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On October 15, 2014 both the House Land and Resource Management and House Urban Affairs held a joint hearing to take up the following interim charge:

Examine population growth in Texas cities and the impact the growth has had on housing, available land resources, city centers, businesses, and the state's economy. Evaluate Texas' preparedness to respond to future growth and ensure economic stability. (Joint charge with Land & Resource Management).

Alan McWilliams, Texas General Land Office

  • Overview of agricultural easements were provided
  • Easements among other things helps to conserve water quality/quantity, conserve native wildlife, and conserve rare or native plant species
  • Program not secured funds beyond CEAP period – no funding for the program past 2016

Dr. Lila Valencia, Texas State Demographer's Office

  • Reviewed handout given to the committee
  • Growth in major cities is occurring
  • Reviews migration and growth in Texas slides
  • Majority moving decisions is economic
  • Growth has placed some strain on housing units
  • More recent growth counties tend to have higher median housing values
    • Based on survey respondents – individual home owners
  • Mean travel  times slide shows strain of population growth having on traffic
  • Drought 2014 slide provides estimation of additional strain of water supply on the state
  • No indication that growth will stabilization – all projections, even with zero migration, assume population in Texas will continue to grow
  • Counties changing the fastest will be those counties surrounding the urban core counties
  • Projected education level of workforce – looked at education trend and notice modest improvements in educational attainment
  • Rate of population growth has stayed the same since 1950 – asked member
    • What’s makes 2% rate so significant is that it is the second largest in the country
    • From 2010-2013 it actually decreased a bit to 1.4% but still does not see growth leveling off anytime soon
  • In future will show net domestic migration versus net international migration details
  • Will look to see if more details can be added on infrastructure statics

 
Tim Irvine, Texas Department of Housing and Community Affairs

  • Discussion on affordable housing and TDHCA ability to respond to growth
  • Expansion of oil and gas industries driving people to rural areas which drives up prices
  • Benefits of robust economy but increase housing prices which impacts moderate and low income Texans
  • Supply of housing in Texas is as small as he has ever seen it – about 3 month supply
  • Agency has a tax credit program and two general revenue housing programs (providing things such as accessibility features, etc.)

James Gaines, Texas Land Owner Council

  • Large part of water in the state is not from sustainable source from his understanding of state water plan
    • Groundwater which when used lowers every major aquifer
    • DFCs used to calculate water availability
  • Reliable sources of water today are reservoirs and only capture of fraction of what is possible in the reservoirs
    • When it rains we need to catch more of the water
    • Don’t have to drain aquifers down and encourage the development of reservoirs
  • Rep. Dutton inquired about runoff in Mansfield dam that witness spoke about – does river pass over aquifer?
    • Does not think Colorado is major source of recharge for EAA
    • Reservoirs are so efficient as a way to have water availability
    • Get other benefits as well such as flood control  

John Dahill, Texas Conference of Urban Counties

  • Much growth in state is occurring outside of cities
  • Cites Texas Tribune article about decline in rural land
  • No counties needing full authority of cities to zone but maybe some steps to help address incompatible use

David Mintz, Texas Apartment Association

  • Demand for rental units remain very healthy with avg occupancy level at 93%
  • Strong activity for new construction

John Hindeberger, Texas Low Income Housing Information Service

  • Alarm bells should be going off in regards to minimum wage earning population that is growing, simply not producing enough affordable housing units for those in primary growing areas
  • Managing federal funds that are shrinking so state needs to get in the game to help offset severe housing costs

Bennett Sandlin, Texas Municipal League

  • ¾ of state lives in cities
  • Vast majority of state lives in urban areas
  • 12% of Texans that live in incorporated areas are where will see special districts
  • Texas Bond Review Board came out with debt figures that show city debt has increased modestly
    • Avg city property tax rate is only 50 cents
    • Of notes cities could go up to $1.50-$2.00 but none have increased that high
    • Cities are small part of the average in property tax district
    • Schools constitute vast majority of property tax bill
  • $109 million in state aid for cites which is next to nothing
    • Don’t give state aid to cities – but give authority instead to raise own revenue
  • Cities are net donors – such as in traffic city tax but consider city partners with state
  • Texas relies more and more on cities to build critical infrastructure
    • Citizens of cities still get tremendous bang for buck
  • Example of additional burdens provided
    • Prop 6 is a $2 billion revolving fund which asked for cities to build infrastructure
      • Witness believes most reservoirs where built by state in 1950’s
    • Can’t get highway project built without local participation
  • What is impact on cities of Texas becoming more regional
    • Seeing groups join together but still cities doing most transportation infrastructure
    • Areas like Dallas/Ft Worth have partnership between counties and regional authorities
    • In regards to question if cities are being forced to accept regionalization (example of toll road given) – that is more of an isolated incident
  • Annexation discussion – vast majorities of annexations are those who want to be in the cities
    • TML was asked how they would feel about having to provide services in less than 10 years (ie 2 years)
    • Problem is that they may have special districts already providing a service or limits what they can do in quicker time frame
    • Member concerned with overreaching of cities 
    • State continues to maintain FM in cities jurisdiction and maybe that could be given back
  • There are some city roads beginning to look like state highways that cities must maintain

Dan Hatfield, Texas Association of Relators

  • Reports provided on median home costs to panel
  • Texas remains an affordable place to live & major contributors include:
    • No sales tax on housing sales
    • Not lowering appraisal caps
  • Actively support Prop 1 as step in right direction but more needs to be done
  • Rep. Dutton inquired about biking and walking pathways for residents
    • Have walkability score for neighborhoods and can determine how user friendly it is
    • They know it will be needed but the questions are: how they would do it and pay for it

Jess Fields, Texas Public Policy Foundation

  • Uses California as example of what not to do
    • Restrictions on private development, etc
  • Model subdivision rules originally for boarder counties but other counties have adopted (no colonias listed)
    • If take certain funds from the TWDB then required to adopt model subdivision rules
    • Need to be cautious of legislature adding more to model subdivision
    • Will look into and provide more details to committee in regards to counties having to adopt model subdivision rules in order to access EDAPT funds
  • Need to look at unintended consequences of restrictions and regulations

Bryan LaBorde, Assistant City Manager with City of Buda

  • Reemphasized population growth and needed infrastructure
  • Sadly infrastructure costs are outpacing inflation
  • State can continue to help cities with water  
  • Zoning authority is critical