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Statutes > Texas > Special-district-local-laws-code > Title-4-development-and-improvement > Chapter-3813-old-town-spring-improvement-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 4. DEVELOPMENT AND IMPROVEMENT

SUBTITLE C. DEVELOPMENT, IMPROVEMENT, AND MANAGEMENT

CHAPTER 3813. OLD TOWN SPRING IMPROVEMENT DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 3813.001. DEFINITIONS. In this chapter:

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

(2) "District" means the Old Town Spring Improvement District.

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

Sec. 3813.002. OLD TOWN SPRING IMPROVEMENT DISTRICT. The Old

Town Spring Improvement District 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. 3813.003. 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.

(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, scenic beauty, and

the public welfare in the Old Town Spring area of Harris County.

(c) This chapter and the creation of the district do not relieve

Harris County from providing the level of services provided as of

September 1, 2001, to the area in the district. The district is

created to supplement and not to replace the county services

provided in the area in the district.

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

Sec. 3813.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE; GENERAL

DUTIES. (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.

(c) The creation of the district is in the public interest and

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 shall:

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

residents, merchants, landowners, employers, potential employees,

employees, visitors, and consumers in the district, and of the

public;

(2) provide needed funding for the Old Town Spring area to

preserve, maintain, and enhance the economic health and vitality

of the area as a community and business center;

(3) provide and maintain common areas and facilities in the

district to ensure scenic beauty;

(4) provide improvements in the district to promote the welfare

of the public, residents, merchants, and landowners in the

district; and

(5) 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 beauty.

(e) 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. 3813.005. DISTRICT TERRITORY. (a) The district is

composed of the territory described by Section 1, Chapter 1371,

Acts of the 77th Legislature, Regular Session, 2001, enacting

former Section 376.454, Local Government Code, as that territory

may have been modified under:

(1) Section 3813.107(a) or its predecessor statute, former

Section 376.462(a)(3), Local Government Code, as added by Chapter

1371, Acts of the 77th Legislature, Regular Session, 2001;

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

(3) other law.

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

Section 1, Chapter 1371, Acts of the 77th Legislature, Regular

Session, 2001, enacting former Section 376.454, Local Government

Code, form a closure. A mistake in the field notes or in copying

the field notes in the legislative process does not in any way

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.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 3813.051. BOARD OF DIRECTORS. (a) The district is

governed by a board of five directors who occupy numbered

positions. The directors occupying positions one, two, and three

are appointed under this section, and the directors occupying

positions four and five are elected as provided by this section

and Section 3813.052.

(b) The Commissioners Court of Harris County shall appoint:

(1) one person who leases a retail store or who owns real

property in the district to serve in position one for a

three-year term;

(2) one person who leases a retail store but does not own real

property in the district to serve in position two for a two-year

term; and

(3) one person who owns real property in the district to serve

in position three for a three-year term.

(c) A director elected under Section 3813.052 serves a two-year

term. To qualify as a candidate for position four, a person must

reside in the district. To qualify as a candidate for position

five, a person must lease a retail store or own real property in

the district.

(d) A term expires on January 31 of the appropriate year.

(e) In appointing directors under Subsection (b), the

commissioners court shall consider any recommendation received by

an organization dedicated to the economic development of the Old

Town Spring area.

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

Sec. 3813.052. ELECTION OF DIRECTORS. (a) The board shall hold

an election of directors for positions four and five in each

even-numbered year on the uniform election date in February

established by Section 41.001, Election Code.

(b) In addition to the contents required by the Election Code,

notice of a directors' election must:

(1) state the number of directors to be voted on; and

(2) describe the qualifications for each position for which a

candidate is running.

(c) In addition to requirements prescribed by the Election Code,

the ballots for a directors' election shall describe the

qualifications of the position for which each candidate is

running.

(d) The board shall certify that the person receiving the

highest number of votes for each position is elected as the

director for that position.

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

Sec. 3813.053. LAW GOVERNING ADMINISTRATION OF BOARD. Sections

375.066-375.070, Local Government Code, apply to the board as if

it were established under Chapter 375 of that code.

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

Sec. 3813.054. VOTING BY BOARD PRESIDENT RESTRICTED. The board

president may not vote except to break a tie vote.

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

SUBCHAPTER C. POWERS AND DUTIES

Sec. 3813.101. DISTRICT POWERS. The district has:

(1) all powers necessary to accomplish the purposes for which

the district was created;

(2) the powers and duties of a municipal management district

under Subchapter E, Chapter 375, Local Government Code; and

(3) the powers given to a corporation organized under the

Development Corporation Act (Subtitle C1, Title 12, Local

Government Code).

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

Amended by:

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

885, Sec. 3.42, eff. April 1, 2009.

Sec. 3813.103. RULES. The district may adopt rules for:

(1) the administration and operation of the district;

(2) the use, enjoyment, availability, protection, security, and

maintenance of the district's facilities; and

(3) the provision of public safety and security in the district.

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

Sec. 3813.104. SPECIFIC POWERS RELATING TO IMPROVEMENT PROJECTS

OR SERVICES. (a) The district may undertake an improvement

project separately or jointly with another person and pay all or

part of the costs of an improvement project, including an

improvement project that:

(1) improves, enhances, or supports public safety and security,

fire protection, emergency medical services, or law enforcement

in the district;

(2) confers a general benefit on the entire district and the

areas adjacent to the district; or

(3) confers a special benefit on all or part of the district.

