Texas 2023 - 88th Regular

Texas House Bill HB5316

Filed
3/22/23  
Out of House Committee
5/3/23  
Voted on by House
5/9/23  
Out of Senate Committee
5/17/23  
Voted on by Senate
5/24/23  
Governor Action
6/13/23  

Caption

Relating to the creation of the Montgomery County Municipal Utility District No. 235; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The impact of HB 5316 on state laws includes modifications to the Special District Local Laws Code, establishing the operational framework for the newly created municipal utility district. The bill delineates the authority and governance structure, empowering a board of directors to manage the district's affairs. It asserts that the district can issue bonds and manage public finances more effectively, responding to the infrastructure needs within Montgomery County. This act encourages regional collaboration by annotating municipal consent as a prerequisite for the district's creation, showcasing a cooperative approach between the district and local municipalities.

Summary

House Bill 5316 relates to the establishment of the Montgomery County Municipal Utility District No. 235. This legislation is designed to grant the district limited powers, including a limited authority to exercise eminent domain, issue bonds for funding, and the ability to impose assessments and taxes. The district, covering approximately 150 acres in the extraterritorial jurisdiction of the city of Conroe, is instituted to provide essential services like drainage, water, and wastewater. The bill reflects a structured effort to facilitate urban development and infrastructure improvements in areas that may not be adequately served by existing municipal services.

Sentiment

The sentiment around HB 5316 appears to be cautiously positive, as it aims to address issues related to service delivery in Montgomery County. Supporters likely appreciate the establishment of a municipal utility district to boost local infrastructure and enhance resource management. However, the limited powers of eminent domain may face scrutiny from property rights advocates concerned about potential overreach in the district's authority. While some view the bill as a necessary step for regional growth and development, others may raise concerns regarding the balancing act between community needs and overarching governance.

Contention

Notable points of contention regarding HB 5316 center around its provisions for eminent domain and the accountability of the newly appointed directors. Critics argue that even limited eminent domain powers can set a troubling precedent and might lead to the advancement of projects at the expense of local landowners. Additionally, the effectiveness of the district in managing funds through assessments and the state’s oversight in ensuring transparency and efficiency in its operations remain vital topics in discussions among stakeholders. The bill's passage highlights the ongoing dialogue about the appropriate scope of governmental powers in community planning and resource allocation.

Texas Constitutional Statutes Affected

Special District Local Laws Code

  • Chapter 8016. Montgomery County Municipal Utility District No. 235
    • Section: New Section
    • Section: New Section

Water Code

  • Chapter 49. Provisions Applicable To All Districts
    • Section: New Section
    • Section: 102
    • Section: 107
    • Section: 108
    • Section: 001
  • Chapter 54. Municipal Utility Districts
    • Section: New Section
    • Section: 016
    • Section: 0165
    • Section: 601
    • Section: 602
    • Section: 001

Companion Bills

TX SB2585

Identical Relating to the creation of the Montgomery County Municipal Utility District No. 235; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

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