Opinion and Fact-The Truth about County Authority

 

Everyone is entitled to their own opinion, but not their own facts.

 

In 2007, the elected leaders of 15 Hill County counties united to form a coalition to approach the Legislature with a request to expand the statutory authority of counties.  

The members of the Hill Country Coalition of Counties, representing their more than 524,000 residents, had common concerns over the negative effects of rapid growth in unincorporated areas of their counties.  The concerns were water availability, traffic, drainage, the environment and budgets.

 

In this election season, the subject of county authority for Kendall County has become a subject of conversation. Recent political ads bought in the Boerne Star have featured commentary within the framework of a bill described as H.B. 3265.

 

In order to encourage honest debate, with an eye toward fact based decision making and to provide for a better informed public, factual information is required.  As this issue will likely be included in future Legislatures, it is important an ongoing discussion of county authority be based on the facts.       

 

The basis for this information is the actual piece of legislation, H.B. No. 3265I, introduced by Representative Rose. After a public hearing and testimony to the County Affairs Committee, a substitute bill replaced the bill as it had originally been introduced. The substitute bill was C.C.H.B 3265 by Representative Coleman.

 

It was this bill that was sent to the Calendars Committee for scheduling to the floor of the House for a vote.  In this committee, the bill was tagged. This is a legislative privilege enjoyed only by Calendars Committee members to hold back a bill "for further study." It prevents a bill from ever being scheduled. As the legislative session ends, so does the life of a tagged bill. As a result, this bill died in committee before a vote was actually taken. 

 

The information provided to follow this introduction is displayed in the format as it was written and recorded on the website of the Texas Legislature On-Line. Sections of the language in H.B. No. 3265I are identified as “Original.” C.C.H.B. 3265 is identified as “Substitute”. 

 

After a comparison of language from the two bills side by side, the Facts are provided.

 

  • Fact:  The original bill defined the Hill Country counties to include 15 counties. The final bill included eight counties
  • Fact:  The original bill identified three separate types of infrastructure that could be affected by the authority provided by the bill. The final bill included one-roads.  
  •   Fact:  Both the original and final bills provided a mechanism for a County to recover the costs associated with development. 
  • Fact:  The original bill provided that density of lots could be set to a minimum size.  The final bill provided for the density of lots to be managed by establishing an average lot size within the development. 
  • Fact:  Both the original and final bills prohibited regulation of the use of any building or property for business, industrial, residential, or other purpose; or a plat or subdivision in an adjoining county by a commissioner’s court.
  • Fact: Both the original and final bills required approval by the majority of voters to allow a county commissioner’s court to use the regulatory authority as defined in the bill.
  • Fact:  The final bill dropped an option for county commissioner’s court to divide unincorporated areas into districts. The final bill added the requirement for commissioner’s court to conduct a public hearing before adopting a regulation.

 

Original:

 

SUBCHAPTER M. DEVELOPMENT REGULATIONS IN HILL COUNTRY COUNTIES

       Sec. 231.281.  DEFINITIONS. In this subchapter:

             (1)  "Hill Country county" means Bandera, Blanco,

Burnet, Comal, Edwards, Gillespie, Hays, Kendall, Kerr, Kimble,

Llano, Mason, Medina, Real, or Uvalde County.

 

Substitute:

 

SUBCHAPTER M. DEVELOPMENT REGULATIONS IN HILL COUNTRY COUNTIES

       Sec. 231.281.  DEFINITIONS. In this subchapter:

             (1)  "Hill Country county" means Bandera, Blanco,

Comal, Edwards, Gillespie, Hays, Kendall, or Medina County.

 

Facts:  The original bill defined the Hill Country counties to include 15 counties. The final bill included eight counties.   

 

Original:

 

             (2)  "Infrastructure" means any of the following

facilities:

                   (A)  water supply, treatment, and distribution

facilities;

                   (B)  wastewater collection and treatment

facilities;

                   (C)  storm water, drainage, and flood control

facilities; or

                   (D)  roadway facilities.

