WATER CODE
CHAPTER 57. LEVEE IMPROVEMENT DISTRICTS
SUBCHAPTER A. GENERAL PROVISIONS
§ 57.001. DEFINITIONS. In this chapter:
(1) "District" means levee improvement district.
(2) "Board" means the board of directors of a levee
improvement district.
(3) "Water commission" means the Texas Natural
Resource Conservation Commission.
(4) "Commissioners court" means the commissioners
court of the county in which the district is located or the
commissioners court of the county of jurisdiction.
(5) "Executive director" means the executive director
of the Texas Natural Resource Conservation Commission.
(6) "Commission" means the Texas Natural Resource
Conservation Commission.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 982, ch. 367, § 30, eff. June
10, 1981; Acts 1985, 69th Leg., ch. 795, § 1.147, 1.155, eff.
Sept. 1, 1985; Acts 1991, 72nd Leg., 1st C.S., ch. 3, § 1.079,
eff. Aug. 12, 1991.
SUBCHAPTER B. CREATION OF DISTRICT
§ 57.011. CREATION. A levee improvement district may be
created in the manner prescribed by this chapter under Article XVI,
Section 59, of the Texas Constitution.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.012. PETITION. (a) Before a district is created,
a petition must be presented to the commissioners court or to the
county judge of the county if the commissioners court is not in
session.
(b) The petition, signed by the owners of a majority of the
acreage of the proposed district, shall:
(1) describe the proposed boundaries of the district;
(2) state the general nature of the proposed
improvements and their necessity and feasibility;
(3) state whether the taxes proposed to be levied in
the district are to be levied on the ad valorem basis or on the
benefit basis; and
(4) designate a name for the district which shall
include the name of the county in which the district is located.
(c) If the proposed district is composed of land in two or
more counties, the petition must designate one of the counties in
which any part of the district is to be located as the county of
jurisdiction, and this county has jurisdiction over all matters
concerning the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.013. DEPOSIT. (a) A petition for creation of a
district shall be accompanied by a deposit of $50, and if the
district is to be composed of more than one county, the deposit
shall be $75.
(b) The deposit shall be paid to the clerk of the
commissioners court and the clerk shall use the deposit to pay all
expenses incident to the hearing on the petition. The clerk shall
pay the expenses with vouchers approved by the county judge.
(c) If any of the deposit is left after the expenses are
paid, the clerk shall return the excess to the petitioners or their
attorney.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.014. HEARING ON PETITION. The commissioners court
or the county judge to which the petition is presented shall fix a
time and place for the hearing on the petition before the
commissioners court. The hearing must be held during the period
beginning with the 15th day and ending with the 30th day after the
date of the order.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.015. NOTICE OF HEARING. (a) The commissioners
court shall order the county clerk to issue notice informing all
persons concerned of the time and place of the hearing, and of their
right to appear at the hearing to contend for or contest the
creation of the district, and the county clerk shall deliver the
notice to any adult person who is willing to post it.
(b) The notice shall be posted at the courthouse door and at
a place inside the proposed district. If the district is located in
more than one county, the person posting the notice shall post a
copy at the courthouse door in each county in which any portion of
the proposed district is located and at a place inside the
boundaries of that portion of the district located in each county.
The notice shall be posted for at least 10 days before the date of
the hearing.
(c) Any person who posts the notice shall make an affidavit
before some officer authorized by law to administer oaths that he
posted the notices. The affidavit is conclusive of the sworn facts.
(d) The order of the commissioners court shall direct the
county clerk to mail notice of the hearing to the executive director
in Austin, Texas. The notice shall state that the petition has been
filed and shall include a statement of the petition's general
purpose and the time and the place of the hearing.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 982, ch. 367, § 31, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 34, eff. June 18,
2003.
§ 57.016. INVESTIGATION BY EXECUTIVE
DIRECTOR. (a) When the executive director receives the notice
provided for in Section 57.015(d), he shall examine the proposed
district, and do the work required to determine the necessity,
feasibility, and probable costs of reclaiming the land of the
district from overflow and of draining it properly. The executive
director shall also determine the costs of organizing the district
and maintaining it for two years.
(b) A representative of the executive director shall attend
the hearing on the petition to create the district and file a
written report with the commissioners court on matters which have
been investigated. The executive director shall furnish the
commissioners court any additional information that is required.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 961, ch. 367, § 1, eff. June
10, 1981.
§ 57.017. HEARING PROCEDURE. (a) The commissioners
court has exclusive jurisdiction to determine all issues with
respect to the creation of the district and all issues involved in
proceedings with respect to the district after it has been created.
(b) The commissioners court may adjourn the hearing from day
to day and from time to time.
(c) The commissioners court may make all incidental orders
deemed proper with respect to the matters before it.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.018. CONDUCT OF HEARING. At the hearing, the
commissioners court shall hear the petition and all issues with
respect to the creation of the proposed district. Any person
interested, or his attorney, may appear and contend for or contest
the creation of the district and offer testimony pertinent to any
issue presented.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.019. FINDINGS AND JUDGMENT. (a) Before the
commissioners court determines that the district should be created,
it must find:
(1) that the petition is signed by the owners of a
majority of the acreage in the proposed district;
(2) that notice of the hearing was given;
(3) that the proposed improvements are desirable,
feasible, and practicable; and
(4) that the proposed improvements would be a public
utility and a public benefit and would be conducive to public
health.
(b) If the commissioners court determines that the district
should be created, it shall render a judgment which recites its
findings and establishes the district.
(c) The commissioners court shall include its findings and
judgment in an order which shall be recorded in the minutes of the
commissioners court. The order shall define the boundaries of the
district, but it does not have to include all of the land described
in the petition if at the hearing a modification or change in the
district is found to be necessary.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.020. APPEAL OF DISMISSAL OF PETITION. If at the
hearing on the petition the commissioners court enters an order
dismissing the petition, the petitioners or any one of them or any
taxpayer in the district may appeal the order to the district court
of the county.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.021. NOTICE OF APPEAL. (a) Notice of the appeal
shall be given by announcement at the time the order of the
commissioners court is recorded or by written notice within the
two-day period immediately following the entry of the order.
(b) If the notice is announced at the time the order is
entered, the notice shall be entered in the minutes of the
commissioners court.
(c) Written notice given under this section shall include a
simple statement that the undersigned is appealing the order of the
commissioners court and shall be filed with the county clerk.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.022. APPEAL BOND. Within five days from the date
the order is recorded, the appellant must file an appeal bond with
two or more good and sufficient sureties, payable to the county
judge, approved by the county clerk, and conditioned upon the due
prosecution of the appeal and payment of all costs incident to the
appeal. No extension of time will be granted for filing the appeal
bond.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.023. TIME FOR APPEAL. Unless the appeal is
perfected according to Sections 57.021-57.022 of this code within
five days after the order is rendered, the order shall be final and
conclusive.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.024. TRANSFER OF RECORDS AND ORDERS. Within five
days after the appeal bond is filed, the county clerk must transfer
to the clerk of the district court all the records filed with the
commissioners court which relate to the establishment of the
district and a transcript of the orders of the commissioners court.
