reglab/statecodes huggingface dataset:
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.016. Assessment Roll

Sec. 372.016.  ASSESSMENT ROLL.  (a)  After the total cost of an improvement is determined, the governing body of the municipality or county shall prepare a proposed assessment roll.  The roll must state the assessment against each parcel of land in the district, as determined by the method of assessment chosen by the municipality or county under this subchapter.
(b)  The governing body shall file the proposed assessment roll with the municipal secretary or other officer performing the functions of the municipal secretary or in a district formed by a county, the county tax assessor-collector.  The proposed assessment roll is subject to public inspection.  The governing body shall require the municipal secretary or other officer or county tax assessor-collector to publish notice of the governing body's intention to consider the proposed assessments at a public hearing.  The notice must be published in a newspaper of general circulation in the municipality or county before the 10th day before the date of the hearing.  If any part of the improvement district is located in the municipality's extraterritorial jurisdiction or if any part of the improvements is to be undertaken in the municipality's extraterritorial jurisdiction, the notice must also be published, before the 10th day before the date of the hearing, in a newspaper of general circulation in the part of the extraterritorial jurisdiction in which the district is located or in which the improvements are to be undertaken.  The notice must state:
(1)  the date, time, and place of the hearing;
(2)  the general nature of the improvement;
(3)  the cost of the improvement;
(4)  the boundaries of the assessment district;  and
(5)  that written or oral objections will be considered at the hearing.
(c)  When the assessment roll is filed under Subsection (b), the municipal secretary or other officer shall mail to the owners of property liable for assessment a notice of the hearing.  The notice must contain the information required by Subsection (b) and the secretary or other officer shall mail the notice to the last known address of the property owner.  The failure of a property owner to receive notice does not invalidate the proceeding.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 1989, 71st Leg., ch. 1, Sec. 76(i), eff. Aug. 28, 1989;  Acts 2001, 77th Leg., ch. 1341, Sec. 14, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.017. Levy of Assessment

Sec. 372.017.  LEVY OF ASSESSMENT.  (a)  At or on the adjournment of the hearing referred to by Section 372.016 on proposed assessments, the governing body of the municipality or county must hear and pass on any objection to a proposed assessment.  The governing body may amend a proposed assessment on any parcel.
(b)  After all objections have been heard and the governing body has passed on the objections, the governing body by ordinance or order shall levy the assessment as a special assessment on the property.  The governing body by ordinance or order shall specify the method of payment of the assessment.  The governing body may defer an assessment until a date the governing body specifies in the ordinance or order. The governing body may provide that assessments be paid in periodic installments, at an interest rate and for a period approved by the governing body.  The provision that assessments be paid in periodic installments may, but is not required to, result in level annual installment payments.  The installments must be in amounts necessary to meet annual costs for improvements and must continue for:
(1)  the period necessary to retire the indebtedness on the improvements; or
(2)  the period approved by the governing body for the payment of the installments.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 15, eff. June 16, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 320 (H.B. 621), Sec. 1, eff. June 19, 2009.
Acts 2011, 82nd Leg., R.S., Ch. 970 (H.B. 1400), Sec. 4, eff. September 1, 2011.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.0175. Contracts for Collection of Assessments

Sec. 372.0175.  CONTRACTS FOR COLLECTION OF ASSESSMENTS.  The governing body of a municipality or county may contract with the governing body of another taxing unit, as defined by Section 1.04, Tax Code, or the board of directors of an appraisal district to perform the duties of the municipality or county relating to collection of special assessments levied under this subchapter.
Added by Acts 2011, 82nd Leg., R.S., Ch. 1211 (S.B. 422), Sec. 1, eff. June 17, 2011.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.018. Interest on Assessment; Lien

