By: Perry (Senate Sponsor - Seliger) H.B. No. 2688
(In the Senate - Received from the House May 6, 2013;
May 7, 2013, read first time and referred to Committee on
Intergovernmental Relations; May 14, 2013, reported adversely,
with favorable Committee Substitute by the following vote: Yeas 5,
Nays 0; May 14, 2013, sent to printer.)
COMMITTEE SUBSTITUTE FOR H.B. No. 2688 By: Nichols
A BILL TO BE ENTITLED
AN ACT
relating to the Seminole Hospital District of Gaines County, Texas,
and to the fiscal year of the Dallam-Hartley Counties Hospital
District.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1018.155(b), Special District Local Laws
Code, is amended to read as follows:
(b) The fiscal year may not be changed[:
[(1) during the time revenue bonds of the district are
outstanding; or
[(2)] more than once in a 24-month period.
SECTION 2. Section 1094.051, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.051. BOARD ELECTION; TERM. (a) The board
consists of four directors elected from single-member districts and
three [seven] directors elected from the district at large.
(b) Directors [Unless four-year terms are established under
Section 285.081, Health and Safety Code, directors] serve staggered
three-year [two-year] terms.
SECTION 3. Section 1094.052, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.052. NOTICE OF ELECTION. Notice [At least 10 days
before the date] of an election of directors[, notice of the
election] shall be published in accordance with Section 4.003,
Election Code, [one time] in a newspaper of general circulation in
Gaines County.
SECTION 4. Section 1094.053, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.053. BALLOT APPLICATION [PETITION]. A person who
wants to have the person's name printed on the ballot as a candidate
for director must file with the board secretary an application in
accordance with Chapter 144, Election Code [a petition requesting
that action. The petition must be:
[(1) signed by at least 25 voters; and
[(2) filed at least 25 days before the date of the
election].
SECTION 5. Section 1094.103, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.103. OVERSIGHT AND [MANAGEMENT,] CONTROL[, AND
ADMINISTRATION]. The board shall oversee and [manage,] control[,
and administer] the hospital system and the district's money and
resources.
SECTION 6. Section 1094.110, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.110. CONSTRUCTION [OR PURCHASE] CONTRACTS. A
construction [or purchase] contract that involves the expenditure
of more than the amount provided by Section 271.024, Local
Government Code, [$2,000] may be made only after advertising in the
manner provided by Subchapter B, Chapter 271 [Chapter 252 and
Subchapter C, Chapter 262], Local Government Code.
SECTION 7. Sections 1094.202(c) and (d), Special District
Local Laws Code, are amended to read as follows:
(c) Any resident [property taxpayer] of the district is
entitled to be present and participate at the hearing.
(d) At the conclusion of the hearing, the board shall adopt
a budget by acting on the budget proposed by the district
administrator. The board may make any changes in the proposed
budget that the board judges to be in the interest of the residents
of the district [taxpayers] and that the law warrants.
SECTION 8. Section 1094.205, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.205. FISCAL YEAR. (a) The district operates
according to a fiscal year that begins on October 1 and ends on
September 30, or as established by the board.
(b) The fiscal year may not be changed if revenue bonds of
the district are outstanding or more than once in a 24-month period.
SECTION 9. Section 1094.209(a), Special District Local Laws
Code, is amended to read as follows:
(a) The board shall select one or more banks [in the
district] to serve as a depository for district money.
SECTION 10. Section 1094.253(b), Special District Local
Laws Code, is amended to read as follows:
(b) The order calling the election shall provide for clerks
as in county elections and must specify:
(1) the date of the election;
(2) the location of the polling places;
(3) the presiding and alternate election judges for
each polling place;
(4) the amount of the bonds to be authorized; and
(5) the maximum maturity [interest rate] of the bonds.
SECTION 11. Section 1094.254, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.254. MATURITY OF GENERAL OBLIGATION BONDS.
District general obligation bonds must mature not later than the
maximum maturity stated in the order calling the election [40 years
after the date of issuance].
SECTION 12. Subchapter F, Chapter 1094, Special District
Local Laws Code, is amended by adding Section 1094.259 to read as
follows:
Sec. 1094.259. ADDITIONAL MEANS OF SECURING REPAYMENT OF
BONDS. In addition to the authority to issue general obligation
bonds and revenue bonds under this subchapter, the board may
provide for the security and payment of district bonds from a pledge
of a combination of ad valorem taxes as authorized by Section
1094.252 and revenue and other sources as authorized by Section
1094.256.
SECTION 13. Subchapter F, Chapter 1094, Special District
Local Laws Code, is amended by adding Section 1094.260 to read as
follows:
Sec. 1094.260. USE OF BOND PROCEEDS. The district may use
the proceeds of bonds issued under this subchapter to pay:
(1) any expense the board determines is reasonable and
necessary to issue, sell, and deliver the bonds;
(2) interest payments on the bonds during a period of
acquisition or construction of a project or facility to be provided
through the bonds, not to exceed five years;
(3) costs related to the physical maintenance of a
project or facility to be provided through the bonds:
(A) during an estimated period of acquisition or
construction, not to exceed five years; and
(B) for one year after the project or facility is
acquired or constructed;
(4) costs related to the financing of the bond funds,
including debt service reserve and contingency funds;
(5) costs related to the issuance of the bonds;
(6) costs related to the acquisition of land or
interests in land for a project or facility to be provided through
the bonds; and
(7) costs of construction of a project or facility to
be provided through the bonds, including the payment of related
professional services and expenses.