(b) A district improvement project or service may include:

(1) the construction, acquisition, lease, rental, installment

purchase, improvement, rehabilitation, repair, relocation, and

operation of:

(A) landscaping; lighting, banners, or signs; streets or

sidewalks; pedestrian or bicycle paths and trails; pedestrian

walkways, skywalks, crosswalks, or tunnels; and highway

right-of-way or transit corridor beautification and improvements;

(B) drainage or storm water detention improvements and solid

waste, water, sewer, or power facilities and services, including

electrical, gas, steam, and chilled water facilities and

services;

(C) parks, lakes, gardens, recreational facilities, open space,

scenic areas, and related exhibits and preserves; fountains,

plazas, or pedestrian malls; public art or sculpture and related

exhibits and facilities and educational or cultural exhibits and

facilities, including exhibits, displays, attractions, or

facilities for special events, holidays, or seasonal or cultural

celebrations;

(D) off-street parking facilities, bus terminals, heliports,

mass transit, and roadway or water transportation systems; and

(E) other public improvements, facilities, or services similar

to the improvements, facilities, or services described by

Paragraphs (A)-(D);

(2) the cost of removing, razing, demolishing, or clearing of

land or improvements in connection with providing an improvement

project;

(3) the acquisition of property or an interest in the property

that is made in connection with an improvement project; and

(4) the provision of special or supplemental services to improve

or promote the area in the district or to protect the public

health and safety in the district, including advertising,

promotion, tourism, health and sanitation, public safety,

security, fire protection or emergency medical services, business

recruitment, development, elimination of traffic congestion, and

recreational, educational, or cultural improvements,

enhancements, or services.

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

Sec. 3813.105. LEASE, ACQUISITION, OR CONSTRUCTION OF BUILDING

OR FACILITY; ECONOMIC DEVELOPMENT PROGRAMS. The district may, as

if the district were a home-rule municipality with a population

of more than 100,000:

(1) issue bonds and lease, acquire, or construct a building or

facility as provided by Subchapter A, Chapter 1509, Government

Code; and

(2) establish and administer a program as provided by Section

380.002, Local Government Code.

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

Sec. 3813.106. CONTRACTS; GRANTS; DONATIONS. (a) The district

may contract with any person to accomplish the purposes of this

chapter on terms and for the period the board determines,

including contracting for the payment of costs incurred by the

person on behalf of the district, including all or part of the

costs of an improvement project, from tax proceeds or any other

specified source of money.

(b) The district may contract with a person to receive,

administer, and perform the district's duties under a gift,

grant, loan, conveyance, transfer, bequest, donation, or other

financial arrangement relating to the investigation, planning,

analysis, acquisition, construction, completion, implementation,

or operation of a proposed or existing improvement project.

(c) Any person, including any type of governmental entity, may

contract with the district to carry out the purposes of this

chapter.

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

Sec. 3813.107. ANNEXATION OR EXCLUSION OF TERRITORY. (a) The

district may add or exclude territory in the manner provided by

Subchapter J, Chapter 49, Water Code.

(b) Not later than the 10th day after the date on which the

district annexes or excludes territory, the board shall send to

the comptroller a certified copy of any resolution, order, or

ordinance relating to the annexation or exclusion.

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

Sec. 3813.108. EMINENT DOMAIN. The district may not exercise

the power of eminent domain.

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

Sec. 3813.109. PEACE OFFICERS. The district may not employ

peace officers.

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

SUBCHAPTER D. FINANCIAL PROVISIONS

Sec. 3813.151. SALES AND USE TAX; EXCISE TAX. (a) For purposes

of this section:

(1) "Taxable items" includes all items subject to a sales and

use tax that is imposed by Harris County.

(2) "Use," with respect to a taxable service, means the

derivation in the district of a direct or indirect benefit from

the service.

(b) The district may impose a sales and use tax if authorized by

a majority vote at an election held for that purpose.

(c) If the district adopts a sales and use tax:

(1) the tax is imposed on the receipts from the sale at retail

of taxable items in the district; and

(2) an excise tax is imposed on the use, storage, or other

consumption in the district of taxable items purchased or rented

from a retailer during the period in which the sales and use tax

is effective in the district.

(d) The rate of the excise tax is the same as the rate of the

sales tax portion of the tax applied to the sales price of the

taxable items and is included in the sales tax.

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

Sec. 3813.152. TAX ELECTION PROCEDURES. (a) The board may

order an election to adopt, change the rate of, or abolish a

sales and use tax. The election may be held at the same time and

in conjunction with a directors' election.

(b) The election must be held on the next uniform election date

that falls on or after the 45th day after the date the election

order is adopted.

(c) Notice of the election shall be given and the election shall

be held in the manner prescribed for a bond election by

Subchapter D, Chapter 49, Water Code.

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

Sec. 3813.153. BALLOT WORDING. (a) In an election to adopt a

sales and use tax, the ballot shall be prepared to permit voting

for or against the proposition: "The adoption of a local sales

and use tax in the Old Town Spring Improvement District at the

rate of (proposed tax rate)."

(b) In an election to change the rate of the sales and use tax,

the ballot shall be prepared to permit voting for or against the

proposition: "The (increase or decrease, as applicable) in the

rate of the local sales and use tax imposed in the Old Town

Spring Improvement District from (tax rate on election date)

percent to (proposed tax rate) percent."

(c) In an election to abolish the sales and use tax, the ballot

shall be prepared to permit voting for or against the

proposition: "The abolition of the local sales and use tax in the

Old Town Spring Improvement District."

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

Sec. 3813.154. IMPOSITION, COMPUTATION, ADMINISTRATION, AND

GOVERNANCE OF TAXES. (a) Chapter 323, Tax Code, to the extent

not inconsistent with this chapter, governs the application,

collection, and administration of the sales and use tax and the

excise tax, except that Sections 323.401-323.406 and 323.505, Tax

Code, do not apply. Subtitles A and B, Title 2, and Chapter 151,

Tax Code, govern the administration and enforcement of the sales

and use tax and the excise tax.

(b) Chapter 323, Tax Code, does not apply to the use and

allocation of revenues under this chapter.

(c) In applying Chapter 323, Tax Code:

(1) a reference in that chapter to "the county" means the

district; and

(2) a reference in that chapter to "the commissioners court"

means the board.

