligible to be
included in:
(1) a tax increment reinvestment zone created by the
City of Houston under Chapter 311, Tax Code;
(2) a tax abatement reinvestment zone created by the
City of Houston under Chapter 312, Tax Code; or
(3) an enterprise zone created by the City of Houston
under Chapter 2303, Government Code.
Sec. 3848.007. APPLICABILITY OF MUNICIPAL MANAGEMENT
DISTRICTS LAW. Except as otherwise provided by this chapter,
Chapter 375, Local Government Code, applies to the district.
Sec. 3848.008. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
[Sections 3848.009-3848.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 3848.051. BOARD OF DIRECTORS; TERMS. (a) The
district is governed by a board of 12 voting directors who serve
staggered terms of four years, with one-half of the directors'
terms expiring June 1 of each odd-numbered year.
(b) The board by resolution may change the number of voting
directors on the board, but only if the board determines that the
change is in the best interest of the district. The board may not
consist of fewer than five voting directors.
Sec. 3848.052. APPOINTMENT OF DIRECTORS. The mayor and
members of the governing body of the City of Houston shall appoint
directors from persons recommended by the board. A person is
appointed if a majority of the members of the governing body,
including the mayor, vote to appoint that person.
Sec. 3848.053. NONVOTING DIRECTORS. (a) The following
persons serve as nonvoting directors:
(1) the directors of the following departments of the
City of Houston or a person designated by that director:
(A) parks and recreation;
(B) planning and development;
(C) public works; and
(D) civic center; and
(2) the City of Houston's chief of police.
(b) If a department described by Subsection (a) is
consolidated, renamed, or changed, the board may appoint a director
of the consolidated, renamed, or changed department as a nonvoting
director. If a department described by Subsection (a) is
abolished, the board may appoint a representative of another
department that performs duties comparable to those performed by
the abolished department.
Sec. 3848.054. QUORUM. Nonvoting directors are not counted
for the purposes of establishing a board quorum.
Sec. 3848.055. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT.
(a) Except as provided by this section:
(1) a director may participate in all board votes and
decisions; and
(2) Chapter 171, Local Government Code, governs
conflicts of interest for directors.
(b) Section 171.004, Local Government Code, does not apply
to the district. A director who has a substantial interest in a
business or charitable entity that will receive a pecuniary benefit
from a board action shall file a one-time affidavit declaring the
interest. An additional affidavit is not required if the
director's interest changes. After the affidavit is filed with the
board secretary, the director may participate in a discussion or
vote on that action if:
(1) a majority of the directors have a similar
interest in the same entity; or
(2) all other similar business or charitable entities
in the district will receive a similar pecuniary benefit.
(c) A director who is also an officer or employee of a public
entity may not participate in the discussion of or vote on a matter
regarding a contract with that public entity.
(d) For purposes of this section, a director has a
substantial interest in a charitable entity in the same manner that
a person would have a substantial interest in a business entity
under Section 171.002, Local Government Code.
Sec. 3848.056. INITIAL VOTING DIRECTORS. (a) The initial
board consists of the following voting directors:Pos. No. Name of Director
1 John Rose
2 Charles Armstrong
3 Aldo Cantania
4 John Hansen
5 Tom Fricke
6 Eduardo Trevino
7 Claude Wynn
8 Kathy Hubbard
9 James Robert McDermaid
10 Julie McClure
11 Angie Gomez
12 Marisol Rodriguez
(b) Of the initial directors, the terms of directors
appointed for positions 1 through 6 expire June 1, 2007, and the
terms of directors appointed for positions 7 through 12 expire
June 1, 2009.
(c) Section 3848.052 does not apply to this section.
(d) This section expires September 1, 2009.
[Sections 3848.057-3848.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 3848.101. ADDITIONAL POWERS OF DISTRICT. The district
may exercise the powers given to:
(1) a corporation under Section 4B, Development
Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil
Statutes), including the power to own, operate, acquire, construct,
lease, improve, or maintain a project described by that section;
and
(2) a housing finance corporation created under
Chapter 394, Local Government Code, to provide housing or
residential development projects in the district.
