CHAPTER 3810. HARRIS COUNTY MUNICIPAL MANAGEMENT DISTRICT NO. 1

State Codes and Statutes

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SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 4. DEVELOPMENT AND IMPROVEMENT

SUBTITLE C. DEVELOPMENT, IMPROVEMENT, AND MANAGEMENT

CHAPTER 3810. HARRIS COUNTY MUNICIPAL MANAGEMENT DISTRICT NO. 1

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 3810.001. DEFINITIONS. In this chapter:

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

(2) "District" means the Harris County Municipal Management

District No. 1.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.002. HARRIS COUNTY MUNICIPAL MANAGEMENT DISTRICT NO.

1. The Harris County Municipal Management District No. 1 is a

special district created under Section 59, Article XVI, Texas

Constitution.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.003. PURPOSE; DECLARATION OF INTENT. (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 and in authorizing Harris

County, the City of Houston, and other political subdivisions to

contract with the district, the legislature has established a

program to accomplish the public purposes set out in Section

52-a, Article III, Texas Constitution.

(b) The creation of the district is necessary to promote,

develop, encourage, and maintain employment, commerce,

transportation, housing, tourism, recreation, the arts,

entertainment, economic development, safety, and the public

welfare in the district.

interpreted to relieve Harris County or the City of Houston from

providing the level of services provided as of June 18, 1999, to

the area in the district or to release the county or the city

from the obligations of each entity to provide services to that

area. The district is created to supplement and not to supplant

the county or city services provided in the area in the district.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.004. 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 Sections 52 and 52-a, Article

III, and Section 59, Article XVI, Texas Constitution, and other

powers granted under this chapter.

is essential to:

(1) further the public purposes of developing and diversifying

the economy of the state;

(2) eliminate unemployment and underemployment; and

(3) develop or expand transportation and commerce.

(d) The district will:

(1) promote the health, safety, and general welfare of

residents, employers, employees, visitors, and consumers in the

district and of the public;

(2) provide needed funding to preserve, maintain, and enhance

the economic health and vitality of the area as a community and

business center; and

(3) promote the health, safety, welfare, and enjoyment of the

public by providing pedestrian ways and by landscaping and

developing certain areas in the district, which are necessary for

the restoration, preservation, and enhancement of scenic and

aesthetic beauty.

(e) Pedestrian ways along or across a street, whether at grade

or above or below the surface, and street lighting, street

landscaping, and street art objects are parts of and necessary

components of a street and are considered to be a street or road

improvement.

(f) The district may not act as the agent or instrumentality of

any private interest even though the district will benefit many

private interests as well as the public.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.005. DISTRICT TERRITORY. (a) The district is

composed of the territory described by Chapter 1324, Acts of the

76th Legislature, Regular Session, 1999, enacting former Section

376.304, Local Government Code, as that territory may have been

modified under:

(1) Section 3810.107, or its predecessor statutes, former

Section 376.316, Local Government Code, as added by Chapter 1324,

Acts of the 76th Legislature, Regular Session, 1999, and former

Section 376.416, Local Government Code;

(2) Subchapter J, Chapter 49, Water Code; or

(3) other law.

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

Chapter 1324, Acts of the 76th Legislature, Regular Session,

1999, enacting former Section 376.304, Local Government Code,

form a closure. A mistake 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 a purpose for which the

district is created or to pay the principal of and interest on

the bond;

(3) right to impose or collect an assessment or tax; or

(4) legality or operation.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.006. APPLICABILITY OF OTHER LAW. Except as otherwise

provided by this chapter, Chapter 375, Local Government Code,

applies to the district.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.007. LIBERAL CONSTRUCTION OF CHAPTER. This chapter

shall be liberally construed in conformity with the findings and

purposes stated in this chapter.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 3810.051. BOARD OF DIRECTORS; TERMS. (a) The district is

governed by a board of 11 directors who serve staggered terms of

four years.

(b) A director shall receive compensation as provided by Section

49.060, Water Code.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.052. APPOINTMENT OF DIRECTORS. (a) The mayor and

members of the governing body of the City of Houston shall

appoint directors from persons recommended by the board. A person

is appointed if a majority of the members and the mayor vote to

appoint the person.

