| 1 | 1 | | By: Cain H.B. No. 274 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | |
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| 6 | 6 | | A BILL TO BE ENTITLED |
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| 7 | 7 | | AN ACT |
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| 8 | 8 | | relating to the establishment of the District of Austin as the seat |
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| 9 | 9 | | of state government. |
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| 10 | 10 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 11 | 11 | | SECTION 1. Title 1, Local Government Code, is amended by |
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| 12 | 12 | | adding Chapter 2 to read as follows: |
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| 13 | 13 | | CHAPTER 2. DISTRICT OF AUSTIN |
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| 14 | 14 | | Sec. 2.001. DISTRICT ESTABLISHED. (a) The District of |
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| 15 | 15 | | Austin is created from the City of Austin in Travis County as the |
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| 16 | 16 | | seat of state government. |
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| 17 | 17 | | (b) In this chapter, "district" means the District of |
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| 18 | 18 | | Austin. |
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| 19 | 19 | | (c) A reference in law to the City of Austin means the |
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| 20 | 20 | | district. |
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| 21 | 21 | | Sec. 2.002. DISTRICT TERRITORY. (a) The territory of the |
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| 22 | 22 | | district is initially composed of the territory in the boundaries |
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| 23 | 23 | | of the City of Austin as those boundaries existed on January 1, |
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| 24 | 24 | | 2025. |
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| 25 | 25 | | (b) The boundaries of the district may be modified by the |
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| 26 | 26 | | governing body of the district in the manner provided by law for a |
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| 27 | 27 | | home-rule municipality. |
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| 28 | 28 | | Sec. 2.003. GOVERNANCE AND POWERS. (a) The charter of the |
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| 29 | 29 | | City of Austin and all ordinances adopted by the city and in effect |
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| 30 | 30 | | as of January 1, 2026, are adopted as the initial laws of the |
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| 31 | 31 | | district. |
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| 32 | 32 | | (b) The district has the powers of a home-rule municipality. |
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| 33 | 33 | | The district charter has the same force and effect and shall be |
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| 34 | 34 | | treated the same in all respects as the charter of a home-rule |
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| 35 | 35 | | municipality. |
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| 36 | 36 | | Sec. 2.004. TRANSFERS AND ASSUMPTIONS. (a) Any action or |
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| 37 | 37 | | proceeding before the City of Austin as of January 1, 2026, is |
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| 38 | 38 | | transferred without change in status to the district, and the |
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| 39 | 39 | | district assumes, without a change in status, the position of the |
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| 40 | 40 | | city in any action or proceeding to which the city is a party. |
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| 41 | 41 | | (b) All money, contracts, leases, and rights of the City of |
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| 42 | 42 | | Austin held as of January 1, 2026, are transferred to the district. |
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| 43 | 43 | | (c) All property, including records, in the custody of the |
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| 44 | 44 | | City of Austin as of January 1, 2026, becomes the property of the |
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| 45 | 45 | | district. |
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| 46 | 46 | | (d) The district assumes all outstanding debts of the City |
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| 47 | 47 | | of Austin as of January 1, 2026. |
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| 48 | 48 | | Sec. 2.005. LEGISLATIVE OVERSIGHT. The governing body of |
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| 49 | 49 | | the district shall submit to the lieutenant governor and the |
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| 50 | 50 | | speaker of the house of representatives notice of each action taken |
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| 51 | 51 | | by the governing body that adopts or amends the district's charter |
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| 52 | 52 | | or an ordinance of the district. |
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| 53 | 53 | | SECTION 2. This Act takes effect January 1, 2026, but only |
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| 54 | 54 | | if the constitutional amendment proposed by the 89th Legislature, |
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| 55 | 55 | | Regular Session, 2025, allowing the legislature to establish from |
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| 56 | 56 | | all or part of Travis County the District of Austin to be the seat of |
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| 57 | 57 | | state government is approved by the voters. If that amendment is |
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| 58 | 58 | | not approved by the voters, this Act has no effect. |
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