Sec. 3848.102. NONPROFIT CORPORATION. (a) The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act for the district in implementing a project or
providing a service authorized by this chapter.
(b) The nonprofit corporation:
(1) has each power of and is considered for purposes of
this chapter to be a local government corporation created under
Chapter 431, Transportation Code; and
(2) may implement any project and provide any service
authorized by this chapter.
(c) The board shall appoint the board of directors of the
nonprofit corporation. The board of directors of the nonprofit
corporation shall serve in the same manner as the board of directors
of a local government corporation created under Chapter 431,
Transportation Code.
Sec. 3848.103. AGREEMENTS; GRANTS. (a) The district may
make an agreement with or accept a gift, grant, or loan from any
person.
(b) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
Sec. 3848.104. AUTHORITY TO CONTRACT FOR LAW ENFORCEMENT.
To protect the public interest, the district may contract with
Harris County or the City of Houston to provide law enforcement
services in the district for a fee.
Sec. 3848.105. MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
district may join and pay dues to an organization that:
(1) enjoys tax-exempt status under Section 501(c)(3),
(4), or (6), Internal Revenue Code of 1986; and
(2) performs a service or provides an activity
consistent with the furtherance of a district purpose.
Sec. 3848.106. ECONOMIC DEVELOPMENT PROGRAMS. (a) The
district may establish and provide for the administration of one or
more programs to promote state or local economic development and to
stimulate business and commercial activity in the district,
including programs to:
(1) make loans and grants of public money; and
(2) provide district personnel and services.
(b) For purposes of this section, the district has all of
the powers of a municipality under Chapter 380, Local Government
Code.
Sec. 3848.107. NO EMINENT DOMAIN. The district may not
exercise the power of eminent domain.
[Sections 3848.108-3848.150 reserved for expansion]
SUBCHAPTER D. FINANCIAL PROVISIONS
Sec. 3848.151. DISBURSEMENTS AND TRANSFERS OF MONEY. The
board by resolution shall establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of the district's money.
Sec. 3848.152. PETITION REQUIRED FOR FINANCING SERVICES AND
IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
service or improvement project with assessments under this chapter
unless a written petition requesting that service or improvement
has been filed with the board.
(b) A petition filed under Subsection (a) must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district subject to assessment according to
the most recent certified tax appraisal roll for Harris County; or
(2) at least 50 persons who own real property in the
district, if more than 50 persons own real property in the district
according to the most recent certified tax appraisal roll for
Harris County.
Sec. 3848.153. ASSESSMENTS; LIENS FOR ASSESSMENTS.
(a) The board by resolution may impose and collect an assessment
for any purpose authorized by this chapter.
(b) An assessment, a reassessment, or an assessment
resulting from an addition to or correction of the assessment roll
by the district, penalties and interest on an assessment or
reassessment, an expense of collection, and reasonable attorney's
fees incurred by the district:
(1) are a first and prior lien against the property
assessed;
(2) are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad valorem
taxes; and
(3) are the personal liability of and a charge against
the owners of the property even if the owners are not named in the
assessment proceedings.
(c) The lien is effective from the date of the board's
resolution imposing the assessment until the date the assessment is
paid. The board may enforce the lien in the same manner that the
board may enforce an ad valorem tax lien against real property.
(d) The board may make a correction to or deletion from the
assessment roll that does not increase the amount of assessment of
any parcel of land without providing notice and holding a hearing in
the manner required for additional assessments.
Sec. 3848.154. MAINTENANCE TAX. (a) If authorized at an
election held in accordance with Section 3848.157, the district may
impose an annual ad valorem tax on taxable property in the district
for any district purpose, including to:
(1) maintain and operate the district;
(2) construct or acquire improvements; or
(3) provide a service.
(b) The board shall determine the tax rate.
Sec. 3848.155. UTILITY PROPERTY EXEMPT FROM IMPACT FEES AND
ASSESSMENTS. The district may not impose an impact fee or
assessment on the property, including the equipment,
rights-of-way, facilities, or improvements, of:
(1) an electric utility or a power generation company
as defined by Section 31.002, Utilities Code;
(2) a gas utility as defined by Section 101.003 or
121.001, Utilities Code; or
(3) a person who provides to the public cable
television or advanced telecommunications services.