Sec. 372.018.  INTEREST ON ASSESSMENT; LIEN.  (a)  An assessment bears interest at the rate specified by the governing body of the municipality or county beginning at the time or times or on the occurrence of one or more events specified by the governing body.  If general obligation bonds, revenue bonds, time warrants, or temporary notes are issued to finance the improvement for which the assessment is assessed, the interest rate for that assessment may not exceed a rate that is one-half of one percent higher than the actual interest rate paid on the debt.  Interest on the assessment between the effective date of the ordinance or order levying the assessment and the date the first installment is payable shall be added to the first installment.  The interest on any delinquent installment shall be added to each subsequent installment until all delinquent installments are paid.
(b)  An assessment or reassessment, with interest, the expense of collection, and reasonable attorney's fees, if incurred, is:
(1) a first and prior lien against the property assessed;
(2) superior to all other liens and claims except liens or claims for state, county, school district, or municipality ad valorem taxes; and
(3) a personal liability of and charge against the owners of the property regardless of whether the owners are named.
(c)  The lien is effective from the date of the ordinance or order levying the assessment until the assessment is paid.
(d)  The lien runs with the land and that portion of an assessment payment that has not yet come due is not eliminated by foreclosure of an ad valorem tax lien.
(e)  The assessment lien may be enforced by the governing body in the same manner that an ad valorem tax lien against real property may be enforced by the governing body. Foreclosure of accrued installments does not eliminate the outstanding principal balance of the assessment. Any purchaser of the property in foreclosure takes the property subject to the assessment lien and any associated obligations.
(f)  Delinquent installments of the assessment shall incur interest, penalties, and attorney's fees in the same manner as delinquent ad valorem taxes.  The owner of assessed property may pay at any time all or any part of the assessment, with interest that has accrued on the assessment, on any lot or parcel.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 1989, 71st Leg., ch. 1, Sec. 76(j), eff. Aug. 28, 1989;  Acts 2001, 77th Leg., ch. 1341, Sec. 16, eff. June 16, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 320 (H.B. 621), Sec. 2, eff. June 19, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.019. Supplemental Assessments

Sec. 372.019.  SUPPLEMENTAL ASSESSMENTS.  After notice and a hearing, the governing body of the municipality or county may make supplemental assessments to correct omissions or mistakes in the assessment relating to the total cost of the improvement.  Notice must be given and the hearing held under this section in the same manner as required by Sections 372.016 and 372.017.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 17, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.020. Reassessment

Sec. 372.020.  REASSESSMENT.  The governing body of the municipality or county may make a reassessment or new assessment of a parcel of land if:
(1)  a court of competent jurisdiction sets aside an assessment against the parcel;
(2)  the governing body determines that the original assessment is excessive;  or
(3)  on the written advice of counsel, the governing body determines that the original assessment is invalid.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 18, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.021. Special Improvement District Fund

Sec. 372.021.  SPECIAL IMPROVEMENT DISTRICT FUND.  (a)  A municipality or county that intends to create a public improvement district may by ordinance or order establish a special improvement district fund in the municipal or county treasury.
(b)  The municipality or county annually may levy a tax to support the fund.
(c)  The fund may be used to:
(1)  pay the costs of planning, administration, and an improvement authorized by this subchapter;
(2)  prepare preliminary plans, studies, and engineering reports to determine the feasibility of an improvement;  and
(3)  if ordered by the governing body of the municipality or county, pay the initial cost of the improvement until temporary notes, time warrants, or improvement bonds have been issued and sold.
(d)  The fund is not required to be budgeted for expenditure during any year, but the amount of the fund must be stated in the municipality's or county's annual budget.  The amount of the fund must be based on an annual service plan that describes the public improvements for the fiscal year.
(e)  A grant-in-aid or contribution made to the municipality or county for the planning and preparation of plans for an improvement authorized under this subchapter may be credited to the special improvement district fund.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 19, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.022. Separate Funds

