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Texas Senate Bill SB1108

Texas 2019 - 86th Regular

Texas Senate Bill SB1108 Compare Versions

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11 2019S0254-1 02/22/19
22 By: Hinojosa S.B. No. 1108
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55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the dissolution of certain general law districts.
88 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
99 SECTION 1. Chapter 55, Water Code, is amended by adding
1010 Subchapter Q to read as follows:
1111 SUBCHAPTER Q. DISSOLUTION BY ELECTION
1212 Sec. 55.851. DISSOLUTION ELECTION CALLED BY BOARD. The
1313 board may order an election on the question of dissolving the
1414 district and transferring the district's assets and obligations to
1515 another political subdivision of the state if the board concludes
1616 after a public hearing held on the issue that it is in the best
1717 interest of the district's residents and of the persons served by
1818 the district for the district to dissolve.
1919 Sec. 55.852. DISSOLUTION ELECTION CALLED BY COMMISSIONERS
2020 COURT. (a) The commissioners court of a county in which the
2121 district is located may order an election to be held in the
2222 district's territory on the question of dissolving the district and
2323 transferring the district's assets and obligations to another
2424 political subdivision of the state if the commissioners court
2525 concludes after a public hearing held on the issue that it is in the
2626 best interest of the district's residents and of the persons served
2727 by the district for the district to dissolve.
2828 (b) If the district is located in more than one county, the
2929 election order must be in the form of a joint order issued by the
3030 commissioners court of each county in which the district is located
3131 after a hearing as described by Subsection (a).
3232 Sec. 55.853. DISSOLUTION ELECTION CALLED BY PETITION. The
3333 board shall order an election on the question of dissolving the
3434 district and transferring the district's assets and obligations to
3535 another political subdivision of the state if the board receives a
3636 petition requesting an election on that question. The petition
3737 must be signed by at least 15 percent of the district's registered
3838 voters.
3939 Sec. 55.854. ELECTION ORDER. An order calling an election
4040 to be held under this subchapter must state:
4141 (1) the nature of the election, including the
4242 proposition that is to appear on the ballot;
4343 (2) the date of the election;
4444 (3) the hours during which the polls will be open; and
4545 (4) the location of the polling places.
4646 Sec. 55.855. NOTICE OF DISSOLUTION ELECTION. (a) The
4747 board shall give notice of an election ordered under this
4848 subchapter by publishing a substantial copy of the election order
4949 in a newspaper with general circulation in the district once a week
5050 for two consecutive weeks.
5151 (b) The first publication must appear not later than the
5252 30th day before the date set for the election.
5353 Sec. 55.856. APPLICABILITY OF UNIFORM ELECTION DATES.
5454 Section 41.001, Election Code, does not apply to an election held
5555 under this subchapter.
5656 Sec. 55.857. ELECTION RESULTS. (a) If a majority of the
5757 votes in an election held under this subchapter favor dissolution,
5858 the board shall order that the district be dissolved.
5959 (b) If a majority of the votes in an election held under this
6060 subchapter do not favor dissolution, the board shall continue to
6161 administer the district and another election on the question of
6262 dissolution may not be held before the first anniversary of the date
6363 of the most recent election held on the question of dissolving the
6464 district.
6565 Sec. 55.858. TRANSFER OF ASSETS, OBLIGATIONS, AND PROVISION
6666 OF SERVICES. (a) As soon as practicable following the issuance of
6767 an order under Section 55.857(a), the board shall:
6868 (1) begin the process of transferring the district's
6969 assets and obligations to one or more political subdivisions in a
7070 fair and equitable manner; and
7171 (2) administer the property, assets, and debts of the
7272 district until all money has been disposed of and all district debts
7373 have been paid or settled.
7474 (b) If the district provides services, the board or a
7575 receiver appointed under Section 55.859 shall make arrangements for
7676 the uninterrupted provision of services.
7777 Sec. 55.859. RECEIVER. (a) If the commission determines
7878 that the board has failed to make substantial progress in
7979 transferring the district's assets and obligations to one or more
8080 political subdivisions in a fair and equitable manner, the
8181 commission may, after notice and opportunity for a hearing
8282 conducted under Chapter 2001, Government Code, request the attorney
8383 general to bring suit for the appointment of a receiver.
8484 (b) If the attorney general brings suit for the appointment
8585 of a receiver under Subsection (a), a district court shall appoint a
8686 receiver if the court finds the appointment is necessary for the
8787 transfer of the assets and obligations of the district.
8888 (c) The receiver shall execute a bond in the amount set by
8989 the court to ensure the proper performance of the receiver's
9090 duties.
9191 (d) After execution of the bond, the receiver shall take
9292 possession of the assets specified by the court.
9393 (e) Until discharged by the court, the receiver shall
9494 perform the duties as directed by the court to preserve the assets
9595 and ensure that district assets and obligations are transferred.
9696 Sec. 55.860. REPORT; DISSOLUTION ORDER. (a) Not later
9797 than the 60th day after the date the district has transferred all of
9898 the district's assets and obligations and has arranged for the
9999 continued provision of services provided by the district, if
100100 applicable, the board, or the receiver appointed under Section
101101 55.859, as applicable, shall file a written report with the
102102 commission summarizing the board's or the receiver's actions, as
103103 applicable, in dissolving the district.
104104 (b) Not later than the 45th day after the date the
105105 commission receives the report and determines that the requirements
106106 of this subchapter have been fulfilled, the commission shall enter
107107 an order dissolving the district.
108108 SECTION 2. Chapter 58, Water Code, is amended by adding
109109 Subchapter P to read as follows:
110110 SUBCHAPTER P. DISSOLUTION BY ELECTION
111111 Sec. 58.901. DISSOLUTION ELECTION CALLED BY BOARD. The
112112 board may order an election on the question of dissolving the
113113 district and transferring the district's assets and obligations to
114114 another political subdivision of the state if the board concludes
115115 after a public hearing held on the issue that it is in the best
116116 interest of the district's residents and of the persons served by
117117 the district for the district to dissolve.
118118 Sec. 58.902. DISSOLUTION ELECTION CALLED BY COMMISSIONERS
119119 COURT. (a) If the district is located entirely within one county,
120120 the commissioners court may order an election to be held in the
121121 district's territory on the question of dissolving the district and
122122 transferring the district's assets and obligations to another
123123 political subdivision of the state if the commissioners court
124124 concludes after a public hearing held on the issue that it is in the
125125 best interest of the district's residents and of the persons served
126126 by the district for the district to dissolve.
127127 (b) If the district is located in more than one county, the
128128 election order must be in the form of a joint order issued by the
129129 commissioners court of each county in which the district is located
130130 after a hearing as described by Subsection (a).
131131 Sec. 58.903. DISSOLUTION ELECTION CALLED BY PETITION. The
132132 board shall order an election on the question of dissolving the
133133 district and transferring the district's assets and obligations to
134134 another political subdivision of the state if the board receives a
135135 petition requesting an election on that question. The petition
136136 must be signed by at least 15 percent of the district's registered
137137 voters.
138138 Sec. 58.904. ELECTION ORDER. An order calling an election
139139 to be held under this subchapter must state:
140140 (1) the nature of the election, including the
141141 proposition that is to appear on the ballot;
142142 (2) the date of the election;
143143 (3) the hours during which the polls will be open; and
144144 (4) the location of the polling places.
145145 Sec. 58.905. NOTICE OF DISSOLUTION ELECTION. (a) The
146146 board shall give notice of an election ordered under this
147147 subchapter by publishing a substantial copy of the election order
148148 in a newspaper with general circulation in the district once a week
149149 for two consecutive weeks.
150150 (b) The first publication must appear not later than the
151151 30th day before the date set for the election.
152152 Sec. 58.906. APPLICABILITY OF UNIFORM ELECTION DATES.
153153 Section 41.001, Election Code, does not apply to an election held
154154 under this subchapter.
