Focus Report, Volume 87, Number 5, January 10, 2022 Page: PAGE16
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Revising powers of and authority over
SH130 Municipal Management District
HB 3135 by Cole (Eckhardt)Digest
HB 3135 would have allowed the SH130 Municipal
Management District No. 1 to define areas or designate
certain district property to pay for improvements, facilities,
or services that primarily benefited that area or property
and did not generally and directly benefit the district as
a whole. The bill would have exempted the district from
a prohibition on the imposition of certain fees, taxes,
or construction requirements on single-family detached
residential property, duplexes, triplexes, and fourplexes.
The bill also would have provided to Travis County
authority over the district that was similar to the authority
the City of Austin currently has, including the authority to
issue bonds or adopt certain taxes. The district could have
contracted with the county to provide law enforcement
services in the district for a fee.
Governor's reason for veto
"House Bill 3135 would levy special assessments
on residential properties and allow the City of Austin to
subsequently annex the very improvements paid for by
these property owners. The effect of this bill would be to
impose additional costs on property owners for specific
improvements, only to see the City annex the improved
area without bearing any of the cost. I signed property-
tax reform two years ago to keep local governments from
spending outside their means. House Bill 3135 evades the
intent of those reforms and is unacceptable."
Response
Rep. Sheryl Cole, the bill's author, could not be
reached for comment on the veto.
Sen. Sarah Eckhardt, the Senate sponsor, said: "HB
3135 was the result of a bipartisan collaboration between
lawmakers and property owners in Travis County. Thechanges HB 3135 sought to make to SH130 Municipal
Management District No. 1 would have allowed this
underserved portion of the county to grow, develop, and
increase in property value. Municipal management districts
like this are not new. This MMD would help to ensure
Austin's economic boom can continue and that individuals
moving to Austin will have an affordable place to live.
What the governor described as imposing 'additional costs
on property owners for specific improvements, only to see
the City annex the area without bearing any of the cost' is
exactly how these districts have always operated all around
the state. To be clear: the 'property owner' in question
is the developer that requested this legislation. I'm very
disappointed in the governor's veto of this bipartisan bill."
Notes
HB 3135 passed on the Local, Consent, and
Resolutions Calendar and was not analyzed in a Daily
Floor Report.Page 16
House Research Organization
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Texas. Legislature. House of Representatives. Research Organization. Focus Report, Volume 87, Number 5, January 10, 2022, periodical, January 10, 2022; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1543870/m1/16/?q=%22~1%22~1: accessed July 16, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.