Texas 2015 - 84th Regular

Texas House Bill HB539 Compare Versions

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11 84R4184 TJB-D
22 By: King of Parker H.B. No. 539
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55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the procedural requirements for the adoption of a
88 municipal regulation, limitation, or prohibition on the
99 production, storage, or transportation of oil or natural gas;
1010 authorizing a fee.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Subtitle A, Title 7, Local Government Code, is
1313 amended by adding Chapter 218 to read as follows:
1414 CHAPTER 218. MUNICIPAL REGULATION OF PRODUCTION, STORAGE, OR
1515 TRANSPORTATION OF OIL OR NATURAL GAS
1616 Sec. 218.001. DEFINITIONS. In this chapter:
1717 (1) "Affected area" means a geographic area impacted
1818 by an oil or gas measure.
1919 (2) "Gas" means natural gas.
2020 (3) "Oil" means crude oil or crude petroleum oil.
2121 (4) "Oil or gas measure" means a municipal ordinance
2222 or other municipal measure, including a measure requiring approval
2323 by voters, to regulate, limit, or prohibit the production, storage,
2424 or transportation of oil or gas.
2525 (5) "Political subdivision" means a municipality,
2626 county, school district, junior college district, other special
2727 district, or other subdivision of state government.
2828 Sec. 218.002. ADDITIONAL PROCEDURAL REQUIREMENTS. A
2929 municipality with authority to adopt an oil or gas measure may not
3030 adopt an oil or gas measure unless the municipality complies with
3131 the requirements of this chapter, in addition to other requirements
3232 prescribed by law.
3333 Sec. 218.003. PREPARATION OF FISCAL NOTES AND EQUALIZED
3434 EDUCATION FUNDING IMPACT STATEMENTS. (a) A municipality must
3535 submit any request for the preparation of a fiscal note and an
3636 equalized education funding impact statement for an oil or gas
3737 measure required under this chapter in writing and addressed to the
3838 director of the Legislative Budget Board.
3939 (b) The Legislative Budget Board shall prepare a fiscal note
4040 and an equalized education funding impact statement if requested by
4141 a municipality.
4242 (c) A municipality shall pay the cost to prepare a fiscal
4343 note and an equalized education funding impact statement and any
4444 administrative fee determined by the director of the Legislative
4545 Budget Board to be necessary to administer the preparation of
4646 documents requested under this section.
4747 (d) In preparing a fiscal note and an equalized education
4848 funding impact statement, the director of the Legislative Budget
4949 Board may use information or data supplied by any person, agency,
5050 organization, or governmental unit that the director considers
5151 reliable.
5252 Sec. 218.004. CONTENTS OF FISCAL NOTES. (a) In preparing a
5353 fiscal note for an oil or gas measure, the Legislative Budget Board
5454 shall identify:
5555 (1) the fiscal implications of the measure to the
5656 state and local governments of the state;
5757 (2) the probable cost to the state that will result
5858 from the measure, including:
5959 (A) the loss of tax revenue from all sources;
6060 (B) the loss of revenue from fees, licenses,
6161 penalties, or other charges;
6262 (C) the loss of royalty income; and
6363 (D) the diversion of state funds for a purpose
6464 other than one provided for in the state general appropriations
6565 bill;
6666 (3) the probable cost to political subdivisions in the
6767 affected area that will result from the measure, including:
6868 (A) the loss of tax revenue from all sources;
6969 (B) the loss of revenue from fees, licenses,
7070 penalties, or other charges; and
7171 (C) the loss of royalty income; and
7272 (4) the amount of money the municipality adopting the
7373 measure will be required to annually remit to the state as
7474 reimbursement for the cost to the state resulting from the measure,
7575 calculated as the sum of:
7676 (A) the probable cost identified in Subdivision
7777 (2); and
7878 (B) the amount of the applicable difference
7979 calculated under Section 218.005.
8080 (b) A fiscal note must state whether costs or diversions
8181 identified in Subsection (a) will be involved after the projected
8282 five-year period as determined under Subsection (c).
8383 (c) In preparing a fiscal note, the Legislative Budget Board
8484 must project the implications, costs, and amounts identified in
8585 Subsection (a) for each year of a five-year period. For a fiscal
8686 note requested before the oil or gas measure is adopted, the
8787 Legislative Budget Board must use the five-year period beginning on
8888 January 1 of the year following the year in which the request is
8989 made. For a fiscal note requested after a measure is adopted, the
9090 Legislative Budget Board must use the five-year period beginning on
9191 the date the measure takes effect.
9292 Sec. 218.005. CONTENTS OF EQUALIZED EDUCATION FUNDING
9393 IMPACT STATEMENTS. (a) In preparing an equalized education funding
9494 impact statement for an oil or gas measure, the Legislative Budget
9595 Board shall determine the applicable difference calculated under
9696 this section that will result from the measure.
9797 (b) For a school district in the affected area that is
9898 required to take action to achieve the equalized wealth level under
9999 Chapter 41, Education Code, the Legislative Budget Board, based on
100100 the comptroller's projection under Subsection (f), shall determine
101101 the difference between the anticipated total cost of attendance
102102 credits for the district under Section 41.093, Education Code, and
103103 the total cost of attendance credits under that section that would
104104 result if the district's maintenance and operations tax revenue
105105 were not reduced as a result of the oil or gas measure.