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

Sec. 3813.155. TAX RATES. The district may impose the sales and

use tax and the excise tax in increments of one-eighth of one

percent, with a minimum tax of one-half percent and a maximum tax

of one percent.

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

Sec. 3813.156. ABOLITION OF TAX. The board by order and without

an election may abolish the sales and use tax and the excise tax.

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

Sec. 3813.157. USE OF TAXES. The district may use the proceeds

from the sales and use tax and the excise tax only for the

purposes for which the district was created.

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

Sec. 3813.158. EFFECTIVE DATE OF TAX OR TAX CHANGE. The

adoption of a tax rate or a change in the tax rate takes effect

after the expiration of the first complete calendar quarter

occurring after the date on which the comptroller receives a

notice of the results of the election.

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

Sec. 3813.159. AD VALOREM TAX PROHIBITED. The district may not

impose an ad valorem tax on property in the district.

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

Sec. 3813.160. FEES; CHARGES. The district may:

(1) establish and collect user fees, concession fees, admission

fees, rental fees, or other similar fees or charges; and

(2) apply the proceeds from those fees or charges for the

enjoyment, sale, rental, or other use of the district's

facilities, services, or improvement projects.

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

Sec. 3813.161. BORROWING MONEY. The district may borrow money

for the corporate purposes of the district.

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

Sec. 3813.162. PAYMENT OF EXPENSES. The district may provide or

secure the payment or repayment of any district expense,

including:

(1) a district cost relating to an improvement project;

(2) a district contractual obligation or indebtedness, because

of a lease, installment purchase contract, or other agreement; or

(3) a tax, user fee, concession fee, rental fee, or other

revenue or resources of the district.

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

Sec. 3813.163. BONDS. (a) The board may issue bonds as

provided by Subchapter J, Chapter 375, Local Government Code.

(b) In addition to the sources described in Subchapter J,

Chapter 375, Local Government Code, bonds issued by the district

may be secured and made payable, in whole or in part, by a pledge

of any part of the net proceeds the district receives from a

specified portion of not more than one-half of the district's

maximum sales and use tax amount authorized under Section

3813.152.

(c) Sections 375.207 and 375.208, Local Government Code, do not

apply to bonds issued under this section.

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

SUBCHAPTER E. DISSOLUTION

Sec. 3813.201. DISSOLUTION BY BOARD ORDER. The board by order

may dissolve the district at any time unless the district has

outstanding indebtedness or contractual obligations.

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

Sec. 3813.202. DISSOLUTION BY PETITION OF OWNERS. (a) The

board by order shall dissolve the district if the board receives

a written petition signed by 75 percent or more of the

individuals who own real property in the district.

(b) After the date the district is dissolved, the district may

not impose taxes.

(c) If on the date the district is dissolved the district has

outstanding liabilities, the board shall, not later than the 30th

day after the date of dissolution, adopt a resolution certifying

each outstanding liability. Harris County shall assume the

outstanding liabilities and shall collect the sales and use tax

for the district for the remainder of the calendar year. Harris

County may continue to collect the tax for an additional calendar

year if the commissioners court of the county finds that the tax

revenue is needed to retire the district liabilities that were

assumed by the county.

(d) The district may continue to operate for a period not to

exceed two months after performing its duties under Subsection

(c). The district is continued in effect for the purpose of

performing those duties.

(e) If the district is continued in effect under Subsection (d),

the district is dissolved entirely on the first day of the month

following the month in which the board certifies to the secretary

of state that the district has fully performed its duties under

Subsection (c).

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

Sec. 3813.203. ADMINISTRATION OF DISTRICT PROPERTY FOLLOWING

DISSOLUTION. (a) After the date the board orders the

dissolution of the district, the board shall transfer ownership

of all district property to Harris County, except as provided by

Subsection (b).

(b) If, on the date on which the board orders the dissolution,

more than 50 percent of the district territory is in a

municipality, the board shall transfer ownership of the

district's property to the municipality.

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

State Codes and Statutes

Statutes > Texas > Special-district-local-laws-code > Title-4-development-and-improvement > Chapter-3813-old-town-spring-improvement-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 4. DEVELOPMENT AND IMPROVEMENT

SUBTITLE C. DEVELOPMENT, IMPROVEMENT, AND MANAGEMENT

CHAPTER 3813. OLD TOWN SPRING IMPROVEMENT DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 3813.001. DEFINITIONS. In this chapter:

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

(2) "District" means the Old Town Spring Improvement District.

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

Sec. 3813.002. OLD TOWN SPRING IMPROVEMENT DISTRICT. The Old

Town Spring Improvement District 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. 3813.003. 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.

(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, scenic beauty, and

the public welfare in the Old Town Spring area of Harris County.

(c) This chapter and the creation of the district do not relieve

Harris County from providing the level of services provided as of

September 1, 2001, to the area in the district. The district is

created to supplement and not to replace the county services

provided in the area in the district.

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

Sec. 3813.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE; GENERAL

DUTIES. (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.

(c) The creation of the district is in the public interest and

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 shall:

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

residents, merchants, landowners, employers, potential employees,

employees, visitors, and consumers in the district, and of the

public;

(2) provide needed funding for the Old Town Spring area to

preserve, maintain, and enhance the economic health and vitality

of the area as a community and business center;

(3) provide and maintain common areas and facilities in the

district to ensure scenic beauty;

(4) provide improvements in the district to promote the welfare

of the public, residents, merchants, and landowners in the

district; and

(5) 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 beauty.

(e) 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. 3813.005. DISTRICT TERRITORY. (a) The district is

composed of the territory described by Section 1, Chapter 1371,

Acts of the 77th Legislature, Regular Session, 2001, enacting

former Section 376.454, Local Government Code, as that territory

may have been modified under:

(1) Section 3813.107(a) or its predecessor statute, former

Section 376.462(a)(3), Local Government Code, as added by Chapter

1371, Acts of the 77th Legislature, Regular Session, 2001;

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

(3) other law.

