CHAPTER 8342. HOOD COUNTY GRANBURY MUNICIPAL UTILITY DISTRICT NO. 1
SPECIAL DISTRICT LOCAL LAWS CODE
TITLE 6. WATER AND WASTEWATER
SUBTITLE F. MUNICIPAL UTILITY DISTRICTS
CHAPTER 8342. HOOD COUNTY GRANBURY MUNICIPAL UTILITY
DISTRICT NO. 1
For contingent expiration of this chapter, see Section 8342.004.
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 8342.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Director" means a board member.
(3) "District" means the Hood County Granbury Municipal Utility
District No. 1.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.002. NATURE OF DISTRICT. The district is a municipal
utility district created under Section 59, Article XVI, Texas
Constitution.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.003. CONFIRMATION AND DIRECTORS' ELECTION REQUIRED.
The temporary directors shall hold an election to confirm the
creation of the district and to elect five permanent directors as
provided by Section 49.102, Water Code.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.004. CONSENT OF MUNICIPALITY AND DEVELOPMENT AGREEMENT
REQUIRED. (a) The temporary directors may not hold an election
under Section 8342.003 until each municipality in whose corporate
limits or extraterritorial jurisdiction the district is located
has:
(1) consented by ordinance or resolution to the creation of the
district; and
(2) entered into a development agreement with the majority owner
of the assessed value of the real property in the district.
(b) If a development agreement required under Subsection (a)(2)
has not been entered into before September 1, 2010:
(1) the district is dissolved September 1, 2010, except that:
(A) any debts incurred shall be paid;
(B) any assets that remain after the payment of debts shall be
transferred to Hood 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, 2013.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.005. FINDINGS OF PUBLIC PURPOSE AND BENEFIT. (a)
The district is created to serve a public purpose and benefit.
(b) The district is created to accomplish the purposes of:
(1) a municipal utility district as provided by general law and
Section 59, Article XVI, Texas Constitution; and
(2) Section 52, Article III, Texas Constitution, that relate to
the construction, acquisition, improvement, operation, or
maintenance of macadamized, graveled, or paved roads, or
improvements, including storm drainage, in aid of those roads.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.006. 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 the district's:
(1) organization, existence, or validity;
(2) right to issue any type of bond for the purposes for which
the district is created or to pay the principal of and interest
on a bond;
(3) right to impose a tax; or
(4) legality or operation.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
SUBCHAPTER B. BOARD OF DIRECTORS
Sec. 8342.051. GOVERNING BODY; TERMS. (a) The district is
governed by a board of five elected directors.
(b) Except as provided by Section 8342.052, directors serve
staggered four-year terms.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.052. TEMPORARY DIRECTORS. (a) The temporary board
consists of:
(1) Jeffrey Krueger;
(2) William Bruce Schneider;
(3) Kevin Patton;
(4) Virgil R. Briscoe; and
(5) Jeffrey K. Wilson.
(b) Temporary directors serve until the earlier of:
(1) the date permanent directors are elected under Section
8342.003; or
(2) September 1, 2013.
(c) If permanent directors have not been elected under Section
8342.003 and the terms of the temporary directors have expired,
successor temporary directors shall be appointed or reappointed
as provided by Subsection (d) to serve terms that expire on the
earlier of:
(1) the date permanent directors are elected under Section
8342.003; or
(2) the fourth anniversary of the date of the appointment or
reappointment.
(d) If Subsection (c) applies, the owner or owners of a majority
of the assessed value of the real property in the district may
submit a petition to the commission requesting that the
commission appoint as successor temporary directors the five
persons named in the petition. The commission shall appoint as
successor temporary directors the five persons named in the
petition.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
SUBCHAPTER C. POWERS AND DUTIES
Sec. 8342.101. GENERAL POWERS AND DUTIES. The district has the
powers and duties necessary to accomplish the purposes for which
the district is created.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.102. MUNICIPAL UTILITY DISTRICT POWERS AND DUTIES.
The district has the powers and duties provided by the general
law of this state, including Chapters 49 and 54, Water Code,
applicable to municipal utility districts created under Section
59, Article XVI, Texas Constitution.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.103. AUTHORITY FOR ROAD PROJECTS. Under Section 52,
Article III, Texas Constitution, the district may design,
acquire, construct, finance, issue bonds for, improve, operate,
maintain, and convey to this state, a county, or a municipality
for operation and maintenance macadamized, graveled, or paved
roads, or improvements, including storm drainage, in aid of those
roads.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.104. ROAD STANDARDS AND REQUIREMENTS. (a) A road
project must meet all applicable construction standards, zoning
and subdivision requirements, and regulations of each
municipality in whose corporate limits or extraterritorial
jurisdiction the road project is located.
(b) If a road project is not located in the corporate limits or
extraterritorial jurisdiction of a municipality, the road project
must meet all applicable construction standards, subdivision
requirements, and regulations of each county in which the road
project is located.
