Bill Text: TX SB1786 | 2023-2024 | 88th Legislature | Introduced

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Bill Title: Relating to approval procedures for property development review by a municipality.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2023-04-03 - Left pending in committee [SB1786 Detail]

Download: Texas-2023-SB1786-Introduced.html

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88R2894 SCL-D
By: Bettencourt S.B. No. 1786

A BILL TO BE ENTITLED
AN ACT
relating to approval procedures for property development review by
a municipality.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 212.0065(c), Local Government Code, is
amended to read as follows:
(c) The person or persons shall not disapprove the plat and
shall be required to refer any plat which the person or persons
refuse to approve to the municipal authority responsible for
approving plats within the time period specified in Section 212.023
[212.009].
SECTION 2. Chapter 212, Local Government Code, is amended
by adding Subchapter A-1 to read as follows:
SUBCHAPTER A-1. APPROVAL PROCEDURES FOR PROPERTY DEVELOPMENT
REVIEW
Sec. 212.021. DEFINITIONS. In this subchapter:
(1) "Development application" means an application
made to a municipal authority for property development review.
(2) "Development inspection" means the inspection of
an improvement to land required to be conducted as part of a project
to develop the land or construct or improve an improvement to the
land.
(3) "Development permit" means a permit required to be
obtained to develop land or construct or improve an improvement to
land.
(4) "Municipal authority" means the municipal
authority responsible for conducting a property development review
under law.
(5) "Plan" and "plat" have the meanings assigned by
Section 212.001.
(6) "Property development review" means the process of
granting municipal approval to subdivide land, develop land, or
construct or improve an improvement to land. The term includes the
review of a development application.
Sec. 212.028. DELEGATION OF APPROVAL RESPONSIBILITY TO
THIRD-PARTY REVIEWER. (a) Except as provided by Subsection (b),
the appropriate municipal authority may delegate to a third-party
reviewer the ability to approve a development application or
conduct a development inspection.
(b) If a municipality fails to complete at least 80 percent
of the total number of development applications and requests for
development inspections the municipality receives in a calendar
year in accordance with the deadlines prescribed by this subchapter
for two consecutive years, the governing body of the municipality
must delegate to third-party reviewers the ability to approve all
development applications and conduct all development inspections
for the five calendar years following that second consecutive year.
(c) A third-party reviewer shall process a development
application or complete a development inspection in accordance with
the deadlines and other approval procedures prescribed by this
subchapter as if the reviewer is the municipal authority.
(d) A municipality may audit the work of a third-party
reviewer with a third-party auditor. The auditor must be an
architect, engineer, or other appropriate professional who is
licensed, certified, or regulated by this state.
(e) A development application or development inspection
that is begun by a third-party reviewer must be completed by the
reviewer regardless of whether the governing body of the
municipality elects to discontinue delegation authorized by
Subsection (a) or the mandatory period of delegation prescribed by
Subsection (b) expires.
Sec. 212.029. THIRD-PARTY AUDITOR TRAINING. (a) The Texas
Department of Housing and Community Affairs, in coordination with
the Texas Department of Licensing and Regulation and other
appropriate state agencies, shall:
(1) develop requirements for certifying, insuring,
and auditing third-party reviewers; and
(2) develop and offer training programs for
third-party reviewers that establish best practices.
(b) The Texas Department of Housing and Community Affairs
may adopt rules necessary to implement this section.
SECTION 3. Sections 212.0085, 212.009, 212.0091, 212.0093,
212.0095, 212.0096, 212.0097, and 212.0099, Local Government Code,
are transferred to Subchapter A-1, Chapter 212, Local Government
Code, as added by this Act, redesignated as Sections 212.022,
212.023, 212.024, 212.025, 212.026, 212.027, 212.030, and 212.031,
respectively, and amended to read as follows:
Sec. 212.022 [212.0085]. [APPROVAL PROCEDURE:]
APPLICABILITY OF SUBCHAPTER. The approval procedures under this
subchapter apply to a municipality regardless of whether the
municipality has entered into an interlocal agreement, including an
interlocal agreement between a municipality and county under
Section 242.001(d).
Sec. 212.023 [212.009]. [APPROVAL PROCEDURE:] INITIAL
APPROVAL. (a) A [The] municipal authority [responsible for
approving plats] shall approve, approve with conditions, or
disapprove a plan or plat, approve or disapprove a development
permit, or complete a development inspection not later than the
30th day [within 30 days] after the date the plan, [or] plat, or
permit application is filed or the inspection is requested. A plan,
[or] plat, or development permit is approved by the municipal
authority unless it is disapproved within that period and in
accordance with this subchapter [Section 212.0091]. A development
inspection requirement is waived unless the inspection is completed
within that period and in accordance with this subchapter.