No additional pleadings are required.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.025. TRIAL OF APPEAL AND JUDGMENT. (a) The
district court shall set the appeal for a hearing. The appeal shall
be tried de novo.
(b) The judgment of the district court shall be final and
conclusive, and the decision shall be certified to the
commissioners court for its further action.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 2646, ch. 707, § 4(45), eff.
Aug. 31, 1981.
§ 57.026. AUTHORIZING DISTRICTS TO OPERATE UNDER THIS
CHAPTER. (a) Districts that are organized under the laws of this
state for the purpose of reclaiming lands through a system of levees
and drainage and that are not governed by the provisions of laws of
this state are entitled to and may exercise all the rights, powers,
and privileges conferred by this chapter on districts created under
it. They are also entitled to exercise all of the enlarged powers
which may be conferred under Article XVI, Section 59, of the Texas
Constitution.
(b) Before a district may operate under the provisions of
this chapter, the owners of a majority of the acreage of the
district must present to the commissioners court of the county in
which the district is located a petition requesting that a hearing
be ordered to determine whether or not the district may avail itself
of the provisions of this chapter.
(c) The commissioners court shall fix a time and place for
the hearing, and give notice according to the provisions of Section
57.015 of this code.
(d) At the hearing the commissioners court shall hear
evidence for and against the issue presented by the petition. If it
finds that the interests of the district would be promoted by
granting the petition, it shall enter a judgment in the record,
declaring that:
(1) it is in the interest of the district to avail
itself of all rights, powers, and privileges conferred by this
chapter on district created under it;
(2) the district on behalf of which the petition is
filed is entitled to and may exercise all rights, powers, and
privileges conferred by this chapter on districts created by it;
and
(3) the district may exercise all the rights, powers,
and privileges as if it were created under this chapter, and shall
proceed as if it were created under this chapter.
(e) The decree of the commissioners court shall not in any
way injuriously affect any financial liability of the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
SUBCHAPTER C. ADMINISTRATIVE PROVISIONS
§ 57.051. APPOINTMENT OF BOARD OF DIRECTORS. The
commissioners court which creates a levee improvement district
under this chapter, by majority vote, shall appoint three directors
for the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.053. TERM OF OFFICE, REMOVAL, AND
SUCCESSION. (a) A vacancy on the board shall be filled by
majority vote of the commissioners court, and the court shall
appoint directors so that the board will always have full
membership.
(b) The commissioners court, by majority vote, may remove an
appointed member of the board.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1995, 74th Leg., ch. 715, § 28, eff. Sept. 1,
1995.
§ 57.057. ELECTION OF BOARD OF DIRECTORS. After
creation of a district, an election may be held to determine whether
or not directors for the district will be elected rather than
appointed.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1248, ch. 483, § 5a, eff.
Aug. 29, 1977.
§ 57.058. NUMBER OF ELECTED DIRECTORS. In districts
which have elected boards, there shall be five directors on the
board. In countywide districts, one director shall be elected by
the electors of the entire district and one director elected from
each county commissioners precinct by the electors of that
precinct. In other districts, all five directors shall be elected
from precincts within the district to be established by the
commissioners court.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1248, ch. 483, § 5b, eff.
Aug. 29, 1977.
§ 57.059. QUALIFICATIONS FOR ELECTED DIRECTORS. To be
qualified for election as a director, a person must be a qualified
property taxpaying elector of the precinct and county from which he
is elected and be eligible under the constitution and laws of this
state to hold the office to which he is elected.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.060. PETITION. Before an election is held under
Section 57.057, a petition, signed by at least 100 electors in the
district who are qualified to vote, shall be presented to the
district requesting that an election be held in the district to
determine whether or not directors for the district should be
elected and, if so, to elect directors to serve until the next
regular director election. The petition shall include the name of
one or more nominees for each director's position.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1249, ch. 483, § 5c, eff.
Aug. 29, 1977; Acts 1995, 74th Leg., ch. 715, § 29, eff. Sept. 1,
1995.
§ 57.061. PROCEDURE FOR ELECTION. After the petition is
presented under Section 57.060, the board shall order an election.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1249, ch. 483, § 5d, eff.
Aug. 29, 1977; Acts 1995, 74th Leg., ch. 715, § 30, eff. Sept. 1,
1995.
SUBCHAPTER D. POWERS AND DUTIES
§ 57.091. PURPOSES OF DISTRICT. A district may be
created for the following purposes:
(1) to construct and maintain levees and other
improvements on, along, and contiguous to rivers, creeks, and
streams;
(2) to reclaim lands from overflow from these streams;
(3) to control and distribute the waters of rivers and
streams by straightening and otherwise improving them; and
(4) to provide for the proper drainage and other
improvement of the reclaimed land.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.092. GENERAL POWERS OF DISTRICT. (a) The
district may enter into all necessary and proper contracts and
employ all persons and means necessary to purchase, acquire, build,
construct, complete, carry out, maintain, protect, and, in case of
necessity, add to and rebuild all works and improvements necessary
or proper to fully accomplish the purposes of the district,
including the reclamation of land within the district.
(b) The powers granted in this section are subject to the
supervision and direction of the commission or other authority
created by law.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1247, ch. 483, § 1, eff. Aug.
29, 1977; Acts 1981, 67th Leg., p. 983, ch. 367, § 32, eff. June
10, 1981; Acts 1985, 69th Leg., ch. 795, § 1.148, eff. Sept. 1,
1985; Acts 2001, 77th Leg., ch. 1423, § 33, eff. June 17, 2001;
Acts 2003, 78th Leg., ch. 248, § 35, eff. June 18, 2003.
§ 57.093. ADOPTING RULES AND REGULATIONS. A district
may adopt and enforce reasonable rules and regulations to:
(1) preserve the sanitary condition of all water
controlled by the district;
(2) prevent waste or the unauthorized use of water
controlled by the district;
(3) regulate privileges on any land or any easement
owned or controlled by the district;
(4) regulate the design and construction of
improvements and facilities that outfall, connect, or tie into
district improvements and facilities; or
(5) require the district's review and approval of
drainage plans for property within the district.
Added by Acts 2001, 77th Leg., ch. 1423, § 34, eff. June 17,
2001.
§ 57.100. CONSTRUCTION OF LEVEES. (a) The district
may construct the necessary levees, bridges, and other improvements
across or under
(1) railroad embankments, tracks, or rights-of-way;
(2) public or private roads or the rights-of-way for
the roads; or
(3) levees, other public improvements, and
rights-of-way of other districts.
(b) A district may join its improvements to improvements in
another district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.101. CONSTRUCTION OF LEVEES BY RAILROAD COMPANIES
AND OTHER AUTHORITIES. (a) Before the district may construct a
levee, bridge, or other improvement across or under any railroad
improvement or right-of-way, any road, or any improvement of
another district, the board must notify the proper railroad
authorities, or other authorities of the additions or changes to
result from the improvements planned by the district.
(b) The railroad authorities, or other authorities shall
have 30 days from the day they receive the notice to agree or not to
agree to do the work at their own expense to construct the
improvements in their own manner.
(c) If a railroad or other authority undertakes to construct
an improvement for the district, the design or manner of
construction must be satisfactory to the district and must be
approved by the commission.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 983, ch. 367, § 34, eff. June
10, 1981.