Sec. 3848.156. BONDS AND OTHER OBLIGATIONS. (a) The
district may issue bonds or other obligations payable wholly or
partly from taxes, assessments, impact fees, revenue, grants, or
other money of the district, or any combination of those sources of
money, to pay for any authorized purpose of the district.
(b) The district may issue a bond or other obligation in the
form of a bond, note, certificate of participation or other
instrument evidencing a proportionate interest in payments to be
made by the district, or other type of obligation.
Sec. 3848.157. TAX AND BOND ELECTIONS. (a) The district
shall hold an election in the manner provided by Subchapter L,
Chapter 375, Local Government Code, to obtain voter approval before
the district imposes an ad valorem tax or issues bonds payable from
ad valorem taxes.
(b) The board may include more than one purpose in a single
proposition at an election.
(c) Section 375.243, Local Government Code, does not apply
to the district.
Sec. 3848.158. CITY NOT REQUIRED TO PAY DISTRICT
OBLIGATIONS. Except as provided by Section 375.263, Local
Government Code, the City of Houston is not required to pay a bond,
note, or other obligation of the district.
Sec. 3848.159. COMPETITIVE BIDDING. Section 375.221, Local
Government Code, applies to the district only for a contract that
has a value greater than $15,000.
Sec. 3848.160. TAX AND ASSESSMENT ABATEMENTS. The district
may grant in the manner authorized by Chapter 312, Tax Code, an
abatement for a tax or assessment owed to the district.
[Sections 3848.161-3848.200 reserved for expansion]
SUBCHAPTER E. DISSOLUTION
Sec. 3848.201. DISSOLUTION OF DISTRICT WITH OUTSTANDING
DEBT. (a) The board may dissolve the district regardless of
whether the district has debt. Section 375.264, Local Government
Code, does not apply to the district.
(b) If the district has debt when it is dissolved, the
district shall remain in existence solely for the purpose of
discharging its debts. The dissolution is effective when all debts
have been discharged.
SECTION 6. As of the effective date of this Act, the East
Montrose Management District includes all territory contained in
the following described area in Harris County, Texas:
UNLESS otherwise specified, the boundaries of this district will
travel along the centerline of each street included, and each
intersection will be the intersection of the centerlines of the
streets mentioned. POINT OF BEGINNING at the intersection of West
Dallas and Montrose Boulevard. Then in a southerly direction along
Montrose Boulevard to its intersection with Sul Ross. Then in a
westerly direction along Sul Ross to its intersection with
Mulberry. Then in a southerly direction along Mulberry to its
intersection with Branard, then east along Branard to its
intersection with Yupon. Then in a southerly direction along Yupon
to where Yupon corners into Colquitt. Then in an easterly direction
along Colquitt to its intersection with Graustark. Then in a
southerly direction along Graustark to the south boundary line of
U.S. Highway 59. Then in an easterly direction from said
intersection along the south boundary line of U.S. Highway 59
proceeding in a northeasterly direction along Spur 527, then
following Spur 527 in a northeasterly direction to its intersection
with the easterly line of Milam Street. Then in a northeasterly
direction along Milam Street to its intersection with the easterly
line of Spur 527. Then in a northerly direction along the easterly
line of Spur 527 to Brazos Street. Then in a northeasterly
direction along Brazos Street to its intersection with Tuam Avenue.
Then in a northwesterly direction along Tuam Avenue to Bagby
Street. Then in a northeasterly direction along Bagby Street to
McGowen Avenue. Then in a northwesterly direction along the
McGowen Avenue to the southerly projection of Bailey Street. Then
following the southerly projection of Bailey Street in a northerly
direction to Bailey Street. Then in a northerly direction along
Bailey Street to the southeast corner of Lot 10 Block 78 of the W.R.
