S.B. No. 2251 proposes the creation of the Montgomery County Municipal Utility District No. 259, which will have the authority to issue bonds, impose fees, and taxes, and will be granted a limited power of eminent domain. The bill outlines the governance structure, requiring a board of five elected directors, and establishes the process for confirming the district's creation through an election. It mandates that the temporary directors must obtain consent from municipalities within the district's jurisdiction before holding elections. The district is intended to serve public purposes, including the construction and maintenance of roads and related improvements.
Additionally, the bill includes provisions for the district's financial operations, allowing it to issue bonds and impose taxes, with specific requirements for voter approval for certain actions, such as imposing ad valorem taxes or financing road projects. Notably, if the bill does not receive a two-thirds vote in both houses, it will include a provision that prohibits the district from exercising the power of eminent domain. The act is set to take effect on September 1, 2025.
Statutes affected: Introduced: ()