By: Bolton, et al. (Senate Sponsor - Lucio) H.B. No. 3477
(In the Senate - Received from the House May 12, 2009;
May 13, 2009, read first time and referred to Committee on Finance;
May 23, 2009, reported favorably by the following vote: Yeas 12,
Nays 1; May 23, 2009, sent to printer.)
A BILL TO BE ENTITLED
AN ACT
relating to authorizing an emergency services district to impose an
ad valorem tax for the acquisition of land, equipment, or apparatus
or the construction of capital improvements.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 775.018(a), Health and Safety Code, is
amended to read as follows:
(a) On the granting of a petition, the commissioners court
shall order an election to confirm the district's creation and
authorize the imposition of the taxes provided and [a tax] not to
exceed the rates [rate] allowed by Section 48-e, Article III, Texas
Constitution. Any conditions negotiated under Section 775.014(h)
must be included on the ballot.
SECTION 2. The heading to Section 775.074, Health and
Safety Code, is amended to read as follows:
Sec. 775.074. AD VALOREM TAXES [TAX].
SECTION 3. Section 775.074, Health and Safety Code, is
amended by amending Subsection (a) and adding Subsections (a-1),
(a-2), and (a-3) to read as follows:
(a) The board shall annually impose an ad valorem tax on all
real and personal property located in the district and subject to
district taxation for the operating and capital [district's]
support of the district [and the purposes authorized by this
chapter].
(a-1) In addition to the ad valorem tax authorized under
Subsection (a), the board, after its establishment following an
election held under Section 775.018 and subject to Section
775.0745(a-1), shall annually impose an additional ad valorem tax
on all real and personal property in the district that is subject to
district taxation for the exclusive purposes of the acquisition of
land, equipment, or apparatus or the construction of capital
improvements, as described in the capital improvements plan filed
under Subsection (a-2). The board may use the tax for any related
purpose or pledge the revenue from the tax to pay the principal of
and interest on any bonds or notes issued or other indebtedness,
including loans and other financial arrangements described by
Section 775.085, to acquire land, equipment, or apparatus or to
construct capital improvements under this section, as the interest
and principal come due and to provide reserve funds if prescribed in
the resolution authorizing or the trust indenture securing the
bonds, notes, or other indebtedness. The revenue from the tax
authorized under this subsection shall be maintained in an account
separate from the maintenance and operations funds of the district.
A tax authorized by an election held under Section 775.0745(a-1)
may not be imposed on or after the date that:
(1) the purchase price of the capital assets as
provided by the capital improvements plan is paid in full; and
(2) the bonds, notes, or other indebtedness, including
loans and other financial arrangements described by Section
775.085, as authorized by the capital improvements plan, are paid
in full.
(a-2) The district may impose the tax under Subsection (a-1)
only if imposition of the tax is approved by the district voters
voting in an election held under Section 775.0745. At least 30 days
before the date the board orders an election to authorize the
additional tax described by Subsection (a-1), the district shall
file in the administrative office of the district a capital
improvements plan that is open to public inspection and that
describes the planned acquisition of land, equipment, or apparatus
or the planned construction of the capital improvements and their
estimated cost and incidental expenses. The capital improvements
plan is not:
(1) part of a proposition to be voted on; or
(2) a contract with the voters.
(a-3) In addition to any other information required by law,
notice of an election to authorize the additional tax described by
Subsection (a-1) must contain a copy of each proposition that will
be voted on at the election. The notice must include an estimate of
the probable cost of land, equipment, or apparatus or the
construction of capital improvements contained in the capital
improvements plan filed under Subsection (a-2) and any incidental
expenses connected with the issuance of bonds, notes, or other
indebtedness.
SECTION 4. The heading to Section 775.0745, Health and
Safety Code, is amended to read as follows:
Sec. 775.0745. ELECTION TO INCREASE TAX RATE OR IMPOSE TAX.
SECTION 5. Section 775.0745, Health and Safety Code, is
amended by adding Subsection (a-1) to read as follows:
(a-1) If the board decides to increase a tax imposed under
Section 775.074(a-1) to any rate above the rate approved by the
voters under Section 775.074(a-2), the board must order an election
to authorize the tax rate increase. Notwithstanding Subsection
(c), the board must hold the election on the uniform election date
in November. The proposition on the ballot must state the proposed
tax rate to be authorized at the election and the notice for the
election must conform to the requirements prescribed by Subsection
(b) and Section 775.074(a-3).
SECTION 6. This Act takes effect January 1, 2010, but only
if the constitutional amendment proposed by the 81st Legislature,
Regular Session, 2009, to authorize an emergency services district
to impose an ad valorem tax on property situated in the district not
to exceed five cents for the acquisition of land, equipment, or
apparatus or the construction of capital improvements, is approved
by the voters. If the proposed amendment is not approved by the
voters, this Act has no effect.
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