By Junell                                              H.B. No. 930
         76R4095 CAG-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the operation and oversight of a regional planning
 1-3     commission, council of government, or other similar regional
 1-4     planning agency.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Section 391.009, Local Government Code, is
 1-7     amended to read as follows:
 1-8           Sec. 391.009.  ROLE OF GOVERNOR AND STATE AGENCIES.  (a)  To
 1-9     protect the public interest or promote the efficient use of public
1-10     funds, the [The] governor shall adopt:
1-11                 (1)  rules relating to the operation and oversight of a
1-12     commission;
1-13                 (2)  rules relating to the receipt or  expenditure of
1-14     funds by a commission, including:
1-15                       (A)  restrictions on the expenditure of any
1-16     portion of commission funds for certain classes of expenses; and
1-17                       (B)  restrictions on the maximum amount of or
1-18     percentage of commission funds that may be expended on a class of
1-19     expenses, including indirect costs or travel expenses;
1-20                 (3)  annual reporting requirements for a commission;
1-21                 (4)  annual audit requirements on funds received or
1-22     expended by a commission from any source;
1-23                 (5)  rules relating to the establishment and use of
1-24     standards by which the productivity and performance of each
 2-1     commission can be evaluated; and
 2-2                 (6)  [issue] guidelines that [to] commissions and
 2-3     governmental units shall follow in carrying [to carry] out the
 2-4     provisions of this chapter relating to review and comment
 2-5     procedures.
 2-6           (b)  The governor and state agencies shall provide technical
 2-7     information and assistance to the members and staff of a commission
 2-8     to increase, to the greatest extent feasible, the capability of the
 2-9     commission to discharge its duties and responsibilities prescribed
2-10     by this chapter and to ensure compliance with the rules,
2-11     requirements, and guidelines adopted under Subsection (a).
2-12           (c)  The governor shall appoint one member to each
2-13     commission.
2-14           SECTION 2.  Chapter 391, Local Government Code, is amended by
2-15     adding Section 391.0095 to read as follows:
2-16           Sec. 391.0095.  AUDIT AND REPORTING REQUIREMENTS.  (a)  The
2-17     audit and reporting requirements under Section 391.009(a) shall
2-18     include a requirement that a commission annually report to the
2-19     governor:
2-20                 (1)  the amount and source of funds received by the
2-21     commission;
2-22                 (2)  the amount and source of funds expended by the
2-23     commission;
2-24                 (3)  an explanation of any method used by the
2-25     commission to compute an expense of the commission, including
2-26     computation of any indirect cost of the commission;
2-27                 (4)  a report of the commission's productivity and
 3-1     performance during the annual reporting period;
 3-2                 (5)  a projection of the commission's productivity and
 3-3     performance during the next annual reporting period;
 3-4                 (6)  the results of an audit of the commission's
 3-5     affairs prepared by an independent certified public accountant; and
 3-6                 (7)  a report of any assets disposed of by the
 3-7     commission.
 3-8           (b)  A commission shall submit any other report or an audit
 3-9     required by the governor.
3-10           (c)  If a commission fails to submit a report or audit
3-11     required under this section or is determined by the governor to
3-12     have failed to comply with a rule, requirement, or guideline
3-13     adopted under Section 391.009, the governor may, until the failure
3-14     is corrected:
3-15                 (1)  appoint a receiver to operate or oversee the
3-16     commission; or
3-17                 (2)  withhold any funds of the commission.
3-18           (d)  A commission shall also send to the state auditor, the
3-19     comptroller, and the Legislative Budget Board a copy of a report or
3-20     an audit required under this section or under Section 391.009.  If
3-21     the governor determines that there is a question about the
3-22     appropriateness of an expenditure or other action of a commission,
3-23     the governor shall report the  expenditure or other action to the
3-24     state auditor for review.
3-25           SECTION 3.  Section 391.011(d), Local Government Code, is
3-26     amended to read as follows:
3-27           (d)  A commission may not expend funds for an automobile
 4-1     allowance for a member of the governing body of the commission if
 4-2     the member holds another state, county, or municipal office.
