Texas Vernon's Texas Civil Statutes - Article 4477-7k. Upper Sabine Valley Solid Waste Management District Act
Legal Research Home >
Texas Lawyer > Vernon's Texas Civil Statutes > Texas Vernon's Texas Civil Statutes - Article 4477-7k. Upper Sabine Valley Solid Waste Management District Act
Art. 4477-7k. UPPER SABINE VALLEY SOLID WASTE MANAGEMENT
DISTRICT ACT.
ARTICLE I. GENERAL PROVISIONS
Purpose
Sec. 1.01. The purpose of this Act is to establish an
instrumentality to develop and carry out a regional water quality
protection program through solid waste management and regulation of
waste disposal for the area encompassed by Upshur, Wood, and Rains
counties and by the portion of Smith County that is north of
Interstate Highway 20.
Findings and declaration of policy
Sec. 1.02. (a) The legislature finds that:
(1) the quality of water in East Texas is materially
affected by the disposal of waste throughout the region;
(2) a regional effort to study water pollution, plan
corrective and preventive measures, provide coordinated facilities
for waste disposal, and regulate waste disposal is far more
effective than efforts on a smaller scale;
(3) solid waste, as well as other waste, may impair water
quality by seepage or drainage; and
(4) creation of the Upper Sabine Valley Solid Waste
Management District would advance the established policy of this
state to maintain the quality of the water in the state consistent
with:
(A) the public health and public enjoyment;
(B) the propagation and protection of terrestrial and
aquatic life;
(C) the operation of existing industries; and
(D) the economic development of the state.
(b) The legislature finds that this Act is in compliance
with Article XVI, Sections 59(d) and (e), of the Texas Constitution
and that the legislature has the power and authority to enact this
Act.
(c) The legislature finds that all of the area included in
the district is benefited by the exercise of the power conferred by
this Act.
Definitions
Sec. 1.03. In this Act:
(1) "Board" means the board of directors of the district.
(2) "Commission" means the Texas Water Commission.
(3) "Department" means the Texas Department of Health.
(4) "Director" means a member of the board.
(5) "District" means the Upper Sabine Valley Solid Waste
Management District created under this Act.
(6) "Industrial solid waste" has the meaning assigned by
Section 361.003, Health and Safety Code.
(7) "Local government" means an incorporated municipality,
a county, or a water or other special district or authority acting
under Article III, Sections 52(b)(1) and (2), or Article XVI,
Section 59, of the Texas Constitution.
(8) "Municipal solid waste" has the meaning assigned by
Section 361.003, Health and Safety Code.
(9) "Outside the district" means the area contained in
counties adjacent to the district.
(10) "Person" means an individual, public or private
corporation, political subdivision, governmental agency,
municipality, copartnership, association, firm, trust, estate, or
any other legal entity.
(11) "Resource recovery facility" means a facility used to
store, handle, sort, bail, recycle, process, and recover solid
waste.
(12) "Rule" includes regulation.
(13) "Sewage" has the meaning assigned by Section 366.002,
Health and Safety Code.
(14) "Solid waste" has the meaning assigned by Section
361.003, Health and Safety Code.
(15) "Solid waste management system" means a system for
controlling all aspects of the collection, handling,
transportation, processing, recovery, and disposal of solid waste.
(16) "Water" means groundwater, percolating or otherwise,
lakes, bays, ponds, springs, rivers, streams, creeks, and all other
bodies of surface water, natural or artificial, that are wholly or
partially within the district.
(17) "Water pollution" means the alteration of the
physical, chemical, or biological quality of or the contamination
of water that renders the water harmful, detrimental, or injurious
to humans, animal life, vegetation, or property, or to public
health, safety, or welfare, or that impairs the usefulness or the
public enjoyment of the water for any lawful or reasonable purpose.
ARTICLE II. CREATION OF DISTRICT
Creation of district
Sec. 2.01. Pursuant to Article XVI, Section 59, of the Texas
Constitution, a conservation and reclamation district to be known
as the Upper Sabine Valley Solid Waste Management District is
created as a governmental agency and body politic and corporate of
the state.
Description
Sec. 2.02. Except as provided by Section 2.07 of this Act, the
district's territory consists of the area within the boundaries of
Upshur, Wood, and Rains counties and that portion of Smith County
that is north of Interstate Highway 20.
Appointment of temporary directors
Sec. 2.03. (a) On or after the effective date of this Act, the
commissioners court of each county included in the proposed
district shall each appoint two persons to serve as temporary
directors of the district.
(b) Members of the temporary board serve until the persons
selected as directors under Section 3.06 of this Act have been
appointed and have qualified for office.
(c) A vacancy on the temporary board shall be filled by
appointment in the same manner as the original appointment.
Confirmation and tax elections
Sec. 2.04. (a) The temporary directors shall call and hold a
separate election in each county within the boundaries of the
proposed district to determine if the proposed district will be
created and a tax authorized. The elections shall be held on the
same day and within six months of the effective date of this Act.
(b) Section 41.001(a), Election Code, does not apply to a
confirmation and tax election held under this section.
