CHAPTER 8189. TRADITION MUNICIPAL UTILITY DISTRICT NO. 2 OF DENTON COUNTY - Texas Statutes

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 6. WATER AND WASTEWATER

SUBTITLE F. MUNICIPAL UTILITY DISTRICTS

CHAPTER 8189. TRADITION MUNICIPAL UTILITY DISTRICT

NO. 2 OF DENTON COUNTY

For contingent expiration of this chapter, see Section 8189.003.

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 8189.001. 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 Tradition Municipal Utility District

No. 2 of Denton County.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.002. NATURE OF DISTRICT. The district is a municipal

utility district in Denton County created under and essential to

accomplish the purposes of Section 59, Article XVI, Texas

Constitution.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.003. CONFIRMATION ELECTION REQUIRED. If the creation

of the district is not confirmed at a confirmation election held

under Section 8189.024 before September 1, 2011:

(1) the district is dissolved September 1, 2011, except that:

(A) any debts incurred shall be paid;

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

transferred to Denton 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, 2014.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.004. 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;

(3) the validity of the district's bonds, notes, or

indebtedness; or

(4) the legality or operation of the district or the board.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

SUBCHAPTER A1. TEMPORARY PROVISIONS

For expiration of this subchapter, see Sec. 8189.026.

Sec. 8189.021. TEMPORARY DIRECTORS. (a) On or after September

1, 2007, a person who owns land in the district may submit a

petition to the Texas Commission on Environmental Quality

requesting that the commission appoint as temporary directors the

five persons named in the petition.

(b) The commission shall appoint as temporary directors the five

persons named in the first petition received by the commission

under Subsection (a).

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

commission shall appoint a person to fill the vacancy.

(d) Temporary directors serve until the earlier of:

(1) the date directors are elected under Section 8189.024; or

(2) the date this subchapter expires under Section 8189.026.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.022. ORGANIZATIONAL MEETING OF TEMPORARY DIRECTORS.

As soon as practicable after all the temporary directors have

qualified under Section 49.055, Water Code, the temporary

directors shall meet at a location in the district agreeable to a

majority of the directors. At the meeting, the temporary

directors shall elect officers from among the temporary directors

and conduct any other district business.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.023. CONSENT OF MUNICIPALITY REQUIRED. The temporary

directors may not hold an election under Section 8189.024 until

each municipality in whose extraterritorial jurisdiction the

district is located has adopted a resolution after September 1,

2007, reconfirming its consent to the creation of the district.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.024. CONFIRMATION AND INITIAL DIRECTORS' ELECTION.

The temporary directors shall hold an election to confirm the

creation of the district and to elect five directors as provided

by Section 49.102, Water Code.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.025. INITIAL ELECTED DIRECTORS; TERMS. The directors

elected under Section 8189.024 shall draw lots to determine which

two shall serve until the first regularly scheduled election of

directors under Section 8189.052 and which three shall serve

until the second regularly scheduled election of directors.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.026. EXPIRATION OF SUBCHAPTER. This subchapter

expires September 1, 2014.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 8189.051. DIRECTORS; TERMS. (a) The district is governed

by a board of five directors.

(b) Directors serve staggered four-year terms.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.052. 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 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 8189.101. 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 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.102. ROAD PROJECTS. (a) To the extent authorized by

Section 52, Article III, Texas Constitution, the district may

construct, acquire, improve, maintain, or operate macadamized,

graveled, or paved roads, or improvements in aid of those roads,

inside the district.

(b) A road project must meet or exceed all applicable

construction standards, zoning and subdivision requirements, and

regulatory ordinances of each municipality in whose corporate

limits or extraterritorial jurisdiction the district is located.

(c) The district may not undertake a road project unless each

municipality in whose corporate limits or extraterritorial

jurisdiction the district is located consents by ordinance or

resolution.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.103. DIVISION OF DISTRICT; REQUIREMENTS. (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 board may consider a proposal to divide the district on:

(1) a petition of a landowner in the district; or

(2) a motion by the board.

