By Luna H.B. No. 1096
Substitute the following for H.B. No. 1096:
By Carter C.S.H.B. No. 1096
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the creation of fire control, prevention, and emergency
1-3 medical services districts by certain municipalities.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subtitle A, Title 11, Local Government Code, is
1-6 amended by adding Chapter 344 to read as follows:
1-7 CHAPTER 344. FIRE CONTROL, PREVENTION, AND EMERGENCY MEDICAL
1-8 SERVICES DISTRICTS
1-9 SUBCHAPTER A. GENERAL PROVISIONS
1-10 Sec. 344.001. SHORT TITLE. This chapter may be cited as the
1-11 Fire Control, Prevention, and Emergency Medical Services District
1-12 Act.
1-13 Sec. 344.002. DEFINITIONS. In this chapter:
1-14 (1) "Board" means the board of directors of a
1-15 district.
1-16 (2) "Director" means a member of a board.
1-17 (3) "District" means a fire control, prevention, and
1-18 emergency medical services district created under this chapter.
1-19 Sec. 344.003. LIABILITY OF STATE. The state is not
1-20 obligated for the support, maintenance, or dissolution of a
1-21 district created under this chapter.
1-22 (Sections 344.004-344.050 reserved for expansion
1-23 SUBCHAPTER B. CREATION OF DISTRICT AND TEMPORARY BOARD
1-24 Sec. 344.051. AUTHORITY OF MUNICIPALITY TO PROPOSE DISTRICT.
2-1 (a) The governing body of a municipality with a population of not
2-2 less than 25,000 nor more than 550,000 may propose the creation of
2-3 a fire control, prevention, and emergency medical services district
2-4 under this chapter.
2-5 (b) The proposed district may include all or any part of the
2-6 municipality.
2-7 (c) Except as provided by Subsection (f), a district may be
2-8 created inside the boundaries of a rural fire prevention district
2-9 operating under Chapter 794, Health and Safety Code, or an
2-10 emergency services district operating under Chapter 775 or 776,
2-11 Health and Safety Code, only if the governing body of the rural
2-12 fire prevention district or the emergency services district gives
2-13 its written consent by order or resolution not later than the 60th
2-14 day after the date the governing body receives a request for its
2-15 consent.
2-16 (d) If the governing body of the rural fire prevention
2-17 district or emergency services district consents to the inclusion
2-18 of territory inside its geographic boundaries, the territory may be
2-19 included in the district in the same manner as other territory is
2-20 included under this chapter.
2-21 (e) The consent of the governing body of the rural fire
2-22 prevention district or emergency services district to include
2-23 territory in the district and to initiate proceedings to create a
2-24 district as prescribed by this chapter expires six months after the
2-25 date on which the consent is given.
2-26 (f) Subsection (c) does not apply if:
2-27 (1) on the effective date of this chapter, the
3-1 municipality is providing fire suppression and prevention services
3-2 and emergency medical services; or
3-3 (2) the fire control, prevention, and emergency
3-4 medical services plan of the proposed district proposes emergency
3-5 services that, on the effective date of this chapter, are not
3-6 provided by any rural fire prevention district or emergency
3-7 services district inside the boundaries of the municipality.
3-8 Sec. 344.052. TEMPORARY BOARD. (a) Not later than the 60th
3-9 day after the date the governing body proposes to create a district
3-10 under this chapter, the governing body shall appoint seven persons
3-11 to serve as temporary directors of the district. The temporary
3-12 directors must reside in the proposed district.
3-13 (b) Not later than the 75th day after the date the governing
3-14 body proposes to create the district, the temporary board shall
3-15 conduct a meeting to organize the board. The temporary directors
3-16 shall elect one of its members as presiding officer of the board at
3-17 that meeting.
3-18 (c) A temporary director other than the presiding officer
3-19 may designate another person to serve in the director's place.
3-20 (d) The governing body shall fill a vacancy in the office of
3-21 a temporary director in the same manner that it originally filled
3-22 the vacant position.
3-23 Sec. 344.053. ELECTION REQUIRED. A proposed district may be
3-24 created and a district tax may be authorized only if the creation
3-25 and the tax are approved by a majority of the qualified voters of
3-26 the proposed district voting at an election called and held for
3-27 that purpose.
4-1 Sec. 344.054. CONFIRMATION ELECTION ORDER. (a) The
4-2 temporary board may call and hold a confirmation election only
4-3 after the board adopts plans under Section 344.061.
4-4 (b) An order calling an election under Subsection (a) must
4-5 state:
4-6 (1) the nature of the election, including the
4-7 proposition that is to appear on the ballot;
4-8 (2) the date of the election;
4-9 (3) the hours during which the polls will be open;
4-10 (4) the location of the polling places;
4-11 (5) a summary of the proposed district's budget plan
4-12 and fire control, prevention, and emergency medical services plan;
4-13 and
4-14 (6) the proposed rate of the sales and use tax for the
4-15 district.
4-16 Sec. 344.055. SALES AND USE TAX. (a) A municipality that
4-17 creates a district shall adopt a sales and use tax under Section
4-18 321.106, Tax Code, for financing the operation of the district.
4-19 The proposed rate for the district sales and use tax imposed under
4-20 Subchapter B, Chapter 321, Tax Code, may be only:
4-21 (1) one-eighth of one percent;
4-22 (2) one-fourth of one percent;
4-23 (3) three-eighths of one percent; or
4-24 (4) one-half of one percent.
4-25 (b) A sales and use tax adopted under this chapter may be
4-26 charged in addition to any other sales and use tax authorized by
4-27 law and one eighth of one percent or less of a sales and use tax
5-1 adopted under this chapter is not included in computing a combined
5-2 sales and use tax rate for purposes of any limitation provided by
5-3 law on the maximum combined sales and use tax rate of political
5-4 subdivisions.