(b) If an ordinance requires that a plan, [or] plat, or
development permit be approved by the governing body of the
municipality in addition to any other municipal authority [the
planning commission], the governing body shall approve, approve
with conditions, or disapprove the plan or plat, or approve or
disapprove the permit, as applicable, not later than the 30th day
[within 30 days] after the date the plan, [or] plat, or permit is
approved by the other authority [planning commission] or is
approved by the inaction of that authority [the commission]. A
plan, [or] plat, or development permit is approved by the governing
body unless it is disapproved within that period and in accordance
with this subchapter [Section 212.0091].
(c) [(b-1)] Notwithstanding Subsection (a) or (b), if a
groundwater availability certification is required under Section
212.0101, the 30-day period described by those subsections to
approve, approve with conditions, or disapprove a plat begins on
the date the applicant submits the groundwater availability
certification to the applicable municipal authority [responsible
for approving plats or the governing body of the municipality, as
applicable].
(d) [(b-2)] Notwithstanding Subsection (a) or (b), the
parties may extend the 30-day period described by those subsections
for a period not to exceed 30 days if:
(1) the applicant requests the extension in writing to
the applicable municipal authority [responsible for approving
plats or the governing body of the municipality, as applicable];
and
(2) the [municipal] authority [or governing body, as
applicable,] approves the extension request.
(e) [(c)] If a plan or plat is approved, the municipal
authority giving the approval shall endorse the plan or plat with a
certificate indicating the approval. The certificate must be
signed by:
(1) the authority's presiding officer and attested by
the authority's secretary; or
(2) a majority of the members of the authority.
(f) [(d)] If the municipal authority [responsible for
approving plats] fails to approve, approve with conditions, or
disapprove a plan or plat within the prescribed period, the
authority on the applicant's request shall issue a certificate
stating the date the plan or plat was filed and that the authority
failed to act on the plan or plat within the period. The
certificate is effective in place of the endorsement required by
Subsection (e) [(c)].
(g) [(e)] The municipal authority [responsible for
approving plats] shall maintain a record of each development
application and request for a development inspection made to the
authority and the authority's action taken on it. On request of an
owner of an affected tract, the authority shall certify the reasons
for the action taken on an application.
Sec. 212.024 [212.0091]. [APPROVAL PROCEDURE:]
CONDITIONAL APPROVAL OR DISAPPROVAL REQUIREMENTS. (a) A municipal
authority [or governing body] that conditionally approves or
disapproves a plan or plat, or disapproves a development permit,
under this subchapter shall provide the applicant a written
statement of the conditions for the conditional approval or reasons
for disapproval, as applicable, that clearly articulates each
specific condition for the conditional approval or reason for
disapproval.
(b) Each condition or reason specified in the written
statement:
(1) must:
(A) be directly related to the requirements
prescribed by law for the applicable development project [under
this subchapter]; and
(B) include a citation to the law, including a
statute or municipal ordinance, that is the basis for the
conditional approval or disapproval, if applicable; and
(2) may not be arbitrary.
Sec. 212.025 [212.0093]. [APPROVAL PROCEDURE:] APPLICANT
RESPONSE TO CONDITIONAL APPROVAL OR DISAPPROVAL. After the
conditional approval or disapproval of a plan or plat, or
disapproval of a development permit, under Section 212.024
[212.0091], the applicant may submit to the municipal authority [or
governing body] that conditionally approved or disapproved the
plan, [or] plat, or permit a written response that satisfies each
condition for the conditional approval or remedies each reason for
disapproval provided. The municipal authority [or governing body]
may not establish a deadline for an applicant to submit the
response.
Sec. 212.026 [212.0095]. [APPROVAL PROCEDURE:] APPROVAL OR
DISAPPROVAL OF RESPONSE. (a) A municipal authority [or governing
body] that receives a response under Section 212.025 [212.0093]
shall determine whether to approve or disapprove the applicant's
previously conditionally approved or disapproved plan or plat, or
disapproved development permit, not later than the 15th day after
the date the response was submitted.
(b) A municipal authority [or governing body] that
conditionally approves or disapproves a plan or plat, or
disapproves a development permit, following the submission of a
response under Section 212.025 [212.0093]:
(1) must comply with Section 212.024 [212.0091]; and
(2) may disapprove the plan, [or] plat, or permit only
for a specific condition or reason provided to the applicant under
Section 212.024 [212.0091].
(c) A municipal authority [or governing body] that receives
a response under Section 212.025 [212.0093] shall approve a
previously conditionally approved or disapproved plan or plat, or
disapproved development permit, if the response adequately
addresses each condition of the conditional approval or each reason
for the disapproval.
(d) A previously conditionally approved or disapproved plan
or plat, or disapproved development permit, is approved if:
(1) the applicant filed a response that meets the
requirements of Subsection (c); and
(2) the municipal authority [or governing body] that
received the response does not disapprove the plan, [or] plat, or
permit on or before the date required by Subsection (a) and in
accordance with Section 212.024 [212.0091].
Sec. 212.027 [212.0096]. [APPROVAL PROCEDURE:]
ALTERNATIVE APPROVAL PROCESS. (a) Notwithstanding Sections
212.023 [212.009], 212.024 [212.0091], 212.025 [212.0093], and
212.026 [212.0095], an applicant may elect at any time to seek
approval for a plan, [or] plat, or development permit under an
alternative approval process adopted by a municipality if the
process allows for a shorter approval period than the approval
process described by Sections 212.023 [212.009], 212.024
[212.0091], 212.025 [212.0093], and 212.026 [212.0095].
