Bill Text: TX HB4273 | 2019-2020 | 86th Legislature | Introduced
Bill Title: Relating to the supervision and administration of municipal management districts.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2019-03-25 - Referred to Urban Affairs [HB4273 Detail]
Download: Texas-2019-HB4273-Introduced.html
86R11092 JXC-D | ||
By: Zedler | H.B. No. 4273 |
|
||
|
||
relating to the supervision and administration of municipal | ||
management districts. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 321.013(a), Government Code, is amended | ||
to read as follows: | ||
(a) The State Auditor shall conduct audits of all | ||
departments, including institutions of higher education, and of | ||
municipal management districts, as specified in the audit plan. At | ||
the direction of the committee, the State Auditor shall conduct an | ||
audit or investigation of any entity receiving funds from the | ||
state. | ||
SECTION 2. Chapter 321, Government Code, is amended by | ||
adding Section 321.01335 to read as follows: | ||
Sec. 321.01335. ECONOMY AND EFFICIENCY AUDIT OF MUNICIPAL | ||
MANAGEMENT DISTRICTS. At a reasonable time in advance of an economy | ||
and efficiency audit of a municipal management district requested | ||
under Section 375.0961, Local Government Code, the state auditor | ||
shall provide the board of directors of the district with written | ||
information relating to the procedures for and scope of the audit. | ||
The state auditor shall include in the materials information | ||
describing: | ||
(1) how the appropriate representatives of the | ||
district may participate in the audit planning process; and | ||
(2) how the district may request information or | ||
assistance in preparing for the audit from the state auditor. | ||
SECTION 3. Section 375.061, Local Government Code, is | ||
amended to read as follows: | ||
Sec. 375.061. NUMBER OF DIRECTORS; TERMS. (a) A district | ||
is governed by a board of at least five but not more than 30 | ||
directors who serve staggered four-year terms. | ||
(b) Directors may serve successive terms. | ||
SECTION 4. Subchapter D, Chapter 375, Local Government | ||
Code, is amended by adding Section 375.0641 to read as follows: | ||
Sec. 375.0641. ELECTIONS FOR SUCCEEDING BOARD. (a) In all | ||
areas of conflict, the provisions of this section take precedence | ||
over all prior statutory enactments. | ||
(b) An election shall be held on the uniform election date, | ||
provided by Section 41.001, Election Code, in May to elect the | ||
appropriate number of directors. | ||
(c) Except as provided by Subsections (d) and (e), directors | ||
are elected at large. | ||
(d) The directors may assign a position number to each | ||
director's office so that the directors may be elected by position. | ||
(e) The directors may provide for the election of all | ||
directors, or a majority of directors, from single-member | ||
districts, which must be geographically described inside the | ||
boundaries of the district in a manner that is equitable for both | ||
the voters of the single-member districts and the voters of the | ||
district generally. | ||
(f) If authorized by the board in the proceedings calling a | ||
director election, the secretary of the board or the secretary's | ||
designee, on receipt of the certification required by Section | ||
2.052(b), Election Code, shall post notice that the election is not | ||
to be held. The notice must be posted, on or before the | ||
commencement of early voting, at each polling place that would have | ||
been used in the election. If the notice is timely posted: | ||
(1) the secretary or designee is not required to: | ||
(A) post or publish notice of the election; | ||
(B) prepare or print ballots and election | ||
materials; or | ||
(C) hold early and regular voting; and | ||
(2) the board shall meet at the earliest practicable | ||
time to declare each unopposed candidate elected to office. | ||
(g) In the event of a failure to elect one or more directors | ||
resulting from the absence of, or failure to vote by, the qualified | ||
voters in an election held by the district, the members of the board | ||
holding the positions not filled at the election, including initial | ||
directors, shall be considered to have been elected and shall serve | ||
an additional term of office. | ||
(h) Sections 49.1045, 49.109, 49.110, 49.111, 49.112, and | ||
49.113, Water Code, apply to an election held under this section. | ||
(i) This section does not apply to the selection of initial | ||
directors. | ||
SECTION 5. Section 375.065, Local Government Code, is | ||
amended to read as follows: | ||
Sec. 375.065. REMOVAL OF DIRECTOR; RECALL ELECTION. (a) The | ||
governing body of the municipality after notice and hearing may | ||
remove a director for misconduct or failure to carry out the | ||
director's duties on petition by a majority of the remaining | ||
