S.B. 948 78(R)    BILL ANALYSIS


S.B. 948
By: Lindsay
Local Government Ways and Means
Committee Report (Unamended)



BACKGROUND AND PURPOSE 

Currently, Texas law requires that the governing body of a taxing unit
must approve tax exemptions with the owner of real or personal property.
The boards of managers of hospital districts believe this charge detracts
from their primary focus of providing indigent health care and overseeing
the operations of a district's health care facilities. The commissioner's
court of a county is responsible for approving all tax exemptions
affecting its tax base. As proposed, S.B. 948 gives a commissioners court
the ability to adopt or to remove an exemption with respect to the
imposition or collection of an ad valorem tax imposed for the benefit of a
hospital district. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 

ANALYSIS

SECTION 1. 
 Amends Chapter 281E, Health and Safety Code, by adding Section 281.096,
as follows: 

 Sec. 281.096. AUTHORITY TO TAKE ACTIONS RELATING TO AD VALOREM
 TAXES. 
 (a) Provides that, with respect to the imposition or collection of an ad
valorem tax 
imposed for the benefit of a hospital district, the commissioners court of
the county in which the district is located has the authority assigned by
law to the governing body of the hospital district, including the
authority to perform certain tasks. 
 (b) Prohibits the board of a hospital district from exercising a power
granted by 
Subsection (a) to the commissioners court with respect to the imposition
or collection of an ad valorem tax imposed for the benefit of the hospital
district. 

SECTION 2. 
 (a) Effective date: September 1, 2003.
 (b) Makes application of Section 281.096, Health and Safety Code, as
added by this 
  Act, prospective to January 1, 2004.
 (c) Provides that Section 281.096, Health and Safety Code, as added by
this Act, does 
not affect a contract entered into under Section 6.30(c), Tax Code, before
the effective date of this Act. 


EFFECTIVE DATE

September 1, 2003.