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78R17872 MTB-F
By: Ellis S.B. No. 1952
Substitute the following for S.B. No. 1952:
By: Allen C.S.S.B. No. 1952
A BILL TO BE ENTITLED
AN ACT
relating to the reorganization of, efficiency in, and other reform
measures applying to state government.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
PART 1. GENERAL MATTERS AFFECTING STATE
AGENCIES, INCLUDING CONSOLIDATION OF FUNCTIONS AND ENTITIES
ARTICLE 1A. ADJUTANT GENERAL
SECTION 1A.01. Section 431.022(b), Government Code, is
amended to read as follows:
(b) The adjutant general is appointed by the governor, with
the advice and consent of the senate if in session, to a term
expiring February 1 of each odd-numbered year. To be qualified for
appointment as adjutant general a person must:
(1) when appointed be serving as a federally
recognized officer of not less than field grade in the Texas
National Guard;
(2) have previously served on active duty or active
duty for training with the army, [or] air force, or marines; and
(3) have completed at least 10 years' service as a
federally recognized reserve or active duty commissioned officer
with an active unit of the United States armed forces, the National
Guard, or the Texas National Guard, including at least five years
with the Texas National Guard.
ARTICLE 1B. USE OF HEALTH REIMBURSEMENT ARRANGEMENTS
SECTION 1B.01. Chapter 3, Insurance Code, is amended by
adding Subchapter M to read as follows:
SUBCHAPTER M. HEALTH REIMBURSEMENT ARRANGEMENTS
Art. 3.99. HEALTH REIMBURSEMENT ARRANGEMENTS.
Notwithstanding any other provision of law, any agency of this
state that provides a program of health insurance or health
benefits shall provide that program in accordance with the revenue
ruling of the United States Internal Revenue Service that
authorizes health reimbursement arrangements (Rev. Ru. 2002-41)
and may adopt appropriate rules to implement the program in
accordance with this article.
ARTICLE 1C. PUBLIC INFORMATION
SECTION 1C.01. Subchapter C, Chapter 401, Government Code,
is amended by adding Section 401.0446 to read as follows:
Sec. 401.0446. BUDGETARY WORKING PAPERS. (a) In this
section "budgetary working paper" means information, other than a
uniform budget estimate form, that is created, received,
considered, or otherwise used by a governmental body in estimating
revenues or in considering or preparing a draft or final biennial
state fiscal budget, including a draft, a working paper, supporting
material, research material, or an internal or external
communication relating to that budget.
(b) A budgetary working paper that is collected, assembled,
or maintained by the governor, lieutenant governor, comptroller,
speaker of the house of representatives, Legislative Budget Board,
senate finance committee, senate state affairs committee, house
appropriations committee, or house ways and means committee, is
excepted from required public disclosure under Chapter 552 or any
other law of this state. Section 552.022 does not apply to
information excepted from required public disclosure by this
section.
ARTICLE 1D. MEMBERS OF TEXAS WORKERS' COMPENSATION COMMISSION
SECTION 1D.01. Section 402.002(a), Labor Code, is amended
to read as follows:
(a) Members of the commission hold office for two-year
[staggered six-year] terms[, with the terms of one member
representing employers and one member representing wage earners]
expiring on February 1 of each odd-numbered year.
SECTION 1D.02. The current terms of the members of the Texas
Workers' Compensation Commission expire on February 1, 2005.
ARTICLE 1E. MEMBERS OF BOARD OF PARDONS AND PAROLES
POLICY BOARD
SECTION 1E.01. Sections 508.036(a) and (b), Government
Code, are amended to read as follows:
(a) The governor shall designate seven [six] members of the
board to serve as the Board of Pardons and Paroles Policy Board.
The governor shall designate the presiding officer of the board as
one of the seven [six] members of the policy board, and the
presiding officer of the board shall serve as presiding officer of
the policy board. Service on the policy board is an additional duty
of office for members appointed to the policy board.
(b) Members of the board designated as members of the policy
board serve on the policy board for six-year terms that are
concurrent with their six-year terms on the board, with the service
of two or three members expiring February 1 of each odd-numbered
year.
SECTION 1E.02. As soon as possible on or after September 1,
2003, the governor shall appoint an additional member to the Board
of Pardons and Paroles Policy Board under Section 508.036(a),
Government Code, as amended by this Act, for a term expiring
February 1, 2009.
ARTICLE 1F. MEMBERS OF TEXAS VETERANS COMMISSION
SECTION 1F.01. Section 434.003(c), Government Code, is
amended to read as follows:
(c) A person having a less than honorable discharge from
military service is not eligible to be a member. No two members may
reside in the same senatorial district[, and not more than one
member may be from a senatorial district composed of a single
county].
[ARTICLE 1G. RESERVED]
ARTICLE 1H. EXECUTIVE ORDERS RELATING TO
STATE AGENCIES
SECTION 1H.01. Subchapter F, Chapter 401, Government Code,
is amended by adding Section 401.105 to read as follows:
Sec. 401.105. EXECUTIVE ORDERS TO MAKE CERTAIN CHANGES TO
STATE AGENCIES FOR EFFICIENT ADMINISTRATION AND OPERATIONS. (a)
In this section, "state agency" includes an institution of higher
education as defined by Section 61.003, Education Code, other than
a public junior college. The term does not include a state agency
that is headed by a statewide-elected official.
(b) The governor may issue an executive order to change the
organization and operations of a state agency in the executive
branch of state government if:
(1) the governor considers the change to be necessary
for efficient administration; and
(2) the change is not inconsistent or incompatible
with the Texas Constitution or a state statute.
(c) An executive order issued by the governor under this
section has the force and effect of law.
(d) The governor may amend or rescind an executive order
issued under this section at any time.
ARTICLE 1I. TEXAS HIGHER EDUCATION COORDINATING BOARD
SECTION 1I.01. Section 61.022, Education Code, is amended
to read as follows:
Sec. 61.022. MEMBERS OF BOARD; APPOINTMENT; TERMS OF
OFFICE. The board shall consist of nine [18] members appointed by
the governor so as to provide representation from all areas of the
state with the advice and consent of the senate, and as the
constitution provides. Members of the board serve staggered
six-year terms. The terms of one-third of the members expire August
31 of each odd-numbered year. [Of the initial appointments to the
board six shall be for terms which shall expire August 31, 1967, six
for terms which shall expire August 31, 1969, and six for terms
which shall expire on August 31, 1971, or at such time as their
successors are appointed and have qualified. Thereafter, the
governor shall appoint members for terms of six years. Members of
the Texas Commission on Higher Education are eligible for
appointment to the board.] No member may be employed
professionally for remuneration in the field of education during
his term of office.
SECTION 1I.02. To achieve an orderly transition from 18 to 9
positions on the Texas Higher Education Coordinating Board, the
governor on August 31, 2003, or September 1, 2003, shall appoint
only three persons to the coordinating board for terms expiring on
August 31, 2009. On, or as soon as possible after, August 31, 2005,
the governor shall appoint only four members to the coordinating
board for terms expiring on August 31, 2011. On, or as soon as
possible after, August 31, 2007, the governor shall appoint only
two members to the coordinating board for terms expiring on August
31, 2013. As terms on the coordinating board expire on and after
August 31, 2009, the governor shall appoint three members to the
coordinating board in accordance with Section 61.022, Education
Code, as amended by this Act.
ARTICLE 1J. ABOLITION OF CERTAIN AGENCIES AND
TRANSFER OF POWERS AND DUTIES TO
TEXAS DEPARTMENT OF LICENSING AND REGULATION
SECTION 1J.01. Section 51.052(a), Occupations Code, is
amended to read as follows:
(a) The commission consists of seven [six] members
appointed by the governor with the advice and consent of the senate.
SECTION 1J.02. Section 51.055(a), Occupations Code, is
amended to read as follows:
(a) Members of the commission serve staggered six-year
terms. The terms of two or three members expire on February 1 of
each odd-numbered year.
SECTION 1J.03. Section 651.001, Occupations Code, is
amended by adding Subdivision (3-a) to read as follows:
(3-a) "Department" means the Texas Department of
Licensing and Regulation.
SECTION 1J.04. Subchapter A, Chapter 651, Occupations Code,
is amended by adding Sections 651.004 and 651.005 to read as
follows:
Sec. 651.004. TEXAS DEPARTMENT OF LICENSING AND REGULATION.
(a) The department shall administer this chapter. If in
administering this chapter there is a conflict between a provision
of this chapter and a provision of Chapter 51, the provision of
Chapter 51 controls.
(b) A reference in this chapter or other law to the Texas
Funeral Service Commission means the department.
Sec. 651.005. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.05. Section 1071.002, Occupations Code, is
amended by adding Subdivision (3-a) to read as follows:
(3-a) "Department" means the Texas Department of
Licensing and Regulation.
SECTION 1J.06. Subchapter A, Chapter 1071, Occupations
Code, is amended by adding Sections 1071.005 and 1071.006 to read as
follows:
Sec. 1071.005. TEXAS DEPARTMENT OF LICENSING AND
REGULATION. (a) The department shall administer this chapter. If
in administering this chapter there is a conflict between a
provision of this chapter and a provision of Chapter 51, the
provision of Chapter 51 controls.
(b) A reference in this chapter or other law to the Texas
Board of Professional Land Surveying means the department.
Sec. 1071.006. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.07. Section 1201.003(7), Occupations Code, is
amended to read as follows:
(7) "Department" means the Texas Department of
Licensing and Regulation [Housing and Community Affairs].
SECTION 1J.08. Subchapter A, Chapter 1201, Occupations
Code, is amended by adding Section 1201.009 to read as follows:
Sec. 1201.009. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.09. Section 1301.002(1), Occupations Code, is
amended to read as follows:
(1) "Department" ["Board"] means the Texas Department
of Licensing and Regulation [State Board of Plumbing Examiners].
SECTION 1J.10. Subchapter A, Chapter 1301, Occupations
Code, is amended by adding Sections 1301.004 and 1301.005 to read as
follows:
Sec. 1301.004. TEXAS DEPARTMENT OF LICENSING AND
REGULATION. (a) The department shall administer this chapter. If
in administering this chapter there is a conflict between a
provision of this chapter and a provision of Chapter 51, the
provision of Chapter 51 controls.
(b) A reference in this chapter to the board or a reference
in other law to the Texas State Board of Plumbing Examiners means
the department.
Sec. 1301.005. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.11. Section 1601.001, Occupations Code, is
amended by adding Subdivision (4-a) to read as follows:
(4-a) "Department" means the Texas Department of
Licensing and Regulation.
SECTION 1J.12. Subchapter A, Chapter 1601, Occupations
Code, is amended by adding Sections 1601.005 and 1601.006 to read as
follows:
Sec. 1601.005. TEXAS DEPARTMENT OF LICENSING AND
REGULATION. (a) The department shall administer this chapter. If
in administering this chapter there is a conflict between a
provision of this chapter and a provision of Chapter 51, the
provision of Chapter 51 controls.
(b) A reference in this chapter to the board or a reference
in other law to the State Board of Barber Examiners means the
department.
Sec. 1601.006. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.13. Section 1602.001, Occupations Code, is
amended by adding Subdivision (1-a) to read as follows:
(1-a) "Department" means the Texas Department of
Licensing and Regulation.
SECTION 1J.14. Subchapter A, Chapter 1602, Occupations
Code, is amended by adding Sections 1602.005 and 1602.006 to read as
follows:
Sec. 1602.005. TEXAS DEPARTMENT OF LICENSING AND
REGULATION. (a) The department shall administer this chapter. If
in administering this chapter there is a conflict between a
provision of this chapter and a provision of Chapter 51, the
provision of Chapter 51 controls.
(b) A reference in this chapter to the commission or a
reference in other law to the Texas Cosmetology Commission means
the department.
Sec. 1602.006. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.15. Section 1951.002, Occupations Code, is
amended by adding Subdivision (6-a) to read as follows:
(6-a) "Department" means the Texas Department of
Licensing and Regulation.
SECTION 1J.16. Subchapter A, Chapter 1951, Occupations
Code, is amended by adding Sections 1951.008 and 1951.009 to read as
follows:
Sec. 1951.008. TEXAS DEPARTMENT OF LICENSING AND
REGULATION. (a) The department shall administer this chapter. If
in administering this chapter there is a conflict between a
provision of this chapter and a provision of Chapter 51, the
provision of Chapter 51 controls.
(b) A reference in this chapter to the board or a reference
in other law to the Texas Structural Pest Control Board means the
department.
Sec. 1951.009. ADVISORY COMMITTEE. The governor shall
appoint an advisory committee of seven persons to advise the
department in administering this chapter.
SECTION 1J.17. Section 1.02(1), Texas Geoscience Practice
Act (Article 3271b, Vernon's Texas Civil Statutes), is amended to
read as follows:
(1) "Department" ["Board"] means the Texas Department
of Licensing and Regulation [Board of Professional Geoscientists].
SECTION 1J.18. Subchapter A, Texas Geoscience Practice Act
(Article 3271b, Vernon's Texas Civil Statutes), is amended by
adding Sections 1.05 and 1.06 to read as follows:
Sec. 1.05. TEXAS DEPARTMENT OF LICENSING AND REGULATION.
(a) The department shall administer this Act. If in administering
this Act there is a conflict between a provision of this Act and a
provision of Chapter 51, Occupations Code, the provision of Chapter
51 controls.
(b) A reference in this Act to the board or a reference in
other law to the Texas Board of Professional Geoscientists means
the department.
Sec. 1.06. ADVISORY COMMITTEE. The governor shall appoint
an advisory committee of seven persons to advise the department in
administering this Act.
SECTION 1J.19. On September 1, 2003, the following laws are
repealed:
(1) Sections 651.001(2), 651.002, and 651.153,
Occupations Code;
(2) Subchapters B, C, and E, Chapter 651, Occupations
Code;
(3) Sections 1071.002(1) and 1071.003, Occupations
Code;
(4) Subchapters B, C, and E, Chapter 1071, Occupations
Code;
(5) Sections 1301.003, 1301.204, 1301.252, 1301.301,
and 1301.303, Occupations Code;
(6) Subchapter C, Chapter 1301, Occupations Code;
(7) Sections 1601.001(3), 1601.004, and 1601.153,
Occupations Code;
(8) Subchapters B, C, and E, Chapter 1601, Occupations
Code;
(9) Sections 1602.001(1), 1602.004, and 1602.152,
Occupations Code;
(10) Subchapters B, C, and E, Chapter 1602,
Occupations Code;
(11) Sections 1951.002(2), 1951.007, and 1951.206,
Occupations Code;
(12) Subchapters C, D, and F, Chapter 1951,
Occupations Code;
(13) Sections 1.03, 3.01, 3.02(a), 3.03, 3.04, 3.05,
and 3.06, Texas Geoscience Practice Act (Article 3271b, Vernon's
Texas Civil Statutes); and
(14) Subchapters B and E, Texas Geoscience Practice
Act (Article 3271b, Vernon's Texas Civil Statutes).