(b) A person may not be appointed to the board if the

appointment of that person would result in fewer than two-thirds

of the directors being residents of the city of Houston.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.053. EX OFFICIO DIRECTORS. (a) The following persons

serve as nonvoting ex officio directors:

(1) the directors of the parks and recreation, planning and

development, public works, and civic center departments of the

City of Houston;

(2) the chief of police of the City of Houston;

(3) Harris County's general manager of the Metropolitan Transit

Authority of Harris County, Texas; and

(4) the president of each institution of higher learning located

in the district.

(b) If a department described by Subsection (a) is consolidated,

renamed, or changed, the board may appoint a director of the

consolidated, renamed, or changed department as a nonvoting ex

officio director. If a department described by Subsection (a) is

abolished, the board may appoint a representative of another

department of the City of Houston that performs duties comparable

to those performed by the abolished department.

corporation actively involved in activities in the area of the

district in the city of Houston to serve as a nonvoting ex

officio director.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.054. CONFLICTS OF INTEREST. (a) Except as provided

by this section:

(1) a director may participate in all board votes and decisions;

and

(2) Chapter 171, Local Government Code, governs conflicts of

interest of directors.

(b) Section 171.004, Local Government Code, does not apply to

the district. A director who has a substantial interest in a

business or charitable entity that will receive a pecuniary

benefit from a board action shall file an affidavit with the

board secretary declaring the interest. Another affidavit is not

required if the director's interest changes.

in a discussion or vote on that action if:

(1) a majority of the directors have a similar interest in the

same entity; or

(2) all other similar business or charitable entities in the

district will receive a similar pecuniary benefit.

(d) A director who is also an officer or employee of a public

entity may not participate in a discussion of or vote on a matter

regarding a contract with that same public entity.

(e) For purposes of this section, a director has a substantial

interest in a charitable entity in the same manner that a person

would have a substantial interest in a business entity under

Section 171.002, Local Government Code.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 3810.101. DISTRICT POWERS. (a) The district may exercise

the powers given to:

(1) a corporation created under Chapter 505, Local Government

Code;

(2) a housing finance corporation created under Chapter 394,

Local Government Code, to provide housing or residential

development projects in the district; and

(3) an eligible political subdivision under Chapter 221, Natural

Resources Code.

(b) The district may exercise its powers in an area outside the

district if the board determines that exercising that power

benefits the district.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Amended by:

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

885, Sec. 3.39, eff. April 1, 2009.

Sec. 3810.102. NONPROFIT CORPORATION. (a) The board by

resolution may authorize the creation of a nonprofit corporation

to assist and act for the district in implementing a project or

providing a service authorized by this chapter.

(b) The nonprofit corporation:

(1) has each power of and is considered for purposes of this

chapter to be a local government corporation created under

Chapter 431, Transportation Code; and

(2) may implement any project and provide any service authorized

by this chapter.

nonprofit corporation. The board of directors of the nonprofit

corporation shall serve in the same manner as, for the same term

as, and on the same conditions as the board of directors of a

local government corporation created under Chapter 431,

Transportation Code.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.103. AGREEMENTS, DONATIONS, GRANTS, AND LOANS. (a)

The district may enter into an agreement with or accept a

donation, grant, or loan from any person.

(b) The implementation of a project is a governmental function

or service for purposes of Chapter 791, Government Code.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.104. AUTHORITY TO CONTRACT FOR LAW ENFORCEMENT. To

protect the public interest, the district may contract with

Harris County or the City of Houston for the county or city to

provide law enforcement services in the district for a fee.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.105. COMPETITIVE BIDDING. Section 375.221, Local

Government Code, does not apply to a district contract for

$25,000 or less.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.106. APPROVAL BY CITY OF HOUSTON. (a) Except as

provided by Subsection (b), the district must obtain approval

from the City of Houston's governing body:

(1) for the issuance of a bond for each improvement project;

(2) of the plans and specifications of the improvement project

to be financed by the bond; and

(3) of the plans and specifications of any district improvement

project related to the use of land owned by the City of Houston,

an easement granted by the City of Houston, or a right-of-way of

a street, road, or highway.