155155 Sec. 58.907. ELECTION RESULTS. (a) If a majority of the
156156 votes in an election held under this subchapter favor dissolution,
157157 the board shall order that the district be dissolved.
158158 (b) If a majority of the votes in an election held under this
159159 subchapter do not favor dissolution, the board shall continue to
160160 administer the district and another election on the question of
161161 dissolution may not be held before the first anniversary of the date
162162 of the most recent election held on the question of dissolving the
163163 district.
164164 Sec. 58.908. TRANSFER OF ASSETS, OBLIGATIONS, AND PROVISION
165165 OF SERVICES. (a) As soon as practicable following the issuance of
166166 an order under Section 58.907(a), the board shall:
167167 (1) begin the process of transferring the district's
168168 assets and obligations to one or more political subdivisions in a
169169 fair and equitable manner; and
170170 (2) administer the property, assets, and debts of the
171171 district until all money has been disposed of and all district debts
172172 have been paid or settled.
173173 (b) If the district provides services, the board or a
174174 receiver appointed under Section 58.909 shall make arrangements for
175175 the uninterrupted provision of services.
176176 Sec. 58.909. RECEIVER. (a) If the commission determines
177177 that the board has failed to make substantial progress in
178178 transferring the district's assets and obligations to one or more
179179 political subdivisions in a fair and equitable manner, the
180180 commission may, after notice and opportunity for a hearing
181181 conducted under Chapter 2001, Government Code, request the attorney
182182 general to bring suit for the appointment of a receiver.
183183 (b) If the attorney general brings suit for the appointment
184184 of a receiver under Subsection (a), a district court shall appoint a
185185 receiver if the court finds the appointment is necessary for the
186186 transfer of the assets and obligations of the district.
187187 (c) The receiver shall execute a bond in the amount set by
188188 the court to ensure the proper performance of the receiver's
189189 duties.
190190 (d) After execution of the bond, the receiver shall take
191191 possession of the assets specified by the court.
192192 (e) Until discharged by the court, the receiver shall
193193 perform the duties as directed by the court to preserve the assets
194194 and ensure that district assets and obligations are transferred.
195195 Sec. 58.910. REPORT; DISSOLUTION ORDER. (a) Not later
196196 than the 60th day after the date the district has transferred all of
197197 the district's assets and obligations and has arranged for the
198198 continued provision of services provided by the district, if
199199 applicable, the board, or the receiver appointed under Section
200200 58.909, as applicable, shall file a written report with the
201201 commission summarizing the board's or the receiver's actions, as
202202 applicable, in dissolving the district.
203203 (b) Not later than the 45th day after the date the
204204 commission receives the report and determines that the requirements
205205 of this subchapter have been fulfilled, the commission shall enter
206206 an order dissolving the district.
207207 SECTION 3. Chapter 65, Water Code, is amended by adding
208208 Subchapter I to read as follows:
209209 SUBCHAPTER I. DISSOLUTION BY ELECTION
210210 Sec. 65.801. DISSOLUTION ELECTION CALLED BY BOARD. The
211211 board may order an election on the question of dissolving the
212212 district and transferring the district's assets and obligations to
213213 another political subdivision of the state if the board concludes
214214 after a public hearing held on the issue that it is in the best
215215 interest of the district's residents and of the persons served by
216216 the district for the district to dissolve.
217217 Sec. 65.802. DISSOLUTION ELECTION CALLED BY COMMISSIONERS
218218 COURT. (a) The commissioners court of a county in which the
219219 district is located may order an election to be held in the
220220 district's territory on the question of dissolving the district and
221221 transferring the district's assets and obligations to another
222222 political subdivision of the state if the commissioners court
223223 concludes after a public hearing held on the issue that it is in the
224224 best interest of the district's residents and of the persons served
225225 by the district for the district to dissolve.
226226 (b) If the district is located in more than one county, the
227227 election order must be in the form of a joint order issued by the
228228 commissioners court of each county in which the district is located
229229 after a hearing as described by Subsection (a).