Sec. 372.022.  SEPARATE FUNDS.  If bonds are issued, a separate public improvement district fund shall be created in the municipal or county treasury for each district.  Proceeds from the sale of bonds, temporary notes, and time warrants, and other sums appropriated to the fund by the governing body of the municipality or county shall be credited to the fund.  The fund may be used solely to pay costs incurred in making an improvement.  When an improvement is completed, the balance of the part of the assessment that is for improvements shall be transferred to the fund established for the retirement of bonds.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 20, eff. June 16, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 320 (H.B. 621), Sec. 3, eff. June 19, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.024. General Obligation and Revenue Bonds

Sec. 372.024.  GENERAL OBLIGATION AND REVENUE BONDS.  General obligation bonds issued to pay costs under Section 372.023(d) must be issued under the provisions of Subtitles A and C, Title 9, Government Code. Revenue bonds issued to pay costs under that subsection may be issued from time to time in one or more series and are to be payable from and secured by liens on all or part of the revenue derived from improvements authorized under this subchapter, including revenue derived from installment payments of special assessments.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1420, Sec. 8.330, eff. Sept. 1, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.025. Terms and Conditions of Bonds

Sec. 372.025.  TERMS AND CONDITIONS OF BONDS.  (a)  Revenue bonds may be issued to mature serially or in any other manner but must mature not later than 40 years after their date.  A provision may be made for the subsequent issuance of additional parity bonds or subordinate lien bonds under terms and conditions specified in the ordinance or order authorizing the issuance of the bonds.
(b)  The bonds shall be executed and the bonds and interest coupons appertaining to them are negotiable instruments within the meaning and for all purposes of the Uniform Commercial Code (Section 1.101 et seq., Business & Commerce Code). The ordinance or order authorizing the issuance of the bonds must specify:
(1)  whether the bonds are issued registrable as to principal alone or as to both principal and interest;
(2)  whether the bonds are redeemable before maturity;
(3)  the form, denomination, and manner of issuance;
(4)  the terms, conditions, and other details applying to the bonds including the price, terms, and interest rates on the bonds;  and
(5)  the manner of sale of the bonds.
(c)  The ordinance or order authorizing the issuance of the bonds may specify that the proceeds from the sale of the bonds:
(1)  be used to pay interest on the bonds during and after the period of acquisition or construction of an improvement financed through the sale of the bonds;
(2)  be used for creating a reserve fund for payment of the principal of and interest on the bonds and for creating other funds;  and
(3)  may be placed in time deposit or invested, until needed.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 22, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.026. Pledges

Sec. 372.026.  PLEDGES.  (a)  In this section, "obligation" means bonds, temporary notes, time warrants, or an obligation under an installment sale contract or reimbursement agreement.
(b)  For the payment of obligations issued or agreed to under this subchapter and the payment of principal, interest, and any other amounts required or permitted in connection with the obligations, the governing body of the municipality or county may pledge all or part of the income from improvements financed under this subchapter, including income received in installment payments under Section 372.023.
(c)  Pledged income must be fixed and collected in amounts sufficient, with other pledged resources, to pay principal, interest, and other expenses related to the obligations, and to the extent required by the ordinance, order, or agreement authorizing the obligations, to pay for the operation, maintenance, and other expenses related to improvements authorized by this subchapter.
(d)  The obligations may also be secured by mortgages or deeds of trust on any real property related to the facilities authorized under this subchapter that are owned or are to be acquired by the municipality or county and by chattel mortgages, liens, or security interests on any personal property appurtenant to that real property.  The governing body may authorize the execution of trust indentures, mortgages, deeds of trust, or other forms of encumbrance as evidence of the indebtedness.
(e)  The governing body may pledge to the payment of obligations all or part of a grant, donation, revenue, or income received or to be received from the government of the United States or any other public or private source, whether or not it is received pursuant to an agreement or otherwise.
(f)  The governing body may enter into an agreement with a corporation created by the municipality or county under the Texas Constitution or other law that provides for payment of amounts pledged under this section to the corporation to secure indebtedness issued by the corporation to finance an improvement project, including indebtedness to pay capitalized interest and a reserve fund permitted by this subchapter for revenue or general obligation bonds issued under this subchapter and indebtedness issued to pay the corporation's costs of issuance.  In addition, the agreement may provide that:
(1)  the corporation is responsible for managing the district; or
(2)  title to one or more improvements will be held by the corporation.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 23, eff. June 16, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 320 (H.B. 621), Sec. 5, eff. June 19, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.027. Refunding Bonds

