reglab/statecodes huggingface dataset:
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter D. Powers and Duties › Section 54.243. Disposition of Impact Fees

Sec. 54.243.  DISPOSITION OF IMPACT FEES.  A district that charges a fee that is an impact fee as described in Section 395.001(4), Local Government Code, shall use the fees collected and any interest accrued on the fees collected only for:
(1)  payment of principal and interest on bonds, notes, or other obligations issued by or on behalf of the district to finance the capital improvements or facility expansions identified in the capital improvement plan required by Section 395.012(d), Local Government Code;  or
(2)  cash payment of the costs of capital improvements or facility expansions identified in the capital improvement plan required by Section 395.012(d), Local Government Code.
Added by Acts 1999, 76th Leg., ch. 1269, Sec. 1, eff. Sept. 1, 1999.  Amended by Acts 2001, 77th Leg., ch. 1313, Sec. 1, eff. Sept. 1, 2001.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.501. Issuance of Bonds

Sec. 54.501.  ISSUANCE OF BONDS.  The district may issue its bonds for any purpose authorized by this chapter, Chapter 49, or other applicable laws, including the purpose of purchasing, constructing, acquiring, owning, operating, repairing, improving, or extending any district works, improvements, facilities, plants, equipment, and appliances needed to accomplish the purposes set forth in Section 54.012 for which a district shall be created, including works, improvements, facilities, plants, equipment, and appliances needed to provide a waterworks system, sanitary sewer system, storm sewer system, and solid waste disposal system.
Added by Acts 1971, 62nd Leg., p. 795, ch. 84, Sec. 1.  Amended by Acts 1985, 69th Leg., ch. 100, Sec. 3, eff. Sept. 1, 1985.
Amended by:
Acts 2005, 79th Leg., Ch. 962 (H.B. 1644), Sec. 5, eff. June 18, 2005.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.502. Form of Bonds

Sec. 54.502.  FORM OF BONDS.  (a)  A district may issue its bonds in various series or issues.
(b)  Bonds shall mature serially or otherwise not more than 40 years from their date and shall bear interest at any rate permitted by the Constitution and laws of the state, all as shall be determined by the board.
(c)  A district's bonds and interest coupons, if any, shall be investment securities under the terms of Chapter 8 of the Business & Commerce Code and may be issued registrable as to principal or as to both principal and interest and shall or may be made redeemable before maturity, at the option of the district or may contain a mandatory redemption provision all as may be provided by the board.  A district's bonds may be issued in the form, denominations, and manner and under the terms, conditions, and details, and shall be signed and executed, as provided by the board in the resolution or order authorizing their issuance.
Added by Acts 1971, 62nd Leg., p. 795, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.503. Manner of Repayment of Bonds

Sec. 54.503.  MANNER OF REPAYMENT OF BONDS.  The board may provide for the payment of principal of and interest and redemption price on the bonds in any one of the following manners:
(1)  from the levy and collection of ad valorem taxes on all taxable property within the district;
(2)  by pledging all or any part of the designated revenues to result from the ownership or operation of the district's works, improvements, facilities, plants, equipment, and appliances or under specific contracts for the period of time the board determines;
(3)  by pledging all or part of any funds or revenues available to the district;  or
(4)  a combination of the sources set forth in Subdivisions (1), (2), and (3) of this section.
Added by Acts 1971, 62nd Leg., p. 795, ch. 84, Sec. 1.  Amended by Acts 2003, 78th Leg., ch. 248, Sec. 30, eff. June 18, 2003.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.504. Additional Security for Bonds

Sec. 54.504.  ADDITIONAL SECURITY FOR BONDS.  (a)  The bonds, within the discretion of the board, may be additionally secured by a deed of trust or mortgage lien on part or all of the physical properties of the district, and franchises, easements, water rights, and appropriation permits, leases, and contracts and all rights appurtenant to such properties, vesting in the trustee power to sell the properties for payment of the indebtedness, power to operate the properties, and all other powers and authority necessary for the further security of the bonds.
(b)  The trust indenture, regardless of the existence of the deed of trust or mortgage lien on the properties, may contain provisions prescribed by the board for the security of the bonds and the preservation of the trust estate, and may make provisions for amendment or modification, and may condition the right to spend district money or sell district property on approval of a registered professional engineer selected as provided in the trust indenture and may make provisions for investment of funds of the district.
(c)  Any purchaser under a sale under the deed of trust or mortgage lien, where one is given, shall be absolute owner of the properties, facilities, and rights purchased and shall have the right to maintain and operate them.
Added by Acts 1971, 62nd Leg., p. 796, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.505. Election on Tax Bonds

