Texas 2025 - 89th Regular

Texas House Bill HB4582 Compare Versions

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11 By: Bell of Kaufman H.B. No. 4582
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46 A BILL TO BE ENTITLED
57 AN ACT
68 relating to reimbursement of infrastructure costs incurred by a
79 developer of certain housing developments by certain
810 municipalities and counties.
911 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1012 SECTION 1. Subtitle C, Title 12, Local Government Code, is
1113 amended by adding Chapter 396 to read as follows:
1214 CHAPTER 396. ATTAINABLE HOUSING DEVELOPMENT INFRASTRUCTURE FOR
1315 CERTAIN MUNICIPALITIES AND COUNTIES
1416 Sec. 396.001. DEFINITIONS. In this chapter:
1517 (1) "Attainable housing development" means a
1618 residential development consisting of at least seven acres that is
1719 developed or renovated to provide at least 50 single-family offsite
1820 residences.
1921 (2) "Infrastructure" means:
2022 (A) a facility for water, wastewater,
2123 electricity, or another utility; and
2224 (B) a street, road, highway, or bridge.
2325 (3) "Single-family offsite residence" means a housing
2426 unit governed by Chapter 1201, Occupations Code.
2527 Sec. 396.002. APPLICABILITY OF CHAPTER. This chapter
2628 applies only to:
2729 (1) a county with a population greater than 2.5
2830 million but less than 4 million;
2931 (2) a county with a population greater than 190,000
3032 that is adjacent to a county described by Subdivision (1); and
3133 (3) a municipality wholly or partly located in a
3234 county described by Subdivision (1) or (2).
3335 Sec. 396.003. ELIGIBILITY FOR INFRASTRUCTURE COST
3436 REIMBURSEMENT. (a) A developer is eligible for reimbursement
3537 under this chapter for a cost incurred to build infrastructure
3638 related to an attainable housing development if:
3739 (1) the developer directly or indirectly incurred the
3840 cost of building or financing the construction, maintenance, or
3941 renovation of the infrastructure or connection of the
4042 infrastructure to the development;
4143 (2) a municipality or county would have built or
4244 financed the infrastructure had the infrastructure not been built
4345 by the developer;
4446 (3) at least 80 percent of the lots in the development
4547 accommodate a single-family offsite residence that is at least
4648 1,000 square feet in area;
4749 (4) the development is connected to:
4850 (A) a public water system; and
4951 (B) a sewer system as defined by Section 26.001,
5052 Water Code;
5153 (5) the development is governed by a property owners'
5254 association agreement or land lease agreement that includes
5355 restrictive covenants relating to the maintenance of the common
5456 areas and grounds of the development and enforcement of community
5557 regulations;
5658 (6) the developer offers units in the development to
5759 veterans or active duty members of the military, first responders,
5860 or employees of a school district; and
5961 (7) the developer complies with Federal Housing
6062 Administration tenant site lease protections required by:
6163 (A) a municipality in which the development is
6264 wholly or partly located; and
6365 (B) a county in which the development is located
6466 if the development is wholly or partly located in the
6567 unincorporated area of the county.
6668 (b) Costs that may be reimbursed under this chapter include:
6769 (1) financing costs;
6870 (2) installation, maintenance, or renovation costs;
6971 and
7072 (3) costs to connect to existing infrastructure.
7173 Sec. 396.004. NOTICE OF REIMBURSEMENT. (a) A developer
7274 eligible under Section 396.003 must provide written notice of
7375 reimbursement under this chapter to:
7476 (1) a municipality in which the development is wholly
7577 or partly located; and
7678 (2) a county in which the development is located if the
7779 development is wholly or partly located in the unincorporated area
7880 of the county.
7981 (b) The notice must include:
8082 (1) an itemized list of the infrastructure costs
8183 described by Section 396.003 incurred by the developer; and
8284 (2) proof of payment for each infrastructure cost
8385 incurred by the developer.
8486 Sec. 396.005. REIMBURSEMENT OF INFRASTRUCTURE COSTS. (a)
8587 A municipality or county receiving notice under Section 396.004
8688 from a developer eligible under Section 396.003 shall reimburse the
8789 developer's infrastructure costs described by Section 396.003 in
8890 accordance with this section.
8991 (b) The amount of reimbursement paid to a developer under
9092 this chapter in a tax year may not exceed the amount of property
9193 taxes assessed by the municipality or county and paid by the
9294 developer for that tax year on the property on which the attainable
9395 housing development for which the developer seeks reimbursement is
9496 located. A county's liability for reimbursement under this chapter
9597 is limited to the property taxes assessed by the county on and paid
9698 by the developer for the property located in the unincorporated
9799 area of the county.
98100 (c) A developer eligible under Section 396.003 is entitled
99101 to reimbursement under this chapter until the earlier of:
100102 (1) the date on which the total reimbursement paid by a
101103 municipality or county under this chapter is equal to the total
102104 infrastructure costs described by Section 396.003 incurred by the
103105 developer for the attainable housing development; or
104106 (2) the 10th anniversary of the date the developer
105107 first receives a reimbursement payment under this chapter.
106108 (d) A municipality or county that receives notice under
107109 Section 396.004 shall pay the initial reimbursement payment not
108110 later than the 90th day after the date the municipality or county
109111 receives the notice.
110112 Sec. 396.006. ANNUAL REPORT OF REIMBURSABLE COSTS. A
111113 developer that provided notice under Section 396.004 shall submit
112114 an annual report to the municipality or county from which the
113115 developer receives reimbursement that includes:
114116 (1) an itemized list of the infrastructure costs
115117 incurred by the developer during that year; and
116118 (2) proof of payment for each infrastructure cost
117119 incurred by the developer during that year.
118120 SECTION 2. The changes in law made by this Act apply only to
119121 an attainable housing development project initiated on or after the
120122 effective date of this Act.
121123 SECTION 3. This Act takes effect September 1, 2025.