Sec. 372.027.  REFUNDING BONDS.  (a)  Revenue bonds issued under this subchapter may be refunded or refinanced by the issuance of refunding bonds, under terms or conditions set forth in ordinances or orders of the municipality or county issuing the bonds.  The provisions of this subchapter applying generally to revenue bonds, including provisions related to the issuance of those bonds, apply to refunding bonds authorized by this section.  The refunding bonds may be sold and delivered in amounts necessary for the principal, interest, and any redemption premium of the bonds to be refunded, on the date of the maturity of the bond or any redemption date of the bond.
(b)  Refunding bonds may be issued for exchange with the bonds they are refunding.  The comptroller of public accounts shall register refunding bonds described by this subsection and deliver the bonds to holders of bonds being refunded in accordance with the ordinance or order authorizing the issuance of refunding bonds.  The exchange may be made in one delivery or several installment deliveries.
(c)  General obligation bonds issued under this subchapter may be refunded in the manner provided by law.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.  Amended by Acts 2001, 77th Leg., ch. 1341, Sec. 24, eff. June 16, 2001.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.028. Approval and Registration

Sec. 372.028.  APPROVAL AND REGISTRATION.  (a)  Revenue bonds issued under this subchapter and a record of the proceedings authorizing their issuance must be submitted to the attorney general for examination.  If bonds state that they are secured by a pledge of revenue or rentals from a contract or lease, a copy of the contract or lease and a description of the proceedings authorizing the contract or lease must also be submitted to the attorney general.
(b)  If the attorney general determines that the bonds were authorized and the contracts or leases related to the bonds were made in accordance with the law, the attorney general shall approve the bonds and the contract or lease.  On the approval of the attorney general, the comptroller of public accounts shall register the bonds.
(c)  Bonds and contracts or leases approved and registered under this section are valid and binding obligations for all purposes in accordance with their terms and are incontestable in any court or other forum.
(d)  General obligation bonds issued under this subchapter shall be approved and registered as provided by law.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.029. Authorized Investments; Security

Sec. 372.029.  AUTHORIZED INVESTMENTS;  SECURITY.  (a)  Bonds issued under this subchapter are legal and authorized investments for:
(1)  banks, trust companies, and savings and loan associations;
(2)  all insurance companies;
(3)  fiduciaries, trustees, and guardians;  and
(4)  interest funds, sinking funds, and other public funds of the state or of an agency, subdivision, or instrumentality of the state, including a county, municipality, school district, or other district, public agency, or body politic.
(b)  Bonds issued under this subchapter may be security for deposits of public funds of the state or of an agency, subdivision, or instrumentality of the state, including a county, municipality, school district, or other district, public agency, or body politic, to the extent of the market value of the bonds, if accompanied by any appurtenant unmatured interest coupons.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter A. Public Improvement Districts › Section 372.030. Subchapter Not Exclusive

Sec. 372.030.  SUBCHAPTER NOT EXCLUSIVE.  This subchapter is an alternative to other methods by which a municipality may finance public improvements by assessing property owners.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter B. Improvement Districts in Home-Rule Municipalities › Section 372.041. Authority of Home-Rule Municipality

