SRC-JEC C.S.H.B. 2073 78(R)BILL ANALYSIS


Senate Research CenterC.S.H.B. 2073
78R15463 KEG-DBy: Hilderbran (Fraser)
Intergovernmental Relations
5/23/2003
Committee Report (Substituted)


DIGEST AND PURPOSE 

Currently, hospital districts' taxing authority is capped at $0.75, but
the rates imposed by some hospital districts are lower.  C.S.H.B. 2073
authorizes an increase in hospital district taxing rates on the approval
of the voters of the district if the current rate is lower than the cap. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Chapter 285, Health and Safety Code, by adding
Subchapter M, as follows: 

SUBCHAPTER M.  CHANGE IN RATE OF AD VALOREM TAXES

Sec. 285.201.  ELECTION TO INCREASE MAXIMUM TAX RATE.  (a)  Authorizes the
registered voters of a hospital district that is authorized to impose ad
valorem taxes and that has a maximum tax rate of less than 75 cents on the
$100 valuation of all taxable property in the district to file a petition
with the secretary of the governing body of the hospital district
requesting an election to authorize the increase of that maximum tax rate.
Requires the petition to be signed by at least the lesser of 100 of the
registered voters of the district, or the number equal to 15 percent of
the registered voters of the district. 

(b)  Requires the petition to state the maximum tax rate to be voted on at
the election, which may not exceed 75 cents on the $100 valuation of all
taxable property in the district. 

(c)  Requires the governing body of the hospital district by order to set
a time and place to hold a hearing on the petition to increase the maximum
tax rate of the district. Requires the governing body to set a date for
the hearing that is not earlier than the 10th day after the date the
governing body issues the order. 

(d)  Requires the governing body, if after the hearing it finds that the
petition is in proper form and that an increase of the maximum tax rate
would benefit the district, to order an election to authorize the increase
of the maximum tax rate to the tax rate stated in the petition.  Requires
certain information to be included in the order calling the election. 

(e)  Requires the governing body of the hospital district to give notice
of the election by publishing a substantial copy of the election order in
a newspaper with general circulation in the district once a week for two
consecutive weeks.  Requires the first publication to appear before the
35th day before the date set for the election. 

(f)  Requires the ballot for the election to be printed in a certain
manner. 
 
(g)  Requires the governing body of the hospital district, after ordering
an election under this subchapter, to hold the election on the first
authorized uniform election date prescribed by Section 41.001, Election
Code, that allows sufficient time to comply with other requirements of
law. 

(h)  Provides that if the majority of the votes cast in the district favor
the proposition, the maximum tax rate of the district is increased to the
tax rate stated in the petition. 

Sec. 285.202.  EXPIRATION.  Provides that this subchapter expires
September 1, 2008. 

SECTION 2.  Effective date:  upon passage or September 1, 2003.