Monitoring the Session

HB 5696

Cook Bill Names The Board Of A 174-Acre Mansfield District

Became law, effective Sep 1, 2025

Verdict: Smells

SmellsReviewed
Rep. David CookRHouse 96
Why it's charged
New fee, fund, board or appointees

THE TEXT

…“governed by a board of five elected directors who serve staggered”…

Bill text, Senate committee report version (S)

The bill builds a new taxing body with its own board, paid directors and power to impose assessments, fees and taxes. The caption openly says it creates the district, so this is a tag, not a hidden move.

New fee, fund, board or appointees

Reviewed · Nov 1, 2026 · Headline, summary and grade are analysis of the bill text, not a finding about any person · How we grade

Caption

relating to the creation of The Reserve Municipal Management District; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Caption from analyzed text · version S.

Summary

Paid directors, some bonds with no election, loans and grants. No eminent domain, though.

This bill creates The Reserve Municipal Management District, a new special district covering about 174 acres in the City of Mansfield, run by a five-member board whose first members are named in the bill. Property owners in the district can be charged assessments if owners of a majority of the property value petition for them, and residents can be taxed and bonded if voters approve. The district can borrow money, issue some bonds without an election, make loans and grants of public money for economic development, run parking facilities and create a nonprofit corporation, but it cannot take land by eminent domain.

Labels

Labels: NO AUTOGRAPH. Became law without the governor's signature on Jun 20, 2025.

Receipt

The receipt

89R-HB5696 · 2025-04-30

SOLD BY

ITEM

relating to the creation of The Reserve Municipal Management District; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

WHAT IT DOES

Paid directors, some bonds with no election, loans and grants. No eminent domain, though.

This bill creates The Reserve Municipal Management District, a new special district covering about 174 acres in the City of Mansfield, run by a five-member board whose first members are named in the bill. Property owners in the district can be charged assessments if owners of a majority of the property value petition for them, and residents can be taxed and bonded if voters approve. The district can borrow money, issue some bonds without an election, make loans and grants of public money for economic development, run parking facilities and create a nonprofit corporation, but it cannot take land by eminent domain.

CHARGES

[x] NEW FEE, FUND, BOARD OR APPOINTEESanalysis confidence 50%

THE TEXT

…“governed by a board of five elected directors who serve staggered”…

Bill text, Senate committee report version (S)

The bill builds a new taxing body with its own board, paid directors and power to impose assessments, fees and taxes. The caption openly says it creates the district, so this is a tag, not a hidden move.

TOTAL

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version F · source

Sources

Fiscal note · version F · May 27, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

HISTORY

  1. Filed
  2. Transmitted to the Governor
  3. Read first time
  4. Referred to Intergovernmental Affairs
  5. Scheduled for public hearing on . . .
  6. Considered in public hearing
  7. Testimony taken/registration(s) recorded in committee
  8. Left pending in committee
  9. Considered in formal meeting
  10. Recommended to be sent to Local & Consent
  11. Reported favorably w/o amendment(s)
  12. Comte report filed with Committee Coordinator
  13. Committee report distributed
  14. Comm. report sent to Local & Consent Calendar
  15. Considered in Local & Consent Calendars
  16. Placed on Local, Consent, and Res. Calendar
  17. Read 2nd time
  18. Passed to engrossment
  19. Nonrecord vote recorded in Journal
  20. Read 3rd time
  21. Passed
  22. Record vote RV#2818
  23. Nonrecord vote recorded in Journal
  24. Reported engrossed
  25. Received from the House
  26. Recommendations filed with the Speaker
  27. Read first time
  28. Referred to Local Government
  29. Posting rule suspended
  30. Scheduled for public hearing on . . .
  31. Considered in public hearing
  32. Left pending in committee
  33. Considered in public hearing
  34. Vote taken in committee
  35. Reported favorably as substituted
  36. Recommended for local & uncontested calendar
  37. Committee report printed and distributed
  38. Placed on intent calendar
  39. Rules suspended-Regular order of business
  40. Record vote
  41. Read 2nd time & passed to 3rd reading
  42. Record vote
  43. Three day rule suspended
  44. Record vote
  45. Read 3rd time
  46. Passed
  47. Record vote
  48. Senate passage as amended reported
  49. Senate Amendments distributed
  50. Senate Amendments Analysis distributed
  51. House concurs in Senate amendment(s)
  52. Record vote RV#4020
  53. Statement(s) of vote recorded in Journal
  54. Text of Senate Amendment(s)
  55. House concurs in Senate amendment(s)-reported
  56. Reported enrolled
  57. Signed in the House
  58. Signed in the Senate
  59. Sent to the Governor
  60. Filed without the Governor's signature
  61. Effective on 9/1/25
FILED UNDER

DEBT AND SPECIAL DISTRICTS

THE TEXT

…“PAYMENTS. The district may issue, without an election, bonds”…

Bill text, Senate committee report version (S)

The bill creates a local special district by local bill with power to borrow, impose assessments and ad valorem taxes, and issue some bonds without a vote.