Sec. 372.041.  AUTHORITY OF HOME-RULE MUNICIPALITY.  (a)  A home-rule municipality may create improvement districts for the purposes of:
(1)  levying, straightening, widening, enclosing, or otherwise improving a river, creek, bayou, stream, other body of water, street, or alley;
(2)  draining, grading, filling, and otherwise protecting and improving the territory within the municipality's limits;
(3)  issuing bonds to finance improvements listed in this subsection; and
(4)  financing an improvement described in Subchapter A.
(b)  If a home-rule municipality creates an improvement district in order to make improvements authorized by this subsection, the municipality must comply with the general law of the state relating to the creation of improvement districts.  Bonds issued for improvements under this section must be issued in a manner that complies with the general authority of a home-rule municipality to issue bonds.
(c)  A home-rule municipality may require the owners of property in the territory specially benefitted in enhanced value by improvements made under this section to pay the costs of the improvement.  If a municipality finances an improvement under this subsection, the municipality shall make a personal charge against those property owners and fix a lien against that property by special assessment.  The municipality may issue assignable or negotiable certificates to pay for the costs of improvements and require the property owners to make deferred payments to retire the certificates.  Interest on deferred payments may not exceed eight percent.  The municipality may appoint special commissioners or provide otherwise for the making and levying of special assessments under this subsection, or may provide that the making and levying of the assessment be performed by the governing body of the municipality, in compliance with requirements for hearings and other procedures as may be adopted under or required by the municipal charter.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
Amended by:
Acts 2011, 82nd Leg., R.S., Ch. 970 (H.B. 1400), Sec. 5, eff. September 1, 2011.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter D. Reimbursement for Public Improvements in Certain Counties › Section 372.151. Applicability

Sec. 372.151.  APPLICABILITY.  This subchapter applies only to a county that:
(1)  does not wholly contain a municipality with a population of more than 50,000; and
(2)  is adjacent to at least two counties, each with a population of more than 2.1 million.
Added by Acts 2009, 81st Leg., R.S., Ch. 645 (H.B. 1730), Sec. 1, eff. June 19, 2009.
Amended by:
Acts 2023, 88th Leg., R.S., Ch. 644 (H.B. 4559), Sec. 186, eff. September 1, 2023.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 372 - Improvement Districts in Municipalities and Counties › Subchapter D. Reimbursement for Public Improvements in Certain Counties › Section 372.152. Issuance of Bonds to Reimburse Acquired Public Improvements

Sec. 372.152.  ISSUANCE OF BONDS TO REIMBURSE ACQUIRED PUBLIC IMPROVEMENTS.  (a)  The governing body of a municipality or county may issue and sell general obligation bonds or revenue bonds to reimburse a developer for the cost of a public improvement if:
(1)  the public improvement is located in a public improvement district created on or after January 1, 2005;
(2)  the public improvement has been dedicated to and accepted by the municipality or county; and
(3)  before the public improvement was dedicated to and accepted by the municipality or county, the governing body of the municipality or county entered into an agreement with the developer to pay for the public improvement.
(b)  General obligation bonds or revenue bonds issued  under this subchapter must comply with the provisions relating to general obligation bonds or revenue bonds issued under  Subchapter A.
Added by Acts 2009, 81st Leg., R.S., Ch. 645 (H.B. 1730), Sec. 1, eff. June 19, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.001. Short Title

Sec. 373.001.  SHORT TITLE.  This chapter may be cited as the Texas Community Development Act of 1975.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.002. Legislative Finding; Public Purposes

Sec. 373.002.  LEGISLATIVE FINDING;  PUBLIC PURPOSES.  (a)  The legislature finds that the activities specified in this chapter contribute to the development of viable urban communities by providing decent housing and a suitable living environment and by expanding economic opportunities for persons of low and moderate income.
(b)  Activities conducted under this chapter are directed toward the following purposes:
(1)  elimination of slums and areas affected by blight;
(2)  prevention of blighting influences and of the deterioration of property and neighborhood and community facilities important to the welfare of the community;
(3)  elimination of conditions detrimental to the public health, safety, and welfare;
(4)  expansion and improvement of the quantity and quality of community services essential for the development of viable urban communities;
(5)  more rational use of land and other natural resources;
(6)  improved arrangement of residential, commercial, industrial, recreational, and other necessary activity centers;
(7)  restoration and preservation of properties of special value for historic, architectural, or aesthetic reasons;
(8)  reduction of the isolation of income groups in communities and geographical areas, promotion of increased diversity and vitality of neighborhoods through spatial deconcentration of housing opportunities for persons of low and moderate income, and revitalization of deteriorating or deteriorated neighborhoods to attract persons of higher income;  and
(9)  alleviation of physical and economic distress through the stimulation of private investment and community revitalization in slum or blighted areas.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.003. Definition

