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Bill

HB 5199

Relating to the authority of a municipality or county to enact and impose an impact fee for a roadway facility or a safety improvement to a roadway facility.

89th Legislature (2025) Introduced by Erin Zwiener

Authorizes Texas municipalities and counties to charge developers impact fees for roadway facilities and safety improvements to fund infrastructure expansion in new development areas.

Referred to Land & Resource Management
#citygovernment--finance(i0062) #citygovernment--roads(i0066) #countygovernment--finance(i0097) #countygovernment--roads(i0099) #fees&othernontaxrevenue--local(i0361) #platting(s0285) #vehicles&traffic--general(i0865)
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WeVote Research Nonpartisan
Bill Summary · HB 5199

Legislative bill overview

HB 5199 grants municipalities and counties in Texas the authority to levy impact fees on new development projects to fund roadway facilities and safety improvements. The bill establishes the legal framework for local governments to collect these fees from developers as a condition of new construction or development approval.

Why is this important

Impact fees are a key funding mechanism for infrastructure in rapidly growing areas, allowing local governments to offset costs of roads and safety improvements necessitated by new development without relying solely on general tax revenue. This directly affects housing affordability, development costs, and how infrastructure expansion is financed in Texas communities experiencing growth.

Potential points of contention

  • Development cost impact: Opponents argue impact fees increase construction costs, which may be passed to homebuyers and renters, potentially reducing housing affordability in growing areas
  • Authority scope clarification: The bill's language regarding what constitutes a "safety improvement" and which fees are permissible may create legal ambiguity or disputes over municipalities' authority limits
  • Equity concerns: Impact fees can disproportionately affect affordable housing development and smaller developers who have less capital to absorb upfront fees compared to large development corporations

Compiled from official sources — confirm details with the bill’s official record.

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