Sec. 54.505.  ELECTION ON TAX BONDS.  Bonds payable solely from revenues may be issued by resolution or order of the board without an election, but no bonds, except refunding bonds, payable wholly or partially from ad valorem taxes shall be issued until authorized by a majority vote of the resident electors of the district voting in an election called and held for that purpose.  An election is not required to pledge revenues to the payment of bonds.
Added by Acts 1971, 62nd Leg., p. 796, ch. 84, Sec. 1.  Amended by Acts 2003, 78th Leg., ch. 248, Sec. 31, eff. June 18, 2003.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.507. Notice of Bond Election

Sec. 54.507.  NOTICE OF BOND ELECTION.  (a)  Repealed by Acts 1995, 74th Leg., ch. 715, Sec. 43, eff. Sept. 1, 1995.
(b)  All or any part of any facilities or improvements which may be acquired by a district by the issuance of its bonds may be included in one single proposition to be voted on at the election or the bonds may be submitted in several propositions.  A bond election may also be held on the same day as the confirmation election.  The bond election may be called by a separate election order or as a part of the order calling the confirmation election.
(c)  If a majority of the votes cast at the election are in favor of the issuance of the bonds, the bonds may be issued by the board if the confirmation election results favorably to the confirmation of the district.
Added by Acts 1971, 62nd Leg., p. 796, ch. 84, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 715, Sec. 43, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.510. Provisions of Bonds

Sec. 54.510.  PROVISIONS OF BONDS.  (a)  In the orders or resolutions authorizing the issuance of bonds, including refunding bonds, the board may provide for the flow of funds, the establishment and maintenance of the interest and sinking fund, the reserve fund, and other funds, and may make additional covenants with respect to the bonds and the pledged revenues and the operation and maintenance of those works, improvements, plants, facilities, equipment, and appliances the revenue of which is pledged, including provisions for the operation or for the leasing of all or any part of the improvements and the use or pledge of money derived from the operation contracts and leases, as the board may consider appropriate.
(b)  The orders or resolutions of the board authorizing the issuance of bonds may also prohibit the further issuance of bonds or other obligations payable from the pledged revenue or may reserve the right to issue additional bonds to be secured by a pledge of and payable from the revenue on a parity with or subordinate to the lien and pledge in support of the bonds being issued, subject to the conditions which may be set forth in the orders or resolutions.
(c)  The orders or resolutions of the board issuing bonds may contain other provisions and covenants as the board may determine, not prohibited by the Constitution or by this chapter.
(d)  The board may adopt and cause to be executed any other proceedings or instruments necessary and convenient in the issuance of bonds.
Added by Acts 1971, 62nd Leg., p. 797, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.512. Sale or Exchange of Bonds

Sec. 54.512.  SALE OR EXCHANGE OF BONDS.  (a)  The board shall sell the bonds on the best terms and for the best possible price but none of the bonds may be sold for less than 95 percent of face value.
(b)  The district may exchange bonds for property acquired by purchase or in payment of the contract price of work done or services performed for the use and benefit of the district.
Added by Acts 1971, 62nd Leg., p. 797, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.514. Refunding Bonds

Sec. 54.514.  REFUNDING BONDS.  (a)  A district may issue bonds to refund all or any part of its outstanding bonds, notes, or other obligations including matured but unpaid interest coupons.
(b)  Refunding bonds shall mature serially or otherwise not more than 40 years from their date and shall bear interest at any rate or rates permitted by the Constitution and laws of the state.
(c)  Refunding bonds may be payable from the same source as the bonds, notes, or other obligations being refunded or from other additional sources.
(d)  The refunding bonds shall be approved by the attorney general as in the case of other bonds and shall be registered by the comptroller on the surrender and cancellation of the bonds being refunded.
(e)  The orders or resolutions authorizing the issuance of the refunding bonds may provide that they shall be sold and the proceeds deposited in the place or places where the bonds being refunded are payable, in which case the refunding bonds may be issued before the cancellation of the bonds being refunded provided an amount sufficient to pay the interest on and principal of the bonds being refunded to their maturity dates, or to their option dates if the bonds have been duly called for payment prior to maturity according to their terms, has been deposited in the place or places where the bonds being refunded are payable.  The comptroller shall register them without the surrender and cancellation of bonds being refunded.
(f)  A refunding may be accomplished in one or in several installment deliveries.  Refunding bonds and their interest coupons shall be investment securities under the provisions of Article 8 of the Business & Commerce Code.
(g)  In lieu of the method set forth in Section 54.514(a)-(f) of this code, a district may refund bonds, notes, or other obligations as provided by the general laws of the state.
Added by Acts 1971, 62nd Leg., p. 798, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.5161. Review of Bond Projects by Counties