(c) If the state will maintain and operate the road, the Texas
Transportation Commission must approve the plans and
specifications of the road project.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.105. COMPLIANCE WITH MUNICIPAL REGULATIONS. Any
water, sanitary sewer, drainage, or other infrastructure or
public facilities constructed, acquired, improved, maintained, or
operated by the district shall comply with any subdivision or
other applicable regulations of any municipality in whose
corporate limits or extraterritorial jurisdiction the
infrastructure or public facilities are located.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.106. COMPLIANCE WITH MUNICIPAL CONSENT ORDINANCE OR
RESOLUTION. The district shall comply with all applicable
requirements of any ordinance or resolution that is adopted under
Section 54.016 or 54.0165, Water Code, and that consents to the
creation of the district or to the inclusion of land in the
district.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.107. LIMITATION ON USE OF EMINENT DOMAIN. The
district may not exercise the power of eminent domain outside the
district to acquire a site or easement for:
(1) a road project authorized by Section 8342.103; or
(2) a recreational facility as defined by Section 49.462, Water
Code.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.108. DIVISION OF DISTRICT. (a) The district may be
divided into two or more new districts only if the district:
(1) has no outstanding bonded debt; and
(2) is not imposing ad valorem taxes.
(b) The division procedure is prescribed by Sections 53.030
through 53.041, Water Code.
(c) Any new district created by the division of the district has
all the powers and duties of the district and is subject to all
limitations and conditions provided by this chapter.
(d) A new district created by the division of the district may
not, at the time the new district is created, contain land that
is not contiguous to the area described by Section 2 of the Act
creating this chapter.
(e) A division of the district may not occur until each
municipality in whose corporate limits or extraterritorial
jurisdiction the district is located has adopted a resolution
consenting to the division.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.109. LIMITATION ON DISSOLUTION OF DISTRICT. (a)
Before the issuance of bonds, the district or any new district
created by the division of the district may not be dissolved
unless the dissolution is approved by:
(1) the board;
(2) the majority owner of the assessed value of the real
property in the district or the new district, as applicable; and
(3) the governing body of each municipality in whose corporate
limits or extraterritorial jurisdiction the district or the new
district is located.
(b) The district or any new district may not be dissolved if it
has outstanding bonded debt unless:
(1) all the property in the district or the new district is
annexed by a municipality;
(2) the dissolution is approved by the governing body of the
municipality; and
(3) the bonded debt and developer reimbursement obligations of
the district or the new district are assumed by the municipality
in whose corporate limits or extraterritorial jurisdiction the
district or the new district is located or by another entity
approved by the municipality.
(c) A dissolution subject to Subsection (b) is effective when
all outstanding bonded debt and developer reimbursement
obligations have been discharged.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.110. DEDICATION OF AIRPORT PROPERTY. The district may
dedicate, by fee or easement, property owned by the district for
any purposes necessary or convenient for the operation, use, or
expansion of a municipal airport.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS
Sec. 8342.151. ELECTIONS REGARDING TAXES OR BONDS. (a) The
district may issue, without an election, bonds and other
obligations secured by:
(1) revenue other than ad valorem taxes; or
(2) contract payments described by Section 8342.153.
(b) The district must hold an election in the manner provided by
Chapters 49 and 54, Water Code, to obtain voter approval before
the district may impose an ad valorem tax or issue bonds payable
from ad valorem taxes.
(c) The district may not issue bonds payable from ad valorem
taxes to finance a road project unless the issuance is approved
by a vote of a two-thirds majority of the district voters voting
at an election held for that purpose.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.152. OPERATION AND MAINTENANCE TAX. (a) If
authorized at an election held under Section 8342.151, the
district may impose an operation and maintenance tax on taxable
property in the district in accordance with Section 49.107, Water
Code.
(b) The board shall determine the tax rate. The rate may not
exceed the rate approved at the election.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.153. CONTRACT TAXES. (a) In accordance with Section
49.108, Water Code, the district may impose a tax other than an
operation and maintenance tax and use the revenue derived from
the tax to make payments under a contract after the provisions of
the contract have been approved by a majority of the district
voters voting at an election held for that purpose.
(b) A contract approved by the district voters may contain a
provision stating that the contract may be modified or amended by
the board without further voter approval.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
SUBCHAPTER E. BONDS AND OTHER OBLIGATIONS
Sec. 8342.201. AUTHORITY TO ISSUE BONDS AND OTHER OBLIGATIONS.
The district may issue bonds or other obligations payable wholly
or partly from ad valorem taxes, impact fees, revenue, contract
payments, grants, or other district money, or any combination of
those sources, to pay for any authorized district purpose.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.202. TAXES FOR BONDS. At the time the district issues
bonds payable wholly or partly from ad valorem taxes, the board
shall provide for the annual imposition of a continuing direct ad
valorem tax, without limit as to rate or amount, while all or
part of the bonds are outstanding as required and in the manner
provided by Sections 54.601 and 54.602, Water Code.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.
Sec. 8342.203. BONDS FOR ROAD PROJECTS. At the time of
issuance, the total principal amount of bonds or other
obligations issued or incurred to finance road projects and
payable from ad valorem taxes may not exceed one-fourth of the
assessed value of the real property in the district.
Added by Acts 2009, 81st Leg., R.S., Ch.
422, Sec. 1, eff. September 1, 2009.