Notice of election
Sec. 2.05. (a) Notice of the confirmation and tax elections
shall state the day and places for holding the elections and the
proposition to be voted on.
(b) The temporary board shall publish the notice of the
elections one time in one or more newspapers of general circulation
in the proposed district. The notice must be published before the
35th day before the date set for the elections.
Ballot proposition
Sec. 2.06. The ballot for the elections shall be printed to
permit voting for or against the proposition: "The creation of the
Upper Sabine Valley Solid Waste Management District and the levy of
a maintenance and operating tax in an amount not to exceed three
cents on each $100 valuation."
Canvassing returns
Sec. 2.07. (a) Immediately after the confirmation and tax
elections, the presiding judge of each polling place shall deliver
returns of the elections to the temporary board, and the temporary
board shall canvass the returns and declare the results.
(b) If a majority of the votes cast at the election in one or
more counties favor creation of the district, the board shall
declare the district created and shall enter the results in its
minutes. If the election results are favorable in one or more
counties, but not in all counties, the temporary directors shall
set the boundaries of the district to include only the counties in
which the vote was favorable. If a majority of the votes cast at
each election are against the creation of the district, the board
shall declare that the creation of the district was defeated and
shall enter the results in its minutes. The board shall file a copy
of the election results with the commission.
(c) If a majority of the voters in each county vote against
the creation of the district, the board may call and hold additional
confirmation and tax elections, but another election to confirm
creation of the district may not be called and held by the board
before the first anniversary of the most recent confirmation and
tax elections. If the creation of the district is not confirmed on
or before the fifth anniversary of the effective date of this Act,
this Act expires.
ARTICLE III. DISTRICT ADMINISTRATION
Board of directors
Sec. 3.01. (a) The district is governed by a board of
directors composed of not fewer than six members who are appointed
as provided by this Act.
(b) If the district is composed of only one county, the
commissioners court of that county shall appoint six persons to
serve as directors.
(c) If the district is composed of two counties, the
commissioners court of each county included in the district shall
each appoint three persons to serve as directors.
(d) If the district is composed of three or more counties,
the commissioners court of each county included in the district
shall each appoint two persons to serve as directors.
(e) At least one of the directors appointed by each
commissioners court shall represent the interests of
municipalities and of unincorporated communities with a population
of 1,000 or more, according to the most recent federal decennial
census, that are located in that county.
Qualifications of directors
Sec. 3.02. (a) To be eligible to be appointed as or to serve
as a director, a person must be:
(1) 18 years of age or older;
(2) a qualified voter; and
(3) a resident of the county of the appointing commissioners
court.
(b) If a member of a commissioners court or a municipal
government officer is appointed as a director, the member's or
officer's service as a director is considered an additional duty of
the member's or officer's existing office. The member or officer is
not entitled to a per diem allowance under Section 3.10 of this Act,
but is entitled to reimbursement for actual and necessary expenses
incurred in performing official duties as a director.
(c) Each director must execute a bond in the amount of
$5,000 with a corporate surety authorized to do business in this
state and conditioned on the faithful performance of the director's
duties. The district shall pay the premiums on the directors' bonds
under this section.
Term of office
Sec. 3.03. Except as provided by Sections 3.06 and 8.04 of
this Act, a director holds office for a term of four years and until
the director's successor has been appointed and has qualified.
Vacancy on board
Sec. 3.04. A vacancy on the board shall be filled in the same
manner as the original appointment for the unexpired term.
Oath
Sec. 3.05. Each director shall file the statement and take
the constitutional oath of office required of state officers.
Initial meeting and organization
Sec. 3.06. (a) As soon as possible after all directors have
been appointed and have qualified, the county judge of the county
included in the district that has the largest population shall call
a meeting of the board and shall preside at the meeting until the
directors have elected from the board's membership a chairman, a
vice-chairman, a secretary, and a treasurer.
(b) A person selected as an officer serves for a term of one
year.
(c) At the initial meeting, the directors shall draw lots so
that one-half of the initial directors serve four-year terms that
begin on the date on which the initial meeting is held, and one-half
of the directors serve two-year terms that begin on that date.
(d) The board shall adopt bylaws at the initial meeting or
as soon after the initial meeting as practicable. The bylaws must
prescribe the powers, duties, and procedures for removal from a
board office.
Meeting and actions of board
Sec. 3.07. (a) Except as otherwise provided by law, the board
shall meet at least one time each quarter and may meet at any other
time provided by its bylaws.
(b) A majority of the members of the board constitute a
quorum for the transaction of business of the district.
(c) Except as otherwise provided by this Act, the vote of a
majority of directors is required for board action.
Attorney; treasurer's bond
Sec. 3.08. (a) The board may appoint an attorney for the
district.
(b) The person appointed under this section is entitled to
the compensation provided by the district's budget.
(c) The person elected as treasurer under Section 3.06(a) of
this Act shall execute a bond in the amount determined by the board,
payable to the district, and conditioned on the faithful
performance of the treasurer's duties. The district shall pay for
the bond.
Interest in contract
Sec. 3.09. A director who is financially interested in a
contract to be executed by the district for the purchase of property
or the construction of facilities shall disclose that fact to the
other directors and may not vote on the acceptance of the contract.
