By Coleman H.B. No. 3300 76R5934 MXM-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to limits on eminent domain and a code of conduct for 1-3 sports and community venue districts in certain populous counties. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter E, Chapter 335, Local Government Code, 1-6 is amended by adding Section 335.0711 to read as follows: 1-7 Sec. 335.0711. LIMIT ON POWER OF EMINENT DOMAIN IN CERTAIN 1-8 DISTRICTS. (a) For purposes of this section, "facility site" 1-9 means a site for: 1-10 (1) an arena, coliseum, stadium, or other type of area 1-11 or facility: 1-12 (A) that is used or is planned for use for one 1-13 or more professional or amateur sports events, community events, or 1-14 other sports events, including rodeos, livestock shows, 1-15 agricultural expositions, promotional events, and other civic or 1-16 charitable events; and 1-17 (B) for which a fee for admission to the events 1-18 is charged or is planned to be charged; or 1-19 (2) a convention center facility or related 1-20 improvement such as a convention center, civic center, civic center 1-21 building, auditorium, theater, opera house, music hall, exhibition 1-22 hall, rehearsal hall, museum, or aquarium. 1-23 (b) This section applies only to a district located in a 1-24 county with a population of 2.4 million or more. 2-1 (c) A district may use its power of eminent domain under 2-2 Section 335.071 only to acquire a facility site as part of an 2-3 approved venue project. A district may not use its right and power 2-4 of eminent domain for any other purpose. 2-5 (d) A district may not participate in any way in planning or 2-6 zoning issues before the governing body of a municipality. 2-7 SECTION 2. Chapter 335, Local Government Code, is amended by 2-8 adding Subchapter F to read as follows: 2-9 SUBCHAPTER F. CODE OF CONDUCT FOR CERTAIN DISTRICTS 2-10 Sec. 335.101. DEFINITIONS. In this subchapter: 2-11 (1) "Director" means a board member. 2-12 (2) "Employee" means a district employee. 2-13 Sec. 335.102. APPLICABILITY OF SUBCHAPTER. This subchapter 2-14 applies only to a district located in a county with a population of 2-15 2.4 million or more. 2-16 Sec. 335.103. APPLICABILITY OF LAWS. (a) Chapter 171 2-17 applies to an employee as if the employee was a local public 2-18 official, as that term is defined by Section 171.001. 2-19 (b) Chapter 553, Government Code, applies to an employee as 2-20 if the employee was a public servant, as that term is defined by 2-21 Section 553.001, Government Code. 2-22 (c) Chapter 573, Government Code, applies to an employee as 2-23 if the employee was a public official, as that term is defined in 2-24 Section 573.001, Government Code. 2-25 Sec. 335.104. DISTRIBUTION OF CODE OF CONDUCT. The 2-26 presiding officer of the board shall provide to directors and 2-27 employees, as often as necessary, a code of conduct regarding the 3-1 requirements for office or employment under this chapter, 3-2 including: 3-3 (1) information regarding a person's responsibilities 3-4 relating to standards of conduct for a government officer or 3-5 employee; 3-6 (2) a summary and citation of the laws applicable to 3-7 a district officer or employee; 3-8 (3) this subchapter; and 3-9 (4) any additional requirements that the board may by 3-10 rule add to the code of conduct. 3-11 Sec. 335.105. RULEMAKING. The board by rule may modify its 3-12 code of conduct. 3-13 Sec. 335.106. GENERAL DUTIES. A director or employee shall: 3-14 (1) be, and give the appearance of being, independent 3-15 and impartial; 3-16 (2) place, and give the appearance of placing, the 3-17 public interest above any private interest in the person's position 3-18 of public trust; and 3-19 (3) strive to instill confidence in the integrity of 3-20 the board and employees. 3-21 Sec. 335.107. VENDOR REQUIREMENTS. (a) This section 3-22 applies to a vendor who: 3-23 (1) responds to a district request for a proposal; or 3-24 (2) otherwise communicates with the district in 3-25 connection with a potential agreement between that vendor and the 3-26 district. 3-27 (b) The board by rule shall design a conflict of interest 4-1 questionnaire that requires disclosure of a vendor's affiliations 4-2 or business relationships that might cause a conflict of interest. 4-3 (c) A vendor shall file a completed conflict of interest 4-4 questionnaire with the board secretary not less than seven days 4-5 after the vendor: 4-6 (1) begins contract discussions or negotiations with 4-7 the district; or 4-8 (2) forwards an application, response to a request for 4-9 proposal, correspondence, or other writings related to an agreement 4-10 or potential agreement with the district. 