SPECIAL DISTRICTS CODE
CHAPTER 3802. WESTCHASE DISTRICT
SUBCHAPTER A. GENERAL PROVISIONS
§ 3802.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the
district.
(2) "District" means the Westchase District.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.002. WESTCHASE DISTRICT. A special district in
Harris County known as the "Westchase District" is a governmental
agency and political subdivision of this state.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.003. PURPOSE; DECLARATION OF INTENT. (a) The
creation of the district is essential to accomplish the purposes of
Sections 52 and 52-a, Article III, and Section 59, Article XVI,
Texas Constitution, and other public purposes stated in this
chapter. By creating the district and in authorizing Harris
County, the City of Houston, and other political subdivisions to
contract with the district, the legislature has established a
program to accomplish the public purposes set out in Section 52-a,
Article III, Texas Constitution.
(b) The creation of the district is necessary to promote,
develop, encourage, and maintain employment, commerce,
transportation, housing, tourism, recreation, the arts,
entertainment, economic development, safety, and the public
welfare in the Westchase area of Harris County.
(c) This chapter and the creation of the district may not be
interpreted to relieve Harris County or the City of Houston from
providing the level of services provided as of August 28, 1995, to
the area in the district or to release the county or the city from
the obligations of each entity to provide services to that area.
The district is created to supplement and not to supplant the county
or city services provided in the area in the district.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.004. FINDINGS OF BENEFIT AND PUBLIC
PURPOSE. (a) The district is created to serve a public use and
benefit.
(b) All land and other property included in the district
will benefit from the improvements and services to be provided by
the district under powers conferred by Sections 52 and 52-a,
Article III, and Section 59, Article XVI, Texas Constitution, and
other powers granted under this chapter.
(c) The creation of the district is in the public interest
and is essential to:
(1) further the public purposes of developing and
diversifying the economy of the state;
(2) eliminate unemployment and underemployment; and
(3) develop or expand transportation and commerce.
(d) The district will:
(1) promote the health, safety, and general welfare of
residents, employers, employees, visitors, and consumers in the
district, and of the public;
(2) provide needed funding for the Westchase area to
preserve, maintain, and enhance the economic health and vitality of
the area as a community and business center; and
(3) promote the health, safety, welfare, and enjoyment
of the public by providing pedestrian ways and by landscaping and
developing certain areas in the district, which are necessary for
the restoration, preservation, and enhancement of scenic and
aesthetic beauty.
(e) Pedestrian ways along or across a street, whether at
grade or above or below the surface, and street lighting, street
landscaping, and street art objects are parts of and necessary
components of a street and are considered to be a street or road
improvement.
(f) The district will not act as the agent or
instrumentality of any private interest even though the district
will benefit many private interests as well as the public.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.005. DISTRICT TERRITORY. (a) The district is
composed of the territory described by Section 23.04(b), Chapter
165, Acts of the 75th Legislature, Regular Session, 1997, enacting
former Section 376.044, Local Government Code, as that territory
may have been modified under:
(1) Subchapter J, Chapter 49, Water Code; or
(2) other law.
(b) The boundaries and field notes of the district contained
in Section 23.04(b), Chapter 165, Acts of the 75th Legislature,
Regular Session, 1997, enacting former Section 376.044, Local
Government Code, form a closure. A mistake in the field notes or in
copying the field notes in the legislative process does not affect
in any way:
(1) the district's organization, existence, and
validity;
(2) the district's right to issue any type of bond,
including a refunding bond, for a purpose for which the district is
created or to pay the principal of and interest on the bond;
(3) the district's right to impose and collect an
assessment or tax; or
(4) the legality or operation of the district or the
board.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.006. APPLICABILITY OF OTHER LAW. Except as
otherwise provided by this chapter, Chapter 375, Local Government
Code, applies to the district.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.007. LIBERAL CONSTRUCTION OF CHAPTER. This
chapter shall be liberally construed in conformity with the
findings and purposes stated in this chapter.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
SUBCHAPTER B. BOARD OF DIRECTORS
§ 3802.051. BOARD OF DIRECTORS; TERMS. The district is
governed by a board of 17 directors who serve staggered terms of
four years, with eight or nine directors' terms expiring June 1 of
each odd-numbered year.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.052. APPOINTMENT OF DIRECTORS. (a) The mayor
and members of the governing body of the City of Houston shall
appoint directors from persons recommended by the board.
