H.B. No. 3461
AN ACT
relating to the manner in which a municipality may impose a
moratorium on certain property development.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 212.131, Local Government Code, is
amended by amending Subdivision (3) and adding Subdivision (4) to
read as follows:
(3) "Property development" means the [new]
construction, reconstruction, or other alteration or improvement
of residential or commercial buildings or the subdivision or
replatting of a subdivision of residential or commercial property
[on vacant land].
(4) "Commercial property" means property zoned for or
otherwise authorized for use other than single-family use,
multifamily use, heavy industrial use, or use as a quarry.
SECTION 2. Subchapter E, Chapter 212, Local Government
Code, is amended by amending Sections 212.132, 212.133, 212.135,
212.136, and 212.137 and adding Sections 212.1351, 212.1352,
212.1361, 212.1362, and 212.139 to read as follows:
Sec. 212.132. APPLICABILITY. This subchapter applies only
to a moratorium imposed on property development affecting only
residential property, commercial property, or both residential and
commercial property.
Sec. 212.133. PROCEDURE FOR ADOPTING MORATORIUM. A
municipality may not adopt a moratorium on property development
unless the municipality:
(1) complies with the notice and hearing procedures
prescribed by Section 212.134; and
(2) makes written findings as provided by Section
212.135, 212.1351, or 212.1352, as applicable.
Sec. 212.135. JUSTIFICATION FOR MORATORIUM: SHORTAGE OF
ESSENTIAL PUBLIC FACILITIES; WRITTEN FINDINGS REQUIRED. (a) If a
municipality adopts a moratorium on property development, the
moratorium is justified by demonstrating a need to prevent a
shortage of essential public facilities. The municipality must
issue written findings based on reasonably available information.
(b) The written findings must include a summary of:
(1) evidence demonstrating the extent of need beyond
the estimated capacity of existing essential public facilities that
is expected to result from new property development, including
identifying:
(A) any essential public facilities currently
operating near, at, or beyond capacity;
(B) the portion of that capacity committed to the
development subject to the moratorium; and
(C) the impact fee revenue allocated to address
the facility need; and
(2) evidence demonstrating that the moratorium is
reasonably limited to:
(A) areas of the municipality where a shortage of
essential public facilities would otherwise occur; and
(B) property that has not been approved for
development because of the insufficiency of existing essential
public facilities.
Sec. 212.1351. JUSTIFICATION FOR MORATORIUM: SIGNIFICANT
NEED FOR PUBLIC FACILITIES; WRITTEN FINDINGS REQUIRED. (a) Except
as provided by Section 212.1352, a [(b) A] moratorium that is not
based on a shortage of essential public facilities is justified
only by demonstrating a significant need for other public
facilities, including police and fire facilities. For purposes of
this subsection, a significant need for public facilities is
established if the failure to provide those public facilities would
result in an overcapacity of public facilities or would be
detrimental to the health, safety, and welfare of the residents of
the municipality. The municipality must issue written findings
based on reasonably available information.
(b) The written findings must include a summary of:
(1) evidence demonstrating that applying existing
development ordinances or regulations and other applicable laws is
inadequate to prevent the new development from causing the
overcapacity of municipal infrastructure or being detrimental to
the public health, safety, and welfare in an affected geographical
area;
(2) evidence demonstrating that alternative methods
of achieving the objectives of the moratorium are unsatisfactory;
and
(3) evidence demonstrating that the municipality has
approved a working plan and time schedule for achieving the
objectives of the moratorium.
Sec. 212.1352. JUSTIFICATION FOR COMMERCIAL MORATORIUM IN
CERTAIN CIRCUMSTANCES; WRITTEN FINDINGS REQUIRED. (a) If a
municipality adopts a moratorium on commercial property
development that is not based on a demonstrated shortage of
essential public facilities, the municipality must issue written
findings based on reasonably available information that the
moratorium is justified by demonstrating that applying existing
commercial development ordinances or regulations and other
applicable laws is inadequate to prevent the new development from
being detrimental to the public health, safety, or welfare of the
residents of the municipality.
