Texas 2025 - 89th Regular

Texas Senate Bill SB2477 Compare Versions

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Version 2 (New)

Old	New		Differences
	1	+	89R17386 DRS-F
1	2		By: Bettencourt S.B. No. 2477
2		-	(In the Senate - Filed March 13, 2025; April 3, 2025, read
3		-	first time and referred to Committee on Local Government;
4		-	April 30, 2025, reported adversely, with favorable Committee
5		-	Substitute by the following vote: Yeas 5, Nays 1; April 30, 2025,
6		-	sent to printer.)
7		-	Click here to see the committee vote
8		-	COMMITTEE SUBSTITUTE FOR S.B. No. 2477 By: Bettencourt
9	3
10	4
11	5
12	6
13	7		A BILL TO BE ENTITLED
14	8		AN ACT
15		-	relating to certain municipal regulation of conversion ~~of certain~~
16		-	office buildings to mixed-use and multifamily ~~residential~~
17		-	occupancy.
	9	+	relating to certain municipal and county regulation of conversion
	10	+	of certain office buildings to mixed-use and multifamily
	11	+	residential occupancy.
18	12		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
19		-	SECTION 1. Subtitle A, Title 7, Local Government Code, is
20		-	amended by adding Chapter ~~218~~ to read as follows:
21		-	CHAPTER ~~218~~. REGULATION OF MIXED-USE AND MULTIFAMILY RESIDENTIAL
22		-	USE AND DEVELOPMENT IN CERTAIN MUNICIPALITIES
	13	+	SECTION 1. Subtitle C, Title 7, Local Government Code, is
	14	+	amended by adding Chapter 249 to read as follows:
	15	+	CHAPTER 249. REGULATION OF MIXED-USE AND MULTIFAMILY RESIDENTIAL
	16	+	USE AND DEVELOPMENT IN CERTAIN MUNICIPALITIES AND COUNTIES
23	17		SUBCHAPTER A. GENERAL PROVISIONS
24		-	Sec. ~~218~~.001. DEFINITIONS. In this chapter:
	18	+	Sec. 249.001. DEFINITIONS. In this chapter:
25	19		(1) "Heavy industrial use" means a storage,
26	20		processing, or manufacturing use:
27	21		(A) with processes using flammable or explosive
28	22		materials;
29	23		(B) with hazardous conditions; or
30	24		(C) that is noxious or offensive from odors,
31	25		smoke, noise, fumes, or vibrations.
32	26		(2) "Mixed-use residential," when used to describe
33	27		land use or development, means the use or development, as
34	28		applicable, of a site consisting of residential and nonresidential
35	29		uses in which the residential uses are at least 65 percent of the
36	30		total square footage of the development. The term includes the use
37	31		or development of a condominium.
38	32		(3) "Multifamily residential," when used to describe
39	33		land use or development, means the use or development, as
40	34		applicable, of a site for three or more dwelling units within one or
41	35		more buildings. The term includes the use or development of a
42	36		residential condominium.
43	37		(4) "Permit" has the meaning assigned by Section
44	38		245.001.
45		-	Sec. 218.002. APPLICABILITY OF CHAPTER. This chapter
46		-	applies only to a municipality with a population greater than
47		-	150,000 that is wholly or partly located in a county with a
48		-	population greater than 300,000.
49		-	Sec. 218.003. NO EFFECT ON OTHER RESTRICTIONS AND RULES.
	39	+	Sec. 249.002. APPLICABILITY OF CHAPTER. This chapter
	40	+	applies only to:
	41	+	(1) a municipality with a population greater than
	42	+	90,000 that is wholly or partly located in a county with a
	43	+	population greater than 300,000; and
	44	+	(2) a county with a population greater than 300,000.
	45	+	Sec. 249.003. NO EFFECT ON OTHER RESTRICTIONS AND RULES.
50	46		This chapter does not limit:
51		-	(1) a municipality from adopting or ~~enforcing an~~
52		-	ordinance, regulation, or other measure:
	47	+	(1) a municipality or county from adopting or
	48	+	enforcing an ordinance, regulation, or other measure:
53	49		(A) to protect historic landmarks or include
54	50		properties within the boundaries of local historic districts; or
55	51		(B) related to the use and occupancy of a
56	52		residential property that is rented for a period not longer than 30
57	53		consecutive days; or
58	54		(2) a property owner from enforcing rules or deed
59	55		restrictions imposed by a property owners' association or by other
60	56		private agreement.
