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Grimes County, 9 others sue rail company for $850k in back taxes

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GRIMES COUNTY, Texas (KXXV) — Ten Texas counties are suing Texas Central Railway for not paying their property taxes, after a state court ruled the company has imminent domain to buy property to build the nation's first high speed rail.

  • Ten counties sued TCR for $850,000 of unpaid property taxes in 2023 — 25% percent of that is in Grimes county, where the company owes $219,000 for 165 properties
  • Grimes County Judge Joe Fauth says they could use that money to hire two more 911 dispatchers, which the county desperately needs
  • Texas Central’s total for delinquent taxes and fees are set to increase on August 1 due to additional interest charged by each county

Broadcast Script:

For the last few years, Texas Central railway has been fighting rural Texas communities in court, looking for the green light to buy land to build the nation's first high speed train line between Houston and Dallas.

15ABC spoke with Grimes County Judge Joe Fauth in May of last year, documenting his fight against TCR.

"We're not against high speed rail. What we're against is the invasion into our property," says Judge Fauth.

Now that TCR has purchased those contested properties, they owe almost $850,000 in property taxes in 10 different counties.

Those counties are now suing the company.

15ABC spoke with Grimes County Judge Joe Fauth, who says this is standard procedure for delinquent taxpayers.

"TCR is no different than any other delinquent taxpayer, but when it's $219,000, that catches my attention very quickly," says Judge Fauth.

I actually spoke with Judge Fauth during his lunch break from the Commissioner’s Court’s budget meeting for next year, where he says those $219,000 are desperately needed.

“That $219,000 in past due taxes, that's enough money to fund two dispatches for our 911 center, which we desperately need to increase the personnel over there because of, one, increased calls, and two, because of a very limited staff. We're somewhat working those people to death. They're already on 12-hour shifts."

Judge Fauth says TCR owns 165 properties in Grimes county, all of which are delinquent. Of the 10 counties where TCR owes almost $850,000 in property taxes, Grimes county is the largest single amount at $219,000.