§ 57.103. INJURING LEVEES. A person who wrongfully or
purposely cuts, injures, destroys, or in any manner impairs the
usefulness of a levee or other reclamation improvement, is guilty
of a misdemeanor and upon conviction is punishable by a fine of not
less than $100 nor more than $1,000 or by confinement in the county
jail for not more than one year or by both.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.104. CONSTRUCTION OF IMPROVEMENTS. The district
may construct all improvements necessary or convenient to
accomplish the purposes of the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 961, ch. 367, § 1, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 36, eff. June 18,
2003.
§ 57.108. CONDITIONS OF CONTRACT. (a) Repealed by
Acts 2003, 78th Leg., ch. 248, § 57.
(b) Contracts may be awarded or entered in sections for the
purpose of the purchase, acquisition, construction, and
improvement of pumping equipment, reservoirs, culverts, bridges,
and drainage improvements as these may become necessary.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1247, ch. 483, § 2, eff. Aug.
29, 1977; Acts 2003, 78th Leg., ch. 248, § 37, 57(1), eff. June
18, 2003.
§ 57.111. CONDITIONING CONTRACT ON SALE OF BONDS. After
the approval and registration of bonds by the proper state
officials as provided in this chapter, the board may award
contracts conditioned on the sale of bonds in an amount equal to the
contract price.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.116. ENGINEER'S CONSTRUCTION REPORT. (a) As work
progresses on the district's improvements, the engineer shall make
a report to the board, showing in detail whether or not the contract
is being fulfilled.
(b) When the work is completed, the engineer shall make a
detailed report to the board, showing whether or not the contract
has been completely fulfilled, and if not, in what particular it has
not been fulfilled.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 38, 39, eff. June 18,
2003.
§ 57.117. INSPECTION AND REPORT BY EXECUTIVE
DIRECTOR. (a) The executive director shall inspect the
construction of a levee or other improvement once every 60 days
after the construction work has commenced, and if he finds that the
work has been done in strict accordance with the contract, the
executive director shall certify this fact, and his certificate
shall give a full description of the work done up to the date of
inspection.
(b) If the executive director finds that the work has not
been done in strict accordance with the contract, he shall
officially certify this fact, and in the certificate he shall state
where the contractor has failed to comply with the contract.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 961, ch. 367, § 1, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 40, eff. June 18,
2003.
§ 57.118. COMPLIANCE WITH CONTRACT. After the board
receives a report that the contractor has failed to comply with the
contract, it shall demand that the contractor comply with the
requirements of the contract at his own expense, and no further
accounts, claims, or vouchers submitted by the contractor shall be
approved or paid until the contractor complies with the
requirements of the executive director by constructing the
improvement in accordance with the contract.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 961, ch. 367, § 1, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 41, eff. June 18,
2003.
§ 57.121. INTERPRETATION OF DISTRICT POWERS. Except as
expressly provided, specific powers authorized by this chapter may
not operate as a limitation on the general powers authorized by this
chapter.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
SUBCHAPTER E. ENGINEER'S REPORT
§ 57.151. AUTHORITY OF ENGINEER. The engineer, subject
to the authority of the commission, shall control the engineering
work of the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 961, ch. 367, § 1, eff. June
10, 1981; Acts 1985, 69th Leg., ch. 795, § 1.149, eff. Sept. 1,
1985.
§ 57.154. SURVEY AND REPORT. (a) The engineer shall
make a survey of the land inside the boundaries of the district, and
land surrounding the district, that will be improved or reclaimed
by the system of levees and drainage to be adopted and shall prepare
for the board a written report, with maps and profiles, of the
results of his survey.
(b) Repealed by Acts 2003, 78th Leg., ch. 248, § 57.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 983, ch. 367, § 35, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 57(1), eff. June 18,
2003.
§ 57.155. CONTENTS OF REPORT. (a) The engineer's
report shall contain a complete plan for draining land,
constructing levees on land, and reclaiming land of the district
from overflow or damage by waters from streams inside or adjacent to
the district which may affect land in the district. The report
shall also include a description of the physical characteristics of
the land within the district and the location of any public roads,
railroads, rights-of-way and roadways, and other improvements on
the land of the district.
(b) The plan may include, and where necessary must include,
the costs of straightening streams which may injure the land of the
district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
SUBCHAPTER F. GENERAL FISCAL PROVISIONS
§ 57.177. FINANCING THE DISTRICT WITHOUT
BONDS. (a) If the district wants to carry out its purposes
without issuing bonds, the board may arrange for contributions from
landowners or other sources to provide the funds required to
complete the improvements.
(b) The electors of the district may vote to create an
indebtedness which is not evidenced by bonds.
(c) If the district creates an indebtedness under this
section, the indebtedness may not be more than:
(1) the cost of construction of the improvements
included in the engineer's report;
(2) the cost of maintaining the improvements for two
years; and
(3) an additional amount equal to 10 percent to meet
emergencies, modifications, and changes lawfully made, plus
damages awarded against the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 983, ch. 367, § 36, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 43, eff. June 18,
2003.
SUBCHAPTER G. ISSUANCE OF BONDS
§ 57.201. POWER TO ISSUE BONDS. The district may issue
bonds, but it may not issue bonds nor incur any debt unless an
election is held in the district and the proposition is approved by
a majority vote of the electors of the district who vote in the
election.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.207. DECLARING RESULT OF ELECTION. The board shall
enter an order declaring the election result in its minutes.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1995, 74th Leg., ch. 715, § 31, eff. Sept. 1,
1995.
§ 57.208. ISSUANCE OF BONDS. (a) If the issuance of
bonds and the levy of taxes to pay for the bonds are approved by the
electors of the district, the board may order the issuance of the
bonds in one or more installments as the board may deem necessary
from time to time up to the amount approved at the election.
(b) The bonds shall be known as "Levee Improvement Bonds".
(c) The bonds shall be:
(1) issued in the name of the district;
(2) signed by the chairman of the board; and
(3) attested by the secretary of the board with the
seal of the district affixed to the bonds.
(d) The board shall fix the denominations, terms and
conditions of the bonds and make them payable at an expedient time
not more than 30 years from the date on the bonds.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1249, ch. 483, § 7, eff. Aug.
29, 1977; Acts 2003, 78th Leg., ch. 248, § 44, eff. June 18,
2003.
§ 57.212. BOND RECORD. (a) After the bonds are issued,
the board shall deliver a well-bound book to the county treasurer of
the county of jurisdiction, who shall keep in the book a record of:
(1) all bonds which have been issued;
(2) the number of each bond;
(3) the amount of each bond;
(4) the rate of interest on each bond;
(5) the date of issuance of each bond;
(6) the date when each bond is due;
(7) the place where each bond is payable;
(8) the amount received for each bond; and
(9) the tax levy to provide a sinking fund to pay
principal of and interest on the bonds.
(b) The treasurer shall keep the book open at all times for
inspection by any taxpayer or bondholder, and when a person pays for
a bond, the treasurer shall enter the payment in the book.
(c) The county treasurer is entitled to receive for his
services in keeping a record of the bonds the same fee allowed by
law to the county clerk for recording deeds.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.213. REFUNDING BONDS. (a) With the consent of the
bondholders, a district may refund outstanding bonds by issuing new
coupon bonds in their place.
