76R10400 DRH-F
By Van de Putte H.B. No. 3705
Substitute the following for H.B. No. 3705:
By Hill C.S.H.B. No. 3705
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the creation of an advanced transportation district and
1-3 authorizing the imposition of a local sales and use tax for
1-4 advanced transportation.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Chapter 451, Transportation Code, is amended by
1-7 adding Subchapter O to read as follows:
1-8 SUBCHAPTER O. ADVANCED TRANSPORTATION DISTRICT
1-9 Sec. 451.701. DEFINITIONS. In this subchapter:
1-10 (1) "Advanced transportation" means light rail,
1-11 commuter rail, fixed guideways, high occupancy vehicle lanes,
1-12 traffic monitoring systems, and other advanced transportation
1-13 facilities and services, including planning, feasibility studies,
1-14 and professional and other services in connection with those
1-15 facilities and services.
1-16 (2) "District" means an advanced transportation
1-17 district created under this subchapter.
1-18 (3) "Participating unit" means a municipality or the
1-19 unincorporated area of a county that joins a district under this
1-20 subchapter.
1-21 Sec. 451.702. ELECTION AUTHORIZED. (a) The board of an
1-22 authority in which the sales and use tax is imposed at a rate of
1-23 one-half of one percent and in which the principal municipality has
1-24 a population of more than 700,000 may order an election to create
2-1 an advanced transportation district within the authority's
2-2 boundaries and to impose a sales and use tax for advanced
2-3 transportation under this subchapter. If approved at the election,
2-4 the rate of the sales and use tax for advanced transportation is
2-5 one-fourth of one percent.
2-6 (b) The board shall provide written notice of the board's
2-7 intention to call an election under Subsection (a) to the governing
2-8 body of each municipality and the commissioners court of each
2-9 county any part of which is in the authority at least 120 days
2-10 before the date of the proposed election.
2-11 (c) The authority shall pay the costs of an election ordered
2-12 by the board under this section.
2-13 (d) At the election, the ballots shall be prepared to permit
2-14 voting for or against the proposition: "The creation of an advanced
2-15 transportation district and the imposition of a sales and use tax
2-16 for advanced transportation within the district at the rate of
2-17 one-fourth of one percent."
2-18 (e) The proceeds of the sales and use tax imposed under this
2-19 section shall be used by the district only for advanced
2-20 transportation purposes.
2-21 Sec. 451.703. CONDUCT OF INITIAL ELECTION: SEPARATE RESULT.
2-22 The election shall be conducted so that votes are separately
2-23 tabulated and canvassed and that the result is declared in each
2-24 unit of election in the authority as follows:
2-25 (1) in each municipality in the authority; and
2-26 (2) in the unincorporated area of each county in the
2-27 authority.
3-1 Sec. 451.704. RESULTS OF ELECTION; ORDER. (a) If a
3-2 majority of the votes cast in the principal municipality of the
3-3 authority are in favor of the proposition, the district is created
3-4 and includes:
3-5 (1) the principal municipality;
3-6 (2) each municipality in which a majority of the votes
3-7 cast favor the proposition; and
3-8 (3) the unincorporated area of each county in which a
3-9 majority of the votes cast favor the proposition.
3-10 (b) If the district is created, the board shall record the
3-11 results in its minutes and adopt an order:
3-12 (1) declaring that the district is created;
3-13 (2) describing the territory of the district;
3-14 (3) stating the date of the election;
3-15 (4) containing the proposition;
3-16 (5) showing the number of votes cast for or against
3-17 the proposition in each unit of election; and
3-18 (6) showing the number of votes by which the
3-19 proposition was approved in each unit of election in which the
3-20 proposition was approved.
3-21 (c) The order must be accompanied with a map of the district
3-22 that shows the boundaries of the district.
3-23 (d) A copy of the order and map shall be filed:
3-24 (1) with the department;
3-25 (2) with the comptroller; and
3-26 (3) in the deed records of each county in which the
3-27 district is located.
4-1 Sec. 451.705. SUBSEQUENT ELECTIONS. (a) If the voters of a
4-2 municipality do not vote to join the district at the initial
4-3 election under Section 451.702, the governing body of the
4-4 municipality may order an election in the municipality at a later
4-5 date on the question of joining the district.
4-6 (b) If the voters of the unincorporated area of a county do
4-7 not vote to join the district at the initial election under Section
4-8 451.702, the commissioners court of the county may order an
4-9 election in the county at a later date on the question of joining
4-10 the district.
4-11 (c) An election ordered under this section shall be held in
4-12 the same manner as the initial election, except that the
4-13 governmental entity ordering the election shall pay the costs of
4-14 the election, and the governing body of that entity shall canvass
4-15 the vote, declare the results, and notify the district of the
4-16 results of the election.
4-17 Sec. 451.706. LIMITATION ON TAX RATE. (a) The combined
4-18 rate of all sales and use taxes imposed by the district and all
4-19 other political subdivisions of this state may not exceed two
4-20 percent in any location in the district.
4-21 (b) If after an election held under this subchapter the
4-22 imposition of the district's tax in a participating unit would
4-23 exceed the limit imposed under Subsection (a), the election of a
4-24 participating unit to join the district repeals all other local
4-25 sales and use taxes in that unit, except for:
4-26 (1) the sales and use tax of the authority; and
4-27 (2) a sales and use tax of not more than one percent
5-1 imposed by a municipality under Section 321.101(a) or 321.103(a),
5-2 Tax Code.
5-3 (c) The sales and use tax authorized by this subchapter and
5-4 the repeal of any local sales and use taxes under this section take
5-5 effect on the first day of the second calendar quarter beginning
5-6 after the date the comptroller receives a copy of the order
5-7 canvassing the results of the election.
5-8 Sec. 451.707. GOVERNANCE OF DISTRICT. (a) The board of
5-9 the authority shall act as the governing body of the district and
5-10 is responsible for the management, operation, and control of the
5-11 district.
5-12 (b) The business of the district is conducted through its
5-13 governing body and by the employees of the authority acting under
5-14 the control and direction of the general manager of the authority.
5-15 (c) The district may enter into contracts with the authority
5-16 or other private or public entities to conduct the business of the
5-17 district.
5-18 (d) Except as otherwise provided by this subchapter, the
5-19 district has the same powers of the authority that called the
5-20 election creating the district as provided by Subchapters B, C, F,
5-21 H, I, and K.
5-22 Sec. 451.708. DISTRICT ASSETS AND RECORDKEEPING. (a) An
5-23 asset of the district shall be held in the name of the authority.
5-24 (b) The authority shall keep separate books and accounting
5-25 records for the funds, revenues, expenses, and other property of
5-26 the district.
5-27 Sec. 451.709. NATURE OF DISTRICT. The district is a
6-1 governmental unit under Chapter 101, Civil Practice and Remedies
6-2 Code, and the operations of the district are not proprietary
6-3 functions for any purpose, including the application of Chapter
6-4 101, Civil Practice and Remedies Code.
6-5 Sec. 451.710. ANNEXATION OF TERRITORY BY MUNICIPALITY. On
6-6 annexation by a municipality that is in the district, territory
6-7 that is not in the district becomes part of the district.
6-8 SECTION 2. The importance of this legislation and the
6-9 crowded condition of the calendars in both houses create an
6-10 emergency and an imperative public necessity that the
6-11 constitutional rule requiring bills to be read on three several
6-12 days in each house be suspended, and this rule is hereby suspended,
6-13 and that this Act take effect and be in force from and after its
6-14 passage, and it is so enacted.