Texas House Bill HB363

Texas 2025 - 89th Regular

• Filed: 11/12/24
• Out of House Committee: 3/26/25
• Voted on by House: 4/25/25

Caption

Relating to the filing with the county clerk of certain counties of a draft of a petition requesting the creation of a municipal utility district.

Impact

The introduction of HB 363 is designed to streamline the MUD creation process, which has been critiqued for lacking uniformity across counties. By mandating an advance draft filing, the bill fosters communication between applicants and county officials, thereby potentially reducing conflicts and misunderstandings that can arise during the later stages of the petition process. Additionally, it ensures that all necessary documentation is collated and available for public access prior to the formal petition being submitted.

Summary

House Bill 363 seeks to establish clear procedures for filing a draft petition for the creation of a municipal utility district (MUD) with the county clerk in Texas. Specifically, the bill amends existing sections of the Water Code to require that, at least 30 days prior to filing a petition for the creation of a MUD with the Texas Commission on Environmental Quality, the applicant must first file a draft with the county clerk of each county in which the district would be located. This aims to improve transparency and coordination among county officials and stakeholders involved in the creation of such districts.

Sentiment

The sentiment surrounding HB 363 appears to be generally positive, particularly among proponents who advocate for improved governance and clarity in the creation of municipal utility districts. Supporters argue that such a measure will enhance local administrative efficiency, improve compliance with state regulations, and ultimately serve the interests of constituents by ensuring that the creation of utility districts is conducted openly and with proper oversight.

Contention

While the discussions on HB 363 have been primarily favorable, there remain concerns regarding the administrative burden that could be placed on county clerks who will be responsible for processing these draft petitions. Some stakeholders worry that the additional requirement might delay the creation of necessary utility services in underserved areas. Thus, a careful balance must be struck to ensure the bill does not inadvertently hinder the establishment of vital infrastructure as communities expand.

Texas Constitutional Statutes Affected

Water Code

• Chapter 54. Municipal Utility Districts
  • Section: 001
  • Section: New Section
  • Section: 015
  • Section: 001
  • Section: New Section
  • Section: New Section
  • Section: 015
  • Section: 001
  • Section: New Section
  • Section: 015