 4-3     [Funds may be expended for reimbursement of actual travel expenses,
 4-4     including mileage for automobile travel, incurred while the member
 4-5     is engaged  in the official business of the commission.]
 4-6           SECTION 4.  Chapter 391, Local Government Code, is amended by
 4-7     adding Sections 391.0115-391.0117 to read as follows:
 4-8           Sec. 391.0115.  RESTRICTIONS ON COMMISSION COSTS.  (a)  In
 4-9     this section, "indirect costs" means costs that are not directly
4-10     attributable to a single action of a commission.  The governor may
4-11     further define the term as necessary to assist in the
4-12     administration of this section.
4-13           (b)  In reimbursing commission personnel for travel expenses,
4-14     a commission may not expend funds for travel in excess of the
4-15     amount of money that may be  expended for state personnel under the
4-16     general appropriations act or travel regulations adopted by the
4-17     comptroller, including any restrictions on mileage reimbursement,
4-18     per diem, and lodging reimbursement rates.
4-19           (c)  A commission may not expend any funds for the purchase
4-20     of alcoholic beverages or entertainment.
4-21           (d)  A commission may purchase goods or a service only if the
4-22     commission complies with provisions for purchasing goods or a
4-23     service that are equivalent to the provisions applying to a state
4-24     agency, including Chapters 2155-2158, Government Code.
4-25           (e)  A commission may not spend more than the lesser of the
4-26     following on indirect costs of the commission:
4-27                 (1)  20 percent of the commission's direct personnel
 5-1     costs; or
 5-2                 (2)  10 percent of the commission's total direct costs.
 5-3           Sec. 391.0116.  RESTRICTIONS ON EMPLOYMENT.  (a)  An officer
 5-4     or employee of a commission is subject to the same rules regarding
 5-5     lobbying and other advocacy activities as an officer or employee of
 5-6     any state agency.
 5-7           (b)  The nepotism provisions of Chapter 573, Government Code,
 5-8     apply to a commission.
 5-9           Sec. 391.0117.  SALARY SCHEDULES.  (a)  For each fiscal year,
5-10     a commission shall adopt a salary schedule containing a
5-11     classification salary schedule for classified positions and
5-12     identifying and specifying the salaries for positions exempt from
5-13     the classification salary schedule.
5-14           (b)  The salary schedule adopted by the commission must be
5-15     identical, for classified positions, to the state salary schedule
5-16     for classified positions as prescribed by the general
5-17     appropriations act adopted by the most recent legislature.
5-18           (c)  A salary for a position classified under the salary
5-19     schedule may not exceed the salary approved by the state auditor's
5-20     office and paid by the state for comparable work.
5-21           (d)  A position may only be exempted from the classification
5-22     salary schedule adopted by the commission if the exemption and the
5-23     amount of salary paid for the exempt position is within the range
5-24     determined appropriate for exempt positions by  the state auditor.
5-25           (e)  A commission shall submit to the governor for approval
5-26     the commission's salary schedule, including the salaries of all
5-27     exempt positions, not later than the 45th day before the date of
 6-1     the beginning of the commission's fiscal year.  A commission may
 6-2     not implement a salary schedule unless the salary schedule is
 6-3     approved by the governor.
 6-4           SECTION 5.  This Act takes effect September 1, 1999.
 6-5           SECTION 6.  (a)  The governor shall adopt rules,
 6-6     requirements, and guidelines required by Sections 391.009 and
 6-7     391.0095, Local Government Code, as amended or added by this Act,
 6-8     not later than January 1, 2000.
 6-9           (b)  An entity required to file an audit or a  report under
6-10     Section 391.009 or Section 391.0095, Local Government Code, as
6-11     amended or added by this Act, shall file the initial audit or
6-12     report not later than September 1, 2000.
6-13           SECTION 7.  The importance of this legislation and the
6-14     crowded condition of the calendars in both houses create an
6-15     emergency and an imperative public necessity that the
6-16     constitutional rule requiring bills to be read on three several
6-17     days in each house be suspended, and this rule is hereby suspended.