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

Section 1, Chapter 1371, Acts of the 77th Legislature, Regular

Session, 2001, enacting former Section 376.454, Local Government

Code, form a closure. A mistake in the field notes or in copying

the field notes in the legislative process does not in any way

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.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 3813.051. BOARD OF DIRECTORS. (a) The district is

governed by a board of five directors who occupy numbered

positions. The directors occupying positions one, two, and three

are appointed under this section, and the directors occupying

positions four and five are elected as provided by this section

and Section 3813.052.

(b) The Commissioners Court of Harris County shall appoint:

(1) one person who leases a retail store or who owns real

property in the district to serve in position one for a

three-year term;

(2) one person who leases a retail store but does not own real

property in the district to serve in position two for a two-year

term; and

(3) one person who owns real property in the district to serve

in position three for a three-year term.

(c) A director elected under Section 3813.052 serves a two-year

term. To qualify as a candidate for position four, a person must

reside in the district. To qualify as a candidate for position

five, a person must lease a retail store or own real property in

the district.

(d) A term expires on January 31 of the appropriate year.

(e) In appointing directors under Subsection (b), the

commissioners court shall consider any recommendation received by

an organization dedicated to the economic development of the Old

Town Spring area.

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

Sec. 3813.052. ELECTION OF DIRECTORS. (a) The board shall hold

an election of directors for positions four and five in each

even-numbered year on the uniform election date in February

established by Section 41.001, Election Code.

(b) In addition to the contents required by the Election Code,

notice of a directors' election must:

(1) state the number of directors to be voted on; and

(2) describe the qualifications for each position for which a

candidate is running.

(c) In addition to requirements prescribed by the Election Code,

the ballots for a directors' election shall describe the

qualifications of the position for which each candidate is

running.

(d) The board shall certify that the person receiving the

highest number of votes for each position is elected as the

director for that position.

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

Sec. 3813.053. LAW GOVERNING ADMINISTRATION OF BOARD. Sections

375.066-375.070, Local Government Code, apply to the board as if

it were established under Chapter 375 of that code.

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

Sec. 3813.054. VOTING BY BOARD PRESIDENT RESTRICTED. The board

president may not vote except to break a tie vote.

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

SUBCHAPTER C. POWERS AND DUTIES

Sec. 3813.101. DISTRICT POWERS. The district has:

(1) all powers necessary to accomplish the purposes for which

the district was created;

(2) the powers and duties of a municipal management district

under Subchapter E, Chapter 375, Local Government Code; and

(3) the powers given to a corporation organized under the

Development Corporation Act (Subtitle C1, Title 12, Local

Government Code).

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

Amended by:

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

885, Sec. 3.42, eff. April 1, 2009.

Sec. 3813.103. RULES. The district may adopt rules for:

(1) the administration and operation of the district;

(2) the use, enjoyment, availability, protection, security, and

maintenance of the district's facilities; and

(3) the provision of public safety and security in the district.

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

Sec. 3813.104. SPECIFIC POWERS RELATING TO IMPROVEMENT PROJECTS

OR SERVICES. (a) The district may undertake an improvement

project separately or jointly with another person and pay all or

part of the costs of an improvement project, including an

improvement project that:

(1) improves, enhances, or supports public safety and security,

fire protection, emergency medical services, or law enforcement

in the district;

(2) confers a general benefit on the entire district and the

areas adjacent to the district; or

(3) confers a special benefit on all or part of the district.

(b) A district improvement project or service may include:

(1) the construction, acquisition, lease, rental, installment

purchase, improvement, rehabilitation, repair, relocation, and

operation of:

(A) landscaping; lighting, banners, or signs; streets or

sidewalks; pedestrian or bicycle paths and trails; pedestrian

walkways, skywalks, crosswalks, or tunnels; and highway

right-of-way or transit corridor beautification and improvements;

(B) drainage or storm water detention improvements and solid

waste, water, sewer, or power facilities and services, including

electrical, gas, steam, and chilled water facilities and

services;

(C) parks, lakes, gardens, recreational facilities, open space,

scenic areas, and related exhibits and preserves; fountains,

plazas, or pedestrian malls; public art or sculpture and related

exhibits and facilities and educational or cultural exhibits and

facilities, including exhibits, displays, attractions, or

facilities for special events, holidays, or seasonal or cultural

celebrations;

(D) off-street parking facilities, bus terminals, heliports,

mass transit, and roadway or water transportation systems; and

(E) other public improvements, facilities, or services similar

to the improvements, facilities, or services described by

Paragraphs (A)-(D);

(2) the cost of removing, razing, demolishing, or clearing of

land or improvements in connection with providing an improvement

project;

(3) the acquisition of property or an interest in the property

that is made in connection with an improvement project; and

(4) the provision of special or supplemental services to improve

or promote the area in the district or to protect the public

health and safety in the district, including advertising,

promotion, tourism, health and sanitation, public safety,

security, fire protection or emergency medical services, business

recruitment, development, elimination of traffic congestion, and

recreational, educational, or cultural improvements,

enhancements, or services.

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

Sec. 3813.105. LEASE, ACQUISITION, OR CONSTRUCTION OF BUILDING

OR FACILITY; ECONOMIC DEVELOPMENT PROGRAMS. The district may, as

if the district were a home-rule municipality with a population

of more than 100,000:

(1) issue bonds and lease, acquire, or construct a building or

facility as provided by Subchapter A, Chapter 1509, Government

Code; and

(2) establish and administer a program as provided by Section

380.002, Local Government Code.

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

Sec. 3813.106. CONTRACTS; GRANTS; DONATIONS. (a) The district

may contract with any person to accomplish the purposes of this

chapter on terms and for the period the board determines,

including contracting for the payment of costs incurred by the

person on behalf of the district, including all or part of the

costs of an improvement project, from tax proceeds or any other

specified source of money.