Sec. 54.5161.  REVIEW OF BOND PROJECTS BY COUNTIES.  (a)  Before the commission gives final approval on any bond issue for the purpose of financing a project of a district located wholly or partly outside the extraterritorial jurisdiction of a city, the commission shall notify the county commissioners of the county in which the district is located that an application has been filed and give the county an opportunity within 30 days after notification to examine all information on file and submit a written opinion from the commissioners court stating any findings, conclusions, or other information that the commissioners court considers important to the commission's final determination.
(b)  In passing on the approval of a bond issue under this section, if a written opinion is submitted by the commissioners court, the commission shall consider the written opinion before taking final action.
Added by Acts 1975, 64th Leg., p. 1294, ch. 485, Sec. 3, eff. Sept. 1, 1975.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.518. Mandamus by Bondholders

Sec. 54.518.  MANDAMUS BY BONDHOLDERS.  In addition to all other rights and remedies provided by the laws of the state, in the event the district defaults in the payment of principal, interest, or redemption price on its bonds when due, or in the event it fails to make payments into any fund or funds created in the order or resolution authorizing the issuance of the bonds, or defaults in the observation or performance of any other covenants, conditions, or obligations set forth in the resolution or order authorizing the issuance of its bonds, the owners of any of the bonds shall be entitled to a writ of mandamus issued by a court of competent jurisdiction compelling and requiring the district and its officials to observe and perform the covenants, obligations, or conditions prescribed in the order or resolution authorizing the issuance of the district's bonds.
Added by Acts 1971, 62nd Leg., p. 799, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.520. Cancellation of Unsold Bonds

Sec. 54.520.  CANCELLATION OF UNSOLD BONDS.  (a)  The board, by order or resolution, may provide for the cancellation of all or any part of any bonds which have been submitted to and approved by the attorney general and registered by the comptroller, but not yet sold, and provide for the issuance of new bonds in lieu of the old bonds in the manner as provided by law for the issuance of the original bonds including their approval by the attorney general and their registration by the comptroller.
(b)  The order or resolution of the board shall describe the bonds to be cancelled, and shall also describe the new bonds to be issued in lieu of the old bonds.
(c)  A certified copy of the order or resolution of the board providing for the cancellation of the old bonds, together with the old bonds, shall be delivered to the comptroller, who shall cancel and destroy the old bonds and make a record of the cancellation.
Added by Acts 1971, 62nd Leg., p. 800, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.521. Use of Bond Proceeds to Pay Certain Interest

Sec. 54.521.  USE OF BOND PROCEEDS TO PAY CERTAIN INTEREST.  The district may use bond proceeds to pay or to establish a reasonable reserve to pay not more than three years' interest on the notes and bonds of the district as provided in the bond orders or resolutions.
Added by Acts 1979, 66th Leg., p. 882, ch. 402, Sec. 1, eff. Aug. 27, 1979.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter F. Issuance of Bonds › Section 54.522. Bonds for Street Repair or Maintenance

Sec. 54.522.  BONDS FOR STREET REPAIR OR MAINTENANCE.  (a)  The legislature finds that the condition of streets affects:
(1)  the control, storage, preservation, and distribution of the state's storm and flood waters;
(2)  the control, abatement, or change of any shortage or harmful excess of water;  and
(3)  a municipal utility district's ability to accomplish its purposes.
(b)  It is the policy of the state to authorize a municipal utility district in certain circumstances to take action that is necessary to prevent the condition of a street within the district from adversely affecting the control, storage, preservation, and distribution of the state's storm and flood waters, adversely affecting the control, abatement, or change of any shortage or harmful excess of water, or otherwise impeding a district's ability to accomplish its purposes.
(c)  A district created by general law or special act of the legislature in existence for at least 10 years may issue bonds for the purpose of repairing or maintaining streets within the district if the bonds are authorized by a majority vote of the resident electors of the district voting in an election called and held for that purpose.
(d)  An election required by this section must be held on the uniform election date in November authorized by Section 41.001, Election Code.  Notwithstanding Section 41.003, Election Code, an election under this section may be held on the date of the general election for state and county officers.
Added by Acts 1997, 75th Leg., ch. 520, Sec. 2, eff. Sept. 1, 1997.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter G. Taxes › Section 54.601. Tax Levy for Bonds