4-11 (d) The board may not approve an agreement with a vendor 4-12 unless the vendor's completed questionnaire has been on file with 4-13 the board secretary for not less than five days. 4-14 (e) A vendor shall file an updated completed questionnaire 4-15 with the board secretary: 4-16 (1) on September 1 of each year; and 4-17 (2) after each event that would make a statement in 4-18 the questionnaire incomplete or inaccurate. 4-19 (f) Each contract entered into between a district and a 4-20 vendor shall contain a provision stating that the contract is void 4-21 if the board or vendor violates this section. A contract entered 4-22 into between a district and a vendor is void if the board or a 4-23 vendor violates this section. 4-24 Sec. 335.108. DISCLOSURE OF VENDOR RELATIONSHIP BY DIRECTORS 4-25 AND EMPLOYEES. (a) The board by rule shall design a conflicts 4-26 disclosure statement for directors and employees that includes: 4-27 (1) a requirement that each director and employee 5-1 disclose: 5-2 (A) an employment or other business relationship 5-3 with a vendor that results in the director's or employee's 5-4 receiving taxable income, including the nature and extent of the 5-5 relationship; and 5-6 (B) any gifts received in a 12-month period by 5-7 that director or employee from a vendor that have a total value of 5-8 more than $250; 5-9 (2) an acknowledgment from the director or employee 5-10 that: 5-11 (A) the disclosure applies to a person related 5-12 to that director or employee within the first degree by 5-13 consanguinity or by affinity, as defined by Subchapter B, Chapter 5-14 573, Government Code; and 5-15 (B) the statement covers the preceding 12 5-16 months; and 5-17 (3) a signature by the director or employee 5-18 acknowledging execution of the statement under penalty of perjury. 5-19 (b) The disclosure requirement applies to a director or 5-20 employee and a person related to that director or employee within 5-21 the first degree by consanguinity or by affinity, as defined by 5-22 Subchapter B, Chapter 573, Government Code. 5-23 (c) A director or employee shall file a conflicts disclosure 5-24 statement with the board secretary not later than the end of the 5-25 first business day on which the director or employee became aware 5-26 of the relationship between the district and the vendor if: 5-27 (1) the vendor has contracted with the district; 6-1 (2) the district is considering conducting business 6-2 with the vendor; or 6-3 (3) a vendor offered one or more gifts to that 6-4 director or employee in the previous 12-month period that have a 6-5 total value of more than $250. 6-6 (d) If a director has knowledge that another director has 6-7 not made a disclosure required by this section, the director may 6-8 notify the presiding officer of the board of this fact, or may 6-9 notify the board secretary if the presiding officer is the person 6-10 who failed to make the disclosure. The presiding officer or 6-11 secretary, as appropriate, may make a preliminary inquiry regarding 6-12 the disclosure and may notify in writing the official who appointed 6-13 the director of the alleged failure to disclose and the reasons for 6-14 believing that a failure to disclose occurred. 6-15 (e) An employee may not receive during a 12-month period any 6-16 gifts from a vendor that have a total value of more than $250 6-17 unless the employee receives written approval from the presiding 6-18 officer. 6-19 Sec. 335.109. REQUEST FOR OPINION FROM GENERAL COUNSEL. (a) 6-20 An employee, with the presiding officer's consent, or a director 6-21 may seek a written advisory opinion from the district's general 6-22 counsel concerning whether a violation of Section 335.107 or 6-23 335.108 exists in a certain situation. The request must provide 6-24 detailed information about the alleged violation or hypothetical 6-25 situation. 6-26 (b) After receiving a request, the district's general 6-27 counsel shall prepare a written advisory opinion addressing whether 7-1 a violation has occurred under the information provided. 7-2 (c) A director or employee may rely in good faith on a 7-3 written advisory opinion issued under this section with respect to 7-4 a potential violation of Section 335.107 or 335.108. 7-5 Sec. 335.110. PENALTIES. The board may reprimand, suspend, 7-6 or terminate an employee who violates the district's code of 7-7 conduct. 7-8 SECTION 3. (a) This Act takes effect September 1, 1999. 7-9 (b) Section 335.107, Local Government Code, as added by this 7-10 Act, applies only to: 7-11 (1) a contract entered into by a vendor on or after 7-12 September 1, 1999; or 7-13 (2) a renewal or extension of a contract entered into 7-14 before September 1, 1999, that occurs on or after September 1, 7-15 1999. 7-16 SECTION 4. The importance of this legislation and the 7-17 crowded condition of the calendars in both houses create an 7-18 emergency and an imperative public necessity that the 7-19 constitutional rule requiring bills to be read on three several 7-20 days in each house be suspended, and this rule is hereby suspended.