Baker Subdivision, Unrecorded. Then in a westerly direction along
the south line of said W.R. Baker Unrecorded Subdivision, crossing
Gillette Street and continuing to Genesee Street. Then westerly
along Welch Street to its intersection with Taft Street. Then in a
northerly direction along Taft Street to its intersection with West
Dallas Street. Then in a westerly direction along West Dallas
Street to its intersection with Montrose Boulevard at the POINT OF
BEGINNING.
SECTION 7. Subtitle C, Title 4, Special District Local Laws
Code, is amended by adding Chapter 3849 to read as follows:
CHAPTER 3849. FOURTH WARD MANAGEMENT DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 3849.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "District" means the Fourth Ward Management
District.
Sec. 3849.002. FOURTH WARD MANAGEMENT DISTRICT. The Fourth
Ward Management District is a special district created under
Section 59, Article XVI, Texas Constitution.
Sec. 3849.003. PURPOSE; DECLARATION OF INTENT. (a) The
creation of the district is essential to accomplish the purposes of
Sections 52 and 52-a, Article III, and Section 59, Article XVI,
Texas Constitution, and other public purposes stated in this
chapter. By creating the district and in authorizing the City of
Houston, Harris County, and other political subdivisions to
contract with the district, the legislature has established a
program to accomplish the public purposes set out in Section 52-a,
Article III, Texas Constitution.
(b) The creation of the district is necessary to promote,
develop, encourage, and maintain employment, commerce,
transportation, housing, tourism, recreation, the arts,
entertainment, economic development, safety, and the public
welfare in the district.
(c) This chapter and the creation of the district may not be
interpreted to relieve Harris County or the City of Houston from
providing the level of services provided as of the effective date of
the Act enacting this chapter to the area in the district. The
district is created to supplement and not to supplant the county or
city services provided in the area in the district.
Sec. 3849.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE.
(a) The district is created to serve a public use and benefit.
(b) All land and other property included in the district
will benefit from the improvements and services to be provided by
the district under powers conferred by Sections 52 and 52-a,
Article III, and Section 59, Article XVI, Texas Constitution, and
other powers granted under this chapter.
(c) The creation of the district is in the public interest
and is essential to:
(1) further the public purposes of developing and
diversifying the economy of the state;
(2) eliminate unemployment and underemployment; and
(3) develop or expand transportation and commerce.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district and of the public;
(2) provide needed funding to preserve, maintain, and
enhance the economic health and vitality of the district territory
as a community and business center; and
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and by landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic beauty.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, parking, and street art objects are parts of and
necessary components of a street and are considered to be a street
or road improvement.
(f) The district will not act as the agent or
instrumentality of any private interest even though the district
will benefit many private interests as well as the public.
Sec. 3849.005. DISTRICT TERRITORY. (a) The district is
composed of the territory described by Section 8 of the Act enacting
this chapter, as that territory may have been modified under:
(1) Subchapter J, Chapter 49, Water Code; or
(2) other law.
(b) The boundaries and field notes of the district contained
in Section 8 of the Act enacting this chapter form a closure. A
mistake in the field notes or in copying the field notes in the
legislative process does not in any way affect the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for a purpose for
which the district is created or to pay the principal of and
interest on the bond;
(3) right to impose or collect an assessment or tax; or
(4) legality or operation.
Sec. 3849.006. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.
All or any part of the area of the district is eligible to be
included in:
(1) a tax increment reinvestment zone created by the
City of Houston under Chapter 311, Tax Code;
(2) a tax abatement reinvestment zone created by the
City of Houston under Chapter 312, Tax Code; or
(3) an enterprise zone created by the City of Houston
under Chapter 2303, Government Code.
Sec. 3849.007. APPLICABILITY OF MUNICIPAL MANAGEMENT
DISTRICTS LAW. Except as otherwise provided by this chapter,
Chapter 375, Local Government Code, applies to the district.
Sec. 3849.008. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
[Sections 3849.009-3849.050 reserved for expansion]
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 3849.051. BOARD OF DIRECTORS; TERMS. (a) The
district is governed by a board of 11 voting directors who serve
staggered terms of four years, with five or six directors' terms
expiring June 1 of each odd-numbered year.
