BILL ANALYSIS


                                                        S.B. 1705
                                                        By: Lucio
                                      Intergovernmental Relations
                                                         05-10-95
                                     Committee Report (Unamended)
BACKGROUND

Currently, rural counties cannot take full advantage of taxing for
an emergency services district when there is a rural fire
prevention district in the same area without dissolving the rural
fire prevention district.  A county cannot coordinate an election
to create an emergency services district with an election to
dissolve a rural fire prevention district because an election to
create an emergency services district is called by the county
commissioners court.  An election to dissolve a rural fire
prevention district must be called by the fire prevention
district's board.

PURPOSE

As proposed, S.B. 1705 authorizes the creation of an emergency
services district and simultaneous dissolution of a rural fire
prevention district.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 775B, Health and Safety Code, by adding
Sections 775.023 and 775.024, as follows:

     Sec. 775.023.  PETITION FOR CREATION OF EMERGENCY SERVICES
     DISTRICT AND DISSOLUTION OF RURAL FIRE PREVENTION DISTRICTS: 
     CERTAIN COUNTIES.   (a)  Provides that this section and
     Section 775.024 apply only to a petition filed in a county
     that is located on an international border; has a population
     of more than 375,000; and contains at least seven
     municipalities, each with a population of more than 12,000. 
     Authorizes a petition calling for the creation of an emergency
     services district that include territory of one or more rural
     fire prevention districts and for the simultaneous dissolution
     of those rural fire prevention districts to be filed with the
     county judge of the county in which the proposed emergency
     services district will be located.  Requires the petition to
     be signed by at least 100 qualified voters who own real
     property located in the county and in the proposed emergency
     services district.  Requires the petition to be signed by a
     majority of voters if there are fewer than 100 qualified
     voters.  Sets forth the name of the district to be proposed by
     the petition.
     
     (b)  Sets forth certain information that a petition must
       show.
       
       (c)  Requires the petition to contain an agreement signed by
       at least two petitioners that obligated them to pay not more
       than $150 of the costs incident to the formation of the
       emergency services district.
       
       (d)  Authorizes a county judge to receive a petition and to
       file the petition with the county clerk, if the petition is
       in proper form.
       
       (e)  Requires the commissioners court to set a place, date,
       and time for hearings to consider the petition, at the next
       regular or special session of the commissioners court held
       after the petition is filed with the county clerk.  Requires
       at least one hearing to be conducted in each rural fire
       prevention district that is proposed to be dissolved. 
       Requires the notice and the conduct of the hearing to be in
       accordance with Sections 775.015 and 775.016.  Authorizes
       the commissioners court to grant the petition as provided by
       Section 775.017, after the conclusion of the hearings.
       
       Sec. 775.024.  ELECTION TO CREATE EMERGENCY SERVICES DISTRICT
     AND DISSOLUTION OF RURAL FIRE PREVENTION DISTRICT:  CERTAIN
     COUNTIES.  (a)  Requires the commissioners court to order an
     election to confirm the creation of the emergency services
     district, authorize the imposition of a tax, and assume the
     assets and liabilities of each rural fire prevention district
     that is proposed to be dissolved.  Requires the commissioners
     court to order, simultaneously, an election in each rural fire
     prevention district on the question of whether to dissolve the
     rural prevention district effective on the date that the
     emergency services district is created.  Provides that
     Sections 775.018 and 775.019 apply to the election to confirm
     the creation of the emergency services district.  Provides
     that Section 794.059 applies to the election to dissolve the
     rural fire prevention district, except that the commissioners
     court shall perform a duty of the board of fire commissioners
     under that section.
     
     (b)  Sets forth the required language for the ballot in the
       election.
       
       (c)  Provides that an emergency services district is created
       and organized under this chapter if a majority of those
       voting in the election vote to confirm the creation of the
       emergency services district.  Provides that a rural fire
       prevention district as to which the commissioners court
       orders an election under Subsection (a) is not dissolved,
       without regard to the results of the dissolution election,
       if a majority of those voting at the election votes against
       confirming the creation of the emergency services district.
       
       (d)  Provides that the territory of the rural fire
       prevention district is included in the emergency services
       district, if a majority of those voting at the election vote
       to dissolve a rural fire prevention district.  Prohibits the
       territory of the rural fire prevention district from being
       included in the emergency services district if a majority of
       those voting at the election vote against dissolving a rural
       fire prevention district.
       
       (e)  Requires the board of fire commissioners of a dissolved
       rural fire prevention district to transfer the assets and
       liabilities of the rural fire prevention district to the
       emergency services district.  Requires the board of
       emergency services commissioners of the emergency services
       district to fully pay the debt or to annually impose an ad
       valorem tax on all property located in the district and
       subject to district taxation at a rate sufficient to pay the
       principal and interest on the bonds, if the rural fire
       prevention district has outstanding bonds to which ad
       valorem taxes are pledged.  Provides that the dissolution of
       the rural fire prevention district does not diminish or
       impair the rights of the holders of any outstanding bonds or
       notes of the district at the time of dissolution.
       
     SECTION 2.     Emergency clause.
           Effective date: upon passage.