Director's compensation
Sec. 3.10. (a) A director is entitled to receive $50 a day and
reimbursement for actual and necessary expenses incurred:
(1) for each day the director attends meetings of the board;
and
(2) for each day the director attends to the business of the
district that is authorized by board resolution or motion.
(b) A director is not entitled to receive a per diem
allowance for more than 60 days in any one calendar year.
General manager; personnel
Sec. 3.11. (a) The board shall employ a general manager for a
term and salary set by the board.
(b) The general manager is the chief executive officer of
the district. Under policies established by the board, the general
manager is responsible to the board for:
(1) administering the directives of the board;
(2) keeping the district's records, including minutes of
the board's meetings;
(3) coordinating with state, federal, and local agencies;
(4) developing plans and programs for the board's approval;
(5) hiring, supervising, training, and discharging district
employees;
(6) contracting for or retaining technical, scientific,
legal, fiscal, and other professional services; and
(7) performing any other duty assigned to the general
manager by the board.
(c) The board may discharge the general manager on a
majority vote of the directors.
Employees' bonds
Sec. 3.12. (a) The general manager and each employee of the
district charged with the collection, custody, or payment of any
money of the district shall execute a fidelity bond. The board
shall approve the form, amount, and surety of the bond.
(b) The district shall pay the premiums on the employees'
bonds under this section.
Principal office
Sec. 3.13. The district shall maintain its principal office
inside the district's boundaries.
Records
Sec. 3.14. (a) The district shall keep complete and accurate
accounts of its business transactions in accordance with generally
accepted methods of accounting.
(b) The district shall keep complete and accurate minutes of
its meetings.
(c) The district shall keep its accounts, contracts,
documents, minutes, and other records at its principal office.
(d) Neither the board nor its employees may disclose a
district record that relates to trade secrets or the economics of an
industry's operations.
Contracts
Sec. 3.15. The board may enter into contracts as provided by
this Act, and those contracts shall be executed by the board in the
name of the district.
Supervision of district
Sec. 3.16. The district is subject to the continuing right of
supervision by the state in accordance with state law.
Suits; payments of judgments
Sec. 3.17. (a) The district may, through its board, sue and be
sued in any court of this state in the name of the district. Service
of process in a suit may be had by serving the general manager.
(b) The courts of this state shall take judicial notice of
the creation of the district.
(c) A court of this state that renders a money judgment
against the district may require the board to pay the judgment from
money in the district depository that is not dedicated to the
payment of any indebtedness of the district.
Seal
Sec. 3.18. The board shall adopt a seal for the district and
may alter the form of the seal from time to time.
ARTICLE IV. DISTRICT POWERS AND DUTIES
General powers and duties
Sec. 4.01. (a) The district shall administer and enforce this
Act and shall use its facilities and powers to accomplish the
purposes of this Act.
(b) After notice and hearing, the board may adopt rules
necessary to carry out this Act. The board shall adopt rules
providing procedures for giving notice and holding hearings.
(c) The district may prepare and adopt plans for and may
purchase, construct, acquire, own, operate, maintain, repair,
improve, and extend inside and outside the boundaries of the
district any works, improvements, waste disposal, treatment, and
other facilities, plants, pipelines, equipment, and appliances
necessary to collect, transport, process, dispose of, and control
domestic, industrial, and communal waterborne and solid waste
within the district.
(d) The district shall acquire all permits required by state
law that are necessary to carry out this article.
(e) The district shall conduct studies and research for the
control of water pollution and waste disposal within the district,
shall cooperate with the department and commission in any studies,
and shall use the results of those studies.
(f) The regulatory powers of the district under this Act
extend to every person within the district.
(g) Except as expressly limited by this Act, the district
has all powers, rights, and privileges necessary and convenient for
accomplishing the purposes of this Act conferred by general law on a
conservation and reclamation district created under Article XVI,
Section 59, of the Texas Constitution, including specifically all
powers, rights, and privileges conferred by Subtitle B, Title 5,
Health and Safety Code, on a local or regional government.
(h) The powers granted to the district by this Act are
cumulative of all powers granted by other laws that are by their
terms applicable to the district.
(i) The district may enter into cooperative agreements with
local governments and other political subdivisions to jointly
operate solid waste management activities and to charge reasonable
fees for those services.
Gifts, grants, loans, and other funds
Sec. 4.02. To carry out any purposes or powers under this Act,
the district may apply for, accept, receive, and administer gifts,
grants, loans, and other funds available from any source.
Consultation, contracts, and cooperation with other governmental
agencies and entities
Sec. 4.03. To carry out any purposes or powers under this Act,
the district may advise, consult, contract, and cooperate with the
federal government and its agencies, the state and its agencies,
local governments, and private entities.
Acquisition of property
Sec. 4.04. The district may acquire by gift, grant, devise,
purchase, lease, or eminent domain any land, easements,
rights-of-way, and other property interests necessary to carry out
the powers and duties provided by this Act.
Eminent domain
Sec. 4.05. (a) The district may acquire land for the purposes
authorized by Section 4.01(c) of this Act by condemnation if the
board determines, after notice and hearing, that it is necessary.