5-5 Sec. 344.056. NOTICE OF ELECTION. In addition to the notice
5-6 required by Section 4.003(c), Election Code, the temporary
5-7 directors of a proposed district shall give notice of an election
5-8 to create a district by publishing a substantial copy of the
5-9 election order in a newspaper with general circulation in the
5-10 proposed district once a week for two consecutive weeks. The first
5-11 publication must appear before the 35th day before the date set for
5-12 the election.
5-13 Sec. 344.057. ELECTION DATE. (a) The election shall be
5-14 held after the 34th day and before the 61st day after the date on
5-15 which the election is ordered.
5-16 (b) Section 41.001(a), Election Code, does not apply to a
5-17 confirmation election under this chapter.
5-18 Sec. 344.058. BALLOT PROPOSITION. The ballot for an
5-19 election to create a district shall be printed to permit voting for
5-20 or against the proposition: "The creation of the ______ (name of
5-21 the municipality proposing to create the district) Fire Control,
5-22 Prevention, and Emergency Medical Services District dedicated to
5-23 fire safety and emergency medical services programs and the
5-24 adoption of a proposed local sales and use tax at a rate of _______
5-25 (rate specified in the election order)."
5-26 Sec. 344.059. CANVASSING RETURNS. (a) Not earlier than the
5-27 second day and not later than the 13th day after the date of the
6-1 election, the temporary board shall meet and canvass the returns of
6-2 the election.
6-3 (b) If a majority of the votes cast in the election favor
6-4 the creation of the district, the temporary board shall issue an
6-5 order declaring the district created.
6-6 (c) If less than a majority of the votes cast in the
6-7 election favor the creation of the district, the temporary board
6-8 may order another election on the matter not earlier than the first
6-9 anniversary of the date of the preceding election.
6-10 Sec. 344.060. DISSOLUTION OF TEMPORARY BOARD. If a district
6-11 has not been created under this chapter before the fifth
6-12 anniversary of the date a district is first proposed by the
6-13 governing body under Section 344.051:
6-14 (1) the temporary board is dissolved on that date; and
6-15 (2) the proposed district may not be created under
6-16 this chapter.
6-17 Sec. 344.061. FIRE CONTROL, PREVENTION, AND EMERGENCY
6-18 MEDICAL SERVICES PLAN AND BUDGET PLAN. (a) The temporary board
6-19 shall develop and adopt a two-year fire control, prevention, and
6-20 emergency medical services plan and a two-year budget plan. The
6-21 fire control, prevention, and emergency medical services plan must
6-22 include:
6-23 (1) a detailed list of the fire control, prevention,
6-24 and emergency medical services strategies to be supported by the
6-25 district; and
6-26 (2) the method of evaluating each year the
6-27 effectiveness and efficiency of individual fire control,
7-1 prevention, and emergency medical services strategies.
7-2 (b) The budget plan must include:
7-3 (1) the amount of money budgeted by the district for
7-4 each fire control, prevention, and emergency medical services
7-5 strategy;
7-6 (2) the amount of money budgeted by the district and
7-7 the percentage of the total budget of the district for
7-8 administration, with individual amounts showing the cost of the
7-9 administration that would be conducted by the district and the cost
7-10 of administration that would be conducted by private or public
7-11 entities;
7-12 (3) the estimated amount of money available to the
7-13 district from all sources during the subsequent year;
7-14 (4) the account balances expected at the end of the
7-15 years for which the budget is prepared; and
7-16 (5) the estimated tax rate that will be required to
7-17 support the budget.
7-18 (c) Plans under this section must be adopted in the same
7-19 manner as provided for adoption of a proposed annual budget under
7-20 Section 344.204.
7-21 (d) The temporary board shall coordinate its efforts in
7-22 developing its plans under this section with appropriate local
7-23 officials and entities.
7-24 Sec. 344.062. FINANCING CREATION OF DISTRICT. (a) A
7-25 municipality creating a district shall pay the entire cost of
7-26 creating the district.
7-27 (b) If a district is created, the district shall reimburse
8-1 the municipality for the actual expenses the municipality incurred
8-2 in the creation of the district.
8-3 (Sections 344.063-344.100 reserved for expansion
8-4 SUBCHAPTER C. ADMINISTRATION
8-5 Sec. 344.101. BOARD OF DIRECTORS. (a) Except as provided
8-6 by Subsections (e) and (f), a district is governed by a board of
8-7 seven directors appointed in the same manner as provided by Section
8-8 344.052(a) for the appointment of temporary directors.
8-9 (b) Initial appointees under this section shall draw lots to
8-10 determine their terms so that:
8-11 (1) three directors serve terms that expire on
8-12 September 1 of the first year following creation of the district;
8-13 and
8-14 (2) four directors serve terms that expire on
8-15 September 1 of the second year following creation of the district.
8-16 (c) Directors serve staggered two-year terms.
8-17 (d) A vacancy in the office of director shall be filled for
8-18 the unexpired term in the same manner that the vacant position was
8-19 originally filled.
8-20 (e) The governing body of a municipality by resolution may
8-21 appoint the governing body's membership as the board of directors
8-22 of the district, if the appointment is approved by the voters in a
8-23 creation election or continuation referendum under this chapter. A
8-24 member of a governing body appointed under this section as an ex
8-25 officio director serves a term concurrent with the member's term as
8-26 a member of the governing body.
8-27 (f) In a district for which the governing body of the
9-1 municipality does not serve as the district's board of directors,
9-2 the governing body may create a board of directors for which one
9-3 director is appointed by each member of the governing body to serve
9-4 at the pleasure of that member for a term not to exceed two years
9-5 and that expires when the member of the governing body that
9-6 appointed the director leaves office.