CORPORATE WELFARE

THE TEXT

“(1) make loans and grants of public money; and”…

Bill text, Senate committee report version (S)

The district may run economic development programs that hand out loans and grants of public money to stimulate business activity in the district.

SIGNED FOR BY

House · 87 yea · 44 nay

Senate · 28 yea · 3 nay

Sources

House: Final passage · May 16, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

Senate: Final passage · May 26, 2025. Journal. Published stock for this vote. Snapshot 2026-10-19, Central time.

All floor motions and other positions below.

Smells

THANK YOU FOR CHECKING THE RECEIPT

CAMPAIGN PAID FOR BY

CAMPAIGN PAID FOR BY

Donors

Not tied to this bill.

Sources

The author's campaign account only. Own money and internal transfers are separate on the member page.

Derived itemized flow · Oct 28, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Texans for Lawsuit Reform PAC$350,000.00

Texans for Lawsuit Reform PAC

$350,000.00

Cash
$350,000.00
Paid by others
$0.00
Total
$350,000.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 24, 2025 to Oct 23, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101012315, 101037124, 101037559, 101066332, 101070691.

GOPAC Election Fund$115,000.00

GOPAC Election Fund

$115,000.00

Cash
$115,000.00
Paid by others
$0.00
Total
$115,000.00

Also funds 2 other sitting lawmakers.

Derived recipient stock · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · on Sep 20, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101066332.

Texas REALTORS Political Action Committee$60,000.00

Texas REALTORS Political Action Committee

$60,000.00

Cash
$60,000.00
Paid by others
$0.00
Total
$60,000.00

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 12, 2025 to Jul 16, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101037124, 101037559, 101066332.

Money

Missing data does not establish zero giving. Display amounts are rounded.

×

Texans for Lawsuit Reform PAC

$350,000.00

Cash
$350,000.00
Paid by others
$0.00
Total
$350,000.00

Also funds 124 other sitting lawmakers.

Derived recipient stock · Jul 10, 2024 to Oct 23, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Jun 24, 2025 to Oct 23, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101012315, 101037124, 101037559, 101066332, 101070691.

×

GOPAC Election Fund

$115,000.00

Cash
$115,000.00
Paid by others
$0.00
Total
$115,000.00

Also funds 2 other sitting lawmakers.

Derived recipient stock · Jul 17, 2025 to Oct 15, 2026. State data as of Nov 4, 2026.

Name match, not a verified identity: normalized filed name and state.

Sources

Derived itemized flow · on Sep 20, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101066332.

×

Texas REALTORS Political Action Committee

$60,000.00

Cash
$60,000.00
Paid by others
$0.00
Total
$60,000.00

Also funds 140 other sitting lawmakers.

Derived recipient stock · Jul 2, 2024 to Oct 24, 2026. State data as of Nov 4, 2026.

TEC account match.

Team
Sources

Derived itemized flow · Sep 12, 2025 to Jul 16, 2026. State data as of Nov 4, 2026.

Derived itemized contributions on live regular reports and uncovered special-session dates. Internal account transfers and daily reports are excluded.

Report IDs: 101037124, 101037559, 101066332.

Votes6

House May 29, 2025

Yea
99
Nay
36
Present, not voting
1
Absent
9
Excused
5
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

Sources

Record 4020

Representative Cook moved to concur in the senate amendments to HB 5696. The motion to concur in the senate amendments to HB 5696 prevailed by (Record 4020): 99 Yeas, 36 Nays, 1 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 99 (published)
  • Nay: 36 (published)
  • Present, not voting: 1 (published)
  • Absent: 9 (derived from named list)
  • Excused: 5 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Senate May 26, 2025

Yea
28
Nay
3
Present, not voting
Not printed
Absent
0
Excused
0
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Sources

The bill was read third time and was passed by the following vote: Yeas 28, Nays 3. (Same as previous roll call)

Published stock of positions for this vote, except where marked derived.

  • Yea: 28 (published)
  • Nay: 3 (published)
  • Present, not voting: Not printed
  • Absent: 0 (derived from named list)
  • Excused: 0 (derived from named list)

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 26, 2025

Yea
28
Nay
3
Present, not voting
Not printed
Absent
0
Excused
0
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Sources

Senator Birdwell moved that Senate Rule 7.18 and the Constitutional Rule requiring bills to be read on three several days be suspended and that CSHB 5696 be placed on its third reading and final passage. The motion prevailed by the following vote: Yeas 28, Nays 3.

Published stock of positions for this vote, except where marked derived.