(b) The district may contract with a person to receive,

administer, and perform the district's duties under a gift,

grant, loan, conveyance, transfer, bequest, donation, or other

financial arrangement relating to the investigation, planning,

analysis, acquisition, construction, completion, implementation,

or operation of a proposed or existing improvement project.

(c) Any person, including any type of governmental entity, may

contract with the district to carry out the purposes of this

chapter.

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

Sec. 3813.107. ANNEXATION OR EXCLUSION OF TERRITORY. (a) The

district may add or exclude territory in the manner provided by

Subchapter J, Chapter 49, Water Code.

(b) Not later than the 10th day after the date on which the

district annexes or excludes territory, the board shall send to

the comptroller a certified copy of any resolution, order, or

ordinance relating to the annexation or exclusion.

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

Sec. 3813.108. EMINENT DOMAIN. The district may not exercise

the power of eminent domain.

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

Sec. 3813.109. PEACE OFFICERS. The district may not employ

peace officers.

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

SUBCHAPTER D. FINANCIAL PROVISIONS

Sec. 3813.151. SALES AND USE TAX; EXCISE TAX. (a) For purposes

of this section:

(1) "Taxable items" includes all items subject to a sales and

use tax that is imposed by Harris County.

(2) "Use," with respect to a taxable service, means the

derivation in the district of a direct or indirect benefit from

the service.

(b) The district may impose a sales and use tax if authorized by

a majority vote at an election held for that purpose.

(c) If the district adopts a sales and use tax:

(1) the tax is imposed on the receipts from the sale at retail

of taxable items in the district; and

(2) an excise tax is imposed on the use, storage, or other

consumption in the district of taxable items purchased or rented

from a retailer during the period in which the sales and use tax

is effective in the district.

(d) The rate of the excise tax is the same as the rate of the

sales tax portion of the tax applied to the sales price of the

taxable items and is included in the sales tax.

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

Sec. 3813.152. TAX ELECTION PROCEDURES. (a) The board may

order an election to adopt, change the rate of, or abolish a

sales and use tax. The election may be held at the same time and

in conjunction with a directors' election.

(b) The election must be held on the next uniform election date

that falls on or after the 45th day after the date the election

order is adopted.

(c) Notice of the election shall be given and the election shall

be held in the manner prescribed for a bond election by

Subchapter D, Chapter 49, Water Code.

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

Sec. 3813.153. BALLOT WORDING. (a) In an election to adopt a

sales and use tax, the ballot shall be prepared to permit voting

for or against the proposition: "The adoption of a local sales

and use tax in the Old Town Spring Improvement District at the

rate of (proposed tax rate)."

(b) In an election to change the rate of the sales and use tax,

the ballot shall be prepared to permit voting for or against the

proposition: "The (increase or decrease, as applicable) in the

rate of the local sales and use tax imposed in the Old Town

Spring Improvement District from (tax rate on election date)

percent to (proposed tax rate) percent."

(c) In an election to abolish the sales and use tax, the ballot

shall be prepared to permit voting for or against the

proposition: "The abolition of the local sales and use tax in the

Old Town Spring Improvement District."

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

Sec. 3813.154. IMPOSITION, COMPUTATION, ADMINISTRATION, AND

GOVERNANCE OF TAXES. (a) Chapter 323, Tax Code, to the extent

not inconsistent with this chapter, governs the application,

collection, and administration of the sales and use tax and the

excise tax, except that Sections 323.401-323.406 and 323.505, Tax

Code, do not apply. Subtitles A and B, Title 2, and Chapter 151,

Tax Code, govern the administration and enforcement of the sales

and use tax and the excise tax.

(b) Chapter 323, Tax Code, does not apply to the use and

allocation of revenues under this chapter.

(c) In applying Chapter 323, Tax Code:

(1) a reference in that chapter to "the county" means the

district; and

(2) a reference in that chapter to "the commissioners court"

means the board.

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

Sec. 3813.155. TAX RATES. The district may impose the sales and

use tax and the excise tax in increments of one-eighth of one

percent, with a minimum tax of one-half percent and a maximum tax

of one percent.

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

Sec. 3813.156. ABOLITION OF TAX. The board by order and without

an election may abolish the sales and use tax and the excise tax.

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

Sec. 3813.157. USE OF TAXES. The district may use the proceeds

from the sales and use tax and the excise tax only for the

purposes for which the district was created.

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

Sec. 3813.158. EFFECTIVE DATE OF TAX OR TAX CHANGE. The

adoption of a tax rate or a change in the tax rate takes effect

after the expiration of the first complete calendar quarter

occurring after the date on which the comptroller receives a

notice of the results of the election.

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

Sec. 3813.159. AD VALOREM TAX PROHIBITED. The district may not

impose an ad valorem tax on property in the district.

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

Sec. 3813.160. FEES; CHARGES. The district may:

(1) establish and collect user fees, concession fees, admission

fees, rental fees, or other similar fees or charges; and

(2) apply the proceeds from those fees or charges for the

enjoyment, sale, rental, or other use of the district's

facilities, services, or improvement projects.

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

Sec. 3813.161. BORROWING MONEY. The district may borrow money

for the corporate purposes of the district.

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

Sec. 3813.162. PAYMENT OF EXPENSES. The district may provide or

secure the payment or repayment of any district expense,

including:

(1) a district cost relating to an improvement project;

(2) a district contractual obligation or indebtedness, because

of a lease, installment purchase contract, or other agreement; or

(3) a tax, user fee, concession fee, rental fee, or other

revenue or resources of the district.

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

Sec. 3813.163. BONDS. (a) The board may issue bonds as

provided by Subchapter J, Chapter 375, Local Government Code.

(b) In addition to the sources described in Subchapter J,

Chapter 375, Local Government Code, bonds issued by the district

may be secured and made payable, in whole or in part, by a pledge

of any part of the net proceeds the district receives from a

specified portion of not more than one-half of the district's

maximum sales and use tax amount authorized under Section

3813.152.