SECTION 1J.20. Not later than November 1, 2003, the
governor shall appoint an additional member to serve on the Texas
Commission of Licensing and Regulation, as required by Section
51.052(a), Occupations Code, as amended by this article. The new
member's term shall expire on February 1, 2007.
SECTION 1J.21. On September 1, 2003:
(1) all functions and activities relating to Chapter
651, Occupations Code, performed by the Texas Funeral Service
Commission immediately before that date are transferred to the
Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Funeral Service
Commission that relates to Chapter 651, Occupations Code, is a rule
or form of the Texas Department of Licensing and Regulation and
remains in effect until amended or replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Funeral Service Commission that relates to Chapter 651,
Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Funeral Service Commission that is related to
Chapter 651, Occupations Code, is transferred without change in
status to the Texas Department of Licensing and Regulation, and the
Texas Department of Licensing and Regulation assumes, as
appropriate and without a change in status, the position of the
Texas Funeral Service Commission in an action or proceeding to
which the Texas Funeral Service Commission is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Funeral Service Commission related to
Chapter 651, Occupations Code, are transferred to the Texas
Department of Licensing and Regulation;
(6) all property in the custody of the Texas Funeral
Service Commission related to Chapter 651, Occupations Code, is
transferred to the Texas Department of Licensing and Regulation;
and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Funeral Service
Commission related to Chapter 651, Occupations Code, is transferred
to the Texas Department of Licensing and Regulation.
SECTION 1J.22. On September 1, 2003:
(1) all functions and activities relating to Chapter
1071, Occupations Code, performed by the Texas Board of
Professional Land Surveying immediately before that date are
transferred to the Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Board of
Professional Land Surveying that relates to Chapter 1071,
Occupations Code, is a rule or form of the Texas Department of
Licensing and Regulation and remains in effect until amended or
replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Board of Professional Land Surveying that relates to Chapter
1071, Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Board of Professional Land Surveying that is
related to Chapter 1071, Occupations Code, is transferred without
change in status to the Texas Department of Licensing and
Regulation, and the Texas Department of Licensing and Regulation
assumes, as appropriate and without a change in status, the
position of the Texas Board of Professional Land Surveying in an
action or proceeding to which the Texas Board of Professional Land
Surveying is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Board of Professional Land Surveying
related to Chapter 1071, Occupations Code, are transferred to the
Texas Department of Licensing and Regulation;
(6) all property in the custody of the Texas Board of
Professional Land Surveying related to Chapter 1071, Occupations
Code, is transferred to the Texas Department of Licensing and
Regulation; and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Board of
Professional Land Surveying related to Chapter 1071, Occupations
Code, is transferred to the Texas Department of Licensing and
Regulation.
SECTION 1J.23. On September 1, 2003:
(1) all functions and activities relating to Chapter
1201, Occupations Code, performed by the Texas Department of
Housing and Community Affairs immediately before that date are
transferred to the Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Department of
Housing and Community Affairs that relates to Chapter 1201,
Occupations Code, is a rule or form of the Texas Department of
Licensing and Regulation and remains in effect until amended or
replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Department of Housing and Community Affairs that relates to
Chapter 1201, Occupations Code, means the Texas Department of
Licensing and Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Department of Housing and Community Affairs that
is related to Chapter 1201, Occupations Code, is transferred
without change in status to the Texas Department of Licensing and
Regulation, and the Texas Department of Licensing and Regulation
assumes, as appropriate and without a change in status, the
position of the Texas Department of Housing and Community Affairs
in an action or proceeding to which the Texas Department of Housing
and Community Affairs is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Department of Housing and Community
Affairs related to Chapter 1201, Occupations Code, are transferred
to the Texas Department of Licensing and Regulation;
(6) all property in the custody of the Texas
Department of Housing and Community Affairs related to Chapter
1201, Occupations Code, is transferred to the Texas Department of
Licensing and Regulation; and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Department of
Housing and Community Affairs related to Chapter 1201, Occupations
Code, is transferred to the Texas Department of Licensing and
Regulation.
SECTION 1J.24. On September 1, 2003:
(1) all functions and activities relating to Chapter
1301, Occupations Code, performed by the Texas State Board of
Plumbing Examiners immediately before that date are transferred to
the Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas State Board of
Plumbing Examiners that relates to Chapter 1301, Occupations Code,
is a rule or form of the Texas Department of Licensing and
Regulation and remains in effect until amended or replaced by that
department;
(3) a reference in law or an administrative rule to the
Texas State Board of Plumbing Examiners that relates to Chapter
1301, Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas State Board of Plumbing Examiners that is related
to Chapter 1301, Occupations Code, is transferred without change in
status to the Texas Department of Licensing and Regulation, and the
Texas Department of Licensing and Regulation assumes, as
appropriate and without a change in status, the position of the
Texas State Board of Plumbing Examiners in an action or proceeding
to which the Texas State Board of Plumbing Examiners is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas State Board of Plumbing Examiners related
to Chapter 1301, Occupations Code, are transferred to the Texas
Department of Licensing and Regulation;
(6) all property in the custody of the Texas State
Board of Plumbing Examiners related to Chapter 1301, Occupations
Code, is transferred to the Texas Department of Licensing and
Regulation; and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas State Board of
Plumbing Examiners related to Chapter 1301, Occupations Code, is
transferred to the Texas Department of Licensing and Regulation.
SECTION 1J.25. On September 1, 2003:
(1) all functions and activities relating to Chapter
1601, Occupations Code, performed by the State Board of Barber
Examiners immediately before that date are transferred to the Texas
Department of Licensing and Regulation;
(2) a rule or form adopted by the State Board of Barber
Examiners that relates to Chapter 1601, Occupations Code, is a rule
or form of the Texas Department of Licensing and Regulation and
remains in effect until amended or replaced by that department;
(3) a reference in law or an administrative rule to the
State Board of Barber Examiners that relates to Chapter 1601,
Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the State Board of Barber Examiners that is related to
Chapter 1601, Occupations Code, is transferred without change in
status to the Texas Department of Licensing and Regulation, and the
Texas Department of Licensing and Regulation assumes, as
appropriate and without a change in status, the position of the
State Board of Barber Examiners in an action or proceeding to which
the State Board of Barber Examiners is a party;
(5) all money, contracts, leases, property, and
obligations of the State Board of Barber Examiners related to
Chapter 1601, Occupations Code, are transferred to the Texas
Department of Licensing and Regulation;
(6) all property in the custody of the State Board of
Barber Examiners related to Chapter 1601, Occupations Code, is
transferred to the Texas Department of Licensing and Regulation;
and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the State Board of Barber
Examiners related to Chapter 1601, Occupations Code, is transferred
to the Texas Department of Licensing and Regulation.
SECTION 1J.26. On September 1, 2003:
(1) all functions and activities relating to Chapter
1602, Occupations Code, performed by the Texas Cosmetology
Commission immediately before that date are transferred to the
Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Cosmetology
Commission that relates to Chapter 1602, Occupations Code, is a
rule or form of the Texas Department of Licensing and Regulation and
remains in effect until amended or replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Cosmetology Commission that relates to Chapter 1602,
Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Cosmetology Commission that is related to Chapter
1602, Occupations Code, is transferred without change in status to
the Texas Department of Licensing and Regulation, and the Texas
Department of Licensing and Regulation assumes, as appropriate and
without a change in status, the position of the Texas Cosmetology
Commission in an action or proceeding to which the Texas
Cosmetology Commission is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Cosmetology Commission related to Chapter
1602, Occupations Code, are transferred to the Texas Department of
Licensing and Regulation;
(6) all property in the custody of the Texas
Cosmetology Commission related to Chapter 1602, Occupations Code,
is transferred to the Texas Department of Licensing and Regulation;
and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Cosmetology
Commission related to Chapter 1602, Occupations Code, is
transferred to the Texas Department of Licensing and Regulation.
SECTION 1J.27. On September 1, 2003:
(1) all functions and activities relating to Chapter
1951, Occupations Code, performed by the Texas Structural Pest
Control Board immediately before that date are transferred to the
Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Structural Pest
Control Board that relates to Chapter 1951, Occupations Code, is a
rule or form of the Texas Department of Licensing and Regulation and
remains in effect until amended or replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Structural Pest Control Board that relates to Chapter 1951,
Occupations Code, means the Texas Department of Licensing and
Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Structural Pest Control Board that is related to
Chapter 1951, Occupations Code, is transferred without change in
status to the Texas Department of Licensing and Regulation, and the
Texas Department of Licensing and Regulation assumes, as
appropriate and without a change in status, the position of the
Texas Structural Pest Control Board in an action or proceeding to
which the Texas Structural Pest Control Board is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Structural Pest Control Board related to
Chapter 1951, Occupations Code, are transferred to the Texas
Department of Licensing and Regulation;
(6) all property in the custody of the Texas
Structural Pest Control Board related to Chapter 1951, Occupations
Code, is transferred to the Texas Department of Licensing and
Regulation; and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Structural Pest
Control Board related to Chapter 1951, Occupations Code, is
transferred to the Texas Department of Licensing and Regulation.
SECTION 1J.28. On September 1, 2003:
(1) all functions and activities relating to the Texas
Geoscience Practice Act (Article 3271b, Vernon's Texas Civil
Statutes) performed by the Texas Board of Professional
Geoscientists immediately before that date are transferred to the
Texas Department of Licensing and Regulation;
(2) a rule or form adopted by the Texas Board of
Professional Geoscientists that relates to the Texas Geoscience
Practice Act (Article 3271b, Vernon's Texas Civil Statutes) is a
rule or form of the Texas Department of Licensing and Regulation and
remains in effect until amended or replaced by that department;
(3) a reference in law or an administrative rule to the
Texas Board of Professional Geoscientists that relates to the Texas
Geoscience Practice Act (Article 3271b, Vernon's Texas Civil
Statutes) means the Texas Department of Licensing and Regulation;
(4) a complaint, investigation, or other proceeding
before the Texas Board of Professional Geoscientists that is
related to the Texas Geoscience Practice Act (Article 3271b,
Vernon's Texas Civil Statutes) is transferred without change in
status to the Texas Department of Licensing and Regulation, and the
Texas Department of Licensing and Regulation assumes, as
appropriate and without a change in status, the position of the
Texas Board of Professional Geoscientists in an action or
proceeding to which the Texas Board of Professional Geoscientists
is a party;
(5) all money, contracts, leases, property, and
obligations of the Texas Board of Professional Geoscientists
related to the Texas Geoscience Practice Act (Article 3271b,
Vernon's Texas Civil Statutes) are transferred to the Texas
Department of Licensing and Regulation;
(6) all property in the custody of the Texas Board of
Professional Geoscientists related to the Texas Geoscience
Practice Act (Article 3271b, Vernon's Texas Civil Statutes) is
transferred to the Texas Department of Licensing and Regulation;
and
(7) the unexpended and unobligated balance of any
money appropriated by the legislature for the Texas Board of
Professional Geoscientists related to the Texas Geoscience
Practice Act (Article 3271b, Vernon's Texas Civil Statutes) is
transferred to the Texas Department of Licensing and Regulation.
SECTION 1J.29. Not later than November 1, 2003, the
governor shall appoint the advisory committees required by Sections
651.005, 1071.006, 1201.009, 1301.005, 1601.006, 1602.006, and
1951.009, Occupations Code, as added by this Act, and Section 1.06,
Texas Geoscience Practice Act (Article 3271b, Vernon's Texas Civil
Statutes), as added by this Act.
ARTICLE 1K. ABOLITION OF OFFICE OF
STATE-FEDERAL RELATIONS
SECTION 1K.01. Sections 751.001(1) and (4), Government
Code, are amended to read as follows:
(1) "Board" means the [Office of] State-Federal
Relations Advisory [Policy] Board.
(4) "State agency" means a state board, commission,
department, institution, or officer in the executive branch of
state government having statewide jurisdiction, including a state
college or university.
SECTION 1K.02. Section 751.002, Government Code, is amended
to read as follows:
Sec. 751.002. OFFICE OF STATE-FEDERAL RELATIONS. [(a)]
The Office of State-Federal Relations is a division of the office of
the governor [an agency of the state and operates within the
executive department.
[(b) The office is subject to the administrative procedure
law, Chapter 2001].
SECTION 1K.03. The heading to Section 751.004, Government
Code, is amended to read as follows:
Sec. 751.004. APPOINTMENT [AND TERM] OF DIRECTOR.
SECTION 1K.04. Section 751.004(a), Government Code, is
amended to read as follows:
(a) The governor[, with the advice and consent of the
senate,] shall appoint a director of the office.
SECTION 1K.05. Section 751.005(b), Government Code, is
amended to read as follows:
(b) The director shall:
(1) help coordinate state and federal programs dealing
with the same subject;
(2) inform the governor, the lieutenant governor, and
the speaker of the house of representatives [legislature] of
federal programs that may be carried out in the state or that affect
state programs;
(3) provide federal agencies and the United States
Congress with information about state policy and state conditions
on matters that concern the federal government;
(4) regularly provide the governor, the lieutenant
governor, and the speaker of the house of representatives
[legislature] with information useful in measuring the effect of
federal actions on the state and local programs; and
(5) prepare and supply to the governor, the lieutenant
governor, and the speaker of the house of representatives [and all
members of the legislature] an annual report that:
(A) describes the office's operations;
(B) contains the office's priorities and
strategies for the following year;
(C) details projects and legislation pursued by
the office;
(D) discusses issues in the following
congressional session of interest to this state; and
(E) contains an analysis of federal funds
availability and formulae[; and
[(6) prepare annually a complete and detailed written
report accounting for all funds received and disbursed by the
office during the preceding fiscal year].
SECTION 1K.06. The heading to Section 751.006, Government
Code, is amended to read as follows:
Sec. 751.006. STAFF[; PERSONNEL POLICIES].
SECTION 1K.07. Section 751.006(a), Government Code, is
amended to read as follows:
(a) The director may employ staff necessary to carry out the
director's powers and duties under this chapter. [The director or
the director's designee shall provide to office employees, as often
as necessary, information regarding their qualification for
employment under this chapter and their responsibilities under
applicable laws relating to standards of conduct for state
employees.]
SECTION 1K.08. The heading to Section 751.010, Government
Code, is amended to read as follows:
Sec. 751.010. [OFFICE OF] STATE-FEDERAL RELATIONS ADVISORY
[POLICY] BOARD.
SECTION 1K.09. Section 751.010, Government Code, is amended
by amending Subsections (a), (e), and (f) and adding Subsection (g)
to read as follows:
(a) The governor may appoint members to an advisory board to
assist in the administration of this chapter [Office of
State-Federal Relations Advisory Policy Board consists of:
[(1) the governor;
[(2) the lieutenant governor; and
[(3) the speaker of the house of representatives].
(e) The board may [shall] meet before the beginning of each
congressional session and at the call of the director [presiding
officer].
(f) The board may [shall] work with the director to hold
periodic meetings [in the city of Austin at times determined by the
presiding officer] to discuss upcoming federal activities and
issues with state agency representatives.
(g) A member of the advisory board may not receive
compensation, but is entitled to reimbursement of the member's
necessary and actual expenses incurred while performing duties
under this chapter, subject to any applicable limitation on
reimbursement provided by general law or the General Appropriations
Act.