  • Yea: 28 (published)
  • Nay: 3 (published)
  • Present, not voting: Not printed
  • Absent: 0 (derived from named list)
  • Excused: 0 (derived from named list)

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 26, 2025

Yea
28
Nay
3
Present, not voting
Not printed
Absent
0
Excused
0
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Sources

The bill was read second time and was passed to third reading by the following vote: Yeas 28, Nays 3. (Same as previous roll call)

Published stock of positions for this vote, except where marked derived.

  • Yea: 28 (published)
  • Nay: 3 (published)
  • Present, not voting: Not printed
  • Absent: 0 (derived from named list)
  • Excused: 0 (derived from named list)

Senate journal. Source snapshot 2026-10-19, Central time.

Senate May 26, 2025

Yea
28
Nay
3
Present, not voting
Not printed
Absent
0
Excused
0
Names

Named positions matched to lawmakers. See the journal for unmatched names.

Senate journal

Sources

Senator Birdwell moved to suspend the regular order of business to take up for consideration CSHB 5696 at this time on its second reading: CSHB 5696, Relating to the creation of The Reserve Municipal Management District; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes. The motion prevailed by the following vote: Yeas 28, Nays 3.

Published stock of positions for this vote, except where marked derived.

  • Yea: 28 (published)
  • Nay: 3 (published)
  • Present, not voting: Not printed
  • Absent: 0 (derived from named list)
  • Excused: 0 (derived from named list)

Senate journal. Source snapshot 2026-10-19, Central time.

House May 16, 2025

Yea
87
Nay
44
Present, not voting
2
Absent
4
Excused
12
Names

Named positions matched to lawmakers. See the journal for unmatched names.

House journal

The shared roll contains conflicting member evidence. Those positions remain conflicting.

Swanson is listed as excused in the shared roll and nay in this bill's list. That position remains conflicting.

Sources

Record 2818

HB 5696 (Alders, Ashby, Barry, K. Bell, Bonnen, Bumgarner, Cain, Capriglione, Cunningham, Dorazio, Gerdes, Harless, Harris Davila, Harrison, Hayes, Hickland, Holt, Hopper, Hull, Isaac, King, LaHood, Lambert, Leach, Leo Wilson, Little, Lowe, Luther, McQueeney, Metcalf, Money, Morgan, Noble, Olcott, Oliverson, Pierson, Schatzline, Shofner, Slawson, Spiller, Swanson, Troxclair, Vasut, Wharton, and Wilson - no) (87 - 44 - 2)

Shared roll motion

The following bills which were considered on second reading on the previous legislative day on the local, consent, and resolutions calendar were laid before the house, read third time, and passed by the following record vote (members registering votes and the results of the vote are shown following the bill number). (Record 2818): 131 Yeas, 0 Nays, 2 Present, not voting.

Published stock of positions for this vote, except where marked derived.

  • Yea: 87 (published)
  • Nay: 44 (published)
  • Present, not voting: 2 (published)
  • Absent: 4 (derived from named list)
  • Excused: 12 (derived from named list)

House journal. Source snapshot 2026-10-19, Central time.

Witnesses1
For
1
Against
0
On
0
Names

For

  • Winstead PC1 registration
Sources

1 parsed registrations across the loaded witness lists.

Derived stock of witness registrations. Repeated appearances count separately. Organizations and self-representation appear as printed.

House witness list. Source snapshot 2026-10-20, Central time.

Fiscal

No significant fiscal implication to the State is anticipated.

LBB estimate · fiscal note version F · source

Sources

Fiscal note · version F · May 27, 2025

No first-year general revenue figure available here.

LBB published estimates · flow over the stated periods.

Source snapshot 2026-10-19, Central time.

How this was graded

Analysis of text version S by claude-opus-5-5, Oct 22, 2026, against the published rubric.

Sources

Texas House · Filed Apr 30, 2025

06/20/2025 E Effective on 9/1/25

Texas Legislature Online · Introduced · House Committee Report · Engrossed · Senate Committee Report · Enrolled

Data snapshot Nov 1, 2026 at 3:14 PM CST. Grades, charges, quotes and corrections follow the published record.

Sponsors

House committee · Intergovernmental Affairs · Committee vote 9 aye, 0 nay, 1 absent · Out of committee

Senate committee · Local Government · Committee vote 6 aye, 0 nay · Out of committee

Subjects

THE RESERVE MUNICIPAL MANAGEMENT DISTRICT (DG3VV)

MANSFIELD, CITY OF (GS6VQ)

Special Districts & Authorities--Miscellaneous

Text

The text as introduced · 4,496 words

89R25573 JTZ-F

By: Cook
H.B. No. 5696

A BILL TO BE ENTITLED

relating to the creation of The Reserve Municipal Management

District; providing authority to issue bonds; providing authority

to impose assessments, fees, and taxes.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subtitle C, Title 4, Special District Local Laws

Code, is amended by adding Chapter 4026 to read as follows:

CHAPTER 4026. THE RESERVE MUNICIPAL MANAGEMENT DISTRICT

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 4026.0101. DEFINITIONS. In this chapter:

(1) "Board" means the district's board of directors.