 

Substitute:

 

             (2)  "Infrastructure" means any roadway facility.

 

Facts:  The original bill identified three separate types of infrastructure that could be affected by the authority provided by the bill. The final bill included one-roads. 

 

Original:

 

             (3)  "Infrastructure cost recovery fee" means a fee

imposed by the county on the owner of new development to pay for or

recover costs of infrastructure improvements necessitated by and

attributable to the new development. The fee is assessed on a cost

per service unit basis.

 

Substitute:

 

             (3)  "Infrastructure cost recovery fee" means a fee

imposed by the county on the owner of new development to pay for or

recover costs of infrastructure improvements necessitated by and

attributable to the new development. The fee is assessed on a cost

per service unit basis.

 

Facts:  Both the original and final bills provided a mechanism for a County to recover the costs associated with development.  

 

Original:

 

             (1)  density of development as determined by minimum or

average lot size within a designated area;

 

Substitute:

 

             (1)  density of development as determined by average

lot size within a designated area;

 

Facts:  The original bill provided that density of lots could be set to a minimum size.  The final bill provided for the density of lots to be managed by establishing an average lot size within the development.   

 

Original:

 

       (c)  Unless otherwise authorized by state law, a

commissioners court may not regulate under this subchapter:

             (1)  the use of any building or property for business,

industrial, residential, or other purpose; or

             (2)  a plat or subdivision in an adjoining county.

 

Substitute:

 

       (c)  Unless otherwise authorized by state law, a

commissioners court may not regulate under this subchapter:

             (1)  the use of any building or property for business,

industrial, residential, or other purpose; or

             (2)  a plat or subdivision in an adjoining county.

 

Facts:  Both the original and final bills prohibited regulation of the use of any building or property for business, industrial, residential, or other purpose; or a plat or subdivision in an adjoining county by a commissioner’s court.

 

Original:

 

       Sec. 231.285.  ELECTION TO APPROVE REGULATORY AUTHORITY

REQUIRED. (a) Regulatory authority granted under Section 231.284

is not effective until it is approved by a majority of the county

residents voting in an election held under this section.

       (b)  County residents voting in an election held under this

section:

             (1)  may approve regulatory authority granted under

Section 231.284 in its entirety; or

             (2)  may approve specific regulatory authority granted

under Section 231.284 without approving other specific regulatory

authority granted under Section 231.284.

 

Substitute:

 

       Sec. 231.285.  ELECTION TO APPROVE REGULATORY AUTHORITY

REQUIRED. (a) Regulatory authority granted under Section 231.284

is not effective until it is approved by a majority of the county

residents voting in an election held under this section.

       (b)  County residents voting in an election held under this

section:

             (1)  may approve regulatory authority granted under

Section 231.284 in its entirety; or

             (2)  may approve specific regulatory authority granted

under Section 231.284 without approving other specific regulatory

authority granted under Section 231.284.

 

Facts: Both the original and final bills required approval by the majority of voters to allow a county commissioner’s court to use the regulatory authority as defined in the bill.

 

Original:

 

       Sec. 231.287.  DISTRICTS. (a) The commissioners court of a

Hill Country county may divide the unincorporated area of the

county into districts of a number, shape, and size the

commissioners court considers best for exercising the authority

granted by this subchapter.

       (b)  Development regulations may vary from district to

district.

 

Substitute:

 

       Sec. 231.287.  PROCEDURE GOVERNING ADOPTION OF REGULATIONS.

(a) A development regulation adopted under this subchapter is not

effective until the regulation is adopted by the commissioners

court of the county after a public hearing. Before the 15th day

before the date of the hearing, the commissioners court must

publish notice of the hearing in a newspaper of general circulation

in the county.

 

Facts:  The final bill dropped an option for county commissioner’s court to divide unincorporated areas into districts. The final bill added the requirement for commissioner’s court to conduct a public hearing before adopting a regulation.

