Texas 2009 - 81st Regular

Texas House Bill HB1377 Compare Versions

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1	1	81R28843 CBH-D
2	2	By: Thompson, Solomons H.B. No. 1377
3	3	Substitute the following for H.B. No. 1377:
4	4	By: Howard of Fort Bend C.S.H.B. No. 1377
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to the procedure for reallocating local sales and use
10	10	taxes.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Subchapter F, Chapter 321, Tax Code, is amended
13	13	by adding Section 321.510 to read as follows:
14	14	Sec. 321.510. REALLOCATION OF MUNICIPAL TAX REVENUE. (a)
15	15	This section applies only if the amount the comptroller intends to
16	16	reallocate is at least equal to the lesser of:
17	17	(1) $200,000; or
18	18	(2) an amount equal to five percent of the revenue
19	19	received by the municipality under this chapter during the calendar
20	20	year preceding the calendar year in which the reallocation will be
21	21	made.
22	22	(b) If the comptroller determines that tax revenue
23	23	collected by the comptroller has been sent incorrectly to a
24	24	municipality under Section 321.502, the comptroller may reallocate
25	25	the tax revenue to the appropriate municipality only if:
26	26	(1) the reallocation is made in accordance with this
27	27	section; and
28	28	(2) the municipality that originally received the
29	29	revenue receives notification of the reallocation under Subsection
30	30	(c) not later than the fourth anniversary of the date the
31	31	municipality originally received the revenue.
32	32	(c) If the comptroller determines that tax revenue
33	33	collected by the comptroller has been sent incorrectly to a
34	34	municipality under Section 321.502, the comptroller shall send to
35	35	that municipality written notice that the comptroller intends to
36	36	reallocate the revenue to another municipality. A municipality
37	37	that receives a notice under this subsection may protest the
38	38	comptroller's determination by submitting to the comptroller a
39	39	written request for a hearing on the issue of whether the original
40	40	allocation of the revenue was incorrect. The municipality must
41	41	submit the request not later than the 30th day after the date the
42	42	municipality receives the notice under this subsection.
43	43	(d) Not later than the 15th day after the date the
44	44	comptroller receives a request for a hearing under Subsection (c),
45	45	the comptroller shall send to the requesting municipality a copy of
46	46	all records, documents, and other information on which the
47	47	comptroller relied in making its determination, regardless of
48	48	whether the information is confidential under state law, including
49	49	Sections 111.006 and 151.027. The provision of confidential
50	50	information to a municipality under this subsection does not affect
51	51	the confidential nature of the information. A municipality shall
52	52	use the information only in a manner that maintains the
53	53	confidential nature of the information and may not disclose or
54	54	release the information to the public.
55	55	(e) Not earlier than the 30th day or later than the 90th day
56	56	after the date the comptroller receives a request for a hearing
57	57	under Subsection (c), the comptroller shall hold a hearing on
58	58	whether the original allocation of the revenue was incorrect.
59	59	After the conclusion of the hearing, the comptroller shall issue to
60	60	the municipality a written final decision regarding the protest.
61	61	For purposes of Section 2001.171, Government Code, the
62	62	comptroller's decision is final and appealable on the date the
63	63	decision is issued under this subsection.
64	64	(f) If the municipality is not satisfied with the
65	65	comptroller's written final decision, the municipality may appeal
66	66	the decision by filing a petition in a Travis County district court
67	67	not later than the 30th day after the date the municipality receives
68	68	the decision. Judicial review of the decision is under the
69	69	substantial evidence rule. The court shall hear the appeal without
70	70	a jury.
71	71	SECTION 2. Section 322.108(a), Tax Code, is amended to read
72	72	as follows:
73	73	(a) Except as provided by Subsection (b), the following
74	74	apply to the taxes imposed by this chapter in the same manner as
75	75	applicable to a municipality under Chapter 321:
76	76	(1) Section 321.002(a)(3);
77	77	(2) Section 321.003;
78	78	(3) Section 321.203;
79	79	(4) Section 321.205(d);
80	80	(5) Section 321.208;
81	81	(6) Section 321.209;
82	82	(7) Section 321.303;
83	83	(8) Section 321.304; [and]
84	84	(9) Section 321.305; and
85	85	(10) Section 321.510.
86	86	SECTION 3. Subchapter F, Chapter 323, Tax Code, is amended
87	87	by adding Section 323.510 to read as follows:
88	88	Sec. 323.510. REALLOCATION OF COUNTY TAX REVENUE. (a) This
89	89	section applies only if the amount the comptroller intends to
90	90	reallocate is at least equal to the lesser of:
91	91	(1) $200,000; or
92	92	(2) an amount equal to five percent of the revenue
93	93	received by the county under this chapter during the calendar year
94	94	preceding the calendar year in which the reallocation will be made.
95	95	(b) If the comptroller determines that tax revenue
96	96	collected by the comptroller has been sent incorrectly to a county
97	97	under Section 323.502, the comptroller may reallocate the tax
98	98	revenue to the appropriate county only if:
99	99	(1) the reallocation is made in accordance with this
100	100	section; and
101	101	(2) the county that originally received the revenue
102	102	receives notification of the reallocation under Subsection (c) not
103	103	later than the fourth anniversary of the date the county originally
104	104	received the revenue.
105	105	(c) If the comptroller determines that tax revenue
106	106	collected by the comptroller has been sent incorrectly to a county
107	107	under Section 323.502, the comptroller shall send to that county
108	108	written notice that the comptroller intends to reallocate the
109	109	revenue to another county. A county that receives a notice under
110	110	this subsection may protest the comptroller's determination by
111	111	submitting to the comptroller a written request for a hearing on the
112	112	issue of whether the original allocation of the revenue was
113	113	incorrect. The county must submit the request not later than the
114	114	30th day after the date the county receives the notice under this
115	115	subsection.
116	116	(d) Not later than the 15th day after the date the
117	117	comptroller receives a request for a hearing under Subsection (c),
118	118	the comptroller shall send to the requesting county a copy of all
119	119	records, documents, and other information on which the comptroller
120	120	relied in making its determination, regardless of whether the
121	121	information is confidential under state law, including Sections
122	122	111.006 and 151.027. The provision of confidential information to
123	123	a county under this subsection does not affect the confidential
124	124	nature of the information. A county shall use the information only
125	125	in a manner that maintains the confidential nature of the
126	126	information and may not disclose or release the information to the
127	127	public.
128	128	(e) Not earlier than the 30th day or later than the 90th day
129	129	after the date the comptroller receives a request for a hearing
130	130	under Subsection (c), the comptroller shall hold a hearing on
131	131	whether the original allocation of the revenue was incorrect.
132	132	After the conclusion of the hearing, the comptroller shall issue to
133	133	the county a written final decision regarding the protest. For
134	134	purposes of Section 2001.171, Government Code, the comptroller's
135	135	decision is final and appealable on the date the decision is issued
136	136	under this subsection.
137	137	(f) If the county is not satisfied with the comptroller's
138	138	written final decision, the county may appeal the decision by
139	139	filing a petition in a Travis County district court not later than
140	140	the 30th day after the date the county receives the decision.
141	141	Judicial review of the decision is under the substantial evidence
142	142	rule. The court shall hear the appeal without a jury.
143	143	SECTION 4. This Act takes effect July 1, 2009, if it
144	144	receives a vote of two-thirds of all the members elected to each
145	145	house, as provided by Section 39, Article III, Texas Constitution.
146	146	If this Act does not receive the vote necessary for effect on that
147	147	date, this Act takes effect September 1, 2009.