(b) Interest is shown by coupons attached to the bonds, and
the commissioners court of jurisdiction shall determine whether the
board will pay the interest on the bonds annually or semiannually.
(c) The board may pay the refunding bonds serially or in any
other manner they choose, but, except as provided in Subsection (d)
of this section, they shall pay the bonds not later than 40 years
from the date the bonds are issued.
(d) A district that taxes on the benefit basis and that is
located in a county with a population of over 1.3 million may refund
outstanding bonds or matured interest coupons on bonds issued by
the district with new coupon bonds payable not more than 75 years
from their date.
(e) The district shall issue the bonds in denominations of
$100 or a multiple of $100 and, before the bonds are delivered,
shall levy a tax sufficient to pay the principal of and interest on
the refunding bonds. The refunding of bonds does not affect any
taxes already due.
(f) The board shall issue refunding bonds in the manner
provided for other district bonds.
(g) The board shall deduct any money on hand in the sinking
fund account to ascertain the amount of refunding bonds to be issued
and shall apply the money to the payment of the outstanding bonds.
(h) The board may not issue refunding bonds until they are
approved by the attorney general and registered by the comptroller,
and the comptroller shall not register the refunding bonds until
the old bonds being replaced are presented to him for cancellation.
After the comptroller registers the new bonds, he shall cancel the
old bonds and interest coupons and deliver the new bonds to the
proper bondholders. The old bonds may be presented for
cancellation in installments, and the comptroller may register and
deliver a like amount of the new bonds.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 598, ch. 237, § 140, eff.
Sept. 1, 1981; Acts 2001, 77th Leg., ch. 669, § 148, eff. Sept.
1, 2001.
§ 57.2131. ALTERNATIVE METHODS OF ISSUING REFUNDING
BONDS. (a) A district may issue refunding bonds as provided for
in this section, notwithstanding Section 57.213 of this code.
(b) A district may issue bonds to refund all or any part of
its outstanding bonds, notes, or other obligations including
matured but unpaid interest.
(c) Refunding bonds shall mature serially or otherwise not
more than 40 years from their date and shall bear interest at any
rate or rates permitted by the constitution and laws of the state.
(d) Refunding bonds may be made payable from the same source
as the bonds, notes, or other obligations being refunded or from
other additional source or sources.
(e) The refunding bonds must be approved by the attorney
general in the manner provided by law for other bonds of the
district and shall be registered by the comptroller on the
surrender and cancellation of the bonds being refunded.
(f) The orders or resolutions authorizing the issuance of
the refunding bonds may provide that the refunding bonds will be
sold and the proceeds deposited in the place or places at which the
bonds being refunded are payable, in which case the refunding bonds
may be issued before the cancellation of the bonds being refunded.
If refunding bonds are issued before cancellation of the other
bonds, an amount which, when added to the earnings and profits from
the investment of such amount, is sufficient to pay the interest on
and principal of the bonds being refunded to their maturity dates,
or to their option dates if the bonds have been duly called for
payment prior to maturity according to their terms, shall be
deposited in the place or places at which the bonds being refunded
are payable.
(g) If the district issues refunding bonds in accordance
with Subsection (f) of this section, the comptroller shall register
refunding bonds without the surrender and cancellation of bonds
being refunded.
(h) A refunding may be accomplished in one or in several
installment deliveries.
(i) Refunding bonds are investment securities under Chapter
8, Business & Commerce Code.
(j) In lieu of the methods provided in this section and in
Section 51.213 of this code, a district may refund bonds, notes, or
other obligations as provided by the general law of the state.
Added by Acts 1985, 69th Leg., ch. 471, § 1, eff. June 11, 1985.
§ 57.214. ISSUANCE OF REFUNDING BONDS WITHOUT AN
ELECTION. A district which is converted under Article XVI, Section
59, of the Texas Constitution, may issue refunding bonds without
the approval of the electors under the provisions of Section 56.210
of this code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.215. INVESTMENT OF SINKING FUND. The board or
commissioners court of jurisdiction may invest the district's
sinking funds in county, municipal, district, or other bonds in
which other sinking funds may by law be invested and also may invest
the sinking funds in bonds of the series to which the funds apply if
the bonds are offered for redemption before maturity on terms
considered advantageous to the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.216. PROVIDING FOR ADDITIONAL FUNDS. (a) If the
improvements in the engineer's report are insufficient to reclaim
all of the land and other property inside the district, extensive
repairs or additions to the improvements are necessary, or
additional funds are needed to complete improvements, the board may
provide additional funds for the district by following the
provisions of this chapter for raising funds.
(b) If the board creates additional indebtedness or issues
additional bonds, the indebtedness or bonds are subject to the
provisions of this chapter relating to the issuance of bonds.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 984, ch. 367, § 38, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 45, eff. June 18,
2003.
§ 57.217. ELIGIBILITY OF DISTRICT BONDS FOR INVESTMENTS
AND PUBLIC FUNDS. A district's bonds, when certified and approved
by the attorney general and registered by the comptroller as herein
provided, shall be legal and authorized investments for all banks,
trust companies, building and loan associations, savings and loan
associations, insurance companies of all kinds and types,
fiduciaries, and trustees and for all interest and sinking funds
and other public funds of the State of Texas and all agencies,
subdivisions, and instrumentalities of the state, including all
counties, cities, towns, villages, school districts, and all other
kinds and types of districts, public agencies, and bodies politic.
A district's bonds shall be eligible and lawful security for all
deposits of public funds of the State of Texas and all agencies,
subdivisions, and instrumentalities of the state, including all
counties, cities, towns, villages, school districts, and all other
kinds and types of districts, public agencies, and bodies politic,
to the extent of the market value of the bonds, when accompanied by
any unmatured interest coupons attached to them.
Added by Acts 1977, 65th Leg., p. 1250, ch. 483, § 9, eff. Aug.
29, 1977.
SUBCHAPTER H. TAX PROVISIONS
§ 57.251. LEVY OF TAXES ON THE AD VALOREM
BASIS. (a) If a district levies taxes on the ad valorem basis, it
shall levy and have assessed and collected taxes on all taxable
property in the district.
(b) The taxes must be sufficient to pay the interest on the
bonds as it is due, and to raise a sufficient amount to create a
sinking fund to redeem and discharge the bonds at maturity.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1977, 65th Leg., p. 1251, ch. 483, § 10, eff.
Aug. 29, 1977; Acts 1979, 66th Leg., p. 2321, ch. 841, § 4(r),
eff. Jan. 1, 1982.
§ 57.258. ASSESSMENT AND COLLECTION OF TAXES FOR
DISTRICTS WITH LAND IN MORE THAN ONE COUNTY. (a) A district
providing for the levy of taxes on the ad valorem basis which
includes land located in more than one county has all the rights,
powers, and privileges of districts that include land in one
county.
(b) The assessor and collector of each county having land
included in the district shall assess the taxes levied by the
commissioners court of his county against the land in his county
which is included in the district for each year that a tax is
levied.