(b) The written findings must include a summary of:
(1) evidence demonstrating the need to adopt new
ordinances or regulations or to amend existing ordinances,
including identification of the harm to the public health, safety,
or welfare that will occur if a moratorium is not adopted;
(2) the geographical boundaries in which the
moratorium will apply;
(3) the specific types of commercial property to which
the moratorium will apply; and
(4) the objectives or goals to be achieved by adopting
new ordinances or regulations or amending existing ordinances or
regulations during the period the moratorium is in effect.
Sec. 212.136. EXPIRATION OF MORATORIUM; EXTENSION. [(a)]
A moratorium adopted under Section 212.135 or 212.1351 [this
subchapter] expires on the 120th day after the date the moratorium
is adopted unless the municipality extends the moratorium by:
(1) holding a public hearing on the proposed extension
of the moratorium; and
(2) adopting written findings that:
(A) identify the problem requiring the need for
extending the moratorium;
(B) describe the reasonable progress made to
alleviate the problem; and
(C) specify a definite duration for the renewal
period of the moratorium.
Sec. 212.1361. NOTICE FOR EXTENSION REQUIRED. [(b)] A
municipality proposing an extension of a moratorium under this
subchapter must publish notice in a newspaper of general
circulation in the municipality not later than the 15th day before
the date of the hearing required by this subchapter [Subsection
(a)].
Sec. 212.1362. EXPIRATION OF MORATORIUM ON COMMERCIAL
PROPERTY IN CERTAIN CIRCUMSTANCES; EXTENSION. (a) A moratorium on
commercial property adopted under Section 212.1352 expires on the
90th day after the date the moratorium is adopted unless the
municipality extends the moratorium by:
(1) holding a public hearing on the proposed extension
of the moratorium; and
(2) adopting written findings that:
(A) identify the problem requiring the need for
extending the moratorium;
(B) describe the reasonable progress made to
alleviate the problem;
(C) specify a definite duration for the renewal
period of the moratorium; and
(D) include a summary of evidence demonstrating
that the problem will be resolved within the extended duration of
the moratorium.
(b) A municipality may not adopt a moratorium on commercial
property under Section 212.1352 that exceeds an aggregate of 180
days. A municipality may not adopt a moratorium on commercial
property under Section 212.1352 before the second anniversary of
the expiration date of a previous moratorium if the subsequent
moratorium addresses the same harm, affects the same type of
commercial property, or affects the same geographical area
identified by the previous moratorium.
Sec. 212.137. WAIVER PROCEDURES REQUIRED. (a) A
moratorium adopted under this subchapter must allow a permit
applicant to apply for a waiver from the moratorium relating to the
property subject to the permit by:
(1) claiming a right obtained under a development
agreement; or
(2) [claiming a vested right under Chapter 245 or
common law; or
[(3)] providing the public facilities that are the
subject of the moratorium at the landowner's cost.
(b) The permit applicant must submit the reasons for the
request to the governing body of the municipality in writing. The
governing body of the municipality must vote on whether to grant the
waiver request within 10 days after the date of receiving the
written request.
Sec. 212.139. LIMITATION ON MORATORIUM. (a) A moratorium
adopted under this subchapter does not affect an application for a
project in progress under Chapter 245.
(b) A municipality may not adopt a moratorium under this
subchapter that:
(1) prohibits a person from filing or processing an
application for a project in progress under Chapter 245; or
(2) prohibits or delays the processing of an
application for zoning filed before the effective date of the
moratorium.
SECTION 3. (a) This Act applies to a moratorium adopted on
or after the effective date of this Act.
(b) If a moratorium affecting commercial property was
adopted by a municipality before the effective date of this Act and,
under the terms of the moratorium, remains in effect later than the
120th day after the effective date of this Act, the municipality
must comply with Section 212.136, Local Government Code, as amended
by this Act, or Section 212.1362(a), Local Government Code, as
added by this Act, as applicable, to continue the moratorium in
effect later than the 120th day after the effective date of this
Act.
SECTION 4. This Act takes effect September 1, 2005.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 3461 was passed by the House on May 9,
2005, by a non-record vote.
______________________________
Chief Clerk of the House
I certify that H.B. No. 3461 was passed by the Senate on May
25, 2005, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor