Texas 2017 - 85th Regular

Texas Senate Bill SB641 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	85R1385 SCL-D
2	2	By: Bettencourt S.B. No. 641
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to periodic zero-based budgeting for certain political
8	8	subdivisions.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subchapter A, Chapter 44, Education Code, is
11	11	amended by adding Section 44.0025 to read as follows:
12	12	Sec. 44.0025. PERIODIC ZERO-BASED BUDGET REQUIRED FOR
13	13	CERTAIN SCHOOL DISTRICTS AND COUNTY DEPARTMENTS OF EDUCATION;
14	14	CONTENTS. (a) This section applies only to:
15	15	(1) a school district with a student enrollment of
16	16	50,000 or more; and
17	17	(2) a county department of education in a county with a
18	18	population of 3.3 million or more.
19	19	(b) In addition to the required annual itemized budget, the
20	20	superintendent of the school district or county department of
21	21	education shall prepare, in plain language and an easily readable
22	22	and understandable format, a zero-based budget every 12th year that
23	23	contains:
24	24	(1) a description of the discrete activities the
25	25	district or department conducts or performs with:
26	26	(A) a justification for each activity by
27	27	reference to a statute, rule, or other legal authority; and
28	28	(B) an evaluation of the effectiveness and
29	29	efficiency of the district's or department's policies, management,
30	30	fiscal affairs, and operations in relation to each activity;
31	31	(2) for each activity identified under Subdivision
32	32	(1), a quantitative estimate of any adverse effects that reasonably
33	33	may be expected to result if the activity were discontinued,
34	34	together with a description of the methods by which the adverse
35	35	effects were estimated;
36	36	(3) for each activity identified under Subdivision
37	37	(1), an itemized account of expenditures required to maintain the
38	38	activity at any minimum level of service required by statute, rule,
39	39	or other legal authority, together with a concise statement of the
40	40	quantity and quality of service required at that minimum level;
41	41	(4) for each activity identified under Subdivision
42	42	(1), an itemized account of expenditures required to maintain the
43	43	activity at the current level of service or performance, together
44	44	with a concise statement of the quantity and quality of service or
45	45	performance provided at that level;
46	46	(5) a ranking of activities identified under
47	47	Subdivision (1) that illustrates the relative importance of each
48	48	activity to the overall goals and purposes of the district or
49	49	department at current service levels; and
50	50	(6) recommendations to the board of trustees of the
51	51	district or department regarding whether the district or department
52	52	should continue funding each activity identified under Subdivision
53	53	(1) and, if so, at what level.
54	54	(c) In preparing the zero-based budget, the superintendent
55	55	of the school district or county department of education may
56	56	require any district or department officer or employee to provide
57	57	information necessary to properly prepare the budget.
58	58	(d) The superintendent of the school district or county
59	59	department of education shall file a copy of the zero-based budget
60	60	with the agency on or before the date the proposed budget is filed,
61	61	and the copy of the zero-based budget shall be available for public
62	62	inspection in the district's or department's central administrative
63	63	office. If the district or department maintains an Internet
64	64	website, the district or department shall take action to ensure
65	65	that the zero-based budget is posted on the website.
66	66	(e) At a public meeting held to adopt a budget, the board of
67	67	trustees of the school district or county department of education
68	68	shall consider information presented in the zero-based budget in
69	69	addition to the proposed budget.
70	70	SECTION 2. Chapter 102, Local Government Code, is amended
71	71	by adding Section 102.0055 to read as follows:
72	72	Sec. 102.0055. PERIODIC ZERO-BASED BUDGET REQUIRED;
73	73	CONTENTS. (a) This section applies only to a municipality with a
74	74	population of 225,000 or more.
