HB 3097

84(R) - 2015
House Special Purpose Districts
House Special Purpose Districts
Personal Property
Property Rights
Special Districts

Vote Recommendation

  • Neutral
  • Neutral
  • Neutral
  • Neutral
  • Neutral


Dennis Paul

Bill Caption

Relating to the governance and operation of municipal management districts.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

HB 3097 would make changes to Chapter 375 (Municipal Management Districts) and Chapter 382 (Improvement Projects in Certain Counties) of the Local Government Code. This legislation would make changes to the petitioning requirements, under a municipal management district (MMD), for dissolving, holding a bond election, and creating a new MMD.   

Specifically, in order to create a new district, this legislation would require a majority of the landowners who would be subject to the MMD to petition the Texas Commission on Environmental Quality (TCEQ).  A petition to approve MMD projects would require the owners with a majority of the assessed property value in the district. This same threshold would be applied to the petitioning for bond elections in an MMD.  A petition to approve the dissolution of the MMD would now require the consent of owners with 2/3’s of the assessed property value in that district.

HB 3097 would also make requirement changes to the qualifications for a MMD director. A person would not have to be a resident of the district. Additionally, if the MMD has a population  of more than 1,000, the following would apply:

  • A person would have to be an owner of property in the district;
  • A person would have to be an owner of stock in a company on a property in the MMD;
  • A person would have to have an interest in a trust that owns property in the MMD; or
  • A person would have to be a representative of one of the persons in the above.   

Vote Recommendation Notes

The current governing framework for MMDs is complicated, and we recognize the need to clarify some portions of the law. We also recognize that there are some strong arguments for and against MMDs that should be thoroughly explored and openly debated. 

However, we remain neutral on HB 3097 because this particular bill neither affirms nor abridges our liberty principles.