(b) If the district obtains approval from the City of Houston's

governing body of a capital improvements budget for a period not

to exceed five years, the district may finance the capital

improvements and issue bonds specified in the budget without

further approval from the City of Houston.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.107. ANNEXATION. In addition to the authority to

annex territory under Subchapter C, Chapter 375, Local Government

Code, the district has the authority to annex territory located

in a reinvestment zone created by the City of Houston under

Chapter 311, Tax Code, if the city's governing body consents to

the annexation.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.108. NO EMINENT DOMAIN POWER. The district may not

exercise the power of eminent domain.

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

684, Sec. 10, eff. June 17, 2005.

SUBCHAPTER D. FINANCIAL PROVISIONS

Sec. 3810.151. PETITION REQUIRED FOR FINANCING SERVICES AND

IMPROVEMENTS. (a) The board may not finance a service or an

improvement project under this chapter unless a written petition

requesting that service or improvement is filed with the board.

(b) The petition must be signed by the owners of a majority of

the assessed value of real property in the district according to

the most recent certified tax appraisal roll for Harris County.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.152. DISBURSEMENTS AND TRANSFERS OF MONEY. The board

by resolution shall establish the number of directors' signatures

and the procedure required for a disbursement or transfer of the

district's money.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.153. MAINTENANCE TAX. (a) The district may impose an

annual ad valorem tax on taxable property in the district to

maintain and operate the district and the improvements

constructed or acquired by the district or to provide a service

only if:

(1) two-thirds of the directors vote in favor of imposing the

tax; and

(2) the tax is authorized at an election held in accordance with

Section 3810.156.

(b) The board shall determine the tax rate.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.154. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a) The

board by resolution may impose and collect an assessment for any

purpose authorized by this chapter only if two-thirds of the

directors vote in favor of imposing the assessment.

(b) An assessment, a reassessment, or an assessment resulting

from an addition to or correction of the assessment roll by the

district, penalties and interest on an assessment or

reassessment, an expense of collection, and reasonable attorney's

fees incurred by the district:

(1) are a first and prior lien against the property assessed;

(2) are superior to any other lien or claim other than a lien or

claim for county, school district, or municipal ad valorem taxes;

and

(3) are the personal liability of and a charge against the

owners of the property even if the owners are not named in the

assessment proceeding.

resolution imposing the assessment until the date the assessment

is paid. The board may enforce the lien in the same manner that

the board may enforce an ad valorem tax lien against real

property.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.155. UTILITY PROPERTY EXEMPT FROM IMPACT FEES AND

ASSESSMENTS. The district may not impose an impact fee or

assessment on the property of a person who provides to the public

gas, electric, telephone, sewage, or water service.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.156. ELECTIONS REGARDING TAXES OR BONDS. (a) In

addition to the elections required under Subchapter L, Chapter

375, Local Government Code, the district must hold an election in

the manner provided by that subchapter to obtain voter approval

before the district may:

(1) impose a maintenance tax; or

(2) issue a bond payable from ad valorem taxes or assessments.

(b) The board may submit multiple purposes in a single

proposition at an election.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

Sec. 3810.157. MUNICIPALITY NOT OBLIGATED TO PAY DISTRICT

OBLIGATIONS. Except as provided by Section 375.263, Local

Government Code, a municipality is not obligated to pay a bond,

note, or other obligation of the district.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

SUBCHAPTER E. DISSOLUTION

Sec. 3810.201. DISSOLUTION OF DISTRICT WITH OUTSTANDING DEBT.

(a) The board may dissolve the district regardless of whether

the district has debt. Section 375.264, Local Government Code,

does not apply to the district.

(b) If the district has debt when it is dissolved, the district

shall remain in existence solely for the purpose of discharging

its debts. The dissolution is effective when all debts have been

discharged.

Acts 2003, 78th Leg., ch. 1277, Sec. 1, eff. April 1, 2005.

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

State Codes and Statutes

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