HB3234

Regular Session

Relating to the authority of a political subdivision to regulate construction and renovation of structures owned by certain counties.

LowStandard timeline

Low Cost

Effective:2025-09-01

Enforcing Agencies

Counties with populations of 1 million or more (e.g., Bexar, Travis, Tarrant, Dallas, Collin, Denton) assume sole regulatory oversight for their own structures. • Municipalities are divested of permitting and inspection authority over applicable county-owned structures.

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

Effective Date: September 1, 2025
Compliance Deadline: Immediate for Bidding. Any bid submitted now for work occurring after September 1 must exclude municipal permit fees and adhere to County-specific code standards.
Agency Rulemaking: No state-level rulemaking required. However, affected County Commissioners Courts must establish or clarify internal inspection protocols prior to the effective date to handle the increased regulatory workload.

Immediate Action Plan

1. Audit Active Bids: Review all pending bids for projects in Dallas, Tarrant, Bexar, Travis, Collin, and Denton Counties. Remove municipal fees if construction starts post-September 1.
2. Verify Fire Code: Obtain written confirmation from the County Fire Marshal regarding which Fire Code applies to your design to avoid liability for design defects.
3. Secure "In-Flight" Rulings: For projects crossing the September 1 deadline, request a formal determination letter from the County Commissioners Court by August 1, 2025, clarifying who has inspection authority for the remainder of the project.
4. Update Job Site Signage: Prepare site protocols to instruct Superintendents on how to handle municipal inspectors who attempt to access the site or issue citations.

Operational Changes Required

Contracts

Scope of Work: Revise "Permits and Fees" sections to explicitly exclude municipal building permits. Specify that the "Authority Having Jurisdiction" (AHJ) is the County, not the City.
Indemnification: Update clauses to require the County (Owner) to indemnify the Contractor against any municipal attempts to enforce jurisdiction, issue fines, or stop work.
Design Standards: A/E contracts must specify the exact building and fire codes adopted by the County, which may differ from the surrounding municipality's codes (e.g., 2015 IBC vs. 2021 IBC).

Hiring/Training

Project Management: Train PMs and Superintendents to reject municipal inspectors from job sites unless they are there for utility connections.
Pre-Construction: Estimators must stop including municipal plan review and inspection fees in bids for County projects in affected jurisdictions.

Reporting & Record-Keeping

Job Site Postings: You must post County-issued authorization letters prominently. This is your primary defense against municipal Code Enforcement officers attempting to issue Stop Work Orders.
Closeout: Certificates of Occupancy (CO) will be issued by the County. Do not condition final payment or retainage release on a Municipal CO.

Fees & Costs

Fee Reduction: Municipal building permit and inspection fees are eliminated.
Budget Impact: Expect a net decrease in soft costs, though some Counties may implement cost-recovery fees for their internal inspection services.

Strategic Ambiguities & Considerations

The "Utility Trap": While the City cannot regulate the *structure*, they likely own the water and sewer infrastructure. Cities may attempt to withhold permanent utility connections or meter sets to enforce compliance with city standards.
Zoning vs. Construction: The law preempts regulation of "construction and renovation." It does not explicitly preempt zoning ordinances (height, setbacks, impervious cover). Expect municipalities to enforce zoning strictly as their only remaining leverage.
Transitional Projects: The law lacks a clear grandfathering clause for projects already under construction on September 1, 2025. It is unclear if a project permitted by the City must switch to County inspections mid-stream.

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Information presented is for general knowledge only and is provided without warranty, express or implied. Consult qualified government affairs professionals and legal counsel before making compliance decisions.

