Texas 2009 - 81st Regular

Texas Senate Bill SB1534 Compare Versions

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1	1	By: Hegar S.B. No. 1534
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to county assistance districts.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 387.003, Local Government Code, is
9	9	amended to read as follows:
10	10	Sec. 387.003. CREATION AND FUNCTIONS OF DISTRICT. (a) The
11	11	commissioners court of the county may call an election on the
12	12	question of creating a county assistance district under this
13	13	chapter. More than one county assistance district may be created in
14	14	a county.
15	15	(a-1) [to] A district may perform the following functions
16	16	[in the district]:
17	17	(1) the construction, maintenance, or improvement of
18	18	roads or highways;
19	19	(2) the provision of law enforcement and detention
20	20	services;
21	21	(3) the maintenance or improvement of libraries,
22	22	museums, parks, or other recreational facilities;
23	23	(4) the provision of services that benefit the public
24	24	health or welfare, including the provision of firefighting and fire
25	25	prevention services; or
26	26	(5) the promotion of economic development and tourism.
27	27	(b) The order calling the election must:
28	28	(1) define the boundaries of the district to include
29	29	any portion of the county in which the combined tax rate of all
30	30	local sales and use taxes imposed, including the rate to be imposed
31	31	by the district if approved at the election, would not exceed the
32	32	limits on the combined rate of sales and use taxes of the county,
33	33	municipalities, and political subdivisions of this state under
34	34	Sections 321.101 and 323.101, Tax Code [two percent]; and
35	35	(2) call for the election to be held within those
36	36	boundaries.
37	37	(b-1) If the proposed district includes any territory of a
38	38	municipality, the commissioners court shall send notice by
39	39	certified mail to the governing body of the municipality of the
40	40	commissioners court's intent to create the district. If the
41	41	municipality has created a development corporation under Section 4A
42	42	or 4B, Development Corporation Act of 1979 (Article 5190.6,
43	43	Vernon's Texas Civil Statutes), the commissioners court shall also
44	44	send the notice to the board of directors of the corporation. The
45	45	commissioners court must send the notice not later than the 60th day
46	46	before the date the commissioners court orders the election. The
47	47	governing body of the municipality may exclude the territory of the
48	48	municipality from the proposed district by sending notice by
49	49	certified mail to the commissioners court of the governing body's
50	50	desire to exclude the municipal territory from the district. The
51	51	governing body must send the notice not later than the 45th day
52	52	after the date the governing body receives notice from the
53	53	commissioners court under this subsection. The territory of a
54	54	municipality that is excluded under this subsection may
55	55	subsequently be included in the district in an election held under
56	56	Subsection (f) with the consent of the municipality or in another
57	57	district after following the procedures of this subsection.
58	58	(c) The ballot at the election must be printed to permit
59	59	voting for or against the proposition: "Authorizing the creation
60	60	of the _____________ County Assistance District No. (insert
61	61	name of district) and the imposition of a sales and use tax at the
62	62	rate of _____ of one percent (insert one-eighth, one-fourth,
63	63	three-eighths, or one-half, as appropriate) for the purpose of
64	64	financing the operations of the district."
65	65	(d) The district is created if a majority of the votes
66	66	received at the election favor the creation of the district.
67	67	(e) If a majority of the votes received at the election are
68	68	against the creation of the district, then the district is not
69	69	created and the county may call other elections [another election]
70	70	on the questions [question] of creating [a] county assistance
71	71	districts [district may not be held in the county before the first
72	72	anniversary of the most recent election concerning the creation of
73	73	a district].
74	74	(f) The commissioners court may call an election to be held
75	75	in an area of the county that is not located in a district created
76	76	under this section to determine whether the area should be included
77	77	in the district and whether the district's sales and use tax should
78	78	be imposed in the area. An election may not be held in an area in
79	79	which the combined tax rate of all local sales and use taxes
80	80	imposed, including the rate to be imposed by the district if
81	81	approved at the election, would exceed the limits on the combined
82	82	rate of sales and use taxes of the county, municipalities, and
83	83	political subdivisions of this state under Sections 321.101 and
84	84	323.101, Tax Code [two percent].