(b) The board by resolution may change the number of voting
directors on the board, but only if the board determines that the
change is in the best interest of the district. The board may not
consist of fewer than five voting directors.
Sec. 3849.052. APPOINTMENT OF DIRECTORS. The mayor and
members of the governing body of the City of Houston shall appoint
directors from persons recommended by the board. A person is
appointed if a majority of the members of the governing body,
including the mayor, vote to appoint that person.
Sec. 3849.053. NONVOTING DIRECTORS. (a) The following
persons serve as nonvoting directors:
(1) the directors of the following departments of the
City of Houston or a person designated by that director:
(A) parks and recreation;
(B) planning and development;
(C) public works; and
(D) civic center; and
(2) the City of Houston's chief of police.
(b) If a department described by Subsection (a) is
consolidated, renamed, or changed, the board may appoint a director
of the consolidated, renamed, or changed department as a nonvoting
director. If a department described by Subsection (a) is
abolished, the board may appoint a representative of another
department that performs duties comparable to those performed by
the abolished department.
Sec. 3849.054. QUORUM. Nonvoting directors are not counted
for the purposes of establishing a board quorum.
Sec. 3849.055. CONFLICTS OF INTEREST; ONE-TIME AFFIDAVIT.
(a) Except as provided by this section:
(1) a director may participate in all board votes and
decisions; and
(2) Chapter 171, Local Government Code, governs
conflicts of interest for directors.
(b) Section 171.004, Local Government Code, does not apply
to the district. A director who has a substantial interest in a
business or charitable entity that will receive a pecuniary benefit
from a board action shall file a one-time affidavit declaring the
interest. An additional affidavit is not required if the
director's interest changes. After the affidavit is filed with the
board secretary, the director may participate in a discussion or
vote on that action if:
(1) a majority of the directors have a similar
interest in the same entity; or
(2) all other similar business or charitable entities
in the district will receive a similar pecuniary benefit.
(c) A director who is also an officer or employee of a public
entity may not participate in the discussion of or vote on a matter
regarding a contract with that public entity.
(d) For purposes of this section, a director has a
substantial interest in a charitable entity in the same manner that
a person would have a substantial interest in a business entity
under Section 171.002, Local Government Code.
Sec. 3849.056. INITIAL VOTING DIRECTORS. (a) The initial
board consists of the following voting directors:Pos. No. Name of Director
1 Keith Wade
2 Karen Domino
3 William Taylor
4 Sadie Rucker
5 Jackie Martin
6 Elmo Johnson
7 June Deadrick
8 Todd Triggs
9 Peter Grimm
10 Milton Wilson
11 Ernie Etuk
(b) Of the initial directors, the terms of directors
appointed for positions 1 through 6 expire June 1, 2007, and the
terms of directors appointed for positions 7 through 11 expire
June 1, 2009.
(c) Section 3849.052 does not apply to this section.
(d) This section expires September 1, 2009.
[Sections 3849.057-3849.100 reserved for expansion]
SUBCHAPTER C. POWERS AND DUTIES
Sec. 3849.101. ADDITIONAL POWERS OF DISTRICT. The district
may exercise the powers given to:
(1) a corporation under Section 4B, Development
Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil
Statutes), including the power to own, operate, acquire, construct,
lease, improve, or maintain a project described by that section;
and
(2) a housing finance corporation created under
Chapter 394, Local Government Code, to provide housing or
residential development projects in the district.
Sec. 3849.102. NONPROFIT CORPORATION. (a) The board by
resolution may authorize the creation of a nonprofit corporation to
assist and act for the district in implementing a project or
providing a service authorized by this chapter.
(b) The nonprofit corporation:
(1) has each power of and is considered for purposes of
this chapter to be a local government corporation created under
Chapter 431, Transportation Code; and
(2) may implement any project and provide any service
authorized by this chapter.
(c) The board shall appoint the board of directors of the
nonprofit corporation. The board of directors of the nonprofit
corporation shall serve in the same manner as the board of directors
of a local government corporation created under Chapter 431,
Transportation Code.