75	75	(b) In addition to the annual itemized budget required under
76	76	Section 102.003, the budget officer shall prepare, in plain
77	77	language and an easily readable and understandable format, a
78	78	zero-based budget every 12th year that contains:
79	79	(1) a description of the discrete activities the
80	80	municipality conducts or performs with:
81	81	(A) a justification for each activity by
82	82	reference to a statute, charter provision, ordinance, or other
83	83	legal authority; and
84	84	(B) an evaluation of the effectiveness and
85	85	efficiency of the municipality's policies, management, fiscal
86	86	affairs, and operations in relation to each activity;
87	87	(2) for each activity identified under Subdivision
88	88	(1), a quantitative estimate of any adverse effects that reasonably
89	89	may be expected to result if the activity were discontinued,
90	90	together with a description of the methods by which the adverse
91	91	effects were estimated;
92	92	(3) for each activity identified under Subdivision
93	93	(1), an itemized account of expenditures required to maintain the
94	94	activity at any minimum level of service required by statute,
95	95	charter provision, ordinance, or other legal authority, together
96	96	with a concise statement of the quantity and quality of service
97	97	required at that minimum level;
98	98	(4) for each activity identified under Subdivision
99	99	(1), an itemized account of expenditures required to maintain the
100	100	activity at the current level of service or performance, together
101	101	with a concise statement of the quantity and quality of service or
102	102	performance provided at that level;
103	103	(5) a ranking of activities identified under
104	104	Subdivision (1) that illustrates the relative importance of each
105	105	activity to the overall goals and purposes of the municipality at
106	106	current service levels; and
107	107	(6) recommendations to the governing body of the
108	108	municipality regarding whether the municipality should continue
109	109	funding each activity identified under Subdivision (1) and, if so,
110	110	at what level.
111	111	(c) In preparing the zero-based budget, the budget officer
112	112	may require any municipal officer or board to provide information
113	113	necessary for the budget officer to properly prepare the budget.
114	114	(d) The budget officer shall file a copy of the zero-based
115	115	budget with the municipal clerk on or before the date the proposed
116	116	budget is filed, and the copy of the zero-based budget shall be
117	117	available for public inspection. If the municipality maintains an
118	118	Internet website, the municipal clerk shall take action to ensure
119	119	that the zero-based budget is posted on the website.
120	120	(e) At a public hearing held to adopt a budget under this
121	121	chapter, the governing body of the municipality shall consider
122	122	information presented in the zero-based budget in addition to the
123	123	proposed budget.
124	124	SECTION 3. Subchapter B, Chapter 111, Local Government
125	125	Code, is amended by adding Section 111.0375 to read as follows:
126	126	Sec. 111.0375. PERIODIC ZERO-BASED BUDGET REQUIRED;
127	127	CONTENTS. (a) In addition to the annual itemized budget required
128	128	under Section 111.034, the county auditor shall prepare, in plain
129	129	language and an easily readable and understandable format, a
130	130	zero-based budget every 12th year that contains:
131	131	(1) a description of the discrete activities the
132	132	county conducts or performs with:
133	133	(A) a justification for each activity by
134	134	reference to a statute, order, or other legal authority; and
135	135	(B) an evaluation of the effectiveness and
136	136	efficiency of the county's policies, management, fiscal affairs,
137	137	and operations in relation to each activity;
138	138	(2) for each activity identified under Subdivision
139	139	(1), a quantitative estimate of any adverse effects that reasonably
140	140	may be expected to result if the activity were discontinued,
141	141	together with a description of the methods by which the adverse
142	142	effects were estimated;
143	143	(3) for each activity identified under Subdivision
144	144	(1), an itemized account of expenditures required to maintain the
145	145	activity at any minimum level of service required by statute,
146	146	order, or other legal authority, together with a concise statement
147	147	of the quantity and quality of service required at that minimum
148	148	level;
149	149	(4) for each activity identified under Subdivision
150	150	(1), an itemized account of expenditures required to maintain the
151	151	activity at the current level of service or performance, together
152	152	with a concise statement of the quantity and quality of service or
153	153	performance provided at that level;
154	154	(5) a ranking of activities identified under
155	155	Subdivision (1) that illustrates the relative importance of each
156	156	activity to the overall goals and purposes of the county at current
157	157	service levels; and
158	158	(6) recommendations to the commissioners court of the
159	159	county regarding whether the county should continue funding each
160	160	activity identified under Subdivision (1) and, if so, at what
161	161	level.
