EDIE ZUVANICH Special to the Press
HUTTO — Hutto City Council has denied the petitions of two property owners requesting their land to be released from the city’s extraterritorial jurisdiction under Senate Bill 2038 and has decided to join other cities in a lawsuit against the bill.
Council retired to executive session to discuss the agenda items and did not discuss the items in open session.
Council member Randal Clark made the motion to deny the petitions, “because SB 2038 is an unconstitutional delegation of legislative authority and it conflicts with the Texas Local Government Code section 42.023. The city does not consent to the reduction of its ETJ.”
After passing the motion to deny 6-0 (Council member Dana Wilcott was absent), Mayor Pro Tem Peter Gordon made a follow up motion.
“Mayor, I make a motion to hire Messer Fort to represent the city and join other cities in the Grand Prairie litigation contesting the constitutionality of laws relating to the release of the ETJ not to exceed an amount of $5000,” Gordon said, prompting another 6-0 vote in favor.
The Hutto petitioners whose applications to exit the ETJ were denied now have the option to put their petition for release on the next general city ballot. The property being contested is 19.4 acres of land owned by 705 Limmer Loop JV, LLC, and approximates 111.851 acres of land owned by Limmer Holdings, LLC.
The Limmer Holdings property is part of the old Pearl Hanusch Estate, located at the intersection of Limmer Loop and the southbound frontage road of SH 130.
705 Limmer Loop JV, LLC, has a current application in with Texas Commission on Environmental Quality to build and maintain a sewage plant on Limmer Loop in front of Veterans’ Hill Elementary School, to serve a housing development they are also planning in that space.
They had originally asked the city to provide wastewater utilities, but according to records from a previous council meeting, the LLC was not willing to take on the cost of connecting to the Hutto’s infrastructure and elected to build their own wastewater plant. The permit for the plant is being protested by the school district and the city, among others.
When SB 2038 became effective on Sept. 1, 2023, it was touted as part of the state’s annexation reform and considered a win for developers in the face of cities putting up barriers to unbridled growth. Bypassing city regulations by exiting the ETJ means developers can work directly with the county, which has fewer powers to rule land usage.
SB 2038 was also seen as a benefit to property owners, because without being subject to a city’s land usage ordinances, property owners have more freedom in selling their land.
Municipalities are starting to fight back. On Oct. 25, the city of Grand Prairie filed a lawsuit to have SB 2038 declared unconstitutional. The lawsuit is gaining momentum with Lockhart, Navasota and now Hutto joining the movement so far. The case is being represented by municipal law firm Messer Fort.