 

 

 

 

 

 

BILL ANALYSIS

 

.

.

.

C.S.H.B. 3265

By: Rose

County Affairs

Committee Report (Substituted)

.

.

.

BACKGROUND AND PURPOSE

 

The Texas Hill Country region is recognized nationally as a major tourist destination, a favorite retirement location, and a perfect place to raise a family.  Its population is expected to nearly double from the 2000 census population of 2.6 million to 4.3 million by 2030.  Already, in 2007, the population was 3.1 million, a 65.4 percent increase.  Economic prosperity has come with an increased need for community services and infrastructure, including police, sheriff, and fire protection, emergency medical services, schools, roads, water, and wastewater.

 

Today, these communities and their local governments lack the tools they need to be able to plan and manage growth in order to sustain future economic vitality and to protect property values and the Hill Country way of life.  Because much of this region's undeveloped lands are not within incorporated cities or towns, county governments—limited to the powers of road building and permitting—are the only entities with the territorial breadth and jurisdiction suitable for actively and rationally managing growth within the Texas Hill Country. 

 

In 2007, a group of counties formed the Hill Country county coalition with the purpose of studying and building consensus on what limited county powers were needed to better plan and prepare for the future.  Over the past two years, these local government leaders have met to discuss what authorities are needed to better balance rapid population growth with finite natural resources and lagging infrastructure. 

 

C.S.H.B. 3265 grants a commissioners court of a Hill Country county the authority to regulate land development in an unincorporated area of the county.

RULEMAKING AUTHORITY

 

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

 

C.S.H.B. 3265 amends the Local Government Code to authorize the commissioners court of a Hill Country county by order to adopt land development regulations in the unincorporated area of the Hill Country county. The bill prohibits a commissioners court from regulating the use of any building or property for business, industrial, residential, or other purpose, or a plat or subdivision in an adjoining county, unless otherwise authorized by state law. The bill defines "Hill Country county" to mean Bandera, Blanco, Comal, Edwards, Gillespie, Hays, Kendall, or Medina County. 

 

C.S.H.B. 3265 sets forth provisions for general development regulations, the election to approve regulatory authority, compliance with county and municipal plans, the procedure governing adoption of regulations, the authority to appoint a development commission, special exceptions to development regulations, cooperation with municipalities, conflict with other laws, infrastructure cost recovery fees, procedures for assessing infrastructure cost recovery fees in general, and the requirement for certification of compliance. 

 

C.S.H.B. 3265 makes it a misdemeanor offense punishable by fine of not less than $500 or more than $1,000 to violate provisions of this bill or an order or development regulation adopted in accordance with this bill and provides that each day a violation occurs constitutes a separate offense. The bill authorizes the commissioners court to adopt orders to enforce these provisions or an order or development regulation. The bill provides that if a regulation adopted in accordance with this bill imposes higher standards than those required under another statute or local order or regulation, the regulation adopted under this subchapter controls in the area subject to regulation, and if the other statute or local order or regulation imposes higher standards, that statute, order, or regulation controls.

 

C.S.H.B. 3265 defines "infrastructure," "infrastructure cost recovery fee," "new development," and "service unit" and makes conforming changes to the Local Government Code. The bill provides legislative findings and purpose that Hill Country counties including the areas surrounding specified lakes, rivers, tributaries, creeks, and springs are for recreational and tourism purposes and are critical to the bays and estuaries in the Gulf of Mexico, and that the orderly development of the Hill Country counties requires adequate development regulations.

 

EFFECTIVE DATE

 

September 1, 2009.

