Texas House Bill HB5694

Texas 2025 - 89th Regular

• Filed: 4/29/25

Caption

Relating to the creation of the Fannin County Improvement District No. 1; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The creation of the Fannin County Improvement District No. 1 is designed to benefit local residents and businesses by promoting commerce, improving transportation, and enhancing public amenities within the district. The bill allows the district to maintain and operate essential services while supplementing existing county regulations. Importantly, it stipulates that the district cannot supplant county-provided services, thereby maintaining some local government oversight in the area.

Summary

House Bill 5694 pertains to the establishment of the Fannin County Improvement District No. 1. The bill provides the necessary legislative framework for the creation of a special district aimed at enhancing economic development and public welfare within Fannin County. It grants the district the authority to issue bonds and impose assessments, fees, and taxes to fund various public improvements and services, including infrastructure development such as roads and recreational facilities.

Contention

Some notable points of contention surrounding HB 5694 include the implications of establishing a new district and the associated taxation powers granted to it. Critics may raise concerns regarding the potential for increased taxes on local property owners and the long-term financial commitments represented by bonding proposals. Additionally, ensuring that local governance is adequately represented in the decision-making process of the newly formed district might be a topic of debate among stakeholders.

Texas Constitutional Statutes Affected

Water Code

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

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

• Chapter 60. Navigation Districts--general Provisions
  • Section: New Section

• Chapter 62. Article Xvi, Section 59, Navigation Districts
  • Section: New Section

Local Government Code

• Chapter 375. Municipal Management Districts In General
  • Section: New Section

• Chapter 1. General Provisions
  • Section: New Section

Government Code

• Chapter 1509. Obligations For Other Municipal Purposes
  • Section: New Section

Tax Code

• Chapter 311. Tax Increment Financing Act
  • Section: New Section

• Chapter 312. Property Redevelopment And Tax Abatement Act
  • Section: New Section