Bill > HB5514

This bill modifies the Local Government Code by adding a new section that restricts municipalities and counties from adopting regulations that would allow multifamily housing construction in areas that are predominantly composed of single-family residences. Specifically, the bill provides that if a local government attempts to permit multifamily housing in such an area, an aggrieved person can bring a legal action against the municipality or county seeking economic damages or an injunction to stop the construction. Additionally, if the person bringing the lawsuit prevails, they are entitled to recover triple the amount of damages (treble damages), and the bill explicitly waives governmental immunity for municipalities and counties in these types of legal actions. The new law would take effect on September 1, 2025, giving local governments and potential developers advance notice of these restrictions on multifamily housing development in primarily single-family neighborhoods.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB5514