Sec. 54.601.  TAX LEVY FOR BONDS.  At the time bonds payable in whole or in part from taxes are issued, the board shall levy a continuing direct annual ad valorem tax for each year while all or part of the bonds are outstanding on all taxable property within the district in sufficient amount to pay the interest on the bonds as it becomes due and to create a sinking fund for the payment of the principal of the bonds when due or the redemption price at any earlier required redemption date and to pay the expenses of assessing and collecting the taxes.
Added by Acts 1971, 62nd Leg., p. 801, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter G. Taxes › Section 54.602. Establishment of Tax Rate in Each Year

Sec. 54.602.  ESTABLISHMENT OF TAX RATE IN EACH YEAR.  (a)  Repealed by Acts 1979, 66th Leg., p. 2330, ch. 841, Sec. 6(a)(3), eff. Jan. 1, 1982.
(b)  In determining the actual rate to be levied in each year, the board shall consider among other things:
(1)  the amount which should be levied for maintenance and operation purposes, if a maintenance tax has been authorized;
(2)  the amount which should be levied for the payment of principal, interest, and redemption price of each series of bonds or notes payable in whole or in part from taxes;
(3)  the amount which should be levied for the purpose of paying all other contractual obligations of the district payable in whole or in part from taxes;  and
(4)  the percentage of anticipated tax collections and the cost of collecting the taxes.
(c)  In determining the amount of taxes which should be levied each year, the board may consider whether proceeds from the sale of bonds have been placed in escrow to pay interest during construction and whether the board reasonably expects to have revenue or receipts available from other sources which are legally available to pay principal of or interest or redemption price on the bonds.  The board shall levy a tax in the first full year after issuance of its first series of bonds.
Added by Acts 1971, 62nd Leg., p. 801, ch. 84, Sec. 1.  Amended by Acts 1979, 66th Leg., p. 2330, ch. 841, Sec. 6(a)(3), eff. Jan. 1, 1982.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter G. Taxes › Section 54.603. Mandamus by Bondholders

Sec. 54.603.  MANDAMUS BY BONDHOLDERS.  In the event the board fails or refuses to levy a sufficient tax in each year which, together with other revenues or receipts which may be legally used for these purposes, will be sufficient to pay the required principal of or interest or redemption price on the bonds, notes, or other contractual obligations when due, or to pay the district's other contractual obligations payable from taxes in addition to all other remedies which may be available, the owner of the district's bonds, notes, or other contractual obligations shall be entitled to a writ of mandamus issued by a court of competent jurisdiction to compel the board to levy a sufficient tax to meet the district's obligations to the owners of its bonds, notes, or other contractual obligations.
Added by Acts 1971, 62nd Leg., p. 801, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter G. Taxes › Section 54.604. Assessment and Collection of District Taxes

Sec. 54.604.  ASSESSMENT AND COLLECTION OF DISTRICT TAXES.  The assessor and collector shall assess and collect taxes for the district.
Added by Acts 1971, 62nd Leg., p. 801, ch. 84, Sec. 1.  Amended by Acts 1979, 66th Leg., p. 2321, ch. 841, Sec. 4(r), eff. Jan. 1, 1982.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.728. Consolidation of Districts

Sec. 54.728.  CONSOLIDATION OF DISTRICTS.  (a)  Two or more districts governed by the provisions of this chapter may consolidate into one district as provided by Sections 54.729-54.733 of this code.
(b)  One or more districts governed by the provisions of this chapter and one or more districts governed by the provisions of Chapter 375, Local Government Code, may consolidate into one district as provided by this subsection and Sections 54.729-54.733 of this code.  The initial directors of the consolidated district shall be elected and serve terms as provided by Section 49.103 of this code.  The consolidation agreement under this subsection may provide that the consolidated district continue operating with the powers, authorities, duties, responsibilities, and board of directors of one of the original districts before consolidation.
(c)  After the initial election of directors, a district consolidated under Subsection (b) is governed as agreed by either:
(1)  an elected board of directors, who must be elected at a general election in the manner and for the terms provided by Section 49.103; or
(2)  an appointed board of directors, who must be appointed as provided under Chapter 375, Local Government Code.
Added by Acts 1971, 62nd Leg., p. 810, ch. 84, Sec. 1.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 1009 (H.B. 2815), Sec. 29, eff. June 18, 2023.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.729. Elections to Approve Consolidation

