Bruce R. Hotze v. Sylvester Turner, Mayor, and the City of Houston

CourtCourt of Appeals of Texas
DecidedOctober 12, 2021
Docket14-19-00959-CV
StatusPublished

This text of Bruce R. Hotze v. Sylvester Turner, Mayor, and the City of Houston (Bruce R. Hotze v. Sylvester Turner, Mayor, and the City of Houston) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bruce R. Hotze v. Sylvester Turner, Mayor, and the City of Houston, (Tex. Ct. App. 2021).

Opinion

Affirmed and Majority and Dissenting Opinions filed October 12, 2021.

In The

Fourteenth Court of Appeals

NO. 14-19-00959-CV

BRUCE R. HOTZE, Appellant

V. SYLVESTER TURNER, MAYOR, AND THE CITY OF HOUSTON, Appellees

On Appeal from the 333rd District Court Harris County, Texas Trial Court Cause No. 2014-19507

DISSENTING OPINION

Appellant’s lawsuit raises an important question regarding voter-initiated amendments to a home-rule municipality’s charter. Under the Local Government Code, a charter amendment approved by a majority of the municipality’s qualified voters is “adopted,” and the amendment takes effect when declared adopted by the municipality. When a voter-initiated charter amendment has been so approved and so adopted—and declared as such—may a home-rule municipality nevertheless deny effectiveness to that amendment if it did not meet an additional city-imposed vote threshold not otherwise required by statute? Houston voters approved the charter amendments at issue in 2004, and this dispute’s meandering but well- documented path through the court system,1 having so far taken seventeen years, has now yielded an appellate court answer. But I disagree with the answer.

A. Charter Amendment Process and the Provisions at Issue

The Texas Constitution authorizes cities of a certain population to adopt city charters, subject to such limitations as the Legislature may prescribe. Tex. Const. art. XI, § 5. One such prescription applicable to these “home-rule” cities, which include the City of Houston, relates to amending an existing charter. Under the Local Government Code, a home-rule city charter may be amended either on the city’s motion or by citizen-voter initiative. See Tex. Loc. Gov’t Code § 9.004(a). When citizens exercise their power to seek amendment, they do so by submitting a petition signed by the requisite number of qualified municipal voters. See id. When presented with a conforming petition, the city’s governing body “shall” submit the proposed charter amendment to the voters for their approval at an election. Id.; see Houston, Tex., City Charter art. VII-b (effective 1913) (amended 1991). The proposed charter amendment is “adopted” if it is approved by majority vote. See Tex. Loc. Gov’t Code § 9.005(a). “This form of direct democracy through ‘the power of initiative and referendum, as provided for in the city’s charter, is the exercise by the people of a power reserved to them, and not the

1 I refer the reader to In re Robinson, 175 S.W.3d 824 (Tex. App.—Houston [1st Dist.] 2005, orig. proceeding [mand. granted]); White v. Robinson, 260 S.W.3d 463 (Tex. App.— Houston [14th Dist.] 2008), vacated sub. nom. Robinson v. Parker, 353 S.W.3d 753 (Tex. 2011); In re Hotze, No. 14-08-00421-CV, 2008 WL 4380228 (Tex. App.—Houston [14th Dist.] July 10, 2008, orig. proceeding) (mem. op.); Hotze v. White, No. 01-08-00016-CV, 2010 WL 1493115 (Tex. App.—Houston [1st Dist.] Apr. 15, 2010, pet. denied) (mem. op.); and Turner v. Robinson, 534 S.W.3d 115 (Tex. App.—Houston [14th Dist.] 2017, pet. denied).

2 exercise of a right granted.’” Turner, 534 S.W.3d at 130 (Busby, J., concurring) (quoting Taxpayers’ Ass’n of Harris Cty. v. City of Houston, 105 S.W.2d 655, 657 (Tex. 1937)).

Before us is the validity and effectiveness of a city charter amendment first proposed by voter-initiated petition, placed on the ballot for approval in November 2004, and approved by a majority of those total voters who cast a vote either for or against that particular amendment. Appellant Bruce R. Hotze, a Houston citizen, participated in the effort to place the proposed charter amendment on the ballot. Robinson, 353 S.W.3d at 754. He signed the petition and voted in favor of the amendment. Id.

The proposed charter amendment was included in a 2004 City of Houston election ordinance under the heading, “Proposition No. 2.” It related to “Limits on All Combined City Revenues.” It is known by the litigants (and by our appellate courts in Houston) simply as “Proposition 2.” Proposition 2 proposed a measure to amend the city charter by adding “a new Section 7 to Article VI-a.” The ordinance set forth the proposed amendment’s full text. A recitation of its complete language is unnecessary, but the following summary was included on the ballot:

The City Charter of the City of Houston shall be amended to require voter approval before the City may increase total revenues from all sources by more than the combined rates of inflation and population, without requiring any limit of any specific revenue source, including water and sewer revenues, property taxes, sales taxes, fees paid by utilities and developers, user fees, or any other sources of revenues.

