Finance and Taxation panel rejects bill allowing cities to place infrastructure fee on utility bills

The Finance and Taxation Committee voted 5–1 on a motion of "do not pass" for House Bill 13‑89, a measure that would have allowed cities to place an infrastructure fee on utility bills in lieu of special assessments or property-tax charges.

Supporters had argued the fee would let municipalities fund infrastructure projects that benefit many users without placing the cost solely on adjacent property owners. Opponents said the change would circumvent established property‑tax and special‑assessment processes and risk shifting burdens between property owners.

The bill was discussed briefly at the committee meeting; Senator Rummel said she had "difficulty" with the bill because it could "circumvent the property tax issue" and expressed concern about how projects would be prioritized. Senator Patton said the measure looked like "one other way to skin the cat" and questioned whether it simply shifted burdens among property owners. Senator Wallin said the fee could remove road projects from specials when multiple users benefit and described it as an additional municipal tool.

A roll call taken after a motion for "do not pass" produced five votes in favor and one opposed. The clerk recorded: Chairman Weber — Yes; Vice Chair Rommel — Yes; Senator Marsali — Yes; Senator Patton — Yes; Senator Powers — Yes; Senator Wallin — No. Senator Patton seconded the motion; the member who moved "do not pass" was recorded in the transcript but not unambiguously identified by name.

Senator Romo volunteered to carry the bill to the next stage.

The committee did not adopt amendments to the bill during the session and took no further action on related items.