By De La Garza, et al.                                  H.B. No. 22
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to the creation and duties of a crime control and
    1-3  prevention district.
    1-4        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-5        SECTION 1.  Section 1.05, Crime Control and Prevention
    1-6  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    1-7  amended to read as follows:
    1-8        Sec. 1.05.  COUNTIES AUTHORIZED TO CREATE DISTRICTS.  The
    1-9  commissioners court in a county with a population of more than
   1-10  130,000 may by majority vote propose the creation of a crime
   1-11  control district.  The proposal is <A crime control district is
   1-12  established,> subject to a confirmation election held as provided
   1-13  by Article 3 of this Act<, in a county containing:>
   1-14              <(1)  a population of more than 750,000 according to
   1-15  the most recent federal census; and>
   1-16              <(2)  more than 35 incorporated municipalities
   1-17  according to the most recent federal census>.
   1-18        SECTION 2.  The Crime Control and Prevention District Act
   1-19  (Article 2370c-4, Vernon's Texas Civil Statutes) is amended by
   1-20  adding Section 1.05A to read as follows:
   1-21        Sec. 1.05A.  CREATION OF DISTRICT BY CERTAIN MUNICIPALITIES.
   1-22  A municipality that is partially or wholly located in a county with
   1-23  a population of more than 1.5 million may create a crime control
   1-24  district in its jurisdiction in the same manner as a county under
    2-1  this Act.  A crime control district created by a municipality under
    2-2  this section has the same relationship with the municipality as a
    2-3  crime control district created by the county under this Act has
    2-4  with the county.  A municipality creating a district under this
    2-5  section shall pay the entire cost of creating the district but may
    2-6  be reimbursed for its costs under Section 3.10(d) of this Act.
    2-7        SECTION 3.  Section 1.06, Crime Control and Prevention
    2-8  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    2-9  amended to read as follows:
   2-10        Sec. 1.06.  Boundaries.  The county commissioners court may
   2-11  create a district composed of the whole county or a portion of the
   2-12  county  <A district is composed of the geographical area of the
   2-13  county in which the district is created>.  A district may not
   2-14  contain more than one county.
   2-15        SECTION 4.  Section 2.01, Crime Control and Prevention
   2-16  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   2-17  amended to read as follows:
   2-18        Sec. 2.01.  Temporary directors.  The county commissioners
   2-19  court shall appoint seven persons that reside in the proposed
   2-20  district to <following persons> serve as temporary directors of a
   2-21  proposed district<:>
   2-22              <(1)  a criminal district judge whose judicial district
   2-23  includes a part or all of the proposed district, selected by a
   2-24  majority of the judges of the district courts and criminal district
   2-25  courts of judicial districts that include a part or all of the
   2-26  proposed district;>
   2-27              <(2)  the district attorney of the county;>
    3-1              <(3)  the mayor or a city council member selected by
    3-2  the city council of the municipality having the largest population
    3-3  in the proposed district, according to the most recent federal
    3-4  census;>
    3-5              <(4)  the mayor or a city council member selected by
    3-6  the city council of the municipality having the second largest
    3-7  population in the proposed district, according to the most recent
    3-8  federal census;>
    3-9              <(5)  the mayor or a city council member of a
   3-10  municipality in the proposed district, other than the two
   3-11  municipalities in the proposed district having the largest
   3-12  populations, selected by a majority of the mayors of municipalities
   3-13  in the proposed district, other than the two municipalities having
   3-14  the largest populations;>
   3-15              <(6)  the county judge or a county commissioner
   3-16  selected by the commissioners court of the county; and>
   3-17              <(7)  a member of the general public, to be selected by
   3-18  a majority of the six temporary directors listed in Subdivisions
   3-19  (1) through (6) of this subsection>.
   3-20        SECTION 5.  Section 2.02, Crime Control and Prevention
   3-21  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   3-22  amended to read as follows:
   3-23        Sec. 2.02.  Temporary chairman.  The chairman of a temporary
   3-24  board shall be elected by the members of the temporary board from
   3-25  their membership not later than the 15th day after the date on
   3-26  which the temporary directors are appointed under Section 2.01 <the
   3-27  member of the general public is selected to the temporary board as
    4-1  provided by Subsection (c) of Section 2.03> of this Act.
