HBA-ALS H.B. 2761 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2761
By: Williams
Land & Resource Management
4/5/1999
Introduced



BACKGROUND AND PURPOSE 

The Woodlands is a large master planned community located in Montgomery
County in the extraterritorial jurisdiction (ETJ) of the City of Houston.
Because the original developer  petitioned for inclusion in Houston's ETJ,
The Woodlands has been developed with the oversight of the City of Houston
Planning and Development Department for subdivision and thoroughfare
standards, and the city's Department of Public Works and Engineering for
utility development.  The Woodlands is located upstream of the City of
Houston's primary water reservoir, Lake Houston, but is not under the
jurisdiction of the Harris-Galveston Subsidence District, which has been a
primary agent for regional planning water resources in those two counties.
The Woodlands utility districts have contracted for their own source of
surface water with the San Jacinto River Authority.   

Because The Woodlands utility districts are not under the jurisdiction of a
subsidence district, there is no authority governing the possible
conversion of its water sources from well to surface water.   To address
this problem, the City of Houston and The Woodlands utility districts have
proposed a contract which requires enabling legislation to become
effective.  Although such a contract would not normally require
legislation, the proposed agreement includes a provision guaranteeing that
The Woodlands utility districts will not be annexed by the City for twelve
years, which must be authorized by state law.  Because a district facing
potential dissolution may have little incentive to undertake long-term
planning and infrastructure development work, this provision is included to
ensure that annexation will not result in dissolution of the districts
during this twelve-year period.  

H.B. 2761 sets forth that certain municipalities and conservation and
reclamation districts located in an extraterritorial jurisdiction may enter
into written regional development agreements to further regional
cooperation between districts. In addition, this bill sets forth the
required and optional provisions of such an agreement and its recording
requirements.    
 
RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 43, Subchapter D, Local Government Code, by
adding Section 43.0752, as follows:  

Sec. 43.0752.  REGIONAL DEVELOPMENT AGREEMENTS.  (a) Provides that it is
the intent of the legislature to make certain and expand the authority of
certain municipalities and conservation and reclamation districts that are
located in an extraterritorial jurisdiction to negotiate and enter into
mutually acceptable agreements in lieu of annexation.  

(b) Defines "municipality," "district,"  "planned community," and "regional
development agreement."   

(c)  Authorizes the governing body of a municipality and the governing body
of one or more districts to enter into a regional development agreement to
further regional cooperation between the district(s) and the municipality,
notwithstanding any general or special law or any home rule charter
provision to the contrary.  Describes the types of provisions which may be
included in such agreement. 
 (d)  Provides that a regional development agreement must be in writing and
is prohibited from becoming effective until it is approved by the governing
bodies of the municipality and the districts that are included as parties.
Authorizes the subsequent joinder or addition of other districts as
parties. Provides that, upon approval, a regional development agreement is
binding on subsequent governing bodies of the districts included or added
as parties and of the municipality. 
 
(e) Provides that a regional development agreement is not required to
include a description of the lands contained within the boundaries of the
districts included or added as parties, and is required to be recorded in
the deed records of the county or counties in which the land is located.  

(f) Provides that, upon recordation, a regional development agreement and
any proceedings evidencing the joinder or addition of one or more other
districts as parties binds each present and future owner of land which is
included within the districts included or added as parties.  Provides that
the future and present owners of added or excluded lands are be bound or
released accordingly, upon compliance with the requirements for recordation
included in Subchapter J, Chapter 49, Water Code (Annexation or Exclusion
of Land). 
 
(g)  Provides that Sections 42.023 (Reduction of Extraterritorial
Jurisdiction) and Section 42.041(b)-(e) (Municipal Incorporation in
Extraterritorial Jurisdiction), Local Government Code, are not applicable
to any land or owner of land within a district included or added as parties
to a regional development agreement during the period of deferral of
annexation established in a regional development agreement, and requires a
proceeding that is initiated pursuant to an agreement but is not completed
prior to the effective date of this section to be suspended during such
deferral period.  

(h)  Prohibits this section from being construed to permit or require a
district to provide public services and facilities or to make payment of
public funds from sources not otherwise authorized by law.  Authorizes a
district, for specified consideration, to contract with a person to provide
a service or facility or the payment of funds by the person, at no cost to
the district, in furtherance of a regional development agreement to which
the district is a party. 

(i)  Provides that a regional development agreement and any action taken by
the parties pursuant to such an agreement are not subject to approval or an
appeal brought under the Water Code.  

(j)  Requires that this section be liberally construed so as to give effect
to its legislative purposes and to sustain the validity of regional
development agreements, whether entered into pursuant to or in anticipation
of the authority granted by this section.  

SECTION 2.  Makes application of this Act retroactive.

SECTION 3.  Provides that this Act is intended as remedial legislation to
facilitate and to relieve any uncertainty under existing law as to the
authority of certain municipalities and districts to enter into regional
development agreements.  

SECTION 4.  Provides that the legislature finds that a public necessity
exists to make certain the law governing the authority of municipalities
and certain conservation and reclamation districts to enter into mutually
acceptable agreements providing for the joint funding of services in lieu
of annexation.  

SECTION 5.  Provides that the public benefits and the furtherance of the
legislative goal of conservation and development of the natural resources
of the state to be derived from making certain the existing law so as to
facilitate regional development agreements.  

SECTION 6.Emergency clause.
  Effective date: 90 days after adjournment.