9-7 Sec. 344.102. PERFORMANCE BOND. (a) Before assuming the
9-8 duties of the office, each director or officer must execute a bond
9-9 for $5,000 payable to the district, conditioned on the faithful
9-10 performance of the person's duties as director or officer.
9-11 (b) The bond shall be kept in the permanent records of the
9-12 district.
9-13 (c) The board may pay for the bonds of directors or officers
9-14 with district funds.
9-15 (d) The board and the district may issue and sell bonds
9-16 conditioned on the faithful performance of a person's duties as a
9-17 director as provided by this section.
9-18 Sec. 344.103. OFFICERS. (a) The board shall elect from
9-19 among its members a president and vice president.
9-20 (b) The board shall appoint a secretary. The secretary may
9-21 be a director.
9-22 (c) The person who performs the duties of auditor for the
9-23 municipality shall serve as treasurer of the district.
9-24 (d) Each officer of the board serves for a term of one year.
9-25 (e) A vacancy in a board office shall be filled by the board
9-26 for the unexpired term.
9-27 Sec. 344.104. COMPENSATION. A director or officer serves
10-1 without compensation, but a director or officer may be reimbursed
10-2 for actual expenses incurred in the performance of official duties.
10-3 Those expenses must be reported in the district's minute book or
10-4 other district record and must be approved by the board.
10-5 Sec. 344.105. VOTING REQUIREMENT. A concurrence of a
10-6 majority of the members of the board is necessary in matters
10-7 relating to the business of a district. A two-thirds majority vote
10-8 of the board is required to reject any application for funding
10-9 available under this chapter.
10-10 Sec. 344.106. CONTRACT FOR ADMINISTRATIVE ASSISTANCE. The
10-11 board may contract with a public agency or private vendor to assist
10-12 the board in the administration or management of the district or to
10-13 assist the board in the review of applications for funding
10-14 available under this chapter.
10-15 (Sections 344.107-344.150 reserved for expansion
10-16 SUBCHAPTER D. POWERS AND DUTIES
10-17 Sec. 344.151. FINANCING DISTRICT PROGRAMS. (a) The
10-18 district may finance all costs of a fire control, prevention, and
10-19 emergency medical services district program, including costs for
10-20 personnel, administration, expansion, enhancement, and capital
10-21 expenditures.
10-22 (b) The program may include:
10-23 (1) fire apparatus and equipment;
10-24 (2) a bomb disposal unit and related equipment;
10-25 (3) compensation of fire protection and prevention
10-26 personnel for specialized training regarding:
10-27 (A) arson;
11-1 (B) bomb disposal;
11-2 (C) hazardous materials;
11-3 (D) technical rescue;
11-4 (E) paramedic certification; and
11-5 (F) any other specialized training under the
11-6 program;
11-7 (4) funding for turn-out gear, self-contained
11-8 breathing apparatus, and protective uniforms or other firefighter
11-9 safety equipment;
11-10 (5) additional compensation for municipal
11-11 fire-fighting personnel, including overtime compensation for
11-12 unforeseen staffing needs; and
11-13 (6) funding for the construction and maintenance of
11-14 fire stations, training facilities, or the equipment needed for
11-15 those stations or facilities.
11-16 (c) The program may include an enhanced emergency
11-17 communications center or other emergency communications programs
11-18 and equipment, including:
11-19 (1) emergency medical dispatch training;
11-20 (2) additional fire and emergency medical service
11-21 dispatchers;
11-22 (3) uniformed fire deployment and communications
11-23 officers;
11-24 (4) real-time weather information; and
11-25 (5) computer databases and systems maintenance
11-26 personnel for hazardous materials responses.
11-27 (d) The program may include a public training program,
12-1 including:
12-2 (1) a juvenile fire starter program;
12-3 (2) an urban survival program, including school
12-4 programs for fire safety, gun safety, and safety with strangers;
12-5 (3) a fire prevention program;
12-6 (4) a fire education program;
12-7 (5) a hazardous materials education program;
12-8 (6) a psychological intervention program; and
12-9 (7) a citizen's ride-along program or home inspection
12-10 program.
12-11 (e) The program may include public preventive health
12-12 programs, including:
12-13 (1) juvenile inoculations;
12-14 (2) weekend health days;
12-15 (3) first aid and cardiopulmonary resuscitation
12-16 training;
12-17 (4) injury prevention; and
12-18 (5) drug and alcohol awareness.
12-19 (f) The program may include response training programs,
12-20 equipment, facilities, and instructors, including:
12-21 (1) a regional training center for fire, rescue,
12-22 hazardous materials, and emergency medical service;
12-23 (2) staff personnel to support the center;
12-24 (3) equipment and apparatus to support the center;
12-25 (4) computer-aided continuing education training
12-26 conducted in-station; and
12-27 (5) training regarding hazardous material storage and
13-1 response.
13-2 (g) The program may include computers and other systems to
13-3 support information management systems to:
13-4 (1) maintain occupancy information;
13-5 (2) track incident analyses;
13-6 (3) track incident reports;
13-7 (4) track internal communications and reporting;
13-8 (5) maintain inventory; and
13-9 (6) serve other information management needs.
13-10 (h) The program may include capital items needed to improve
13-11 emergency response and increase service efficiency, including
13-12 equipment, apparatus, vehicles, and training material or equipment.
13-13 Sec. 344.152. COORDINATION; EVALUATION; GRANTS. (a) The
13-14 district shall coordinate its efforts with local agencies in
13-15 developing its fire control, prevention, and emergency medical
13-16 services program.
13-17 (b) The district shall conduct an annual evaluation program
13-18 to study the impact, efficiency, and effectiveness of new or
13-19 expanded fire control, prevention, and emergency medical services
13-20 programs.
13-21 (c) The board may seek the assistance of the Office of
13-22 State-Federal Relations in identifying and applying for federal
13-23 grants for fire control, prevention, and emergency medical services
13-24 programs.