(c), (d) Repealed by Acts 1979, 66th Leg., p. 2330, ch. 841,
§ 6(a)(3), eff. Jan. 1, 1982.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1979, 66th Leg., p. 2330, ch. 841, § 6(a)(3),
eff. Jan. 1, 1982.
§ 57.259. ASSESSMENT OF DAMAGES. (a) In a district
which levies taxes on the ad valorem basis, the commissioners of
appraisement shall be appointed and shall act in the manner
provided in Sections 57.261-57.270 of this code, except that
persons appointed under this section may not assess benefits.
(b) Proceedings, notice, and hearings shall be governed by
the provisions of this chapter relating to assessment of taxes on
the benefit basis.
(c) Provisions of this chapter relating to assessment of
damages in districts levying taxes on the benefit basis shall apply
to assessment of taxes on the ad valorem basis.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.260. LEVY OF TAXES ON BENEFIT BASIS. (a) If a
district levies taxes on the benefit basis, the commissioners court
of each county in which any portion of that district is located
shall levy and have assessed and collected taxes on all taxable
property inside the district, based on the net benefits which the
commissioners of appraisement find will accrue to each piece of
property from the improvements described in the engineer's report
or other authorized improvements.
(b) The taxes shall be sufficient to pay the interest on the
bonds, as it is due, and to raise an amount to create a sinking fund
sufficient to discharge and redeem the bonds at maturity.
(c) The levy for each year throughout the life of the bond
issue may be made at the time the bonds are issued and shall be the
rate of levy for each year until it is modified.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 46, eff. June 18,
2003.
§ 57.261. APPOINTMENT OF COMMISSIONERS OF
APPRAISEMENT. The commissioners court of the county of
jurisdiction in a district levying taxes on the benefit basis shall
appoint three disinterested commissioners, known as "commissioners
of appraisement."
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 47, eff. June 18,
2003.
§ 57.262. QUALIFICATIONS FOR COMMISSIONERS OF
APPRAISEMENT. The commissioners of appraisement shall be
freeholders, but not owners of land within the district for which
they are to act, and shall not be related within the fourth degree
of affinity or consanguinity, as determined under Chapter 573,
Government Code, to any of the members of the commissioners court of
jurisdiction, the board, or to any landowners in the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1991, 72nd Leg., ch. 561, § 55, eff. Aug. 26,
1991; Acts 1995, 74th Leg., ch. 76, § 5.95(27), eff. Sept. 1,
1995.
§ 57.263. COMPENSATION OF COMMISSIONERS OF
APPRAISEMENT. (a) The commissioners of appraisement in their
report shall show the number of days each has been employed and the
actual expenses each has incurred during his service as
commissioner.
(b) The district shall pay each commissioner of
appraisement $5 a day for his services and reimburse him for all
necessary expenses when his accounts are approved by the board.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.264. ORGANIZATION OF COMMISSIONERS OF
APPRAISEMENT. (a) The secretary of the board shall notify each of
the commissioners of appraisement in writing of his appointment and
of the time and place for the first meeting.
(b) The commissioners of appraisement shall meet at the time
and place specified, or as soon after that time as practicable, at a
time and place agreed on by them.
(c) The commissioners of appraisement shall each take and
subscribe an oath to faithfully and impartially discharge their
duties as commissioners, and to make a true report of the work done
by them.
(d) At the first meeting the commissioners of appraisement
shall organize by electing one of their number chairman and one vice
chairman. The secretary of the board or in his absence, a person
the board appoints, shall be secretary of the commissioners of
appraisement during their continuance in office.
(e) The secretary shall furnish the commissioners of
appraisement information and assist them in the performance of
their duties.
(f) If a commissioner of appraisement resigns, the vacancy
shall be filled in the manner provided for filling vacancies on the
board.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.265. DUTIES OF COMMISSIONERS OF
APPRAISEMENT. (a) The commissioners of appraisement shall begin
to perform their duties within 30 days after qualifying and
organizing.
(b) The commissioners of appraisement may at any time call
on the attorney of the district for legal advice and information
and, if necessary, may require the engineer or one of his assistants
to assist in the proper performance of their duties.
(c) The commissioners of appraisement shall view:
(1) the land inside the district;
(2) other land which will be affected by the engineer's
report if carried out;
(3) all public roads, railroads, rights-of-way, and
other property or improvements located on the land; and
(4) land inside or outside the district which may be
acquired under the provisions of this chapter for any purpose
connected with or incident to carrying out the engineer's report.
(d) The commissioners of appraisement shall assess the
amounts of benefits and all damages that will accrue to any tract of
land inside the district or any land outside the district which may
be affected by the engineer's report, or any public highway,
railroad, right-of-way, roadway, or other property.
(e) The commissioners of appraisement shall assess the
value of all land inside or outside the district to be acquired for
right-of-way or other purposes.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 48, eff. June 18,
2003.
§ 57.266. REPORT OF COMMISSIONERS OF
APPRAISEMENT. (a) The commissioners of appraisement shall
prepare a report of their findings. The report shall include:
(1) the name of the owner of each piece of property
examined and assessed;
(2) a description which will identify each piece of
property; and
(3) the value of all property to be taken or acquired
for rights-of-way or any other purposes connected with carrying out
the engineer's report.
(b) At least a majority of the commissioners of appraisement
shall sign the report. They shall file the report with the
secretary of the board.
(c) The failure of the commissioners of appraisement to
return damages to any tract of land inside or outside the district
shall be considered a finding that no damage will be done to that
tract.
(d) The commissioners of appraisement in their report shall
fix a time and place to hear objections to the findings in the
report. The date for the hearing shall not be less than 20 days from
the filing of the report.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1981, 67th Leg., p. 984, ch. 367, § 39, eff. June
10, 1981; Acts 2003, 78th Leg., ch. 248, § 49, eff. June 18,
2003.
§ 57.267. NOTICE OF HEARING. (a) After the
commissioners of appraisement file their report with the secretary
of the board, the secretary shall publish notice of the time and
place of the hearing on the report.
(b) The notice shall be published in a newspaper published
in each county in which any part of the district is located, or in
which any land lies that will be in any way affected by the proposed
engineer's report. The notice shall be published once a week for
two consecutive weeks before the date of the hearing.
(c) The notice shall be in substantially the following form:
To the owners and all other persons having any interest in
land lying in ___ County, take notice, that a copy of the engineer's
report of the ___ Levee Improvement District has been filed in the
district's office and that the commissioners of appraisement have
been appointed to assess benefits and damages accruing to land or
other property inside or outside the levee improvement district
which will be benefited, taken, damaged, or affected in some way by
the carrying out of the engineer's report. The report of the
commissioners of appraisement has been filed in my office at ___,
and all interested persons may examine the report and make an
objection to all or any part of the report. A person who claims
damage to his land and to whose land no damages have been assessed
in the report must file a claim for damage in my office on or before
___, ___. A person who fails to make an objection or to file a claim
for damages is deemed to have waived his right to object or claim
damages. The commissioners of appraisement will meet on ___, ___,
to hear and act on objections to their report and claims for
damages.