(c) If the board decides to divide the district, the board

shall:

(1) set the terms of the division, including names for the new

districts and a plan for the payment or performance of any

outstanding district obligations;

(2) prepare a metes and bounds description for each proposed

district; and

(3) send written notice containing the information required by

Subdivisions (1) and (2) to each county and municipality in whose

extraterritorial jurisdiction the district is located.

(d) Any new district created by the division of the district may

not, at the time the new district is created:

(1) contain any land outside the area described by Section 2 of

the Act creating this chapter; or

(2) consist of fewer than 300 acres or more than 500 acres,

without obtaining prior consent from the City Council of the City

of Fort Worth.

(e) The City Council of the City of Fort Worth may refuse to

issue a building permit or refuse to commence water service for

an area located in the district until the area is in a new

district that has been created by the division of the district in

accordance with this section.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.104. ELECTION FOR DIVISION OF DISTRICT. (a) Not

sooner than the 30th day after the date on which the board has

complied with Section 8189.103(c), the board shall hold an

election in the district to determine whether the district should

be divided as proposed.

(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 cast are in favor of the

division:

(1) the district is divided; and

(2) not later than the 30th day after the date of the election,

the district shall provide written notice of the division to:

(A) the Texas Commission on Environmental Quality;

(B) the attorney general;

(C) the Commissioners Court of Denton County; and

(D) any municipality having extraterritorial jurisdiction over

territory in each new district.

(d) If a majority of the votes cast are not in favor of the

division, the district may not be divided.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.105. 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) Directors appointed under Subsection (a)(1) serve the

staggered terms to which they were elected in the original

district. Directors appointed under Subsection (a)(2) serve

until the election for directors under Subsection (c).

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

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

appointed, the appointed board shall hold an election to elect

five directors in each district for which directors were

appointed under Subsection (a)(2). The directors shall draw lots

to determine which two shall serve until the next regularly

scheduled election of directors and which three shall serve until

the second regularly scheduled election of directors.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.106. 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,

including the power to divide into two or more districts.

(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 revenue 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 under

Section 8189.103(c).

(c) Any other district obligation is 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 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.107. COMPLIANCE WITH MUNICIPAL ORDINANCES OR

RESOLUTIONS. The original district and any new district created

by the division of the district shall comply with all applicable

requirements of any ordinance or resolution adopted by the City

Council of the City of Fort Worth that consents to the creation

of the district.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.108. PAYMENT OF IMPACT FEES. (a) A municipality that

provides water or wastewater service to a new development located

in the district or in a district created under this subchapter

may impose impact fees as provided by Chapter 395, Local

Government Code.

(b) Notwithstanding the provisions of Chapter 395, Local

Government Code, regarding the time and method of payment of

impact fees, the fees may be paid by the district, a district

created under this subchapter, the landowner, or the developer

under an agreement with the municipality.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

Sec. 8189.109. LIMIT ON EMINENT DOMAIN POWER. The district may

exercise the power of eminent domain outside the district only to

acquire an easement necessary for pipeline, storm water, or

drainage facilities that serve the district.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS

Sec. 8189.151. TAX TO REPAY BONDS. The district may impose a

tax to pay the principal of or interest on bonds issued under

Section 8189.201.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.

SUBCHAPTER E. BONDS

Sec. 8189.201. AUTHORITY TO ISSUE BONDS AND OTHER OBLIGATIONS.

(a) The district may issue bonds or other obligations as

provided by Chapters 49 and 54, Water Code, to finance the

construction, maintenance, or operation of projects under

Sections 8189.101 and 8189.102.

(b) The district may not issue bonds to finance projects

authorized by Section 8189.102 unless the issuance is approved by

a vote of a two-thirds majority of the voters of the district

voting at an election called for that purpose.

(c) Bonds or other obligations issued or incurred to finance

projects authorized by Section 8189.102 may not exceed one-fourth

of the assessed value of the real property in the district.

Added by Acts 2007, 80th Leg., R.S., Ch.

752, Sec. 1, eff. September 1, 2007.