Texas 2025 - 89th Regular

Texas House Bill HB5688

Voted on by House
 
Out of Senate Committee
 
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the creation of the San Benito Municipal Utility District No. 1; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The establishment of the San Benito Municipal Utility District No. 1 is set to empower local governance through the provision of necessary services and infrastructure management. This initiative is expected to facilitate the coordination of public sector activities related to utilities while also enabling the district to issue bonds and impose taxes. By allowing the district to implement a system of assessments and fees, the bill seeks to create a sustainable financial structure to support ongoing operations and projects pertinent to community welfare.

Summary

House Bill 5688 proposes the establishment of the San Benito Municipal Utility District No. 1 in Texas. This bill is designed to create a framework for the district, which will have the authority to provide utility services and manage public infrastructure such as roads and drainage systems. The bill outlines the procedures for the governance of the district, including the election of a board of directors, which will be responsible for overseeing the operations and funding of these projects. It's anticipated that this utility district will aim to enhance local infrastructure and provide essential services to the community.

Contention

A significant aspect of the bill is the provision of limited eminent domain powers, which may be a point of contention among stakeholders. Although the district can issue bonds and impose taxes, it also requires voter approval for specific financial activities, particularly those involving ad valorem taxes for road project financing. The limitations on the eminent domain powers indicate a cautious approach to ensuring that community interests are considered, although it may raise concerns about the district's ability to effectively undertake larger infrastructure projects without broader consent or negotiation with landowners.

Texas Constitutional Statutes Affected

Special District Local Laws Code

  • Chapter 8028. Harris County Municipal Utility District No. 441
    • Section: New Section

Water Code

  • Chapter 49. Provisions Applicable To All Districts
    • Section: New Section
  • Chapter 54. Municipal Utility Districts
    • Section: New Section

Companion Bills

No companion bills found.

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