    SPECIAL DISTRICT LOCAL LAWS CODE
    TITLE 6. WATER AND WASTEWATER
    SUBTITLE F. MUNICIPAL UTILITY DISTRICTS
    CHAPTER 8024A.  HARRIS COUNTY MUNICIPAL UTILITY DISTRICT NO. 405
    SUBCHAPTER A.  GENERAL PROVISIONS
    Sec. 8024A.0101.  DEFINITIONS.  In this chapter:(1)  "Board" means the district's board of directors.(2)  "District" means the Harris County Municipal Utility District No. 405.
    Added by Acts 2025, 89th Leg., R.S., Ch. 537 (H.B. 5699), Sec. 1, eff. September 1, 2025.

    SUBCHAPTER B.  POWERS AND DUTIES
    Sec. 8024A.0201.  EXCLUSION OF PROPERTY BY CONTRACT.  (a)  Notwithstanding any other law, the district may enter into a written contract with an owner of undeveloped property in the district to exclude the property from the district on terms and conditions the board considers advantageous for the district.(b)  The district may issue an order excluding the property from the district only if the terms and conditions of the contract are satisfied. The district shall record a copy of the order in the real property records of Harris County.(c)  Except as provided by the contract described by Subsection (a) and Section 8024A.0202, on issuance of the order, the excluded property is no longer part of the district and is not entitled to any services from the district.
    Added by Acts 2025, 89th Leg., R.S., Ch. 537 (H.B. 5699), Sec. 1, eff. September 1, 2025.

    Sec. 8024A.0202.  EFFECT OF EXCLUSION ON INDEBTEDNESS AND TAXES.  (a)  Until a property's pro rata share of the district's indebtedness is paid in full after the property is excluded from the district under Section 8024A.0201:(1)  the excluded property's pro rata share of the district's indebtedness remains the obligation of the owner of the excluded property and continues to be secured by statutory liens on the excluded property;(2)  the district shall continue to levy and collect debt service taxes each year on the excluded property at the same rate levied on other property in the district; and(3)  the taxes collected under Subdivision (2) remain pledged as security for the district's indebtedness and shall be applied exclusively to the payment of the excluded property's pro rata share of the district's indebtedness.(b)  The contract for exclusion must state the amount of or a method of determining the excluded property's pro rata share of the district's indebtedness.(c)  The owner of any part of the excluded property at any time may pay in full the remaining unpaid portion of the excluded property's pro rata share of the district's indebtedness.(d)  On payment in full of the excluded property's pro rata share of the district's indebtedness, the excluded property is released from payment of the district's debt service taxes.
    Added by Acts 2025, 89th Leg., R.S., Ch. 537 (H.B. 5699), Sec. 1, eff. September 1, 2025.

    Sec. 8024A.0203.  RIGHTS OF BONDHOLDERS.  The exclusion of property from the district under Section 8024A.0201 does not diminish or impair the rights of the holders of any outstanding and unpaid bonds, warrants, or other certificates of indebtedness of the district.
    Added by Acts 2025, 89th Leg., R.S., Ch. 537 (H.B. 5699), Sec. 1, eff. September 1, 2025.

    Sec. 8024A.0204.  RELIANCE ON PRIOR ELECTION.  Notwithstanding any other law, the district may issue any unissued additional bonds, notes, or other obligations approved by voters of the district before the exclusion of property from the district under Section 8024A.0201 without holding a new election to authorize the issuance of the bonds, notes, or other obligations.
    Added by Acts 2025, 89th Leg., R.S., Ch. 537 (H.B. 5699), Sec. 1, eff. September 1, 2025.