El Milagro Bill Gets Public Hearing In Austin
No opposition was heard during a public hearing held on legislation proposing to dissolve the El Milagro Municipal Management District (MMD), filed by State Rep. Sergio Muñoz (D-Mission). House Bill 5660 remains with the intergovernmental affairs committee before it might be considered by the entire Texas House of Representatives.
El Milagro MMD is a master planned community in development in south Mission that recently came under scrutiny after a single voter cast a ballot in the November 2024 election that authorized the district to assume $167.5 million in bonds to install water and sewer lines and build roads. The debt would be repaid by anyone who purchases property within the MMD over a 40-year period.
Muñoz testified before the committee at the Texas state capital on April 22. His proposal does not have a companion bill in the Senate chamber.
“This is a local bill dealing with the creation of a management district within my legislative district,” Muñoz began. “It was brought to us by constituents from the surrounding properties where this management district was created, because one single voter cast the deciding vote which allows it to get into $167 million dollars in debt for the future homeowners of that area and that development.”
Committee members looked surprised by the information, and State Rep. Carl Tepper (R-Lubbock) asked Muñoz how one lone voter could possibly incur $167.5 million in debt.
“It (the district) was stagnant for a while until last year when it put the propositions on the ballot,” Muñoz said. “One single voter, it’s my understanding its somebody that works for the development, was the one who was able to cast it.”
State Rep. Jon Rosenthal (D-Cypress) then asked for clarity on the election outcome.
“I guess we’re all kind of surprised,” Rosenthal said. “Did only one person cast a ballot or was the margin one vote?”
“No, a lone voter cast a ballot for all four propositions, one voter,” Muñoz responded, as the committee members looked at each other in astonishment.
At the same hearing, the intergovernmental affairs committee heard from several members of the public from various parts of Texas on complaints about MMDs near Houston and elsewhere. Those individuals testified on different bills pending in the committee with complaints that ranged from high fees while roads and property fell into disrepair, to the how the district boards are controlled by one small group of people with no oversight.
Muñoz told the Progress Times that he is working diligently to get the bill out of committee and to the House floor as quickly as possible.
“There wasn’t a whole lot of attention when it (the district) was created, it wasn’t until after the fact that people are now becoming aware of what was done,” Muñoz said.
If successful, Muñoz’s legislation calls for the MMD to cease operations within 60 days of the bill becoming law and shed its debt.
The 3,400 acres which make up the MMD have long been eyed for development. In 2001, the City of Mission established a TIRZ in the area for the previous property owner, Hunt Valley Development. In 2021, the city and the Mission Economic Development Corporation (MEDC) transferred the TIRZ benefits to the new owner, Killam Development, which bought the property in 2019, resulting in $13 million used for the development of roads, water and wastewater infrastructure.
“The district was initially intended to provide local governance and services for this development,” Muñoz told the committee. “However, many concerns have been brought forth regarding its necessity and functionality. Hopefully, not a large amount of debt has been assumed in such a short period of time, we’re hoping we can work with them to see if we can find some common ground.”