106106 (c) For a school district in the affected area that is not
107107 required to take action to achieve the equalized wealth level under
108108 Chapter 41, Education Code, the Legislative Budget Board, based on
109109 the comptroller's projection under Subsection (f), shall
110110 determine:
111111 (1) the difference between the district's anticipated
112112 local share under Section 42.252, Education Code, and the local
113113 share that would result if the district's taxable value of property
114114 were not reduced as a result of the oil or gas measure;
115115 (2) if applicable, the difference between the amount
116116 of state revenue to which the district is anticipated to be entitled
117117 under Section 42.2516, Education Code, and the amount of state
118118 revenue to which the district would be entitled under that section
119119 if the district's taxable value of property were not reduced as a
120120 result of the measure; and
121121 (3) the difference between the anticipated guaranteed
122122 yield amount of state funds to be allocated to the district under
123123 Section 42.302, Education Code, and the amount that would be
124124 allocated to the district if the district's taxable value of
125125 property were not reduced as a result of the measure.
126126 (d) For purposes of making the determinations required by
127127 Subsections (b) and (c), the Legislative Budget Board shall assume
128128 for each year of the projected five-year period, as determined
129129 under Subsection (e), that a district's maintenance and operations
130130 tax rate and number of students in weighted average daily
131131 attendance is the same as the district's maintenance and operations
132132 tax rate and number of students in weighted average daily
133133 attendance for the school year during which the determinations are
134134 made.
135135 (e) In preparing an equalized education funding impact
136136 statement, the Legislative Budget Board must project the
137137 differences calculated under this section for each year of a
138138 five-year period, as determined in the same manner as the five-year
139139 period is determined for a fiscal note under Section 218.004(c).
140140 (f) For each school district in the affected area, the
141141 comptroller shall project for each year of the five-year period, as
142142 determined under Subsection (e), the anticipated reduction in the
143143 district's taxable value of property determined under Subchapter M,
144144 Chapter 403, Government Code, resulting from the oil or gas
145145 measure.
146146 Sec. 218.006. NOTICE OF HEARING. For each hearing at which
147147 an oil or gas measure will be considered, a municipality must
148148 provide public notice that includes the following documents and
149149 statements:
150150 (1) a current copy of:
151151 (A) the measure;
152152 (B) a fiscal note prepared by the Legislative
153153 Budget Board for the measure; and
154154 (C) an equalized education funding impact
155155 statement prepared by the Legislative Budget Board for the measure;
156156 (2) a statement that the municipality will be required
157157 to reimburse the state for the cost to the state for a five-year
158158 period resulting from the measure as determined by the fiscal note
159159 prepared by the Legislative Budget Board;
160160 (3) a separate statement of the amount specified in
161161 the current fiscal note that the municipality will be required to
162162 annually remit to the state as reimbursement for the cost described
163163 by Subdivision (2); and
164164 (4) a statement describing in detail the source or
165165 sources of money that the municipality will use to reimburse the
166166 state for the cost described by Subdivision (2), including if
167167 applicable:
168168 (A) the type and amount of each new tax or fee the
169169 municipality will enact or adopt and the revenue projected to be
170170 raised from the new tax or fee;
171171 (B) the type of each existing tax or fee that the
172172 municipality will increase the rate or amount of, the amount of the
173173 increase, and the revenue projected to be raised from the increase;
174174 and
175175 (C) the specific expenses for the maintenance and
176176 operation of the municipality that will be reduced, and the revenue
177177 projected to be saved from those reductions.
178178 Sec. 218.007. CONTENTS OF BALLOT PROPOSITION. The
179179 governing body of a municipality must ensure that an oil or gas
180180 measure submitted to municipal voters at an election for approval
181181 includes a copy of the documents and statements described by
182182 Section 218.006.
183183 Sec. 218.008. NOTICE OF ADOPTED OIL OR GAS MEASURE. (a)
184184 Before a municipality may begin to enforce an oil or gas measure,
185185 the municipality must provide public notice of the adoption of the
186186 measure. The notice must include the documents and statements
187187 described by Section 218.006 for the adopted version of the
188188 measure.
189189 (b) Notice under this section must be:
190190 (1) published in a newspaper of general circulation in
191191 the municipality;
192192 (2) posted continuously on the municipality's Internet
193193 website, if the municipality maintains a website, until the first
194194 anniversary of the date the oil or gas measure takes effect; and
195195 (3) made available for public inspection.
196196 (c) The notice required by this section is in addition to a
197197 notice required by other law.
198198 Sec. 218.009. REIMBURSEMENT FOR COST TO STATE. (a) If a
199199 municipality adopts an oil or gas measure, the municipality shall
200200 reimburse the state for the cost to the state for a five-year period
201201 resulting from the measure as determined by the fiscal note
202202 prepared under this chapter.
203203 (b) The municipality shall notify the comptroller in
204204 writing that the oil or gas measure has been adopted not later than
205205 the 10th day after the date the measure is adopted.
206206 (c) By the dates and in the manner determined by the
207207 comptroller, the municipality shall remit five annual payments to
208208 the comptroller in the amount calculated under Section
209209 218.004(a)(4) as specified in the fiscal note for the oil or gas
210210 measure.
211211 (d) The comptroller shall deposit the portion of the amount
212212 remitted by the municipality described by Section 218.004(a)(4)(A)
213213 in the general revenue fund and the amount described by Section
214214 218.004(a)(4)(B) in the foundation school fund.
215215 SECTION 2. Chapter 218, Local Government Code, as added by
216216 this Act, applies only to an oil or gas measure, as defined by
217217 Section 218.001(4), Local Government Code, as added by this Act,
218218 that is adopted on or after the effective date of this Act.
219219 SECTION 3. This Act takes effect immediately if it receives
220220 a vote of two-thirds of all the members elected to each house, as
221221 provided by Section 39, Article III, Texas Constitution. If this
222222 Act does not receive the vote necessary for immediate effect, this
223223 Act takes effect September 1, 2015.