BILL ANALYSIS

 

 

Senate Research Center

S.B. 3057

89R10555 SCF-F

By: Flores

 

Local Government

 

5/2/2025

 

As Filed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Continuing development and growth in Central Texas, including Williamson County, has created the need for large-scale, permanent improvements such as water supply and distribution facilities, wastewater collection and treatment facilities, drainage and flood control projects, and roadway improvements.  Article XVI, Section 59, and Article III, Section 52, of the Texas Constitution provide for the creation of local governmental districts that are authorized to incur indebtedness to provide such permanent improvements, levy taxes for the maintenance and operation of such improvements, and repay indebtedness.

 

S.B. 3057 would create the River Ranch Municipal Utility No. 1 (district). The district would include approximately 3,486 acres in Williamson County. Along with powers authorized by Chapters 49 and 54, Water Code, S.B. 3057 also provides for road powers pursuant to Article III, Section 52, of the Constitution.  S.B. 3057 also grants a limited power of eminent domain and provides authority to issue bonds.

 

As proposed, S.B. 3057 amends current law relating to the creation of the River Ranch Municipal Utility District No. 1, grants a limited power of eminent domain, provides authority to issue bonds, and provides authority to impose assessments, fees, and taxes.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Subtitle F, Title 6. Special District Local Laws Code, by adding Chapter 8004A, as follows:

 

CHAPTER 8004A. RIVER RANCH MUNICIPAL UTILITY DISTRICT NO. 1

 

Sets forth standard language for the creation of the River Ranch Municipal Utility District No. 1 (district). Sets forth standards, procedures, requirements, and criteria for:

 

General provisions, creation, and approval of the district (Sections 8004A.0101-8004A.0106);

 

Size, composition, election, and terms of the board of directors of the district (Sections 8004A.0201-8004A.0202);

 

Powers and duties of the district (Sections 8004A.0301-8004A.0306); and

 

General financial provisions and authority to impose a tax and to issue bonds and obligations for the district (Sections 8004A.0401-8004A.0503).

 

SECTION 2. Sets forth the initial boundaries of the district.

 

SECTION 3. Provides that all requirements of the constitution and laws of this state and the rules and procedures of the legislature with respect to the notice, introduction ,and passage of this Act are fulfilled and accomplished.

 

SECTION 4. (a) Provides that, if this Act does not receive a two-thirds vote of all the members elected to each house, Subchapter C (Powers and Duties), Chapter 8004A, Special District Local Laws Code, as added by Section 1 of this Act, is amended by adding Section 8004A.0307, as follows:

 

Sec. 8004A.0307. NO EMINENT DOMAIN POWER. Prohibits the district from exercising the power of eminent domain.

 

(b) Provides that this section is not intended to be an expression of a legislative interpretation of the requirements of Section 17(c) (relating to authorizing the legislature to enact a certain law granting the power of eminent domain to an entity only on a two-thirds vote of all the members elected to each house), Article I (Bill of Rights), Texas Constitution.

 

SECTION 5. Effective date: upon passage or September 1, 2025.