Texas House Bill HB4764

Texas 2009 - 81st Regular

• Out of House Committee: 5/11/09

Caption

Relating to the creation of the Gray County Municipal Utility District No. 1; providing authority to impose a tax and issue bonds; granting a limited power of eminent domain.

Impact

By creating the Gray County Municipal Utility District No. 1, HB 4764 is designed to facilitate local governance over utility services and infrastructure development, a critical factor for community development in the area. The district will have the power to manage public works projects and ensure compliance with local regulations, thereby affecting existing state laws regarding municipal services. The ability to levy taxes and issue bonds without needing frequent elections can streamline efforts to finance necessary improvements, potentially leading to more rapid municipal development and enhanced public infrastructure.

Summary

House Bill 4764, known as the Gray County Municipal Utility District No. 1 Act, establishes a new municipal utility district aimed at providing essential services such as water and wastewater management and road construction in Gray County, Texas. The bill provides the district with the authority to impose taxes and issue bonds to fund these projects. Importantly, it allows for the limited use of eminent domain for projects located within the defined territory, enhancing the district's capability to improve local infrastructure effectively.

Contention

Key points of contention regarding HB 4764 revolve around the authority granted to the district in terms of taxation and eminent domain. While proponents argue that this flexibility will allow for more efficient project execution and infrastructure improvements, critics raise concerns about the implications of allowing a newly formed district to impose taxes and utilize eminent domain. There are apprehensions that such powers could lead to overreach and that the processes for consent and financial management might not be sufficiently transparent, potentially affecting residents' rights and local governance.