SECTION 14. Section 1094.303, Special District Local Laws
Code, is amended to read as follows:
Sec. 1094.303. ASSESSMENT AND COLLECTION OF TAXES [BY
COUNTY TAX ASSESSOR-COLLECTOR]. The board may provide for the
appointment of a tax assessor-collector for the district or may
contract for the assessment and collection of taxes as provided by
the Tax Code. [(a) This section applies unless the board elects to
have taxes assessed and collected under Section 1094.304.
[(b) The tax assessor-collector of Gaines County shall
assess and collect taxes imposed by the district.]
SECTION 15. Chapter 1094, Special District Local Laws Code,
is amended by adding Subchapter H to read as follows:
SUBCHAPTER H. DISSOLUTION
Sec. 1094.401. DISSOLUTION; ELECTION. (a) The district may
be dissolved only on approval of a majority of the district voters
voting in an election held for that purpose.
(b) The board may order an election on the question of
dissolving the district and disposing of the district's assets and
obligations.
(c) The order calling the election must state:
(1) the nature of the election, including the
proposition to appear on the ballot;
(2) the date of the election;
(3) the hours during which the polls will be open; and
(4) the location of the polling places.
Sec. 1094.402. NOTICE OF ELECTION. (a) The board shall give
notice of an election under this subchapter by publishing once a
week for two consecutive weeks a substantial copy of the election
order in a newspaper with general circulation in the district.
(b) The first publication of the notice must appear not
later than the 35th day before the date set for the election.
Sec. 1094.403. BALLOT. The ballot for an election under
this subchapter must be printed to permit voting for or against the
proposition: "The dissolution of the Seminole Hospital District of
Gaines County, Texas."
Sec. 1094.404. ELECTION RESULTS. (a) If a majority of the
votes in an election under this subchapter favor dissolution, the
board shall find that the district is dissolved.
(b) If a majority of the votes in the election do not favor
dissolution, the board shall continue to administer the district
and another election on the question of dissolution may not be held
before the first anniversary of the date of the most recent election
to dissolve the district.
Sec. 1094.405. TRANSFER OR ADMINISTRATION OF ASSETS. (a)
If a majority of the votes in the election held under this
subchapter favor dissolution, the board shall:
(1) transfer the land, buildings, improvements,
equipment, and other assets that belong to the district to Gaines
County or another governmental entity in Gaines County; or
(2) administer the property, assets, and debts until
all money has been disposed of and all district debts have been paid
or settled.
(b) If the district makes the transfer under Subsection
(a)(1), the county or entity assumes all debts and obligations of
the district at the time of the transfer, and the district is
dissolved.
(c) If Subsection (a)(1) does not apply and the board
administers the property, assets, and debts of the district under
Subsection (a)(2), the district is dissolved when all money has
been disposed of and all district debts have been paid or settled.
Sec. 1094.406. IMPOSITION OF TAX AND RETURN OF SURPLUS
TAXES. (a) After the board finds that the district is dissolved,
the board shall:
(1) determine the debt owed by the district; and
(2) impose on the property included in the district's
tax rolls a tax that is in proportion of the debt to the property
value.
(b) On the payment of all outstanding debts and obligations
of the district, the board shall order the secretary to return to
each district taxpayer the taxpayer's pro rata share of all unused
tax money.
(c) A taxpayer may request that the taxpayer's share of
surplus tax money be credited to the taxpayer's county taxes. If a
taxpayer requests the credit, the board shall direct the secretary
to transmit the money to the county tax assessor-collector.
Sec. 1094.407. REPORT; DISSOLUTION ORDER. (a) After the
district has paid all district debts and has disposed of all
district money and other assets as prescribed by this subchapter,
the board shall file a written report with the Commissioners Court
of Gaines County summarizing the board's actions in dissolving the
district.
(b) Not later than the 10th day after the date the
Commissioners Court of Gaines County receives the report and
determines that the requirements of this subchapter have been
fulfilled, the commissioners court shall enter an order dissolving
the district and releasing the board from any further duty or
obligation.
SECTION 16. (a) The election of the board of directors of
the Seminole Hospital District of Gaines County, Texas, scheduled
to be held in 2014 must be held. The directors elected to places 3
and 4 at the election shall serve two-year terms. A director
elected to an at-large position on the board at the election held in
2014 shall serve a three-year term.
(b) The election of the board of directors scheduled to be
held in 2015 must be held, and all directors elected at that
election shall serve three-year terms.
(c) The directors elected at the elections to be held in
2016, 2017, and 2018 shall serve three-year terms.
SECTION 17. (a) Except as provided by Subsection (b) of
this section:
(1) this Act takes effect immediately if it receives a
vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution; and
(2) if this Act does not receive the vote necessary for
immediate effect, this Act takes effect September 1, 2013.
(b) Section 1094.051, Special District Local Laws Code, as
amended by this Act, takes effect January 1, 2014.
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