BILL ANALYSIS

H.B. 4033

By: Isaac

Urban Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Interested parties note that certain areas, such as preservation districts, may be exempted from the prohibition against a municipality establishing a maximum sales price for a privately produced housing unit or residential building lot and that the practice of setting a maximum sales price on homes in those areas may drive up home prices in other areas of the municipality and result in more families being priced out of the housing market. The goal of H.B. 4033 is to eliminate this practice.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

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. 4033 amends the Local Government Code to expand the prohibition against a municipality adopting a requirement in any form that establishes a maximum sales price for a privately produced housing unit or residential building lot to include a prohibition against a municipality enforcing such a requirement. The bill removes a provision establishing that the prohibition against the adoption of such a requirement does not affect any authority of a municipality to adopt a requirement applicable to an area served under statutory provisions relating to homestead preservation districts and reinvestment zones, which authorizes homestead preservation districts, under certain conditions.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2017.