Sec. 54.729.  ELECTIONS TO APPROVE CONSOLIDATION.  (a)  After the board of each district has agreed on the terms and conditions of consolidation, which may include the assumption by each district of the bonds, notes, or other obligations and voted but unissued bonds of the other consolidating districts payable in whole or in part from taxation, the levy of taxes to pay for the bonds, and adoption of a name for the consolidated district, the board shall order an election in each district to determine whether the districts should be consolidated.
(b)  The directors of each district shall order the election to be held on the same day in each district and shall give notice of the election for the time and in the manner provided by law for bond elections.
(c)  The districts may be consolidated only if the electors in each district vote in favor of the consolidation.
Added by Acts 1971, 62nd Leg., p. 810, ch. 84, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 715, Sec. 19, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.730. Governing Consolidated Districts

Sec. 54.730.  GOVERNING CONSOLIDATED DISTRICTS.  (a)  After two or more districts are consolidated, they become one district and are governed as one district, except for the payment of debts created before consolidation if the conditions of consolidation do not provide for the assumption by each district of the bonds, notes, or other obligations and voted but unissued bonds of the other consolidating districts.
(b)  During a period of 90 days after the date of the election to approve consolidation, the officers of each district shall continue to act jointly as officers of the original districts to settle the affairs of their respective districts.
(c)  The consolidation agreement may provide that the officers of the original districts shall continue to act jointly as officers of the consolidated district until the next general election or name persons to serve as officers of the consolidated district until the next general election if all officers of the original districts agree to resign.  At the next general election, directors will be elected for the consolidated district in the same manner and for the same term as directors elected at a confirmation election.
(d)  New officers of the consolidated district must qualify as officers of the district within the period of 90 days after the election and shall assume their offices at the expiration of the 90-day period.
(e)  The current board shall approve the bond of each new officer.
Added by Acts 1971, 62nd Leg., p. 810, ch. 84, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 715, Sec. 20, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.731. Debts of Original Districts

Sec. 54.731.  DEBTS OF ORIGINAL DISTRICTS.  (a)  After two or more districts are consolidated, the debts of the original districts shall be protected and may not be impaired.  These debts may be paid by taxes levied on the land in the original districts as if they had not consolidated or from contributions from the consolidated district on terms stated in the consolidation agreement.
(b)  If each district assumed the other's bonds, notes, and other obligations, taxes may be levied uniformly on all taxable property within the consolidated district in payment of the debts.
Added by Acts 1971, 62nd Leg., p. 811, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.732. Assessment and Collection of Taxes

Sec. 54.732.  ASSESSMENT AND COLLECTION OF TAXES.  After consolidation, the district shall assess and collect taxes on property in the original districts to pay debts created by the original districts unless each district has assumed the bonds, notes, or other indebtedness payable in whole or in part from taxation of the other consolidating districts.
Added by Acts 1971, 62nd Leg., p. 811, ch. 84, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 715, Sec. 21, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.733. Voted but Unissued Bonds

Sec. 54.733.  VOTED BUT UNISSUED BONDS.  In the event any consolidating district has voted but unissued bonds payable in whole or in part from taxation and the consolidated district assumed the voted but unissued bonds and the consolidated district was authorized to levy taxes to pay for the bonds, then the consolidated district shall be authorized to issue the voted but unissued bonds in the name of the consolidated district and levy a uniform tax on all taxable property in the consolidated district to pay for the bonds.
Added by Acts 1971, 62nd Leg., p. 811, ch. 84, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 715, Sec. 22, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.734. Dissolution of District Prior to Issuance of Bonds