SECTION 1K.10. Sections 751.012(c) and (e), Government
Code, are amended to read as follows:
(c) A contract under this section must include provisions
under which staff of the other state agency:
(1) report directly to the director;
(2) report [directly] to the other state [that]
agency's administrative head or the presiding officer of the other
state [that] agency's governing body;
(3) [(2)] have an officially recognized role in the
other state [that] agency's budget planning process;
(4) [(3)] provide periodic updates of activities to
the other state [at meetings of that] agency's governing body; and
(5) [(4)] receive a salary established under
Subsection (d).
(e) A state agency identified by the Legislative Budget
Board or the governor's office of budget, planning, and policy as
receiving significant federal funding or being significantly
affected by federal policy decisions, other than a state agency
that is headed by a statewide-elected official, shall:
(1) develop a plan of state-federal coordination;
(2) study the benefits of entering a contract under
Subsection (a); and
(3) submit the coordination plan and study to the
office and to the Legislative Budget Board.
SECTION 1K.11. Chapter 751, Government Code, is amended by
adding Section 751.015 to read as follows:
Sec. 751.015. AGENCY COMMUNICATIONS. A state agency must,
to the extent practicable, contact the office before the agency
provides information to a federal agency or to the United States
Congress about a state policy or state circumstances. This section
does not apply to a state agency that is headed by a
statewide-elected official.
SECTION 1K.12. Subchapter B, Chapter 751, Government Code,
is transferred to Chapter 401, Government Code, redesignated as
Subchapter G, Chapter 401, Government Code, and amended to read as
follows:
SUBCHAPTER G [B]. FEDERAL FUNDS MANAGEMENT
Sec. 401.151 [751.021]. DEFINITION. In this subchapter,
"federal formula funds" means only those funds coming to the state
based on federal funding formulas or as otherwise legislated by
congress, excluding those funds known as federal discretionary
grant funds.
Sec. 401.152 [751.022]. POWERS AND DUTIES. (a) The
governor's office of budget, planning, and policy has primary
responsibility for monitoring, coordinating, and reporting on the
state's efforts to ensure receipt of an equitable share of federal
formula funds.
(b) The governor's office of budget, planning, and policy
shall:
(1) serve as the state's clearinghouse for information
on federal formula funds;
(2) prepare reports on federal funds and earned
federal formula funds;
(3) analyze proposed and pending federal and state
legislation to determine whether the legislation would have a
significant negative effect on the state's ability to receive an
equitable share of federal formula funds;
(4) make recommendations for coordination between
state agencies and local governmental entities and between state
agencies; and
(5) adopt rules under the rule-making procedures of
the administrative procedure law, Chapter 2001, Government Code, as
necessary to carry out the responsibilities assigned by this
subchapter.
(c) The governor's office of budget, planning, and policy
shall annually prepare a comprehensive report to the governor and
legislature on the effectiveness of the state's efforts to ensure a
receipt of an equitable share of federal formula funds for the
preceding federal fiscal year. The report must include:
(1) an executive summary that provides an overview of
the major findings and recommendations included in the report;
(2) a comparative analysis of the state's receipt of
federal formula funds relative to other states, prepared using the
best available sources of data;
(3) an analysis of federal formula funding trends that
may have a significant effect on resources available to the state;
and
(4) recommendations, developed in consultation with
the Legislative Budget Board, the Office of State-Federal Relations
[Governor's Office of Budget and Planning], and the comptroller,
for any state legislative or administrative action necessary to
increase the state's receipt of federal formula funds.
[Sec. 751.023. AGENCY COMMUNICATIONS. A state agency
shall, to the extent practicable, contact the office before the
agency provides information to a federal agency or to the United
States Congress about state policy or conditions. This section
does not apply to a state agency that is headed by a
statewide-elected official.]
Sec. 401.153 [751.024]. REPORTS CONCERNING GRANT FUNDS.
(a) Each agency and each institution of higher education shall
report to [the office,] the Legislative Budget Board[,] and the
governor's office of budget, planning, and policy [budget division
of the governor's office]:
(1) each application or request made to the United
States government for grant funds;
(2) the award or designation, by the United States
government, of any funds for expenditure by a state agency; and
(3) waivers of grant requirements.
(b) In consultation with the governor's office of budget,
planning, and policy [director], the Legislative Budget Board may
prescribe reporting procedures and time schedules necessary to
implement Subsection (a).
SECTION 1K.13. Section 322.004, Government Code, is amended
by adding Subsection (e) to read as follows:
(e) The director may maintain office space at locations
chosen by the director, including at locations outside of the
state.
SECTION 1K.14. (a) The heading to Subchapter A, Chapter
751, Government Code, is repealed.
(b) The following sections of the Government Code are
repealed:
(1) Section 751.003;
(2) Section 751.005(d);
(3) Sections 751.006(b)-(f);
(4) Section 751.008;
(5) Sections 751.010(b)-(d);
(6) Section 751.011; and
(7) Section 751.012(b).
SECTION 1K.15. On September 1, 2003:
(1) all powers, duties, obligations, rights,
contracts, records, real and personal property, funds,
appropriations, money, and authorized full-time equivalent (FTE)
positions of the Office of State-Federal Relations are transferred
to the office of the governor;
(2) an employee of the Office of State-Federal
Relations becomes an employee of the office of the governor;
(3) a rule, policy, procedure, report, or decision of
the Office of State-Federal Relations continues in effect as a
rule, policy, procedure, report, or decision of the office of the
governor until superseded by an act of the office of the governor;
and
(4) a reference in another law to the Office of
State-Federal Relations means the office of the governor.
ARTICLE 1L. STATEWIDE COORDINATION OF PUBLIC TRANSPORTATION
SECTION 1L.01. Subtitle K, Title 6, Transportation Code, is
amended by adding Chapter 461 to read as follows:
CHAPTER 461. STATEWIDE COORDINATION OF PUBIC TRANSPORTATION
Sec. 461.001. LEGISLATIVE INTENT AND CONSTRUCTION. (a)
Public transportation services are provided in this state by many
different entities, both public and private. The multiplicity of
public transportation providers and services, coupled with a lack
of coordination between state oversight agencies, has generated
inefficiencies, overlaps in service, and confusion for consumers.
It is the intent of this chapter:
(1) to eliminate waste in the provision of public
transportation services;
(2) to generate efficiencies that will permit
increased levels of service; and
(3) to further the state's efforts to reduce air
pollution.
(b) This chapter shall be liberally construed to achieve its
purposes.
Sec. 461.002. DEFINITIONS. In this chapter:
(1) "Public transportation provider" means any entity
that provides public transportation services if it is a
governmental entity or if it receives financial assistance from a
governmental entity, whether state, local, or federal. The term
does not include private carriers that do not receive financial
assistance from a governmental entity. It also does not include a
person who provides intercity rail or bus service, commercial air
transportation, water transportation, or nonstop service to or from
a point located outside this state. If a person provides both
public transportation services and services that are not public
transportation services, that person is included within the term
only with regard to the provision of public transportation services
and to the extent of those public transportation services.
(2) "Public transportation services" means any
conveyance of passengers and their hand-carried baggage by a
governmental entity or by a private entity if the private entity
receives financial assistance for that conveyance from any
governmental entity. It does not include intercity rail or bus
service, commercial air transportation, water transportation, or
nonstop service to or from a point located outside this state.
Sec. 461.003. RULES OF TEXAS TRANSPORTATION COMMISSION.
(a) The commission by rule may:
(1) require a state agency that is responsible for
ensuring the provision of public transportation services to
contract with the department for the department to assume the
responsibilities of that agency relating to the provision of public
transportation services; and
(2) require a public transportation provider to
provide detailed information on its provision of public
transportation services, including revenues, routes, maps,
categories of passengers served, number of passengers served, and
equipment use and condition.
(b) Except with regard to health and human services programs
funded by this state, the commission may not direct the planning or
operations of an authority created or operating under Chapter 451,
452, or 453.
(c) The commission shall adopt other rules, including rules
defining terms, necessary to implement this chapter.
Sec. 461.004. DUTIES OF TEXAS DEPARTMENT OF TRANSPORTATION.
(a) The department shall identify:
(1) overlaps and gaps in the provision of public
transportation services, including services that could be more
effectively provided by existing, privately funded transportation
resources;
(2) underused equipment owned by public
transportation providers; and
(3) inefficiencies in the provision of public
transportation services by any public transportation provider.
(b) The department may contract with any public or private
transportation provider for the department to arrange for the
provision of public transportation services.
Sec. 461.005. ELIMINATION OF OVERLAPPING SERVICE. (a) To
eliminate waste and maximize efficiency, the department shall
encourage public transportation providers to agree on the
allocation of specific services and service areas among the
providers. The department may incorporate these discussions in
planning processes such as the development of the statewide
transportation improvement program or a local transportation
improvement plan.
(b) If public transportation providers do not reach an
agreement on a service plan under Subsection (a), the department
may develop an interim service plan for that area.
(c) The department may require that all or a percentage of
the vehicles used to provide public transportation services comply
with specified emissions standards. The standards may vary among
geographic areas based on the need of each area to reduce levels of
air pollution. This subsection does not apply to an authority
created under Chapter 451, 452, or 453.
Sec. 461.006. DUTIES OF PUBLIC TRANSPORTATION PROVIDERS.
Each public transportation provider shall cooperate with the
department in eliminating waste and ensuring efficiency and maximum
coverage in the provision of public transportation services.
Sec. 461.007. INCENTIVES FOR EFFICIENCY. (a)
Notwithstanding any other law, including a law establishing a
formula for the allocation of public transportation grants, the
commission may increase or reduce the amount of a grant made to a
public transportation provider based on whether the public
transportation provider is complying fully with this chapter.
(b) Notwithstanding any other law, the commission may
consider whether a public transportation provider in a geographic
area of this state is complying fully with this chapter in executing
the commission's other responsibilities relating to that area.
SECTION 1L.02. Section 455.0015, Transportation Code, is
amended by amending Subsection (b) and adding Subsections (c) and
(d) to read as follows:
(b) It is the intent of the legislature that, whenever
possible, and to the maximum extent feasible, the existing network
of transportation providers, and in particular the fixed route
components of the existing networks, be used to meet the client
transportation requirements of the state's social service agencies
and their agents. The legislature recognizes the contributions of
nonprofit entities dedicated to providing social services and
related activities and encourages the continued community
involvement of these entities in this area. The legislature
likewise recognizes the potential cost savings and other benefits
of utilizing existing private sector transportation resources. The
department will contract with and promote the use of private sector
transportation resources to the maximum extent feasible consistent
with the goals of this subsection.
(c) Each health and human services agency of this state
shall contract with the department for the department to assume all
responsibilities of the health and human services agency relating
to the provision of transportation services for clients of eligible
programs.
(d) The department may contract with any public or private
transportation provider or with any regional transportation broker
for the provision of public transportation services.
SECTION 1L.03. Section 455.004, Transportation Code, is
amended to read as follows:
Sec. 455.004. PUBLIC TRANSPORTATION ADVISORY COMMITTEE.
(a) A public transportation advisory committee consisting of nine
members shall:
(1) advise the commission on the needs and problems of
the state's public transportation providers, including the methods
for allocating state public transportation money;
(2) comment on rules involving public transportation
during development of the rules and before the commission finally
adopts the rules unless an emergency requires immediate commission
action; [and]
(3) advise the commission on the implementation of
Chapter 461; and
(4) perform any other duty determined by the
commission.
(b) The commission shall appoint members of the advisory
committee. The membership of the committee shall [governor, the
lieutenant governor, and the speaker of the house of
representatives each shall appoint three members of the committee.
The appointing officers shall allocate among themselves the
authority for appointment of members with different types of
qualifications. The committee must] include:
(1) four members who [one member to] represent a
diverse cross-section of public transportation providers [in rural
areas];
(2) three members who [one member to] represent a
diverse cross-section of transportation users [municipal transit
systems in urban areas with populations of less than 200,000]; and
(3) two members who [one member to represent
metropolitan transit authorities in urban areas with populations of
200,000 or more;
[(4) one member to represent transportation providers
for persons with disabilities and the elderly; and
[(5) five members who have a knowledge of and interest
in public transportation to] represent the general public.
(c) A member serves at the pleasure of the commission
[officer appointing the member]. A member is not entitled to
compensation for service on the committee but is entitled to
reimbursement for reasonable expenses the member incurs in
performing committee duties.
(d) The public transportation advisory committee shall meet
[quarterly or] as requested by the commission.
(e) The commission may adopt rules to govern the operation
of the advisory committee.
SECTION 1L.04. Section 461.012, Health and Safety Code, is
amended by adding Subsection (g) to read as follows:
(g) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.05. Section 533.012, Health and Safety Code, is
amended to read as follows:
Sec. 533.012. COOPERATION OF STATE AGENCIES. (a) At the
department's request, all state departments, agencies, officers,
and employees shall cooperate with the department in activities
that are consistent with their functions.
(b) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.06. Section 22.001, Human Resources Code, is
amended by adding Subsection (e) to read as follows:
(e) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.07. Section 40.002, Human Resources Code, is
amended by adding Subsection (f) to read as follows:
(f) The department may contract with the Texas Department of
Transportation for the Texas Department of Transportation to assume
all responsibilities of the department relating to the provision of
transportation services for clients of eligible programs.
SECTION 1L.08. Section 91.021, Human Resources Code, is
amended by adding Subsection (g) to read as follows:
(g) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.09. Section 101.0256, Human Resources Code, is
amended to read as follows:
Sec. 101.0256. COORDINATED ACCESS TO LOCAL SERVICES. (a)
The department and the Texas Department of Human Services shall
develop standardized assessment procedures to share information on
common clients served in a similar service region.
(b) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.10. Section 111.0525, Human Resources Code, is
amended by adding Subsection (d) to read as follows:
(d) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.11. Section 301.063, Labor Code, is amended by
adding Subsection (f) to read as follows:
(f) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 1L.12. LEGISLATIVE INTENT REGARDING PROVISION OF
HEALTH AND HUMAN SERVICE TRANSPORTATION THROUGH THE TEXAS
DEPARTMENT OF TRANSPORTATION. It is the intent of the legislature
that the provision of health and human service transportation
through the Texas Department of Transportation will improve the
delivery of transportation services to clients and enhance their
access to transportation services. Furthermore, it is the intent
of the legislature that these services be provided in a manner that
will generate efficiencies in operation, control costs, and permit
increased levels of service. The Texas Department of
Transportation shall encourage cooperation and coordination among
transportation providers, regional transportation brokers, and
actual and potential clients in an effort to achieve the stated
legislative goals.
SECTION 1L.13. Any funds that are used by the Texas
Department of Transportation to implement the transportation
services provided in Sections 1L.02, 1L.04, 1L.05, 1L.06, 1L.07,
1L.08, 1L.09, 1L.10, and 1L.11 of this article shall be accounted
for and budgeted separately from other funds appropriated to the
Texas Department of Transportation for any other public
transportation program or budget strategy.