directors. | ||
(b) A director may be removed from office through a recall | ||
election initiated by a petition: | ||
(1) signed by the owners of 10 percent or more of the | ||
assessed value of the property in the district based on the most | ||
recent certified county property tax rolls; and | ||
(2) filed with the municipal clerk. | ||
(c) Not later than the 10th day after the date a petition is | ||
filed, the municipal clerk shall review the petition and determine | ||
whether the petition is valid. | ||
(d) If the municipal clerk determines the petition is valid, | ||
the clerk shall attach a certificate to the petition stating that | ||
the petition is valid and submit the petition and certificate to the | ||
board as soon as practicable. If the clerk determines that the | ||
petition is not valid: | ||
(1) the clerk shall attach a certificate to the | ||
petition stating the facts supporting the determination that the | ||
petition is not valid; | ||
(2) the clerk shall notify the person who filed the | ||
petition of the clerk's determination; | ||
(3) the petition may be amended or supplemented and | ||
filed again not later than the 10th day after the date of the | ||
certification under Subdivision (1); and | ||
(4) the clerk shall return the petition to the person | ||
who filed it. | ||
(e) The municipal clerk shall determine the validity of a | ||
petition filed under Subsection (d)(3) in the same manner as the | ||
original filing except that if the clerk determines the petition is | ||
not valid the petition may not be further amended or supplemented | ||
and the recall election is not held. | ||
(f) Unless the director who is the target of the petition | ||
resigns before the sixth day after the date a petition and | ||
certificate are delivered to the board, the board shall order that a | ||
recall election be held on the first uniform election date that | ||
occurs after the date of the order. | ||
(g) The ballot for a recall election shall be printed to | ||
permit voting for or against the proposition: "The removal of (name | ||
of the member of the board) from the board of the (name of | ||
district)." | ||
(h) If less than a majority of the votes received at the | ||
recall election are in favor of removal of the director named on the | ||
ballot, the director remains in office. If a majority of the votes | ||
received are in favor of the removal of the director, the board | ||
shall immediately declare the director's office vacant and the | ||
vacancy shall be filled in the manner provided by Section 375.066. A | ||
director removed by recall may not be appointed to fill the vacancy | ||
and may not be a candidate in any election called to fill the | ||
vacancy. | ||
SECTION 6. Section 375.067(a), Local Government Code, is | ||
amended to read as follows: | ||
(a) As soon as practicable after a director is appointed or | ||
elected, the director shall execute a $10,000 bond payable to the | ||
district and conditioned on the faithful performance of the | ||
director's duties. | ||
SECTION 7. Section 375.068, Local Government Code, is | ||
amended to read as follows: | ||
Sec. 375.068. OFFICERS. After directors are appointed or | ||
elected and have qualified by executing a bond and taking the oath, | ||
they shall organize by electing a president, a vice-president, a | ||
secretary, and any other officers the board considers necessary. | ||
SECTION 8. Subchapter E, Chapter 375, Local Government | ||
Code, is amended by adding Section 375.0961 to read as follows: | ||
Sec. 375.0961. AUDIT REVIEW. (a) The executive director of | ||
the commission shall review using the standards and procedures | ||
established under Section 49.195, Water Code, an audit prepared | ||
under Section 375.096(a) if the commission receives a petition | ||
requesting the review signed by the owners of 10 percent or more of | ||
the assessed value of the property in the district based on the most | ||
recent certified county property tax rolls. | ||
(b) Based on the review, the executive director may request | ||
that the state auditor conduct an economy and efficiency audit of a | ||
district under Section 321.01335, Government Code. The state | ||
auditor's participation under this section is subject to approval | ||
by the legislative audit committee for inclusion in the audit plan | ||
under Section 321.013(c), Government Code. | ||
SECTION 9. Section 375.208, Local Government Code, is | ||
amended to read as follows: | ||
Sec. 375.208. COMMISSION APPROVAL. A district must obtain | ||
approval of the commission as provided by Chapter 54, Water Code, if | ||
it issues bonds to provide water, sewage, or drainage facilities. | ||
Except as expressly provided by this section and Section [ |
||
375.062 [ |
||
jurisdiction of the commission. | ||