Sec. 3849.103. AGREEMENTS; GRANTS. (a) The district may
make an agreement with or accept a gift, grant, or loan from any
person.
(b) The implementation of a project is a governmental
function or service for the purposes of Chapter 791, Government
Code.
Sec. 3849.104. AUTHORITY TO CONTRACT FOR LAW ENFORCEMENT.
To protect the public interest, the district may contract with
Harris County or the City of Houston to provide law enforcement
services in the district for a fee.
Sec. 3849.105. MEMBERSHIP IN CHARITABLE ORGANIZATIONS. The
district may join and pay dues to an organization that:
(1) enjoys tax-exempt status under Section 501(c)(3),
(4), or (6), Internal Revenue Code of 1986; and
(2) performs a service or provides an activity
consistent with the furtherance of a district purpose.
Sec. 3849.106. ECONOMIC DEVELOPMENT PROGRAMS. (a) The
district may establish and provide for the administration of one or
more programs to promote state or local economic development and to
stimulate business and commercial activity in the district,
including programs to:
(1) make loans and grants of public money; and
(2) provide district personnel and services.
(b) For purposes of this section, the district has all of
the powers of a municipality under Chapter 380, Local Government
Code.
Sec. 3849.107. NO EMINENT DOMAIN. The district may not
exercise the power of eminent domain.
[Sections 3849.108-3849.150 reserved for expansion]
SUBCHAPTER D. FINANCIAL PROVISIONS
Sec. 3849.151. DISBURSEMENTS AND TRANSFERS OF MONEY. The
board by resolution shall establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of the district's money.
Sec. 3849.152. PETITION REQUIRED FOR FINANCING SERVICES AND
IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a
service or improvement project with assessments under this chapter
unless a written petition requesting that service or improvement
has been filed with the board.
(b) A petition filed under Subsection (a) must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district subject to assessment according to
the most recent certified tax appraisal roll for Harris County; or
(2) at least 50 persons who own real property in the
district, if more than 50 persons own real property in the district
according to the most recent certified tax appraisal roll for
Harris County.
Sec. 3849.153. ASSESSMENTS; LIENS FOR ASSESSMENTS.
(a) The board by resolution may impose and collect an assessment
for any purpose authorized by this chapter.
(b) An assessment, a reassessment, or an assessment
resulting from an addition to or correction of the assessment roll
by the district, penalties and interest on an assessment or
reassessment, an expense of collection, and reasonable attorney's
fees incurred by the district:
(1) are a first and prior lien against the property
assessed;
(2) are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad valorem
taxes; and
(3) are the personal liability of and a charge against
the owners of the property even if the owners are not named in the
assessment proceedings.
(c) The lien is effective from the date of the board's
resolution imposing the assessment until the date the assessment is
paid. The board may enforce the lien in the same manner that the
board may enforce an ad valorem tax lien against real property.
(d) The board may make a correction to or deletion from the
assessment roll that does not increase the amount of assessment of
any parcel of land without providing notice and holding a hearing in
the manner required for additional assessments.
Sec. 3849.154. MAINTENANCE TAX. (a) If authorized at an
election held in accordance with Section 3849.157, the district may
impose an annual ad valorem tax on taxable property in the district
for any district purpose, including to:
(1) maintain and operate the district;
(2) construct or acquire improvements; or
(3) provide a service.
(b) The board shall determine the tax rate.
Sec. 3849.155. UTILITY PROPERTY EXEMPT FROM IMPACT FEES AND
ASSESSMENTS. The district may not impose an impact fee or
assessment on the property, including the equipment,
rights-of-way, facilities, or improvements, of:
(1) an electric utility or a power generation company
as defined by Section 31.002, Utilities Code;
(2) a gas utility as defined by Section 101.003 or
121.001, Utilities Code; or
(3) a person who provides to the public cable
television or advanced telecommunications services.
Sec. 3849.156. BONDS AND OTHER OBLIGATIONS. (a) The
district may issue bonds or other obligations payable wholly or
partly from taxes, assessments, impact fees, revenue, grants, or
other money of the district, or any combination of those sources of
money, to pay for any authorized purpose of the district.