(2) "City" means the City of Mansfield.

(3) "Director" means a board member.

(4) "District" means The Reserve Municipal Management

District.

Sec. 4026.0102. NATURE OF DISTRICT. The Reserve Municipal

Management District is a special district created under Section 59,

Article XVI, Texas Constitution.

Sec. 4026.0103. PURPOSE; DECLARATION OF INTENT. (a) The

creation of the district is essential to accomplish the purposes of

Sections 52 and 52-a, Article III, and Section 59, Article XVI,

Texas Constitution, and other public purposes stated in this

chapter.

(b) By creating the district and in authorizing the city and

other political subdivisions to contract with the district, the

legislature has established a program to accomplish the public

purposes set out in Section 52-a, Article III, Texas Constitution.

(c) The creation of the district is necessary to promote,

develop, encourage, and maintain employment, commerce,

transportation, housing, tourism, recreation, the arts,

entertainment, economic development, safety, and the public

welfare in the district.

(d) This chapter and the creation of the district may not be

interpreted to relieve the city from providing the level of

services provided as of the effective date of the Act enacting this

chapter to the area in the district. The district is created to

supplement and not to supplant city services provided in the

district.

Sec. 4026.0104. FINDINGS OF BENEFIT AND PUBLIC PURPOSE.

(a) All land and other property included in the district will

benefit from the improvements and services to be provided by the

district under powers conferred by Sections 52 and 52-a, Article

III, and Section 59, Article XVI, Texas Constitution, and other

powers granted under this chapter.

(b) The district is created to serve a public use and

benefit.

(c) The creation of the district is in the public interest

and is essential to further the public purposes of:

(1) developing and diversifying the economy of the

state;

(2) eliminating unemployment and underemployment; and

(3) developing or expanding transportation and

commerce.

(d) The district will:

(1) promote the health, safety, and general welfare of

residents, employers, potential employees, employees, visitors,

and consumers in the district, and of the public;

(2) provide needed funding for the district to

preserve, maintain, and enhance the economic health and vitality of

the district territory as a community and business center;

(3) promote the health, safety, welfare, and enjoyment

of the public by providing pedestrian ways and by landscaping and

developing certain areas in the district, which are necessary for

the restoration, preservation, and enhancement of scenic beauty;

and

(4) provide for water, wastewater, drainage, road, and

recreational facilities for the district.

(e) Pedestrian ways along or across a street, whether at

grade or above or below the surface, and street lighting, street

landscaping, parking, and street art objects are parts of and

necessary components of a street and are considered to be a street

or road improvement.

(f) The district will not act as the agent or

instrumentality of any private interest even though the district

will benefit many private interests as well as the public.

Sec. 4026.0105. INITIAL DISTRICT TERRITORY. (a) The

district is initially composed of the territory described by

Section 2 of the Act enacting this chapter.

(b) The boundaries and field notes contained in Section 2 of

the Act enacting this chapter form a closure. A mistake in the

field notes or in copying the field notes in the legislative process

does not affect the district's:

(1) organization, existence, or validity;

(2) right to issue any type of bonds for the purposes

for which the district is created or to pay the principal of and

interest on the bonds;

(3) right to impose or collect an assessment or tax; or

(4) legality or operation.

Sec. 4026.0106. ELIGIBILITY FOR INCLUSION IN SPECIAL ZONES.

All or any part of the area of the district is eligible to be

included in:

(1) a tax increment reinvestment zone created under

Chapter 311, Tax Code; or

(2) a tax abatement reinvestment zone created under

Chapter 312, Tax Code.

Sec. 4026.0107. APPLICABILITY OF MUNICIPAL MANAGEMENT

DISTRICTS LAW. Except as otherwise provided by this chapter,

Chapter 375, Local Government Code, applies to the district.

Sec. 4026.0108. CONSTRUCTION OF CHAPTER. This chapter

shall be liberally construed in conformity with the findings and

purposes stated in this chapter.

SUBCHAPTER B. BOARD OF DIRECTORS

Sec. 4026.0201. GOVERNING BODY; TERMS. (a) The district is

governed by a board of five elected directors who serve staggered

terms of four years.

(b) Directors are elected in the manner provided by

Subchapter D, Chapter 49, Water Code.

Sec. 4026.0202. COMPENSATION; EXPENSES. (a) The district

may compensate each director in an amount not to exceed $150 for

each board meeting. The total amount of compensation for each

director in one year may not exceed $7,200.

(b) A director is entitled to reimbursement for necessary

and reasonable expenses incurred in carrying out the duties and

responsibilities of the board.

(c) Sections 375.069 and 375.070, Local Government Code, do

not apply to the board.

