SRC-JJJ S.B. 1277 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 1277
76R8049 MI-DBy: Wentworth
Intergovernmental Relations
4/20/1999
As Filed


DIGEST 

Currently, there are not specified uses for impact fees charged by
municipal utility districts.  S.B. 1277 would establish provisions
regarding the uses of impact fees charged by municipal utility districts.   

PURPOSE

As proposed, S.B. 1277 establishes provisions regarding the uses of impact
fees charged by municipal utility districts.   

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 54D, Water Code, by adding Section 54.243, as
follows: 

Sec. 54.243.  DISPOSITION OF IMPACT FEES.  Requires a municipal utility
district (district) that charges an impact fee to use the fees collected
and any interest accrued on the fees collected only for payment of
principal and interest on bonds, notes, or other obligations issued by or
on behalf of the district to finance the capital improvements or facility
expansions identified in the required capital improvement plan.  

SECTION 2.  Effective date: September 1, 1999.
            Makes application of this Act prospective.