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HB5698

Regular Session

Relating to the name of and appointment of directors for the Harris-Montgomery Counties Management District.

Low
Low Cost
Effective:2025-06-20
Enforcing Agencies

Harris County Commissioners Court • Texas Commission on Environmental Quality (TCEQ)

HB5698
Relating to the name of and appointment of directors for the Harris-Montgomery Counties Management District.
Low Urgency
Heavily Contested
House Vote114 - 17
YEA
87% in favor131 voting
Senate Vote27 - 4
YEA
87% in favor31 voting
21
Total Opposition Votes
Cost Impact
Low
Effective
2025-06-20
Enforcing Agencies
Harris County Commissioners CourtTCEQ
Primary Author: Rep. Cecil Bell
89th Texas Legislature
jdkey.com
01

Compliance Analysis

Key implementation requirements and action items for compliance with this legislation

Implementation Timeline

  • Effective Date: June 20, 2025
  • Compliance Deadline: Immediate. There is no statutory grace period for the name change; all new filings and financial instruments must reflect the new nomenclature.
  • Agency Rulemaking: The Texas Commission on Environmental Quality (TCEQ) is not required to promulgate new rules, but will process Board appointment petitions under existing administrative codes immediately.

Immediate Action Plan

  • Finance: Update Vendor Master Files to replace "Harris-Montgomery" with "Southeast Regional Management District."
  • Risk Management: Audit all active Certificates of Insurance and request re-issuance with the correct entity name.
  • Legal: Scan contract repositories for the old name and attach a standard "Notice of Name Change" to active files.
  • Government Affairs: Update contact lists for Board Directors; recognize the shift in power regarding future Board composition.

Operational Changes Required

Contracts

  • Existing Agreements: While the legal entity remains continuous, you must execute a Notice of Name Change or a minor administrative amendment for all active Master Service Agreements (MSAs) and easements to ensure audit trails remain clear.
  • New Agreements: All contracts, deeds, and easements drafted after June 20, 2025, must cite the Southeast Regional Management District.

Hiring/Training

  • Accounts Payable/Receivable: Staff must be instructed that invoices from "Harris-Montgomery" are now invalid if dated post-enactment. Systems must be updated to recognize the "Southeast Regional Management District" to avoid payment delays.

Reporting & Record-Keeping

  • Vendor Master Files: Update the legal name in your ERP or accounting software immediately.
  • Insurance: Contact your broker to reissue Certificates of Insurance (COIs). If the District is an Additional Insured, the certificate must bear the new legal name to guarantee coverage in the event of a claim.

Fees & Costs

  • No Direct Cost: The legislation imposes no new taxes or fees. Administrative costs are limited to internal record updates and legal filing fees for amended documents.

Strategic Ambiguities & Considerations

The legislation alters the Board appointment process, allowing the Board to petition the TCEQ for director appointments rather than relying solely on the Harris County Commissioners Court.

  • The Ambiguity: The statute mandates that if the Board petitions the TCEQ, the Commission "shall" appoint the Board's nominees. This removes regulatory discretion from the TCEQ, effectively allowing the current Board to self-select its successors.
  • Business Logic: If your business requires favorable Board decisions for development permits or bond issuances, your lobbying efforts must now focus on the *current* Board members, as they now hold the controlling leverage over future appointments.

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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.

02

Legislative Timeline

This bill's path through the Texas Legislature

Filed
May 1, 2025
Passed House
May 16, 2025
Passed Senate
May 28, 2025
Signed
Jun 20, 2025
TopicsHarris-montgomery Counties Management DistrictSoutheast Regional Management DistrictSpecial Districts & AuthoritiesSpecial Districts & Authorities--miscellaneousEnvironmental Quality, Texas Commission On
03

House Authors

Rep. Cecil BellRepublican · Primary Author

Senate Sponsor

Sen. Charles CreightonRepublican · Primary Sponsor

Bill Text(with markup)

View bill text in multiple formats on Texas Legislature website

Fiscal NoteView Original

Related Legislation

Explore more bills from this author and on related topics

More from Rep. Cecil Bell

View all bills by Rep. Cecil Bell

Related by Topic

View more Harris-montgomery Counties Management District legislation
Quick Reference

Frequently Asked Questions

Common questions about HB5698

Q

What does Texas HB5698 do?

Effective immediately, the Harris-Montgomery Counties Management District has been legally renamed the Southeast Regional Management District. This statutory change impacts all developers, vendors, and financial institutions operating within the District; you must update internal records to prevent rejected invoices, invalid insurance certificates, and contract disputes. Implementation Timeline Effective Date: June 20, 2025 Compliance Deadline: Immediate.

Q

Who authored HB5698?

HB5698 was authored by Texas Representative Cecil Bell during the Regular Session.

Q

When was HB5698 signed into law?

HB5698 was signed into law by Governor Greg Abbott on June 20, 2025.

Q

Which agencies enforce HB5698?

HB5698 is enforced by Harris County Commissioners Court and Texas Commission on Environmental Quality (TCEQ).

Q

How urgent is compliance with HB5698?

The compliance urgency for HB5698 is rated as "low". Businesses and organizations should review the requirements and timeline to ensure timely compliance.

Q

What is the cost impact of HB5698?

The cost impact of HB5698 is estimated as "low". This may vary based on industry and implementation requirements.

Q

What topics does HB5698 address?

HB5698 addresses topics including harris-montgomery counties management district, southeast regional management district, special districts & authorities, special districts & authorities--miscellaneous and environmental quality, texas commission on.

Legislative data provided by LegiScanLast updated: November 25, 2025

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