HBA-CBW S.B. 980 77(R) BILL ANALYSIS Office of House Bill AnalysisS.B. 980 By: Carona Land & Resource Management 5/2/2001 Engrossed BACKGROUND AND PURPOSE Under current law, municipalities are not required to hold public hearings or provide notice before adopting a moratorium ordinance. Such an ordinance is imposed by the city council of a municipality and bans property development, which may cause property values to increase and housing construction to slow down. Senate Bill 980 prohibits a municipality from adopting a moratorium on property development affecting only residential property unless the municipality complies with notice and hearing procedures and makes written findings providing justification for the moratorium. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS Senate Bill 980 amends the Local Government Code to prohibit a municipality from adopting a moratorium on property development affecting only residential property unless the municipality complies with notice and hearing procedures and makes written findings providing justification for the moratorium. The bill sets forth procedures regarding notice, hearings, and written findings. The bill provides that a moratorium expires on the 120th day after the date the moratorium is adopted unless the municipality extends the moratorium under specified conditions. The bill sets forth provisions allowing a permit applicant to apply for a waiver from a moratorium. The bill provides that an adopted moratorium does not affect the rights acquired under provisions regarding the issuance of local permits or common law. The bill prohibits a moratorium from being placed on new development for the purpose of awaiting the completion of all or any part of the process necessary to develop, adopt, or update land use assumptions or a capital improvements plan. EFFECTIVE DATE On passage, or if the Act does not receive the necessary vote, the Act takes effect September 1, 2001.