13-25 (d) The district may apply for and receive grants for fire
13-26 control, prevention, and emergency medical services programs from a
13-27 state or federal agency.
14-1 Sec. 344.153. GENERAL BOARD POWER OVER FUNDS. The board
14-2 shall manage, control, and administer the district finances except
14-3 as provided by Section 344.205.
14-4 Sec. 344.154. USE OF REVENUE. The board may spend revenue
14-5 derived from the sales and use tax distributed under Section
14-6 321.106, Tax Code, only for a purpose authorized by Section
14-7 344.151.
14-8 Sec. 344.155. RULES AND PROCEDURES. (a) A board may adopt
14-9 rules governing programs financed by the district and the functions
14-10 of district staff.
14-11 (b) The board may prescribe accounting and control
14-12 procedures for the district.
14-13 (c) The board is subject to Chapter 2001, Government Code.
14-14 Sec. 344.156. PURCHASING. (a) Except as provided by
14-15 Subsection (b), the board may prescribe the method of making
14-16 purchases and expenditures by and for the district.
14-17 (b) To the extent competitive bidding procedures in Title 8
14-18 apply, the board may not enter into a purchasing contract for more
14-19 than $15,000 unless the board complies with Chapter 252.
14-20 (c) If the municipality that created the district has a
14-21 purchasing agent authorized by law, that agent shall serve as
14-22 purchasing agent for the district.
14-23 Sec. 344.157. PROPERTY TO BE USED IN ADMINISTRATION. The
14-24 board may lease or acquire in another manner facilities, equipment,
14-25 or other property for the sole purpose of administering the
14-26 district.
14-27 Sec. 344.158. REIMBURSEMENT FOR SERVICES. (a) A county or
15-1 municipality located outside the boundaries of a district on the
15-2 district's request shall reimburse the district for the district's
15-3 cost of including a resident of that county or municipality who is
15-4 not a resident of that district in a district program.
15-5 (b) On behalf of the district, the board may contract with a
15-6 municipal or county government or with the state or federal
15-7 government for the municipal, county, state, or federal government
15-8 to reimburse the district for including a person in a district
15-9 program.
15-10 Sec. 344.159. SERVICE CONTRACTS. The board may contract
15-11 with the following entities to furnish the staff, facilities,
15-12 equipment, programs, or services the board considers necessary for
15-13 the effective operation of the district:
15-14 (1) a municipality, county, special district, or other
15-15 political subdivision of the state;
15-16 (2) a state or federal agency;
15-17 (3) an individual; or
15-18 (4) a private person.
15-19 Sec. 344.160. DONATIONS, GIFTS, AND ENDOWMENTS. On behalf
15-20 of the district, the board or the temporary board may accept a
15-21 donation, gift, or endowment. The district may hold a donation,
15-22 gift, or endowment in trust for any purpose and under any
15-23 direction, limitation, or other provision prescribed in writing by
15-24 the donor that is consistent with this chapter and the proper
15-25 management of the district.
15-26 Sec. 344.161. AUTHORITY TO SUE AND BE SUED. The board may
15-27 sue and be sued in the name of the district.
16-1 (Sections 344.162-344.200 reserved for expansion
16-2 SUBCHAPTER E. DISTRICT FINANCES
16-3 Sec. 344.201. FISCAL YEAR. (a) The board shall establish
16-4 the fiscal year for the district, and the district shall operate on
16-5 the basis of that year.
16-6 (b) The fiscal year may not be changed more than once in a
16-7 24-month period.
16-8 Sec. 344.202. AUDITS AND DISTRICT RECORDS. (a) The board
16-9 shall have an annual audit made of the financial condition of the
16-10 district by an independent auditor.
16-11 (b) The annual audit and other district records shall be
16-12 open to inspection during regular business hours at the principal
16-13 office of the district.
16-14 Sec. 344.203. ANNUAL BUDGET PROPOSAL. (a) The board shall
16-15 propose an annual budget. The board shall consider the
16-16 applications for program funding in preparing the proposed budget.
16-17 (b) The proposed budget must contain a complete financial
16-18 statement, including a statement of:
16-19 (1) the outstanding obligations of the district;
16-20 (2) the amount of cash on hand to the credit of each
16-21 fund of the district;
16-22 (3) the amount of money received by the district from
16-23 all sources during the previous year;
16-24 (4) the estimated amount of money available to the
16-25 district from all sources during the current fiscal year;
16-26 (5) the amount of money needed to fund programs
16-27 approved for funding by the board;
17-1 (6) the amount of money requested for programs that
17-2 were not approved for funding by the board;
17-3 (7) the tax rate for the next fiscal year;
17-4 (8) the amount of the balances expected at the end of
17-5 the year in which the budget is being prepared; and
17-6 (9) the estimated amount of revenues and balances
17-7 available to cover the proposed budget.
17-8 Sec. 344.204. ADOPTION OF BUDGET. (a) Not later than the
17-9 100th day before the date each fiscal year begins, the board shall
17-10 hold a public hearing to consider the proposed annual budget.
17-11 (b) The board shall publish notice of the hearing in a
17-12 newspaper with general circulation in the district not later than
17-13 the 10th day before the date of the hearing.
17-14 (c) A resident of the district is entitled to participate in
17-15 the hearing.
17-16 (d) Not later than the 80th day before the date each fiscal
17-17 year begins, the board shall adopt a budget. The board may make
17-18 any changes in the proposed budget that the interests of the
17-19 taxpayers demand.
17-20 (e) Not later than the 10th day after the date the budget is
17-21 adopted, the board shall submit the budget to the governing body of
17-22 the municipality that created the district.
