82R10757 JSA-D
By: Cain H.B. No. 3300
A BILL TO BE ENTITLED
AN ACT
relating to mechanisms to address the adverse impact of unfunded
state mandates on local governments.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The heading to Chapter 320, Government Code, is
amended to read as follows:
CHAPTER 320. REVIEW OF UNFUNDED LEGISLATIVE MANDATES
ON POLITICAL SUBDIVISIONS
SECTION 2. Section 320.001, Government Code, is amended to
read as follows:
Sec. 320.001. DEFINITIONS [DEFINITION]. In this chapter:
(1) "Interagency work group" means the unfunded
mandates interagency work group.
(2) "Mandate" [, "mandate"] means a requirement made
by a statute enacted by the legislature on or after January 1, 2011
[1997], that requires a political subdivision to establish, expand,
or modify a duty or [an] activity in a way that requires the
expenditure of revenue by the political subdivision that would not
have been required in the absence of the statutory provision.
SECTION 3. Chapter 320, Government Code, is amended by
adding Section 320.002 to read as follows:
Sec. 320.002. UNFUNDED MANDATES INTERAGENCY WORK GROUP.
(a) The unfunded mandates interagency work group consists of:
(1) the state auditor;
(2) the director of the Legislative Budget Board;
(3) the comptroller;
(4) a senator appointed by the lieutenant governor;
and
(5) a member of the house of representatives appointed
by the speaker of the house of representatives.
(b) A member of the interagency work group is not entitled
to additional compensation for service on the work group.
(c) A member of the interagency work group may use any
person employed by the member's agency to complete the member's work
on the work group.
(d) The members of the interagency work group may enter into
an interagency memorandum of understanding regarding the
completion of the work required by this chapter.
SECTION 4. The heading to Section 320.003, Government Code,
is amended to read as follows:
Sec. 320.003. ADVISORY LIST OF UNFUNDED MANDATES.
SECTION 5. Section 320.003(a), Government Code, is amended
to read as follows:
(a) On or before the September 1 following a regular session
of the legislature and on or before the 90th day after the last day
of a special session of the legislature, the interagency work group
shall publish an advisory [a] list of mandates for which the
legislature has not provided reimbursement under Subsection (b) and
that were enacted by the legislature during that legislative
session. By that same date the interagency work group shall:
(1) remove from the advisory list of mandates for a
previous legislative session those mandates for which the
legislature has provided reimbursement under Subsection (b), those
that are no longer subject to reimbursement, and those that are no
longer in effect; and
(2) add to the advisory list a mandate from a previous
legislative session for which reimbursement was provided under
Subsection (b) in the previous session but for which reimbursement
was not provided in the most recent regular session or in any
subsequent special sessions.
SECTION 6. Chapter 320, Government Code, is amended by
adding Section 320.005 to read as follows:
Sec. 320.005. APPLICABILITY OF MANDATES. (a) A political
subdivision is only required to comply with a mandate for which the
legislature has provided reimbursement under Section 320.003(b).
(b) For purposes of determining compliance with a mandate, a
political subdivision may act in reliance on the advisory list of
unfunded mandates published under Section 320.003(a).
SECTION 7. Subtitle B, Title 3, Government Code, is amended
by adding Chapter 320A to read as follows:
CHAPTER 320A. STATE-LOCAL COOPERATION
REGARDING STATE MANDATES
Sec. 320A.001. PURPOSE. The purpose of this chapter is to
strengthen the partnership between the state and local governments
in order to prevent the imposition of state regulatory and
statutory mandates on local governments without adequate funding in
a manner that may displace other essential local governmental
priorities by promoting informed and deliberate decisions by the
legislature and state agencies on the appropriateness of state
mandates through:
(1) consultation with affected units of local
government; and
(2) full consideration of the costs of those mandates
on local governments.
Sec. 320A.002. DEFINITIONS. In this chapter:
(1) "Board" means the Legislative Budget Board.
(2) "Rule" has the meaning assigned by Section
2001.003.
(3) "State agency" means any entity in the executive
or judicial branch of state government.
