Texas Local Government Code Title 12, Chapter 395 - Financing Capital Improvements Required By New Development In Municipalities, Counties, And Certain Other Local Governments

SUBCHAPTER A GENERAL PROVISIONS

SUBCHAPTER B AUTHORIZATION OF IMPACT FEE

• Texas Section 395.001 - Definitions
  In this chapter: (1) "Capital improvement" means any of the following facilities that have a life expectancy of three or more years and are owned...
• Texas Section 395.011 - Authorization Of Fee
  (a) Unless otherwise specifically authorized by state law or this chapter, a governmental entity or political subdivision may not enact or impose an impact fee....
• Texas Section 395.012 - Items Payable By Fee
  (a) An impact fee may be imposed only to pay the costs of constructing capital improvements or facility expansions, including and limited to the: (1)...
• Texas Section 395.013 - Items Not Payable By Fee
  Impact fees may not be adopted or used to pay for: (1) construction, acquisition, or expansion of public facilities or assets other than capital improvements...
• Texas Section 395.014 - Capital Improvements Plan
  (a) The political subdivision shall use qualified professionals to prepare the capital improvements plan and to calculate the impact fee. The capital improvements plan must...
• Texas Section 395.015 - Maximum Fee Per Service Unit
  (a) The impact fee per service unit may not exceed the amount determined by subtracting the amount in Section 395.014(a)(7) from the costs of the...
• Texas Section 395.016 - Time For Assessment And Collection Of Fee
  (a) This subsection applies only to impact fees adopted and land platted before June 20, 1987. For land that has been platted in accordance with...
• Texas Section 395.017 - Additional Fee Prohibited; Exception
  After assessment of the impact fees attributable to the new development or execution of an agreement for payment of impact fees, additional impact fees or...
• Texas Section 395.018 - Agreement With Owner Regarding Payment
  A political subdivision is authorized to enter into an agreement with the owner of a tract of land for which the plat has been recorded...
• Texas Section 395.019 - Collection Of Fees If Services Not Available
  Except for roadway facilities, impact fees may be assessed but may not be collected in areas where services are not currently available unless: (1) the...
• Texas Section 395.020 - Entitlement To Services
  Any new development for which an impact fee has been paid is entitled to the permanent use and benefit of the services for which the...
• Texas Section 395.021 - Authority Of Political Subdivisions To Spend Funds To Reduce Fees
  Political subdivisions may spend funds from any lawful source to pay for all or a part of the capital improvements or facility expansions to reduce...
• Texas Section 395.022 - Authority Of Political Subdivision To Pay Fees
  (a) Political subdivisions and other governmental entities may pay impact fees imposed under this chapter. (b) A school district is not required to pay impact...
• Texas Section 395.023 - Credits Against Roadway Facilities Fees
  Any construction of, contributions to, or dedications of off-site roadway facilities agreed to or required by a political subdivision as a condition of development approval...
• Texas Section 395.024 - Accounting For Fees And Interest
  (a) The order, ordinance, or resolution levying an impact fee must provide that all funds collected through the adoption of an impact fee shall be...