Sec. 373.003.  DEFINITION.  In this chapter, "community development program" means a program adopted under this chapter.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.004. Goals of Program

Sec. 373.004.  GOALS OF PROGRAM.  Through a community development program, a municipality may conduct work or activities designed to:
(1)  improve the living and economic conditions of persons of low and moderate income;
(2)  benefit low or moderate income neighborhoods;
(3)  aid in the prevention or elimination of slums and blighted areas;
(4)  aid a federally assisted new community;  or
(5)  meet other urgent community development needs, including an activity or function specified for a community development program that incorporates a federally assisted new community.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.006. Required Procedures Before Adoption of Community Development Program

Sec. 373.006.  REQUIRED PROCEDURES BEFORE ADOPTION OF COMMUNITY DEVELOPMENT PROGRAM.  Before exercising powers under Section 373.005, the governing body of the municipality must:
(1)  identify areas of the municipality in which predominantly low and moderate income persons reside, that are blighted or slum areas, or that are federally assisted new communities;
(2)  establish community development program areas in which community development activities, building rehabilitation, or the acquisition of privately owned buildings or land is proposed;
(3)  adopt, by resolution or ordinance, a plan under which citizens may publicly comment on the proposed community development program;
(4)  conduct public hearings on the proposed program before the 15th day before the date of its final adoption by the governing body;  and
(5)  adopt the community development program by resolution or ordinance.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373 - Community Development in Municipalities › Section 373.007. Limitation on Municipal Powers; Effect on Urban Renewal

Sec. 373.007.  LIMITATION ON MUNICIPAL POWERS;  EFFECT ON URBAN RENEWAL.  (a)  This chapter does not grant a municipality the power of condemnation to rehabilitate or remove buildings or to acquire real property for the purpose of resale.
(b)  This chapter does not authorize a municipality to implement an urban renewal project under Chapter 374 without compliance with the provisions of that chapter.  This chapter does not affect the status, operations, contracts, or other obligations of any urban renewal agency created under Chapter 374.  This chapter does not prevent a municipality from exercising urban renewal authority under Chapter 374.
Acts 1987, 70th Leg., ch. 149, Sec. 1, eff. Sept. 1, 1987.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter A. General Provisions › Section 373A.001. Purpose

Sec. 373A.001.  PURPOSE.  The purpose of this chapter is to:
(1)  promote the ability of municipalities to increase home ownership, provide affordable housing, and prevent the involuntary loss of homesteads by existing low-income and moderate-income homeowners living in disadvantaged neighborhoods;
(2)  protect a municipality's interest in improving economic and social conditions within disadvantaged communities by enhancing the viability of home ownership among low-income and moderate-income residents in areas experiencing economic pressures; and
(3)  provide municipalities with a means to expand and protect the homestead interests of low-income and moderate-income families.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter A. General Provisions › Section 373A.002. Definitions

