A Texas law could turn a long-awaited zoning victory for residents in Southern Dallas into a legal and financial nightmare for city planning officials.
Senate Bill 929, approved last year, gives businesses the right to seek compensation for losses if new zoning regulations reduce the value of their property or operations, the Dallas Morning News reported. The legislation complicates efforts to rezone the Floral Farms neighborhood.
For over six years, residents have fought to address the environmental and health risks posed by Shingle Mountain, a towering heap of illegal roofing debris that has plagued the neighborhood.
The dust and debris from the site aggravated health problems, and the piles of refuse continued to grow, making life unbearable for residents. In response, the community has pushed for rezoning the area to remove industrial zoning and replace it with residential and agricultural land designations.
The push for rezoning was met with support from many city leaders, who saw it as an opportunity to address the environmental harm caused by Shingle Mountain and prevent similar pollution in the future. However, Senate Bill 929 threw them a curveball.
The law, which was designed to protect businesses from significant financial loss due to zoning changes, gives affected companies the right to request compensation. This provision, known as amortization, allows business owners to demand payment for their losses, including the cost of their land, buildings and operations.
There is now a significant financial risk involved in the decision to rezone a business out of the area, said Robert Miklos, an attorney representing some of the industrial property owners in the area. The rezoning would make “a bunch of attorneys richer.”
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If the city council’s rezoning vote failed, the Floral Farms community would have to restart the authorized hearing process, and the council would be unable to revisit the issue for another two years. To address the new state law, council members decided to hold a briefing on Jan. 15, followed by a vote on recommendations in February.
Council member Adam Bazaldua acknowledged the frustration of delays, stating, “Although justice delay is seen as justice denied … the amount of time that we have waited to get to this point in the process, a small delay should not be something that deters us from the overall opportunity for the community.”
— Andrew Terrell