CHAPTER 8128. SCHERTZ MUNICIPAL UTILITY DISTRICT NO. 1 - Texas Statutes

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 6. WATER AND WASTEWATER

SUBTITLE F. MUNICIPAL UTILITY DISTRICTS

CHAPTER 8128. SCHERTZ MUNICIPAL UTILITY DISTRICT NO. 1

For contingent expiration of this chapter, see Sec. 8128.003.

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 8128.001. DEFINITIONS. In this chapter:

(1) "Board" means the board of directors of the district.

(2) "Director" means a member of the board.

(3) "District" means the Schertz Municipal Utility District No.

1.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.002. NATURE OF DISTRICT. The district is a municipal

utility district in Bexar County created under and essential to

accomplish the purposes of Section 59, Article XVI, Texas

Constitution.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.003. CONFIRMATION ELECTION REQUIRED. If the creation

of the district is not confirmed at a confirmation election held

under Section 8128.022 before September 1, 2007:

(1) the district is dissolved September 1, 2007, except that:

(A) any debts incurred shall be paid;

(B) any assets that remain after the payment of debts shall be

transferred to the City of Schertz; and

(C) the organization of the district shall be maintained until

all debts are paid and remaining assets are transferred; and

(2) this chapter expires September 1, 2010.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.004. INITIAL DISTRICT TERRITORY. (a) The district is

initially composed of the territory described by Section 2 of the

Act creating this chapter.

(b) The boundaries and field notes contained in Section 2 of the

Act creating this chapter form a closure. A mistake made in the

field notes or in copying the field notes in the legislative

process does not affect:

(1) the organization, existence, or validity of the district;

(2) the right of the district to impose taxes; or

(3) the legality or operation of the board.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.005. APPLICABILITY OF OTHER LAW. Except as otherwise

provided by this chapter, Chapters 30, 49, and 54, Water Code,

apply to the district.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

SUBCHAPTER A-1. TEMPORARY PROVISIONS

For expiration of this subchapter, see Sec. 8128.024

Sec. 8128.021. TEMPORARY DIRECTORS. (a) The temporary board

consists of:

(1) Bill K. Benton;

(2) Gina L. Fann;

(3) Christopher K. Price;

(4) Barbara Boyer Simpson; and

(5) Suzette M. Smith.

(b) Temporary directors of the district are not required to own

land in or be residents of the district.

(c) If a temporary director fails to qualify for office, the

temporary directors who have qualified shall appoint a person to

fill the vacancy. If at any time there are fewer than three

qualified temporary directors, the Texas Commission on

Environmental Quality shall appoint the necessary number of

persons to fill all vacancies on the board.

(d) Temporary directors serve until the earlier of:

(1) the date directors are elected under Section 8128.022; or

(2) the date this chapter expires under Section 8128.003.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.022. CONFIRMATION AND INITIAL DIRECTORS' ELECTION.

(a) The temporary directors shall hold an election to confirm

the creation of the district and to elect five initial directors

as provided by Section 49.102, Water Code.

(b) At the confirmation and initial directors' election the

board may submit to the voters a proposition to authorize:

(1) an issuance of bonds;

(2) a maintenance tax; or

(3) a tax to fund payments required under a contract.

(c) Section 41.001(a), Election Code, does not apply to a

confirmation and initial directors' election held under this

section.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.023. INITIAL ELECTED DIRECTORS; TERMS. The directors

elected under Section 8128.022 shall draw lots to determine which

two shall serve until the first regularly scheduled election of

directors under Section 8128.052 and which three shall serve

until the second regularly scheduled election of directors.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.024. EXPIRATION OF SUBCHAPTER. This subchapter

expires September 1, 2010.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 8128.051. DIRECTORS; TERMS. (a) The district is governed

by a board of five directors.

