Texas HB5555 amends Water Code to limit tax rates for municipal utility districts and establish procedures for district creation and operation.

Texas HB5555 amends the Water Code to limit the ad valorem tax rate for municipal utility districts to $1.25 per $100 of assessed valuation. It mandates that districts be considered "developed" for tax hearing and election purposes, regardless of their actual development status. The bill also sets rules for the creation of new districts, requiring petitions to describe district boundaries and the nature of proposed work. It mandates that groundwater conservation districts review these petitions and submit opinions to the Texas Commission on Environmental Quality.

Texas HB5555 amends Water Code to limit tax rates for municipal utility districts and establish procedures for district creation and operation.

Texas HB5555 amends the Water Code to limit the ad valorem tax rate for municipal utility districts to $1.25 per $100 of assessed valuation. It mandates that districts be considered "developed" for tax hearing and election purposes, regardless of their actual development status. The bill also sets rules for the creation of new districts, requiring petitions to describe district boundaries and the nature of proposed work. It mandates that groundwater conservation districts review these petitions and submit opinions to the Texas Commission on Environmental Quality.