Sec. 373A.002.  DEFINITIONS.  In this chapter:
(1)  "Affordable housing" means housing that is located in a district and is affordable to households earning 70 percent or less of the area median family income, adjusted for household size, as determined annually by the United States Department of Housing and Urban Development.
(1-a)  "Central business district" means a compact and contiguous geographical area of a municipality in which at least 90 percent of the land is used or zoned for commercial purposes and that has historically been the primary location in the municipality where business has been transacted.
(2)  "Community housing development organization" has the meaning assigned by 42 U.S.C. Section 12704.
(2-a)  "County" means the county containing all or the greatest portion of a homestead preservation reinvestment zone.  For purposes of applying other law to a district or program created under this chapter, including Chapter 311, Tax Code, a reference in the other law to a "county" has the meaning assigned by this subdivision.
(3)  "District" means a homestead preservation district designated under Subchapter B.
(3-a)  "Project costs" has the meaning assigned by Section 311.002(1), Tax Code.
(4)  "Taxing unit" has the meaning assigned by Section 1.04, Tax Code.
(5)  "Trust" means a homestead land trust created or designated under Subchapter C.
(6)  "Zone" means a homestead preservation reinvestment zone created under Subchapter D.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 1, eff. September 1, 2007.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter A. General Provisions › Section 373A.003. Applicability of Chapter

Sec. 373A.003.  APPLICABILITY OF CHAPTER.  (a)  This chapter applies to a municipality with a population of more than 950,000 that is located in a uniform state service region with fewer than 940,000 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.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1034 (H.B. 1742), Sec. 3, eff. September 1, 2007.
Acts 2011, 82nd Leg., R.S., Ch. 1163 (H.B. 2702), Sec. 96, eff. September 1, 2011.
Acts 2023, 88th Leg., R.S., Ch. 644 (H.B. 4559), Sec. 187, eff. September 1, 2023.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter B. General Powers and Duties › Section 373A.051. Municipal Power to Designate District

Sec. 373A.051.  MUNICIPAL POWER TO DESIGNATE DISTRICT.  (a)  To promote and expand the ownership and rental of affordable housing and to prevent the involuntary loss of homesteads by existing homeowners and renters living in the area, the governing body of a municipality by ordinance may designate as a homestead preservation district an area in the municipality that is eligible under Section 373A.052.
(b)  The ordinance must describe the boundaries of the district and designate the powers that apply to the district under this chapter.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 711 (H.B. 3350), Sec. 1, eff. September 1, 2013.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter B. General Powers and Duties › Section 373A.052. Eligibility for Designation

Sec. 373A.052.  ELIGIBILITY FOR DESIGNATION.
(a)  To be designated as a district within a municipality described by Section 373A.003(a) under this subchapter, an area must be composed of census tracts forming a spatially compact area with:
(1)  fewer than 75,000 residents;
(2)   an overall poverty rate that is at least two times the poverty rate for the entire municipality; and
(3)  in each census tract within the area, a median family income that is less than 80 percent of the median family income for the entire municipality.
(b)  To be designated as a district within a municipality described by Section 373A.003(b) under this subchapter, an area must be composed of census tracts forming a spatially compact area contiguous to a central business district and with:
(1)  fewer than 75,000 residents;
(2)  a median family income that is less than $30,000 according to the last decennial census;  and
(3)  an overall poverty rate that is at least two times the poverty rate for the entire municipality.
(c)  An area that is designated as a district under this subchapter may retain its designation as a district regardless of whether the area continues to meet the eligibility criteria provided by this section, except that an area that does not elect to retain its designation as permitted by this subsection must meet all eligibility criteria to be considered for subsequent redesignation as a district.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1034 (H.B. 1742), Sec. 4, eff. September 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 3, eff. September 1, 2007.
Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 15.008, eff. September 1, 2009.
Acts 2013, 83rd Leg., R.S., Ch. 711 (H.B. 3350), Sec. 2, eff. September 1, 2013.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter B. General Powers and Duties › Section 373A.0521. Dissolution

Sec. 373A.0521.  DISSOLUTION.  (a)  The governing body of a municipality in which a district is located may adopt an ordinance dissolving the district.
(b)  On the adoption of the ordinance, the district is dissolved and the municipality succeeds to the property and assets of the district and assumes all bonds, debts, obligations, and liabilities of the district.
(c)  This section does not prohibit the municipality from continuing to operate programs established by the municipality, including programs established under Subchapter C, D, or E, in the area previously included in the district that are owned and operated by the municipality on the date the district is dissolved.
Added by Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 4, eff. September 1, 2007.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter B. General Powers and Duties › Section 373A.053. Inventory of Properties

