BILL ANALYSIS

C.S.S.B. 1656

By: Watson

Urban Affairs

Committee Report (Substituted)

BACKGROUND AND PURPOSE

Interested parties contend that the applicability of state laws regarding homestead preservation districts and reinvestment zones should be revised to ensure that those laws remain applicable to certain municipalities, such as the City of Austin, and become applicable to certain other municipalities. C.S.S.B. 1656 seeks to ensure continued affordable rental housing opportunities in Texas by updating the applicability of those laws.

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

C.S.S.B. 1656 amends the Local Government Code to increase from fewer than 550,000 to fewer than 800,000 the threshold number of occupied housing units in a uniform state service region in which a municipality with a population of more than 750,000 must be located for purposes of the applicability to the municipality of provisions relating to homestead preservation districts and reinvestment zones. The bill adds as a municipality to which those provisions apply a municipality that contains more than 75 percent of the population of a county with a population of 1.5 million or more. The bill establishes that if those provisions apply to a municipality based on such occupied housing unit or population criteria, the application of the provisions to the municipality is not affected if the municipality's population or the number of occupied housing units changes and the municipality no longer meets the applicable population requirement.

EFFECTIVE DATE

September 1, 2017.

COMPARISON OF SENATE ENGROSSED AND SUBSTITUTE

While C.S.S.B. 1656 may differ from the engrossed in minor or nonsubstantive ways, the following comparison is organized and formatted in a manner that indicates the substantial differences between the engrossed and committee substitute versions of the bill.

SENATE ENGROSSED	HOUSE COMMITTEE SUBSTITUTE
SECTION 1.  Section 373A.003(a), Local Government Code, is amended to read as follows: Sec. 373A.003.  APPLICABILITY OF CHAPTER.  (a)  This chapter applies to a municipality with a population of more than 750,000 that is located in a uniform state service region with fewer than 800,000 [550,000] occupied housing units as determined by the most recent United States decennial census. (b)  Subchapters A, B, C, and D apply to any municipality with a population of 1.18 million or more which is located predominantly in a county that has a total area of less than 1,000 square miles and has adopted an urban land bank demonstration program under Chapter 379C, Local Government Code. (c)  If this chapter applies to a municipality as provided by Subsection (a), the application of this chapter to the municipality is not affected if the municipality's population or the number of occupied housing units changes and the municipality no longer meets the population requirement of Subsection (a).	SECTION 1.  Section 373A.003, Local Government Code, is amended by amending Subsection (a) and adding Subsection (a-1) to read as follows: (a)  This chapter applies to: (1)  a municipality with a population of more than 750,000 that is located in a uniform state service region with fewer than 800,000 [550,000] occupied housing units as determined by the most recent United States decennial census; and (2)  a municipality that contains more than 75 percent of the population of a county with a population of 1.5 million or more. (a-1)  If this chapter applies to a municipality as provided by Subsection (a), the application of this chapter to the municipality is not affected if the municipality's population or the number of occupied housing units changes and the municipality no longer meets the population requirement of Subsection (a).
SECTION 2.  This Act takes effect September 1, 2017.	SECTION 2. Same as engrossed version.