(4) "State mandate" means a requirement made by a
statute enacted by the legislature or by a rule or policy adopted by
a state agency that requires a political subdivision to establish,
expand, or modify an activity in a way that requires the expenditure
of revenue by the political subdivision that would not have been
required in the absence of the statutory provision, rule, or
policy.
Sec. 320A.003. CONSULTATION WITH LOCAL GOVERNMENTS
REGARDING REGULATORY MANDATES. (a) Each state agency that
proposes to adopt or amend a rule that directly affects one or more
classes of political subdivisions shall solicit comments and advice
regarding the probable costs and other adverse impact on affected
political subdivisions from:
(1) representatives or advisory panels with
appropriate expertise and experience from each affected class of
political subdivision; and
(2) statewide organizations representing a
substantial number of members of each affected class of political
subdivision.
(b) Not later than the 10th day before the date a state
agency adopts or amends a rule that directly affects one or more
classes of political subdivisions, the agency shall:
(1) prepare a local government impact statement that
takes into account the comments and advice received under
Subsection (a) and includes an analysis of the probable costs to
affected political subdivisions of compliance with the rule; and
(2) deliver a copy of the impact statement and the
proposed rule to the board, to the lieutenant governor and the
speaker of the house of representatives, and to the standing
committees of each house with primary jurisdiction over the agency
or the subject matter to which the proposed rule applies.
(c) The board shall prescribe recommended procedures for
compliance by state agencies with this section.
(d) For purposes of Subsection (a)(1), the Texas Juvenile
Probation Commission shall establish a panel of professionals
representing county juvenile probation departments to review
proposed rules of the commission. In consultation with the panel,
the commissions shall develop a feasibility and cost analysis
profile for each proposed rule to be included in the impact
statement prepared under Subsection (b).
Sec. 320A.004. IMPACT STATEMENTS FOR STATE LEGISLATIVE
MANDATES. (a) The board shall establish procedures by which the
board examines each bill or proposed constitutional amendment filed
in either house of the legislature to:
(1) identify any state mandates included in the
measure;
(2) estimate the probable costs to affected political
subdivisions of compliance with any state mandate identified by the
board; and
(3) determine whether the measure provides a specific,
sufficient source of funding of any identified state mandate.
(b) To the extent practicable, the board shall consult with
appropriate representatives of the various classes of political
subdivisions to give those political subdivisions an opportunity to
provide assistance to the board in identifying state mandates in
proposed legislation and estimating the probable costs of those
mandates on affected political subdivisions.
(c) The board shall prepare a state mandate impact analysis
based on the board's examination under Subsection (a) and shall
deliver a copy of the impact analysis to:
(1) each author or sponsor of the measure; and
(2) each legislative committee considering the
measure.
Sec. 320A.005. REVIEW OF EXISTING STATE REGULATORY
MANDATES. (a) Each state agency, not later than January 1, 2012,
shall submit to the interagency work group established under
Chapter 320 in the form prescribed by the work group a list of all
rules adopted by the agency on or after January 1, 2003. For each
rule on the list, the agency shall:
(1) state the statutory or other legal authority for
the rule;
(2) provide a brief statement of the background and
purpose of the rule; and
(3) include an analysis of the direct impact,
including compliance costs, of the rule on political subdivisions.
(b) Not later than January 1, 2013, the interagency work
group shall:
(1) review each rule submitted under Subsection (a) to
determine whether the rule includes one or more state mandates;
(2) estimate the probable costs to affected political
subdivisions of compliance with any state mandate included in the
rule;
(3) determine whether, for a rule that includes a
state mandate, the state has provided a source of funding other than
general revenue of the affected political subdivisions to cover the
costs to those political subdivisions to comply with the mandate;
and
(4) for any state mandate identified by the work
group, recommend to the legislature and the state agency that
adopted the rule:
(A) whether the rule should be repealed or
modified to reduce the unfunded impact of the rule on political
subdivisions; and
(B) whether the state should provide a source of
funding to cover the costs to political subdivisions to comply with
the mandate.
(c) This section expires January 1, 2014.
SECTION 8. Section 320.004, Government Code, is repealed.
SECTION 9. This Act takes effect September 1, 2011.