____________________
Secretary, Board of Directors
__________ Levee Improvement District
(d) The secretary shall mail written notice to each person
whose property is listed in the report of the commissioners of
appraisement, if the office address is known. This notice shall
state in substance:
(1) that the report of the commissioners of
appraisement assessing benefits and damages accruing to land and
other property because of the engineer's report for the district
has been filed in the district's office;
(2) that all persons interested may examine the report
and make objections to it in whole or in part; and
(3) that the commissioners of appraisement will meet
on the day and at the place named to hear and act on objections to
the report.
(e) The secretary, on the day of the hearing, shall file in
his office the original notice, with his affidavit, which shall
show the manner of publication and the names of all persons to whom
notices have been mailed. The affidavit shall state that the
secretary could not with reasonable diligence ascertain the
post-office addresses of those affected to whom no notices were
mailed.
(f) The secretary shall file copies of the notice and his
affidavit with the commissioners of appraisement and with the clerk
of the commissioners court of jurisdiction.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 50, eff. June 18,
2003.
§ 57.268. RIGHTS OF PARTIES. Parties interested in
matters before the commissioners of appraisement may appear in
person or by attorney, or both, and are entitled to process for
witnesses, to be issued by the chairman of the commissioners of
appraisement on demand. The commissioners of appraisement have the
same power as a court of record to enforce the attendance of
witnesses.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.269. HEARING; JUDGMENT. (a) An owner of land or
other property affected by the report of the commissioners of
appraisement or by the engineer's report may file an objection to
any or all parts of the report of the commissioners of appraisement
at or before the hearing on the report.
(b) A person on whose land no damages have been assessed and
who believes that his land will be damaged by prosecution of the
engineer's report may file with the secretary of the board a claim
for damages.
(c) The commissioners of appraisement, at the time and place
named in the notice, shall hear and decide all objections and claims
for damages and may make changes and modifications in the report.
(d) The commissioners of appraisement may adjourn the
hearing from day to day.
(e) After modifying the report to conform to the changes
decided on at the hearing, the commissioners of appraisement shall
make a decree confirming the report as modified.
(f) If necessary the commissioners shall condemn and
adjudge damages for land inside or outside the district that is
needed for right-of-way or other purposes.
(g) The commissioners shall adjudge and apportion costs
incurred on the hearing in an equitable manner.
(h) The findings of the commissioners of appraisement as to
benefits is final and conclusive.
(i) The secretary shall record the findings of benefits in
the minutes of the board and shall file certified copies of the
findings with the county clerk of each county in which any portion
of the land inside the district is located. The filing is notice to
all persons of the contents of the decree.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1989, 71st Leg., ch. 1248, § 72, eff. Sept. 1,
1989; Acts 2003, 78th Leg., ch. 248, § 51, eff. June 18, 2003.
§ 57.270. APPEAL OF DECREE OF THE COMMISSIONERS OF
APPRAISEMENT. (a) A person or the board may appeal from the
decree of the commissioners of appraisement assessing or refusing
to assess damages or fixing the value of a right-of-way.
(b) The only questions considered on an appeal are:
(1) whether or not just compensation has been allowed
for property taken;
(2) whether or not proper damages have been allowed
for property injured; or
(3) whether or not in fact property has been damaged.
(c) The appeal shall be taken to the district court of the
county of jurisdiction in the manner, under the conditions, and
within the time provided by Sections 57.020-57.025 of this code for
appeals from judgments of the commissioners court refusing to
create the district.
(d) The district court has jurisdiction of the appeal
regardless of the amount claimed.
(e) The secretary in not less than five days after the
appeal is filed shall send to the district clerk:
(1) the engineer's report or a certified copy of it;
(2) a transcript of that part of the commissioners of
appraisement's report affecting the lands concerned in the appeal;
(3) a transcript of the claim for damages; and
(4) a transcript of the action of the commissioners of
appraisement on the claim.
(f) Appeals may be consolidated in the district court.
(g) The trial in the district court shall be de novo, and the
proceedings shall be in accordance with the laws of this state for
damage suits.
(h) The claimant is considered the plaintiff, and the
district, the defendant, and no further pleadings are required.
(i) Appeals may be taken from the judgment of the district
court as in other civil cases.
(j) No appeal may delay carrying out the engineer's report,
and if the board pays to the district clerk the amount of damages
awarded by the commissioners of appraisement to a claimant who is
appealing their decree, and if the board makes bond to pay to the
claimant any additional amount that he may be awarded on his appeal,
title to the condemned property that is the subject of the appeal
vests in the district, and the district is entitled to immediate
possession.
(k) No person may claim damages against the district, its
board, officers, or agents because of the prosecution of the
engineer's report if he owns or has an interest in land in a county
in which notice has been published of the hearing before the
commissioners of appraisement, and he has failed to file a claim for
damages or an objection to the damages assessed by the
commissioners of appraisement against his land, or if he has filed a
claim or objection but has failed to appeal from an adverse ruling
on his claim or objection.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 52, eff. June 18,
2003.
§ 57.271. BASIS OF TAXATION. (a) After the action of
the commissioners of appraisement, as provided in Sections
57.261-57.270 of this code, their final findings, judgment and
decree assessing benefits, until changed or modified, shall form
the basis of taxation for the district, for all purposes for which
taxes may be levied by the district.
(b) Taxes shall be apportioned and levied on each tract of
land, railroad, and other real property in the district in
proportion to the benefits to the property named in the decree of
the commissioners of appraisement.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.272. TAX ASSESSOR FOR DISTRICTS LEVYING TAXES ON
BENEFIT BASIS. (a) The secretary of the board shall serve as tax
assessor for a district levying taxes on the benefit basis.
(b) When a tax is levied, the secretary shall, at the
expense of the district, prepare a tax roll substantially in the
same form as the assessment roll made by county assessor and
collector, except the roll shall state net benefits assessed
against property.
(c) The secretary shall compute the amount of taxes assessed
against each piece of property and enter the amount on the tax roll
and shall file with the assessor and collector of each county in
which a portion of the district is located a certified copy of the
part of the tax roll which relates to property in the district
located in that county.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.273. READJUSTING ASSESSMENTS. (a) After one year
from the date of the final judgment and decree of the commissioners
of appraisement the owners of a majority of the acreage in the
district may file a petition with the commissioners court alleging
that the previous assessment of benefits in the judgment and decree
is insufficient or inequitable and requesting an increase or
readjustment of the assessment of benefits for the purpose of
making an adequate or more equitable basis for levying taxes.
(b) If the engineer's report is changed or modified, or if
extensive repairs or additions to the engineer's report are
desired, the board shall file a petition with the commissioners
court describing the changes, modifications, repairs, or
additions.
(c) When a petition is filed, the commissioners court shall
set a day for a hearing on the petition.
(d) The commissioners court shall issue notice informing
all persons concerned of the time and place of the hearing, and of
their rights to appear and contend for or contest a reassessment of
benefits. The notice must be posted as provided in Section 57.015
of this code for posting notice of the hearing for establishing the
district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 53, eff. June 18,
2003.
§ 57.274. HEARING ON PETITION FOR
REASSESSMENT. (a) At the hearing on readjustment of assessments,
the commissioners court shall hear the petition and receive
evidence for or against the petition.
