Bill not drafted by TLC or Senate E&E.

      Line and page numbers may not match official copy.

         By:  Lucio                                   S.B. No. 1277

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to powers and duties of emergency services districts.

 1-2           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-3           SECTION 1.  Subchapter C, Chapter 775, Section 775.038,

 1-4     Health & Safety Code is amended to read as follows:

 1-5           Sec. 775.038.  COMPENSATION; CONFLICT OF INTEREST.

 1-6     (a)  Emergency services commissioners are entitled to receive fees

 1-7     of office of not more than $50 per day for each day the

 1-8     commissioner actually spends performing the duties of a

 1-9     commissioner.  The fees of office may not exceed $3,000 per annum.

1-10           (b)  Commissioners may also receive reimbursement for

1-11     reasonable and necessary expenses incurred in performing official

1-12     duties.

1-13           (c)  In order to receive fees of office and to receive

1-14     reimbursement for expenses, each commissioner shall file with the

1-15     district a verified statement showing the number of days actually

1-16     spent in the service of the district and a general description of

1-17     the duties performed for each day of service.

1-18           (d)  Commissioners are subject to the provisions of Chapter

1-19     171, Local Government Code, relating to the regulation of conflicts

1-20     of interest of officers of local governments.

1-21           SECTION 2.  Subchapter E, Chapter 775, Health and Safety Code

1-22     is amended by adding Section 775.084 to read as follows:

1-23           Sec. 775.084.  Competitive Bids Requirement.  (a)  Except as

 2-1     provided by Subsection (i), a board must submit to competitive bids

 2-2     an expenditure of more than $25,000 for:

 2-3                 (1)  one item or service; or

 2-4                 (2)  more than one of the same or a similar type of

 2-5     items or services in a fiscal year.

 2-6           (b)  The board shall request bids on items to be purchased or

 2-7     leased or services to be performed as provided by this subsection.

 2-8     The board shall notify suppliers, vendors, or providers by

 2-9     advertising for bids or by providing at least three suppliers,

2-10     vendors, or purchasers with written notice by mail of the intended

2-11     purchase.  If the board decides to advertise for bids, the

2-12     advertisement must be published in accordance with Section

2-13     262.025(a), Local Government Code.  If the board receives fewer

2-14     than three bids in response to the advertisement, the board shall

2-15     give written notice directly to at least three suppliers, vendors,

2-16     or providers of the intended purchase.  If three suppliers,

2-17     vendors, or providers are not available or known to the board, the

2-18     board shall give written notice by mail directly to each supplier,

2-19     vendor, or provider known to the board.

2-20           (c)  The advertisement or notice for competitive bidding

2-21     must:

2-22                 (1)  describe the work to be performed or the item to

2-23     be purchased or leased;

2-24                 (2)  state the location at which the bidding documents,

2-25     plans, specifications, or other data may be examined; and

 3-1                 (3)  state the time and place for submitting bids and

 3-2     the time and place that bids will be opened.

 3-3           (d)  The board may not prepare restrictive bid

 3-4     specifications.

 3-5           (e)  Bids may be opened only by the board at a public meeting

 3-6     or by a district officer or employee at or in a district office.

 3-7           (f)  The board may reject any bid.  The board may not award a

 3-8     contract to a bidder who is not the lowest bidder unless, before

 3-9     the bid is awarded, the lowest bidder is given notice of the

3-10     proposed award and an opportunity to appear before the board or its

3-11     designated representative and present evidence concerning the

3-12     bidder's responsibility.

3-13           (g)  A contract awarded in violation of this section is void.

3-14           (h)  This section applies to an expenditure of district tax

3-15     revenues by any party or entity for the purchase of services,

3-16     vehicles, equipment, or goods.

3-17           (i)  This section does not apply to:

3-18                 (1)  to the purchase or lease of real property;

3-19                 (2)  to an item or service that the board determines

3-20     can be obtained from only one source; or

3-21                 (3)  an emergency expenditure.

3-22           (j)  Contracts for public works projects shall be

3-23     administered in accordance with Subchapter B, Chapter 271, Local

3-24     Government Code.

3-25           SECTION 3.  Subchapter E, Chapter 775, Health and Safety

 4-1     Code, is amended by adding Section 775.025 to read as follows:

 4-2           Sec. 775.083.  Annual Report to Secretary of State.  (a)  On

 4-3     or before January 1st of each year, a district shall file with the

 4-4     Secretary of State an annual report that includes the following

 4-5     information:  the name of the district; the county or counties in

 4-6     which the district exists; the business address of the district;

 4-7     the names, mailing addresses, and terms of office of each

 4-8     commissioner; the general manager, executive director, or fire

 4-9     chief of the district; the legal counsel and any other consultants

4-10     for the district; and the annual budget and tax rate for the

4-11     preceding fiscal year.