(b) The district must exercise the power of eminent domain
in the manner provided by Chapter 21, Property Code, but the
district is not required to:
(1) deposit in the trial court money or a bond as provided by
Section 21.021(a), Property Code;
(2) pay in advance or give bond or other security for costs
in the trial court;
(3) give bond for the issuance of a temporary restraining
order or a temporary injunction; or
(4) give bond for costs or supersedeas on an appeal or writ
of error.
(c) If the district, in the exercise of the power of eminent
domain, requires relocating, raising, lowering, rerouting,
changing the grade, or altering the construction of any railroad,
highway, pipeline, or electric transmission and electric
distribution, telegraph, or telephone lines, conduits, poles or
facilities, the district must bear the actual cost of relocating,
raising, lowering, rerouting, changing the grade, or altering the
construction to provide comparable replacement without enhancement
of facilities, after deducting the net salvage value derived from
the old facility.
Authority to enter into construction, renovation, and repair
contracts
Sec. 4.06. The district may contract with any person to
construct, renovate, or repair any of its works, improvements,
waste disposal, treatment, or other facilities, plants, pipelines,
equipment, and appliances and, from time to time, make improvements
to them.
Bids on contracts
Sec. 4.07. Contracts entered into under Section 4.06 of this
Act requiring an expenditure of more than $15,000 may be made only
after competitive bidding as provided by Subchapter B, Chapter 271,
Local Government Code.
Attachments to contracts
Sec. 4.08. A contract entered into under Section 4.06 of this
Act must contain, or have attached to it, the specifications,
plans, and details for work included in the contract, and work shall
be done according to those plans and specifications under the
supervision of the district.
Execution and availability of contracts
Sec. 4.09. (a) A contract entered into under Section 4.06 of
this Act must be in writing and signed by the contractor and a
representative of the district designated by the board.
(b) The contract shall be kept in the district's office and
must be available for public inspection.
Contractor's bond
Sec. 4.10. (a) A contractor shall execute a bond in an amount
determined by the board, not to exceed the contract price, payable
to the district and approved by the board, conditioned on the
faithful performance of the obligations, agreements, and covenants
of the contract.
(b) The bond must provide that if the contractor defaults on
the contract, the contractor will pay to the district all damages
sustained as a result of the default. The bond shall be deposited
in the district's depository, and a copy of the bond shall be kept
in the district's office.
Monitoring work
Sec. 4.11. (a) The board has control of construction,
renovation, or repairs being done for the district under a contract
entered into under Section 4.06 of this Act and shall determine
whether or not the contract is being fulfilled.
(b) The board shall have the construction, renovation, or
repair work inspected by engineers, inspectors, and personnel of
the district.
(c) During the progress of the work, the engineers,
inspectors, and personnel doing the inspections shall submit to the
board written reports that show whether or not the contractor is
complying with the contract.
(d) On completion of construction, renovation, or repair
work, the engineers, inspectors, and personnel shall submit to the
board a final detailed written report including information
necessary to show whether or not the contractor has fully complied
with the contract.
Payments for work
Sec. 4.12. (a) The district shall pay the contract price of
construction, renovation, or repair contracts in accordance with
this section.
(b) The district shall make progress payments under
contracts monthly as the work proceeds or at more frequent
intervals as determined by the board.
(c) If requested by the board, the contractor shall furnish
an analysis of the total contract price showing the amount included
for each principal category of the work, in the detail requested, to
provide a basis for determining progress payments.
(d) In making progress payments, 10 percent of the estimated
amounts shall be retained until final completion and acceptance of
the contract work. However, if the board, at any time after 50
percent of the work has been completed, finds that satisfactory
progress is being made, it may authorize any of the remaining
progress payments to be made in full. Also, if the work is
substantially complete, the board, if it finds the amount retained
to be in excess of the amount adequate for the protection of the
district, may release to the contractor all or a portion of the
excess amount.
(e) On completion and acceptance of each separate project,
work, or other division of the contract on which the price is stated
separately in the contract, payment may be made without retention
of a percentage.
(f) When work is completed according to the terms of the
contract, the board shall draw a warrant on the depository to pay
any balance due on the contract.
Contracts for purchase of vehicles, equipment, and supplies over
$15,000
Sec. 4.13. (a) If the estimated amount of a proposed contract
for the purchase of vehicles, equipment, or supplies is more than
$15,000, the board shall ask for competitive bids as provided by
Section 4.07 of this Act.
(b) This section does not apply to purchase of property from
public agencies or to contracts for personal or professional
services.
Entry on land
Sec. 4.14. (a) The directors, the engineer, and the employees
of the district may go on any land inside or outside the boundaries
of the district to make surveys and examine the land with reference
to the location of works, improvements, and waste disposal,
treatment, and other facilities, plants, pipelines, equipment, and
appliances, and to attend to business of the district.
(b) Before a director, engineer, or employee enters on the
land, five days' written notice must be given to the landowner.
(c) If any activities of the district on the land cause
damages to the land or property, the land or property shall be
restored as nearly as possible to its original state. The district
shall pay the cost of the restoration.
