All Roll Calls
Yes: 161 • No: 0
TexasHB 565289th Legislature Regular SessionHouseWALLET
Relating to the creation of the Montgomery County Municipal Utility District No. 258; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.
Sponsored By: Creighton, Will Metcalf
Became Law
MONTGOMERY COUNTY MUNICIPAL UTILITY DISTRICT NO. 258Special Districts & Authorities--Municipal Utility DistrictsSpecial Districts & Authorities--Water & Utility
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Bill Overview
Analyzed Economic Effects
5 provisions identified: 2 benefits, 0 costs, 3 mixed.
District borrowing brings taxes and safeguards
District debt can use property taxes, impact fees, revenues, contract payments, grants, or other district money. Debt backed by non-property-tax revenue or specified contract payments needs no election; property taxes and tax-backed bonds need voter approval. Tax-backed bonds require an annual property tax, without a rate or amount limit, while any remain unpaid. Tax-backed road bonds require approval from two-thirds of district voters voting in the election. At issuance, total tax-backed road debt cannot exceed 25% of the district’s assessed real property value.
Property owners face voter-approved operating taxes
The district can tax taxable property to pay operating and maintenance costs only after district voters approve it. The board sets the rate, but cannot exceed the rate voters approve. The law sets no specific tax rate or household bill.
Property taxes can fund district contracts
The district can impose a tax separate from its operating tax to pay contract costs. Before imposing it, a majority of district voters voting at an election must approve the contract terms. The board can change the contract without another vote only when the approved contract allows it. The law sets no tax rate or household amount.
District gains utility and road powers
The district can provide utility services and build, finance, maintain, or transfer roads and related storm drains. Road projects must meet municipal construction and land-use rules within city limits or the city’s outside planning area. County rules apply outside those areas. The Texas Transportation Commission must approve plans for roads the state will operate and maintain. A new district formed by dividing this district under state law receives the same powers and duties.
New utility district gets local oversight
The law creates Montgomery County Municipal Utility District No. 258, with five elected directors serving staggered four-year terms. Every municipality covering district land, including its area outside city limits, must consent before the confirmation and permanent-director election. The district must follow applicable municipal consent requirements. Owners holding a majority of assessed property value can petition for five temporary directors. They serve until permanent directors are elected or the law’s fourth anniversary; successors can be appointed if needed.
Sponsors & Cosponsors
Sponsors
Creighton
Affiliation unavailable
Will Metcalf
House
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
Senate vote • 5/28/2025
Record vote
Yes: 0 • No: 0
Senate vote • 5/28/2025
Record vote
Yes: 0 • No: 0
House vote • 5/7/2025
Record vote
Yes: 148 • No: 0
Senate vote • Unknown
Committee vote: Local Government
Yes: 6 • No: 0 • Other: 1
House vote • Unknown
Committee vote: Land & Resource Management
Yes: 7 • No: 0
Actions Timeline
Effective immediately
6/20/2025HouseFiled without the Governor's signature
6/20/2025HouseSent to the Governor
5/31/2025HouseSigned in the Senate
5/31/2025SenateSigned in the House
5/30/2025HouseReported enrolled
5/30/2025HouseSenate passage reported
5/29/2025HouseRecord vote
5/28/2025SenatePassed
5/28/2025SenateRead 3rd time
5/28/2025SenateRecord vote
5/28/2025SenateThree day rule suspended
5/28/2025SenateVote recorded in Journal
5/28/2025SenateRead 2nd time & passed to 3rd reading
5/28/2025SenateLaid before the Senate
5/28/2025SenatePlaced on local & uncontested calendar
5/28/2025SenateCommittee report printed and distributed
5/16/2025SenateRecommended for local & uncontested calendar
5/16/2025SenateReported favorably w/o amendments
5/16/2025SenateVote taken in committee
5/15/2025SenateConsidered in public hearing
5/15/2025SenateScheduled for public hearing on . . .
5/15/2025SenateReferred to Local Government
5/9/2025SenateRead first time
5/9/2025SenateReceived from the House
5/8/2025Senate
Bill Text
Engrossed
Enrolled
House Committee Report
Introduced
Senate Committee Report
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