Texas Senate Bill SB2519

Texas 2019 - 86th Regular

Caption

Relating to the creation of the Orchard Municipal Utility District No. 1; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The creation of the Orchard Municipal Utility District No. 1 represents a significant change in local governance, as it enables the district to manage its resources and projects independently. By granting the district the power to impose taxes and issue bonds, the bill facilitates the creation and maintenance of essential infrastructure such as roads, drainage systems, and other utilities necessary for community development. This could lead to improved services for residents, as the district can tailor its projects to meet local needs effectively.

Summary

SB2519 establishes the Orchard Municipal Utility District No. 1, which is designed to provide necessary utility services for public benefit. The bill outlines the district's structure, including a board of directors, and grants it the authority to impose assessments, fees, and taxes to fund its operations. Specifically, the district has the ability to issue bonds for financing projects, which is a critical mechanism for funding the development and maintenance of local infrastructure.

Contention

A notable point of contention surrounding SB2519 lies in the limited power of eminent domain granted to the district. The bill explicitly states that the district may not exercise the power of eminent domain unless certain conditions are met, which has raised concerns among some stakeholders about the balance of local control versus state oversight. Critics argue that limiting the use of eminent domain may hinder the district's ability to acquire land necessary for essential public services, potentially delaying infrastructure projects. Nonetheless, the bill aims to reassure residents about the intentions of the district's governance through accountability measures and public elections for directors.