Texas Senate Bill SB1361

Texas 2011 - 82nd Regular

• Introduced: 3/9/11
• Out of Senate Committee: 4/6/11
• Refer: 3/22/11
• Voted on by Senate: 4/13/11
• Out of House Committee: 5/19/11
• Report Pass: 4/6/11
• Voted on by House: 5/23/11
• Engrossed: 4/13/11
• Governor Action: 6/17/11
• Refer: 4/29/11
• Report Pass: 5/12/11
• Report Pass: 5/17/11
• Enrolled: 5/23/11
• Passed: 6/17/11

Caption

Relating to the audit report exemption for certain general and special law districts.

Summary

SB1361 seeks to amend Section 49.198 of the Water Code to provide an audit report exemption for certain general and special law districts. This bill allows districts without long-term liabilities or gross receipts exceeding $250,000 to file simplified annual financial reports with the executive director rather than complying with more stringent auditing requirements. By raising the limit from $100,000 to $250,000, the bill aims to relieve smaller districts from the burdens of extensive financial reporting obligations, thus streamlining their operations. The legislation's impact on state laws revolves around easing financial reporting requirements for districts that meet specific criteria. With these changes, eligible districts will not be required to undergo detailed audits as long as they maintain lower financial thresholds. This could potentially enhance efficiency and reduce administrative costs for smaller districts, enabling them to allocate more resources to essential public services. Notably, the bill has generated discussions regarding fiscal responsibility and transparency in local governance. Supporters argue that the amendment simplifies processes for smaller districts, allowing them to function more effectively while maintaining essential financial oversight. Conversely, opponents may concern that easing auditing requirements could lead to a lack of oversight, which may increase the risk of mismanagement or misuse of funds. If enacted, SB1361 could lead to changes in the oversight landscape for smaller districts and potentially influence future legislation regarding financial regulations on local government entities. The balance between maintaining sufficient oversight and reducing administrative burdens for smaller districts remains a critical point of contention.