Right to use road right-of-way
Sec. 4.15. (a) The district has a right-of-way along and
across all public state or county roads or highways; provided that
a governmental entity having jurisdiction of such right-of-way may
designate the place upon the right-of-way the facilities of the
district shall be installed and may require the relocation of the
facilities of the district to accommodate any widening or changing
of traffic lanes.
(b) The district may not proceed with any action to change,
alter, or damage facilities or property of the state without having
first obtained the written consent of the governmental entity
having control and jurisdiction of such facilities or property.
Fees and charges
Sec. 4.16. (a) The board may adopt and enforce all necessary
charges, fees, or rentals in addition to taxes for providing any
district facilities or services.
(b) The board may require a deposit for any services or
facilities furnished and may or may not provide that the deposit
will bear interest.
(c) The board may discontinue a facility or service to
prevent an abuse or enforce payment of an unpaid charge, fee, or
rental due the district, including taxes that have been due for not
less than six months.
Acquisition of existing facilities
Sec. 4.17. If the district acquires existing works,
improvements, and waste disposal, treatment, and other facilities,
plants, pipelines, equipment, and appliances that are completed,
partially completed, or under construction, the district may assume
the contracts and obligations of the previous owner and perform the
obligations of the previous owner in the same manner and to the same
extent that any other purchaser or assignee would be bound.
Solid waste resource recovery or recycling facilities
Sec. 4.18. The district may construct or acquire and operate
solid waste resource recovery or recycling facilities.
Regulation of solid waste disposal
Sec. 4.19. (a) The district shall establish minimum standards
of operation for all aspects of solid waste handling, including
storage, collection, incineration, recycling, sanitary landfill,
and composting.
(b) Before establishing the standards, the district shall:
(1) hold public hearings after giving public notice in the
time and manner prescribed by board rule;
(2) consult with the commission, the Texas Air Control
Board, and the department to ensure that the standards are not
inconsistent with established criteria; and
(3) find that the standards are reasonably necessary to
protect the public health or welfare from water pollution or other
environment harm.
(c) To amend standards, the district shall follow the same
procedures required for establishing standards.
(d) The district may make rules reasonably necessary to
implement solid waste disposal standards.
(e) The district may assume the exclusive authority to
exercise the powers granted to a county under Section 361.165,
Health and Safety Code, including the power to issue licenses and
exercise municipal solid waste management authority. If the
district elects to exercise the licensing authority granted under
this subsection, it must adopt and enforce rules for the management
of municipal solid waste. The rules must be compatible with and at
least as stringent as those of the department and must be approved
by the department.
On-site sewage disposal systems
Sec. 4.20. (a) The district may apply to the department for
designation as an authorized agent to implement and enforce on-site
sewage disposal rules under Chapter 366, Health and Safety Code.
(b) If the district finds that due to the nature of the soil
or drainage in the area it is necessary to prevent water pollution
that may injure the public health, the board by rule may:
(1) provide limits on the number and kind of septic tanks in
an area defined by the rule;
(2) prohibit the use of septic tanks in the area; or
(3) prohibit the installation of new septic tanks in the
area.
(c) The board shall consult with the department and the
commission before the adoption of a rule under Subsection (b) of
this section.
(d) The board may provide in the order for a gradual and
systematic reduction of the number or kind of septic tanks in the
area and, by rule, may provide for a system of licensing and issuing
permits for the installation of new septic tanks in the area
affected, in which event a person may not install septic tanks in
the area without a license or permit from the board.
(e) The board may not issue a rule under Subsection (b) of
this section without first holding a public hearing in the area to
be affected by the rule.
Acquisition, construction, and operation of disposal systems
Sec. 4.21. The district may:
(1) acquire and provide by purchase, gift, or lease any
disposal systems inside or outside the district;
(2) construct and provide disposal systems inside or
outside the district;
(3) operate and sell any disposal systems that it constructs
or acquires;
(4) contract with a person to operate and maintain a
disposal system belonging to the person; and
(5) contract with a person to train or supervise employees
of a disposal system.
Waste disposal contracts
Sec. 4.22. (a) The district may contract to receive and to
treat or dispose of waste from a person in the district.
(b) The district shall set fees in a contract under
Subsection (a) of this section after considering:
(1) the quality of the waste;
(2) the quantity of the waste;
(3) the difficulty encountered in treating or disposing of
the waste;
(4) operation and maintenance expenses and debt retirement
services; and
(5) any other reasonable considerations.
Area-wide waste treatment
Sec. 4.23. The powers and duties conferred on the district
are granted subject to the state policy to encourage the
development and use of integrated area-wide waste collection,
treatment, and disposal systems to serve the waste disposal needs
of the citizens of the state, it being an objective of the policy to
avoid the economic burden to the people and the impact on the
quality of the water in the state that result from the construction
and operation of numerous small waste collection, treatment, and
disposal facilities to serve an area when an integrated area-wide
waste collection, treatment, and disposal system for the area can
be reasonably provided.
ARTICLE V. DISTRICT FINANCES
Fiscal year
Sec. 5.01. (a) The district operates on the fiscal year
established by the board.
(b) The fiscal year may not be changed more than once in a
24-month period.
