HBA-MSH C.S.S.B. 647 77(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.S.B. 647
By: Lindsay
County Affairs
4/29/2001
Committee Report (Substituted)



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.  C.S.S.B. 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

C.S.S.B. 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.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.H.B. 647 differs from the original by requiring that the election of
directors for positions four and five be held in each even-numbered rather
than odd-numbered year on the uniform election date in January rather than
May.  The substitute provides that directors, the terms of  the initial
directors for positions 1 and 3 expire on January 31, 2005 rather than
December 31, 2004, and that the terms of the initial directors for
positions 2, 4, and 5 expire on January 31, 2004 rather than December 31,
2003.