HBA-MSH S.B. 647 77(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 647 By: Lindsay County Affairs 4/16/2001 Engrossed BACKGROUND AND PURPOSE The Old Town area of Spring in Harris County contains more than 150 retail stores. The area has had difficulty accommodating increased population growth. The creation of an improvement district would enable Old Town Spring to raise funds and conduct improvements to promote economic and cultural growth in the area. Senate Bill 647 creates the Old Town Spring Improvement District. 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 Senate Bill 647 amends the Local Government Code to create the Old Town Spring Improvement District (district) to promote economic growth, cultural development, and the public welfare (Sec. 376.451). The bill provides that the district is governed by a board of five directors (board), two of whom are elected and three of whom are appointed. The bill sets forth provisions relating to the terms, qualifications, appointment, election, and administration of the board and names temporary directors (Sec. 376.457376.460 and SECTION 3). The bill authorizes the district to impose a sales and use tax if authorized at an election (Sec. 376.462 and 376.466). The bill sets forth the general and specific powers of the district. The bill authorizes the district borrow money, add or exclude territory, contract with a person to accomplish the district's purposes, contract with a person to receive a gift or loan, establish and collect user fees, undertake improvement projects, issue bonds, and lease, acquire or construct a building or facility. The bill authorizes the district to adopt rules for the administration and operation of the district. The bill prohibits the district from employing peace officers or imposing an ad valorem property tax (Sec. 376.462). The bill grants the district specific powers relating to improvements. (Sec. 376.463). The bill prohibits the district from exercising the power of eminent domain (Sec. 376.465). The bill sets forth provisions relating to the dissolution of the district (Secs. 376.476-376.478). EFFECTIVE DATE September 1, 2001.