SECTION 10. Subchapter L, Chapter 375, Local Government | ||
Code, is amended by adding Sections 375.245 and 375.246 to read as | ||
follows: | ||
Sec. 375.245. BALLOT LANGUAGE. The ballot for a bond | ||
election, maintenance tax election, and any other district election | ||
held in a district must be written in plain language designed to be | ||
easily understood by the average person. | ||
Sec. 375.246. ELECTION TO REPEAL INCREASE OF OPERATION AND | ||
MAINTENANCE TAX. (a) Instead of the notice text required by | ||
Section 49.236(a)(3), Water Code, as added by Chapter 335 (S.B. | ||
392), Acts of the 78th Legislature, Regular Session, 2003, a notice | ||
given by the board under Section 49.236(a), Water Code, as added by | ||
Chapter 335 (S.B. 392), Acts of the 78th Legislature, Regular | ||
Session, 2003, must contain a statement in substantially the | ||
following form: | ||
"NOTICE OF TAXPAYERS' RIGHT TO ROLLBACK ELECTION | ||
"If taxes on the average residence homestead increase, | ||
the qualified voters of the district by petition may | ||
require that an election be held to determine whether | ||
to reduce the operation and maintenance tax rate to the | ||
rollback tax rate under Section 375.246, Local | ||
Government Code." | ||
(b) Section 49.236(d), Water Code, as added by Chapter 335 | ||
(S.B. 392), Acts of the 78th Legislature, Regular Session, 2003, | ||
does not apply to the district. | ||
(c) If the governing body of a district adopts a combined | ||
debt service, operation and maintenance, and contract tax rate that | ||
exceeds the rollback tax rate, the qualified voters of the district | ||
by petition may require that an election be held to determine | ||
whether or not to reduce the tax rate adopted for the current year | ||
to the rollback tax rate in accordance with the procedures provided | ||
by Sections 26.07(b)-(g) and 26.081, Tax Code. For purposes of | ||
Sections 26.07(b)-(g), Tax Code, and this section, the rollback tax | ||
rate is the sum of the following tax rates: | ||
(1) the current year's debt service tax rate; | ||
(2) the current year's contract tax rate; and | ||
(3) the operation and maintenance tax rate that would | ||
impose the same amount as the operation and maintenance tax imposed | ||
by the district in the preceding year on a residence homestead | ||
appraised at the average appraised value of a residence homestead | ||
in the district in that year, disregarding any homestead exemption | ||
available only to disabled persons or persons 65 years of age or | ||
older. | ||
SECTION 11. Section 49.052(h), Water Code, is amended to | ||
read as follows: | ||
(h) This subsection applies only to a district that is | ||
located wholly within the boundaries of a municipality with a | ||
population of more than 1.5 million, that is governed by Chapter | ||
375, Local Government Code, and that is governed by a [ |
||
board consisting of nine or more members. Notwithstanding | ||
Subsection (f) or (g), a person is considered to have resigned from | ||
serving as a member of the board if the person fails to attend three | ||
consecutive meetings of the board. The remaining board members by | ||
majority vote may waive the resignation under this subsection if | ||
fairness requires that the absences be excused on the basis of | ||
illness or other good cause. | ||
SECTION 12. Section 375.064, Local Government Code, is | ||
repealed. | ||
SECTION 13. (a) This section applies only to: | ||
(1) a municipal management district created by | ||
petition under Chapter 375, Local Government Code, before the | ||
effective date of this Act; or | ||
(2) a special district that has the powers and duties | ||
granted to a municipal management district under Chapter 375, Local | ||
Government Code, created by special law of the legislature before | ||
the effective date of this Act. | ||
(b) In all areas of conflict the provisions of this section | ||
take precedence over all prior statutory enactments. | ||
(c) This Act does not prohibit a person who is an appointed | ||
director of a district serving on the effective date of this Act | ||
from running for election to the board of directors of the district | ||
if the person has the qualifications required for a director. | ||
(d) The terms of appointed directors serving on the | ||
effective date of this Act expire on the date a majority of the | ||
members of the first board of directors elected under Subsection | ||
(e) of this section qualify to serve. | ||
(e) The board of directors of a district for which appointed | ||
directors are serving on the effective date of this Act shall call | ||
an election to elect directors for the district in the manner | ||
required by Section 375.0641, Local Government Code, as added by | ||
this Act, not later than the uniform election date in May of 2021. | ||
SECTION 14. This Act takes effect September 1, 2019. |