Sec. 54.734.  DISSOLUTION OF DISTRICT PRIOR TO ISSUANCE OF BONDS.  (a)  If the board considers it advisable before the issuance of any bonds, notes, or other indebtedness, the board may dissolve the district and liquidate the affairs of the district as provided in Sections 54.734-54.738 of this code.
(b)  If a majority of the board finds at any time before the authorization of bonds, notes, or other obligations or the final lending of its credit in another form that the proposed undertaking for any reason is impracticable or apparently cannot be successfully and beneficially accomplished, the board may issue notice of a hearing on a proposal to dissolve the district.
Added by Acts 1971, 62nd Leg., p. 811, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.735. Notice of Hearing

Sec. 54.735.  NOTICE OF HEARING.  The board shall post notice of the hearing on the bulletin board at the courthouse door of each county in which the district is located and at three or more other public places within the boundaries of the district and shall publish notice of the hearing two times in a newspaper with general circulation in the district.  The notice must be posted and published at least 14 days before the hearing on the proposed dissolution of the district.
Added by Acts 1971, 62nd Leg., p. 811, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.736. Hearing

Sec. 54.736.  HEARING.  The board shall hear all interested persons and shall consider their evidence at the time and place stated in the notice.
Added by Acts 1971, 62nd Leg., p. 812, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.737. Board's Order to Dissolve District

Sec. 54.737.  BOARD'S ORDER TO DISSOLVE DISTRICT.  If the board unanimously determines from the evidence that the best interests of the persons and property in the district will be served by dissolving the district, the board shall enter the appropriate findings and order in its records dissolving the district.  Otherwise the board shall enter its order providing that the district has not been dissolved.
Added by Acts 1971, 62nd Leg., p. 812, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.738. Judicial Review of Board's Order

Sec. 54.738.  JUDICIAL REVIEW OF BOARD'S ORDER.  The board's decree to dissolve the district may be judicially reviewed in the manner set forth in Sections 54.708-54.710 of this code for the review of an order excluding land from the district.
Added by Acts 1971, 62nd Leg., p. 812, ch. 84, Sec. 1.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.739. Substituting Land of Equal Value

Sec. 54.739.  SUBSTITUTING LAND OF EQUAL VALUE.  After the district is organized and has obtained voter approval for the issuance of, or has sold, bonds payable wholly or partly from ad valorem taxes, land within the district boundaries subject to taxation that does not need or utilize the services of the district may be excluded and other land not within the boundaries of the district may be included within the boundaries of the district without impairment of the security for payment of the bonds or invalidation of any prior bond election, as provided by this section and Sections 54.740 through 54.747.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.  Amended by Acts 2003, 78th Leg., ch. 248, Sec. 32, eff. June 18, 2003.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 105 (S.B. 902), Sec. 30, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.740. Requisites for Application for Exclusion

Sec. 54.740.  REQUISITES FOR APPLICATION FOR EXCLUSION.  An owner of land in the district not receiving services from the district may apply for its exclusion from the district boundaries if all taxes levied and assessed by the district on the land to be excluded have been fully paid.  The application shall set forth facts concerning the land proposed for exclusion, including evidence of the reasonable market value of the land, and state that the other requisites for the exclusion of the land and substitution of other land have been fulfilled or will be fulfilled at the hearing on the application.  The application shall be verified and acknowledged in a recordable form as conveyances of real property.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.741. Inclusion of Substitute Land Required

Sec. 54.741.  INCLUSION OF SUBSTITUTE LAND REQUIRED.  An application for exclusion can only be considered by the board if an application is filed by an owner of other land lying outside the boundaries of the district seeking inclusion of land that can be served in a practical manner by the district of at least equal value to the land proposed for exclusion.  Such land must be included within the district boundaries and taxing jurisdiction of the district simultaneously with the exclusion of the land proposed for exclusion.  Such included land must be of sufficient acreage to avoid an impairment of the security for payment of voted and issued bonds and any other contract obligations payable or secured, in whole or in part, from ad valorem taxes or revenues of the district.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.742. Application for Inclusion

Sec. 54.742.  APPLICATION FOR INCLUSION.  The application submitted by an owner of land proposed for inclusion shall set forth that the owner of the new land assumes the payment of all taxes, assessments, and fees levied on the land and assessed by the district after the date the land is included in the district.  The application shall also set forth an agreement by the owner of the land proposed for inclusion that the land will be subject to future taxes for bond tax and other assessments and fees levied and assessed by the district and be subject to the same liens and provisions and statutes governing all other lands in the district as though the land had been incorporated originally in the district.  The application for inclusion shall be verified and acknowledged in a recordable form as conveyances of real property.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.743. Notice of Hearing and Hearing Procedures

