SSA Legislation Seeks to Require Affirmative Approval of Majority of Electors and Landowners in Area

Special Service Areas are geographic areas with specific boundaries created by a municipality for the purpose of providing special government services such as  infrastructure, street lighting, community gathering space or parking facilities.  A special service area tax is levied is the area by the municipality not to exceed 1%. Representative Jack Franks has proposed legislation (HB 0269) requiring authorization,  evidenced by a signed petition by 51% or more of the electors residing within the SSA  and 51% of the owners of record of the land located within the SSA,  before a municipality may create  or enlarge an SSA , before a tax may be levied or imposed,  and before bonds may be issued. Currently, such actions may be taken after notice and a hearing, unless a petition is filed objecting to the action.

In short, this legislation requires an affirmative agreement of the majority of landowners and electors residing in a proposed SSA area to create an SSA  and to impose a tax.  This requirement would make it more difficult to establish SSAs even when the municipal officials consider them necessary and in the best interests of the area residents.

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