162	162	(b) In preparing the zero-based budget, the county auditor
163	163	may require any district, county, or precinct officer of the county
164	164	to provide information necessary for the auditor to properly
165	165	prepare the budget.
166	166	(c) The county auditor shall file a copy of the zero-based
167	167	budget with the county clerk on or before the date the proposed
168	168	budget is filed, and the copy of the zero-based budget shall be
169	169	available for public inspection. If the county maintains an
170	170	Internet website, the county clerk shall take action to ensure that
171	171	the zero-based budget is posted on the website.
172	172	(d) At a public hearing held to adopt a budget under this
173	173	subchapter, the commissioners court shall consider information
174	174	presented in the zero-based budget in addition to the proposed
175	175	budget.
176	176	SECTION 4. Subchapter C, Chapter 111, Local Government
177	177	Code, is amended by adding Section 111.0665 to read as follows:
178	178	Sec. 111.0665. PERIODIC ZERO-BASED BUDGET REQUIRED;
179	179	CONTENTS. (a) This section applies only to a county with a
180	180	population of 225,000 or more.
181	181	(b) In addition to the annual itemized budget required under
182	182	Section 111.063, the budget officer shall prepare, in plain
183	183	language and an easily readable and understandable format, a
184	184	zero-based budget every 12th year that contains:
185	185	(1) a description of the discrete activities the
186	186	county conducts or performs with:
187	187	(A) a justification for each activity by
188	188	reference to a statute, order, or other legal authority; and
189	189	(B) an evaluation of the effectiveness and
190	190	efficiency of the county's policies, management, fiscal affairs,
191	191	and operations in relation to each activity;
192	192	(2) for each activity identified under Subdivision
193	193	(1), a quantitative estimate of any adverse effects that reasonably
194	194	may be expected to result if the activity were discontinued,
195	195	together with a description of the methods by which the adverse
196	196	effects were estimated;
197	197	(3) for each activity identified under Subdivision
198	198	(1), an itemized account of expenditures required to maintain the
199	199	activity at any minimum level of service required by statute,
200	200	order, or other legal authority, together with a concise statement
201	201	of the quantity and quality of service required at that minimum
202	202	level;
203	203	(4) for each activity identified under Subdivision
204	204	(1), an itemized account of expenditures required to maintain the
205	205	activity at the current level of service or performance, together
206	206	with a concise statement of the quantity and quality of service or
207	207	performance provided at that level;
208	208	(5) a ranking of activities identified under
209	209	Subdivision (1) that illustrates the relative importance of each
210	210	activity to the overall goals and purposes of the county at current
211	211	service levels; and
212	212	(6) recommendations to the commissioners court of the
213	213	county regarding whether the county should continue funding each
214	214	activity identified under Subdivision (1) and, if so, at what
215	215	level.
216	216	(c) In preparing the zero-based budget, the budget officer
217	217	may require the county auditor or any other district, county, or
218	218	precinct officer of the county to provide information necessary for
219	219	the budget officer to properly prepare the budget.
220	220	(d) The budget officer shall file a copy of the zero-based
221	221	budget with the county clerk and county auditor on or before the
222	222	date the proposed budget is filed, and the copy of the zero-based
223	223	budget shall be available for public inspection.
224	224	(e) At a public hearing held to adopt a budget under this
225	225	subchapter, the commissioners court shall consider information
226	226	presented in the zero-based budget in addition to the proposed
227	227	budget.
228	228	SECTION 5. The superintendent of a school district or
229	229	county department of education, the budget officer of a
230	230	municipality, or the county auditor or budget officer of a county,
231	231	as applicable, shall prepare an initial zero-based budget as
232	232	described by Section 44.0025, Education Code, or Section 102.0055,
233	233	111.0375, or 111.0665, Local Government Code, as added by this Act,
234	234	as applicable, for the fiscal year beginning on or after September
235	235	1, 2019.
236	236	SECTION 6. This Act takes effect September 1, 2017.