ARTICLE 1M. GOVERNOR'S BUDGET AUTHORITY
SECTION 1M.01. Section 401.0445(b), Government Code, is
amended to read as follows:
(b) In the budget, the governor shall show:
(1) the list of appropriations for the current year
preceding the biennium for which appropriations are sought and
recommended;
(2) expenditures for [each of] the year [two full
years] preceding the current year; and
(3) the amounts requested by the various agencies and
the amounts recommended by the governor for each of the years of the
biennium.
SECTION 1M.02. Section 401.046(a), Government Code, is
amended to read as follows:
(a) The governor shall deliver a copy of the governor's
budget to each member of the legislature before the governor gives
the message to the legislature required by Section 9, Article IV,
Texas Constitution, at the commencement [not later than the sixth
day] of each regular legislative session.
SECTION 1M.03. Section 401.047, Government Code, is
repealed.
SECTION 1M.04. Chapter 2053, Government Code, is repealed.
ARTICLE 1N. COMMISSIONER OF INSURANCE
SECTION 1N.01. Section 31.022(a), Insurance Code, is
amended to read as follows:
(a) The governor, with the advice and consent of the senate,
shall appoint the commissioner. The commissioner serves a one-year
[two-year] term that expires on February 1 [of each odd-numbered
year].
SECTION 1N.02. Section 31.023, Insurance Code, is amended to
read as follows:
Sec. 31.023. QUALIFICATIONS. The commissioner must[:
[(1) be a competent and experienced administrator;
[(2)] be well informed and qualified in the field of
insurance and insurance regulation[;] and
[(3) have at least 10 years of experience as an
executive] in the administration of business or government [or as a
practicing attorney or certified public accountant, with at least
five years of that experience in the field of insurance or insurance
regulation].
SECTION 1N.03. Section 31.027(a), Insurance Code, is
amended to read as follows:
(a) It is a ground for removal from office if the
commissioner:
(1) does not have at the time of appointment the
qualifications required by Section 31.023;
(2) [does not maintain during service as commissioner
the qualifications required by Section 31.023;
[(3)] violates a prohibition established by Section
33.001, 33.003, 33.004, or 33.005; or
(3) [(4)] cannot, because of illness or disability,
discharge the commissioner's duties for a substantial part of the
commissioner's term.
SECTION 1N.04. The change in law made by this Act to
Sections 31.022, 31.023, and 31.027, Insurance Code, applies only
to the appointment of the commissioner of insurance on or after the
effective date of this Act. A commissioner of insurance appointed
before the effective date of this Act is governed by the law as it
existed immediately before that date, and that law is continued in
effect for this purpose.
ARTICLE 1O. REVIEW OF UNIVERSITY SYSTEM ADMINISTRATION
SECTION 1O.01. Subchapter C, Chapter 61, Education Code, is
amended by adding Section 61.0515 to read as follows:
Sec. 61.0515. REVIEW OF UNIVERSITY SYSTEM ADMINISTRATION.
(a) The board shall perform a review of the organization and
operations of each university system office to:
(1) identify appropriate organizational structures
for university systems and system offices;
(2) identify and quantify workforce and other
resources at each system office used to provide services and
functions common to each system office; and
(3) determine the extent to which system
administration employees are performing services and functions
that are also provided by employees of individual component
institutions of each university system.
(b) In the review, the board shall identify the number and
types of administrative and executive positions in the
administration of each university system, and shall examine each
major function, service, or activity performed by university system
offices, including:
(1) central administration;
(2) academic affairs coordination and support;
(3) general counsel and other legal services;
(4) budgeting, accounting, and data reporting;
(5) fiscal management;
(6) facilities planning and construction;
(7) governmental relations;
(8) audit services;
(9) real estate management;
(10) information technology services; and
(11) aircraft operation and usage.
(c) Not later than November 1, 2004, the board shall prepare
a report of the review and deliver the report to the governor,
lieutenant governor, speaker of the house of representatives,
Legislative Budget Board, and chair of the standing committee of
each house of the legislature with primary jurisdiction over higher
education. In the report, the board shall state its findings and
identify opportunities for legislative and administrative action
relating to:
(1) the reorganization of university system offices
and functions;
(2) the consolidation or reorganization of university
systems; and
(3) the consolidation or centralization of functions,
services, or activities of university system offices.
(d) In the report, the board shall identify potential
reductions in personnel and other cost savings associated with each
legislative or administrative action the board identifies under
Subsection (c).
(e) This section expires September 1, 2005.
ARTICLE 1P. ABOLITION OF TEXAS COMMISSION ON PRIVATE SECURITY
SECTION 1P.01. Subchapter A, Chapter 1702, Occupations
Code, is amended by adding Section 1702.005 to read as follows:
Sec. 1702.005. COMMISSION ABOLISHED AND FUNCTIONS
TRANSFERRED. (a) The commission is abolished, and all powers,
duties, personnel, property, assets, and obligations of the
commission are transferred to the Department of Public Safety of
the State of Texas. The validity of a prior action of the
commission is not affected by the abolishment.
(b) All rules of the commission relating to a transferred
power or duty remain in effect as rules of the Department of Public
Safety of the State of Texas until amended or repealed by the
Department of Public Safety of the State of Texas.
(c) A reference in this chapter or another law to the
commission means the Department of Public Safety of the State of
Texas.
ARTICLE 1Q. MEMBERS OF PARKS AND WILDLIFE COMMISSION
SECTION 1Q.01. Section 11.012(d), Parks and Wildlife Code,
is amended to read as follows:
(d) In making appointments under this section, the
governor:
(1) shall:
(A) attempt to include persons with expertise in
diverse fields, including fields such as historic preservation,
conservation, and outdoor recreation; and
(B) consider the commission's composition in
terms of:
(i) the geographical areas represented by
members of the commission; and
(ii) the appropriate balance of
representatives from rural and urban areas; and
(2) may include persons who have an interest in and
knowledge of hunting, fishing, wildlife, environmental concerns,
land or water use issues, or water quality issues.
SECTION 1Q.02. (a) As soon as possible on or after
September 1, 2003, the governor shall appoint nine members to the
Parks and Wildlife Commission under Section 11.012, Parks and
Wildlife Code, as amended by this Act. The governor shall
designate:
(1) three members, including one public member, for
terms expiring February 1, 2005;
(2) three members, including one public member, for
terms expiring February 1, 2007; and
(3) three members, including one public member, for
terms expiring February 1, 2009.
(b) The governor may reappoint a person who served as a
member of the Parks and Wildlife Commission before September 1,
2003.
(c) The position of a member of the Parks and Wildlife
Commission serving immediately before September 1, 2003, is
abolished at the time five or more of the newly appointed directors
qualify for office. Until the abolition of the members' positions
occurs under this section, the members serving immediately before
September 1, 2003, have the same powers and duties that the members
had immediately before that date and the commission continues to be
composed in the way it was composed before that date, and the former
law is continued in effect for that purpose.
ARTICLE 1R. DESIGNATION OF PRESIDING OFFICERS
SECTION 1R.01. Chapter 651, Government Code, is amended by
adding Section 651.008 to read as follows:
Sec. 651.008. APPOINTMENT OF PRESIDING OFFICERS BY
GOVERNOR. (a) In this section, "state agency" means a department,
commission, board, office, council, authority, or other agency in
the executive branch of state government that is created by the
constitution or a statute of this state, including:
(1) a university system or institution of higher
education as defined by Section 61.003, Education Code; and
(2) a river authority as defined by Section 30.003,
Water Code.
(b) Notwithstanding other law, the governor may designate a
member of the governing body of each state agency as the presiding
officer of that governing body to serve in that capacity at the
pleasure of the governor.
ARTICLE 1S. ADMINISTRATION OF THE TEXAS DEPARTMENT OF CRIMINAL
JUSTICE
SECTION 1S.01. Chapter 493, Government Code, is amended by
adding Sections 493.0022 and 493.0023 to read as follows:
Sec. 493.0022. REPORT TO THE LEGISLATURE. The department
shall report to the legislature not later than December 31, 2004, on
the costs and feasibility of providing cognitive behavior training
to corrections officers. This section expires January 1, 2005.
Sec. 493.0023. STUDY REGARDING EFFICIENT ADMINISTRATION.
(a) The department, in consultation with representatives from The
University of Texas or Texas A&M University who are specialists in
corporate reorganization and efficiency, shall conduct a study to
evaluate the organizational arrangement and efficient
administration of the department. The study shall include an
evaluation of possible means by which to:
(1) reduce inmate transportation costs as well as
costs incurred in transporting food and other consumables to prison
units;
(2) maximize the profitable and productive use of
manufacturing capital investments; and
(3) reduce costs and prevent idleness of inmates by
aggressive use of inmate labor in performing construction, repairs,
and maintenance.
(b) The department shall conduct an analysis of complaint
procedures and policies to eliminate repetitive complaints for
which there is a substantive basis. As part of the analysis, the
department shall:
(1) determine the number of complaints the department
receives in various subject area categories;
(2) propose policy changes to eliminate the basis for
most basic complaints without endangering public safety or
efficient operations; and
(3) seek to reduce the number of complaints received
by the department and the time required to respond to those
complaints.
(c) The department shall submit an annual report to the
legislature on the progress of the study and the analysis conducted
under this section not later than December 1, 2003, and December 1,
2004.
(d) This section expires January 1, 2005.
PART 2. FEES AND OTHER FINANCIAL ISSUES
ARTICLE 2A. TEXAS ENTERPRISE FUND
SECTION 2A.01. Subchapter E, Chapter 481, Government Code,
is amended by adding Section 481.078 to read as follows:
Sec. 481.078. TEXAS ENTERPRISE FUND. (a) In this section,
"account" means the Texas Enterprise Fund.
(b) The Texas Enterprise Fund is an account in the general
revenue fund.
(c) The account consists of:
(1) money appropriated by the legislature for the
purposes of this section;
(2) money transferred to the account at the direction
of the legislature; and
(3) gifts, grants, and other donations received by the
governor or the department intended for the account.
(d) Money in the account may be used only for economic
development, infrastructure development, community development,
job training programs, job creation programs, and business
incentives. Money in the account may be used by the comptroller
temporarily for cash management purposes.
(e) Interest earned on the principal of the account shall be
deposited to the credit of the economic stabilization fund.
(f) The governor may negotiate on behalf of the state
regarding awarding by grant money appropriated from the account.
The governor may award money appropriated from the account only
with the express written prior approval of the lieutenant governor
and the speaker of the house of representatives.
(g) Before awarding a grant under this section, the governor
and the entity to be awarded the grant money may enter into a
written agreement that specifies that:
(1) if all or any portion of the amount of the grant is
used to build a capital improvement:
(A) the state retains a lien or other interest in
the capital improvement in proportion to the percentage of the
grant amount used to pay for the capital improvement; and
(B) the recipient of the grant shall, if the
capital improvement is sold:
(i) repay to the state the grant money used
to pay for the capital improvement, with interest at the rate and
according to other terms provided by the agreement; and
(ii) share with the state a proportionate
amount of any profit realized from the sale; and
(2) if, as of a date certain as provided in the
agreement, the grant recipient has not used grant money awarded
under this section for the purposes for which the grant was
intended, the recipient shall repay that amount and any related
interest to the state at the agreed rate and terms.
ARTICLE 2B. FEES FOR RAIL SAFETY PROGRAM
SECTION 2B.01. Article 6448a, Revised Statutes, is amended
to read as follows:
Art. 6448a. IMPLEMENTATION OF FEDERAL RAILROAD SAFETY ACT
OF 1970.
Sec. 1. The Railroad Commission of Texas is hereby
authorized to perform any act and issue any rules and orders as
permitted by the Federal Railroad Safety Act of 1970 (45 U.S.C.A.
431 et seq.).
Sec. 2. (a) The Railroad Commission of Texas by rule shall
adopt and provide for the collection of reasonable fees to be
assessed annually against railroads operating within this state.
The amount of a fee imposed under this article may not exceed an
amount estimated by the commission to be sufficient in the
aggregate to recover the costs of administering the commission's
rail safety program.
(b) To provide for the equitable allocation of the cost of
administering the commission's rail safety program among
railroads, the commission may consider the gross ton miles for
railroad operations within this state for each railroad operating
in the state when assessing a fee.
(c) A fee collected under this section shall be deposited to
the credit of the general revenue fund to be used for the rail
safety program.
ARTICLE 2C. FINANCING OF STATE FACILITY EXPENDITURES
SECTION 2C.01. Chapter 2113, Government Code, is amended by
adding Subchapter E to read as follows:
SUBCHAPTER E. RESTRICTIONS ON CAPITAL EXPENDITURES
Sec. 2113.301. PREFERENCE FOR FINANCING CERTAIN CAPITAL
EXPENDITURES WITH MONEY GENERATED BY UTILITY COST SAVINGS CONTRACT.
(a) In this section:
(1) "State facility purpose" means a purpose related
to:
(A) the maintenance of a state-owned or
state-leased building or facility; or
(B) a project as defined by Section 2166.001,
including a project described by Section 2166.003.
(2) "Utility cost savings contract" means a contract
under Subchapter I, Chapter 2166, or other law that guarantees
utility cost savings for energy conservation measures to reduce
energy or water consumption or to reduce operating costs of
governmental facilities.
(b) Before a state agency may use appropriated money to make
a capital expenditure for a state facility purpose, the state
agency must determine whether the expenditure could be financed
with money generated by a utility cost savings contract.
(c) If it is practicable to do so, a state agency that is
using appropriated money must finance a capital expenditure for a
state facility purpose with money generated by a utility cost
savings contract.
(d) If it is not practicable for a state agency that is using
appropriated money to finance a capital expenditure for a state
facility purpose with money generated by a utility cost savings
contract, the state agency must provide justification to the
Legislative Budget Board for the capital expenditure.
(e) In determining under Subsection (b) whether a capital
expenditure could be financed by a utility cost savings contract, a
state agency must consider whether utility cost savings generated
by any department of that agency could be a potential means of
financing a capital expenditure for any department of that agency.
Money generated by a utility cost savings in one department of a
state agency may be used to finance capital expenditures for a state
facility purpose in any department of that agency.
ARTICLE 2D. SALES TAX ON MOTOR VEHICLES
SECTION 2D.01. Section 152.002, Tax Code, is amended by
adding Subsection (f) to read as follows:
(f) Notwithstanding Subsection (a), the total consideration
of a used motor vehicle is the amount on which the tax is computed as
provided by Section 152.0412.
SECTION 2D.02. Section 152.041(a), Tax Code, is amended to
read as follows:
(a) The tax assessor-collector of the county in which an
application for registration or for a Texas certificate of title is
made shall collect taxes imposed by this chapter, subject to
Section 152.0412, unless another person is required by this chapter
to collect the taxes.
SECTION 2D.03. Subchapter C, Chapter 152, Tax Code, is
amended by adding Section 152.0412 to read as follows:
Sec. 152.0412. STANDARD PRESUMPTIVE VALUE; USE BY TAX
ASSESSOR-COLLECTOR. (a) In this section, "standard presumptive
value" means the average retail value of a motor vehicle as
determined by the Texas Department of Transportation, based on a
nationally recognized motor vehicle industry reporting service.