Sec. 373A.053.  INVENTORY OF PROPERTIES.  (a)  The municipality and any county containing all or the greatest portion of the district shall each prepare on an annual basis an inventory of all land owned by the municipality or county, as appropriate, in the district and the current and projected uses of the land.
(b)  The municipality and the county shall prepare on an annual basis a list of parcels of land for which delinquent taxes have been owed for a period of two or more years.
(c)  The municipality and the county shall make the inventories prepared under Subsection (a) available to the public on request.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter B. General Powers and Duties › Section 373A.054. Additional Methods of Increasing the Supply of Affordable Housing

Sec. 373A.054.  ADDITIONAL METHODS OF INCREASING THE SUPPLY OF AFFORDABLE HOUSING.  A municipality that designates a district under Section 373A.051 may provide tax-exempt bond financing, offer density bonuses, or provide other incentives to increase the supply of affordable housing and maintain the affordability of existing housing for low-income and moderate-income families.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter C. Homestead Land Trust › Section 373A.101. Creation

Sec. 373A.101.  CREATION.  The governing body of a political subdivision by ordinance or order may create or designate under this subchapter one or more homestead land trusts, including a housing finance corporation established under Chapter 394 or a land trust operated by a community housing development organization certified by the municipality, to operate in an area that includes a district designated under Subchapter B.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 5, eff. September 1, 2007.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter C. Homestead Land Trust › Section 373A.102. Nature of Nonpublic Trust

Sec. 373A.102. NATURE OF NONPUBLIC TRUST.  A trust that is not created by the governing body of a political subdivision must be a nonprofit organization that is:
(1)  created to acquire and hold land for the benefit of developing and preserving long-term affordable housing in the district; and
(2)  exempt from federal income taxation under Section 501(a), Internal Revenue Code of 1986, by being certified as an exempt organization under Section 501(c)(3), Internal Revenue Code of 1986.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 6, eff. September 1, 2007.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter C. Homestead Land Trust › Section 373A.103. Purpose of Trust

Sec. 373A.103.  PURPOSE OF TRUST.  The purpose of a trust is to:
(1)  control local land use and reduce absentee ownership;
(2)  provide affordable housing for low-income and moderate-income residents in the community;
(3)  promote resident ownership and control of housing;
(4)  keep housing affordable for future residents; and
(5)  capture the value of public investment for long-term community benefit.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter C. Homestead Land Trust › Section 373A.104. Board of Directors

Sec. 373A.104.  BOARD OF DIRECTORS.  (a)  A trust shall be governed by a board of directors.
(b)   If a trust holds land that provides at least 100 housing units, at least one-third of the board members must reside in housing units located on land held by the trust.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch. 1175 (H.B. 470), Sec. 7, eff. September 1, 2007.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle A - Municipal Planning and Development › Chapter 373A - Homestead Preservation Districts and Reinvestment Zones › Subchapter C. Homestead Land Trust › Section 373A.105. Title to Land

Sec. 373A.105.  TITLE TO LAND.  (a)  A trust may retain title to land it acquires and may lease housing units located on the land or sell housing units located on the land under long-term ground leases, as provided by Section 373A.106.
(b)  A trust may not transfer title to any land owned by the trust without obtaining:
(1)  a unanimous vote of the board members of the trust;
(2)  approval by the municipality and county in which the land is located, as provided through a resolution of the governing bodies of the municipality and county adopted with the affirmative vote of four-fifths of the members following a public hearing; and
(3)  the provision by the board of the trust of advance notice to all persons who own or rent housing units located on land owned by the trust.
Added by Acts 2005, 79th Leg., Ch. 495 (H.B. 525), Sec. 1, eff. September 1, 2005.