17-23 (f) The board by rule may adopt alternative procedures for
17-24 adopting a budget that differ from the procedures outlined in this
17-25 subchapter. The board must hold at least one public hearing
17-26 related to the alternative procedures before their adoption.
17-27 Sec. 344.205. APPROVAL OF BUDGET. (a) Not later than the
18-1 45th day before the date each fiscal year begins, the governing
18-2 body of the municipality that created the district shall hold a
18-3 public hearing to consider the budget adopted by the board and
18-4 submitted to the governing body.
18-5 (b) The governing body must publish notice of the hearing in
18-6 a newspaper with general circulation in the district not later than
18-7 the 10th day before the date of the hearing.
18-8 (c) A resident of the district is entitled to participate in
18-9 the hearing.
18-10 (d) Not later than the 30th day before the date the fiscal
18-11 year begins, the governing body shall approve or reject the budget
18-12 submitted by the board. The governing body may not amend the
18-13 budget.
18-14 (e) If the governing body rejects the budget submitted by
18-15 the board, the governing body and the board shall meet and together
18-16 amend and approve the budget before the beginning of the fiscal
18-17 year.
18-18 (f) The budget may be amended after the beginning of the
18-19 fiscal year on approval by the board and the governing body.
18-20 Sec. 344.206. LIMITATIONS ON EXPENDITURES AND INVESTMENTS.
18-21 (a) The district may spend money only for an expense included in
18-22 the annual budget or an amendment to the budget.
18-23 (b) A district may not incur a debt payable from revenues of
18-24 the district other than the revenues on hand or to be on hand in
18-25 the current or immediately following fiscal year of the district.
18-26 (c) The board may not invest district money in funds or
18-27 securities other than those specified by Chapter 2256, Government
19-1 Code.
19-2 Sec. 344.207. ACCOUNT OF DISBURSEMENTS OF DISTRICT. Not
19-3 later than the 60th day after the last day of each fiscal year, an
19-4 administrator shall prepare for the board a sworn statement of the
19-5 amount of money that belongs to the district and an account of the
19-6 disbursements of that money.
19-7 Sec. 344.208. DEPOSIT OF MONEY. (a) The board shall
19-8 deposit district money in a special account in the treasury of the
19-9 municipality that created the district.
19-10 (b) District money, other than that invested as provided by
19-11 Section 344.206(c), shall be deposited as received in the treasury
19-12 of the municipality and must remain on deposit.
19-13 (c) The board shall reimburse the municipality for any
19-14 costs, other than personnel costs, the municipality incurs for
19-15 performing the duties under this section.
19-16 Sec. 344.209. APPLICATIONS FOR PROGRAM FUNDING. (a) An
19-17 officer of the municipality that created the district or the head
19-18 of a department of that municipality may, with the consent of the
19-19 governing body of the municipality, apply to the board for funding
19-20 of a program described by Section 344.151.
19-21 (b) The officer must apply under this section not later than
19-22 the 140th day before the date the fiscal year begins, unless the
19-23 board by rule has adopted an exception.
19-24 (c) The board by rule may adopt application procedures.
19-25 Sec. 344.210. BONDS PROHIBITED. The board may not issue or
19-26 sell general obligation bonds, revenue bonds, or refunding bonds.
19-27 (Sections 344.211-344.250 reserved for expansion
20-1 SUBCHAPTER F. REFERENDUM ON CONTINUATION OR DISSOLUTION OF DISTRICT
20-2 Sec. 344.251. REFERENDUM AUTHORIZED. (a) The board may
20-3 call and hold a referendum election on the question of whether to:
20-4 (1) continue the district; or
20-5 (2) dissolve the district.
20-6 (b) A board may order a referendum election on its own
20-7 motion.
20-8 (c) The board shall order a referendum election:
20-9 (1) on receipt of a petition that requests
20-10 continuation or dissolution of the district and complies with the
20-11 requirements of Sections 344.252-344.256; or
20-12 (2) if the governing body of the municipality that
20-13 created the district, after notice and a public hearing on the
20-14 matter, by resolution requests a referendum on continuation or
20-15 dissolution.
20-16 (d) The board may not hold a referendum election under this
20-17 subchapter before the fifth anniversary of the date the district
20-18 was created or before the third anniversary of the date of the last
20-19 continuation or dissolution referendum election.
20-20 (e) For a continuation referendum election, the ballot shall
20-21 be printed to permit voting for or against the proposition:
20-22 "Whether the ____________ (name of the municipality that created
20-23 the district) Fire Control, Prevention, and Emergency Medical
20-24 Services District should be continued and whether the fire control,
20-25 prevention, and emergency medical services district sales and use
20-26 tax should be continued."
20-27 (f) For a dissolution referendum, the ballot shall be
21-1 printed to permit voting for or against the proposition: "Whether
21-2 the ____________ (name of the municipality that created the
21-3 district) Fire Control, Prevention, and Emergency Medical Services
21-4 District should be dissolved and whether the fire control,
21-5 prevention, and emergency medical services district sales and use
21-6 tax should be abolished."
21-7 (g) The governing body of a municipality that creates a
21-8 district under this chapter may specify the number of years for
21-9 which the district should be continued. The board or the governing
21-10 body of a municipality may continue a district for 5, 10, 15, or 20
21-11 years. For a continuation referendum election under this
21-12 subsection, the ballot shall be printed to permit voting for or
21-13 against the proposition: "Whether the ______ (name of the
21-14 municipality that created the district) Fire Control, Prevention,
21-15 and Emergency Medical Services District should be continued for
21-16 ______ years and whether the fire control, prevention, and
21-17 emergency medical services district sales and use tax should be
21-18 continued for _____ years."
21-19 Sec. 344.252. APPLICATION FOR PETITION. (a) On written
21-20 application of 10 or more registered voters of the district, the
21-21 clerk of the municipality that created the district shall issue to
21-22 the applicants a petition to be circulated among registered voters
21-23 for their signatures.
