By Seaman, Keffer, Turner of Coleman, H.B. No. 1723
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the creation of a county employment development board
1-3 in certain counties to develop programs for rural economic
1-4 assistance for career training; authorizing a tax.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Subtitle B, Title 12, Local Government Code, is
1-7 amended by adding Chapter 386 to read as follows:
1-8 CHAPTER 386. COUNTY EMPLOYMENT DEVELOPMENT BOARD FOR RURAL
1-9 COUNTIES
1-10 SUBCHAPTER A. GENERAL PROVISIONS
1-11 Sec. 386.001. DEFINITIONS. In this chapter:
1-12 (1) "Board" means a county employment development
1-13 board.
1-14 (2) "Rural county" means a county with a population of
1-15 50,000 or less.
1-16 Sec. 386.002. CREATION IN RURAL COUNTY. The commissioners
1-17 court of a rural county may establish a county employment
1-18 development board.
1-19 (Sections 386.003-386.020 reserved for expansion
1-20 SUBCHAPTER B. COUNTY EMPLOYMENT DEVELOPMENT BOARD; POWERS AND
1-21 DUTIES
1-22 Sec. 386.021. BOARD MEMBERSHIP. (a) The board consists of
1-23 9, 11, 13, or 15 members appointed by the commissioners court.
1-24 (b) The board must include:
1-25 (1) a member of the commissioners court of the
2-1 county;
2-2 (2) a superintendent, or a representative of a
2-3 superintendent, from a school district located primarily in the
2-4 county;
2-5 (3) an employee of a public community college that
2-6 serves the county, or a person with experience in workforce
2-7 training, economic development, or higher education;
2-8 (4) an official from another governmental entity in
2-9 the county;
2-10 (5) at least five members of the county's business
2-11 community; and
2-12 (6) any other person whose presence on the board will
2-13 further the purposes of this chapter.
2-14 (c) A majority of the board membership must be
2-15 representatives of the county's business community.
2-16 (d) A member of the board serves a two-year term expiring
2-17 February 1 of each odd-numbered year.
2-18 (e) The board may elect a member to serve as the presiding
2-19 officer.
2-20 Sec. 386.022. BOARD POWERS AND DUTIES. (a) The board may:
2-21 (1) establish and operate one or more programs in the
2-22 county that provide economic assistance for career training, that
2-23 promote adult job training, economic development, and career and
2-24 technology education in the county, and that may include efforts
2-25 to:
2-26 (A) develop continuing education, including job
2-27 training and skills enhancement;
3-1 (B) assist public schools in the creation of
3-2 career and technology education programs;
3-3 (C) assist businesses in the creation of
3-4 employment opportunities through job training;
3-5 (D) assist local workforce development boards in
3-6 achieving their job training and skills development goals at the
3-7 county level; and
3-8 (E) develop and fund, or assist institutions of
3-9 higher education in developing and funding, training and
3-10 educational programs for nurses;
3-11 (2) develop partnerships between businesses, public
3-12 schools, institutions of higher education, and the Texas
3-13 Engineering Extension Service;
3-14 (3) employ necessary personnel; and
3-15 (4) contract with a private person or a political
3-16 subdivision of this state.
3-17 (b) To the extent the board determines necessary to
3-18 administer its functions, the board may cooperate with:
3-19 (1) a local workforce development board;
3-20 (2) the Texas Agricultural Extension Service;
3-21 (3) an economic development corporation;
3-22 (4) an industrial development corporation; and
3-23 (5) a partnership established under Section 311.005,
3-24 Labor Code, between a local workforce development board and another
3-25 local or regional entity.
3-26 (c) The board may impose a fee for participation in a
3-27 program and may administer any funds collected for a program under
4-1 this chapter. The fee authorized by this section is in addition to
4-2 any tax authorized by this chapter.
4-3 (d) The board may adopt rules to accomplish the goals of
4-4 this chapter.
4-5 (e) The board shall contract with the county auditor to
4-6 review the board's finances every fiscal year.
4-7 Sec. 386.023. OPEN MEETINGS AND OPEN RECORDS. Chapters 551
4-8 and 552, Government Code, apply to the board.