Annual audit
Sec. 5.02. Annually, the board shall have an audit made of the
financial condition of the district.
Annual budget
Sec. 5.03. (a) The board shall prepare and approve an annual
budget for the district.
(b) The budget shall contain a complete financial
statement, including a statement of:
(1) the outstanding obligations of the district;
(2) the amount of cash on hand to the credit of each fund of
the district;
(3) the amount of money received by the district from all
sources during the previous year;
(4) the amount of money available to the district from all
sources during the ensuing year;
(5) the amount of the balances expected at the end of the
year in which the budget is being prepared;
(6) the estimated amount of revenues and balances available
to cover the proposed budget; and
(7) the estimated tax rate that will be required.
Amending budget
Sec. 5.04. After adoption, the annual budget may be amended
on the board's approval.
Limitation on expenditures
Sec. 5.05. Money may not be spent for an expense not included
in the annual budget or an amendment to it unless the board by order
declares the expense to be necessary.
Sworn statement
Sec. 5.06. As soon as practicable after the close of the
fiscal year, the treasurer of the district shall prepare for the
board a sworn statement of the amount of money that belongs to the
district and an account of the disbursements of that money.
Depository
Sec. 5.07. (a) The board shall name one or more banks to serve
as depository for district funds.
(b) District funds, other than those transmitted to a bank
for payment of bonds issued by the district, shall be deposited as
received with the depository bank and must remain on deposit. This
section does not limit the power of the board to invest the
district's funds as provided by Section 5.08 of this Act.
(c) Before the district deposits funds in a bank in an
amount that exceeds the maximum amount secured by the Federal
Deposit Insurance Corporation, the bank must execute a bond or
provide other security in an amount sufficient to secure from loss
the district's funds that exceed the amount secured by the Federal
Deposit Insurance Corporation.
Investments
Sec. 5.08. (a) Funds of the district may be invested and
reinvested by the board or its authorized representative in those
investments specified by Article 836 or 837, Revised Statutes, or
the Public Funds Investment Act of 1987 (Article 842a-2, Vernon's
Texas Civil Statutes).
(b) Funds of the district may be placed in certificates of
deposit of state or national banks or state or federal savings and
loan associations within the state provided that funds are secured
in the manner required for the security of the funds of counties of
the state.
(c) The board by resolution may provide that an authorized
representative of the district may invest and reinvest the funds of
the district and provide for money to be withdrawn from the
appropriate accounts of the district for investments on terms the
board considers advisable.
Payment of expenses
Sec. 5.09. (a) The district's directors may pay all costs and
expenses necessarily incurred in the creation, organization, and
operation of the district, legal fees, and other incidental
expenses and may reimburse any person for money advanced for those
purposes.
(b) Payments may be made from money obtained from the sale
of bonds issued by the district or out of taxes, fees, or other
revenues of the district.
Borrowing money
Sec. 5.10. The district may borrow money for any purpose
authorized under this Act or any combination of those purposes.
ARTICLE VI. BONDS
Authority to issue bonds
Sec. 6.01. The board may issue and sell bonds in the name of
the district to acquire land and construct works, improvements, and
waste disposal, treatment, and other facilities, plants,
pipelines, equipment, and appliances as provided by this Act.
Bond payment
Sec. 6.02. The board may provide for the payment of the
principal of and interest on the bonds:
(1) from the levy and collection of property taxes on all
taxable property within the district;
(2) by pledging all or part of the designated revenues from
the ownership or operation of the district's works, improvements,
and facilities; or
(3) from a combination of the sources listed by Subdivisions
(1) and (2) of this section.
Bond election
Sec. 6.03. (a) Bonds may not be issued by the district until
authorized by a majority vote of individuals qualified to vote and
actually voting in the area within the boundaries of the district at
an election called and held for that purpose.
(b) The board may order a bond election. The order calling
the election must state the nature and the date of the election, the
hours during which the polls will be open, the location of the
polling places, the amount of bonds to be authorized, and the
maximum maturity of the bonds.
(c) Notice of a bond election must be given as provided by
the Election Code.
(d) At an election to authorize bonds, the ballot must be
printed to provide for voting for or against the issuance of bonds
and the levy of property taxes for payment of the bonds.
(e) The board shall canvass the returns and declare the
results of the election. If a majority of the votes cast at the
election favor the issuance of the bonds, the bonds may be issued by
the board, but if a majority of the votes cast at the election do not
favor issuance of the bonds, the bonds may not be issued.
Terms; form
Sec. 6.04. (a) The district may issue its bonds in various
series or issues.
(b) Bonds may mature serially or otherwise not more than 50
years after the date of issuance and shall bear interest at a rate
permitted by state law.
(c) The district's bonds and interest coupons, if any, are
investment securities under the terms of Chapter 8, Business &
Commerce Code, and may be issued registrable as to principal or as
to principal and interest or may be issued in book entry form and
may be made redeemable before maturity at the option of the district
or may contain a mandatory redemption provision.
(d) The district's bonds may be issued in the form,
denominations, and manner and under the terms, conditions, and
details and shall be signed and executed as provided by the board in
the resolution or order authorizing the bonds.
