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TexasHB 567989th Legislature Regular SessionHouseWALLET

Relating to the creation of the Hills of Walnut Creek Municipal Utility District of Parker County; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Sponsored By: Charlie Geren, Brent Hagenbuch (Republican)

Became Law

HILLS OF WALNUT CREEK MUNICIPAL UTILITY DISTRICT OF PARKER COUNTYPARKER COUNTYSpecial Districts & Authorities--Municipal Utility DistrictsSpecial Districts & Authorities--Water & Utility

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 2 benefits, 2 costs, 2 mixed.

District cannot take private land

The district cannot use eminent domain to take private property. This restriction applies because the law did not receive two-thirds support in both legislative chambers. The House recorded 81 votes in favor, below the required threshold. The restriction took effect September 1, 2025.

District gains road and drainage powers

The district can design, build, finance, improve, operate, and maintain paved or gravel roads and related storm drainage. It can transfer completed roads to Texas, a county, or a municipality for operation and maintenance. Projects must follow municipal construction, zoning, and subdivision rules within city limits or a city's planning jurisdiction. Outside those areas, applicable county standards and requirements apply. The Texas Transportation Commission must approve plans and specifications for roads the state will operate and maintain.

District contracts can bring property taxes

The district can impose a tax, separate from its upkeep tax, to make payments under a contract. A majority of district voters voting at a special election must first approve the contract's terms. Those terms can let the board change the contract without another vote, affecting obligations paid through taxes. The law sets no specific rate or household tax amount.

District voters can approve upkeep taxes

District voters can authorize a property tax to pay for operations and maintenance. The board sets the rate, but it cannot exceed the rate voters approved. Taxable property owners pay this tax when the district imposes it. The law sets no specific rate or household tax amount.

District borrowing can require ongoing taxes

The district can borrow for projects using property taxes, impact fees, revenue, contract payments, grants, or other district money. Bonds backed by other revenue or qualifying contract payments need no election; property taxes and property-tax-backed bonds require voter approval. Property-tax-backed road bonds need approval from two-thirds of voters voting at an election held for that purpose. Total property-tax-backed road debt principal cannot exceed 25% of the assessed value of real property in the district. For any bonds backed wholly or partly by property taxes, an annual tax must continue until repayment, without a rate or amount cap.

New utility district in Parker County

Effective September 1, 2025, the law creates the Hills of Walnut Creek Municipal Utility District, initially covering about 652.974 acres. It provides utility service powers, along with taxing, fee, and borrowing authority; districts created by division inherit its powers and duties. Each municipality overlapping the district, including through its planning jurisdiction, must consent before voter confirmation or land inclusion. Five elected directors serve staggered four-year terms. The Texas Commission on Environmental Quality can appoint temporary directors until permanent directors are elected or four years pass, whichever comes first, and can appoint successors afterward.

Sponsors & Cosponsors

Sponsors

  • Charlie Geren

    House

  • Brent Hagenbuch

    Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 13 • No: 0

Senate vote • 5/28/2025

Record vote

Yes: 0 • No: 0

Senate vote • 5/28/2025

Record vote

Yes: 0 • No: 0

House vote • 5/10/2025

Record vote

Yes: 0 • No: 0

House vote • Unknown

Committee vote: Land & Resource Management

Yes: 7 • No: 0

Senate vote • Unknown

Committee vote: Local Government

Yes: 6 • No: 0 • Other: 1

Actions Timeline

  1. Effective on 9/1/25

    6/20/2025House

  2. Filed without the Governor's signature

    6/20/2025House

  3. Sent to the Governor

    5/31/2025House

  4. Signed in the Senate

    5/31/2025Senate

  5. Signed in the House

    5/30/2025House

  6. Reported enrolled

    5/30/2025House

  7. Senate passage reported

    5/29/2025House

  8. Record vote

    5/28/2025Senate

  9. Passed

    5/28/2025Senate

  10. Read 3rd time

    5/28/2025Senate

  11. Record vote

    5/28/2025Senate

  12. Three day rule suspended

    5/28/2025Senate

  13. Vote recorded in Journal

    5/28/2025Senate

  14. Read 2nd time & passed to 3rd reading

    5/28/2025Senate

  15. Laid before the Senate

    5/28/2025Senate

  16. Placed on local & uncontested calendar

    5/28/2025Senate

  17. Committee report printed and distributed

    5/22/2025Senate

  18. Recommended for local & uncontested calendar

    5/22/2025Senate

  19. Reported favorably w/o amendments

    5/22/2025Senate

  20. Vote taken in committee

    5/22/2025Senate

  21. Considered in public hearing

    5/22/2025Senate

  22. Scheduled for public hearing on . . .

    5/22/2025Senate

  23. Posting rule suspended

    5/22/2025Senate

  24. Referred to Local Government

    5/21/2025Senate

  25. Read first time

    5/21/2025Senate

Bill Text

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