Also included in the 2004 election ordinance was a charter amendment proposed on the City’s motion. The City’s proposed amendment related to “Limits on Annual Increases in City Property Taxes and Utility Rates.” The amendment’s full text was included in the election ordinance under the heading, “Proposition

3 No. 1.” If adopted, the City’s proposed amendment would amend the city charter by “amending the first paragraph of Section 1 of Article III and adding a new Section 20 to Article IX.” The City’s proposed amendment would have granted the City “full authority to assess and collect any and all revenues of the city without limitation, except as to ad valorem taxes and water and sewer rates.” The City included the following summary of its proposed charter amendment on the ballot:

The Charter of the City of Houston shall be amended to require voter approval before property tax revenues may be increased in any future fiscal year above a limit measured by the lesser of 4.5% or the cumulative combined rates of inflation and population growth. Water and sewer rates would not increase more than the cumulative combined rates of inflation and population growth without prior voter approval. The Charter Amendment also requires minimum annual increases of 10% in the senior and disabled homestead property tax exemptions through the 2008 tax year. The election ordinance also contained what this court has referred to as a “poison pill” provision, which the City contends is part of Proposition 1’s text. See Turner, 534 S.W.3d at 119. The poison pill provision stated:

If another proposition for a Charter amendment relating to limitations on increases in City revenues is approved at the same election at which this proposition [Proposition 1] is also approved, and if this proposition [Proposition 1] receives the higher number of favorable votes, then this proposition [Proposition 1] shall prevail and the other shall not become effective.

Given its language, the poison pill provision appears designed to allow the City to enforce only its proposed charter amendment contained in Proposition 1 so long as Proposition 1 received more votes than Proposition 2, even if the

4 amendments contained in both Proposition 1 and Proposition 2 were adopted by majority vote.2

Viewing the election ordinance as a whole, I construe “Proposition 1” as consisting of two discrete parts: (1) the City’s proposed charter amendments to Articles III and IX; and (2) the poison pill provision. I construe “Proposition 2” as consisting solely of the voter-initiated charter amendment to Article VI-a.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Southern Crushed Concrete, Llc v. City of Houston
398 S.W.3d 676 (Texas Supreme Court, 2013)
In Re Robinson
175 S.W.3d 824 (Court of Appeals of Texas, 2005)
Dallas Merchant's & Concessionaire's Ass'n v. City of Dallas
852 S.W.2d 489 (Texas Supreme Court, 1993)
Lower Colorado River Authority v. City of San Marcos
523 S.W.2d 641 (Texas Supreme Court, 1975)
White v. Robinson
260 S.W.3d 463 (Court of Appeals of Texas, 2008)
City of Baytown v. Angel
469 S.W.2d 923 (Court of Appeals of Texas, 1971)
Bcca Appeal Group, Inc. v. City of Houston, Texas
496 S.W.3d 1 (Texas Supreme Court, 2016)
City of Beaumont v. Fall
291 S.W. 202 (Texas Supreme Court, 1927)
Taxpayers' Association v. City of Houston
105 S.W.2d 655 (Texas Supreme Court, 1937)
Zane-Cetti v. City of Fort Worth
269 S.W. 130 (Court of Appeals of Texas, 1924)
Ladd v. Yett
273 S.W. 1006 (Court of Appeals of Texas, 1925)
Brown Cracker & Candy Co. v. City of Dallas
137 S.W. 342 (Texas Supreme Court, 1911)
Forwood v. City of Taylor
214 S.W.2d 282 (Texas Supreme Court, 1948)
City of Dallas v. Dallas Consolidated Street Railway Co.
148 S.W. 292 (Texas Supreme Court, 1912)
City of Wink v. Griffith Amusement Co.
100 S.W.2d 695 (Texas Supreme Court, 1936)
City of Fort Worth v. Zane-Cetti
278 S.W. 183 (Texas Commission of Appeals, 1925)
Robinson v. Parker
353 S.W.3d 753 (Texas Supreme Court, 2011)
City of Anahuac v. Morris
484 S.W.3d 176 (Court of Appeals of Texas, 2015)
Turner v. Robinson
534 S.W.3d 115 (Court of Appeals of Texas, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
Bruce R. Hotze v. Sylvester Turner, Mayor, and the City of Houston, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bruce-r-hotze-v-sylvester-turner-mayor-and-the-city-of-houston-texapp-2021.