Sec. 54.743.  NOTICE OF HEARING AND HEARING PROCEDURES.  The board shall give notice of the hearing on the applications for exclusion and inclusion in conformity with the notice and hearing requirements otherwise applicable to exclusions or additions of land.  The board at such hearing shall hear all interested parties and all evidence in connection with the applications.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.744. Impairment of Security

Sec. 54.744.  IMPAIRMENT OF SECURITY.  (a)  For purposes of the board's consideration of the applications, the lands proposed for inclusion shall be deemed to be sufficient to avoid an impairment of the security for payment of obligations of the district if:
(1)  according to the most recent tax roll of the district or the most recently certified estimates of taxable value from the chief appraiser of the appropriate appraisal district, the taxable value of such included lands equals or exceeds the taxable value of the excluded lands; and
(2)  either the estimated costs of providing district facilities and services to such included lands is equal to or less than the estimated costs of providing district facilities and services to the excluded lands or any increased estimated costs of providing district facilities and services to the included land, as determined by the district's engineer, can be amortized at prevailing bond interest rates and maturity schedules and the prevailing debt service tax rate of the district, as determined by the district's professional financial advisor, when applied to the increase in taxable value of the included land over the taxable value of the excluded land.
(b)  If the district has any outstanding bonds or contract obligations payable in whole or in part by a pledge of net revenues from the ownership or operation of the district's facilities at the time the board considers an application, the lands proposed for inclusion shall be deemed to be sufficient to avoid an impairment of the security for payment of obligations of the district if the projected net revenues to be derived from the lands to be included during the succeeding 12-month period, as determined by the district's engineer, equals or exceeds the projected net revenues that would otherwise have been derived from the lands to be excluded during the same period.
(c)  In this section, the taxable value of included land means the market value of the land if, before or contemporaneously with the inclusion of the land in the district, the owner of the land waives the right to special appraisal of the land as to the district under Section 23.20, Tax Code.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.  Amended by Acts 2003, 78th Leg., ch. 248, Sec. 32, eff. June 18, 2003.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 105 (S.B. 902), Sec. 31, eff. May 18, 2013.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.745. Board's Resolution to Substitute

Sec. 54.745.  BOARD'S RESOLUTION TO SUBSTITUTE.  If the board finds that all the conditions provided for the exclusion of land and inclusion of other land in the district exist and that it is in the best interest of the district to grant such applications, it may adopt and enter in its minutes a resolution and order excluding all or part of the land proposed for exclusion and including all or part of the land proposed for inclusion.  Prior to the effective date of the exclusion and inclusion of lands, the district shall have received payment of all fees, charges, assessments, taxes, together with any associated penalties and interest due or overdue in respect to the lands excluded, and if no ad valorem taxes or fees have yet been established by the district for the current year, an amount determined by the district to equal the estimated ad valorem taxes and standby fees to be established by the district for the current year, prorated to the date of exclusion with respect to such excluded lands, shall also be paid.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.746. Liability of Excluded and Included Land

Sec. 54.746.  LIABILITY OF EXCLUDED AND INCLUDED LAND.  The land excluded from the district is free from any lien or liability created on the excluded land by reason of its having been included in the district.  Land included in the district is subject to all laws, liens, and provisions governing the district and the land in the district.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.747. Service to Included Land

Sec. 54.747.  SERVICE TO INCLUDED LAND.  The district has the same right and obligation to furnish services to the included land that it previously had to furnish to the excluded land.
Added by Acts 1995, 74th Leg., ch. 715, Sec. 23, eff. Sept. 1, 1995.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter H. Adding and Excluding Territory; Consolidating and Dissolving Districts › Section 54.749. Tax Liability of Excluded Land; Bonds Outstanding

Sec. 54.749.  TAX LIABILITY OF EXCLUDED LAND;  BONDS OUTSTANDING.  (a)  Land excluded from the district under Section 54.748 that is pledged as security for any outstanding debt of the district remains pledged for its pro rata share of the debt until final payment is made.  The district shall continue to levy and collect taxes on the excluded land at the same rate levied on land remaining in the district until the amount of taxes collected from the excluded land equals the land's pro rata share of the district's debt outstanding at the time the land was excluded from the district.
(b)  The district shall apply the taxes collected on the excluded land only to the payment of the excluded land's pro rata share of the debt.
Added by Acts 2003, 78th Leg., ch. 248, Sec. 33, eff. June 18, 2003.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter J. Services for Certain Defined Areas and Designated Property › Section 54.801. Authority to Establish Defined Areas or Designated Property