(c) Sections 375.207 and 375.208, Local Government Code, do not

apply to bonds issued under this section.

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

SUBCHAPTER E. DISSOLUTION

Sec. 3813.201. DISSOLUTION BY BOARD ORDER. The board by order

may dissolve the district at any time unless the district has

outstanding indebtedness or contractual obligations.

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

Sec. 3813.202. DISSOLUTION BY PETITION OF OWNERS. (a) The

board by order shall dissolve the district if the board receives

a written petition signed by 75 percent or more of the

individuals who own real property in the district.

(b) After the date the district is dissolved, the district may

not impose taxes.

(c) If on the date the district is dissolved the district has

outstanding liabilities, the board shall, not later than the 30th

day after the date of dissolution, adopt a resolution certifying

each outstanding liability. Harris County shall assume the

outstanding liabilities and shall collect the sales and use tax

for the district for the remainder of the calendar year. Harris

County may continue to collect the tax for an additional calendar

year if the commissioners court of the county finds that the tax

revenue is needed to retire the district liabilities that were

assumed by the county.

(d) The district may continue to operate for a period not to

exceed two months after performing its duties under Subsection

(c). The district is continued in effect for the purpose of

performing those duties.

(e) If the district is continued in effect under Subsection (d),

the district is dissolved entirely on the first day of the month

following the month in which the board certifies to the secretary

of state that the district has fully performed its duties under

Subsection (c).

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

Sec. 3813.203. ADMINISTRATION OF DISTRICT PROPERTY FOLLOWING

DISSOLUTION. (a) After the date the board orders the

dissolution of the district, the board shall transfer ownership

of all district property to Harris County, except as provided by

Subsection (b).

(b) If, on the date on which the board orders the dissolution,

more than 50 percent of the district territory is in a

municipality, the board shall transfer ownership of the

district's property to the municipality.

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


State Codes and Statutes

State Codes and Statutes

Statutes > Texas > Special-district-local-laws-code > Title-4-development-and-improvement > Chapter-3813-old-town-spring-improvement-district

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 4. DEVELOPMENT AND IMPROVEMENT

SUBTITLE C. DEVELOPMENT, IMPROVEMENT, AND MANAGEMENT

CHAPTER 3813. OLD TOWN SPRING IMPROVEMENT DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 3813.001. DEFINITIONS. In this chapter:

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

(2) "District" means the Old Town Spring Improvement District.

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

Sec. 3813.002. OLD TOWN SPRING IMPROVEMENT DISTRICT. The Old

Town Spring Improvement District 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. 3813.003. 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.

(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, scenic beauty, and

the public welfare in the Old Town Spring area of Harris County.

(c) This chapter and the creation of the district do not relieve

Harris County from providing the level of services provided as of

September 1, 2001, to the area in the district. The district is

created to supplement and not to replace the county services

provided in the area in the district.

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

Sec. 3813.004. FINDINGS OF BENEFIT AND PUBLIC PURPOSE; GENERAL

DUTIES. (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.

(c) The creation of the district is in the public interest and

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 shall:

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

residents, merchants, landowners, employers, potential employees,

employees, visitors, and consumers in the district, and of the

public;

(2) provide needed funding for the Old Town Spring area to

preserve, maintain, and enhance the economic health and vitality

of the area as a community and business center;

(3) provide and maintain common areas and facilities in the

district to ensure scenic beauty;

(4) provide improvements in the district to promote the welfare

of the public, residents, merchants, and landowners in the

district; and

(5) 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 beauty.

(e) 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. 3813.005. DISTRICT TERRITORY. (a) The district is

composed of the territory described by Section 1, Chapter 1371,

Acts of the 77th Legislature, Regular Session, 2001, enacting

former Section 376.454, Local Government Code, as that territory

may have been modified under:

(1) Section 3813.107(a) or its predecessor statute, former

Section 376.462(a)(3), Local Government Code, as added by Chapter

1371, Acts of the 77th Legislature, Regular Session, 2001;

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

(3) other law.

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

Section 1, Chapter 1371, Acts of the 77th Legislature, Regular

Session, 2001, enacting former Section 376.454, Local Government

Code, form a closure. A mistake in the field notes or in copying

the field notes in the legislative process does not in any way

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.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 3813.051. BOARD OF DIRECTORS. (a) The district is

governed by a board of five directors who occupy numbered

positions. The directors occupying positions one, two, and three

are appointed under this section, and the directors occupying

positions four and five are elected as provided by this section

and Section 3813.052.

(b) The Commissioners Court of Harris County shall appoint:

(1) one person who leases a retail store or who owns real

property in the district to serve in position one for a

three-year term;

(2) one person who leases a retail store but does not own real

property in the district to serve in position two for a two-year

term; and

(3) one person who owns real property in the district to serve

in position three for a three-year term.

(c) A director elected under Section 3813.052 serves a two-year

term. To qualify as a candidate for position four, a person must

reside in the district. To qualify as a candidate for position

five, a person must lease a retail store or own real property in

the district.

(d) A term expires on January 31 of the appropriate year.

(e) In appointing directors under Subsection (b), the

commissioners court shall consider any recommendation received by

an organization dedicated to the economic development of the Old

Town Spring area.

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

Sec. 3813.052. ELECTION OF DIRECTORS. (a) The board shall hold

an election of directors for positions four and five in each

even-numbered year on the uniform election date in February

established by Section 41.001, Election Code.

(b) In addition to the contents required by the Election Code,

notice of a directors' election must:

(1) state the number of directors to be voted on; and

(2) describe the qualifications for each position for which a

candidate is running.

(c) In addition to requirements prescribed by the Election Code,

the ballots for a directors' election shall describe the

qualifications of the position for which each candidate is

running.

(d) The board shall certify that the person receiving the

highest number of votes for each position is elected as the

director for that position.