    4-2        SECTION 6.  Section 2.03, Crime Control and Prevention
    4-3  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    4-4  amended to read as follows:
    4-5        Sec. 2.03.  TIME RESTRICTION FOR APPOINTING BOARD MEMBERS.
    4-6  (a)  Not later than the 60th day after the date a district is
    4-7  proposed by the county commissioners court <effective date of this
    4-8  Act>, the commissioners court <each group listed in Subdivisions
    4-9  (1), (3), (4), (5), and (6) of Section 2.01 of this Act> shall make
   4-10  its appointments <selection> under Section 2.01 of this Act <that
   4-11  section>.
   4-12        (b)  Not later than the 75th day after the date a district is
   4-13  proposed by the county commissioners court <effective date of this
   4-14  Act>, a temporary board shall organize.
   4-15        <(c)  Not later than the 15th day after the date on which the
   4-16  board is organized under Subsection (b) of this section, a member
   4-17  of the general public shall be selected to the temporary board as
   4-18  provided by Subdivision (7) of Section 2.01 of this Act.>
   4-19        SECTION 7.  Section 3.01, Crime Control and Prevention
   4-20  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   4-21  amended to read as follows:
   4-22        Sec. 3.01.  Creation Election.  A district proposed by the
   4-23  county commissioners court may be created and a tax may be
   4-24  authorized only if the creation and the tax are approved by a
   4-25  majority of the qualified voters of the proposed district voting at
   4-26  an election called and held for that purpose.
   4-27        SECTION 8.  Section 3.03, Crime Control and Prevention
    5-1  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    5-2  amended by adding Subsection (c) to read as follows:
    5-3        (c)  A sales and use tax approved under this Act may be
    5-4  charged in addition to any other sales and use tax authorized by
    5-5  law and is included in computing a combined sales and use tax rate
    5-6  for purposes of any limitation provided by law on the maximum
    5-7  combined sales and use tax rate of political subdivisions.
    5-8        SECTION 9.  Section 3.08, Crime Control and Prevention
    5-9  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   5-10  amended to read as follows:
   5-11        Sec. 3.08.  Dissolution of Temporary Board.  If a district
   5-12  has not been created under this Act before the fifth anniversary of
   5-13  the date a district is proposed by the county commissioners court
   5-14  <effective date of this Act>, the temporary board is dissolved on
   5-15  that date and a district may not be created under this Act.
   5-16        SECTION 10.  Section 3.09, Crime Control and Prevention
   5-17  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   5-18  amended by adding Subsection (d) to read as follows:
   5-19        (d)  The temporary board shall coordinate its efforts with
   5-20  local law enforcement officials, the local community supervision
   5-21  and corrections department, and the local juvenile probation
   5-22  department in developing its crime control plan and budget plan.
   5-23        SECTION 11.  Section 3.10, Crime Control and Prevention
   5-24  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   5-25  amended to read as follows:
   5-26        Sec. 3.10.  Financing creation of district.  (a)  Except as
   5-27  provided by Subsections <Subsection> (b) and (c) of this section,
    6-1  the costs of creating a district shall be allocated as follows:
    6-2              (1)  the county shall pay 40 percent;
    6-3              (2)  the municipality having the largest population in
    6-4  the county shall pay 40 percent; and
    6-5              (3)  the municipality having the second largest
    6-6  population in the county shall pay 20 percent.
    6-7        (b)  The county and the two municipalities may contract for a
    6-8  division of the costs of creating a district that is different from
    6-9  the division of costs described in Subsection (a) of this section.
   6-10        (c)  If a district is proposed for only a portion of the
   6-11  county, the county shall pay the entire cost of creating the
   6-12  district.
   6-13        (d)  If a district is created, the district shall reimburse
   6-14  the county or <and> municipalities for actual expenses incurred in
   6-15  the creation of the district.