(b) The commissioners court shall order a reassessment of
benefits if it finds that the aggregate amount of assessed benefits
as shown by the previous final judgment and decree is insufficient
to carry out the original engineer's report or changes, repairs, or
additions to the report or there has been a material change in the
relative value of the benefits conferred on the property in the
district, or for some reason the assessment of benefits is
inadequate or inequitable.
(c) If the commissioners court orders a reassessment, it
shall appoint commissioners of appraisement as provided in Section
57.263 of this code, and the new commissioners of appraisement have
the same powers, rights, privileges, and duties as provided in
Section 57.267 of this code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 54, eff. June 18,
2003.
§ 57.275. TAX COLLECTION ON REASSESSMENT. (a) The
judgment and decree of the commissioners of appraisement
reassessing benefits in the district are the basis of the
assessment of taxes in the district.
(b) The assessment can again be modified or changed but
there can be no reassessment of benefits that will in any way render
any outstanding bonds or other indebtedness of the district
insecure. The sum of benefits as reassessed may never be less than
the sum of all outstanding bonds and other indebtedness of the
district.
(c) The commissioners court of each county in which the
district is located shall levy and have assessed and collected
taxes based on the reassessment, at a rate sufficient to provide
funds to pay the interest on all outstanding bonds and other
indebtedness of the district, to pay the bonds or other
indebtedness at maturity, and to provide the necessary sinking
funds to pay all bonds or other indebtedness that may be issued.
(d) If the engineer's report is modified, or if extensive
repairs or additions are made, the provisions of this section apply
to districts that levy taxes on the ad valorem basis, but the
commissioners of appraisement shall assess only the damages which
will accrue to the property inside or outside the district as a
result of the changes in the report.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 2003, 78th Leg., ch. 248, § 55, eff. June 18,
2003.
§ 57.279. COLLECTION OF DELINQUENT TAXES. (a) Taxes
levied on the benefit basis under this chapter are a first and prior
lien on all property against which they are assessed and are
payable, mature, and become delinquent as provided in the Property
Tax Code for ad valorem taxes.
(b) The Property Tax Code governs the collection of
delinquent taxes levied on the benefit basis and the sale of
property for the payment of the taxes.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
Amended by Acts 1979, 66th Leg., p. 2321, ch. 841, § 4(r), eff.
Jan. 1, 1982.
SUBCHAPTER I. DISSOLUTION
§ 57.321. DISSOLUTION OF A DISTRICT. Subject to the
provisions of Sections 50.251-50.256 of this Code, if the
commissioners court finds at any time before the sale of a
district's bonds or final lending of its credit in another form that
the proposed undertaking for any reason is impracticable or
apparently cannot be successfully accomplished, the commissioners
court may dissolve the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.322. REQUIREMENTS FOR DISSOLVING A
DISTRICT. (a) To dissolve a district, a petition signed by the
owners of a majority of the acreage in the district requesting the
commissioners court to dissolve the district and stating the
reasons for dissolution must be presented.
(b) At the time the petition is filed, a $50 deposit shall be
made to pay for the expenses of a hearing on the petition.
(c) The petition shall be set for a hearing, notice shall be
given, the hearing held, and the expense deducted from the deposit
in the manner provided in this chapter for creation of the district.
(d) The commissioners court has the same powers over
dissolution of a district that it has over creation of a district.
(e) If at the hearing the commissioners court finds that the
district should be dissolved, it shall render a judgment reciting
its findings and enter an order on its records declaring the
district dissolved.
(f) The commissioners court shall appoint the chairman of
the board or some other suitable person as trustee to close the
affairs of the district without delay, and shall determine the
length of the term and the amount of compensation for the trustee.
(g) If the commissioners court finds that the district
should not be dissolved, it shall dismiss the petition at the cost
of the petitioners and enter its findings on record.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.323. RETURN OF TAXES ON DISSOLUTION. (a) If a
district is dissolved, the commissioners court shall order returned
to the taxpayers ratably any unspent taxes that have been levied and
collected in the name of the district in anticipation of an issue of
bonds.
(b) Before the taxes are returned, the compensation due the
assessor and collector and the treasurer and any other claim
properly charged against the taxes must be deducted from them.
(c) The treasurer shall receive and file proper receipts for
all sums refunded.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.324. DISSOLVING A DISTRICT BY ELECTION. A district
may dissolve its corporate existence by election.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.325. PETITION. To dissolve a district by election,
a person shall present a petition, signed by the owners of a
majority of the acreage in the district, to the commissioners court
at a regular session, requesting the commissioners court to
dissolve the district.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.326. ELECTION ORDER. (a) After it receives a
petition under Section 57.325 of this code, the commissioners court
shall order an election to be held in the district at the earliest
possible legal time to determine whether or not the district should
be dissolved.
(b) If the proposition to dissolve the district fails to
carry at the election, the commissioners court may not order
another election for the same purpose within one year after the
result of the election has been announced officially.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.327. ELECTION PROCEDURE, TIME, AND PLACE FOR
HOLDING ELECTION. The provisions of Sections 57.203-57.207 of
this code apply, so far as possible, to a dissolution election.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.328. BALLOT. The commissioners court shall have
the ballots printed to provide for voting for or against the
following proposition and no other: "Dissolving the levee
improvement district."
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.329. VOTE NECESSARY TO CARRY PROPOSITION. More
than two-thirds of the persons voting in the election must vote to
dissolve the district to carry the proposition.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.330. COMMISSIONERS COURT ORDER DISSOLVING
DISTRICT. (a) If the proposition to dissolve the district
carries, the commissioners court shall make an order substantially
as follows: "(Name of petitioner) and (number of other
petitioners) others presented a petition asking for an election to
decide whether or not (name of county) County Levee Improvement
District (district number) should be dissolved. The commissioners
court held the election on (date), and more than two-thirds of the
resident property taxpayers voting in the election voted to
dissolve the district. As a consequence of the election result,
(name of county) County Levee Improvement District (district
number) is dissolved."
(b) The commissioners court shall enter the order in its
minutes.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.331. DISSOLUTION TRUSTEES. The commissioners
court shall appoint as trustees, three landowners of the district,
and the three appointed landowners assume the duties of trustees at
the time they file the bond required under Section 57.332 of this
code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.332. TRUSTEES' BOND. (a) When the commissioners
court issues the dissolution order under Section 57.330 of this
code, the trustees shall execute jointly a good and sufficient bond
in an amount sufficient to cover the amount of the outstanding bonds
and other debts of the district, payable to and approved by the
county judge, conditioned on the trustees faithfully performing
their duties as trustees and paying money and delivering other
property of the district over which they have control to the persons
entitled to the money or other property.
(b) When the bond is executed, it shall be recorded in the
minutes of the commissioners court. When the bond is approved, it
supersedes the bond the treasurer executed under Section 57.065 of
this code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.333. TRUSTEES' COMPENSATION. (a) The trustees
are entitled to receive for their services as trustees a one-half of
one percent commission on all money they receive for the district
and a one-half of one percent commission on all money they pay out
as trustees. This commission is the entire compensation for all
three trustees.
