By Wilson                                              H.B. No. 143

      75R1952 JD-D                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the allocation of certain county ad valorem taxes to

 1-3     municipalities in certain counties.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Subchapter B, Chapter 112, Local Government Code,

 1-6     is amended by adding Section 112.036 to read as follows:

 1-7           Sec. 112.036.  COLLECTED COUNTY TAXES DEPOSITED TO CREDIT OF

 1-8     MUNICIPALITY.  The tax assessor-collector in a county with a

 1-9     population of more than 2.8 million shall report to the

1-10     commissioners court the amount of county taxes deposited to the

1-11     credit of a municipality as provided by Section 31.10(e), Tax Code.

1-12           SECTION 2.  Subchapter B, Chapter 101, Local Government Code,

1-13     is amended by adding Section 101.024 to read as follows:

1-14           Sec. 101.024.  COUNTY TAX COLLECTIONS.  (a)  A municipality

1-15     in a county with a population of more than 2.8 million shall

1-16     establish a special account for the collected county taxes

1-17     deposited to the credit of the municipality under Section 31.10(e),

1-18     Tax Code.

1-19           (b)  The municipality may use funds in the account only for

1-20     purposes for which the county would be authorized to use the funds

1-21     if the funds were deposited to the credit of the county.  The

1-22     municipality may not use funds in the account for the benefit of

1-23     any portion of the municipality that is located outside the

1-24     boundaries of the county.

 2-1           SECTION 3.  Section 31.10, Tax Code, is amended by adding

 2-2     Subsection (e) to read as follows:

 2-3           (e)  The collector for a county with a population of more

 2-4     than 2.8 million shall deposit in a municipality's depository the

 2-5     collected county taxes that were imposed on property located in the

 2-6     municipality.

 2-7           SECTION 4.  This Act takes effect January 1, 1998, and

 2-8     applies only to taxes imposed on or after that date.

 2-9           SECTION 5.  The importance of this legislation and the

2-10     crowded condition of the calendars in both houses create an

2-11     emergency and an imperative public necessity that the

2-12     constitutional rule requiring bills to be read on three several

2-13     days in each house be suspended, and this rule is hereby suspended.