By:  Nelson                                           S.B. No. 1329
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the use of impact fees by a municipality.
    1-2        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-3        SECTION 1.  Section 395.012, Local Government Code, is
    1-4  amended by adding Subsections (d) and (e) to read as follows:
    1-5        (d)  A municipality may pledge an impact fee as security for
    1-6  the payment of debt service on a bond, note, or other obligation
    1-7  issued to finance a capital improvement or public facility
    1-8  expansion if:
    1-9              (1)  the improvement or expansion is identified in a
   1-10  capital improvements plan; and
   1-11              (2)  at the time of the pledge, the governing body of
   1-12  the municipality certifies in a written order, ordinance, or
   1-13  resolution that none of the impact fee will be used or expended for
   1-14  an improvement or expansion not identified in the plan.
   1-15        (e)  A certification under Subsection (d)(2) is sufficient
   1-16  evidence that an impact fee pledged will not be used or expended
   1-17  for an improvement or expansion that is not identified in the
   1-18  capital improvements plan.
   1-19        SECTION 2.  The importance of this legislation and the
   1-20  crowded condition of the calendars in both houses create an
   1-21  emergency and an imperative public necessity that the
   1-22  constitutional rule requiring bills to be read on three several
   1-23  days in each house be suspended, and this rule is hereby suspended,
   1-24  and that this Act take effect and be in force from and after its
    2-1  passage, and it is so enacted.