By: Flynn, et al. (Senate Sponsor - Bettencourt) H.B. No. 1378
(In the Senate - Received from the House April 27, 2015;
April 28, 2015, read first time and referred to Committee on
Finance; May 7, 2015, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 13, Nays 0; May 7, 2015,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR H.B. No. 1378 By: Bettencourt
A BILL TO BE ENTITLED
AN ACT
relating to the fiscal transparency of political subdivisions.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 140, Local Government Code, is amended
by adding Section 140.008 to read as follows:
Sec. 140.008. ANNUAL REPORT OF CERTAIN FINANCIAL
INFORMATION. (a) In this section:
(1) "Debt obligation" means debt secured by ad valorem
taxation.
(2) "Political subdivision" means a county,
municipality, school district, junior college district, other
special district, or other subdivision of state government.
(b) A political subdivision shall annually compile and
report the following financial information in the manner prescribed
by this section:
(1) as of the last day of the preceding fiscal year,
debt obligation information for the political subdivision that must
state:
(A) the amount of all authorized debt
obligations;
(B) the principal of all outstanding debt
obligations;
(C) the principal of each outstanding debt
obligation;
(D) the combined principal and interest required
to pay all outstanding debt obligations on time and in full;
(E) the combined principal and interest required
to pay each outstanding debt obligation on time and in full;
(F) if the political subdivision is a
municipality, county, or school district, the amounts required by
Paragraphs (A)-(E) expressed as a per capita amount; and
(G) the following for each debt obligation:
(i) the issued and unissued amount;
(ii) the spent and unspent amount;
(iii) the maturity date; and
(iv) the stated purpose for which the debt
obligation was authorized;
(2) the current credit rating given by any nationally
recognized credit rating organization to debt obligations of the
political subdivision; and
(3) any other information that the political
subdivision considers relevant or necessary to explain the values
required by this subsection.
(c) Not later than the 90th day after the last day of each
fiscal year, a political subdivision shall electronically submit to
the comptroller the financial information described by Subsection
(b) and any other related information required by the comptroller.
The political subdivision must submit the information to the
comptroller in the form and in the manner prescribed by rule by the
comptroller.
(d) The comptroller shall as soon as practicable post the
financial information submitted under Subsection (c) on the
comptroller's Internet website and maintain the posting at all
times. The comptroller shall update the information on the website
when a political subdivision submits new information. The
comptroller may post the information in the format that the
comptroller determines appropriate, provided that the information
for each political subdivision is easily located by searching the
name of the political subdivision on the Internet.
(e) If a political subdivision maintains an Internet
website, the political subdivision shall maintain at all times on
the website a direct link to the location on the comptroller's
website where the financial information submitted to the
comptroller under Subsection (c) may be viewed.
SECTION 2. The requirements to compile and report
information under Section 140.008, Local Government Code, as added
by this Act, apply only to a fiscal year ending on or after the
effective date of this Act.
SECTION 3. This Act takes effect January 1, 2016.
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