   6-16        SECTION 12.  Section 5.01, Crime Control and Prevention
   6-17  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
   6-18  amended by amending Subsection (b) and adding Subsections (d) and
   6-19  (e) to read as follows:
   6-20        (b)  The district shall coordinate its efforts with local law
   6-21  enforcement officials, the local community supervision and
   6-22  corrections department, and the local juvenile probation department
   6-23  in developing its crime control and crime prevention program <may
   6-24  not:>
   6-25              <(1)  fund any program that significantly duplicates
   6-26  existing programs or programs scheduled to begin;>
   6-27              <(2)  fund any facility that unnecessarily duplicates
    7-1  existing facilities or facilities scheduled to begin operation or
    7-2  construction;>
    7-3              <(3)  fund any equipment that unnecessarily duplicates
    7-4  existing equipment or equipment scheduled to begin operation;>
    7-5              <(4)  spend on administration more than one percent of
    7-6  the amount of revenue that would be generated if the tax rate
    7-7  imposed under the sales and use tax under Section 323.105, Tax
    7-8  Code, were one-half percent;>
    7-9              <(5)  fund a program if sufficient state or other local
   7-10  funds are available to fund the program;>
   7-11              <(6)  fund a facility or equipment if sufficient state
   7-12  or other local funds are available to fund the facility or
   7-13  equipment; and>
   7-14              <(7)  continue to fund a program, facility, or
   7-15  equipment in a municipality or county if the municipality or county
   7-16  fails to maintain the same level of support for the program,
   7-17  facility, or equipment as it did the year before the district was
   7-18  created or in any following year, whichever is greater>.
   7-19        (d)  The board of directors of the district shall seek the
   7-20  assistance of the Office of State-Federal Relations in identifying
   7-21  and applying for federal grants for criminal and juvenile justice
   7-22  programs.
   7-23        (e)  The district may apply for and receive grants for
   7-24  criminal and juvenile justice programs from the criminal justice
   7-25  division in the governor's office.
   7-26        SECTION 13.  Section 8.08(a), Crime Control and Prevention
   7-27  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    8-1  amended to read as follows:
    8-2        (a)  A county clerk shall, on request of any person, check
    8-3  each name on a petition to determine whether the signer is a
    8-4  registered voter of the district <county>.  A person requesting
    8-5  verification by the county clerk shall pay the county clerk a sum
    8-6  equal to 20 cents per name before commencement of the verification.
    8-7        SECTION 14.  Section 9.08(a), Crime Control and Prevention
    8-8  District Act (Article 2370c-4, Vernon's Texas Civil Statutes), is
    8-9  amended to read as follows:
   8-10        (a)  A county clerk shall, on request of any person, check
   8-11  each name on a petition to determine whether the signer is a
   8-12  registered voter of the district <county>.  A person requesting
   8-13  verification by the county clerk shall pay the county clerk a sum
   8-14  equal to 20 cents per name before commencement of the verification.
   8-15        SECTION 15.  Section 323.105, Tax Code, is amended to read as
   8-16  follows:
   8-17        Sec. 323.105.  Crime Control District Tax.  (a)  Subject to
   8-18  an election held in accordance with the Crime Control and
   8-19  Prevention District Act, a county in which a crime control and
   8-20  prevention district is established shall adopt a sales and use tax
   8-21  in the area of the district for the purpose of financing the
   8-22  operation of the crime control and prevention district.  The
   8-23  revenue from the tax may be used only for the purpose of financing
   8-24  the operation of the crime control and prevention district.  The
   8-25  proposition for adopting a tax under this section and the
   8-26  proposition for creation of a crime control and prevention district
   8-27  shall be submitted at the same election.  For purposes of
    9-1  Subsection (c) of Section 323.101 of this code, a tax under this
    9-2  section is not a county sales and use tax.
