Tex. Spec. Dist. Local Laws Code Section 3973.0314
Division of District


(a)

The district may be divided into two or more new districts only if the district:

(1)

has no outstanding bonded debt; and

(2)

is not imposing ad valorem taxes.

(b)

This chapter applies to any new district created by the division of the district, and a new district has all the powers and duties of the district.

(c)

Any new district created by the division of the district may, at the time the new district is created, contain only:

(1)

land within the area described by Section 2 of the Act enacting this chapter; or

(2)

any land adjacent to the area described by Section 2 of the Act enacting this chapter if that adjacent land is:

(A)

not within the extraterritorial jurisdiction of a city; or

(B)

within the extraterritorial jurisdiction of a city and that adjacent land has been approved for inclusion in the district under an ordinance or resolution adopted by the city consenting to the inclusion.

(d)

The board, on its own motion or on receipt of a petition signed by the owner or owners of a majority of the assessed value of the real property in the district, may adopt an order dividing the district.

(e)

The board may adopt an order dividing the district before or after the date the board holds an election under Section 3973.0204 (Temporary Directors) to elect the district’s permanent directors.

(f)

An order dividing the district must:

(1)

name each new district;

(2)

include the metes and bounds description of the territory of each new district;

(3)

appoint temporary directors for each new district; and

(4)

provide for the division of assets and liabilities between or among the new districts.

(g)

On or before the 30th day after the date of adoption of an order dividing the district, the district shall file the order with the Texas Commission on Environmental Quality and record the order in the real property records of each county in which the district is located.

(h)

Any new district created by the division of the district shall hold a permanent directors’ election as required by Section 3973.0204 (Temporary Directors).

(i)

Municipal consent by a city is not required for the creation of any new district created under this section.

(j)

Any new district created by the division of the district must hold an election as required by this chapter to obtain voter approval before the district may impose a maintenance tax or issue bonds payable wholly or partly from ad valorem taxes or sales and use taxes.

(k)

If the voters of a new district do not confirm the creation of the new district, the assets, obligations, territory, and governance of the new district revert to that of the original district.
Added by Acts 2019, 86th Leg., R.S., Ch. 1255 (H.B. 4653), Sec. 1, eff. September 1, 2019.

Source: Section 3973.0314 — Division of District, https://statutes.­capitol.­texas.­gov/Docs/SD/htm/SD.­3973.­htm#3973.­0314 (accessed Mar. 23, 2024).

3973.0101
Definitions
3973.0102
Nature of District
3973.0103
Purpose
3973.0104
Findings of Benefit and Public Purpose
3973.0105
Initial District Territory
3973.0106
Eligibility for Inclusion in Special Zones
3973.0107
Applicability of Municipal Management Districts Law
3973.0108
Construction of Chapter
3973.0109
Conflicts of Law
3973.0201
Governing Body
3973.0202
Quorum
3973.0203
Compensation
3973.0204
Temporary Directors
3973.0301
General Powers and Duties
3973.0302
Improvement Projects and Services
3973.0303
Authority for Road Projects
3973.0304
Conveyance and Approval of Road Project
3973.0305
Nonprofit Corporation
3973.0306
Agreements
3973.0307
Law Enforcement Services
3973.0308
Membership in Charitable Organizations
3973.0309
Economic Development
3973.0310
Parking Facilities
3973.0311
No Toll Roads
3973.0312
Rail Facilities
3973.0313
Annexation or Exclusion of Land
3973.0314
Division of District
3973.0315
No Eminent Domain Power
3973.0401
Disbursements and Transfers of Money
3973.0402
Money Used for Improvements or Services
3973.0403
Petition Required for Financing Services and Improvements with Assessments
3973.0404
Assessments
3973.0405
Residential Property Not Exempt
3973.0406
Tax and Assessment Abatements
3973.0501
Elections Regarding Taxes and Bonds
3973.0502
Operation and Maintenance Tax
3973.0503
Contract Taxes
3973.0504
Authority to Borrow Money and to Issue Bonds and Other Obligations
3973.0505
Taxes for Bonds
3973.0506
Bonds for Road Projects
3973.0601
Applicability of Certain Tax Code Provisions
3973.0602
Election
3973.0603
Sales and Use Tax Rate
3973.0604
Tax After Municipal Annexation
3973.0605
Notification of Rate Change
3973.0606
Use of Revenue
3973.0607
Abolition of Tax
3973.0701
Authority to Establish Defined Areas or Designated Property
3973.0702
Procedure for Election
3973.0703
Declaring Result and Issuing Order
3973.0704
Taxes for Services, Improvements, and Facilities in Defined Areas or Designated Property
3973.0705
Issuance of Bonds for Defined Area or Designated Property
3973.0706
Addition or Exclusion of Land in Defined Area

Accessed:
Mar. 23, 2024

§ 3973.0314’s source at texas​.gov