H.B. No. 5656 establishes the Fort Bend County Municipal Utility District No. 263, granting it limited powers such as the authority to issue bonds and impose assessments, fees, and taxes. The bill introduces Chapter 8018A to the Special District Local Laws Code, detailing the governance structure of the district, which will be overseen by a board of five elected directors, with temporary directors appointed until elections are held. It also outlines the requirements for municipal consent prior to elections confirming the district's creation and specifies the district's powers, including the design, construction, and maintenance of road projects.

A key provision of the bill is the insertion of a new section, Sec. 8018A.0307, which explicitly states that the district may not exercise the power of eminent domain, clarifying the limitations on its authority regarding property acquisition. The bill describes the initial territory of the district, which includes several tracts of land totaling over 1,600 acres, and confirms that all necessary legal notices and requirements for its passage have been met. The legislation will take effect immediately upon receiving a two-thirds vote from both houses; otherwise, it will become effective on September 1, 2025.

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