All Roll Calls
Yes: 15 • No: 0
TexasSB 305689th Legislature Regular SessionSenateWALLET
Relating to the creation of the Alluvium Ranch Municipal Management District No. 1; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes; granting a limited power of eminent domain.
Sponsored By: Brent Hagenbuch (Republican), Shelley Luther
Became Law
ALLUVIUM RANCH MUNICIPAL MANAGEMENT DISTRICT NO. 1GRAYSON COUNTYSHERMAN, CITY OFSpecial Districts & Authorities--Miscellaneous
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Bill Overview
Analyzed Economic Effects
10 provisions identified: 3 benefits, 0 costs, 7 mixed.
District Land Takings Depend On Vote
The law grants the district eminent domain authority under Texas Water Code rules. A separate provision prohibits that power if the law did not receive two-thirds support from all elected members in each legislative chamber. The supplied descriptions conflict about that voting condition, and no final vote count is provided. They therefore do not establish whether the district currently has authority to take property.
District Property Taxes Need Voter Approval
The district must hold an election and get voter approval before imposing a property tax. An operations and maintenance tax requires approval from a majority of voters who vote in the election. The board sets the rate but cannot exceed the rate voters approved. The law itself sets no tax rate or household bill.
Property Assessments Bring Debt And Safeguards
The board can charge assessments only after a written project petition from owners representing more than half of assessable property value. That share uses the county's latest certified tax appraisal roll, not a count of owners. Assessments and related penalties, interest, collection costs, and reasonable attorney fees become personal debts and property liens. The liens rank ahead of other liens except county, school, and municipal property taxes, and can be enforced like tax liens. Corrections or deletions that raise no parcel's assessment need no notice or hearing.
District Can Add Services And Parking
The district can use available money for roads, water, drainage, recreation, and other authorized improvements and services. It can hire public or private partners and build, own, lease, or run parking facilities, including privately operated facilities. It can hire qualified law enforcement providers for a fee and pay dues to nonprofits supporting district purposes. Sherman and Grayson County cannot cut existing services merely because the district was created. District services must add to, not replace, services provided when the law took effect.
Residents Elect Board With Capped Pay
A five-member elected board governs the district, with staggered four-year terms. Initial positions 1–3 end June 1, 2027; positions 4–5 end June 1, 2029. The district may pay each director up to $150 per meeting and $7,200 per year. Directors also receive repayment for necessary, reasonable work expenses, with no stated dollar cap.
District Can Support Businesses And Development
The district can support local business activity through loans, grants of public money, staff, and services. It can also use economic development powers available to cities. Some or all district land is eligible for tax increment or tax abatement reinvestment zones. The law creates no zone, guarantees no tax break, and sets no program amounts or individual eligibility rules.
District Can Change Boundaries Or Split
The district can add or remove land through state Water Code procedures, subject to its special division rules. The board can split it into two or more districts only when no bond debt remains. A split can start with the board or a petition from owners representing a majority of assessed property value. New districts receive the original district's powers and duties but cannot extend beyond the territory described in the law. Each new district needs voter approval before imposing a maintenance tax.
New Alluvium Ranch District Covers Local Property
The law creates Alluvium Ranch Municipal Management District No. 1 in Grayson County near Sherman. Its legal land descriptions set which properties are included and include an approximate 337.35-acre total. The district can support local improvements and services. Property inside its boundaries can also face district assessments and voter-approved property taxes. Creation alone does not set any charge.
Owners Can Require District Closure
The board must dissolve the district after a written petition from owners representing at least two-thirds of assessable property value or surface area. The surface-area count excludes roads, public areas, utility rights-of-way, and property exempt from assessment. The board can also approve dissolution by majority vote. Bond debt must first be repaid or legally settled, and contractual payment obligations must be fully paid. District-owned, operated, or maintained facilities require a contract transferring their ownership, operation, or maintenance before closure.
District Borrowing Cannot Use Property Taxes
The district can borrow and issue bonds backed by assessments, impact fees, revenues, contract payments, grants, or other district money—not property taxes. Revenue-backed and contract-payment bonds need no election; contract-payment bonds must meet state Water Code requirements. Assessment-backed improvement bonds require a prior agreement for transfer to, or operation and maintenance by, a local government or retail utility provider. Before its first bond issue, the district must obtain each local government's consent required by general law. That consent must cover district creation and included land.
Sponsors & Cosponsors
Sponsors
Brent Hagenbuch
Republican • Senate
Shelley Luther
House
Cosponsors
There are no cosponsors for this bill.
Roll Call Votes
House vote • 5/28/2025
Record vote
Yes: 0 • No: 0
Senate vote • 5/14/2025
Record vote
Yes: 0 • No: 0
Senate vote • 5/14/2025
Record vote
Yes: 0 • No: 0
House vote • Unknown
Committee vote: Intergovernmental Affairs
Yes: 9 • No: 0 • Other: 1
Senate vote • Unknown
Committee vote: Local Government
Yes: 6 • No: 0 • Other: 1
Actions Timeline
See remarks for effective date
6/20/2025HouseFiled without the Governor's signature
6/20/2025HouseSent to the Governor
6/1/2025HouseSigned in the House
6/1/2025HouseSigned in the Senate
5/31/2025SenateReported enrolled
5/29/2025SenateHouse passage reported
5/29/2025SenateNonrecord vote recorded in Journal
5/28/2025HouseStatement(s) of vote recorded in Journal
5/28/2025HouseRecord vote (RV#3832)
5/28/2025HousePassed
5/28/2025HouseRead 3rd time
5/28/2025HouseNonrecord vote recorded in Journal
5/28/2025HousePassed to 3rd reading
5/28/2025HouseRead 2nd time
5/28/2025HousePlaced on Local, Consent, and Res. Calendar
5/28/2025HouseConsidered in Local & Consent Calendars
5/27/2025HouseComm. report sent to Local & Consent Calendar
5/25/2025HouseCommittee report distributed
5/23/2025HouseComte report filed with Committee Coordinator
5/23/2025HouseReported favorably w/o amendment(s)
5/21/2025HouseRecommended to be sent to Local & Consent
5/21/2025HouseConsidered in formal meeting
5/21/2025HouseRecommendations filed with the Senate
5/20/2025SenateReferred to Intergovernmental Affairs
5/16/2025House
Bill Text
Engrossed
Enrolled
House Committee Report
Introduced
Senate Committee Report
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