(b) If the amount paid for a motor vehicle subject to the tax
imposed by this chapter is equal to or greater than the standard
presumptive value of the vehicle, a county tax assessor-collector
shall compute the tax on the amount paid.
(c) If the amount paid for a motor vehicle subject to the tax
imposed by this chapter is less than the standard presumptive value
of the vehicle, a county tax assessor-collector shall compute the
tax on the standard presumptive value unless the purchaser
establishes the retail value of the vehicle as provided by
Subsection (d).
(d) A county tax assessor-collector shall compute the tax
imposed by this chapter on the retail value of a motor vehicle if:
(1) the retail value is shown on an appraisal
certified by an adjuster licensed under Article 21.07-4, Insurance
Code, or by a motor vehicle dealer operating under Subchapter B,
Chapter 503, Transportation Code;
(2) the appraisal is on a form prescribed by the
comptroller for that purpose; and
(3) the purchaser of the vehicle obtains the appraisal
not later than the 20th day after the date of purchase.
(e) On request, a motor vehicle dealer operating under
Subchapter B, Chapter 503, Transportation Code, shall provide a
certified appraisal of the retail value of a motor vehicle. The
comptroller by rule shall establish a fee that a dealer may charge
for providing the certified appraisal. The county tax
assessor-collector shall retain a copy of a certified appraisal
received under this section.
(f) The Texas Department of Transportation shall maintain
information on the standard presumptive values of motor vehicles as
part of the department's registration and title system. The
department shall update the information at least quarterly each
calendar year.
SECTION 2D.04. (a) Not later than September 1, 2003, the
Texas Department of Transportation shall:
(1) establish standard presumptive values for motor
vehicles as provided by Section 152.0412, Tax Code, as added by this
Act;
(2) modify the department's registration and title
system as needed to include that information and administer that
section; and
(3) make that information available through the system
to all county tax assessor-collectors.
(b) The comptroller shall certify the date on which the
Texas Department of Transportation's registration and title
system, as modified under Subsection (a) of this section, is in use
by the 25 county tax assessor-collectors that remitted to the
comptroller the largest amount of taxes imposed under Chapter 152,
Tax Code, during the state fiscal year ending August 31, 2003.
(c) If the date certified by the comptroller under
Subsection (b) of this section is later than September 23, 2003, the
Texas Department of Transportation shall transfer $23 million from
the state highway fund to the general revenue fund on the first day
of each month after that date until the earlier of:
(1) the date the comptroller issues the certification
under Subsection (b) of this section; or
(2) the date the total amount transferred under this
subsection equals the lesser of:
(A) $200 million; or
(B) the total amount in the state highway fund
that is not allocated as the result of a requirement in the Texas
Constitution.
ARTICLE 2E. OVERSIGHT OF REGIONAL PLANNING COMMISSIONS
SECTION 2E.01. The heading to Section 391.009, Local
Government Code, is amended to read as follows:
Sec. 391.009. ROLE OF STATE AUDITOR, GOVERNOR, AND STATE
AGENCIES.
SECTION 2E.02. Section 391.009, Local Government Code, is
amended by amending Subsection (a) and adding Subsection (a-1) to
read as follows:
(a) To protect the public interest or promote the efficient
use of public funds, the state auditor [governor] shall recommend
to the governor drafts of [adopt]:
(1) rules relating to the operation and oversight of a
commission;
(2) rules relating to the receipt or expenditure of
funds by a commission, including:
(A) restrictions on the expenditure of any
portion of commission funds for certain classes of expenses; and
(B) restrictions on the maximum amount of or
percentage of commission funds that may be expended on a class of
expenses, including indirect costs or travel expenses;
(3) annual reporting requirements for a commission;
(4) annual audit requirements on funds received or
expended by a commission from any source;
(5) rules relating to the establishment and use of
standards by which the productivity and performance of each
commission can be evaluated; and
(6) guidelines that commissions and governmental
units shall follow in carrying out the provisions of this chapter
relating to review and comment procedures.
(a-1) The governor shall review the draft rules submitted by
the state auditor under Subsection (a) and shall:
(1) adopt the rules as drafted;
(2) modify the rules and adopt the modified rules; or
(3) reject the rules and return the rules to the state
auditor with instructions for redrafting and resubmitting the
rules.
SECTION 2E.03. Section 391.0095, Local Government Code, is
amended to read as follows:
Sec. 391.0095. AUDIT AND REPORTING REQUIREMENTS. (a) The
audit and reporting requirements under Section 391.009(a) shall
include a requirement that a commission annually report to the
state auditor [governor]:
(1) the amount and source of funds received by the
commission;
(2) the amount and source of funds expended by the
commission;
(3) an explanation of any method used by the
commission to compute an expense of the commission, including
computation of any indirect cost of the commission;
(4) a report of the commission's productivity and
performance during the annual reporting period;
(5) a projection of the commission's productivity and
performance during the next annual reporting period;
(6) the results of an audit of the commission's affairs
prepared by an independent certified public accountant; and
(7) a report of any assets disposed of by the
commission.
(b) A [The annual audit of a] commission or the governor's
office may direct that an annual audit of the commission be
performed. The annual audit [be commissioned by the governor's
office or by the commission, as determined by the governor's
office, and] shall be paid for from the commission's funds.
(c) A commission shall submit any other report or an audit
to the state auditor and [required by] the governor.
(d) If a commission fails to submit a report or audit
required under this section or is determined by the state auditor
[governor] to have failed to comply with a rule, requirement, or
guideline adopted under Section 391.009, the state auditor shall
report the failure to the governor. The governor may, until the
failure is corrected:
(1) appoint a receiver to operate or oversee the
commission; or
(2) withhold any appropriated funds of the commission.
(e) A commission shall send to the state auditor, the
governor, the comptroller, and the Legislative Budget Board a copy
of each report and audit required under this section or under
Section 391.009. The state auditor shall review each audit and
report and must be given access to working papers and other
supporting documentation that the state auditor determines is
necessary to perform the review. If the state auditor finds
significant issues involving the administration or operation of a
commission or its programs, the state auditor shall report its
findings and related recommendations to the legislative audit
committee, the governor, and the commission. The [governor and
the] legislative audit committee, based on the recommendation of
the state auditor, may direct the commission to prepare a
corrective action plan or other response to the state auditor's
findings or recommendations. The legislative audit committee may
direct the state auditor to perform any additional audit or
investigative work that the committee determines is necessary.
SECTION 2E.04. Section 391.0117(e), Local Government Code,
is amended to read as follows:
(e) A commission shall submit to the state auditor
[governor] the commission's salary schedule, including the
salaries of all exempt positions, not later than the 45th day before
the date of the beginning of the commission's fiscal year. If the
state auditor has recommendations to improve [governor objects to]
a commission's salary schedule or a portion of the schedule, the
state auditor shall report the recommendations to the governor's
office. The governor's office may not allow the portion of the
schedule for which [that] the state auditor has recommendations to
[governor objects to may not] go into effect until revisions or
explanations are given that are satisfactory to the governor based
on recommendations from the state auditor [and the governor
approves that portion of the schedule].
SECTION 2E.05. On the effective date of this Act, a rule,
requirement, or guideline adopted by the governor relating to the
oversight of regional planning commissions remains in effect until
amended or repealed by the governor.
ARTICLE 2F. ECONOMIC DEVELOPMENT POWERS OF GOVERNOR
SECTION 2F.01. Subchapter F, Chapter 401, Government Code,
is amended by adding Section 401.106 to read as follows:
Sec. 401.106. ECONOMIC DEVELOPMENT POWERS. (a) The
governor may negotiate on behalf of the state in economic
development pursuits, including the pursuit of the expansion or
relocation of a business project with the potential to have a
substantial impact on the economy of this state.
(b) To promote the economic development of this state, the
governor may direct a state agency to use funds appropriated to the
agency or to a fund or account of the agency in a manner specified by
the governor that is for a purpose for which the funds are
appropriated. The agency shall comply with the governor's
direction. The governor may represent to a person for purposes of
negotiating under this section that the governor has the authority
to obligate state funds as provided by this subsection.
(c) Funds that the governor may redirect under Subsection
(b) include:
(1) amounts reserved by the governor for statewide
employment and training activities under 29 U.S.C. Section 2864, as
amended;
(2) amounts allocated by the Texas Transportation
Commission for strategic priorities;
(3) the skills development fund;
(4) the self-sufficiency fund;
(5) discretionary funds of the commissioner of
education or the Texas Education Agency;
(6) the telecommunications infrastructure fund;
(7) funds appropriated for the advanced research
program under Chapter 142, Education Code, or the advanced
technology program under Chapter 143, Education Code; and
(8) unclaimed lottery prize money.
(d) Subsections (b) and (c) do not apply in relation to a
state agency that is headed by a statewide-elected official.
ARTICLE 2G. TEXAS TRANSPORTATION INSTITUTE
SECTION 2G.01. Chapter 88, Education Code, is amended by
adding Subchapter D to read as follows:
SUBCHAPTER D. TEXAS TRANSPORTATION INSTITUTE
Sec. 88.301. DEFINITION. In this subchapter, "institute"
means the Texas Transportation Institute, a component of The Texas
A&M University System.
Sec. 88.302. FUNDING; LIMITATION ON GENERAL REVENUE. (a)
General revenue of the state may not be appropriated or used to fund
an activity or program of the institute if money from the state
highway fund could lawfully be appropriated and used to fund the
activity or program.
(b) In any request or proposal by the board to the
legislature, Legislative Budget Board, or Texas Higher Education
Coordinating Board for an appropriation for the institute, the
board shall include a description of each major activity or program
of the center and a statement of the board's opinion whether the
activity or program could be lawfully funded in whole or part by
money from the state highway fund.
SECTION 2G.02. Section 88.302, Education Code, as added by
this article, does not affect the validity of an appropriation made
to the Texas Transportation Institute before the effective date of
this article or the use of the appropriated money by the
institution.
ARTICLE 2H. UNCLAIMED PROPERTY
SECTION 2H.01. Section 72.101(a), Property Code, is amended
to read as follows:
(a) Except as provided by this section and Sections
[Section] 72.1015 and 72.102, personal property is presumed
abandoned if, for longer than three years:
(1) the existence and location of the owner of the
property is unknown to the holder of the property; and
(2) according to the knowledge and records of the
holder of the property, a claim to the property has not been
asserted or an act of ownership of the property has not been
exercised.
SECTION 2H.02. Subchapter B, Chapter 72, Property Code, is
amended by adding Section 72.1015 to read as follows:
Sec. 72.1015. UNCLAIMED WAGES. (a) In this section,
"wages" has the meaning assigned by Section 61.001, Labor Code.
(b) An amount of unclaimed wages is presumed abandoned if,
for longer than one year:
(1) the existence and location of the person to whom
the wages are owed is unknown to the holder of the wages; and
(2) according to the knowledge and records of the
holder of the wages, a claim to the wages has not been asserted or an
act of ownership of the wages has not been exercised.
ARTICLE 2I. IMPOSITION OF CERTAIN FEES
SECTION 2I.01. Subchapter B, Chapter 1052, Occupations
Code, is amended by adding Section 1052.0541 to read as follows:
Sec. 1052.0541. FEE INCREASE. (a) The fee for the issuance
of a certificate of registration under this chapter and the fee for
the renewal of a certificate of registration under this chapter is
increased by $200.
(b) Of each fee increase collected, $50 shall be deposited
in the foundation school fund and $150 shall be deposited in the
general revenue fund.
SECTION 2I.02. Subchapter B, Chapter 1053, Occupations
Code, is amended by adding Section 1053.0521 to read as follows:
Sec. 1053.0521. FEE INCREASE. (a) The fee for the issuance
of a certificate of registration under this chapter and the fee for
the renewal of a certificate of registration under this chapter is
increased by $200.
(b) Of each fee increase collected, $50 shall be deposited
in the foundation school fund and $150 shall be deposited in the
general revenue fund.
SECTION 2I.03. Subchapter D, Chapter 1071, Occupations
Code, is amended by adding Section 1071.1521 to read as follows:
Sec. 1071.1521. FEE INCREASE. (a) The fee for the issuance
of a certificate of registration to a registered professional land
surveyor under this chapter and the fee for the renewal of a
certificate of registration for a registered professional land
surveyor under this chapter is increased by $200.
(b) Of each fee increase collected, $50 shall be deposited
in the foundation school fund and $150 shall be deposited in the
general revenue fund.
SECTION 2I.04. Subchapter B, Chapter 1152, Occupations
Code, is amended by adding Section 1152.053 to read as follows:
Sec. 1152.053. FEE INCREASE. (a) The fee for the
registration of a person under this chapter and the fee for the
renewal of a registration under this chapter is increased by $200.
(b) Of each fee increase collected, $50 shall be deposited
in the foundation school fund and $150 shall be deposited in the
general revenue fund.
SECTION 2I.05. The change in law made by this article
applies only to the issuance or renewal of a certificate of
registration under Chapter 1052, 1053, or 1071, Occupations Code,
or the issuance or renewal of a registration under Chapter 1151,
Occupations Code, on or after the effective date of this article. A
certificate of registration or registration issued or renewed
before the effective date of this article is governed by the law in
effect on the date of the issuance or renewal, and the former law is
continued in effect for that purpose.
ARTICLE 2J. OPERATIONS OR FINANCIAL ACCOUNTABILITY OF STATE
AGENCIES
SECTION 2J.01. Chapter 322, Government Code, is amended by
adding Section 322.015 to read as follows:
Sec. 322.015. DEVELOPMENT OF SYSTEM OF PERFORMANCE
MEASURES. (a) The Legislative Budget Board and the governor shall
develop a system of performance measures to be used by state
agencies for purposes of the appropriations process.
(b) The Legislative Budget Board shall keep the House
Appropriations Committee and the Senate Finance Committee informed
of the board's activities related to the development of the system
of performance measures.
(c) On request, a state agency shall provide information or
assistance to the Legislative Budget Board and the governor to
assist with the development of the system of performance measures.
SECTION 2J.02. Section 2056.002, Government Code, is
amended by adding Subsection (f) to read as follows:
(f) The Legislative Budget Board and the governor shall
develop recommendations for improvement of the strategic planning
process under this section. On request, a state agency shall assist
the Legislative Budget Board and the governor in developing
recommendations for improvement in accordance with this
subsection.
SECTION 2J.03. Subtitle C, Title 10, Government Code, is
amended by adding Chapter 2115 to read as follows:
CHAPTER 2115. RISK ASSESSMENT AND FINANCIAL CONTROL SYSTEMS
Sec. 2115.001. DEFINITION. In this chapter, "state agency"
means a department, commission, board, office, or other agency in
the executive, legislative, or judicial branch of state government
created by the constitution or a statute of this state, including an
institution of higher education as defined by Section 61.003,
Education Code, except a public junior college, and a
health-related institution that is associated with an institution
of higher education.