85	85	(g) The area in which an election is held under Subsection
86	86	(f) is included in the district and the sales and use tax is imposed
87	87	if a majority of the votes received at the election favor inclusion
88	88	in the district and imposition of the sales and use tax.
89	89	(h) If more than one election to authorize a local sales and
90	90	use tax is held on the same day in the area of a proposed district or
91	91	an area proposed to be added to a district and if the resulting
92	92	approval by the voters would cause the imposition of a local sales
93	93	and use tax in any area to exceed the limits on the combined rate of
94	94	sales and use taxes of the county, municipalities, and political
95	95	subdivisions of this state under Sections 321.101 and 323.101, Tax
96	96	Code [two percent], only a tax authorized at an election under this
97	97	section may be imposed.
98	98	(i) In addition to the authority to include an area in a
99	99	district under subsection (f), the governing body of a district by
100	100	order may include an area in the district upon receipt of a petition
101	101	or petitions signed by a majority in value of the owners of land in
102	102	the area to be included. If there are no qualified voters residing
103	103	in the area to be included, then no election is required.
104	104	(j) The commissioners court may exclude an area from a
105	105	district by order if the district has no outstanding bonds payable
106	106	in whole or in part from sales and use taxes and the exclusion does
107	107	not impair any outstanding district debt or contractual obligation
108	108	while any district debt or contractual obligation remains
109	109	outstanding.
110	110	SECTION 2. Section 387.005, Local Government Code, is
111	111	amended to read as follows:
112	112	Sec. 387.005. GOVERNING BODY. (a) The commissioners court
113	113	of the county in which the district is created shall provide by
114	114	order that:
115	115	(1) the commissioners court is the governing body of
116	116	the district; or
117	117	(2) a governing body of the district shall be
118	118	appointed by the commissioners court.
119	119	(b) A member of the [commissioners court] governing body of
120	120	the district is not entitled to compensation for service [on the
121	121	governing body of the district] but is entitled to reimbursement
122	122	for actual and necessary expenses.
123	123	(c) A governing body appointed by the commissioners court
124	124	under this section shall consist of five directors who serve
125	125	staggered terms of four years. To be qualified to serve as a
126	126	director, a person shall be at least 18 years old and a resident
127	127	citizen of the county in which the district is located. The initial
128	128	directors shall draw lots to achieve staggered terms, with three of
129	129	the directors serving two year terms and two of the directors
130	130	serving four year terms.
131	131	SECTION 3. Section 387.006, Local Government Code, is
132	132	amended to read as follows:
133	133	Sec. 387.006. GENERAL POWERS OF DISTRICT. (a) A district
134	134	may:
135	135	(1) perform any act necessary to the full exercise of
136	136	the district's functions;
137	137	(2) accept a grant or loan from:
138	138	(A) the United States;
139	139	(B) an agency or political subdivision of this
140	140	state; or
141	141	(C) a public or private person;
142	142	(3) acquire, sell, lease, convey, or otherwise dispose
143	143	of property or an interest in property under terms determined by the
144	144	district;
145	145	(4) employ necessary personnel; [and]
146	146	(5) adopt rules to govern the operation of the
147	147	district and its employees and property; and
148	148	(6) enter into agreements with municipalities
149	149	necessary or convenient for the full exercise of the district's
150	150	functions, including agreements regarding the duration, rate and
151	151	allocation between the district and the municipality of sales and
152	152	use taxes.
153	153	(b) A district may contract with a public or private person
154	154	to perform any act the district is authorized to perform under this
155	155	chapter.
156	156	(c) A district may not levy an ad valorem tax.
