Bill > HB3404

This bill establishes new regulations for mixed-use and multifamily residential development in certain Texas municipalities and counties with populations over 60,000 and 420,000, respectively. The bill defines mixed-use residential as developments where residential uses comprise at least 65% of the total square footage, and multifamily residential as sites with three or more dwelling units. The legislation requires municipalities and counties to allow mixed-use and multifamily residential developments in zones currently zoned for office, commercial, retail, warehouse, or mixed-use purposes without requiring additional approvals or land use changes. The bill restricts local governments from imposing overly restrictive regulations, such as limiting density to less than 36 units per acre, building height to less than 45 feet, or requiring more than one parking space per dwelling unit. For buildings being converted from commercial to residential use, the bill prohibits municipalities and counties from charging various fees, including permit fees, parkland dedication fees, and impact fees. The bill also provides a mechanism for individuals and nonprofit organizations to bring civil actions against municipalities or counties that violate these provisions, with potential damages and attorney's fees. Additionally, if the Attorney General determines a violation has occurred, the municipality or county may be restricted from adopting a tax rate higher than its no-new-revenue tax rate for three subsequent tax years. The bill is set to take effect on September 1, 2025, and applies to development projects and building conversions initiated on or after that date.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB3404