Texas 2023 - 88th Regular

Texas Senate Bill SB2625

Voted on by Senate
 
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the creation of the Highland Park Municipal Utility District of Grayson County; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

This legislation will significantly impact state laws concerning the creation and operation of municipal utility districts. Supporters argue that it will enhance local governance and allow for improved service delivery to residents, addressing specific community needs such as road maintenance, drainage, and public utilities. The provisions for bond issuance without requiring an election for certain types of revenue could accelerate infrastructure projects, directly affecting local development timelines. However, there are concerns about fiscal responsibility given the potential imposition of taxes and assessments on property owners.

Summary

SB2625 proposes the establishment of the Highland Park Municipal Utility District in Grayson County, aiming to facilitate local utility services and infrastructure development. The bill includes provisions for the district to exercise limited eminent domain powers, enabling it to acquire land necessary for its operations. Additionally, the district would have the authority to issue bonds to finance its projects and impose assessments, fees, and taxes on the properties within its jurisdiction, thereby generating revenue to fund essential services.

Sentiment

The sentiment surrounding SB2625 appears to be cautiously optimistic among supporters, who view it as a necessary step for local utility governance, allowing flexibility and immediate action on community needs. In contrast, critics raise concerns regarding financial implications for property owners, particularly about the potential for increased taxes to fund district operations or pay for debts accrued via bond issuance. The debate highlights a balancing act between local autonomy and financial liabilities associated with the responsibilities of municipal utility districts.

Contention

One notable point of contention in discussions around SB2625 is its eminent domain provision, particularly regarding the balance of public good versus private property rights. Critics emphasize the risk of misuse of such powers, potentially leading to disputes over land acquisition. Additionally, the bill's financial structure, including the authority to impose taxes and issue bonds, raises questions about the long-term economic impact on residents within the district. This tension underscores broader themes of governance and accountability in local government operations.

Texas Constitutional Statutes Affected

Special District Local Laws Code

  • Chapter 8000. Ingleside Municipal Utility District No. 1
    • Section: New Section

Water Code

  • Chapter 49. Provisions Applicable To All Districts
    • Section: 104
    • Section: 107
    • Section: 108
  • Chapter 54. Municipal Utility Districts
    • Section: New Section
    • Section: 601
    • Section: 602

Companion Bills

TX HB5392

Identical Relating to the creation of the Highland Park Municipal Utility District of Grayson County; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Similar Bills

TX HB5392

Relating to the creation of the Highland Park Municipal Utility District of Grayson County; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

TX HB709

Relating to the creation of the Harris County Municipal Utility District No. 524; providing authority to impose a tax and issue bonds; granting a limited power of eminent domain.

TX SB475

Relating to the creation of the Harris County Municipal Utility District No. 524; providing authority to impose a tax and issue bonds; granting a limited power of eminent domain.

TX HB315

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