Sec. 54.801.  AUTHORITY TO ESTABLISH DEFINED AREAS OR DESIGNATED PROPERTY.  (a)  A district that is composed of at least 1,000 acres may define areas or designate certain property of the district to pay for improvements, facilities, or services that primarily benefit that area or property and do not generally and directly benefit the district as a whole.
(b)  The board shall state in its designation the physical and economic reasons, the particular diverse local needs, or the comparative potential benefits of the defined areas or designated property in the district that make it necessary or equitable to levy all or part of the tax on a defined area or designated property of the district.
Added by Acts 1987, 70th Leg., ch. 600, Sec. 1, eff. Aug. 31, 1987.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1128 (H.B. 2590), Sec. 11, eff. September 1, 2019.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter J. Services for Certain Defined Areas and Designated Property › Section 54.802. Defining Area and Designating Property to Be Benefited by Improvements

Sec. 54.802.  DEFINING AREA AND DESIGNATING PROPERTY TO BE BENEFITED BY IMPROVEMENTS.  (a)  The board shall adopt a proposed plan that defines the particular area to be taxed by metes and bounds or designates the property to be served, affected, and taxed.
(b)  The board shall file an engineer's report for improvements in the defined area or to serve the designated property.
(c)  The board shall adopt a proposed plan of taxation to apply to the defined area or designated property that may or may not be in addition to other taxes imposed by the district on the same area or property.
Added by Acts 1987, 70th, Leg., ch. 600, Sec. 1, eff. Aug. 31, 1987.  Amended by Acts 1997, 75th Leg., ch. 1070, Sec. 32, eff. Sept. 1, 1997.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1128 (H.B. 2590), Sec. 12, eff. September 1, 2019.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter J. Services for Certain Defined Areas and Designated Property › Section 54.804. Order Adopting Plans for Defined Area or Designated Property

Sec. 54.804.  ORDER ADOPTING PLANS FOR DEFINED AREA OR DESIGNATED PROPERTY.  (a)  Repealed by Acts 2019, 86th Leg., R.S., Ch. 1128 (H.B. 2590), Sec. 24, eff. September 1, 2019.
(b)  If the board adopts a proposed plan, it must adopt the definition or designation that it finds, according to the evidence before the board, most equitably distributes the cost of facilities or service and protects the public welfare.
(c)  If the proposal includes the issuance of bonds or the imposition of a maintenance tax for the defined area or designated property, the board shall call and hold an election in the defined area or within the boundaries of the designated property only.
(d)  The board's order is not subject to judicial review except on the ground of fraud, palpable error, or arbitrary and confiscatory abuse of discretion.
Added by Acts 1987, 70th Leg., ch. 600, Sec. 1, eff. Aug. 31, 1987.  Amended by Acts 1989, 71st Leg., ch. 973, Sec. 1, eff. Aug. 28, 1989.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1128 (H.B. 2590), Sec. 24, eff. September 1, 2019.
2023 Texas Statutes › Water Code › Title 4 - General Law Districts › Chapter 54 - Municipal Utility Districts › Subchapter J. Services for Certain Defined Areas and Designated Property › Section 54.805. Obtaining Funds to Construct, Administer, Maintain, and Operate Improvements and Facilities in Defined Areas or Designated Property

Sec. 54.805.  OBTAINING FUNDS TO CONSTRUCT, ADMINISTER, MAINTAIN, AND OPERATE IMPROVEMENTS AND FACILITIES IN DEFINED AREAS OR DESIGNATED PROPERTY.  On adoption of the proposed plan as provided by this subchapter and voter approval of the imposition of taxes and issuance of bonds, the district, under the limitations of this subchapter, may apply separately, differently, equitably, and specifically its taxing power and lien authority to the defined area or designated property to provide money to construct, administer, maintain, and operate improvements and facilities that primarily benefit the defined area or designated property.
Added by Acts 1987, 70th Leg., ch. 600, Sec. 1, eff. Aug. 31, 1987.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 1128 (H.B. 2590), Sec. 13, eff. September 1, 2019.