Sec. 2115.002. REPORT ON RISK ASSESSMENT AND FINANCIAL
CONTROL SYSTEMS. (a) Not later than September 30 of each year, the
executive director of a state agency and, for a state agency
governed by a board or similar body, the presiding officer of the
agency's governing body shall submit to the office of the governor,
the Legislative Budget Board, and the state auditor, a letter that
provides assurance about the state agency's risk assessment and
financial control systems.
(b) If the executive director and the presiding officer of
the agency's governing body agree on the content of the letter
required by this section, they shall jointly submit one letter for
the state agency. If the executive director and the presiding
officer do not agree on the content of the letter, they shall each
submit a separate letter in accordance with this section.
(c) A person submitting or jointly submitting a letter in
accordance with this section must sign the letter and, as
appropriate, attest in the letter that:
(1) the person has identified and reviewed risks that
may affect the state agency's operation and the achievement of its
mission;
(2) the person has taken appropriate action to manage
and reduce the actual and potential effects of the risks identified
under Subdivision (1) on the state agency;
(3) the person has reviewed the state agency's
financial control systems; and
(4) to the best of the person's knowledge after
reasonable efforts to obtain accurate information:
(A) the financial control systems identified
under Subdivision (3) protect the state's resources from
inappropriate use and fraud to the greatest extent possible; and
(B) as of the date the letter is submitted, the
financial statements and other financial information reported by
the state agency fairly represent the financial condition and
results of the agency's operations.
(d) If a person is unable to attest to any of the statements
under Subsection (c), the person must identify in the letter the
statement and the reason or reasons why the person is unable to
attest to it.
(e) A letter submitted under this section must identify any
ongoing or future planned actions to correct problems in or
strengthen the state agency's risk assessment or financial control
systems and the date the actions were, or are expected to be,
implemented.
(f) If a state agency fails to timely submit a letter in
accordance with this section, the state auditor shall report to any
relevant legislative committees the fact of the state agency's
failure to do so.
PART 3. MANAGEMENT OF STATE PROPERTY AND FACILITIES
ARTICLE 3A. FUEL SAVINGS FOR STATE AGENCIES
SECTION 3A.01. Chapter 447, Government Code, as amended by
Chapters 573, 1158, and 1398, Acts of the 77th Legislature, Regular
Session, 2001, is amended by adding Sections 447.012 and 447.013 to
read as follows:
Sec. 447.012. FUEL SAVINGS FOR STATE AGENCIES. (a) In this
section and in Section 447.013:
(1) "Cost-effective" means resulting in fuel
consumption reduction with a projected savings in fuel cost over a
one-year period that exceeds the cost of purchasing and using a
technology.
(2) "Fuel-saving technology" means a:
(A) device containing no lead metal that is
installed on a motor vehicle or non-road diesel and that has been
proven to reduce fuel consumption per mile or per hour of operation
by at least five percent;
(B) fuel additive registered in accordance with
40 C.F.R. Part 79 that contains no known mutagenic materials and
that has been proven to reduce fuel consumption per mile or per hour
of operation by at least five percent; or
(C) fuel registered in accordance with 40 C.F.R.
Part 79 that contains no known mutagenic materials and that has been
proven to reduce fuel consumption per mile or per hour of operation
by at least five percent.
(3) "Motor vehicle" and "non-road diesel" have the
meanings assigned by Section 386.101, Health and Safety Code.
(4) "Proven fuel-saving technologies" means
technologies shown to reduce fuel use by at least five percent in:
(A) an Environmental Protection Agency fuel
economy federal test protocol test performed at a laboratory
recognized by the Environmental Protection Agency;
(B) a fuel economy test performed in accordance
with protocols and at testing laboratories or facilities recognized
by the state energy conservation office, the Texas Commission on
Environmental Quality, or the Environmental Protection Agency; or
(C) a field demonstration performed in
accordance with Section 447.013.
(b) A state agency with 10 or more motor vehicles or
non-road diesels shall reduce the total fuel consumption of the
vehicles or diesels by at least five percent from fiscal year 2002
consumption levels through the use of cost-effective fuel-saving
technologies.
(c) A state agency may delay reducing fuel use as described
in this section until a list of proven fuel-saving technologies is
provided by the state energy conservation office as provided by
Section 447.013.
(d) A state agency may not purchase or use as a fuel-saving
technology a technology that:
(1) is known to increase oxides of nitrogen emissions
or toxic air contaminants; or
(2) may be reasonably concluded to degrade air quality
or human health or to negatively impact the environment.
(e) A state agency may purchase cost-effective fuel-saving
technologies out of the agency's fuel budget.
(f) A state agency shall competitively evaluate similar
fuel-saving technologies.
(g) A state agency may require a seller of a fuel-saving
technology to refund the cost of the technology if it is determined
to be ineffective at reducing fuel use by at least five percent
before the 91st day after the date the technology is first used by
the agency.
(h) A state agency may use fuel-saving technologies that the
agency determines are cost-effective and may use a fuel-saving
technology in applications that provide other benefits, including
emissions reductions.
(i) A state agency may establish a program for agency
employees to voluntarily:
(1) purchase fuel-saving technologies; and
(2) document reductions in fuel savings and air
emissions.
(j) A state agency shall annually report to the state energy
conservation office on a form provided by the office on the state
agency's efforts and progress under this section.
Sec. 447.013. FIELD DEMONSTRATIONS. (a) Under the
direction of the state energy conservation office, the Texas
Department of Transportation shall demonstrate the effectiveness
of at least four fuel-saving technologies on a combined maximum of
100 motor vehicles or non-road diesels in accordance with this
section to determine the fuel-saving technologies that may
cost-effectively reduce fuel consumption and save state revenue.
(b) Varying ages and types of motor vehicles and non-road
diesels shall be selected to demonstrate the fuel-saving
technologies. Preference shall be given to high-use motor vehicles
and non-road diesels in the selection.
(c) The Texas Department of Transportation shall
demonstrate the performance of fuel-saving technologies by:
(1) assessing a technology's performance in the normal
course of operations of motor vehicles or non-road diesels; and
(2) performing controlled field tests.
(d) In selecting the technologies to be evaluated, the state
energy conservation office shall:
(1) consult with governmental and business
organizations that are currently using fuel-saving technology;
(2) consider technologies that are proven fuel-saving
technologies that have demonstrated fuel economy benefits of five
percent or more in field tests or recorded use data of government
organizations or businesses that operate fleets; and
(3) determine whether each technology selected has the
potential to be cost-effective.
(e) A fuel-saving technology may be disqualified from being
demonstrated or used if it is known to reduce engine performance,
reduce the life of the engine, require additional maintenance
expenses, or degrade air quality.
(f) The Texas Council on Environmental Technology, The
University of Texas Center for Transportation Research, the
University of Houston Diesel Emissions Center, or another agency
may be designated to assist with executing the demonstration,
compiling the results, estimating the potential average fuel
savings of the technologies in different applications, or preparing
a final report.
(g) On completing the demonstration described by this
section the state energy conservation office shall rank the
fuel-saving technologies based on their fuel savings, other cost
savings, and overall cost-effectiveness. The office shall:
(1) list recommended applications of the
technologies;
(2) document other negative or positive effects; and
(3) prepare a concise report of these findings.
(h) The Texas Council on Environmental Technology shall
obtain information on any fuel-saving technology that appears to
reduce particulate matter, oxides of nitrogen, carbon monoxide, or
hydrocarbon emissions. The Texas Council on Environmental
Technology may use this information to fund the Environmental
Protection Agency verification of a technology in accordance with
Section 387.003, Health and Safety Code.
(i) The state energy conservation office shall provide the
report prepared under Subsection (g) to each state agency with 10 or
more motor vehicles or non-road diesels and to the Legislative
Budget Board.
(j) The demonstration and associated reports described by
this section shall be completed not later than September 1, 2004.
(k) All results of a demonstration project under this
section shall be made public on the state energy conservation
office's Internet website.
(l) The state energy conservation office shall provide
quarterly an updated list of all proven fuel-saving technologies on
its Internet website.
(m) Money from the state highway fund may not be used for the
purchase, installation, maintenance, or operation of the
fuel-saving technologies being assessed or subjected to controlled
field tests under this section. Repairs to state equipment
resulting from demonstrations of fuel-saving technologies must be
paid from the same funds used to implement this section.
ARTICLE 3B. FACILITIES MANAGEMENT SERVICES
SECTION 3B.01. Subchapter A, Chapter 2165, Government Code,
is amended by adding Section 2165.007 to read as follows:
Sec. 2165.007. FACILITIES MANAGEMENT SERVICES. (a) In this
section, "facilities management services" means any state agency
facilities management service that is not unique to carrying out a
program of the agency. The term includes services related to
facilities construction, facilities management, general building
and grounds maintenance, cabling, and facility reconfiguration.
(b) Notwithstanding any other law, the commission shall
provide facilities management services in relation to all state
agency facilities in Travis County or a county adjacent to Travis
County. The commission's duty does not apply to:
(1) a facility owned or operated by an institution of
higher education;
(2) military facilities;
(3) prison facilities;
(4) the Capitol, including the Capitol Extension, the
General Land Office building, and any museum located on the Capitol
grounds; or
(5) a facility determined by the commission to be
completely residential.
SECTION 3B.02. Subchapter B, Chapter 2165, Government Code,
is amended by adding Section 2165.057 to read as follows:
Sec. 2165.057. MANAGEMENT OF FACILITIES. (a) The
commission shall develop and implement policies that clearly define
the responsibilities of the commission and the commission's staff
that relate to conducting facilities management services for state
agency facilities under Section 2165.007.
(b) The state energy conservation office shall provide
utility management services for state agency facilities for which
the commission provides facilities management services under
Section 2165.007.
SECTION 3B.03. On September 1, 2003:
(1) all powers and duties of a state agency that relate
to the facilities management services treated by Section
2165.007(b), Government Code, as added by this Act, are transferred
to the Texas Building and Procurement Commission or the state
energy conservation office, as appropriate;
(2) all obligations and contracts of a state agency
that relate to the transferred services are transferred to the
Texas Building and Procurement Commission or the state energy
conservation office, as appropriate;
(3) all records and other property in the custody of a
state agency that relate to the transferred services and all funds
appropriated by the legislature to a state agency that relate to the
transferred services are transferred to the Texas Building and
Procurement Commission or the state energy conservation office, as
appropriate;
(4) all complaints and investigations that are pending
before a state agency that relate to the transferred services are
transferred without change in status to the Texas Building and
Procurement Commission or the state energy conservation office, as
appropriate; and
(5) a rule or form adopted by a state agency that
relates to the transferred services is considered to be a rule or
form of the Texas Building and Procurement Commission and remains
in effect until altered by the commission or the state energy
conservation office, as appropriate.
ARTICLE 3C. RECYCLING MARKET DEVELOPMENT
SECTION 3C.01. Section 2155.448(a), Government Code, is
amended to read as follows:
(a) Each state fiscal year, the commission[, in
coordination with the Recycling Market Development Board,] by rule
may identify recycled, remanufactured, or environmentally
sensitive commodities or services, as those terms are defined by
rule of the commission, and designate purchasing goals for the
procurement of those commodities and services by state agencies for
that fiscal year.
SECTION 3C.02. Section 361.423, Health and Safety Code, is
amended to read as follows:
Sec. 361.423. RECYCLING MARKET DEVELOPMENT [BOARD AND]
IMPLEMENTATION PROGRAM. (a) The governor's office, the commission,
the Texas Department of Economic Development, and the Texas
Building and Procurement Commission [The commissioner of the
General Land Office, the chairman of the commission, the executive
director of the General Services Commission, and the executive
director of the Texas Department of Commerce shall constitute the
Recycling Market Development Board. The commissioner of the
General Land Office serves as presiding officer of the Recycling
Market Development Board for the first year, and after that year the
members of the Recycling Market Development Board shall, in the
order listed in this subsection, rotate as the presiding officer
for terms of one year. The Recycling Market Development Board may
designate chief executives of additional agencies as members of the
board if it identifies the agencies as agencies needed to assist the
board in performing its duties as outlined in Subsection (b). The
Recycling Market Development Board] shall [provide support to and]
coordinate their [the] recycling activities [of member agencies]
and shall each pursue an economic development strategy that focuses
on the state's waste management priorities established by Section
361.022 and that includes development of recycling industries and
markets as an integrated component.
(b) The governor's office, the commission, the Texas
Department of Economic Development, and the Texas Building and
Procurement Commission [Recycling Market Development Board], on an
ongoing basis, shall jointly:
(1) identify existing economic and regulatory
incentives and disincentives for creating an optimal market
development strategy;
(2) analyze the market development implications of:
(A) the state's waste management policies and
regulations;
(B) existing and potential markets for plastic,
glass, paper, lead-acid batteries, tires, compost, scrap gypsum,
coal combustion by-products, and other recyclable materials; and
(C) the state's tax structure and overall
economic base;
(3) examine and make policy recommendations regarding
the need for changes in or the development of:
(A) economic policies that affect
transportation, such as those embodied in freight rate schedules;
(B) tax incentives and disincentives;
(C) the availability of financial capital
including grants, loans, and venture capital;
(D) enterprise zones;
(E) managerial and technical assistance;
(F) job-training programs;
(G) strategies for matching market supply and
market demand for recyclable materials, including intrastate and
interstate coordination;
(H) the state recycling goal;
(I) public-private partnerships;
(J) research and development;
(K) government procurement policies;
(L) educational programs for the public,
corporate and regulated communities, and government entities; and
(M) public health and safety regulatory
policies;
(4) establish a comprehensive statewide strategy to
expand markets for recycled products in Texas;
(5) provide information and technical assistance to
small and disadvantaged businesses, business development centers,
chambers of commerce, educational institutions, and nonprofit
associations on market opportunities in the area of recycling; and
(6) with the cooperation of the Office of
State-Federal Relations, assist communities and private entities
in identifying state and federal grants pertaining to recycling and
solid waste management.
(c) In carrying out this section, the governor's office, the
commission, the Texas Department of Economic Development, and the
Texas Building and Procurement Commission [responsible agencies]
may obtain research and development and technical assistance from
the Hazardous Waste Research Center at Lamar University at Beaumont
or other similar institutions.
(d) The General Land Office shall provide ongoing research
and assistance to the governor's office, the commission, the Texas
Department of Economic Development, and the Texas Building and
Procurement Commission [Recycling Market Development Board] in
carrying out their [its] responsibilities.
SECTION 3C.03. (a) The Recycling Market Development Board
is abolished, and the offices of the members of the board and the
positions of the employees of the board are abolished.
(b) The validity of an action taken by the Recycling Market
Development Board before it is abolished under Subsection (a) of
this section is not affected by the abolishment.
(c) On the effective date of this article, all functions and
activities performed by the Recycling Market Development Board
immediately before that date are transferred to the governor's
office, the Texas Commission on Environmental Quality, the Texas
Department of Economic Development, and the Texas Building and
Procurement Commission, as provided by this article.
ARTICLE 3D. LEASE OF SPACE IN STATE-OWNED PARKING LOTS AND GARAGES
SECTION 3D.01. Subchapter E, Chapter 2165, Government Code,
is amended by adding Section 2165.2035 to read as follows:
Sec. 2165.2035. LEASE OF SPACE IN STATE-OWNED PARKING LOTS
AND GARAGES. (a) In this section, "lease" includes a management
agreement.
