Texas Senate Bill SB2458

Texas 2009 - 81st Regular

Caption

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

Impact

The bill grants the Clearwater Ranch Municipal Utility District the authority to impose taxes and issue bonds necessary for financing its operations and development projects. Specifically, the district may impose a maintenance tax on property within its jurisdiction and issue bonds payable from such taxes. Importantly, this district is also authorized to utilize eminent domain for infrastructure projects, although this power is restricted to the district's boundaries, thus limiting the scope of its impact and maintaining respect for local jurisdiction.

Summary

SB2458 establishes the Clearwater Ranch Municipal Utility District No. 1, which is designed to provide public utility services and infrastructure development within a specific area in Burnet County, Texas. This bill creates a governing board consisting of five elected directors responsible for overseeing the district's operations. In order for the district to be officially confirmed, the temporary directors must hold an election, and the bill stipulates that municipal consent is required for the district's creation and the inclusion of land within its boundaries.

Contention

While the bill aims to facilitate local infrastructure and service provision, concerns may arise regarding the power of eminent domain, especially as it relates to land acquisition for district projects. Critics may voice worries about potential overreach and the impact on property rights. Additionally, the authority to levy taxes can stir debate over local financial implications, particularly among property owners in the district who may be burdened by increased taxes to fund district operations and improvements.