    9-3        (b)  A tax adopted for <by> a district <county> under this
    9-4  section for financing the operation of the <a crime control and
    9-5  prevention> district <in the county> may be decreased in increments
    9-6  of one-fourth of one percent by order of the board of directors of
    9-7  the <crime control and prevention> district.  The rate of a tax
    9-8  adopted for <by> a district <county> under this section may be
    9-9  increased in increments of one-fourth of one percent, not to exceed
   9-10  a total tax rate of one-half percent for financing the operation of
   9-11  the crime control and prevention district, by order of the board of
   9-12  directors of the crime control and prevention district if approved
   9-13  by a majority of the qualified voters voting at an election called
   9-14  by the board and held in the district on the question of increasing
   9-15  the tax rate.  At the election, the ballot shall be printed to
   9-16  provide for voting for or against the following proposition:  "The
   9-17  increase of the ____________ County Crime Control and Prevention
   9-18  District sales and use tax rate to ____________ percent."  If there
   9-19  is an increase or decrease under this subsection in the rate of a
   9-20  tax imposed under this section, the new rate takes effect on the
   9-21  first day of the next calendar year after the expiration of one
   9-22  calendar quarter after the comptroller receives notice of the
   9-23  increase or decrease.  However, if the comptroller notifies the
   9-24  president of the board of directors of the district in writing
   9-25  within 10 days after receipt of the notification that the
   9-26  comptroller requires more time to implement reporting and
   9-27  collection procedures, the comptroller may delay implementation of
   10-1  the rate change for one whole calendar quarter.  In that event, the
   10-2  new rate takes effect on the first day of the next calendar quarter
   10-3  following the elapsed quarter.
   10-4        (c)  The comptroller shall remit to the county amounts
   10-5  collected at the rate imposed under this section as part of the
   10-6  regular allocation of county tax revenue collected by the
   10-7  comptroller.  The county shall, if the district is composed of an
   10-8  area less than the entire county, remit that amount to the
   10-9  district.  Retailers may not be required to use the allocation and
  10-10  reporting procedures in the collection of taxes under this section
  10-11  different from the procedures that retailers use in the collection
  10-12  of other sales and use taxes under this chapter.  An item,
  10-13  transaction, or service that is taxable in a county under a sales
  10-14  or use tax authorized by another section of this chapter is taxable
  10-15  under this section.  An item, transaction, or service that is not
  10-16  taxable in a county under a sales or use tax authorized by another
  10-17  section of this chapter is not taxable under this section.
  10-18        (d)  If, in a county where a crime control and prevention
  10-19  district is composed of the whole county, a county sales and use
  10-20  tax or a county sales and use tax rate increase for the purpose of
  10-21  financing a crime control and prevention district is approved, the
  10-22  county is responsible for distributing to the district that portion
  10-23  of the county sales and use tax revenue received from the
  10-24  comptroller that is to be used for the purposes of financing the
  10-25  crime control and prevention district.  Not later than the 10th day
  10-26  after the date the county receives funds under this section from
  10-27  the comptroller, the county shall make the distribution in the
   11-1  proportion that the crime control and prevention portion of the tax
   11-2  rate bears to the total sales and use tax rate of the county.  The
   11-3  amounts distributed to a crime control and prevention district are
   11-4  not considered to be sales and use tax revenue for the purpose of
   11-5  property tax reduction and computation of the county tax rate under
   11-6  Section 26.041, Tax Code.
   11-7        (e)  For purposes of the tax imposed under this section, a
   11-8  reference in this chapter to the county as the territory in which
   11-9  the tax or an incident of the tax applies means only the territory
  11-10  located in the crime control and prevention district, if that
  11-11  district is composed of an area less than an entire county.
  11-12        (f)  The comptroller may adopt rules and the county
  11-13  commissioners court may adopt orders to administer this section.
  11-14        SECTION 16.  The importance of this legislation and the
  11-15  crowded condition of the calendars in both houses create an
  11-16  emergency and an imperative public necessity that the
  11-17  constitutional rule requiring bills to be read on three several
  11-18  days in each house be suspended, and this rule is hereby suspended,
  11-19  and that this Act take effect and be in force from and after its
  11-20  passage, and it is so enacted.