Sec. 4026.0203. INITIAL DIRECTORS. (a) The initial board

consists of the following directors:

Pos. No.

Name of Director

1

Clay Roby

2

Jimmy O'Neal

3

Dan White

4

Joe Smolinski

5

Jason Moore

(b) Of the initial directors, the terms of directors

appointed for positions one through three expire June 1, 2027, and

the terms of directors appointed for positions four and five expire

June 1, 2029.

SUBCHAPTER C. POWERS AND DUTIES

Sec. 4026.0301. GENERAL POWERS AND DUTIES. The district

has the powers and duties necessary to accomplish the purposes for

which the district is created.

Sec. 4026.0302. IMPROVEMENT PROJECTS AND SERVICES. (a) The

district, using any money available to the district for the

purpose, may provide, design, construct, acquire, improve,

relocate, operate, maintain, or finance an improvement project or

service authorized under this chapter or Chapter 375, Local

Government Code, including a canal, waterway, bulkhead, or dock,

inside or outside the district's boundaries, that is necessary to,

incidental to, or in aid of the navigation of inland water for the

purposes of the district.

(b) The district may contract with a governmental or private

entity to carry out an action under Subsection (a).

(c) The implementation of a district project or service is a

governmental function or service for the purposes of Chapter 791,

Government Code.

Sec. 4026.0303. NONPROFIT CORPORATION. (a) The board by

resolution may authorize the creation of a nonprofit corporation to

assist and act for the district in implementing a project or

providing a service authorized by this chapter.

(b) The nonprofit corporation:

(1) has each power of and is considered to be a local

government corporation created under Subchapter D, Chapter 431,

Transportation Code; and

(2) may implement any project and provide any service

authorized by this chapter.

(c) The board shall appoint the board of directors of the

nonprofit corporation. The board of directors of the nonprofit

corporation shall serve in the same manner as the board of directors

of a local government corporation created under Subchapter D,

Chapter 431, Transportation Code, except that a board member is not

required to reside in the district.

Sec. 4026.0304. MEMBERSHIP IN CHARITABLE ORGANIZATIONS.

The district may join and pay dues to a charitable or nonprofit

organization that performs a service or provides an activity

consistent with the furtherance of a district purpose.

Sec. 4026.0305. ECONOMIC DEVELOPMENT PROGRAMS. (a) The

district may engage in activities that accomplish the economic

development purposes of the district.

(b) The district may establish and provide for the

administration of one or more programs to promote state or local

economic development and to stimulate business and commercial

activity in the district, including programs to:

(1) make loans and grants of public money; and

(2) provide district personnel and services.

(c) The district may create economic development programs

and exercise the economic development powers provided to

municipalities by:

(1) Chapter 380, Local Government Code; and

(2) Subchapter A, Chapter 1509, Government Code.

Sec. 4026.0306. PARKING FACILITIES. (a) The district may

acquire, lease as lessor or lessee, construct, develop, own,

operate, and maintain parking facilities or a system of parking

facilities, including lots, garages, parking terminals, or other

structures or accommodations for parking motor vehicles off the

streets and related appurtenances.

(b) The district's parking facilities serve the public

purposes of the district and are owned, used, and held for a public

purpose even if leased or operated by a private entity for a term of

years.

(c) The district's parking facilities are parts of and

necessary components of a street and are considered to be a street

or road improvement.

(d) The development and operation of the district's parking

facilities may be considered an economic development program.

Sec. 4026.0307. DISBURSEMENTS AND TRANSFERS OF MONEY. The

board by resolution shall establish the number of directors'

signatures and the procedure required for a disbursement or

transfer of district money.

Sec. 4026.0308. ADDING OR EXCLUDING LAND. Except as

provided by Section 4026.0309, the district may add or exclude land

in the manner provided by Subchapter J, Chapter 49, Water Code, or

by Subchapter H, Chapter 54, Water Code.

Sec. 4026.0309. 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 not, at the time the new district is created, contain any land

outside the area described by Section 2 of the Act enacting this

chapter.

(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) 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 initial directors for each new district;

and

(4) provide for the division of assets and liabilities

between or among the new districts.

(f) 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.

(g) Municipal consent to the creation of the district and to

the inclusion of land in the district granted under Section

4026.0506 acts as municipal consent to the creation of any new

district created by the division of the district and to the

inclusion of land in the new district.

Sec. 4026.0310. NO EMINENT DOMAIN POWER. The district may

not exercise the power of eminent domain.

SUBCHAPTER D. ASSESSMENTS

Sec. 4026.0401. PETITION REQUIRED FOR FINANCING SERVICES

AND IMPROVEMENTS WITH ASSESSMENTS. (a) The board may not finance a

service or improvement project with assessments under this chapter

unless a written petition requesting that service or improvement

has been filed with the board.