21-24 (b) An application for a petition to continue the district
21-25 must contain:
21-26 (1) the heading: "Application for a Petition for a
21-27 Local Option Referendum to Continue the Fire Control, Prevention,
22-1 and Emergency Medical Services District and to Continue the Fire
22-2 Control, Prevention, and Emergency Medical Services District Sales
22-3 and Use Tax";
22-4 (2) the statement: "Whether the ______ (name of the
22-5 municipality that created the district) Fire Control, Prevention,
22-6 and Emergency Medical Services District should be continued and
22-7 whether the fire control, prevention, and emergency medical
22-8 services district sales and use tax should be continued";
22-9 (3) immediately above the signatures of the
22-10 applicants, the statement: "It is the purpose and intent of the
22-11 applicants whose signatures appear below that the fire control,
22-12 prevention, and emergency medical services district be continued
22-13 and that the fire control, prevention, and emergency medical
22-14 services district sales and use tax in ___________ (name of the
22-15 municipality that created the district) be continued"; and
22-16 (4) the printed name, signature, residence address,
22-17 and voter registration certificate number of each applicant.
22-18 (c) An application for a petition to dissolve the district
22-19 must contain:
22-20 (1) the heading: "Application for a Petition for a
22-21 Local Option Referendum to Dissolve the Fire Control, Prevention,
22-22 and Emergency Medical Services District and to Abolish the Fire
22-23 Control, Prevention, and Emergency Medical Services District Sales
22-24 and Use Tax";
22-25 (2) the statement: "Whether the ___________ (name of
22-26 the municipality that created the district) Fire Control,
22-27 Prevention, and Emergency Medical Services District should be
23-1 dissolved and whether the fire control, prevention, and emergency
23-2 medical services district sales and use tax should be abolished";
23-3 (3) immediately above the signatures of the
23-4 applicants, the statement: "It is the purpose and intent of the
23-5 applicants whose signatures appear below that the fire control,
23-6 prevention, and emergency medical services district be dissolved
23-7 and that the fire control, prevention, and emergency medical
23-8 services district sales and use tax in ___________ (name of the
23-9 municipality that created the district) be abolished"; and
23-10 (4) the printed name, signature, residence address,
23-11 and voter registration certificate number of each applicant.
23-12 Sec. 344.253. PETITION. (a) A petition for a referendum to
23-13 continue a district must contain:
23-14 (1) the heading: "Petition for a Local Option
23-15 Referendum to Continue the ____________ (name of the municipality
23-16 that created the district) Fire Control, Prevention, and Emergency
23-17 Medical Services District and to Continue the Fire Control,
23-18 Prevention, and Emergency Medical Services District Sales and Use
23-19 Tax";
23-20 (2) a statement of the issue to be voted on in the
23-21 same words used in the application;
23-22 (3) immediately above the signatures of the
23-23 petitioners, the statement: "It is the purpose and intent of the
23-24 petitioners whose signatures appear below that the fire control,
23-25 prevention, and emergency medical services district be continued
23-26 and that the fire control, prevention, and emergency medical
23-27 services district sales and use tax in ___________ (name of the
24-1 municipality that created the district) be continued";
24-2 (4) lines and spaces for the names, signatures,
24-3 residence addresses, and voter registration certificate numbers of
24-4 the petitioners; and
24-5 (5) the date of issuance, the serial number, and the
24-6 seal of the clerk of the municipality on each page.
24-7 (b) A petition for a referendum to dissolve a district must
24-8 contain:
24-9 (1) the heading: "Petition for a Local Option
24-10 Referendum to Dissolve the __________ (name of the municipality
24-11 that created the district) Fire Control, Prevention, and Emergency
24-12 Medical Services District and to Abolish the Fire Control,
24-13 Prevention, and Emergency Medical Services District Sales and Use
24-14 Tax";
24-15 (2) a statement of the issue to be voted on in the
24-16 same words used in the application;
24-17 (3) immediately above the signatures of the
24-18 petitioners, the statement: "It is the purpose and intent of the
24-19 petitioners whose signatures appear below that the fire control,
24-20 prevention, and emergency medical services district be dissolved
24-21 and that the fire control, prevention, and emergency medical
24-22 services district sales and use tax in ___________ (name of the
24-23 municipality that created the district) be abolished";
24-24 (4) lines and spaces for the names, signatures,
24-25 residence addresses, and voter registration certificate numbers of
24-26 the petitioners; and
24-27 (5) the date of issuance, the serial number, and the
25-1 seal of the clerk of the municipality on each page.
25-2 Sec. 344.254. COPIES OF APPLICATION AND PETITION. The clerk
25-3 or secretary of the municipality shall keep an application and a
25-4 copy of the petition in the files of the clerk's or secretary's
25-5 office. The clerk shall issue to the applicants as many copies as
25-6 they request.
25-7 Sec. 344.255. FILING OF PETITION. To form the basis for the
25-8 ordering of a referendum, the petition must:
25-9 (1) be filed with the clerk or secretary of the
25-10 municipality not later than the 60th day after the date of its
25-11 issuance; and
25-12 (2) contain at least a number of signatures of
25-13 registered voters of the municipality equal to five percent of the
25-14 number of votes cast in the municipality for all candidates for
25-15 governor in the most recent gubernatorial general election.
25-16 Sec. 344.256. REVIEW BY CLERK OR SECRETARY. (a) The clerk
25-17 or secretary of the municipality shall, on the request of any
25-18 person, check each name on a petition to determine whether the
25-19 signer is a registered voter of the district. A person requesting
25-20 verification by the clerk or secretary of the municipality shall
25-21 pay the clerk or secretary a sum equal to 20 cents for each name on
25-22 the petition before the verification begins.