(b) Directors serve staggered four-year terms.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.052. ELECTION OF DIRECTORS. On the uniform election

date in May of each even-numbered year, the appropriate number of

directors shall be elected.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

SUBCHAPTER C. DIVISION OF DISTRICT TO MULTIPLE DISTRICTS

Sec. 8128.101. DIVISION OF DISTRICT; REQUIREMENTS. (a) At any

time before the district issues indebtedness secured by taxes or

net revenues, the district, including any annexed territory, may

be divided into two or more new districts.

(b) A new district created by division of the district must be

at least 100 acres.

(c) The board by resolution may declare an intent to divide the

district. The resolution must:

(1) set the terms of the division, including a plan for the

payment or performance of any outstanding district obligations;

and

(2) contain a metes and bounds description for each new

district.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.102. DISTRICT DIVISION BY ELECTION. (a) The board

shall hold an election in the district to determine whether the

district should be divided as proposed under Section 8128.101.

(b) The board shall give notice of the election not later than

the 35th day before the date of the election. The notice must

state:

(1) the date and location of the election; and

(2) the proposition to be voted on.

(c) If a majority of the votes are cast in favor of the

division, the district is divided.

(d) If less than a majority of the votes are cast in favor of

the division, the district may not be divided.

(e) The resulting new districts are separate districts and shall

be governed as separate districts.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.103. NOTICE OF DIVISION. Not later than the 30th day

after the date of a division under this subchapter, the district

shall provide written notice of the plan for division to:

(1) the Texas Commission on Environmental Quality;

(2) the attorney general;

(3) the commissioners court of each county in which a new

district is located; and

(4) each municipality having extraterritorial jurisdiction over

territory in a new district.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.104. DISTRICT NAMES FOLLOWING DIVISION. The resulting

new districts are assigned consecutive letters to be appended to

the name of the original district.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.105. ELECTION OF DIRECTORS OF NEW DISTRICTS. (a) Not

later than the 90th day after the date of an election in favor of

the division of the district, the board shall:

(1) appoint itself as the board of one of the new districts; and

(2) appoint five directors for each of the other new districts.

(b) A director appointed under Subsection (a)(1) serves the term

to which that director was elected in the original district. A

director appointed under Subsection (a)(2):

(1) serves until the election for directors under Subsection

(c); and

(2) is not required to own land in or reside in the district for

which the director is appointed.

(c) On the uniform election date in May of the first

even-numbered year after the year in which the directors are

appointed, an election shall be held to elect five directors in

each district for which directors were appointed under Subsection

(a)(2). Of the five directors elected in each district, the

three directors receiving the greatest number of votes shall

serve until the second regularly scheduled election of directors

under Subsection (d), and the remaining two directors shall serve

until the first regularly scheduled election of directors.

(d) Except as provided by Subsection (c), directors serve

staggered four-year terms. On the uniform election date in May

of each even-numbered year, the appropriate number of directors

shall be elected.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.106. CONTINUING POWERS AND OBLIGATIONS OF NEW

DISTRICTS. (a) Each new district may incur and pay debts and

has all powers of the original district created by this chapter.

(b) If the district is divided as provided by this subchapter,

the current obligations and any bond authorizations of the

district are not impaired. Debts shall be paid by revenues or by

taxes or assessments imposed on real property in the district as

if the district had not been divided or by contributions from

each new district as stated in the terms set by the board in the

plan for division.

(c) Any other district obligation shall be divided pro rata

among the new districts on an acreage basis or on other terms

that are satisfactory to the new districts.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.107. CONTRACT AUTHORITY OF NEW DISTRICTS. The new

districts may contract with each other for:

(1) water and wastewater services; or

(2) any other matter the boards of the new districts consider

appropriate.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.108. BOND ISSUANCE BY NEW DISTRICT. A new district

may issue bonds payable wholly or partially from ad valorem taxes

on the approval of a majority of the residents voting in an

election called and held for that purpose.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.

Sec. 8128.109. MAINTENANCE TAX APPROVAL FOR NEW DISTRICT. A new

district may impose a maintenance tax on the approval of a

majority of the residents voting in an election called and held

for that purpose.

Added by Acts 2005, 79th Leg., Ch.

445, Sec. 1, eff. September 1, 2005.