(b) The commission shall develop private, commercial uses
for state-owned parking lots and garages located in the city of
Austin at locations the commission determines are appropriate for
commercial uses.
(c) The commission may contract with a private vendor to
manage the commercial use of state-owned parking lots and garages.
(d) Money received from a lease under this program shall be
deposited to the credit of the general revenue fund.
(e) On or before December 1 of each even-numbered year, the
commission shall submit a report to the legislature and the
Legislative Budget Board describing the effectiveness of the
program under this section.
(f) The limitation on the amount of space allocated to
private tenants prescribed by Section 2165.205(b) does not apply to
the lease of a state-owned parking lot or garage under this section.
(g) Any lease of a state-owned parking lot or garage under
this section must contain a provision that allows state employees
who work hours other than regular working hours under Section
658.005 to retain their parking privileges in a state-owned parking
lot or garage.
ARTICLE 3E. LEASE OF SPACE FOR STATE AGENCIES
SECTION 3E.01. Section 2167.001, Government Code, is
amended to read as follows:
Sec. 2167.001. APPLICABILITY. (a) This chapter applies
to:
(1) office space;
(2) warehouse space;
(3) laboratory space;
(4) storage space exceeding 1,000 gross square feet;
[and]
(5) boat storage space;
(6) aircraft hangar space;
(7) vehicle parking space; and
(8) a combination of those kinds of space.
(b) This chapter does not apply to:
(1) [aircraft hangar space;
[(2)] radio antenna space;
(2) [(3) boat storage space;
[(4) vehicle parking space;
[(5)] residential space for a Texas Department of
Mental Health and Mental Retardation program;
(3) [(6)] residential space for a Texas Youth
Commission program;
(4) [(7)] space to be used for less than one month for
meetings, conferences, conventions, seminars, displays,
examinations, auctions, or similar purposes;
(5) [(8)] district office space for members of the
legislature;
(6) [(9)] space used by the Texas Workforce
[Employment] Commission;
(7) [(10)] residential property acquired by the Texas
Department of Housing and Community Affairs or the Texas State
Affordable Housing Corporation that is offered for sale or rental
to individuals and families of low or very low income or families of
moderate income; or
(8) [(11)] except as provided by Section 2167.007,
classroom and instructional space for an institution of higher
education.
SECTION 3E.02. Section 2167.005, Government Code, is
amended by adding Subsection (d) to read as follows:
(d) The commission may revoke a delegation of authority made
under this section.
SECTION 3E.03. Section 2167.007(c), Government Code, is
amended to read as follows:
(c) The commission may [shall] establish a system of charges
and billings to assure the recovery of the cost of providing
services under Subsection (a) and may [shall] submit, after the
close of each month, a purchase voucher or journal voucher to an
agency for which services were provided.
SECTION 3E.04. Section 2167.054(d), Government Code, is
amended to read as follows:
(d) As provided in a request for proposals and under rules
adopted by the commission, the commission may discuss acceptable or
potentially acceptable proposals with offerors to assess an
offeror's ability to meet the solicitation requirements and to
obtain the most advantageous lease contract for the state. The
commission may [shall] invite a leasing state agency to participate
in discussions and negotiations conducted under this section.
After receiving a proposal but before making an award, the
commission may permit the offeror to revise the proposal to obtain
the best final proposal.
SECTION 3E.05. Sections 2167.055(d) and (f), Government
Code, are amended to read as follows:
(d) A lease contract that does not contain an option to
renew may, on agreement of the parties, be renewed under terms to
which all parties to the contract agree [once under the provisions
of the original contract for a term that does not exceed one year].
(f) The obligation of the lessor to provide lease space and
of the commission to accept the space is binding on the execution of
the lease [award of the] contract.
SECTION 3E.06. Section 2167.101, Government Code, is
amended to read as follows:
Sec. 2167.101. CERTIFICATION OF AVAILABLE MONEY. A state
agency occupying space leased under this chapter shall certify to
the commission, at least 60 days before the beginning of each fiscal
biennium during the lease term, that money is available to pay for
the lease until the end of the next fiscal biennium.
SECTION 3E.07. The following laws are repealed:
(1) Section 2167.003(c), Government Code;
(2) Section 2167.004(b), Government Code; and
(3) Section 2167.106, Government Code.
SECTION 3E.08. A lease contract entered into by the Texas
Building and Procurement Commission before September 1, 2003, under
Chapter 2167, Government Code, is governed during the remaining
term of the lease by Chapter 2167, Government Code, as it existed
immediately before September 1, 2003, and the prior law is
continued in effect for this purpose. Chapter 2167, Government
Code, as amended by this article, applies to the renewal of a lease
described by this section.
ARTICLE 3F. SALE OF BULL CREEK CAMPUS
SECTION 3F.01. (a) The Texas Transportation Commission
may sell the tract of land comprising the Texas Department of
Transportation's Bull Creek campus at Bull Creek Road and 45th
Street in Austin in accordance with the procedures for disposal of
surplus land acquired for highway purposes under Subchapter B,
Chapter 202, Transportation Code.
(b) The commission may retain ownership and control of:
(1) the portion of the Bull Creek campus used on the
effective date of this Act for the operations of the department's
motor carrier division; and
(2) the parking facilities on Bull Creek Road used to
serve the Bull Creek campus and the department's Camp Hubbard
campus.
(c) Revenue from the sale of this property shall be
deposited to the credit of the state highway fund.
(d) Before September 1, 2005, the commission may purchase or
acquire by exercise of the power of eminent domain any portion of
the property formerly owned by the State Aircraft Pooling Board
located at the site of the former Robert Mueller Municipal Airport
in Austin that the commission determines is needed:
(1) as a replacement for property sold under
Subsection (a) of this section;
(2) for the operation of an intelligent transportation
system; and
(3) to locate other department facilities or offices.
(e) The department may relocate its displaced operations
from the Bull Creek campus to the replacement property. If the
property formerly owned by the State Aircraft Pooling Board is not
sufficient for the department's needs to relocate displaced
operations and for other facilities or offices, the commission may
also purchase or acquire by exercise of the power of eminent domain
any property adjacent to that property that the commission
determines necessary.
(f) This section does not require the commission to relocate
all or a portion of the department's displaced operations from the
Bull Creek campus to property acquired under this section.
(g) Section 31.158, Natural Resources Code, does not apply
to a transaction authorized by this section.
ARTICLE 3G. ALLOCATION OF OFFICE SPACE TO STATE AGENCIES
SECTION 3G.01. Section 2165.104(c), Government Code, is
amended to read as follows:
(c) To the extent possible without sacrificing critical
public or client services, the commission may not allocate usable
office space, as defined by the commission, to a state agency under
Article I, II, V, VI, VII, or VIII of the General Appropriations Act
or to the Texas Higher Education Coordinating Board, the Texas
Education Agency, the State Board for Educator Certification, the
Telecommunications Infrastructure Fund Board, or the Office of
Court Administration of the Texas Judicial System in an amount that
exceeds an average of 135 [153] square feet per agency employee for
each agency site. To the extent that any of those agencies
allocates its own usable office space, as defined by the
commission, the agency shall allocate the space to achieve the
required ratio. This subsection does not apply to:
(1) an agency site at which there are so few employees
that it is not practical to apply this subsection to that site, as
determined by the commission [fewer than 16 employees are located];
and
(2) an agency site at which it is not practical to
apply this subsection because of the site's type of space or use of
space, as determined by the commission [warehouse space;
[(3) laboratory space;
[(4) storage space exceeding 1,000 gross square feet;
[(5) library space;
[(6) space for hearing rooms used to conduct hearings
required under the administrative procedure law, Chapter 2001; or
[(7) another type of space specified by commission
rule, if the commission determines that it is not practical to apply
this subsection to that space].
SECTION 3G.02. This article applies only to a lease for
usable office space entered into or renewed on or after September 1,
2003. A lease entered into or renewed before September 1, 2003,
shall be reviewed by the Texas Building and Procurement Commission
as the lease comes up for renewal to determine whether it would be
cost-effective to bring the lease into compliance with Section
2165.104(c), Government Code, as amended by this article.
ARTICLE 3H. WRITTEN COMMENTS BY THE GENERAL LAND OFFICE ON TEXAS
BUILDING AND PROCUREMENT COMMISSION LEASES
SECTION 3H.01. The following sections are repealed:
(1) Section 2165.154, Government Code; and
(2) Section 2165.204, Government Code.
ARTICLE 3I. DEFINITION OF RECYCLED PRODUCT
SECTION 3I.01. Section 2155.445, Government Code, is
amended by adding Subsection (d) to read as follows:
(d) In addition to the products covered by the definition
adopted by rule under this section, in this section "recycled
product" includes recycled steel products. The preference for
recycled steel products under this section applies also to products
purchased in connection with projects described by Section
2166.003.
PART 4. MANAGEMENT OF INFORMATION TECHNOLOGY
ARTICLE 4A. OPERATING PLANS OF STATE AGENCIES
SECTION 4A.01. Section 2054.102, Government Code, is
amended to read as follows:
Sec. 2054.102. EVALUATION AND APPROVAL OF OPERATING PLANS.
(a) The Legislative Budget Board may specify procedures for the
submission, review, approval, and disapproval of biennial
operating plans and amendments, including procedures for review or
reconsideration of the Legislative Budget Board's disapproval of a
biennial operating plan or biennial operating plan amendment. The
Legislative Budget Board shall review and approve or disapprove the
biennial operating plan or biennial operating plan amendment not
later than the 60th day after the date the plan or amendment to the
plan is submitted. The plan or amendment to the plan is considered
to be approved on the 61st day after the date the plan or amendment
is submitted if the Legislative Budget Board does not disapprove
the plan or amendment before that date.
(b) The governing board of the department shall adopt rules
as necessary to establish department standards.
(c) The department shall provide the Legislative Budget
Board with a list of agencies that have not complied with department
standards, provisions of the state strategic plan, or corrective
action plans. An agency identified on a list under this subsection
shall develop a corrective action plan approved by the department
that specifies the manner in which deficiencies will be corrected
before components of or amendments to the agency's biennial
operating plan may be approved by the Legislative Budget Board.
ARTICLE 4B. TEXASONLINE AUTHORITY
SECTION 4B.01. Section 2054.111(e), Government Code, is
amended to read as follows:
(e) A state agency or local government that uses the project
may charge a fee if:
(1) the fee is necessary to recover the actual costs
directly and reasonably incurred by the agency or local government
because of the project for:
(A) the use of electronic payment methods; or
(B) interfacing with other information
technology systems;
(2) the fee does not include an amount to recover state
agency or local government employee costs;
(3) the state agency or local government approves the
amount of the fee using the state agency's or local government's
standard approval process for fee increases;
(4) the chief financial officer for the state agency
or local government certifies that the amount of the fee is
necessary to recover the actual costs incurred because of the
project; and
(5) [(2)] the authority approves the amount of the
fee.
SECTION 4B.02. Subchapter F, Chapter 2054, Government Code,
is amended by adding Section 2054.1115 to read as follows:
Sec. 2054.1115. ELECTRONIC PAYMENTS ON TEXASONLINE. (a) A
state agency or local government that uses TexasOnline may use
electronic payment methods, including the acceptance of credit and
debit cards, for points of sale, telephone, or mail transactions.
(b) The state agency or local government may charge a
reasonable fee, as provided by Section 2054.111, to recover costs
incurred through electronic payment methods used under this
section.
SECTION 4B.03. Section 2054.113, Government Code, is
amended by adding Subsections (c) and (d) to read as follows:
(c) A state agency may not contract with a third party to
develop an Internet application that duplicates a TexasOnline
function unless the agency has notified and provided the authority
the opportunity to bid on the contract at the same time as third
parties are provided the opportunity to bid.
(d) The program management office may exempt a state agency
from this section if the office determines that the agency has fully
complied with Section 2054.111.
SECTION 4B.04. Section 2054.125, Government Code, is
amended by adding Subsection (d) to read as follows:
(d) Each state agency that maintains a generally accessible
Internet site shall include a link to TexasOnline on the front page
of the Internet site.
SECTION 4B.05. Section 2054.251(5), Government Code, as
added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001, is amended to read as follows:
(5) "Occupational license" means a license,
certificate, registration, permit, or other form of authorization,
including a renewal of the authorization, that:
(A) a person must obtain to practice or engage in
a particular business, occupation, or profession; or
(B) a facility must obtain before a particular
business, occupation, or profession is practiced or engaged in
within the facility.
SECTION 4B.06. Section 2054.251, Government Code, as added
by Chapter 353, Acts of the 77th Legislature, Regular Session,
2001, is amended to read as follows:
Sec. 2054.251. DEFINITIONS. In this subchapter,
"authority," "licensing entity," and "occupational [:
[(1) "Licensing authority" means a department,
commission, board, office, or other agency of the state or a
political subdivision of the state that issues an occupational
license.
[(2) "Occupational] license" have the meanings
assigned those terms by Section 2054.251, as added by Chapter 342,
Acts of the 77th Legislature, Regular Session, 2001 [means a
license, certificate, registration, or other form of authorization
that a person must obtain to practice or engage in a particular
business, occupation, or profession].
SECTION 4B.07. Section 2054.252(d), Government Code, as
added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001, is amended to read as follows:
(d) The department [authority] may contract with a private
vendor to implement this section.
SECTION 4B.08. Section 2054.252, Government Code, as added
by Chapter 353, Acts of the 77th Legislature, Regular Session,
2001, is amended to read as follows:
Sec. 2054.252. APPLICABILITY. (a) The following licensing
entities [authorities] shall participate in the system established
under Section 2054.253, as added by Chapter 353, Acts of the 77th
Legislature, Regular Session, 2001:
(1) State Board of Barber Examiners;
(2) Texas Board of Chiropractic Examiners;
(3) Texas Cosmetology Commission;
(4) Court Reporters Certification Board;
(5) State Board of Dental Examiners;
(6) Texas Funeral Service Commission;
(7) Texas Board of Professional Land Surveying;
(8) Texas State Board of Medical Examiners;
(9) Board of Nurse Examiners;
(10) Board of Vocational Nurse Examiners;
(11) Texas Optometry Board;
(12) Texas Structural Pest Control Board;
(13) Texas State Board of Pharmacy;
(14) Executive Council of Physical Therapy and
Occupational Therapy Examiners;
(15) Texas State Board of Plumbing Examiners;
(16) Texas State Board of Podiatric Medical Examiners;
(17) Board of Tax Professional Examiners;
(18) Polygraph Examiners Board;
(19) Texas State Board of Examiners of Psychologists;
(20) State Board of Veterinary Medical Examiners;
(21) Texas Real Estate Commission;
(22) Texas Appraiser Licensing and Certification
Board; [and]
(23) Texas Department of Licensing and Regulation;
(24) Texas State Board of Public Accountancy;
(25) State Board for Educator Certification;
(26) Texas Board of Professional Engineers;
(27) Texas Department of Health;
(28) Texas Board of Architectural Examiners;
(29) Texas Racing Commission;
(30) Commission on Law Enforcement Officer Standards
and Education; and
(31) Texas Commission on Private Security.