Legislative Timeline

This bill's path through the Texas Legislature

TopicsCounty Government County Government--general County Government--land Use & Zoning Political Subdivisions Building Construction

Official Analysis

View HRO Analysis View All Bill Documents

BILL ANALYSIS

H.B. 3234

By: Cortez

Intergovernmental Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

The bill author has informed the committee that Bexar County stakeholders have highlighted inefficiencies in construction and renovation projects due to the requirement to coordinate with local governments for inspections, slowing down necessary improvements and expansion to county facilities that serve the public interest. H.B. 3234 seeks to eliminate redundant layers of permitting, streamline project timelines, and control costs by lowering the population threshold for an exemption from certain municipal permit and inspection requirements from 3.3 million to 1 million, allowing a broader group of counties to oversee construction or renovation of their own buildings without obtaining separate municipal permits or notification.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 3234 amends the Local Government Code to revise the applicability of the prohibition against a political subdivision requiring a county to notify the political subdivision or obtain a building permit for any new construction or any renovation of a building or facility owned by the county if the construction or renovation work is supervised and inspected by an engineer or architect licensed in Texas by changing the building or facility to which the prohibition applies from a building or facility that is owned by a county with a population of 3.3 million or more and is located within the boundaries of another political subdivision to a building or facility that is owned by a county with a population of one million or more and is located within the boundaries of another political subdivision.

EFFECTIVE DATE

September 1, 2025.

House Authors

Rep. Philip CortezDemocrat · Primary Author

Senate Sponsors

Sen. Jose MenendezDemocrat · Primary Sponsor

Cosponsors (2)

Bill Text(with markup)

H.B. No. 3234

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

	AN ACT
	relating to the authority of a political subdivision to regulate
	construction and renovation of structures owned by certain
	counties.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Section 245.007(a), Local Government Code, is
	amended to read as follows:
	(a) This section applies only to a building or facility that
	is owned by a county with a population of one [~~3.3~~] million or more
	and is located within the boundaries of another political
	subdivision.
	SECTION 2. This Act takes effect September 1, 2025.

LEGISLATIVE BUDGET BOARD
Austin, Texas

FISCAL NOTE, 89TH LEGISLATIVE REGULAR SESSION


April 17, 2025

TO:	Honorable Cecil Bell, Chair, House Committee on Intergovernmental Affairs

FROM:	Jerry McGinty, Director, Legislative Budget Board

IN RE:	HB3234 by Cortez (Relating to the authority of a political subdivision to regulate construction and renovation of structures owned by certain counties.), As Introduced

No fiscal implication to the State is anticipated.

Local Government Impact

The bill would extend the authority to regulate the construction and renovation of county-owned structures to certain counties who could see a positive fiscal impact from no longer having to follow another political subdivision's permitting process for work on those structures.

Source Agencies:

LBB Staff:

JMc, SZ, BC, CWi

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Frequently Asked Questions

Common questions about HB3234

What does Texas HB3234 do?

Effective September 1, 2025, municipal authority to permit or inspect county-owned projects is revoked for counties with populations exceeding 1 million (Dallas, Tarrant, Bexar, Travis, Collin, and Denton). General Contractors and Architects must immediately redirect all permitting, inspection coordination, and compliance reporting from City departments to County Engineering or Fire Marshal offices for applicable public works projects. Implementation Timeline Effective Date: September 1, 2025 Compliance Deadline: Immediate for Bidding.

Who authored HB3234?

HB3234 was authored by Texas Representative Philip Cortez during the Regular Session.

When was HB3234 signed into law?

HB3234 was signed into law by Governor Greg Abbott on June 20, 2025.

Which agencies enforce HB3234?

HB3234 is enforced by Counties with populations of 1 million or more (e.g., Bexar, Travis, Tarrant, Dallas, Collin, Denton) assume sole regulatory oversight for their own structures. and Municipalities are divested of permitting and inspection authority over applicable county-owned structures..

How urgent is compliance with HB3234?

The compliance urgency for HB3234 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

What is the cost impact of HB3234?

The cost impact of HB3234 is estimated as "low". This may vary based on industry and implementation requirements.

What topics does HB3234 address?

HB3234 addresses topics including county government, county government--general, county government--land use & zoning, political subdivisions and building construction.

Legislative data provided by LegiScanLast updated: November 25, 2025

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