HBA-NLM H.B. 3745 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3745
By: Wilson
Land & Resource Management
3/29/1999
Introduced



BACKGROUND AND PURPOSE 

The City of Houston has recently annexed two communities.  H.B. 3745
creates a new section in the Local Government Code to establish procedures
and provisions for the disannexation of certain areas.  This bill provides
for the disannexation of territory that has been annexed by a municipality
with a population of more than 1.6 million and in which an election
approving the annexation has not been held, regardless of when the
annexation occurred.   

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 Subchapter G, Chapter 43, Local Government Code, by
adding Section 43.148, as follows: 

Sec. 43.148.  DISANNEXATION OF CERTAIN AREAS.  (a)  Applies this section to
territory that has been annexed by a municipality with a population of more
than 1.6 million and in which an election approving the annexation has not
been held, regardless of when the annexation occurred.  

(b)  Requires the county in which the tract is located to hold an election
on disannexation of the tract from the municipality if the county clerk
receives a petition asking for an election signed by at least 10 percent of
the registered voters who reside in the tract. Requires the county clerk to
determine the validity of the petition under Chapter 277 (Petition
Prescribed by Law Outside Code), Election Code, not later than the 30th day
after the date the petition is received.  Prohibits a petition to hold an
election under this section from being submitted after the fourth
anniversary of the date of the annexation of the tract.  

(c)  Requires the county judge to order the election to be held on the
first uniform election date that occurs at least 45 days after the earlier
of the date the county clerk determines the petition is valid, or  the time
for making a determination under Subsection (b) expires, if the county
clerk determines that a petition filed under Subsection (b) is valid or if
the county clerk fails to make a determination within the time prescribed
by that subsection. 
 
(d)  Authorizes only a registered voter residing in the tract to vote in
the election. Requires the municipality that annexed the tract to pay for
the cost of holding the election.  

(e)  Requires the ballots  at the election to be prepared to permit voting
for or against the following proposition:  "The disannexation of (name of
tract) from the City of (name of city) and the reestablishment of any
municipal utility district or other special districts serving (name of
tract)."  Requires the county to designate the name of the tract based on a
name commonly used in the region to identify the tract.  

 (f)   Provides that the tract is disannexed from the municipality and any
municipal utility district or other special district that served the tract
on the date the tract was annexed and that was abolished as a result of the
annexation is reestablished on the date of the canvass of the election, if
a majority of the votes cast at the election favor the proposition.
Provides that the officers of a reestablished district who were serving on
the date the tract was annexed are the officers of the reestablished
district.  Requires the officer to serve until the officer's successor is
qualified, and requires a successor to be elected or appointed in a timely
manner in accordance with the law governing the district, if an officer's
term has expired. 

(g) Provides that if less than a majority of the votes cast at the election
favor the proposition, the tract remains a part of the municipality and
prohibits another election to disannex the tract from being held under this
section.  

(h)  Prohibits the municipality from reannexing  any portion of a tract
that is disannexed under this section unless the reannexation is approved
at an election conducted by the municipality in the area to be annexed.
Prohibits the reannexation from occurring unless a majority of the votes
cast in the area approve the reannexation.  

(i) Requires an arbitration panel to be appointed not later than the 10th
day after the date a disannexation occurs under this section. Specifies
that the panel is composed of  certain persons. 

(j) Requires the arbitration panel to conduct certain accounting
procedures.  Requires the arbitration panel to render a decision on whether
the municipality or special districts are entitled to compensation from the
other, not later than the 120th day after the date of disannexation.  

(k)  Provides that a decision of the arbitration panel is reviewable in the
district court of the county under the substantial evidence rule.
Authorizes the municipality or an affected district to file an original
action for an accounting under Subsection (j) in the district court of the
county in which the tract is located, if the arbitrators are unable to
reach a majority decision.  

(l)  Applies Chapter 171 (General Arbitration), Civil Practice and Remedies
Code, to an arbitration under this section, except as otherwise provided by
this section.  

(m)  Provides that in this section a tract of land is considered to be
located in the county in which a majority of the area of the tract is
located.  

(n)   Provides that if the tract is located in more than one county, the
county clerk of the county in which a majority of the area of the tract is
located is required to conduct the verification procedure described by
Subsection (b), and the county judge of each county in which the tract is
located is required under Subsection (c), to call an election to be held in
the part of the tract that is located in the county in which the county
judge serves.  

(o)   Requires the county judge of the county in which a majority of the
area of the tract is located, if an election is called under Subsection (n)
in more than one county, to combine the election returns after the election
returns are canvassed in each county, to determine if the disannexation is
approved in the tract as a whole. 

SECTION 2.   Emergency clause.
  Effective date: upon passage.