157	157	SECTION 4. Section 387.007, Local Government Code, is
158	158	amended to read as follows:
159	159	Sec. 387.007. SALES AND USE TAX. (a) A district by order
160	160	may impose a sales and use tax under this chapter to finance the
161	161	operations of the district only if the tax is approved at an
162	162	election held under Section 387.003.
163	163	(b) A district may not adopt a sales and use tax under this
164	164	chapter if the adoption of the tax would result in a combined tax
165	165	rate of all local sales and use taxes that would exceed the limits
166	166	under Sections 321.101 and 323.101, Tax Code [of more than two
167	167	percent] in any location in the district.
168	168	(c) A district may define areas within the district and
169	169	impose different rates of sales and use tax within each area,
170	170	provided that no sales and use tax rate exceeds the rate approved at
171	171	an election held under Section 387.003.
172	172	SECTION 5. Section 387.009, Local Government Code, is
173	173	amended to read as follows:
174	174	Sec. 387.009. TAX RATE. The rate of a tax adopted under
175	175	this chapter must be in increments of one-eighth, one-fourth,
176	176	three-eighths, or one-half of one percent.
177	177	SECTION 6. Section 387.010, Local Government Code, is
178	178	amended to read as follows:
179	179	Sec. 387.010. REPEAL OR RATE CHANGE. (a) A district that
180	180	has adopted a sales and use tax under this chapter may, by order and
181	181	subject to Section 387.007(b), [change] reduce the rate of the tax
182	182	or repeal the tax without an election, provided that the district
183	183	may not repeal the sales and use tax or reduce the rate of the sales
184	184	and use tax below the amount pledged to secure payment of any
185	185	outstanding district debt or contractual obligation while any
186	186	district debt or contractual obligation remains outstanding. A
187	187	district may, by order and subject to Section 387.007(b), increase
188	188	the rate of the sales and use tax, provided that the increased rate
189	189	does not exceed the rate approved at an election held under Section
190	190	387.003. If the increased rate of the sales and use tax exceeds the
191	191	rate approved at an election held under Section 387.003, then a
192	192	district may, by order and subject to Section 387.007(b), increase
193	193	the rate if the increase [change or repeal] is approved by a
194	194	majority of the votes received in the district at an election held
195	195	for that purpose.
196	196	(b) The tax may be changed under Subsection (a) in one or
197	197	more increments of one-eighth of one percent [to a maximum of
198	198	one-half of one percent].
199	199	(c) The ballot for an election to [change] increase the tax
200	200	shall be printed to permit voting for or against the proposition:
201	201	"The [change] increase of a sales and use tax for the _____________
202	202	County Assistance District No. (insert name of district) from
203	203	the rate of _____ of one percent (insert in increments of
204	204	one-eighth, one-fourth, three-eighths, or one-half, as
205	205	appropriate) to the rate of _____ of one percent (insert in
206	206	increments of one-eighth, one-fourth, three-eighths, or one-half,
207	207	as appropriate)."
208	208	(d) The ballot for the election to repeal the tax shall be
209	209	printed to permit voting for or against the proposition. "The
210	210	repeal of the sales and use tax for financing the _____________
211	211	County Assistance District (insert name of district)."
212	212	SECTION 7. Section 387.012, Local Government Code, is
213	213	amended to read as follows:
214	214	Sec. 387.012. EFFECTIVE DATE OF TAX. The adoption of the
215	215	tax, the [change] increase or reduction of the tax rate, or the
216	216	repeal of the tax takes effect on the first day of the first
217	217	calendar quarter occurring after the expiration of the first
218	218	complete quarter occurring after the date the comptroller receives
219	219	a [notice of the results of the election] copy of the order of the
220	220	governing body adopting, [changing] increasing, reducing, or
221	221	repealing the tax.
222	222	SECTION 8. This Act takes effect immediately if it receives
223	223	a vote of two-thirds of all the members elected to each house, as
224	224	provided by Section 39, Article III, Texas Constitution. If this
225	225	Act does not receive the vote necessary for immediate effect, this
226	226	Act takes effect September 1, 2009.