Honorable Tom Craddick, Chair, House Committee on Land & Resource Management
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB3821 by Goodwin (Relating to annexation by certain municipalities of a special district under a strategic partnership agreement.), Committee Report 1st House, Substituted
No fiscal implication to the State is anticipated.
The bill would amend the Local Government Code to place certain requirements regarding annexations of special districts under strategic partnership agreements by municipalities that operate water utilities.
Local Government Impact
According to the Northeast Texas Municipal Water District, the district does not anticipate any financial impact on water districts as a result of the bill . While the agreements that the bill would address do have impacts to both cities and districts, those impacts are unique to the exact agreement and are not a product of the law itself.
According to the Texas Municipal League (TML), the bill would have an indeterminate but significant fiscal implication to units of local government. TML estimates that the framework for annexation following passage of the bill would reduce the ability of municipalities to annex areas surrounding their boundaries.