230230 Sec. 65.803. DISSOLUTION ELECTION CALLED BY PETITION. The
231231 board shall order an election on the question of dissolving the
232232 district and transferring the district's assets and obligations to
233233 another political subdivision of the state if the board receives a
234234 petition requesting an election on that question. The petition
235235 must be signed by at least 15 percent of the district's registered
236236 voters.
237237 Sec. 65.804. ELECTION ORDER. An order calling an election
238238 to be held under this subchapter must state:
239239 (1) the nature of the election, including the
240240 proposition that is to appear on the ballot;
241241 (2) the date of the election;
242242 (3) the hours during which the polls will be open; and
243243 (4) the location of the polling places.
244244 Sec. 65.805. NOTICE OF DISSOLUTION ELECTION. (a) The
245245 board shall give notice of an election ordered under this
246246 subchapter by publishing a substantial copy of the election order
247247 in a newspaper with general circulation in the district once a week
248248 for two consecutive weeks.
249249 (b) The first publication must appear not later than the
250250 30th day before the date set for the election.
251251 Sec. 65.806. APPLICABILITY OF UNIFORM ELECTION DATES.
252252 Section 41.001, Election Code, does not apply to an election held
253253 under this subchapter.
254254 Sec. 65.807. ELECTION RESULTS. (a) If a majority of the
255255 votes in an election held under this subchapter favor dissolution,
256256 the board shall order that the district be dissolved.
257257 (b) If a majority of the votes in an election held under this
258258 subchapter do not favor dissolution, the board shall continue to
259259 administer the district and another election on the question of
260260 dissolution may not be held before the first anniversary of the date
261261 of the most recent election held on the question of dissolving the
262262 district.
263263 Sec. 65.808. TRANSFER OF ASSETS, OBLIGATIONS, AND PROVISION
264264 OF SERVICES. (a) As soon as practicable following the issuance of
265265 an order under Section 65.807(a), the board shall:
266266 (1) begin the process of transferring the district's
267267 assets and obligations to one or more political subdivisions in a
268268 fair and equitable manner; and
269269 (2) administer the property, assets, and debts of the
270270 district until all money has been disposed of and all district debts
271271 have been paid or settled.
272272 (b) If the district provides services, the board or a
273273 receiver appointed under Section 65.809 shall make arrangements for
274274 the uninterrupted provision of services.
275275 Sec. 65.809. RECEIVER. (a) If the commission determines
276276 that the board has failed to make substantial progress in
277277 transferring the district's assets and obligations to one or more
278278 political subdivisions in a fair and equitable manner, the
279279 commission may, after notice and opportunity for a hearing
280280 conducted under Chapter 2001, Government Code, request the attorney
281281 general to bring suit for the appointment of a receiver.
282282 (b) If the attorney general brings suit for the appointment
283283 of a receiver under Subsection (a), a district court shall appoint a
284284 receiver if the court finds the appointment is necessary for the
285285 transfer of the assets and obligations of the district.
286286 (c) The receiver shall execute a bond in the amount set by
287287 the court to ensure the proper performance of the receiver's
288288 duties.
289289 (d) After execution of the bond, the receiver shall take
290290 possession of the assets specified by the court.
291291 (e) Until discharged by the court, the receiver shall
292292 perform the duties as directed by the court to preserve the assets
293293 and ensure that district assets and obligations are transferred.
294294 Sec. 65.810. REPORT; DISSOLUTION ORDER. (a) Not later
295295 than the 60th day after the date the district has transferred all of
296296 the district's assets and obligations and has arranged for the
297297 continued provision of services provided by the district, if
298298 applicable, the board, or the receiver appointed under Section
299299 65.809, as applicable, shall file a written report with the
300300 commission summarizing the board's or the receiver's actions, as
301301 applicable, in dissolving the district.
302302 (b) Not later than the 45th day after the date the
303303 commission receives the report and determines that the requirements
304304 of this subchapter have been fulfilled, the commission shall enter
305305 an order dissolving the district.
306306 SECTION 4. This Act takes effect September 1, 2019.