25-23 (b) The clerk or secretary of the municipality may not count
25-24 a signature if the clerk or secretary has a reason to believe that:
25-25 (1) it is not the actual signature of the purported
25-26 signer;
25-27 (2) the voter registration certificate number is not
26-1 correct;
26-2 (3) it is a duplication either of a name or of
26-3 handwriting used in any other signature on the petition;
26-4 (4) the residence address of the signer is not
26-5 correct; or
26-6 (5) the name of the voter is not signed exactly as it
26-7 appears on the official copy of the current list of registered
26-8 voters for the voting year in which the petition is issued.
26-9 Sec. 344.257. CERTIFICATION. Not later than the 40th day
26-10 after the date a petition is filed, excluding Saturdays, Sundays,
26-11 and legal holidays, the clerk or secretary of the municipality
26-12 shall certify to the board the number of registered voters signing
26-13 the petition.
26-14 Sec. 344.258. ELECTION ORDER. (a) The board shall record
26-15 on its minutes the date the petition is filed and the date it is
26-16 certified by the clerk or secretary of the municipality.
26-17 (b) If the petition contains the required number of
26-18 signatures and is in proper order, the board shall, at its next
26-19 regular session after the certification by the clerk or secretary
26-20 of the municipality, order a referendum election to be held at the
26-21 regular polling place in each election precinct in the municipality
26-22 on the next uniform election date authorized by Section 41.001(a),
26-23 Election Code, that occurs at least 20 days after the date of the
26-24 order.
26-25 (c) The board shall state in the order the proposition to be
26-26 voted on in the referendum election. The order is prima facie
26-27 evidence of compliance with all provisions necessary to give it
27-1 validity.
27-2 Sec. 344.259. APPLICABILITY OF ELECTION CODE. A referendum
27-3 election authorized by this subchapter shall be held and the
27-4 returns shall be prepared and canvassed in conformity with the
27-5 Election Code.
27-6 Sec. 344.260. RESULTS OF REFERENDUM. (a) If less than a
27-7 majority of the votes cast in a continuation referendum election
27-8 are for the continuation of a district or if a majority of the
27-9 votes cast in a dissolution referendum are for dissolution of the
27-10 district:
27-11 (1) the board shall certify that fact to the secretary
27-12 of state not later than the 10th day after the date of the canvass
27-13 of the returns; and
27-14 (2) the district is dissolved and ceases to operate.
27-15 (b) If a majority of the votes cast in a continuation
27-16 referendum election are for the continuation of the district or if
27-17 less than a majority of the votes cast in a dissolution referendum
27-18 election are for dissolution of the district, another referendum
27-19 may not be held except as authorized by Section 344.251.
27-20 Sec. 344.261. ELECTION CONTEST. Not later than the 30th day
27-21 after the date the result of a referendum is declared, any
27-22 qualified voter of the district may contest the election by filing
27-23 a petition in a district court located in the district.
27-24 (Sections 344.262-344.300 reserved for expansion
27-25 SUBCHAPTER G. DISTRICT DISSOLUTION
27-26 Sec. 344.301. TIME FOR DISSOLUTION OF DISTRICT. (a) A
27-27 district is dissolved five years after the date the municipality
28-1 began to impose taxes for district purposes if the district has not
28-2 held a continuation or dissolution referendum.
28-3 (b) The district is dissolved on the fifth anniversary of
28-4 the date of the most recent continuation or dissolution referendum.
28-5 (c) Subsection (b) does not apply to a district that is
28-6 continued under Section 344.251(g), and that district is dissolved
28-7 on the expiration of the period for which it was continued.
28-8 Sec. 344.302. DISSOLUTION OF DISTRICT. (a) On the date
28-9 that the district is dissolved, the district shall convey or
28-10 transfer, as provided by Subsection (h):
28-11 (1) title to land, buildings, real and tangible
28-12 improvements, and equipment owned by the district;
28-13 (2) operating money and reserves for operating
28-14 expenses and money that has been budgeted by the district for the
28-15 remainder of the fiscal year in which the district is dissolved to
28-16 support fire control, prevention, and emergency medical services
28-17 activities and programs for residents of the municipality that
28-18 created the district;
28-19 (3) taxes imposed for the district during the current
28-20 year for fire control, prevention, and emergency medical services
28-21 purposes;
28-22 (4) each fund established for payment of indebtedness
28-23 assumed by the district; and
28-24 (5) any money accumulated in an employee retirement
28-25 fund.
28-26 (b) After the date the district is dissolved, taxes may not
28-27 be imposed for district purposes or for providing fire control,
29-1 prevention, and emergency medical services activities and programs
29-2 for the residents of the district.
29-3 (c) If on the date that the district is dissolved the
29-4 district has outstanding short-term or long-term liabilities, the
29-5 board shall, not later than the 30th day after the date of the
29-6 dissolution, adopt a resolution certifying each outstanding
29-7 short-term and long-term liability. The municipality that created
29-8 the district shall assume the outstanding short-term and long-term
29-9 liabilities. The municipality shall collect the sales and use tax
29-10 under Chapter 321, Tax Code, for the remainder of the calendar year
29-11 and may by resolution of its governing body continue to collect the
29-12 tax for an additional calendar year if the revenue from the tax is
29-13 needed to retire liabilities of the district that were assumed by
29-14 the municipality. The governing body shall notify the comptroller
29-15 of this continuation not later than the 60th day before the date
29-16 the tax would otherwise expire. A tax collected after the
29-17 liabilities have been retired shall be transferred or conveyed as
29-18 provided by Subsection (a).
29-19 (d) The district and the board may continue to operate for a
29-20 period not to exceed two months after carrying out the
29-21 responsibilities required by Subsections (a) and (c). The board
29-22 and the district are continued for the purpose of satisfying these
29-23 responsibilities.