(b) The trustees are not entitled to a commission on money
in the treasury when they become the trustees or on money in the
treasury when their trusteeship ends.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.334. APPOINTMENT OF TRUSTEE TO FILL VACANCY. In
case of death or resignation of a trustee, the commissioners court
shall appoint a successor to fill the vacancy.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.335. GENERAL DUTIES OF TRUSTEES. (a) The
trustees have control of the disposition and sale of all district
property.
(b) The trustees have control of all the property of the
district, including the money in the treasury, and shall keep the
district's money and all its books, notes, accounts, and choses in
action of every kind.
(c) The trustees may sue to recover property and collect
debts of the district, and may employ counsel in suits and in caring
for the district's property and managing the district's
dissolution.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.336. TRUSTEES' EXPENSE. (a) The trustees shall
make a charge against the trust estate for each reasonable expense
incurred by them in conducting the business of the district and in
litigating a suit for the district.
(b) The trustees shall charge any unpaid counsel fees or
court costs incurred by former district officers against the trust
estate.
(c) The trustees shall present the charges against the trust
estate to the commissioners court and shall post notice in the
manner provided for other claims against the district.
(d) If the commissioners court approves a charge against the
trust estate, the charge becomes a valid, preferred claim against
the district.
(e) The trustees, acting as treasurer, may retain money in
their control to pay for a valid claim which they have against the
district.
(f) If the commissioners court rejects a part of an expense
which the trustees think is a valid claim, the trustees may appeal
the decision as other claimants.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.337. CLAIMS THAT WERE APPROVED BEFORE DISTRICT WAS
DISSOLVED. The trustees shall pay all unpaid bonds and claims
outstanding against the district before the commissioners court
issues the dissolution order except those which are protested
according to the provisions of Section 57.338 of this code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.338. PROTESTING PAYMENT OF CLAIMS APPROVED BEFORE
DISTRICT WAS DISSOLVED. (a) If a person who pays taxes in the
district protests the payment of a claim filed under Section 57.337
of this code, the trustees shall refuse to pay the claim.
(b) The protest is sufficient to cause the trustees to
disallow the claim if the person making the protest files the
protest with the trustees, along with a bond for twice the amount of
the claim, signed by sufficient sureties approved by the trustees,
payable to the trustees, and conditioned on the protesting taxer's
paying all costs of suit if the claimant establishes his claim in
full.
(c) A person whose claim is disallowed under this section
may sue the trustees for the amount he claims.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.339. CLAIMS NOT APPROVED BEFORE DISTRICT WAS
DISSOLVED. (a) A person who has a claim or judgment against the
district which was not approved by the commissioners before the
district was dissolved may collect on the claim only by following
the procedure prescribed in this section and Sections 57.340-57.342
of this code.
(b) The person must present the claim, duly verified, to the
trustees within six months after the day the commissioners court
approves the bond of the trustees.
(c) The trustees shall examine the claim, and if the
trustees find that the claim is correct, they shall allow it. If
the trustees allow the claim, the person making the claim must file
it with the county clerk not less than 20 days before the beginning
of the regular session of the commissioners court that follows the
date the trustees allowed the claim.
(d) If the trustees find that it would be unjust for them to
allow a claim, they shall endorse on the claim their refusal to
allow it, and the person making the claim may sue the trustees for
the amount he claims in any court of competent jurisdiction in the
county.
(e) If the trustees find that it would be unjust for them to
allow part of the claim, they shall endorse on the claim the parts
of it they allow and the parts they disallow. The person making the
claim may either waive his claim to the part disallowed and file the
claim with the commissioners court or refuse to waive his claim to
the part disallowed, withdraw the claim from the trustees, and sue
the trustees for the amount he claims.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.340. CLAIMS, PAYMENT ORDERS, AND
APPEALS. (a) The commissioners court, in a regular session,
shall pass on claims. The commissioners court shall approve each
claim it finds to be correct and shall issue an order stating that
approval and shall enter the order in its minutes.
(b) When the order of approval is entered in the minutes,
the claim becomes a valid claim against the district.
(c) If the commissioners court approves a claim under this
section, the person making the claim shall file the claim with the
trustees.
(d) If the person making the claim is not satisfied with the
terms of the order of approval or if the commissioners court refuses
to approve the claim, the person may appeal the decision of the
commissioners court.
(e) When a claim is filed under Section 57.339 of this code,
the county clerk shall immediately issue notice of the filing to all
persons interested in the district. The notice shall be posted in
three public places in the district and at the courthouse door not
less than 20 days before the next regular session of the
commissioners court.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.341. CLAIMS JUDGMENTS. (a) If a person making a
claim sues the trustees for the amount of the claim and wins a
judgment against the trustees, the person shall file the judgment
with the trustees.
(b) If the suit contests a claim under Section 57.338 of
this code, the contestant and his sureties shall be made parties to
the suit, and the trustees shall assert all defenses urged against
the claim in the protest. If the claimant wins a judgment for the
whole amount of his claim, the court shall render a judgment against
the contestant and his sureties for all costs incurred in the suit.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.342. CLAIMS TO BE PAID. The trustees shall pay
from money left in the district's treasury on dissolution claims
filed with them under Sections 57.336, 57.337, and 57.339 of this
code, in the order that the claims are filed.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.343. DISPOSITION OF DEBTS AFTER ELECTION. (a) If
the district is dissolved, the commissioners court shall provide
for the settlement of the debts of the district, including the costs
and expenses of holding the election.
(b) The commissioners court may levy, assess, and collect a
sufficient tax on the property in the district in the manner
provided in this chapter, to pay all the valid debts and obligations
of the district, except bonds issued and held by a purchaser.
(c) The district shall pay bonds that have been issued and
are held by a purchaser according to the terms of the bonds by levy
and collection of an annual tax as provided in this chapter unless
retirement of the bonds is effected as provided in Section 57.344 of
this code.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.344. ACCELERATED RETIREMENT OF BONDS. (a) If
there are any district bonds outstanding at the time the
commissioners court issues the dissolution order, the
commissioners court shall immediately begin negotiations with the
holders of the bonds to determine whether or not the retirement of
the bonds can be accelerated.
(b) If the bonds can be retired at an earlier date than the
date stipulated on their face, either as a result of the terms of
the bonds or because of an agreement between the commissioners
court and the holders of the bonds, then the commissioners court may
levy a tax to pay off the bonds as quickly as possible.
(c) The commissioners court shall have the tax assessed and
collected annually or at one time.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
§ 57.346. FINAL TRUSTEE REPORT. (a) After the
trustees pay all valid claims established against the district and
satisfy the cost and expenses of controlling and managing the
district, they shall file a report of the final settlement with the
commissioners court.
(b) The trustees shall include in the report:
(1) a full and complete account of all money received
and paid during their trusteeship;
(2) an account of the disposition of all property
which came under their control as trustees; and
(3) an account of all other matters relating to the
management of the affairs of the district.
(c) On the approval of the report, the commissioners court
shall direct the trustees to turn over any property or money
remaining in their control to the person designated by the
commissioners court to receive the money or property.
(d) When the trustees have complied with the direction of
the commissioners court, they shall report their compliance to the
commissioners court. After the trustees have reported their
compliance, the commissioners court shall discharge the trustees
and their sureties and close the trust estate.
Acts 1971, 62nd Leg., p. 110, ch. 58, § 1, eff. Aug. 30, 1971.
