By: Galloway S.B. No. 1957 Line and page numbers may not match official copy. Bill not drafted by TLC or Senate E&E. A BILL TO BE ENTITLED AN ACT 1-1 relating to the dissolution of the Montgomery County Hospital 1-2 District. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Chapter 258, Acts of the 65th Legislature, 1-5 Regular Session, 1977, is amended by adding Sections 23A and 23B to 1-6 read as follows: 1-7 Sec. 23A. (a) The district may be dissolved as provided by 1-8 this section. 1-9 (b) The board of directors may order an election on the 1-10 question of dissolving the district and disposing of the district's 1-11 assets and obligations. The board of directors shall order an 1-12 election if the board of directors receives a petition requesting 1-13 an election that is signed by a number of residents of the district 1-14 equal to at least 15 percent of the registered voters in the 1-15 district. 1-16 (c) The election shall be held not later than the 60th day 1-17 after the date on which the election is ordered. Section 1-18 41.001(a), Election Code, does not apply to an election ordered 1-19 under this section. 1-20 (d) The ballot for the election shall be printed to permit 1-21 voting for or against the proposition: "The dissolution of the 2-1 Montgomery County Hospital District." The election shall be held 2-2 in accordance with the applicable provisions of the Election Code. 2-3 (e) If a majority of the votes in the election favor 2-4 dissolution, the board of directors shall find that the district is 2-5 dissolved. If a majority of the votes in the election do not favor 2-6 dissolution, the board of directors shall continue to administer 2-7 the district and another election on the question of dissolution 2-8 may not be held before the first anniversary of the most recent 2-9 election to dissolve the district. 2-10 (f) If a majority of the votes in the election favor 2-11 dissolution, the board of directors shall transfer the land, 2-12 buildings, improvements, equipment, and other assets that belong to 2-13 the district to Montgomery County or another governmental entity in 2-14 the district or shall administer the property, assets, and debts in 2-15 accordance with Section 23B of this Act. If the district transfers 2-16 the land, buildings, improvements, equipment, and other assets to 2-17 Montgomery County or another governmental entity, the county or 2-18 entity assumes all debts and obligations of the district at the 2-19 time of the transfer and the district is dissolved. 2-20 Sec. 23B. (a) If the board of directors finds that the 2-21 district is dissolved but does not transfer the land, buildings, 2-22 improvements, equipment, and other assets to Montgomery County or 2-23 another governmental entity in the district, the board of directors 2-24 shall continue to control and administer the property, debts, and 2-25 assets of the district until all funds have been disposed of and 3-1 all district debts have been paid or settled. 3-2 (b) After the board of directors finds that the district is 3-3 dissolved, the board of directors shall: 3-4 (1) determine the debt owed by the district; and 3-5 (2) impose on the property included in the district's 3-6 tax rolls a tax that is in proportion of the debt to the property 3-7 value. 3-8 (c) The board of directors may institute a suit to enforce 3-9 payment of taxes and to foreclose liens to secure the payment of 3-10 taxes due the district. 3-11 (d) When all outstanding debts and obligations of the 3-12 district are paid, the board of directors shall order the secretary 3-13 to return the pro rata share of all unused tax money to each 3-14 district taxpayer. A taxpayer may request that the taxpayer's 3-15 share of surplus tax money be credited to the taxpayer's county 3-16 taxes. If a taxpayer requests the credit, the board of directors 3-17 shall direct the secretary to transmit the funds to the county tax 3-18 assessor-collector. 3-19 (e) After the district has paid all its debts and has 3-20 disposed of all its assets and funds as prescribed by this section, 3-21 the board of directors shall file a written report with the 3-22 commissioners court of Montgomery County setting forth a summary of 3-23 the board of directors' actions in dissolving the district. Not 3-24 later than the 10th day after it receives the report and determine 3-25 that the requirements of this section have been fulfilled, the 4-1 commissioners court shall enter an order dissolving the district. 4-2 SECTION 2. The importance of this legislation and the 4-3 crowded condition of the calendars in both houses create an 4-4 emergency and an imperative public necessity that the 4-5 constitutional rule requiring bills to be read on three several 4-6 days in each house be suspended, and this rule is hereby suspended 4-7 and that this Act take effect and be in force from and after its 4-8 passage, and it is so enacted.