(b) The mayor and members of the governing body of the City
of Houston shall appoint as directors for the positions indicated
persons representing the following interests:
(1) positions 1, 11, and 12 must represent owners of
multifamily rental housing with at least 200 rental units;
(2) position 2 must be a lessee of office space of at
least 30,000 square feet of rentable area;
(3) positions 9 and 10 must represent owners of office
facilities with at least 500 employees or a taxable value in excess
of $10 million;
(4) positions 8, 13, and 14 must represent owners of
multitenant office buildings;
(5) position 15 must represent owners of multitenant
retail property or major retail tenants of at least 20,000 square
feet;
(6) position 16 must represent owners of temporary
lodging facilities with on-site food service;
(7) position 17 must represent owners of undeveloped
property with a contiguous area of at least five acres; and
(8) positions 3, 4, 5, 6, and 7 must represent the
district at large and may be filled by any person qualified to serve
on the board as provided by Section 375.063, Local Government Code.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.053. EX OFFICIO DIRECTORS. The board may appoint
nonvoting ex officio directors to serve on the board.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
SUBCHAPTER C. POWERS AND DUTIES
§ 3802.101. DISTRICT POWERS. The district has:
(1) all powers necessary to accomplish the purposes
for which the district was created;
(2) the rights, powers, privileges, authority, and
functions of a district created under Chapter 375, Local Government
Code; and
(3) the powers given to a corporation under Section
4B, Development Corporation Act of 1979 (Article 5190.6, Vernon's
Texas Civil Statutes), and the power to own, operate, acquire,
construct, lease, improve, and maintain projects described by that
section.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.102. RELATION TO OTHER LAW. This chapter
prevails over a law to which Section 3802.101 or 3802.156 refers
that is in conflict with or is inconsistent with this chapter.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.103. CONTRACTS; GRANTS. (a) To protect the
public interest, the district may contract with Harris County or
the City of Houston for the county or the city to provide law
enforcement services in the district for a fee.
(b) Harris County, the City of Houston, or another political
subdivision of this state, without further authorization, may
contract with the district to implement a project of the district or
assist the district in providing the services authorized under this
chapter. A contract under this subsection may:
(1) be for a period on which the parties agree;
(2) include terms on which the parties agree;
(3) be payable from taxes or any other source of
revenue that may be available for that project or service; or
(4) provide terms under which taxes or other revenue
collected at a district project or from a person using or purchasing
a commodity or service at a district project may be paid or rebated
to the district.
(c) The district may enter into a contract, lease, or other
agreement with or make or accept a grant or loan to or from any
person, including:
(1) the United States;
(2) this state or a state agency;
(3) any political subdivision of this state; and
(4) a public or private corporation, including a
nonprofit corporation created by the board under other law.
(d) The district may perform all acts necessary for the full
exercise of the powers vested in the district on terms and for the
period the board determines advisable.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.104. COMPETITIVE BIDDING. The district may
enter into a contract for more than $10,000 for services,
improvements, or the purchase of property, including materials,
machinery, equipment, and supplies, only as provided by Subchapter
K, Chapter 375, Local Government Code.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.105. APPROVAL OF CERTAIN IMPROVEMENT
PROJECTS. The district must obtain the City of Houston's approval
of the plans and specifications of any district improvement project
related to the use of land owned by the City of Houston, an easement
granted by the City of Houston, or a right-of-way of a street, road,
or highway.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
SUBCHAPTER D. FINANCIAL PROVISIONS
§ 3802.151. PETITION REQUIRED FOR FINANCING SERVICES AND
IMPROVEMENTS. The board may not finance a service or an
improvement project under this chapter unless a written petition
requesting that service or improvement has been filed with the
board. The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district according to the most recent
certified tax appraisal roll for Harris County; or
(2) at least 50 owners of property in the district, if
more than 50 persons own property in the district according to the
most recent certified tax appraisal roll for Harris County.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.152. DISBURSEMENTS AND TRANSFERS OF MONEY. The
board by resolution shall establish the number of directors'
signatures and the procedure required for a disbursement or
transfer of the district's money.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.153. AUTHORITY TO IMPOSE AD VALOREM TAXES,
ASSESSMENTS, AND IMPACT FEES. The district may impose an ad
valorem tax, assessment, or impact fee as provided by Chapter 375,
Local Government Code, to provide an improvement or service for a
project or activity the district may acquire, construct, improve,
or provide under this chapter.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.154. MAINTENANCE TAX. (a) If authorized at an
election held in accordance with Section 3802.159, the district may
impose an annual ad valorem tax on taxable property in the district
to:
(1) maintain and operate the district and the
improvements constructed or acquired by the district; or
(2) provide services to industrial or commercial
businesses, residents, or property owners.
