H.B. No. 5682 establishes the Colmena Ranch Municipal Management District No. 1 in Collin County, Texas, as a special district aimed at promoting economic development and enhancing public welfare through essential services such as water, wastewater, drainage, and recreational facilities. The district is designed to complement existing county services and has the authority to impose assessments and fees, issue bonds, and exercise limited eminent domain powers. Governance will be managed by a board of five elected directors serving staggered four-year terms, and the district may also create a nonprofit corporation to assist in project implementation. The bill specifies that provisions of Chapter 375 of the Local Government Code will apply unless otherwise stated. A significant provision of the bill is the introduction of a new section, Sec. 4019.0313. NO EMINENT DOMAIN POWER. The district may not exercise the power of eminent domain., which explicitly prohibits the district from taking private property for public use without the owner's consent, thereby protecting property rights. The bill also outlines the process for creating and managing new districts from existing ones, financial regulations, and the conditions under which the district can exercise its powers. It requires a two-thirds vote from both legislative houses for immediate effect, or it will take effect on September 1, 2025. The bill has passed both the House and Senate, reflecting a collaborative legislative effort.

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