(b) The district may issue a bond or other obligation in the
form of a bond, note, certificate of participation or other
instrument evidencing a proportionate interest in payments to be
made by the district, or other type of obligation.
Sec. 3849.157. TAX AND BOND ELECTIONS. (a) The district
shall hold an election in the manner provided by Subchapter L,
Chapter 375, Local Government Code, to obtain voter approval before
the district imposes an ad valorem tax or issues bonds payable from
ad valorem taxes.
(b) The board may include more than one purpose in a single
proposition at an election.
(c) Section 375.243, Local Government Code, does not apply
to the district.
Sec. 3849.158. CITY NOT REQUIRED TO PAY DISTRICT
OBLIGATIONS. Except as provided by Section 375.263, Local
Government Code, the City of Houston is not required to pay a bond,
note, or other obligation of the district.
Sec. 3849.159. COMPETITIVE BIDDING. Section 375.221, Local
Government Code, applies to the district only for a contract that
has a value greater than $15,000.
Sec. 3849.160. TAX AND ASSESSMENT ABATEMENTS. The district
may grant in the manner authorized by Chapter 312, Tax Code, an
abatement for a tax or assessment owed to the district.
[Sections 3849.161-3849.200 reserved for expansion]
SUBCHAPTER E. DISSOLUTION
Sec. 3849.201. DISSOLUTION OF DISTRICT WITH OUTSTANDING
DEBT. (a) The board may dissolve the district regardless of
whether the district has debt. Section 375.264, Local Government
Code, does not apply to the district.
(b) If the district has debt when it is dissolved, the
district shall remain in existence solely for the purpose of
discharging its debts. The dissolution is effective when all debts
have been discharged.
SECTION 8. As of the effective date of this Act, the Fourth
Ward Management District includes all territory contained in the
following described area in Harris County, Texas:
UNLESS otherwise specified, the boundaries of this district will
travel along the centerline of each street included, and each
intersection will be the intersection of the centerlines of the
streets mentioned. POINT OF BEGINNING at the intersection of
Heiner Street with Allen Parkway. Then in a westerly direction
along Allen Parkway to its intersection with Montrose Boulevard.
Then in a southerly direction along Montrose Boulevard to its
intersection with West Dallas Street. Then in an easterly
direction along West Dallas Street to its intersection with Taft
Street. Then in a southerly direction along Taft Street to its
intersection with Welch Avenue. Then in an easterly direction
along Welch Avenue to its intersection with Genesee Street and
Dennis Avenue. Then in a northerly direction along Genesee Street
to its intersection with Sutton. Then in an easterly direction
along Sutton to its intersection with Bailey Street.
Then in a northerly direction along Bailey Street to its
intersection with West Webster Avenue. Then in an easterly
direction along West Webster Avenue to its intersection with
Webster Avenue. Then in a northwesterly direction along Webster
Avenue to its intersection with West Gray Avenue. Then in an
easterly and southeasterly direction along West Gray Avenue to its
intersection with Baldwin Street. Then in a northeasterly
direction along Baldwin Street to its intersection with St. Joseph.
Then in a northwesterly direction along St. Joseph to the southerly
dead end of Arthur Street. Then in a northerly direction along
Arthur Street to its intersection with Cleveland Street. Then in an
easterly direction along Cleveland Street to its intersection with
Heiner Street. Then in a northerly direction along Heiner Street to
the POINT OF BEGINNING.
SECTION 9. The legislature finds that:
(1) proper and 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 by
the constitution and laws of this state, including the governor,
who has submitted the notice and Act to the Texas Commission on
Environmental Quality;
(2) 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;
(3) the general law relating to consent by political
subdivisions to the creation of districts with conservation,
reclamation, and road powers and the inclusion of land in those
districts has been complied with; and
(4) all requirements of the constitution and laws of
this state and the rules and procedures of the legislature with
respect to the notice, introduction, and passage of this Act have
been fulfilled and accomplished.
SECTION 10. 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.