(b) A petition filed under Subsection (a) must be signed by

the owners of a majority of the assessed value of real property in

the district subject to assessment according to the most recent

certified tax appraisal roll for the county.

Sec. 4026.0402. ASSESSMENTS; LIENS FOR ASSESSMENTS. (a)

The board by resolution may impose and collect an assessment for any

purpose authorized by this chapter in all or any part of the

district.

(b) An assessment, a reassessment, or an assessment

resulting from an addition to or correction of the assessment roll

by the district, penalties and interest on an assessment or

reassessment, an expense of collection, and reasonable attorney's

fees incurred by the district:

(1) are a first and prior lien against the property

assessed;

(2) are superior to any other lien or claim other than

a lien or claim for county, school district, or municipal ad valorem

taxes; and

(3) are the personal liability of and a charge against

the owners of the property even if the owners are not named in the

assessment proceedings.

(c) The lien is effective from the date of the board's

resolution imposing the assessment until the date the assessment is

paid. The board may enforce the lien in the same manner that the

board may enforce an ad valorem tax lien against real property.

(d) The board may make a correction to or deletion from the

assessment roll that does not increase the amount of assessment of

any parcel of land without providing notice and holding a hearing in

the manner required for additional assessments.

SUBCHAPTER E. TAXES AND BONDS

Sec. 4026.0501. TAX ELECTION REQUIRED. (a) The district

must hold an election in the manner provided by Chapter 49, Water

Code, or, if applicable, Chapter 375, Local Government Code, to

obtain voter approval before the district may impose an ad valorem

tax.

(b) Section 375.243, Local Government Code, does not apply

to the district.

Sec. 4026.0502. OPERATION AND MAINTENANCE TAX. (a) If

authorized by a majority of the district voters voting at an

election under Section 4026.0501, the district may impose an

operation and maintenance tax on taxable property in the district

in the manner provided by Section 49.107, Water Code, for any

district purpose, including to:

(1) maintain and operate the district;

(2) construct or acquire improvements; or

(3) provide a service.

(b) The board shall determine the operation and maintenance

tax rate. The rate may not exceed the rate approved at the

election.

Sec. 4026.0503. AUTHORITY TO BORROW MONEY AND TO ISSUE

BONDS AND OTHER OBLIGATIONS. (a) The district may borrow money on

terms determined by the board.

(b) The district may issue, by public or private sale,

bonds, notes, or other obligations payable wholly or partly from ad

valorem taxes, assessments, impact fees, revenue, including

contract revenues, contract payments, grants, or other district

money, or any combination of those sources of money, to pay for any

authorized district purpose.

(c) The district may issue, by public or private sale,

bonds, notes, or other obligations payable wholly or partly from

assessments in the manner provided by Subchapter A, Chapter 372,

Local Government Code, if the improvement financed by the

obligation issued under this section will be conveyed to or

operated and maintained by a municipality or other retail utility

provider pursuant to an agreement with the district entered into

before the issuance of the obligation.

Sec. 4026.0504. BONDS SECURED BY REVENUE OR CONTRACT

PAYMENTS. The district may issue, without an election, bonds

secured by:

(1) revenue other than ad valorem taxes, including

contract revenues; or

(2) contract payments, provided that the requirements

of Section 49.108, Water Code, have been met.

Sec. 4026.0505. BONDS SECURED BY AD VALOREM TAXES;

ELECTIONS. (a) If authorized at an election under Section

4026.0501, the district may issue bonds payable from ad valorem

taxes.

(b) At the time the district issues bonds payable wholly or

partly from ad valorem taxes, the board shall provide for the annual

imposition of a continuing direct annual ad valorem tax, without

limit as to rate or amount, for each year that all or part of the

bonds are outstanding as required and in the manner provided by

Sections 54.601 and 54.602, Water Code.

(c) All or any part of any facilities or improvements that

may be acquired by a district by the issuance of its bonds may be

submitted as a single proposition or as several propositions to be

voted on at the election.

Sec. 4026.0506. CONSENT OF MUNICIPALITY REQUIRED. (a) The

board may not issue bonds until each municipality in whose

corporate limits or extraterritorial jurisdiction the district is

located has consented by ordinance or resolution to the creation of

the district and to the inclusion of land in the district as

required by applicable law.

(b) This section applies only to the district's first

issuance of bonds payable from ad valorem taxes.

SUBCHAPTER I. DISSOLUTION

Sec. 4026.0901. DISSOLUTION. (a) The board shall dissolve

the district on written petition filed with the board by the owners

of:

(1) at least two-thirds of the assessed value of the

property subject to assessment by the district based on the most

recent certified county property tax rolls; or

(2) at least two-thirds of the surface area of the

district, excluding roads, streets, highways, utility

rights-of-way, other public areas, and other property exempt from

assessment by the district according to the most recent certified

county property tax rolls.

