Title SD, Special District Local Laws Code

Sec. 3945.0506. CONSENT OF MUNICIPALITY REQUIRED. (a) The board may not issue bonds until each municipality in whose corporate limits or extraterritorial jurisdiction the district is located has consented by ordinance or resolution to the creation of the district and to the inclu…

Sec. 3945.0601. APPLICABILITY OF CERTAIN TAX CODE PROVISIONS. (a) Chapter 321, Tax Code, governs the imposition, computation, administration, enforcement, and collection of the sales and use tax authorized by this subchapter except to the extent Chapter 321, Tax Code, is inconsis…

Sec. 3945.0602. ELECTION; ADOPTION OF TAX. (a) The district may adopt a sales and use tax if authorized by a majority of the voters of the district voting at an election held for that purpose. (b) The board by order may call an election to authorize the adoption of the sales and …

Sec. 3945.0603. SALES AND USE TAX RATE. (a) On or after the date the results are declared of an election held under Section 3945.0602, at which the voters approved imposition of the tax authorized by this subchapter, the board shall determine and adopt by resolution or order the …

Sec. 3945.0604. TAX AFTER MUNICIPAL ANNEXATION. (a) This section applies to the district after a municipality annexes part of the territory in the district and imposes the municipality's sales and use tax in the annexed territory. (b) If at the time of annexation the district has…

Sec. 3945.0605. NOTIFICATION OF RATE CHANGE. The board shall notify the comptroller of any changes made to the tax rate under this subchapter in the same manner the municipal secretary provides notice to the comptroller under Section 321.405(b), Tax Code. Added by Acts 2021, 87th…

Sec. 3945.0606. USE OF REVENUE. Revenue from the sales and use tax imposed under this subchapter is for the use and benefit of the district and may be used for any district purpose. The district may pledge all or part of the revenue to the payment of bonds, notes, or other obliga…

Sec. 3945.0607. ABOLITION OF TAX. (a) Except as provided by Subsection (b), the board may abolish the tax imposed under this subchapter without an election. (b) The board may not abolish the tax imposed under this subchapter if the district has outstanding debt secured by the tax…

Sec. 3945.0901. DISSOLUTION. (a) The board shall dissolve the district on written petition filed with the board by the owners of at least two-thirds of the assessed value of the property subject to assessment or taxation by the district based on the most recent certified county p…

Sec. 3946.001. DEFINITIONS. In this chapter: (1) "Board" means the district's board of directors. (2) "City" means the City of Midlothian, Texas. (3) "Commission" means the Texas Commission on Environmental Quality. (4) "Development agreement" means a development agreement betwee…

Sec. 3946.002. PRECONDITION; EXPIRATION. (a) The district may not exercise any powers under this chapter until the development agreement and finance plan are executed. (b) This chapter, including Section 3946.052, expires September 1, 2019, if the development agreement and financ…

Sec. 3946.003. CREATION AND NATURE OF DISTRICT. The district is a special district created under Section 59, Article XVI, Texas Constitution. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.004. PURPOSE; LEGISLATIVE FINDINGS. (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…

Sec. 3946.005. 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 …

Sec. 3946.006. INITIAL DISTRICT TERRITORY. (a) The district is initially composed of the territory described by Section 2 of the Act enacting this chapter. (b) The boundaries and field notes contained in Section 2 of the Act enacting this chapter form a closure. A mistake in the …

Sec. 3946.007. APPLICABILITY OF MUNICIPAL MANAGEMENT DISTRICT LAW. Except as provided by this chapter, Chapter 375, Local Government Code, applies to the district. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.008. CONFIRMATION AND DIRECTORS' ELECTION REQUIRED. The initial 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 2017, 85th Leg., R.S., Ch. 607 (H.B. 3…

Sec. 3946.051. GOVERNING BODY; TERMS. (a) The district is governed by a board of five elected directors. (b) Except as provided by Section 3946.052, directors serve staggered four-year terms, with two or three directors' terms expiring May 31 of each even-numbered year. Added by …

Sec. 3946.052. INITIAL DIRECTORS. (a) The initial board consists of: (1) John Malloy; (2) Jon Hendrickson; (3) Suzanne Disette; (4) Katie Martin Brown; and (5) Christopher Alan Cain. (b) Initial directors serve until the earlier of: (1) the date permanent directors are elected un…

Sec. 3946.053. ELIGIBILITY. To be qualified to serve as a director, a person must meet the qualifications prescribed by Section 375.063, Local Government Code. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.054. EX OFFICIO DIRECTORS. (a) The following persons serve ex officio as nonvoting directors: (1) the city manager of the city; and (2) the chief financial officer of the city. (b) An ex officio director is entitled to speak on a matter before the board. Added by Acts 2…

Sec. 3946.055. VACANCY. A vacancy on the board shall be filled by the remaining members of the board for the unexpired term. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.056. DIRECTOR'S OATH OR AFFIRMATION. A director shall file the director's oath or affirmation of office with the district, and the district shall retain the oath or affirmation in the district records. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, ef…