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

Sec. 3813.053. LAW GOVERNING ADMINISTRATION OF BOARD. Sections

375.066-375.070, Local Government Code, apply to the board as if

it were established under Chapter 375 of that code.

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

Sec. 3813.054. VOTING BY BOARD PRESIDENT RESTRICTED. The board

president may not vote except to break a tie vote.

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

SUBCHAPTER C. POWERS AND DUTIES

Sec. 3813.101. DISTRICT POWERS. The district has:

(1) all powers necessary to accomplish the purposes for which

the district was created;

(2) the powers and duties of a municipal management district

under Subchapter E, Chapter 375, Local Government Code; and

(3) the powers given to a corporation organized under the

Development Corporation Act (Subtitle C1, Title 12, Local

Government Code).

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

Amended by:

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

885, Sec. 3.42, eff. April 1, 2009.

Sec. 3813.103. RULES. The district may adopt rules for:

(1) the administration and operation of the district;

(2) the use, enjoyment, availability, protection, security, and

maintenance of the district's facilities; and

(3) the provision of public safety and security in the district.

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

Sec. 3813.104. SPECIFIC POWERS RELATING TO IMPROVEMENT PROJECTS

OR SERVICES. (a) The district may undertake an improvement

project separately or jointly with another person and pay all or

part of the costs of an improvement project, including an

improvement project that:

(1) improves, enhances, or supports public safety and security,

fire protection, emergency medical services, or law enforcement

in the district;

(2) confers a general benefit on the entire district and the

areas adjacent to the district; or

(3) confers a special benefit on all or part of the district.

(b) A district improvement project or service may include:

(1) the construction, acquisition, lease, rental, installment

purchase, improvement, rehabilitation, repair, relocation, and

operation of:

(A) landscaping; lighting, banners, or signs; streets or

sidewalks; pedestrian or bicycle paths and trails; pedestrian

walkways, skywalks, crosswalks, or tunnels; and highway

right-of-way or transit corridor beautification and improvements;

(B) drainage or storm water detention improvements and solid

waste, water, sewer, or power facilities and services, including

electrical, gas, steam, and chilled water facilities and

services;

(C) parks, lakes, gardens, recreational facilities, open space,

scenic areas, and related exhibits and preserves; fountains,

plazas, or pedestrian malls; public art or sculpture and related

exhibits and facilities and educational or cultural exhibits and

facilities, including exhibits, displays, attractions, or

facilities for special events, holidays, or seasonal or cultural

celebrations;

(D) off-street parking facilities, bus terminals, heliports,

mass transit, and roadway or water transportation systems; and

(E) other public improvements, facilities, or services similar

to the improvements, facilities, or services described by

Paragraphs (A)-(D);

(2) the cost of removing, razing, demolishing, or clearing of

land or improvements in connection with providing an improvement

project;

(3) the acquisition of property or an interest in the property

that is made in connection with an improvement project; and

(4) the provision of special or supplemental services to improve

or promote the area in the district or to protect the public

health and safety in the district, including advertising,

promotion, tourism, health and sanitation, public safety,

security, fire protection or emergency medical services, business

recruitment, development, elimination of traffic congestion, and

recreational, educational, or cultural improvements,

enhancements, or services.

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

Sec. 3813.105. LEASE, ACQUISITION, OR CONSTRUCTION OF BUILDING

OR FACILITY; ECONOMIC DEVELOPMENT PROGRAMS. The district may, as

if the district were a home-rule municipality with a population

of more than 100,000:

(1) issue bonds and lease, acquire, or construct a building or

facility as provided by Subchapter A, Chapter 1509, Government

Code; and

(2) establish and administer a program as provided by Section

380.002, Local Government Code.

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

Sec. 3813.106. CONTRACTS; GRANTS; DONATIONS. (a) The district

may contract with any person to accomplish the purposes of this

chapter on terms and for the period the board determines,

including contracting for the payment of costs incurred by the

person on behalf of the district, including all or part of the

costs of an improvement project, from tax proceeds or any other

specified source of money.

(b) The district may contract with a person to receive,

administer, and perform the district's duties under a gift,

grant, loan, conveyance, transfer, bequest, donation, or other

financial arrangement relating to the investigation, planning,

analysis, acquisition, construction, completion, implementation,

or operation of a proposed or existing improvement project.

(c) Any person, including any type of governmental entity, may

contract with the district to carry out the purposes of this

chapter.

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

Sec. 3813.107. ANNEXATION OR EXCLUSION OF TERRITORY. (a) The

district may add or exclude territory in the manner provided by

Subchapter J, Chapter 49, Water Code.

(b) Not later than the 10th day after the date on which the

district annexes or excludes territory, the board shall send to

the comptroller a certified copy of any resolution, order, or

ordinance relating to the annexation or exclusion.

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

Sec. 3813.108. EMINENT DOMAIN. The district may not exercise

the power of eminent domain.

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

Sec. 3813.109. PEACE OFFICERS. The district may not employ

peace officers.

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

SUBCHAPTER D. FINANCIAL PROVISIONS

Sec. 3813.151. SALES AND USE TAX; EXCISE TAX. (a) For purposes

of this section:

(1) "Taxable items" includes all items subject to a sales and

use tax that is imposed by Harris County.

(2) "Use," with respect to a taxable service, means the

derivation in the district of a direct or indirect benefit from

the service.

(b) The district may impose a sales and use tax if authorized by

a majority vote at an election held for that purpose.

(c) If the district adopts a sales and use tax:

(1) the tax is imposed on the receipts from the sale at retail

of taxable items in the district; and

(2) an excise tax is imposed on the use, storage, or other

consumption in the district of taxable items purchased or rented

from a retailer during the period in which the sales and use tax

is effective in the district.

(d) The rate of the excise tax is the same as the rate of the

sales tax portion of the tax applied to the sales price of the

taxable items and is included in the sales tax.

