Texas 2025 - 89th Regular

Texas Senate Bill SB2489 Compare Versions

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11 89R10393 DRS-D
22 By: Parker S.B. No. 2489
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77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to property owner claims for compensation from certain
1010 municipalities that fail to enforce certain laws.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Subchapter Z, Chapter 229, Local Government
1313 Code, is amended by adding Section 229.902 to read as follows:
1414 Sec. 229.902. COMPENSATION FOR FAILURE OF MUNICIPALITY TO
1515 ENFORCE CERTAIN LAWS OR ABATE PUBLIC NUISANCE. (a) In this section:
1616 (1) "Fair market value" means the price real property
1717 will bring when offered for sale by one who desires to sell, but is
1818 not obliged to sell, and is bought by one who desires to buy, but is
1919 under no necessity of buying.
2020 (2) "Nuisance violation" means a violation of a state
2121 law or a municipal ordinance or regulation prohibiting public
2222 camping, obstructing a public thoroughfare, loitering,
2323 panhandling, public urination or defecation, public consumption of
2424 an alcoholic beverage, possession or use of a controlled substance,
2525 or retail theft.
2626 (3) "Property owner" means a person:
2727 (A) holding fee simple title in real property; or
2828 (B) leasing real property for which the person is
2929 required under the terms of the lease to pay all or part of the
3030 property taxes on the property or the cost of maintenance or
3131 insurance for the property.
3232 (b) This section applies only to a municipality with a
3333 population of 900,000 or more.
3434 (c) Notwithstanding any other law and except as provided by
3535 Subsection (d), a property owner may submit a claim to a
3636 municipality for compensation from the municipality with respect to
3737 property located in the municipality if the municipality:
3838 (1) adopts and follows a policy, pattern, or practice
3939 of refusing to enforce a state law or a municipal ordinance or
4040 regulation prohibiting a nuisance violation; or
4141 (2) maintains a public nuisance.
4242 (d) This section does not apply to:
4343 (1) a decision by a municipality to exercise
4444 prosecutorial discretion not to prosecute a nuisance violation if:
4545 (A) the exercise of discretion is based on the
4646 circumstances of an individual case; and
4747 (B) the municipality publishes a public notice of
4848 the justification for the exercise of prosecutorial discretion
4949 described by Paragraph (A); or
5050 (2) a municipal action required by state or federal
5151 law.
5252 (e) Except as provided by Subsection (f), a property owner
5353 shall elect the amount of compensation paid to the property owner
5454 under this section as determined by:
5555 (1) the reasonably necessary documented expenses
5656 incurred by the property owner to mitigate the effect of the
5757 nuisance violation on the property that is the subject of the claim;
5858 or
5959 (2) the diminution in the fair market value of the
6060 property owner's real property that is the subject of the claim.
6161 (f) The amount of compensation paid to a property owner
6262 under this section may not exceed the amount of property taxes
6363 assessed by the municipality on the property that is the subject of
6464 the claim and paid by the property owner for the tax year in which
6565 the property owner submits the claim for compensation.
6666 (g) Not later than the 30th day after the date a
6767 municipality receives a written claim for compensation under this
6868 section, the municipality shall accept or reject the claim and
6969 notify the property owner.
7070 (h) If a municipality accepts a claim for compensation under
7171 this section, the municipality shall pay the claim in the amount
7272 determined under Subsection (e).
7373 (i) If a municipality rejects a claim for compensation under
7474 this section or does not respond to a claim within the time period
7575 prescribed by Subsection (g), the property owner who submitted the
7676 claim may file an action in a court of competent jurisdiction in the
7777 county in which the property that is the subject of the claim is
7878 located.
7979 (j) In an action filed under Subsection (i):
8080 (1) the court shall determine whether:
8181 (A) the property owner is entitled to the
8282 compensation claimed; and
8383 (B) the amount of compensation claimed is
8484 reasonable; and
8585 (2) the municipality has the burden of establishing
8686 that:
8787 (A) the municipal response to the nuisance
8888 violation that is the basis for the claim for compensation is
8989 lawful; or
9090 (B) the amount of compensation claimed is
9191 unreasonable.
9292 (k) In an action filed under Subsection (i):
9393 (1) a municipality may not recover attorney's fees or
9494 court costs; and
9595 (2) a successful claimant may recover reasonable
9696 attorney's fees and court costs from the municipality.
9797 (l) A property owner may not submit more than one claim for
9898 compensation in the same tax year under this section relating to a
9999 property affected by a nuisance violation. A property owner may
100100 submit another claim pertaining to that property in the following
101101 tax year if:
102102 (1) the municipality has not:
103103 (A) stopped the policy, pattern, or practice or
104104 abated the public nuisance that is the basis for the claim; or
105105 (B) entered into an agreement with the property
106106 owner to settle the claim; or
107107 (2) the property owner submitted a claim for
108108 compensation under this section in the preceding tax year in an
109109 amount that exceeded the amount described by Subsection (f) for
110110 that tax year.
111111 (m) A property owner is not required to exhaust any other
112112 remedies that may be available under other law before submitting a
113113 claim for compensation under this section.
114114 (n) A claim for compensation under this section is not
115115 exclusive and does not preclude a property owner from seeking any
116116 other remedy that may be available under other law.
117117 SECTION 2. Section 229.902, Local Government Code, as added
118118 by this Act, applies only to a claim for compensation from a
119119 municipality based on expenses incurred by a property owner on or
120120 after the effective date of this Act.
121121 SECTION 3. This Act takes effect September 1, 2025.