HBA-CMT H.B. 3633 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3633
By: Hope
County Affairs
4/1/2001
Introduced



BACKGROUND AND PURPOSE 

In 1997 the 75th Legislature created the East Montgomery County Improvement
District (district).  The district has requested several changes to its
statutes to make the district more effective and efficient.  House Bill
3633 sets forth changes to allow the district to operate more effectively
and efficiently. 

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. 

ANALYSIS

House Bill 3633 amends law to provide that the boundaries of the East
Montgomery County Improvement District (district) do not include any
portion of the New Caney Independent School District as it existed on
January 1, 2001.   

The bill requires that after the board of directors of the district (board)
have been selected and qualified, they are to reorganize by electing a
chair, a vice chair, a secretary, and other officers of the board as the
board considers necessary.   

The bill authorizes the district to contract with off-duty peace officers
to provide public safety and security services in connection with a special
event, holiday, period with high traffic congestion, or similar
circumstance and to provide public safety and security services at district
facilities and property.  The board is authorized to employ and establish
the terms of employment and compensation of an executive director or
general manager or any officer of the board considers necessary. 

The bill provides that the board is not authorized to call an election to
abolish a sales and use tax or to reduce the rate of the sales and use tax
below the amount pledged to secure payment of any outstanding district debt
while any district debt remains outstanding.  The bill sets forth
provisions pertaining to the sales and use tax that the district is
authorized to impose and collect.   

The bill authorizes the proceeds of bonds issued by the district that
remain after the payment of the cost of issuing the bonds and all costs
associated with the projects for which the bonds were sold to be spent by
the district for any lawful purpose or for any project the district is
authorized to undertake. 

EFFECTIVE DATE

September 1, 2001.