(b) The board by majority vote may dissolve the district at

any time.

(c) The district may not be dissolved by its board under

Subsection (a) or (b) if the district:

(1) has any outstanding bonded indebtedness until that

bonded indebtedness has been repaid or defeased in accordance with

the order or resolution authorizing the issuance of the bonds;

(2) has a contractual obligation to pay money until

that obligation has been fully paid in accordance with the

contract; or

(3) owns, operates, or maintains public works,

facilities, or improvements unless the district contracts with

another person for the ownership, operation, or maintenance of the

public works, facilities, or improvements.

(d) Sections 375.261, 375.262, and 375.264, Local

Government Code, do not apply to the district.

SECTION 2. The Reserve Municipal Management District

initially includes all territory contained in the following area:

BEGINNING, at the west line of Matlock Road having a Texas State

Plane Coordinate System, NAD 83, North Central Zone (4202) grid

coordinate of North 6,892,348.42, East 2,400,693.84;

THENCE, South 29 degrees, 55 minutes, 44.23 seconds East, a

distance of 567.590 feet to a point for corner;

THENCE, South 33 degrees, 06 minutes, 30.23 seconds East, a

distance of 90.140 feet to a point for corner;

THENCE, South 29 degrees, 55 minutes, 43.23 seconds East, a

distance of 85.000 feet to a point for corner; said point being the

beginning of a curve to the right;

THENCE, Along said curve, having a central angle of 30 degrees, 33

minutes, 43.20 seconds, a radius of 995.000 feet, a chord bearing

and distance of South 14 degrees, 38 minutes, 52.23 seconds East,

524.470 feet, an arc distance of 530.740 feet to a point at the end

of said curve;

THENCE, South 00 degrees, 38 minutes, 00.77 seconds West, a

distance of 129.510 feet to a point for corner; said point being the

beginning of a non-tangent curve to the left;

THENCE, Along said curve, having a central angle of 110 degrees, 30

minutes, 03.96 seconds, a radius of 115.000 feet, a chord bearing

and distance of South 05 degrees, 13 minutes, 08.77 seconds West,

188.980 feet, an arc distance of 221.790 feet to a point at the end

of said curve;

THENCE, South 29 degrees, 51 minutes, 36.23 seconds East, a

distance of 78.956 feet to a point for corner; said point being the

beginning of a non-tangent curve to the left;

THENCE, Along said curve, having a central angle of 18 degrees, 08

minutes, 03.84 seconds, a radius of 1105.000 feet, a chord bearing

and distance of South 20 degrees, 37 minutes, 21.23 seconds East,

348.280 feet, an arc distance of 349.738 feet to a point at the end

of said curve;

THENCE, South 29 degrees, 41 minutes, 23.23 seconds East, a

distance of 177.850 feet to a point for corner; said point being the

beginning of a non-tangent curve to the right;

THENCE, Along said curve, having a central angle of 5 degrees, 07

minutes, 57.36 seconds, a radius of 500.610 feet, a chord bearing

and distance of South 27 degrees, 07 minutes, 18.23 seconds East,

44.830 feet, an arc distance of 44.845 feet to a point at the end of

said curve; said point being the beginning of a non-tangent curve to

the left;

THENCE, Along said curve, having a central angle of 6 degrees, 22

minutes, 12.72 seconds, a radius of 527.610 feet, a chord bearing

and distance of South 27 degrees, 44 minutes, 32.23 seconds East,

58.630 feet, an arc distance of 58.660 feet to a point at the end of

said curve;

THENCE, South 29 degrees, 41 minutes, 27.23 seconds East, a

distance of 81.270 feet to a point for corner; said point being the

beginning of a non-tangent curve to the right;

THENCE, Along said curve, having a central angle of 88 degrees, 46

minutes, 15.60 seconds, a radius of 58.000 feet, a chord bearing and

distance of South 14 degrees, 41 minutes, 29.77 seconds West,

81.140 feet, an arc distance of 89.862 feet to a point at the end of

said curve;

THENCE, South 59 degrees, 04 minutes, 23.77 seconds West, a

distance of 1606.253 feet to a point for corner;

THENCE, North 75 degrees, 40 minutes, 33.00 seconds West, a

distance of 36.018 feet to a point for corner;

THENCE, North 30 degrees, 28 minutes, 34.00 seconds West, a

distance of 25.140 feet to a point for corner;

THENCE, North 30 degrees, 22 minutes, 19.00 seconds West, a

distance of 51.590 feet to a point for corner; said point being the

beginning of a non-tangent curve to the left;

THENCE, Along said curve, having a central angle of 17 degrees, 48

minutes, 18.00 seconds, a radius of 914.000 feet, a chord bearing

and distance of North 39 degrees, 17 minutes, 25.00 seconds West,

282.890 feet, an arc distance of 284.031 feet to a point at the end

of said curve; said point being the beginning of a compound curve to

the left;

