TX HB4078

Applies to downtown public improvement districts in municipalities with populations between 900,000 and 2,000,000 that had created such districts by January 1, 2025, effectively targeting cities like Dallas or San Antonio

Establishes that qualifying downtown public improvement districts exist in perpetuity and can only be terminated by an act of the Texas Legislature

Requires municipalities to contract with a nonprofit management organization governed by a seven-member board, with directors appointed by the Governor, Lieutenant Governor, Speaker of the House, the municipality, the county, and two elected by the ten largest property owners in the district

Mandates additional funding from the municipality and state (each matching the district's special assessment revenue) plus county funding equal to half the assessment revenue, with all funds going to the management organization

Establishes spending priorities for the management organization in order: eliminating crime, eliminating vagrancy (defined as loitering, begging, panhandling, camping, or sleeping in public without lawful purpose), improving cleanliness, beautification, and other improvements

Grants property owners in the district standing to sue the management organization for injunctive relief or specific performance, with prevailing plaintiffs entitled to court costs and attorney's fees