BILL ANALYSIS

H.B. 1029

By: Rodriguez

County Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Public improvement districts, or PIDS, are widely used tools in special districts in Texas to fund improvement projects that promote the interests of a municipality or a county.  PIDs are typically used to bring quality of life improvements and to promote the revitalization of an area by allowing property owners to petition the city to pay a special assessment for improvements and services in an area, such as streets, landscaping, parks, parking facilities, art, libraries, and other public improvements.

H.B. 1029 authorizes counties and cities to use these funds to preserve and improve existing affordable housing, to create new, affordable housing opportunities in the district, and to make other allowed improvements.  The bill gives cities and counties the discretion to ensure that a PID revitalizes an area and does not serve to displace lower- and moderate-income residents from the area.  The bill requires the PID to provide opportunities for households of different income levels to benefit from the public improvements.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1029 amends the Local Government Code to include the development, rehabilitation, or expansion of affordable housing as an authorized improvement project that the governing body of a municipality or county may undertake to promote the interests of the municipality or county under the Public Improvement District Assessment Act.

EFFECTIVE DATE

On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.