61	57		SUBCHAPTER B. FEES AND REGULATIONS APPLICABLE TO CONVERSION OF
62	58		CERTAIN USES
63		-	Sec. ~~218~~.101. APPLICABILITY. (a) This subchapter applies
	59	+	Sec. 249.101. APPLICABILITY. (a) This subchapter applies
64	60		only to a building or the structural components of a building that:
65	61		(1) is being used primarily for office use;
66	62		(2) is proposed to be converted from primarily office
67	63		use to mixed-use residential or multifamily residential occupancy
68	64		for at least 65 percent of the building and at least 65 percent of
69	65		each floor of the building that is fit for occupancy; and
70	66		(3) was constructed at least five years before the
71	67		proposed date to start the conversion.
72	68		(b) This subchapter does not apply to a building proposed to
73	69		be converted to mixed-use residential or multifamily residential
74	70		use that is located:
75	71		(1) in an area subject to a zoning classification that
76	72		allows heavy industrial use; or
77		-	(2) within:
78		-	(A) 1,000 feet of an existing heavy industrial
79		-	use or development site;
80		-	(B) 3,000 feet of an airport or military base; or
81		-	(C) 15,000 feet of the boundary of a military
82		-	base if the area is designated by a municipality or joint airport
83		-	zoning board, as applicable, as a clear zone or accident potential
84		-	zone supporting military aviation operations.
85		-	Sec. 218.102. FEE WAIVER. Notwithstanding any other law, a
86		-	municipality may not charge a fee in connection with the
	73	+	(2) within 1,000 feet of an existing heavy industrial
	74	+	use or development site, airport, or military base.
	75	+	Sec. 249.102. FEE WAIVER. Notwithstanding any other law, a
	76	+	municipality or county may not charge a fee in connection with the
87	77		submission, review, or approval of an application for a permit
88	78		related to the use, development, or construction of a building
89	79		proposed to be converted to mixed-use residential or multifamily
90	80		residential use, including any fee for:
91	81		(1) acquiring a building permit;
92	82		(2) the closure of a street or sidewalk adjacent to the
93	83		proposed converted building; or
94	84		(3) an expedited permit review for the proposed
95		-	converted building if the municipality has adopted an ~~accelerated~~
96		-	residential building permit review process.
97		-	Sec. ~~218~~.103. PARKLAND DEDICATION AND FEE PROHIBITED.
	85	+	converted building if the municipality or county has adopted an
	86	+	accelerated residential building permit review process.
	87	+	Sec. 249.103. PARKLAND DEDICATION AND FEE PROHIBITED.
98	88		(a) In this section, "parkland," "parkland dedication," and
99	89		"parkland dedication fee" have the meanings assigned by Section
100	90		212.201.
101	91		(b) Notwithstanding Subchapter H, Chapter 212, a
102		-	municipality may not require the dedication of parkland ~~or impose a~~
103		-	parkland dedication fee in connection with a building ~~proposed to~~
104		-	be converted to mixed-use residential or multifamily ~~residential~~
105		-	use.
106		-	Sec. ~~218~~.104. CERTAIN REGULATIONS PROHIBITED. (a)
107		-	Notwithstanding any other law, a municipality may not, in
	92	+	municipality or county may not require the dedication of parkland
	93	+	or impose a parkland dedication fee in connection with a building
	94	+	proposed to be converted to mixed-use residential or multifamily
	95	+	residential use.
	96	+	Sec. 249.104. CERTAIN REGULATIONS PROHIBITED. (a)
	97	+	Notwithstanding any other law, a municipality or county may not, in
108	98		connection with the use, development, construction, or occupancy of
109	99		a building proposed to be converted to mixed-use residential or
110	100		multifamily residential use, require:
111	101		(1) the preparation of a traffic impact analysis or
112	102		other study relating to the effect the proposed converted building
113	103		would have on traffic or traffic operations;
114	104		(2) the construction of improvements or payment of a
115	105		fee in connection with mitigating traffic effects related to the
116	106		proposed converted building;
117	107		(3) the provision of additional parking spaces, other
118	108		than the parking spaces that already exist on the site of the
119	109		proposed converted building;
120	110		(4) the extension, upgrade, replacement, or
121	111		oversizing of a utility facility except as necessary to provide the
122	112		minimum capacity needed to serve the proposed converted building;
123	113		(5) a limit on density applicable to the site of the
124	114		proposed converted building that is more restrictive than the
125	115		greater of:
126	116		(A) the highest residential density allowed in
127		-	the municipality; or
	117	+	the municipality or county; or
128	118		(B) 36 units per acre;
129	119		(6) a building proposed to be converted to multifamily
130	120		residential occupancy not located in an area zoned for mixed-use
131	121		residential use to include nonresidential uses;
132	122		(7) a design requirement, including a requirement
133	123		related to the exterior, windows, internal environment of a
134	124		building, or interior space dimensions of an apartment, that is
135	125		more restrictive than the applicable minimum standard under the
136	126		International Building Code as adopted as a municipal commercial
137		-	building code under Section 214.216;
	127	+	building code under Section 214.216; or
138	128		(8) the change of a zoning district or land use
139	129		classification or regulation or an approval of an amendment,
140	130		exception, or variance to a zoning district or land use
141	131		classification or regulation prior to allowing conversion of a
142	132		building to mixed-use residential use or multifamily residential
143		-	use;
144		-	(9) a floor-to-area ratio that is less than the
145		-	greater of:
146		-	(A) 120 percent of the existing floor-to-area
147		-	ratio of the building, if the proposed conversion does not increase
148		-	the existing height or site coverage of the building; or
149		-	(B) the highest floor-to-area ratio allowed for a
150		-	building on the site;
151		-	(10) a limit on impervious cover or site coverage that
152		-	is less than the existing impervious cover or site coverage of the
153		-	building or site; or
154		-	(11) an additional drainage, detention, or water
155		-	quality requirement, if the proposed conversion does not increase
156		-	the amount of impervious cover on the building site.
	133	+	use.
157	134		(b) For the purposes of Subsection (a)(8), an amendment,
158	135		exception, or variance to a zoning district or land use
159	136		classification or regulation includes a special exception, zoning
160	137		variance, site development variance, subdivision variance,
161	138		conditional use approval, special use permit, comprehensive plan
162	139		amendment, or other discretionary approval to allow conversion of a
163	140		building to mixed-use residential use or multifamily residential
164	141		use.
165		-	Sec. 218.105. IMPACT FEE PROHIBITED. A municipality may
166		-	not impose an impact fee, as defined by Section 395.001, on land
167		-	where a building has been converted to mixed-use residential or
168		-	multifamily residential use unless the land on which the building
169		-	is located was already subject to an impact fee before a building
170		-	permit related to the conversion was filed with the municipality.
171		-	Sec. 218.106. ADMINISTRATIVE APPROVAL REQUIRED.
172		-	Notwithstanding any other law, if a municipal authority responsible
173		-	for approving a building permit or other authorization required for
174		-	the conversion of a building to mixed-use residential use or
175		-	multifamily residential use determines that a proposed conversion
176		-	meets municipal regulations in accordance with this subchapter, the
177		-	municipal authority:
	142	+	Sec. 249.105. IMPACT FEE PROHIBITED. A municipality or
	143	+	county may not impose an impact fee, as defined by Section 395.001,
	144	+	on land where a building has been converted to mixed-use
	145	+	residential or multifamily residential use unless the land on which
	146	+	the building is located was already subject to an impact fee before
	147	+	a building permit related to the conversion was filed with the
	148	+	municipality or county.
	149	+	Sec. 249.106. ADMINISTRATIVE APPROVAL REQUIRED.
	150	+	Notwithstanding any other law, if a municipal or county authority
	151	+	responsible for approving a building permit or other authorization
	152	+	required for the conversion of a building to mixed-use residential
	153	+	use or multifamily residential use determines that a proposed
	154	+	conversion meets municipal or county regulations in accordance with
	155	+	this subchapter, the municipal or county authority:
178	156		(1) shall administratively approve the permit or other
179	157		authorization; and
180	158		(2) may not require further action by the governing
181		-	body of the municipality for the approval to take effect.
	159	+	body of the municipality or county for the approval to take effect.
182	160		SUBCHAPTER C. ENFORCEMENT
183		-	Sec. ~~218~~.201. CIVIL ACTION. (a) In this section, "housing
	161	+	Sec. 249.201. CIVIL ACTION. (a) In this section, "housing
184	162		organization" means a:
185	163		(1) trade or industry group organized under the laws
186	164		of this state consisting of local members primarily engaged in the
187	165		construction or management of housing units;
188	166		(2) nonprofit organization organized under the laws of
189	167		this state that:
190	168		(A) provides or advocates for increased access or
191	169		reduced barriers to housing; and
192	170		(B) has filed written or oral comments with the
193	171		legislature; or
194	172		(3) nonprofit organization that is engaged in public
195	173		policy research, education, and outreach that includes housing
196	174		policy-related issues and advocacy.
197		-	(b) A housing organization or other person adversely
198		-	affected or aggrieved by a violation of this chapter may bring an
199		-	action for declaratory or injunctive relief against a municipality.
200		-	(c) A court shall award reasonable attorney's fees and court
201		-	costs to a prevailing claimant in an action brought under this
202		-	section.
203		-	(d) Notwithstanding any other law, including Chapter 15,
	175	+	(b) Except as provided by Subsection (c), a person adversely
	176	+	affected or aggrieved by a violation of Section 249.102, 249.103,
	177	+	249.104, 249.105, or 249.106 may bring an action for economic
	178	+	damages or declaratory or injunctive relief against a municipality
	179	+	or county or an officer of a municipality or county in the officer's
	180	+	official capacity.
	181	+	(c) A housing organization may bring an action for
	182	+	declaratory or injunctive relief for a violation of Section
	183	+	249.102, 249.103, 249.104, 249.105, or 249.106 against a
	184	+	municipality or county or an officer of a municipality or county in
	185	+	the officer's official capacity.
	186	+	(d) A claimant who prevails in an action brought under
	187	+	Subsection (b) or (c) is entitled to recover court costs and
	188	+	reasonable attorney's fees.
	189	+	(e) Notwithstanding any other law, including Chapter 15,
204	190		Civil Practice and Remedies Code, an action brought under this
205	191		section must be brought in a county in which all or part of the real
206	192		property that is the subject of the action is located.
207		-	(e) Notwithstanding any other law, the Fifteenth Court of
	193	+	(f) Notwithstanding any other law, the Fifteenth Court of
208	194		Appeals has exclusive intermediate appellate jurisdiction over an
209	195		action brought under this section.
	196	+	(g) Governmental immunity of a municipality or county to
	197	+	suit and from liability is waived to the extent of liability created
	198	+	by this section. Official immunity of a municipal or county officer
	199	+	or employee is waived to the extent of liability created by this
	200	+	section.
	201	+	Sec. 249.202. ATTORNEY GENERAL ENFORCEMENT. (a) In this
	202	+	section:
	203	+	(1) "No-new-revenue tax rate" means the
	204	+	no-new-revenue tax rate calculated under Chapter 26, Tax Code.
	205	+	(2) "Tax year" has the meaning assigned by Section
	206	+	1.04, Tax Code.
	207	+	(b) A person may submit a complaint to the attorney general
	208	+	of a suspected violation of Section 249.102, 249.103, 249.104,
	209	+	249.105, or 249.106.
	210	+	(c) Notwithstanding any other law, if the attorney general
	211	+	determines that a municipality or county has violated Section
	212	+	249.102, 249.103, 249.104, 249.105, or 249.106, the municipality or
	213	+	county may not adopt an ad valorem tax rate that exceeds the
	214	+	municipality's or county's no-new-revenue tax rate for the three
	215	+	tax years that begin on or after the date of the determination.
210	216		SECTION 2. Section 395.011, Local Government Code, is
211	217		amended by amending Subsection (b) and adding Subsection (b-1) to
212	218		read as follows:
213		-	(b) Except as provided by Section ~~218~~.105 and Subsection
	219	+	(b) Except as provided by Section 249.105 and Subsection
214	220		(b-1), political [Political] subdivisions may enact or impose
215	221		impact fees on land within their corporate boundaries or
216	222		extraterritorial jurisdictions only by complying with this
217	223		chapter.
218	224		(b-1) A political subdivision may not enact or impose an
219	225		impact fee on land within its[, except that impact fees may not be
220	226		enacted or imposed in the] extraterritorial jurisdiction for
221	227		roadway facilities.
222		-	SECTION 3. Chapter ~~218~~, Local Government Code, as added by
	228	+	SECTION 3. Chapter 249, Local Government Code, as added by
223	229		this Act, applies only to a building proposed to be converted to
224	230		mixed-use residential or multifamily residential use in which a
225		-	building permit was submitted to a municipality on or ~~after the~~
226		-	effective date of this Act.
	231	+	building permit was submitted to a municipality or county on or
	232	+	after the effective date of this Act.
227	233		SECTION 4. This Act takes effect September 1, 2025.
228		-	* * * * *