29-24 (e) If the board and the district are continued under
29-25 Subsection (d), the board and district are dissolved entirely on
29-26 the first day of the month following the month in which the board
29-27 issues an order certifying to the secretary of state that the
30-1 responsibilities of Subsections (a) and (c) are satisfied.
30-2 (f) A district or board that continues to operate under
30-3 Subsection (d) may not incur any new liabilities without the
30-4 approval of the governing body of the municipality that created the
30-5 district. Not later than the 60th day after the date of the
30-6 dissolution referendum, the governing body shall review the
30-7 outstanding liabilities of the district and set a specific date by
30-8 which the municipality must retire the district's outstanding
30-9 liabilities.
30-10 (g) On the date that the district is dissolved, programs
30-11 funded by the district shall immediately terminate and personnel
30-12 paid from district funds, except personnel required to retire the
30-13 responsibilities of the district, are terminated.
30-14 (h) The board shall convey or transfer the value of the
30-15 items described by Subsection (a) to the municipality that created
30-16 the district.
30-17 SECTION 2. Subchapter B, Chapter 321, Tax Code, is amended
30-18 by adding Section 321.106 to read as follows:
30-19 Sec. 321.106. FIRE CONTROL DISTRICT TAX. (a) Subject to an
30-20 election held in accordance with Chapter 344, Local Government
30-21 Code, a municipality in which a fire control, prevention, and
30-22 emergency medical services district is established shall adopt a
30-23 sales and use tax in the area of the district for the purpose of
30-24 financing the operation of the fire control, prevention, and
30-25 emergency medical services district. The revenue from the tax may
30-26 be used only for the purpose of financing the operation of the fire
30-27 control, prevention, and emergency medical services district. The
31-1 proposition for adopting a tax under this section and the
31-2 proposition for creation of a fire control, prevention, and
31-3 emergency medical services district shall be submitted at the same
31-4 election. For purposes of Section 321.101, a tax under this
31-5 section is not an additional sales and use tax.
31-6 (b) A tax adopted for a district under this section for
31-7 financing the operation of the district may be decreased in
31-8 increments of one-eighth of one percent by order of the board of
31-9 directors of the district.
31-10 (c) The rate of a tax adopted for a district under this
31-11 section may be increased in increments of one-eighth of one
31-12 percent, not to exceed a total tax rate of one-half percent, for
31-13 financing the operation of the fire control, prevention, and
31-14 emergency medical services district by order of the board of
31-15 directors of the fire control, prevention, and emergency medical
31-16 services district if approved by a majority of the qualified voters
31-17 voting at an election called by the board and held in the district
31-18 on the question of increasing the tax rate. At the election, the
31-19 ballot shall be printed to provide for voting for or against the
31-20 proposition: "The increase of the __________ (name of the
31-21 municipality that created the district) Fire Control, Prevention,
31-22 and Emergency Medical Services District sales and use tax rate to
31-23 ______ percent." If there is an increase or decrease under this
31-24 section in the rate of a tax imposed under this section, the new
31-25 rate takes effect on the first day of the next calendar quarter
31-26 after the expiration of one calendar quarter after the comptroller
31-27 receives notice of the increase or decrease. However, if the
32-1 comptroller notifies the president of the board of directors of the
32-2 district in writing within 10 days after receipt of the
32-3 notification that the comptroller requires more time to implement
32-4 reporting and collection procedures, the comptroller may delay
32-5 implementation of the rate change for one calendar quarter, and the
32-6 new rate takes effect on the first day of the calendar quarter that
32-7 follows the elapsed quarter.
32-8 (d) The comptroller shall remit to the municipality amounts
32-9 collected at the rate imposed under this section as part of the
32-10 regular allocation of other municipal tax revenue collected by the
32-11 comptroller. The municipality shall remit that amount to the
32-12 district. A retailer may not be required to use allocation and
32-13 reporting procedures in the collection of taxes under this section
32-14 that are different from the procedures that retailers use in the
32-15 collection of other sales and use taxes under this chapter. An
32-16 item, transaction, or service that is taxable in a municipality
32-17 under a sales or use tax authorized by another section of this
32-18 chapter is taxable under this section. An item, transaction, or
32-19 service that is not taxable in a municipality under a sales or use
32-20 tax authorized by another section of this chapter is not taxable
32-21 under this section.
32-22 (e) If, in a municipality where a fire control, prevention,
32-23 and emergency medical services district is composed of the whole
32-24 municipality, a municipal sales and use tax or a municipal sales
32-25 and use tax rate increase for the purpose of financing a fire
32-26 control, prevention, and emergency medical services district is
32-27 approved, the municipality is responsible for distributing to the
33-1 district that portion of the municipal sales and use tax revenue
33-2 received from the comptroller that is to be used for the purposes
33-3 of financing the fire control, prevention, and emergency medical
33-4 services district. Not later than the 10th day after the date the
33-5 municipality receives money under this section from the
33-6 comptroller, the municipality shall make the distribution in the
33-7 proportion that the fire control, prevention, and emergency medical
33-8 services portion of the tax rate bears to the total sales and use
33-9 tax rate of the municipality. The amounts distributed to a fire
33-10 control, prevention, and emergency medical services district are
33-11 not considered to be sales and use tax revenue for the purpose of
33-12 property tax reduction and computation of the municipal tax rate
33-13 under Section 26.041.
33-14 (f) For purposes of the tax imposed under this section, a
33-15 reference in this chapter to the municipality as the territory in
33-16 which the tax or an incident of the tax applies means only the
33-17 territory located in the fire control, prevention, and emergency
33-18 medical services district, if that district is composed of an area
33-19 less than an entire municipality.
33-20 (g) The comptroller may adopt rules and the municipality's
33-21 governing body may adopt orders to administer this section.
33-22 SECTION 3. This Act takes effect June 1, 2001.