Texas 2025 - 89th Regular

Texas House Bill HB5652

Filed
3/20/25  
Out of House Committee
4/29/25  
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the creation of the Montgomery County Municipal Utility District No. 258; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The bill's passage represents a significant change in how municipal utility services are managed and financed in Montgomery County. This legislation would allow the newly created district to exercise some degree of eminent domain, enabling it to acquire property necessary for utility services and road projects. However, the bill also incorporates a provision that would prevent the district from exercising eminent domain unless it garners a two-thirds majority approval from elected members of the legislature, highlighting a balance between development and property rights.

Summary

House Bill 5652 proposes the establishment of the Montgomery County Municipal Utility District No. 258, which is designed to serve public purposes such as water supply, wastewater management, and road construction. It confers the authority to issue bonds and to impose assessments, fees, and taxes necessary to fund these services. Specifically, it aims to enhance infrastructure in Montgomery County by facilitating the acquisition and improvement of roadways, ensuring compliance with local regulations.

Sentiment

The sentiments surrounding HB 5652 appear mixed among stakeholders. Proponents argue that the creation of the utility district will lead to improved infrastructure and better public services for residents in the area. They view it as a necessary step for addressing the growing demands of an expanding population. Conversely, critics raise concerns about the potential overreach of the district’s powers, particularly regarding the potential use of eminent domain and the imposition of taxes without adequate public oversight.

Contention

Notable points of contention include the authority granted to the district to impose taxes and fees, which some community members worry may lead to increased financial burdens. There are also apprehensions regarding the transparency and accountability of the district’s governance, particularly concerning the election of directors and the management of funds generated through taxes. The requirement for municipal consent before the district can hold elections further emphasizes the need for community involvement and oversight in its operations.

Texas Constitutional Statutes Affected

Water Code

  • Chapter 49. Provisions Applicable To All Districts
    • Section: 102
    • Section: 316
    • Section: 107
    • Section: 108
    • Section: 004
    • Section: 316
    • Section: New Section
    • Section: 004
  • Chapter 54. Municipal Utility Districts
    • Section: 016
    • Section: 0165
    • Section: New Section
    • Section: 016
    • Section: 0165
    • Section: New Section
    • Section: 016
    • Section: 0165

Special District Local Laws Code

  • Chapter 8003. Montgomery County Municipal Utility District No. 159
    • Section: New Section
    • Section: New Section

Companion Bills

TX SB3036

Identical Relating to the creation of the Montgomery County Municipal Utility District No. 258; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Similar Bills

TX HB1492

Relating to the creation of the Montgomery County Municipal Utility District No. 140; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

TX SB621

Relating to the creation of the Montgomery County Municipal Utility District No. 140; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

TX HB5320

Relating to the creation of the Montgomery County Municipal Utility District No. 227; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

TX HB5391

Relating to the creation of the Montgomery County Municipal Utility District No. 218; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

TX HB5374

Relating to the creation of the Montgomery County Municipal Utility District No. 226; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.