1-1     By:  Wentworth                                        S.B. No. 1459
 1-2           (In the Senate - Filed March 8, 2001; March 13, 2001, read
 1-3     first time and referred to Committee on Intergovernmental
 1-4     Relations; May 3, 2001, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 5, Nays 0;
 1-6     May 3, 2001, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 1459                    By:  West
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the authority of the Bexar County Hospital District to
1-11     impose a sales and use tax.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Chapter 281, Health and Safety Code, is amended
1-14     by adding Subchapter H to read as follows:
1-15       SUBCHAPTER H.  SALES AND USE TAXATION AUTHORITY OF BEXAR COUNTY
1-16                              HOSPITAL DISTRICT
1-17           Sec. 281.141.  DEFINITION.  In this subchapter, "district"
1-18     means the Bexar County Hospital District.
1-19           Sec. 281.142.  APPLICABILITY OF OTHER LAW.  Except to the
1-20     extent that a provision of this subchapter applies, Chapter 323,
1-21     Tax Code, applies to a tax authorized by this subchapter, except
1-22     that Sections 323.101(b), (c), (d), and (e) do not apply.
1-23           Sec. 281.143.  TAXING AUTHORITY.  (a)  The district may adopt
1-24     or abolish a sales and use tax authorized by this subchapter at an
1-25     election held in the district.
1-26           (b)  The district may not adopt a tax under this subchapter
1-27     if as a result of the adoption of the tax the combined rate of all
1-28     sales and use taxes imposed by the district and all other political
1-29     subdivisions of this state having territory in the district would
1-30     exceed 2.25 percent in any location in the district.
1-31           Sec. 281.144.  TAX RATE.  The rate of the tax authorized by
1-32     this subchapter is:
1-33                 (1)  one-eighth of one percent; or
1-34                 (2)  one-quarter of one percent.
1-35           Sec. 281.145.  TAX EFFECTIVE DATE.  (a)  The adoption or
1-36     abolition of a tax under this subchapter takes effect on the first
1-37     day of the first calendar quarter occurring after the expiration of
1-38     the first complete calendar quarter occurring after the date on
1-39     which the comptroller receives notice of the results of the
1-40     election.
1-41           (b)  If the comptroller determines that an effective date
1-42     provided by Subsection (a)  will occur before the comptroller can
1-43     reasonably take the action required to begin collecting the tax or
1-44     to implement the abolition of the tax, the effective date may be
1-45     extended by the comptroller until the first day of the next
1-46     calendar quarter.
1-47           Sec. 281.146.  ELECTION PROCEDURE.  (a)  An election to adopt
1-48     or abolish a tax authorized by this subchapter is called by the
1-49     adoption of an order of the commissioners court of the county.  The
1-50     commissioners court of the county may call an election on its own
1-51     motion and shall call an election if a number of qualified voters
1-52     in the district equal to at least five percent of the number of
1-53     registered voters in the district petitions the commissioners court
1-54     of the county to call the election.
1-55           (b)  At an election to adopt a tax authorized by this
1-56     subchapter, the ballot shall be prepared to permit voting for or
1-57     against the proposition: "The adoption of a sales and use tax in
1-58     the Bexar County Hospital District at a rate of (proposed tax rate)
1-59     to fund level I trauma operations of the Bexar County Hospital
1-60     District."
1-61           (c)  At an election to abolish a tax authorized by this
1-62     subchapter, the ballot shall be prepared to permit voting for or
1-63     against the proposition: "The abolition of a sales and use tax in
1-64     the Bexar County Hospital District."
 2-1           (d)  At an election to change the rate of a tax authorized by
 2-2     this subchapter, the ballot shall be prepared to permit voting for
 2-3     or against the proposition:  "The (increase or decrease) in the
 2-4     rate of the sales and use tax imposed in the Bexar County Hospital
 2-5     District to fund level I trauma operations of the Bexar County
 2-6     Hospital District from (tax rate on election date) to (proposed tax
 2-7     rate)."
 2-8           Sec. 281.147.  USE OF TAX REVENUE.  Revenue from a tax
 2-9     imposed under this subchapter may be used by the district only to
2-10     fund level I trauma operations.
2-11           Sec. 281.148.  DISTRIBUTION OF TRUST FUNDS.  At least twice
2-12     during each state fiscal year and at other times as often as
2-13     feasible, the comptroller shall send to the chief financial officer
2-14     of the district, payable to the district, the district's share of
2-15     the taxes collected by the comptroller under this subchapter.
2-16           SECTION 2.  Subdivision (1), Section 26.012, Tax Code, is
2-17     amended to read as follows:
2-18                 (1)  "Additional sales and use tax" means an additional
2-19     sales and use tax imposed by a city under Section 321.101(b) of
2-20     this code, a sales and use tax imposed by a county under Chapter
2-21     323 of this code, or a sales and use tax imposed by a hospital
2-22     district other than a hospital district that imposes a sales and
2-23     use tax under Subchapter H, Chapter 281, Health and Safety Code.
2-24           SECTION 3.  This Act takes effect immediately if it receives
2-25     a vote of two-thirds of all the members elected to each house, as
2-26     provided by Section 39, Article III, Texas Constitution.  If this
2-27     Act does not receive the vote necessary for immediate effect, this
2-28     Act takes effect September 1, 2001.
2-29                                  * * * * *