By: Stucky (Senate Sponsor - Springer) H.B. No. 3492
         (In the Senate - Received from the House May 3, 2023;
  May 5, 2023, read first time and referred to Committee on Local
  Government; May 17, 2023, reported favorably by the following
  vote:  Yeas 6, Nays 3; May 17, 2023, sent to printer.)
Click here to see the committee vote
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to county and municipal authority to impose certain
  value-based fees and require disclosure of certain information
  related to subdivision construction.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter Z, Chapter 212, Local Government
  Code, is amended by adding Section 212.906 to read as follows:
         Sec. 212.906.  CERTAIN VALUE-BASED FEES AND DISCLOSURE OF
  CERTAIN INFORMATION PROHIBITED.  (a)  This section applies only to
  an application, review, engineering, inspection, acceptance,
  administrative, or other fee imposed by a municipality related to
  the acceptance, review, or processing of engineering or
  construction plans or for the inspection of improvements for
  construction of a subdivision or lot or a related improvement
  associated with or required in conjunction with that construction.
         (b)  A municipality may not consider the cost of constructing
  or improving the public infrastructure for a subdivision, lot, or
  related property development in determining the amount of a fee
  subject to this section.  The municipality shall determine the fee
  by considering the municipality's actual cost to, as applicable,
  review and process the engineering or construction plan or to
  inspect the public infrastructure improvement.
         (c)  In determining the municipality's actual cost for
  reviewing and processing an engineering or construction plan or
  inspecting a public infrastructure improvement under Subsection
  (b), a municipality may consider:
               (1)  the fee that would be charged by a qualified,
  independent third-party entity for those services;
               (2)  the hourly rate for the estimated actual direct
  time of the municipality's employees performing those services; or
               (3)  the actual costs assessed to the municipality by a
  third-party entity that provides those services to the
  municipality.
         (d)  A municipality may not require the disclosure of
  information related to the value of or cost of constructing or
  improving a residential dwelling or the public infrastructure
  improvements for a subdivision, lot, or related property
  development as a condition of obtaining approval for subdivision
  construction or for the acceptance of those public infrastructure
  improvements except as required by the Federal Emergency Management
  Agency for participation in the National Flood Insurance Program.
         (e)  A municipality that imposes a fee for reviewing or
  processing an engineering or construction plan or inspecting a
  public infrastructure improvement shall annually publish the fee
  and the hourly rate and estimated direct time incurred by municipal
  employees for a fee calculated under Subsection (c)(2).  The
  municipality must publish the information:
               (1)  on the municipality's Internet website; or
               (2)  if the municipality does not maintain an Internet
  website, in a newspaper of general circulation in the county in
  which the municipality is primarily located.
         SECTION 2.  Chapter 232, Local Government Code, is amended
  by adding Subchapter Z to read as follows:
  SUBCHAPTER Z.  MISCELLANEOUS PROVISIONS
         Sec. 232.901.  CERTAIN VALUE-BASED FEES AND DISCLOSURE OF
  CERTAIN INFORMATION PROHIBITED.  (a)  This section applies only to
  an application, review, engineering, inspection, acceptance,
  administrative, or other fee imposed by a county related to the
  acceptance, review, or processing of engineering or construction
  plans or for the inspection of improvements for construction in a
  subdivision or a related improvement associated with or required in
  conjunction with that construction.
         (b)  A county may not consider the cost of constructing or
  improving the public infrastructure for a subdivision, lot, or
  related property development in determining the amount of a fee
  subject to this section.  The county shall determine the fee by
  considering the county's actual cost to, as applicable, review and
  process the engineering or construction plan or to inspect the
  public infrastructure improvement.
         (c)  In determining the county's actual cost for reviewing
  and processing an engineering or construction plan or inspecting a
  public infrastructure improvement under Subsection (b), a county
  may consider:
               (1)  the fee that would be charged by a qualified,
  independent third-party entity for those services;
               (2)  the hourly rate for the estimated actual direct
  time of the county's employees performing those services; or
               (3)  the actual costs assessed to the county by a
  third-party entity that provides those services to the county.
         (d)  A county may not require the disclosure of information
  related to the value of or cost of constructing or improving a
  residential dwelling or the public infrastructure improvements for
  a subdivision, lot, or related property development as a condition
  of obtaining approval for subdivision construction or for the
  acceptance of those public infrastructure improvements except as
  required by the Federal Emergency Management Agency for
  participation in the National Flood Insurance Program.
         (e)  A county that imposes a fee for reviewing or processing
  an engineering or construction plan or inspecting a public
  infrastructure improvement shall annually publish the fee and the
  hourly rate and estimated direct time incurred by county employees
  for a fee calculated under Subsection (c)(2).  The county must
  publish the information:
               (1)  on the county's Internet website; or
               (2)  if the county does not maintain an Internet
  website, in a newspaper of general circulation in the county.
         SECTION 3.  The changes in law made by this Act apply only to
  a fee subject to Section 212.906 or 232.901, Local Government Code,
  as added by this Act, assessed by a county or municipality on or
  after the effective date of this Act.
         SECTION 4.  This Act takes effect September 1, 2023.
 
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