Sec. 3946.057. OFFICERS. The board shall elect from among the directors a chair, a vice chair, and a secretary. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.058. COMPENSATION. A director is entitled to receive fees of office and reimbursement for actual expenses in the manner provided by Section 49.060, Water Code. Sections 375.069 and 375.070, Local Government Code, do not apply to the board. Added by Acts 2017, 85th Leg.,…

Sec. 3946.059. LIABILITY INSURANCE. The district may obtain and pay for comprehensive general liability insurance coverage from a commercial insurance company or other source that protects and insures a director against personal liability and from all claims relating to: (1) acti…

Sec. 3946.060. CONFLICTS OF INTEREST. Chapter 171, Local Government Code, governs conflicts of interest of directors. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017. SUBCHAPTER C. POWERS AND DUTIES

Sec. 3946.101. IMPROVEMENT PROJECTS. (a) The district may provide, or it may enter into contracts with a governmental or private entity to provide, the improvement projects described by Subchapter D. (b) An improvement project authorized under this chapter may be located inside o…

Sec. 3946.102. RULES; ENFORCEMENT. (a) The district may adopt rules: (1) to administer or operate the district; or (2) for the use, enjoyment, availability, protection, security, and maintenance of the district's property and facilities. (b) The district may enforce its rules by …

Sec. 3946.103. NAME CHANGE; NOTICE. (a) The board by resolution may change the district's name. (b) The board shall give written notice of a name change to the city. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.104. TERMS OF EMPLOYMENT; COMPENSATION. The board may employ and establish the terms of employment and compensation of an executive director or general manager and any other district employees the board considers necessary. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (…

Sec. 3946.105. NO EMINENT DOMAIN POWER. The district may not exercise the power of eminent domain. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017. SUBCHAPTER D. IMPROVEMENT PROJECTS AND SERVICES

Sec. 3946.151. IMPROVEMENT PROJECTS AND SERVICES. Except as otherwise provided by this chapter, the district may provide, or contract with a governmental or private entity to provide, water, wastewater, drainage, or roadway projects, or related projects and services. Added by Act…

Sec. 3946.152. BOARD DETERMINATION REQUIRED. The district may not undertake an improvement project unless the board determines the project is necessary to accomplish a public purpose of the district. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September…

Sec. 3946.153. CITY REQUIREMENTS. (a) An improvement project must comply with any applicable city construction codes and construction ordinances. (b) The district may not provide, conduct, or authorize any improvement project on the city's streets, highways, rights-of-way, or eas…

Sec. 3946.154. ADDITIONAL CITY POWERS REGARDING IMPROVEMENT PROJECTS. (a) Except as otherwise provided by an agreement between the district and the city, the city may: (1) by ordinance, order, resolution, or other directive require that title to all or any portion of an improveme…

Sec. 3946.201. GENERAL CONTRACT POWERS. The district may contract with any person to accomplish any district purpose. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.202. CONTRACT TERMS. A contract the district enters into to carry out a purpose of this chapter may be on any terms and for any period the board determines, including an obligation to issue a negotiable or nonnegotiable note or warrant payable to the city or any other p…

Sec. 3946.203. REIMBURSEMENT OF COSTS. The district may contract with any person for the payment, repayment, or reimbursement of costs incurred by that person on behalf of the district, including all or part of the costs of an improvement project and interest on the reimbursed co…

Sec. 3946.204. CONTRACT FOR IMPROVEMENT PROJECT. (a) The district may contract with any person for the use, occupancy, lease, rental, operation, maintenance, or management of all or part of a proposed or existing improvement project. (b) The district may apply for and contract wi…

Sec. 3946.205. NO FURTHER CONTRACT AUTHORIZATION REQUIRED. Any person, including the city, may contract with the district to carry out the purposes of this chapter without further statutory or other kind of authorization. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), …

Sec. 3946.251. DEVELOPMENT AGREEMENT REQUIRED TO BORROW MONEY OR IMPOSE ASSESSMENTS. Before the district may issue bonds, impose assessments, or borrow money, the district must obtain from the city confirmation that no defaults under the development agreement are known. Added by …

Sec. 3946.252. BORROWING MONEY. The district may borrow money for a district purpose by issuing or executing bonds, notes, credit agreements, or other obligations of any kind found by the board to be necessary or appropriate for a district purpose. The bond, note, credit agreemen…

Sec. 3946.253. BONDS AND OTHER OBLIGATIONS. (a) The district may issue, by public or private sale, bonds, notes, or other obligations payable wholly or partly from assessments in the manner provided by Subchapter J, Chapter 375, Local Government Code. (b) If the improvements fina…

Sec. 3946.254. BOND MATURITY. Bonds may mature not more than 40 years from their date of issue. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.

Sec. 3946.255. ISSUER POWERS FOR CERTAIN PUBLIC IMPROVEMENTS. The district may exercise any power of an issuer under Chapter 1371, Government Code. Added by Acts 2017, 85th Leg., R.S., Ch. 607 (H.B. 3136), Sec. 1, eff. September 1, 2017.