By Brimer H.B. No. 2045
76R894 PAM-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to financing capital improvements and facility expansions
1-3 through the assessment of impact fees.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 395.001(10), Local Government Code, is
1-6 amended to read as follows:
1-7 (10) "Service unit" means a standardized measure of
1-8 consumption, use, generation, or discharge, as established by the
1-9 Texas Natural Resource Conservation Commission, attributable to an
1-10 individual unit of development [calculated in accordance with
1-11 generally accepted engineering or planning standards for a
1-12 particular category of capital improvements or facility
1-13 expansions].
1-14 SECTION 2. Section 395.014(a), Local Government Code, is
1-15 amended to read as follows:
1-16 (a) The political subdivision shall use qualified
1-17 professionals to prepare the capital improvements plan and to
1-18 calculate the impact fee. The capital improvements plan must
1-19 contain specific enumeration of the following items:
1-20 (1) a description of the existing capital improvements
1-21 within the service area and the costs to upgrade, update, improve,
1-22 expand, or replace the improvements to meet existing needs and
1-23 usage and stricter safety, efficiency, environmental, or regulatory
1-24 standards, which shall be prepared by a qualified professional
2-1 engineer licensed to perform the professional engineering services
2-2 in this state;
2-3 (2) an analysis of the total capacity, the level of
2-4 current usage, and commitments for usage of capacity of the
2-5 existing capital improvements, which shall be prepared by a
2-6 qualified professional engineer licensed to perform the
2-7 professional engineering services in this state;
2-8 (3) a description of all or the parts of the capital
2-9 improvements or facility expansions and their costs necessitated by
2-10 and attributable to new development in the service area based on
2-11 the approved land use assumptions, which shall be prepared by a
2-12 qualified professional engineer licensed to perform the
2-13 professional engineering services in this state;
2-14 (4) a definitive table establishing the specific level
2-15 or quantity of use, consumption, generation, or discharge of a
2-16 service unit for each category of capital improvements or facility
2-17 expansions and an equivalency or conversion table establishing the
2-18 ratio of a service unit to various types of land uses, including
2-19 residential, commercial, and industrial;
2-20 (5) the total number of projected service units
2-21 necessitated by and attributable to new development within the
2-22 service area based on the approved land use assumptions and
2-23 calculated in accordance with generally accepted engineering or
2-24 planning criteria; [and]
2-25 (6) the projected demand for capital improvements or
2-26 facility expansions required by new service units projected over a
2-27 reasonable period of time, not to exceed 10 years; and
3-1 (7) the sum of revenue received by the political
3-2 subdivision from sources generated by new development, including
3-3 sales tax and sales tax on construction materials, property tax,
3-4 development fees, and building fees.
3-5 SECTION 3. Section 395.016, Local Government Code, is
3-6 amended by amending Subsection (d) and adding Subsection (h) to
3-7 read as follows:
3-8 (d) This subsection applies only to land platted in
3-9 accordance with Subchapter A, Chapter 212, or the subdivision or
3-10 platting procedures of a political subdivision after adoption of an
3-11 impact fee adopted after June 20, 1987. The political subdivision
3-12 shall assess the impact fees before or at the time of recordation
3-13 of a subdivision plat or other plat under Subchapter A, Chapter
3-14 212, or the subdivision or platting ordinance or procedures of any
3-15 political subdivision in the official records of the county clerk
3-16 of the county in which the tract is located. Except as provided by
3-17 Section 395.019, the political subdivision may collect the fees at
3-18 [either] the time of [recordation of the subdivision plat or]
3-19 connection to the political subdivision's water or sewer system or
3-20 at the time the political subdivision issues either the building
3-21 permit or the certificate of occupancy, whichever is later.
3-22 (h) In the first statement or billing sent to the homeowner
3-23 by the political subdivision under this section, the political
3-24 subdivision shall notify the homeowner of the amount of impact fees
3-25 assessed.
3-26 SECTION 4. Section 395.021, Local Government Code, is
3-27 amended to read as follows:
4-1 Sec. 395.021. AUTHORITY OF POLITICAL SUBDIVISIONS TO SPEND
4-2 FUNDS TO REDUCE FEES. (a) In this section, "enterprise funds"
4-3 means funds received by a political subdivision from fees for
4-4 services provided by a capital improvement.
4-5 (b) Political subdivisions may spend funds from any lawful
4-6 source to pay for all or a part of the capital improvements or
4-7 facility expansions to reduce the amount of impact fees.
4-8 (c) A political subdivision shall use excess funds generated
4-9 by enterprise funds to pay for capital improvements or facility
4-10 expansions. Any enterprise funds remaining after capital
4-11 improvements and facility expansions have been paid in full may be
4-12 transferred to the political subdivision's general fund.
4-13 SECTION 5. Section 395.052, Local Government Code, is
4-14 amended by adding Subsection (c) to read as follows:
4-15 (c) An update of the land use assumptions and capital
4-16 improvements plan does not:
4-17 (1) constitute a new impact fee;
4-18 (2) extend the period for providing a refund under
4-19 Section 395.025; or
4-20 (3) extend the period for performing a duty under
4-21 Section 395.071.
4-22 SECTION 6. The Texas Natural Resource Conservation
4-23 Commission shall develop a standardized measure of consumption,
4-24 use, generation, or discharge attributable to an individual unit of
4-25 development for purposes of Section 395.001(10), Local Government
4-26 Code, as amended by this Act, on or before November 1, 1999.
4-27 SECTION 7. (a) Except as provided by Subsection (b) of this
5-1 section, this Act takes effect September 1, 1999.
5-2 (b) The amendments made by this Act to Chapter 395, Local
5-3 Government Code, take effect January 1, 1999.
5-4 SECTION 8. The importance of this legislation and the
5-5 crowded condition of the calendars in both houses create an
5-6 emergency and an imperative public necessity that the
5-7 constitutional rule requiring bills to be read on three several
5-8 days in each house be suspended, and this rule is hereby suspended.