4-12           (b)  The Secretary of State may not charge a fee for this

4-13     filing.

4-14           SECTION 4.  Subchapter C, Chapter 775, Health and Safety

4-15     Code, is amended by adding Section 775.039 to read as follows:

4-16           Sec. 775.039.  Eminent Domain.  (a)  A district may acquire

4-17     land, easements, or other property inside the district boundaries

4-18     necessary to carry out the purposes of the district, and may elect

4-19     to condemn either the fee simple title or a lesser property

4-20     interest.

4-21           (b)  The right of eminent domain shall be exercised in

4-22     accordance with Chapter 21, Property Code, except that a district

4-23     shall not be required to give bond for appeal or bond for costs in

4-24     any condemnation suit or other suit to which it is a party and

4-25     shall not be required to deposit more than the amount of any award

 5-1     in any suit.

 5-2           SECTION 5.  Subchapter C, Chapter 775, Health and Safety Code

 5-3     is amended by adding Section 775.040 to read as follows:

 5-4           Sec.  775.040.  Fees for Providing Services.  A district may

 5-5     charge a reasonable fee for emergency services performed for or on

 5-6     behalf of a person or entity.

 5-7           SECTION 6.  Subchapter B, Chapter 775, Health and Safety

 5-8     Code, Section 775.022 is amended to read as follows:

 5-9           Sec. 775.022.  Removal of Territory by Municipality.  (a)  If

5-10     a municipality annexes territory in a district, the board shall, on

5-11     request of the municipality, immediately disannex the territory

5-12     from the district and shall cease to provide further services to

5-13     the residents of that territory.

5-14           (b)  The disannexation of territory under this section does

5-15     not diminish or impar the rights of the holders of any outstanding

5-16     and unpaid bonds, warrants, or other obligations of the district.

5-17           (c)  If a municipality annexes a portion of a district, the

5-18     municipality shall compensate the district in an amount equal to

5-19     the annexed territory's pro-rata share of the district's

5-20     indebtedness at the time the territory is annexed by the

5-21     municipality.  The district must apply compensation received from a

5-22     municipality under this subsection exclusively to payment of the

5-23     annexed territory's pro-rata share of the district's indebtedness.

5-24           (d)  Upon request by the district, a municipality must

5-25     purchase from the district at fair market value any real or

 6-1     personal property used to provide emergency services in the

 6-2     disannexed territory.

 6-3           SECTION 7.  Subchapter C, Chapter 775, Health and Safety

 6-4     Code, Section 775.031 is amended to read as follows:

 6-5           Sec. 775.031.  District Powers.  (a)  A district is a

 6-6     political subdivision of the state.  To perform the functions of

 6-7     the district and to provide emergency services, a district may:

 6-8                 (1)  acquire, purchase, hold, lease, manage, occupy,

 6-9     and sell real and personal property or an interest in property;

6-10                 (2)  enter into and perform necessary contracts;

6-11                 (3)  appoint and employ necessary officers, agents, and

6-12     employees;

6-13                 (4)  sue and be sued;

6-14                 (5)  impose and collect taxes as prescribed by this

6-15     chapter;

6-16                 (6)  accept and receive donations;

6-17                 (7)  lease, own, maintain, operate, and provide

6-18     emergency services vehicles and other necessary or proper

6-19     apparatus, instrumentalities, equipment, and machinery to provide

6-20     emergency services;

6-21                 (8)  construct, lease, own, and maintain real property,

6-22     improvements, and fixtures necessary to house, repair, and maintain

6-23     emergency services vehicles and equipment;

6-24                 (9)  contract with other entities, including other

6-25     districts or municipalities, to make emergency services facilities

 7-1     and emergency services available to the district;

 7-2                 (10)  contract with other entities, including other

 7-3     districts or municipalities, for reciprocal operation of services

 7-4     and facilities if the contracting parties find that reciprocal

 7-5     operation would be mutually beneficial and not detrimental to the

 7-6     district; and

 7-7                 (11)  perform other acts necessary to carry out the

 7-8     intent of this chapter.

 7-9           (b)  A district located wholly within a county with a

7-10     population of more than 2.4 million may not provide fire prevention

7-11     or fire-fighting services unless the district was originally a

7-12     rural fire prevention district and was converted under Section

7-13     775.076.

7-14           (c)  A district may contract with the state or a political

7-15     subdivision for law enforcement services.  A district may not

7-16     commission a peace officer or employ a person as a peace officer.

7-17           (d)  A district is not required to perform all the functions

7-18     authorized by this chapter.  A district may be created to provide

7-19     limited services.