COMPARISON OF ORIGINAL AND SUBSTITUTE

C.S.H.B. 3265 differs from the original by removing certain counties from the definition of "Hill Country county," by removing certain facilities from the definition of "infrastructure," and by removing a specified activity that increases the number of service units from the definition of "new development." The substitute removes from the original a minimum lot size relating to a determination of development density. The substitute removes from the original provisions relating to a petition to request an election to approve a grant of regulatory authority. The substitute removes from the original authority granted to a commissioners court to divide unincorporated areas into districts. The substitute differs from the original by inserting qualifying statements to provisions relating to an infrastructure cost recovery fee that reflect that the fee is imposed to pay for or recover the costs of constructing, acquiring, or expanding infrastructure. 

 

 

 

 

 

 

LEGISLATIVE BUDGET BOARD

Austin, Texas

 

FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION

 

Revision 1

 

 

April 24, 2009

 

 

TO:

Honorable Garnet Coleman, Chair, House Committee on County Affairs

 

FROM:

John S. O'Brien, Director, Legislative Budget Board

 

IN RE:

HB3265 by Rose (Relating to granting Hill Country counties regulatory authority and the authority to impose certain development fees; providing penalties.), Committee Report 1st House, Substituted

 

No significant fiscal implication to the State is anticipated.

 

The bill would amend Chapter 231, Local Government Code, by adding Subchapter M to authorize certain counties to by order adopt land development regulations in the unincorporated area of the county. The bill stipulates general regulations and procedures. Included in the procedures would be holding an election to approve regulatory authority; authority to appoint a development commission to assist in implementing and enforcing regulations; and imposing an infrastructure cost recovery fee, but only after an infrastructure development plan is prepared. The commissioners court of any of the affected counties would be required to hold a public hearing to consider the infrastructure improvements and infrastructure cost recovery fee, and would be required to post notice of the hearing and send written notice by certified mail to the owner of the new development for which a fee is proposed.

A violation of orders adopted to enforce development regulation would be a misdemeanor offense, punishable by a fine of not less than $500 and not more than $1,000.

An applicable county that imposes an infrastructure improvement cost recovery fee would be required to annually submit a written certification to the attorney general, verifying compliance with the subchapter. A county that fails to submit a certification would be liable to the state for a civil penalty in an amount equal to 10 percent of the amount of the fee assessed in that fiscal year. A penalty collected would be deposited to the Housing Trust Fund.

The Office of the Attorney General anticipates any additional work resulting from the passage of the bill could be reasonably absorbed with current resources.

 

Local Government Impact

 

The Comptroller of Public Accounts contacted three counties in the Hill Country for the purpose of this analysis: Blanco, Hays, and Bandera.

The Blanco County Judge and the Bandera County Judge estimate that there would be no negative fiscal impact to their respective counties because the bill would not require actions, but only provide authorization.

Working through the County Auditor's Office, Hays County estimates that there would be no negative fiscal impact to the county if the commissioner's court chose not to adopt land development regulations. If the commissioners court chooses to adopt land development regulations and those regulations are approved by the voters, then start-up expenses would be $310,000 for salaries, office equipment, a building, vehicles, and consultants. Hays County would have to hire a consulting firm to do a traffic study and infrastructure development plan. Additionally, the county may need the assistance of a special counsel to get all 1,445 interlocal agreements in place prior to adoption. Hays County estimates a $400 expense for countywide notification of the development regulations. Annual expenditures for fiscal years 2010-2014 are estimated to be $640,000 for salaries, $256,000 for benefits, $30,000 for operating expenses, $50,000 for furnishings, and $150,000 for consultants. Hays County would create up to four positions: program specialist (2) and administrative assistant (2). Annual salaries for these new positions are estimated at $35,000-$45,000 for the program specialist and $24,000-$28,000 for the administrative assistant. It is possible that the county could generate income from fees and/or costs assessed; however no figures were provided by the County Auditor's Office.

The fiscal impact would vary by county and would depend on to what extent provisions are implemented.

 

Source Agencies:

302 Office of the Attorney General, 304 Comptroller of Public Accounts

 

LBB Staff:

JOB, DB

 

 

.