(b) An applicant that elects to seek approval under the
alternative approval process described by Subsection (a) is not:
(1) required to satisfy the requirements of Sections
212.023 [212.009], 212.024 [212.0091], 212.025 [212.0093], and
212.026 [212.0095] before bringing an action challenging a
disapproval of a plan, [or] plat, or development permit under this
subchapter; and
(2) prejudiced in any manner in bringing the action
described by Subdivision (1), including satisfying a requirement to
exhaust any and all remedies.
Sec. 212.030 [212.0097]. [APPROVAL PROCEDURE:] WAIVER
PROHIBITED. A municipal authority [responsible for approving plats
or the governing body of a municipality] may not request or require
an applicant to waive a deadline or other approval procedure under
this subchapter.
Sec. 212.031 [212.0099]. JUDICIAL REVIEW OF DISAPPROVAL.
In a legal action challenging a disapproval of a plan, [or] plat, or
development permit under this subchapter, the municipality has the
burden of proving by clear and convincing evidence that the
disapproval meets the requirements of this subchapter or any
applicable case law. The court may not use a deferential standard.
SECTION 4. Section 212.0155(e), Local Government Code, is
amended to read as follows:
(e) The municipal authority may not approve the new plat
without adequate consideration of testimony and the record from the
public hearings and making the findings required by Subsection (k).
Not later than the 30th day after the date on which all proceedings
necessary for the public hearings have concluded, the municipal
authority shall take action on the application for the new plat.
Sections 212.023(a) [212.009(a)] and (b) do not apply to the
approval of plats under this section.
SECTION 5. Section 242.001(c), Local Government Code, is
amended to read as follows:
(c) Except as provided by Subsections (d)(3) and (4), a
municipality and a county may not both regulate subdivisions and
approve related permits in the extraterritorial jurisdiction of a
municipality after an agreement under Subsection (d) is executed.
The municipality and the county shall enter into a written
agreement that identifies the governmental entity authorized to
regulate subdivision plats and approve related permits in the
extraterritorial jurisdiction. For a municipality in existence on
September 1, 2001, the municipality and county shall enter into a
written agreement under this subsection on or before April 1, 2002.
For a municipality incorporated after September 1, 2001, the
municipality and county shall enter into a written agreement under
this subsection not later than the 120th day after the date the
municipality incorporates. On reaching an agreement, the
municipality and county shall certify that the agreement complies
with the requirements of this chapter. The municipality and the
county shall adopt the agreement by order, ordinance, or
resolution. The agreement must be amended by the municipality and
the county if necessary to take into account an expansion or
reduction in the extraterritorial jurisdiction of the
municipality. The municipality shall notify the county of any
expansion or reduction in the municipality's extraterritorial
jurisdiction. Any expansion or reduction in the municipality's
extraterritorial jurisdiction that affects property that is
subject to a preliminary or final plat, a plat application, or an
application for a related permit filed with the municipality or the
county or that was previously approved under Section 212.023
[212.009] or Chapter 232 does not affect any rights accrued under
Chapter 245. The approval of the plat, any permit, a plat
application, or an application for a related permit remains
effective as provided by Chapter 245 regardless of the change in
designation as extraterritorial jurisdiction of the municipality.
SECTION 6. Section 242.003(c), Local Government Code, is
amended to read as follows:
(c) The agreement must be amended by the county and the
municipality if necessary to take into account an expansion or
reduction in the extraterritorial jurisdiction of the
municipality. The municipality shall notify the county of any
expansion or reduction in the municipality's extraterritorial
jurisdiction. Any expansion or reduction in the municipality's
extraterritorial jurisdiction that affects property that is
subject to a preliminary or final plat, a plat application, or an
application for a related permit filed with the municipality or the
county or that was previously approved under Section 212.023
[212.009] or Chapter 232 does not affect any rights accrued under
Chapter 245. The approval of the plat, any permit, a plat
application, or an application for a related permit remains
effective as provided by Chapter 245 regardless of the change in
designation as extraterritorial jurisdiction of the municipality.
SECTION 7. Section 214.904, Local Government Code, is
repealed.
SECTION 8. The requirement that a municipality process a
certain percentage of development applications and development
inspections in a calendar year as prescribed by Section 212.028(b),
Local Government Code, as added by this Act, applies only to a
calendar year that begins on or after the effective date of this
Act.
SECTION 9. Not later than the effective date of this Act,
the Texas Department of Housing and Community Affairs shall comply
with the requirements of Section 212.029, Local Government Code, as
added by this Act.
SECTION 10. The changes in law made by this Act apply only
to a development application or request for a development
inspection, as those terms are defined by Section 212.021, Local
Government Code, as added by this Act, submitted on or after the
effective date of this Act.
SECTION 11. This Act takes effect January 1, 2024.