Texas 2025 - 89th Regular

Texas House Bill HB4370

Filed
3/11/25  
Out of House Committee
5/6/25  
Voted on by House
5/14/25  
Out of Senate Committee
5/20/25  
Bill Becomes Law
 

Caption

Relating to the projects undertaken by a public improvement district, municipal management district, water control and improvement district, fresh water supply district, or municipal utility district.

Impact

If enacted, HB 4370 is likely to have a significant impact on state laws governing local districts. It will enable districts to issue bonds for various projects and pay for improvements through combinations of methods, thereby promoting economic development initiatives. The inclusion of geothermal systems reflects a growing focus on sustainability and resource management, which could help Texas better manage energy and water resources. Furthermore, the emphasis on affordable housing projects aligns with broader state goals to address housing shortages.

Summary

House Bill 4370 aims to enhance the capabilities of public improvement districts, municipal management districts, water control and improvement districts, fresh water supply districts, and municipal utility districts in Texas. The bill proposes various amendments to the Local Government Code and Water Code, allowing districts more flexibility in undertaking projects that range from infrastructure improvements, such as landscaping and pedestrian facilities, to the construction and operation of geothermal water conveyance systems. These changes are intended to streamline project approvals and expand the types of projects that can be financed, potentially leading to enhanced services for communities.

Sentiment

Overall, sentiment around HB 4370 has been predominantly positive among proponents who argue that it is a step towards fostering better municipal services and improved infrastructure. Supporters view the bill as an essential tool for local governments to address community needs. However, some concerns have been raised about the potential for overreach and the effective management of funds, leading to a mixed sentiment among certain community stakeholders.

Contention

Notable points of contention include the potential for misuse of funds by districts lacking oversight and the implications of expanding district powers without adequate checks. Critics have voiced concerns that increased autonomy could lead to disparities in how services are provided across various regions. The discussion highlights the need for balance between empowering local governments and ensuring accountability to the communities they serve.

Texas Constitutional Statutes Affected

Local Government Code

  • Chapter 372. Improvement Districts In Municipalities And Counties
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
    • Section: 003
    • Section: 023
  • Chapter 375. Municipal Management Districts In General
    • Section: 112
    • Section: 093
    • Section: 112
    • Section: 093
    • Section: 093
    • Section: 112
    • Section: 093
    • Section: 112
    • Section: 093
    • Section: 112
    • Section: 112
    • Section: 093
    • Section: 093
    • Section: 112
    • Section: 112
    • Section: 093

Water Code

  • Chapter 54. Municipal Utility Districts
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
    • Section: 012
    • Section: 501
  • Chapter 53. Fresh Water Supply Districts
    • Section: New Section
    • Section: New Section
    • Section: New Section
    • Section: New Section
    • Section: New Section
    • Section: New Section
    • Section: New Section
    • Section: New Section
  • Chapter 51. Water Control And Improvement Districts
    • Section: 125
    • Section: 121
    • Section: 125
    • Section: 125
    • Section: 125
    • Section: 121
    • Section: 121
    • Section: 125

Companion Bills

No companion bills found.

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