Texas House Bill HB5372

Texas 2023 - 88th Regular

• Filed: 4/13/23
• Out of House Committee: 5/5/23
• Voted on by House: 5/9/23
• Out of Senate Committee: 5/21/23
• Voted on by Senate: 5/23/23
• Governor Action: 6/13/23

Caption

Relating to the creation of The Grand Prairie Management District; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The Grand Prairie Management District will serve as a special district within the jurisdiction of Harris County. The bill emphasizes that the district is designed to supplement, rather than supplant, existing county or municipal services. This means that while the management district will take on certain responsibilities related to development and maintenance, the county and other local governments still have obligations to provide standard services to the area.

Summary

House Bill 5372, known as the Grand Prairie Management District Act, establishes the Grand Prairie Management District in Cypress, Texas. The bill provides the district with the authority to issue bonds, impose assessments, fees, and taxes necessary for sustaining and enhancing local economic development. This legislation aims to promote employment, commerce, transportation, housing, tourism, and recreation within the district, thus benefiting the local community and fostering economic growth.

Sentiment

Overall sentiment around HB 5372 appears supportive among local developers and community stakeholders who anticipate benefits from new infrastructure and enhanced public services. However, concerns may arise regarding the potential taxation and assessments laid upon property owners, alongside the operational transparency of the district's management. The inclusion of local stakeholders in governance and the voter approval for bonds suggest a model that balances both local needs and oversight.

Contention

Notable points of contention include the governance structure of the management district, where a board of directors is given considerable authority over financial matters, including the power to impose assessments and issue bonds. While this structure aims to streamline decision-making for economic development projects, it raises questions about accountability and the implications of additional taxation on residents. Furthermore, the lack of eminent domain power underscores the legislative intent to maintain private property rights while still providing necessary public enhancements.

Texas Constitutional Statutes Affected

Water Code

• Chapter 49. Provisions Applicable To All Districts
  • Section: New Section
  • Section: New Section
  • Section: New Section
  • Section: New Section
  • Section: New Section

• Chapter 54. Municipal Utility Districts
  • Section: New Section
  • Section: New Section

Local Government Code

• Chapter 375. Municipal Management Districts In General
  • Section: New Section
  • Section: New Section
  • Section: New Section
  • Section: New Section
  • Section: New Section

Tax Code

• Chapter 311. Tax Increment Financing Act
  • Section: New Section

• Chapter 312. Property Redevelopment And Tax Abatement Act
  • Section: New Section

Government Code

• Chapter 1509. Obligations For Other Municipal Purposes
  • Section: New Section