4-9 (Sections 386.024-386.040 reserved for expansion
4-10 SUBCHAPTER C. SALES AND USE TAX
4-11 Sec. 386.041. SALES AND USE TAX AUTHORIZED. (a) A county
4-12 may impose a sales and use tax at the rate of one-eighth of one
4-13 percent in the county for the benefit of a program under this
4-14 chapter if a majority of the votes cast at an election held for
4-15 that purpose favor the imposition of the tax.
4-16 (b) A county may not impose a sales and use tax under this
4-17 subchapter if the adoption of the tax under this subchapter would
4-18 result in a combined tax rate of all local sales and use taxes of
4-19 more than two percent in any location in the county.
4-20 Sec. 386.042. ELECTION. (a) The commissioners court may
4-21 order an election to impose a sales and use tax under this
4-22 subchapter.
4-23 (b) The election shall be held on the first uniform election
4-24 date that occurs on or after the 45th day following the date the
4-25 commissioners court orders the election.
4-26 (c) At an election to adopt the tax, the ballot shall be
4-27 prepared to permit voting for or against the proposition: "The
5-1 adoption of a local sales and use tax at the rate of one-eighth of
5-2 one percent to provide funding for the operation of a program for
5-3 rural economic assistance for career training in ____ (name of
5-4 county)."
5-5 (d) If a majority of the votes received at the election
5-6 favor the proposition, the tax is adopted.
5-7 Sec. 386.043. TAX CODE APPLICABLE. (a) Chapter 323, Tax
5-8 Code, governs the imposition, computation, administration,
5-9 collection, and remittance of a tax authorized under this chapter
5-10 except as inconsistent with this chapter.
5-11 (b) Section 323.101(b), Tax Code, does not apply to a tax
5-12 authorized by this chapter.
5-13 Sec. 386.044. IMPOSITION OF TAX. (a) If the county adopts a
5-14 tax under this subchapter, a tax is imposed on the receipts from
5-15 the sale at retail of taxable items in the county at the rate of
5-16 one-eighth of one percent during the period that the tax is
5-17 effective in the county.
5-18 (b) There is also imposed an excise tax on the use, storage,
5-19 or other consumption in the county of tangible personal property
5-20 purchased, leased, or rented from a retailer during the period that
5-21 the tax is effective in the county. The rate of the excise tax is
5-22 the same as the rate of the sales tax portion of the tax and is
5-23 applied to the sale price of the tangible personal property.
5-24 Sec. 386.045. USE OF REVENUE. Revenue from a tax imposed
5-25 under this subchapter may be used only to operate a program under
5-26 this chapter in the county. The board may award grants for program
5-27 purposes to local businesses, school districts, or other entities
6-1 with revenue from a tax imposed under this subchapter. The board
6-2 shall contract with the grant recipient to ensure that the program
6-3 purposes are promoted by the grant.
6-4 Sec. 386.046. ABOLITION OF TAX. (a) The commissioners court
6-5 may:
6-6 (1) call an election to abolish the tax; or
6-7 (2) abolish the tax on finding that the purposes for
6-8 which the tax was imposed under this subchapter have been
6-9 accomplished.
6-10 (b) At an election to abolish the tax, the ballot shall be
6-11 prepared to permit voting for or against the proposition: "The
6-12 abolition of a local sales and use tax for the operation of a
6-13 program for rural economic assistance for career training in ____
6-14 (name of county)."
6-15 (c) If a majority of the votes received at the election
6-16 favor the proposition, the tax is abolished.
6-17 Sec. 386.047. EFFECTIVE DATE OF TAX. (a) The adoption or
6-18 abolition of a tax under this subchapter takes effect on the first
6-19 day of the first calendar quarter occurring after the expiration of
6-20 the first complete quarter occurring after the date the comptroller
6-21 receives a notice of the order abolishing the tax or the results of
6-22 the election adopting or abolishing the tax.
6-23 (b) If the comptroller determines that an effective date
6-24 provided by Subsection (a) will occur before the comptroller can
6-25 reasonably take the action required to begin collecting the tax or
6-26 to implement the abolition of the tax, the effective date may be
6-27 extended by the comptroller until the first day of the next
7-1 succeeding calendar quarter.