(b) The board shall determine the tax rate.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.155. ASSESSMENTS; LIENS FOR
ASSESSMENTS. (a) The board by resolution may impose and collect
an assessment for any purpose authorized by this chapter.
(b) An assessment, a reassessment, or an assessment
resulting from an addition to or correction of the assessment roll
by the district, penalties and interest on an assessment or
reassessment, an expense of collection, and reasonable attorney's
fees incurred by the district:
(1) are a first and prior lien against the property
assessed;
(2) are superior to any other lien or claim other than
a lien or claim for county, school district, or municipal ad valorem
taxes; and
(3) are the personal liability of and a charge against
the owners of the property even if the owners are not named in the
assessment proceeding.
(c) The lien is effective from the date of the board's
resolution imposing the assessment until the date the assessment is
paid. The board may enforce the lien in the same manner that the
board may enforce an ad valorem tax lien against real property.
(d) The board may correct, add to, or delete assessments
from its assessment rolls after notice and hearing as provided by
Subchapter F, Chapter 375, Local Government Code.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.156. TAX AND ASSESSMENT ABATEMENTS. Without
additional procedures, the district may grant, consistent with
Chapter 312, Tax Code, an abatement for a tax or assessment owed to
the district.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.157. PROPERTY EXEMPT FROM ASSESSMENT AND IMPACT
FEES. The district may not impose an assessment or impact fee on
the property, equipment, or facilities of:
(1) an electric utility, as defined by Section 31.002,
Utilities Code; or
(2) a public utility, as defined by Section 51.002,
Utilities Code.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.158. OBLIGATIONS; APPROVAL BY CITY OF
HOUSTON. (a) The district may issue bonds or other obligations
payable in whole or in part from ad valorem taxes, assessments,
impact fees, revenue, grants, or other money of the district, or any
combination of those sources of money, to pay for any authorized
purpose of the district.
(b) In exercising the district's borrowing power, the
district may issue a bond or other obligation in the form of a bond,
note, certificate of participation or other instrument evidencing a
proportionate interest in payments to be made by the district, or
other type of obligation.
(c) Except as provided by Subsection (d), the district must
obtain the approval of the City of Houston:
(1) for the issuance of a bond for each improvement
project; and
(2) of the plans and specifications of the improvement
project to be financed by the bond.
(d) If the district obtains the approval of the City of
Houston of a capital improvements budget for a specified period not
to exceed five years, the district may finance the capital
improvements and issue bonds specified in the budget without
further approval from the City of Houston.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.159. ELECTIONS REGARDING TAXES OR
BONDS. (a) In addition to the elections required under
Subchapter L, Chapter 375, Local Government Code, the district must
hold an election in the manner provided by that subchapter to obtain
voter approval before the district may:
(1) impose a maintenance tax; or
(2) issue a bond payable from ad valorem taxes or
assessments.
(b) The board may submit multiple purposes in a single
proposition at an election.
(c) The board may not call an election under this chapter
unless a written petition requesting an election has been filed
with the board. The petition must be signed by:
(1) the owners of a majority of the assessed value of
real property in the district according to the most recent
certified tax appraisal roll for Harris County; or
(2) at least 50 persons who own property in the
district, if there are more than 50 persons who own property in the
district according to the most recent certified tax appraisal roll
for Harris County.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
§ 3802.160. SALES AND USE TAX PROHIBITED. The district
may not impose a sales and use tax.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.
SUBCHAPTER E. DISSOLUTION
§ 3802.201. DISSOLUTION OF DISTRICT WITH OUTSTANDING
DEBT. Despite this section and Section 375.264, Local Government
Code, the district may be dissolved as provided by Subchapter M,
Chapter 375, Local Government Code, if the district has debt. If
the district has debt when it is dissolved, the district shall
remain in existence solely for the purpose of discharging its bonds
or other obligations according to their terms.
Acts 2003, 78th Leg., ch. 1277, § 1, eff. April 1, 2005.