Bond provisions
Sec. 6.05. (a) In the orders or resolutions authorizing the
issuance of bonds, including refunding bonds, the board may provide
for the flow of funds, the establishment and maintenance of the
interest and sinking fund, the reserve fund, and other funds and may
make additional covenants with respect to the bonds and the pledged
fees.
(b) The orders or resolutions of the board authorizing the
issuance of bonds may prohibit the further issuance of bonds or
other obligations payable from the pledged fees or may reserve the
right to issue additional bonds to be secured by a pledge of and
payable from the fees on a parity with or subordinate to the pledge
in support of the bonds being issued.
(c) The orders or resolutions of the board issuing bonds may
contain other provisions and covenants as the board may determine.
(d) The board may adopt and have executed any other
proceedings or instruments necessary and convenient in the issuance
of bonds.
Approval and registration
Sec. 6.06. (a) Bonds issued by the district and the records
relating to their issuance must be submitted to the attorney
general for examination as to their validity.
(b) If the attorney general finds that the bonds have been
authorized in accordance with the law, the attorney general shall
approve them, and the comptroller of public accounts shall register
the bonds.
(c) Following approval and registration, the bonds are
incontestable and are binding obligations according to their terms.
Refunding bonds
Sec. 6.07. (a) Refunding bonds of the district may be issued
to refund and pay off an outstanding indebtedness the district has
issued or assumed.
(b) The bonds must be issued in the manner provided by
Chapter 784, Acts of the 61st Legislature, Regular Session, 1969
(Article 717k-3, Vernon's Texas Civil Statutes).
(c) The refunding bonds may be sold and the proceeds applied
to the payment of outstanding indebtedness or may be exchanged in
whole or in part for not less than a similar principal amount of
outstanding indebtedness. If the refunding bonds are to be sold and
the proceeds applied to the payment of outstanding indebtedness,
the refunding bonds must be issued and payments made in the manner
provided by Chapter 503, Acts of the 54th Legislature, Regular
Session, 1955 (Article 717k, Vernon's Texas Civil Statutes).
Legal investments, security for deposits
Sec. 6.08. (a) District bonds are legal and authorized
investments for:
(1) a bank;
(2) a savings bank;
(3) a trust company;
(4) a savings and loan association;
(5) an insurance company;
(6) a fiduciary;
(7) a trustee;
(8) a guardian; and
(9) the sinking fund of a municipality, county, school
district, or other political subdivision of the state and other
public funds of the state and its agencies, including the permanent
school fund.
(b) District bonds may secure deposits of public funds of
the state or a municipality, county, school district, or other
political subdivision of the state. The bonds are lawful and
sufficient security for deposits to the extent of their value, if
accompanied by all unmatured coupons.
Mandamus by bondholders
Sec. 6.09. In addition to all other rights and remedies
provided by law, if the district defaults in the payment of
principal, interest, or redemption price on its bonds when due or if
it fails to make payments into any fund or funds created in the
orders or resolutions authorizing the issuance of the bonds or
defaults in the observation or performance of any other covenants,
conditions, or obligations set forth in the orders or resolutions
authorizing the issuance of its bonds, the owners of any of the
bonds are entitled to a writ of mandamus issued by a court of
competent jurisdiction compelling and requiring the district and
its officials to observe and perform the covenants, obligations, or
conditions prescribed in the orders or resolutions authorizing the
issuance of the district's bonds.
Application of other laws
Sec. 6.10. Bonds of the district are considered bonds under
the Bond Procedures Act of 1981 (Article 717k-6, Vernon's Texas
Civil Statutes).
ARTICLE VII. TAXES
Tax status of bonds
Sec. 7.01. Since the district created under this chapter is a
public entity performing an essential public function, bonds issued
by the district, any transaction relating to the bonds, and profits
made in the sale of the bonds are free from taxation by the state or
by a municipality, county, special district, or other political
subdivision of the state.
Levy of taxes
Sec. 7.02. (a) The board may annually levy taxes in the
district in an amount necessary to pay the principal of and interest
on bonds issued by the district and the expense of assessing and
collecting taxes.
(b) The district may levy and collect a maintenance and
operating tax in an amount not to exceed three cents on each $100 of
assessed valuation of property in the district to pay maintenance
and operating expenses of the district.
Board authority
Sec. 7.03. (a) The board may levy taxes for the entire year in
which the district is created.
(b) The board shall levy taxes on all property within the
boundaries of the district subject to district taxation.
Tax rate
Sec. 7.04. In setting the tax rate, the board shall take into
consideration the income of the district from sources other than
taxation. On determination of the amount of tax required to be
levied, the board shall make the levy and certify it to the tax
collector.
Tax appraisal, assessment, and collection
Sec. 7.05. (a) The Tax Code governs the appraisal,
assessment, and collection of district taxes.
(b) The board may provide for the appointment of a tax
collector for the district or may contract for the collection of
taxes as provided by the Tax Code.
ARTICLE VIII. ANNEXATION OF ADJACENT COUNTIES
Annexation of territory
Sec. 8.01. The board may annex the territory within the
boundaries of an adjacent county in the manner provided by this
article.