7-2 Sec. 386.048. SALES TAX NOT EXCLUSIVE. The sales and use tax
7-3 authorized by this subchapter is in addition to any other tax or
7-4 fee authorized by this chapter.
7-5 (Sections 386.049-386.060 reserved for expansion
7-6 SUBCHAPTER D. PROPERTY TAX
7-7 Sec. 386.061. PROPERTY TAX AUTHORIZED. For the benefit of a
7-8 program under this chapter, the commissioners court may:
7-9 (1) impose a new property tax in the county at a rate
7-10 not to exceed three cents on the $100 valuation of taxable
7-11 property;
7-12 (2) increase the property tax rate in the county by an
7-13 amount not to exceed three cents on the $100 valuation of taxable
7-14 property; or
7-15 (3) use revenue collected from a county property tax
7-16 imposed under another law, in an amount not to exceed three cents
7-17 on the $100 valuation of property taxed.
7-18 Sec. 386.062. USE OF PROPERTY TAX REVENUE. Revenue from a
7-19 tax imposed under this subchapter may be used only as provided by
7-20 Section 386.045 for revenue collected under Subchapter C.
7-21 Sec. 386.063. PROPERTY TAX NOT EXCLUSIVE. The property tax
7-22 authorized by this subchapter is in addition to any other tax or
7-23 fee authorized by this chapter.
7-24 SECTION 2. Sections 4A(f) and (m), Development Corporation
7-25 Act of 1979 (Article 5190.6, Vernon's Texas Civil Statutes), are
7-26 amended to read as follows:
7-27 (f) On receipt of the proceeds of the sales and use tax
8-1 imposed under this section from the comptroller, the city shall
8-2 deliver the proceeds to the corporation to use in carrying out its
8-3 functions. Tax proceeds may be used to pay the principal of,
8-4 interest on, and other costs relating to the corporation's bonds,
8-5 but neither the bonds nor any instrument related to the bonds may
8-6 give a bondholder a right to demand payment from tax proceeds in
8-7 excess of those collected from the tax imposed by this section. Tax
8-8 proceeds may also be used to:
8-9 (1) pay expenses incurred by the corporation under
8-10 Section 38 of this Act relating to job training; or
8-11 (2) provide funding to a county employment development
8-12 board created under Chapter 386, Local Government Code, for any
8-13 purpose authorized by that chapter.
8-14 (m) In an election to adopt the tax under this section, the
8-15 ballot shall be printed to provide for voting for or against the
8-16 proposition: "The adoption of a sales and use tax for the
8-17 promotion and development of new and expanded business enterprises
8-18 and job or career training at the rate of __________ of one
8-19 percent" (one-eighth, one-fourth, three-eighths, or one-half to be
8-20 inserted as appropriate).
8-21 SECTION 3. Section 4B(g), Development Corporation Act of 1979
8-22 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to read
8-23 as follows:
8-24 (g) On receipt of the proceeds of the sales and use tax
8-25 imposed under this section from the comptroller, the eligible city
8-26 shall deliver the proceeds to the corporation. Tax proceeds may be
8-27 used to:
9-1 (1) pay the costs of projects of the types added to
9-2 the definition of that term by Subsection (a) of this section;
9-3 [or]
9-4 (2) pay the principal of, interest on, and other costs
9-5 relating to bonds or other obligations issued by the corporation to
9-6 pay the costs of the projects or to refund bonds or other
9-7 obligations issued to pay the costs of projects; or
9-8 (3) provide funding to a county employment development
9-9 board created under Chapter 386, Local Government Code, for any
9-10 purpose authorized by that chapter.
9-11 SECTION 4. The changes in law made by this Act to Sections
9-12 4A(f) and 4B(g), Development Corporation Act of 1979 (Article
9-13 5190.6, Vernon's Texas Civil Statutes), apply to any tax proceeds
9-14 used by a development corporation on or after the effective date of
9-15 this Act, without regard to when the tax was imposed or collected.
9-16 SECTION 5. This Act takes effect immediately if it receives
9-17 a vote of two-thirds of all the members elected to each house, as
9-18 provided by Section 39, Article III, Texas Constitution. If this
9-19 Act does not receive the vote necessary for immediate effect, this
9-20 Act takes effect September 1, 2001.