Zwiener Impact Fee Bill Lets Road Fees Pay For Repairs

The text as introduced · 1,233 words

89R15566 JBD-F

By: Zwiener
H.B. No. 5199

A BILL TO BE ENTITLED

AN ACT

relating to the authority of a municipality or county to enact and

impose an impact fee for a roadway facility or a safety improvement

to a roadway facility.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 212.004, Local Government Code, is

amended by amending Subsection (g) and adding Subsection (h) to

read as follows:

(g) Except as provided by Subsection (h), the [ The ]

governing body of a municipality or the municipal authority

responsible for approving plats may not require an analysis, study,

document, agreement, or similar requirement to be included in or as

part of an application for a plat, development permit, or

subdivision of land that is not explicitly allowed by state law.

(h) The governing body of a municipality or the municipal

authority responsible for approving plats may require a traffic

analysis be included as part of a plat application if the traffic

analysis is for the purpose of imposing an impact fee under Chapter

395.

SECTION 2. Section 212.103, Local Government Code, is

amended by adding Subsection (d) to read as follows:

(d) This section does not apply to an impact fee imposed by a

municipality under Chapter 395.

SECTION 3. Section 232.001, Local Government Code, is

amended by amending Subsection (h) and adding Subsection (i) to

read as follows:

(h) Except as provided by Subsection (i), the [ The ]

commissioners court or the county authority responsible for

approving plats may not require an analysis, study, document,

agreement, or similar requirement to be included in or as part of an

application for a plat, development permit, or subdivision of land

that is not explicitly required by state law.

(i) The commissioners court or the authority responsible

for approving plats may require a traffic analysis be included as

part of a plat application if the traffic analysis is for the

purpose of imposing an impact fee under Chapter 395.

SECTION 4. Section 395.001(7), Local Government Code, is

amended to read as follows:

(7) "Political subdivision" means :

(A) a municipality ;

(B) [ , ] a district or authority created under

Article III, Section 52, or Article XVI, Section 59, of the Texas

Constitution ; [ , ] or

(C) a county , but only for the purposes

authorized [ set forth ] by Section 395.079 or 395.0795 [ , certain

counties described by that section ].

SECTION 5. Section 395.011, Local Government Code, is

amended by amending Subsections (b) and (c) and adding Subsections

(b-1) and (d) to read as follows:

(b) Political subdivisions may enact or impose impact fees

on land within their corporate boundaries or extraterritorial

jurisdictions only by complying with this chapter, except that

impact fees may not be enacted or imposed by a political subdivision

described by Section 395.001(7)(B) in the extraterritorial

jurisdiction for roadway facilities.

(b-1) A municipality may only enact or impose an impact fee

for a roadway facility or safety improvement to a roadway facility

in the municipality's extraterritorial jurisdiction if:

(1) the roadway facility or safety improvement is for

a new development or new municipal utility district; and

(2) the impact fee is in proportion to the impact the

new development or district will have on the municipality.

(c) Except as provided by Subsections (b-1) and (d), a [ A ]

municipality may contract to provide capital improvements, except

roadway facilities, to an area outside its corporate boundaries and

extraterritorial jurisdiction and may charge an impact fee under

the contract, but if an impact fee is charged in that area, the

municipality must comply with this chapter.

(d) A municipality may contract to provide a roadway

facility in an area outside the corporate boundaries and

extraterritorial jurisdiction of the municipality to:

(1) a new development whose roadway facilities

directly connect with the roadway facilities of the municipality;

or

(2) a municipal utility district bordering the

extraterritorial jurisdiction of the municipality.

SECTION 6. Section 395.012, Local Government Code, is

amended by adding Subsection (f) to read as follows:

(f) A municipality may use funds collected from an impact

fee imposed under this subchapter to construct or install a safety

improvement to a roadway facility.

SECTION 7. Section 395.013, Local Government Code, is

amended to read as follows:

Sec. 395.013. ITEMS NOT PAYABLE BY FEE. (a) Impact fees

may not be adopted or used to pay for:

(1) construction, acquisition, or expansion of public

facilities or assets other than capital improvements or facility

expansions identified in the capital improvements plan;

(2) repair, operation, or maintenance of existing or

new capital improvements or facility expansions;

(3) upgrading, updating, expanding, or replacing

existing capital improvements to serve existing development in

order to meet stricter safety, efficiency, environmental, or

regulatory standards;

(4) upgrading, updating, expanding, or replacing

existing capital improvements to provide better service to existing

development;

(5) administrative and operating costs of the

political subdivision, except the Edwards Underground Water

District or a river authority that is authorized elsewhere by state

law to charge fees that function as impact fees may use impact fees

to pay its administrative and operating costs;

(6) principal payments and interest or other finance

charges on bonds or other indebtedness, except as allowed by

Section 395.012.

(b) Subsection (a)(2) does not apply to an impact fee

enacted or imposed by:

(1) a municipality for a roadway facility or safety

improvement to a roadway facility described by Section

395.011(b-1); or

(2) a county for a roadway facility or safety

improvement to a roadway facility described by Section 395.0795.

SECTION 8. Subchapter D, Chapter 395, Local Government

Code, is amended by adding Section 395.0795 to read as follows:

Sec. 395.0795. COUNTY IMPACT FEE FOR ROADWAY FACILITIES.

(a) A county that maintains and operates a roadway facility is

authorized to impose an impact fee for a roadway facility or safety

improvement to a roadway facility in the unincorporated area of the

county necessary to accommodate a new development or new municipal

utility district.

(b) An impact fee authorized by Subsection (a) may be

imposed on a new development or new municipal utility district at

the time the county approves a plat application for the development

or for a project located in the district as provided by Chapter 232.

(c) An impact fee authorized by Subsection (a) may be

imposed only to pay a cost authorized by Section 395.012 to

construct:

(1) a capital improvement necessary to accommodate the

impact that a new development or new municipal utility district

will have on the roadway facilities of the county;

(2) transportation infrastructure that meets the

standards of a capital improvement; or

(3) a safety improvement to a roadway facility if the

capital improvement plan of the county indicates a need for the

improvement.

(d) An impact fee authorized by Subsection (a) must be in

proportion to the impact a new development or new municipal utility

district will have on the county.

SECTION 9. The changes in law made by this Act apply only to

an impact fee imposed on or after the effective date of this Act. An

impact fee imposed before the effective date of this Act is governed

by the law in effect on the date the impact fee was imposed, and the

former law is continued in effect for that purpose.

SECTION 10. This Act takes effect September 1, 2025.