Petition
Sec. 8.02. To initiate annexation proceedings, the
commissioners court of the adjacent county must petition the board
requesting the board to call an annexation election for the
territory within the petitioner's county. The petition must be in
writing and be endorsed by a majority of the members of the
commissioners court.
Hearing
Sec. 8.03. (a) On receipt of the petition, the board shall set
a time and place to hold a hearing on the petition. The board shall
set a date for the hearing that is not later than the 20th day after
the date on which the board receives the petition.
(b) The board shall publish notice of the place, time, date,
and purpose of the hearing in one or more newspapers with general
circulation in the district and in the county to be annexed. This
notice is in addition to the notice required under the open meetings
law, Chapter 271, Acts of the 60th Legislature, Regular Session,
1967 (Article 6252-17, Vernon's Texas Civil Statutes).
(c) Any person may testify at the hearing for or against
annexation of the county to the district.
(d) At the conclusion of the hearing, the board shall
determine if an election should be held in the county to be annexed
to determine if the county should be annexed to the district.
(e) Annexation of a county is final when approved by a
majority of the voters at an election held in the county to be
annexed. If the district has outstanding debts or taxes, the voters
in the election to approve the annexation must also determine if the
annexed county will assume its proportion of the debts or taxes if
added to the district. An election in the existing district
accepting the addition of the county is not required.
(f) The election ballots shall be printed to provide for
voting for or against the following, as applicable:
(1) "Adding (description of county to be added) to the Upper
Sabine Valley Solid Waste Management District."
(2) "(Description of county to be added) assuming its
proportionate share of the outstanding debts and taxes of the Upper
Sabine Valley Solid Waste Management District, if it is added to the
district."
(g) The election shall be held after the 45th day and on or
before the 60th day after the date the election is ordered. The
election shall be ordered and notice of the election shall be given
in accordance with the Election Code. Section 41.001(a), Election
Code, does not apply to an election held under this section.
(h) The board shall file a copy of the election results with
the commission.
Appointment of directors
Sec. 8.04. (a) The commissioners court of the annexed county
shall appoint two directors to serve on the district's board of
directors.
(b) The newly appointed directors shall draw lots to
determine their initial terms of office. One new director shall
serve an initial term that coincides with the terms of district
directors that expire within two years and the other director shall
serve a term that expires within two to four years.
ARTICLE IX. EXCLUSIONS
Exclusion from district
Sec. 9.01. (a) At any time before the district incurs bonded
or other long term indebtedness, the commissioners court of a
county within the district may petition the board to hold an
election within the county to determine if a majority of voters of
that county want to exclude the county from the district. On
receipt of the petition, the board shall enter an order authorizing
the commissioners court to call the election.
(b) After the issuance of bonds or other long term
indebtedness, a county commissioners court may petition the board
to hold an election to determine if the county should be excluded
from the district. Before authorizing the commissioners court to
call an election for this purpose, the board must obtain adequate
legal and financial assurances that the county will assume and pay
to the district its proportionate share, based on assessed
valuation of taxable property in the county and district, of the
district's outstanding debt if the county withdraws from the
district. After obtaining assurances the board determines to be
adequate, the board shall enter an order authorizing the
commissioners court of that county to call an election in that
county to determine if the county should be excluded from the
district.
Election
Sec. 9.02. (a) Exclusion of a county is final when approved by
a majority of the voters at an election held in the county to be
excluded. If the district has outstanding bonds or other long term
obligations, the voters in the election to approve the exclusion
must also determine if the excluded county will assume a duty to pay
its proportion of the district's outstanding indebtedness.
(b) The ballots for the election shall be printed to provide
for voting for or against the proposition, as applicable: "The
exclusion of __________ County from the Upper Sabine Valley Solid
Waste Management District and assumption by the county of a duty to
pay its proportionate share of the outstanding indebtedness of the
district."
(c) The election shall be held after the 45th day and on or
before the 60th day after the date the election is ordered. The
election shall be ordered and notice of the election shall be given
in accordance with the Election Code. Section 41.001(a), Election
Code, does not apply to an election held under this section.
(d) The board shall file a copy of the election results with
the commission.
Continued obligation for indebtedness
Sec. 9.03. The exclusion of a county under Section 9.01(b)
does not relieve the district of its obligation to perform and
observe the covenants and obligations or the conditions prescribed
by the orders or resolution authorizing the issuance of the
district's bonds.
Acts 1991, 72nd Leg., ch. 734, Sec. 1, eff. Aug. 26, 1991. Sec. 4.07
amended by Acts 1993, 73rd Leg., ch. 757, Sec. 33, eff. Sept. 1,
1993; Sec. 4.13 amended by Acts 1993, 73rd Leg., ch. 757, Sec. 34,
eff. Sept. 1, 1993; Sec. 3.07 amended by Acts 2003, 78th Leg., ch.
657, Sec. 1, eff. Sept. 1, 2003.
Article: 4413(42a) 4413(47e-1) 4413(56a) 4438g 4447cc 4498c 4477-7j 4477-7k 4512.5 5190.6 5190.14 5196 5196a 5196b 5197
Last modified: August 10, 2007
|