SUBCHAPTER C PROCEDURES FOR ADOPTION OF IMPACT FEE

• Texas Section 395.025 - Refunds
  (a) On the request of an owner of the property on which an impact fee has been paid, the political subdivision shall refund the impact...
• Texas Section 395.041 - Compliance With Procedures Required
  Except as otherwise provided by this chapter, a political subdivision must comply with this subchapter to levy an impact fee. Added by Acts 1989, 71st...
• Texas Section 395.0411 - Capital Improvements Plan
  The political subdivision shall provide for a capital improvements plan to be developed by qualified professionals using generally accepted engineering and planning practices in accordance...
• Texas Section 395.042 - Hearing On Land Use Assumptions And Capital Improvements Plan
  To impose an impact fee, a political subdivision must adopt an order, ordinance, or resolution establishing a public hearing date to consider the land use...
• Texas Section 395.043 - Information About Land Use Assumptions And Capital Improvements Plan Available To Public
  On or before the date of the first publication of the notice of the hearing on the land use assumptions and capital improvements plan, the...
• Texas Section 395.044 - Notice Of Hearing On Land Use Assumptions And Capital Improvements Plan
  (a) Before the 30th day before the date of the hearing on the land use assumptions and capital improvements plan, the political subdivision shall send...
• Texas Section 395.045 - Approval Of Land Use Assumptions And Capital Improvements Plan Required
  (a) After the public hearing on the land use assumptions and capital improvements plan, the political subdivision shall determine whether to adopt or reject an...
• Texas Section 395.0455 - Systemwide Land Use Assumptions
  (a) In lieu of adopting land use assumptions for each service area, a political subdivision may, except for storm water, drainage, flood control, and roadway...
• Texas Section 395.047 - Hearing On Impact Fee
  On adoption of the land use assumptions and capital improvements plan, the governing body shall adopt an order or resolution setting a public hearing to...
• Texas Section 395.049 - Notice Of Hearing On Impact Fee
  (a) Before the 30th day before the date of the hearing on the imposition of an impact fee, the political subdivision shall send a notice...
• Texas Section 395.050 - Advisory Committee Comments On Impact Fees
  The advisory committee created under Section 395.058 shall file its written comments on the proposed impact fees before the fifth business day before the date...
• Texas Section 395.051 - Approval Of Impact Fee Required
  (a) The political subdivision, within 30 days after the date of the public hearing on the imposition of an impact fee, shall approve or disapprove...
• Texas Section 395.052 - Periodic Update Of Land Use Assumptions And Capital Improvements Plan Required
  (a) A political subdivision imposing an impact fee shall update the land use assumptions and capital improvements plan at least every five years. The initial...
• Texas Section 395.053 - Hearing On Updated Land Use Assumptions And Capital Improvements Plan
  The governing body of the political subdivision shall, within 60 days after the date it receives the update of the land use assumptions and the...
• Texas Section 395.054 - Hearing On Amendments To Land Use Assumptions, Capital Improvements Plan, Or Impact Fee
  A public hearing must be held by the governing body of the political subdivision to discuss the proposed ordinance, order, or resolution amending land use...
• Texas Section 395.055 - Notice Of Hearing On Amendments To Land Use Assumptions, Capital Improvements Plan, Or Impact Fee
  (a) The notice and hearing procedures prescribed by Sections 395.044(a) and (b) apply to a hearing on the amendment of land use assumptions, a capital...
• Texas Section 395.056 - Advisory Committee Comments On Amendments
  The advisory committee created under Section 395.058 shall file its written comments on the proposed amendments to the land use assumptions, capital improvements plan, and...
• Texas Section 395.057 - Approval Of Amendments Required
  (a) The political subdivision, within 30 days after the date of the public hearing on the amendments, shall approve or disapprove the amendments of the...
• Texas Section 395.0575 - Determination That No Update Of Land Use Assumptions, Capital Improvements Plan Or Impact Fees Is Needed
  (a) If, at the time an update under Section 395.052 is required, the governing body determines that no change to the land use assumptions, capital...

SUBCHAPTER D OTHER PROVISIONS

• Texas Section 395.058 - Advisory Committee
  (a) On or before the date on which the order, ordinance, or resolution is adopted under Section 395.042, the political subdivision shall appoint a capital...
• Texas Section 395.071 - Duties To Be Performed Within Time Limits
  If the governing body of the political subdivision does not perform a duty imposed under this chapter within the prescribed period, a person who has...
• Texas Section 395.072 - Records Of Hearings
  A record must be made of any public hearing provided for by this chapter. The record shall be maintained and be made available for public...
• Texas Section 395.073 - Cumulative Effect Of State And Local Restrictions
  Any state or local restrictions that apply to the imposition of an impact fee in a political subdivision where an impact fee is proposed are...
• Texas Section 395.074 - Prior Impact Fees Replaced By Fees Under This Chapter
  An impact fee that is in place on June 20, 1987, must be replaced by an impact fee made under this chapter on or before...
• Texas Section 395.075 - No Effect On Taxes Or Other Charges
  This chapter does not prohibit, affect, or regulate any tax, fee, charge, or assessment specifically authorized by state law. Added by Acts 1989, 71st Leg.,...
• Texas Section 395.076 - Moratorium On Development Prohibited
  A moratorium may not be placed on new development for the purpose of awaiting the completion of all or any part of the process necessary...
• Texas Section 395.077 - Appeals
  (a) A person who has exhausted all administrative remedies within the political subdivision and who is aggrieved by a final decision is entitled to trial...
• Texas Section 395.078 - Substantial Compliance With Notice Requirements
  An impact fee may not be held invalid because the public notice requirements were not complied with if compliance was substantial and in good faith....
• Texas Section 395.079 - Impact Fee For Storm Water, Drainage, And Flood Control In Populous County
  (a) Any county that has a population of 3.3 million or more or that borders a county with a population of 3.3 million or more,...
• Texas Section 395.080 - Chapter Not Applicable To Certain Water-related Special Districts
  (a) This chapter does not apply to impact fees, charges, fees, assessments, or contributions: (1) paid by or charged to a district created under Article...
• Texas Section 395.081 - Fees For Adjoining Landowners In Certain Municipalities
  (a) This section applies only to a municipality with a population of 115,000 or less that constitutes more than three-fourths of the population of the...

Last modified: September 28, 2016