College Station council members testify for and against a proposed state moratorium on impact fees

This podcast contains comments from the May 8, 2025 public hearing of the Texas House land and resource management committee.

Members of a Texas House committee heard Thursday (May 8) from opposing members of the College Station city council about proposed legislation to put a moratorium on new impact fees. That is what cities charge developers for a portion of the cost of new streets and other infrastructure.

Click HERE to read and download House Bill 5489 as of May 8, 2025.

The author of House Bill 5489, Paul Dyson of Bryan, told members of the land and resource management committee that his proposed moratorium would represent an active study to see if housing prices will drop. Dyson did not say how cities would make up the lost revenue.

Speakers who supported HB 5489 included College Station councilman Bob Yancy.

Speakers who opposed HB 5489 included College Station mayor John Nichols and councilwoman Melissa McIlhaney.

No action was taken by the House land and resource management committee. 

Committee chairman Gary Gates, a Fort Bend County real estate businessowner, said impact fees are a tax which "is done in a different way that really circumvents all the work the legislature has done to try to limit rising local property taxes." Gates also said "what they (cities) should do is equally be raising and going to the voters for a tax increase if they feel the need for city services".