THENCE, Along said curve, having a central angle of 30 degrees, 33

minutes, 24.84 seconds, a radius of 914.000 feet, a chord bearing

and distance of North 63 degrees, 28 minutes, 16.85 seconds West,

481.697 feet, an arc distance of 487.454 feet to a point at the end

of said curve;

THENCE, North 29 degrees, 15 minutes, 04.00 seconds West, a

distance of 1147.565 feet to a point for corner;

THENCE, North 29 degrees, 26 minutes, 33.00 seconds West, a

distance of 839.410 feet to a point for corner;

THENCE, North 30 degrees, 07 minutes, 05.99 seconds West, a

distance of 667.664 feet to a point for corner;

THENCE, North 30 degrees, 07 minutes, 05.00 seconds West, a

distance of 599.046 feet to a point for corner;

THENCE, North 59 degrees, 34 minutes, 19.00 seconds East, a

distance of 602.393 feet to a point for corner; said point being the

beginning of a non-tangent curve to the right;

THENCE, Along said curve, having a central angle of 46 degrees, 33

minutes, 12.60 seconds, a radius of 145.000 feet, a chord bearing

and distance of North 82 degrees, 50 minutes, 53.00 seconds East,

114.600 feet, an arc distance of 117.814 feet to a point at the end

of said curve;

THENCE, South 73 degrees, 44 minutes, 12.00 seconds East, a

distance of 164.490 feet to a point for corner; said point being the

beginning of a non-tangent curve to the right;

THENCE, Along said curve, having a central angle of 14 degrees, 56

minutes, 32.64 seconds, a radius of 785.370 feet, a chord bearing

and distance of South 66 degrees, 04 minutes, 21.00 seconds East,

204.240 feet, an arc distance of 204.820 feet to a point at the end

of said curve;

THENCE, North 28 degrees, 27 minutes, 50.00 seconds East, a

distance of 339.780 feet to a point for corner;

THENCE, North 74 degrees, 40 minutes, 12.00 seconds East, a

distance of 20.780 feet to a point for corner; said point being the

beginning of a non-tangent curve to the right;

THENCE, Along said curve, having a central angle of 11 degrees, 33

minutes, 58.68 seconds, a radius of 1140.000 feet, a chord bearing

and distance of South 52 degrees, 57 minutes, 45.68 seconds East,

229.741 feet, an arc distance of 230.132 feet to a point at the end

of said curve;

THENCE, South 47 degrees, 10 minutes, 47.17 seconds East, a

distance of 302.870 feet to a point for corner; said point being the

beginning of a non-tangent curve to the left;

THENCE, Along said curve, having a central angle of 50 degrees, 36

minutes, 33.84 seconds, a radius of 1060.000 feet, a chord bearing

and distance of South 72 degrees, 29 minutes, 03.06 seconds East,

906.156 feet, an arc distance of 936.299 feet to a point at the end

of said curve;

THENCE, South 06 degrees, 24 minutes, 37.23 seconds East, a

distance of 73.347 feet to a point for corner; said point being the

beginning of a non-tangent curve to the left;

THENCE, Along said curve, having a central angle of 23 degrees, 41

minutes, 22.20 seconds, a radius of 115.000 feet, a chord bearing

and distance of South 18 degrees, 15 minutes, 09.23 seconds East,

47.210 feet, an arc distance of 47.548 feet to a point at the end of

said curve;

THENCE, South 30 degrees, 06 minutes, 00.23 seconds East, a

distance of 218.970 feet to a point for corner;

THENCE, North 60 degrees, 04 minutes, 59.77 seconds East, a

distance of 348.680 feet to the POINT OF BEGINNING;

CONTAINING: 7,564,921 square feet or 173.667 acres of land, more or

less.

SECTION 3. (a) The legal notice of the intention to

introduce this Act, setting forth the general substance of this

Act, has been published as provided by law, and the notice and a

copy of this Act have been furnished to all persons, agencies,

officials, or entities to which they are required to be furnished

under Section 59, Article XVI, Texas Constitution, and Chapter 313,

Government Code.

(b) The governor, one of the required recipients, has

submitted the notice and Act to the Texas Commission on

Environmental Quality.

(c) The Texas Commission on Environmental Quality has filed

its recommendations relating to this Act with the governor,

lieutenant governor, and speaker of the house of representatives

within the required time.

(d) All requirements of the constitution and laws of this

state and the rules and procedures of the legislature with respect

to the notice, introduction, and passage of this Act have been

fulfilled and accomplished.

SECTION 4. This Act takes effect immediately if it receives

a vote of two-thirds of all the members elected to each house, as

provided by Section 39, Article III, Texas Constitution. If this

Act does not receive the vote necessary for immediate effect, this

Act takes effect September 1, 2025.