(a) The commissioners court of a county may by order create a district in that county to develop, finance, maintain, and operate a new rail system under this chapter and for other purposes of this chapter.
(b) The boundaries of a district created under this section are the boundaries of the county in which the district is created.
(c) At the time the district is created, the commissioners court shall:
(1) designate the district's name; and
(2) appoint at least four residents of the county to serve as directors.
(d) The commissioners court of the county by order may provide for the district's dissolution if the commissioners court determines that the dissolution will not impair an obligation of any contract of the district. The dissolution order is effective only on the creation of another district in which the county is included.