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

Sec. 3813.152. TAX ELECTION PROCEDURES. (a) The board may

order an election to adopt, change the rate of, or abolish a

sales and use tax. The election may be held at the same time and

in conjunction with a directors' election.

(b) The election must be held on the next uniform election date

that falls on or after the 45th day after the date the election

order is adopted.

(c) Notice of the election shall be given and the election shall

be held in the manner prescribed for a bond election by

Subchapter D, Chapter 49, Water Code.

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

Sec. 3813.153. BALLOT WORDING. (a) In an election to adopt a

sales and use tax, the ballot shall be prepared to permit voting

for or against the proposition: "The adoption of a local sales

and use tax in the Old Town Spring Improvement District at the

rate of (proposed tax rate)."

(b) In an election to change the rate of the sales and use tax,

the ballot shall be prepared to permit voting for or against the

proposition: "The (increase or decrease, as applicable) in the

rate of the local sales and use tax imposed in the Old Town

Spring Improvement District from (tax rate on election date)

percent to (proposed tax rate) percent."

(c) In an election to abolish the sales and use tax, the ballot

shall be prepared to permit voting for or against the

proposition: "The abolition of the local sales and use tax in the

Old Town Spring Improvement District."

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

Sec. 3813.154. IMPOSITION, COMPUTATION, ADMINISTRATION, AND

GOVERNANCE OF TAXES. (a) Chapter 323, Tax Code, to the extent

not inconsistent with this chapter, governs the application,

collection, and administration of the sales and use tax and the

excise tax, except that Sections 323.401-323.406 and 323.505, Tax

Code, do not apply. Subtitles A and B, Title 2, and Chapter 151,

Tax Code, govern the administration and enforcement of the sales

and use tax and the excise tax.

(b) Chapter 323, Tax Code, does not apply to the use and

allocation of revenues under this chapter.

(c) In applying Chapter 323, Tax Code:

(1) a reference in that chapter to "the county" means the

district; and

(2) a reference in that chapter to "the commissioners court"

means the board.

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

Sec. 3813.155. TAX RATES. The district may impose the sales and

use tax and the excise tax in increments of one-eighth of one

percent, with a minimum tax of one-half percent and a maximum tax

of one percent.

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

Sec. 3813.156. ABOLITION OF TAX. The board by order and without

an election may abolish the sales and use tax and the excise tax.

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

Sec. 3813.157. USE OF TAXES. The district may use the proceeds

from the sales and use tax and the excise tax only for the

purposes for which the district was created.

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

Sec. 3813.158. EFFECTIVE DATE OF TAX OR TAX CHANGE. The

adoption of a tax rate or a change in the tax rate takes effect

after the expiration of the first complete calendar quarter

occurring after the date on which the comptroller receives a

notice of the results of the election.

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

Sec. 3813.159. AD VALOREM TAX PROHIBITED. The district may not

impose an ad valorem tax on property in the district.

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

Sec. 3813.160. FEES; CHARGES. The district may:

(1) establish and collect user fees, concession fees, admission

fees, rental fees, or other similar fees or charges; and

(2) apply the proceeds from those fees or charges for the

enjoyment, sale, rental, or other use of the district's

facilities, services, or improvement projects.

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

Sec. 3813.161. BORROWING MONEY. The district may borrow money

for the corporate purposes of the district.

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

Sec. 3813.162. PAYMENT OF EXPENSES. The district may provide or

secure the payment or repayment of any district expense,

including:

(1) a district cost relating to an improvement project;

(2) a district contractual obligation or indebtedness, because

of a lease, installment purchase contract, or other agreement; or

(3) a tax, user fee, concession fee, rental fee, or other

revenue or resources of the district.

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

Sec. 3813.163. BONDS. (a) The board may issue bonds as

provided by Subchapter J, Chapter 375, Local Government Code.

(b) In addition to the sources described in Subchapter J,

Chapter 375, Local Government Code, bonds issued by the district

may be secured and made payable, in whole or in part, by a pledge

of any part of the net proceeds the district receives from a

specified portion of not more than one-half of the district's

maximum sales and use tax amount authorized under Section

3813.152.

(c) Sections 375.207 and 375.208, Local Government Code, do not

apply to bonds issued under this section.

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

SUBCHAPTER E. DISSOLUTION

Sec. 3813.201. DISSOLUTION BY BOARD ORDER. The board by order

may dissolve the district at any time unless the district has

outstanding indebtedness or contractual obligations.

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

Sec. 3813.202. DISSOLUTION BY PETITION OF OWNERS. (a) The

board by order shall dissolve the district if the board receives

a written petition signed by 75 percent or more of the

individuals who own real property in the district.

(b) After the date the district is dissolved, the district may

not impose taxes.

(c) If on the date the district is dissolved the district has

outstanding liabilities, the board shall, not later than the 30th

day after the date of dissolution, adopt a resolution certifying

each outstanding liability. Harris County shall assume the

outstanding liabilities and shall collect the sales and use tax

for the district for the remainder of the calendar year. Harris

County may continue to collect the tax for an additional calendar

year if the commissioners court of the county finds that the tax

revenue is needed to retire the district liabilities that were

assumed by the county.

(d) The district may continue to operate for a period not to

exceed two months after performing its duties under Subsection

(c). The district is continued in effect for the purpose of

performing those duties.

(e) If the district is continued in effect under Subsection (d),

the district is dissolved entirely on the first day of the month

following the month in which the board certifies to the secretary

of state that the district has fully performed its duties under

Subsection (c).

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

Sec. 3813.203. ADMINISTRATION OF DISTRICT PROPERTY FOLLOWING

DISSOLUTION. (a) After the date the board orders the

dissolution of the district, the board shall transfer ownership

of all district property to Harris County, except as provided by

Subsection (b).

(b) If, on the date on which the board orders the dissolution,

more than 50 percent of the district territory is in a

municipality, the board shall transfer ownership of the

district's property to the municipality.

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