(b) The authority [comptroller] may add additional agencies
as system capabilities are developed.
(c) A licensing entity [authority] other than an entity
[authority] listed by Subsection (a) may participate in the system
established under Section 2054.253, as added by Chapter 353, Acts
of the 77th Legislature, Regular Session, 2001, subject to the
approval of the authority [department].
SECTION 4B.09. Section 2054.253(a), Government Code, as
added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001, is amended to read as follows:
(a) The authority consists of the comptroller, who serves ex
officio, or the designee of the comptroller, a member of the board
of the department who serves ex officio at the pleasure of the
governor, and 15 members appointed[,] as follows:
(1) [a representative of each of the following state
officers or agencies appointed by the state officer or the
governing body of the agency:
[(A) the comptroller; and
[(B) the department;
[(2)] three representatives of local governments
appointed by the governor, including one representative from a
junior college district;
(2) [(3)] three representatives of businesses that
are regulated by a state agency or local government, appointed by
the governor, including one representative from a rural area;
(3) [(4)] four representatives of state agencies,
including an institution of higher education other than a junior
college district, appointed by the governor, including one
representative from a rural area; and
(4) five [(5) three] public members appointed by the
governor, including one representative from a rural area.
SECTION 4B.10. Section 2054.253, Government Code, as added
by Chapter 353, Acts of the 77th Legislature, Regular Session,
2001, is amended to read as follows:
Sec. 2054.253. ELECTRONIC SYSTEM FOR OCCUPATIONAL
LICENSING TRANSACTIONS. (a) The authority [department] shall
administer a common electronic system using the Internet through
which a licensing entity [authority] can electronically:
(1) send occupational licenses and other documents to
persons regulated by the authority and to the public;
(2) receive applications for occupational licenses
and other documents for filing from persons regulated by the
authority and from the public, including documents that can be
electronically signed if necessary; and
(3) receive required payments from persons regulated
by the authority and from the public.
(b) The authority [department] may implement this section
in phases. Each licensing entity [authority] that participates in
the system established under this section shall comply with the
schedule established by the authority [department].
(c) The authority [department] may use any Internet portal
established under a demonstration project administered by the
authority [department].
(d) [The department may contract with a private vendor to
implement this section. A contract under this subsection is
payable only from fees collected under Subsection (e).
[(e)] The authority [department] shall charge fees to
licensing entities in amounts sufficient to cover the cost of
implementing this section. The authority shall [department may]
charge[:
[(1) a transaction fee for each transaction performed
on the system; and
[(2)] a subscription fee to be paid by each licensing
entity [authority that participates in the system].
(e) Each licensing entity shall increase the occupational
license issuance or renewal fees imposed by the licensing entity by
an amount sufficient to cover the cost of the subscription fee
imposed on the licensing entity under Subsection (d) but not to
exceed:
(1) $5 per year for an occupational license;
(2) $10 for a biennial occupational license; or
(3) the amount necessary to recover the cost of the
subscription fee imposed on the licensing entity under Subsection
(d) for an occupational license that is a permit or that is issued
for a facility.
(f) The authority may charge a reasonable convenience fee to
a license holder who who uses the system for on-line issuance or
renewal of a license if the authority determines that the
transaction costs exceed the maximum increase in occupational
license issuance or renewal fees allowed under Subsection (e).
(g) The authority may exempt a licensing entity from the
requirements of this section if the authority determines that:
(1) the licensing entity has established an Internet
portal that is performing the functions described by Subsection
(a); or
(2) on-line license renewal for the licensing entity
would not be cost-effective or in the best interest of the project.
SECTION 4B.11. Sections 2054.254(a), (b), and (c),
Government Code, as added by Chapter 353, Acts of the 77th
Legislature, Regular Session, 2001, are amended to read as follows:
(a) The steering committee for electronic occupational
licensing transactions consists of a representative of each of the
following, appointed by its governing body:
(1) each licensing entity [authority] listed by
Section 2054.252(a), as added by Chapter 353, Acts of the 77th
Legislature, Regular Session, 2001; and
(2) the department.
(b) The governing body of a licensing entity [authority]
described by Section 2054.252(c), as added by Chapter 353, Acts of
the 77th Legislature, Regular Session, 2001, may appoint a
representative to the committee.
(c) A member of the committee serves at the will of the
entity [authority] that appointed the member.
SECTION 4B.12. Section 2054.255, Government Code, is
amended to read as follows:
Sec. 2054.255. PRESIDING OFFICER. The governor shall
designate one member of the authority as [representing the
department is] the presiding officer of the authority to serve in
that capacity at the pleasure of the governor.
SECTION 4B.13. Section 2054.259, Government Code, is
amended to read as follows:
Sec. 2054.259. GENERAL POWERS AND DUTIES OF TEXASONLINE
AUTHORITY. The authority shall:
(1) develop policies related to operation of the
project;
(2) approve or disapprove [consider] services to be
provided by the project;
(3) operate and promote the project;
(4) oversee [manage] contract performance for the
project;
(5) comply with department financial requirements;
(6) oversee money generated for the operation and
expansion of the project;
(7) develop project pricing policies, including
policies regarding any fees that a state agency or local government
may charge for a transaction that uses the project;
(8) evaluate participation in the project to determine
if performance efficiencies or other benefits and opportunities are
gained through project implementation;
(9) advise the department about the project; and
(10) coordinate with the department to receive
periodic security audits of the operational facilities of the
project.
SECTION 4B.14. Subchapter I, Chapter 2054, Government Code,
as added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001, is amended by adding Sections 2054.268, 2054.269,
2054.270, and 2054.271 to read as follows:
Sec. 2054.268. CONTRACTS; CONFLICT OF INTEREST. A contract
entered into between the authority and another state agency or a
local government is not void for the sole reason that a member of
the authority also serves on the governing body of the state agency
or local government with whom the contract was entered.
Sec. 2054.269. INTELLECTUAL PROPERTY RIGHTS. The
department may exercise all intellectual property rights regarding
the project, including prevention of other persons from using names
or designs similar to those used by the project to market products.
Sec. 2054.270. MOTOR VEHICLE REGISTRATIONS. For purposes
of this chapter, the renewal of a motor vehicle registration is a
state service.
Sec. 2054.271. AUTHENTICATION OF INDIVIDUAL IDENTITIES AND
SIGNATURES; RULES. (a) The authority or another state agency or
local government that uses TexasOnline may use the Department of
Public Safety's or another state agency's database, as appropriate,
to authenticate an individual's identity on TexasOnline.
(b) The authentication allowed by this section may be used
by the state agency or local government as an alternative to
requiring a notarized document, a document signed by a third party,
or an original signature on a document.
(c) The authority shall propose rules, which the board may
adopt, regarding the use of a standardized database for
authentication under this section.
SECTION 4B.15. Sections 2054.252(e), (f), and (g),
Government Code, as added by Chapter 342, Acts of the 77th
Legislature, Regular Session, 2001, and Section 2054.2645,
Government Code, are repealed.
SECTION 4B.16. (a) Not later than November 1, 2003, the
governor shall appoint the additional public members to serve on
the TexasOnline Authority, as required by Section 2054.253(a),
Government Code, as added by Chapter 342, Acts of the 77th
Legislature, Regular Session, 2001, and as amended by this Act.
One public member's term shall expire on February 1, 2005, and the
other public member's term shall expire on February 1, 2007.
(b) Not later than November 1, 2003, the governor shall
appoint a member of the governing board of the Department of
Information Resources to serve on the TexasOnline Authority, as
required by Section 2054.253(a), Government Code, as added by
Chapter 342, Acts of the 77th Legislature, Regular Session, 2001,
and as amended by this Act.
SECTION 4B.17. The Department of Information Resources
shall, in cooperation with the secretary of state, study the
feasibility of providing notary public services on the Internet.
If the department and the secretary of state determine the
feasibility to be sound, the department shall make recommendations
not later than January 1, 2005, to the 79th Legislature regarding
legislation to implement notary public services on the Internet.
SECTION 4B.18. This article takes effect immediately if
this Act receives a vote of two-thirds of all the members elected to
each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this article takes effect September 1, 2003.
ARTICLE 4C. ON-LINE STATE BENEFITS SYSTEM
SECTION 4C.01. Subchapter F, Chapter 2054, Government Code,
is amended by adding Section 2054.131 to read as follows:
Sec. 2054.131. ELECTRONIC BENEFITS ENROLLMENT AND
ADMINISTRATION SYSTEM. (a) In this section, "work site benefits
plan" means a plan or other arrangement to provide to officers,
employees, or former officers or employees:
(1) insurance, including health, life, and disability
insurance and health benefits plans;
(2) flexible spending accounts; or
(3) savings or retirement benefits.
(b) If the comptroller determines that a cost savings may be
realized, the comptroller, through a private vendor selected under
this section, may implement a project that establishes a common
electronic infrastructure through which each state agency,
including any retirement system created by statute or by the
constitution, shall:
(1) require its work site benefits plan participants
to electronically:
(A) enroll in any work site benefits plans
provided to the person by the state or a state agency;
(B) add, change, or delete benefits;
(C) sign any payroll deduction agreements to
implement a contribution made to a plan in which the participant
enrolls;
(D) terminate participation in a voluntary plan;
(E) initiate account investment changes and
withdrawals in a retirement plan;
(F) obtain information regarding plan benefits;
and
(G) communicate with the plan administrator; and
(2) administer its work site benefits plans
electronically by using the project to:
(A) enroll new plan participants and, when
appropriate, terminate plan participation;
(B) generate eligibility and enrollment reports
for plan participants;
(C) link plan administration with payroll
administration to facilitate payroll deductions for a plan;
(D) facilitate single-source billing
arrangements between the agency and a plan provider; and
(E) transmit and receive information regarding
the plan.
(c) The electronic infrastructure established under
Subsection (a) may include TexasOnline, the Internet, intranets,
extranets, and wide area networks.
(d) If the comptroller implements an electronic
infrastructure project under this section, the comptroller shall
select and contract with a single private vendor to implement the
project. The contract must require the application of the project
to all state agencies without cost to the state until the project is
initially implemented.
(e) The private vendor selected under Subsection (d) must
offer existing information resources technology for use in the
project that:
(1) will be available to all state agencies, including
retirement systems;
(2) includes each agency's work site benefits plan
participants;
(3) will use, to the extent possible, the department's
information technology standards, including information security,
privacy and disaster recovery, and Internet-based technology
standards;
(4) includes applications and a supporting platform
that are already developed and used in connection with the
electronic enrollment of work site benefits plans offered by other
multiple plan providers;
(5) is available for use with a wide variety of plan
and benefit providers;
(6) can be easily modified to permit changes in
benefits offered by the state or a state agency;
(7) provides a solution to overcome limitations caused
by the incompatibility of different legacy systems used by
different state agencies and plan providers;
(8) is available for use over the Internet through
existing or new websites or portals; and
(9) is supported, to the extent necessary, by:
(A) laptop and desktop enrollment and
administration capabilities; and
(B) a telephone call center.
SECTION 4C.02. If the electronic infrastructure under
Section 2054.131, Government Code, as added by this article, is
established, the comptroller as soon as reasonably possible shall
develop a timetable and procedures under which each state agency
shall implement the electronic infrastructure project for use by
all work site benefits plan participants, including officers and
employees and former officers and employees.
ARTICLE 4D. TEXASONLINE AUTHORITY MEETING
SECTION 4D.01. Section 2054.256, Government Code, is
amended to read as follows:
Sec. 2054.256. MEETINGS. (a) The authority shall meet at
least quarterly.
(b) The authority may hold an open or closed meeting by
telephone conference subject to the requirements of Section
551.125(c)-(f).
ARTICLE 4E. TEXAS WORKFORCE COMMISSION COPIES
SECTION 4E.01. Section 301.082, Labor Code, is amended to
read as follows:
Sec. 301.082. COPIES OF RECORDS. (a) The executive
director may furnish an electronic, [a] photostatic, or certified
copy of a record in the commission's possession to a person entitled
to receive a copy of the record on application by the person.
(b) The executive director shall charge a reasonable fee in
an amount set by the commission for a copy of a record furnished
under this section. If an electronic record is furnished, the fee
charged must be sufficient to recover the costs incurred in
furnishing the electronic record, including the costs incurred for
processing credit card and debit card transactions.
(c) The executive director shall use TexasOnline to furnish
electronic records under this section. In this subsection,
"TexasOnline" has the meaning assigned by Section 2054.003,
Government Code.
ARTICLE 4F. INSPECTION CERTIFICATES
AND VERIFICATION FORMS
SECTION 4F.01. Sections 548.251 and 548.253,
Transportation Code, are amended to read as follows:
Sec. 548.251. DEPARTMENT TO PROVIDE INSPECTION
CERTIFICATES AND VERIFICATION FORMS. (a) The department shall
provide serially numbered inspection certificates and verification
forms to inspection stations. The department may issue a unique
inspection certificate for:
(1) a commercial motor vehicle inspected under Section
548.201; or
(2) a vehicle inspected under Subchapter F.
(b) The department may adopt rules that authorize an
inspection station to purchase inspection certificates by using the
TexasOnline project under Subchapter I, Chapter 2054, Government
Code, as added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001.
Sec. 548.253. INFORMATION TO BE RECORDED ON ISSUANCE OF
INSPECTION CERTIFICATE AND VERIFICATION FORM. (a) An inspection
station or inspector, on issuing an inspection certificate and
verification form, shall:
(1) make a record and report as prescribed by the
department of the inspection and certificate issued; and
(2) include in the inspection certificate and
verification form the information required by the department for
the type of vehicle inspected.
(b) The department may adopt rules that authorize an
inspection station to send a record, report, or information
required by the department to the department by using the
TexasOnline project under Subchapter I, Chapter 2054, Government
Code, as added by Chapter 342, Acts of the 77th Legislature, Regular
Session, 2001.
SECTION 4F.02. Subchapter H, Chapter 548, Transportation
Code, is amended by adding Section 548.508 to read as follows:
Sec. 548.508. ADDITIONAL FEES INCURRED IN CONNECTION WITH
USE OF TEXASONLINE PROJECT. (a) In addition to any other fee under
this subchapter for inspection of a motor vehicle, including a
commercial motor vehicle, an inspection station may charge and
collect an amount in reasonable proportion to the costs incurred by
the inspection station in connection with:
(1) the purchase of inspection certificates from the
department under a rule adopted under Section 548.251(b); or
(2) the sending of records, reports, or information to
the department under a rule adopted under Section 548.253(b).
(b) The department shall adopt rules to implement and
administer this section.
PART 5. STATE CONTRACTING AND PROCUREMENT
ARTICLE 5A. OWNER-CONTROLLED INSURANCE PROGRAM
SECTION 5A.01. Subchapter B, Chapter 223, Transportation
Code, is amended by adding Section 223.050 to read as follows:
Sec. 223.050. OWNER-CONTROLLED INSURANCE PROGRAM. (a) The
department shall require each person who contracts with the
department under this chapter to use the insurance program
established under Subchapter F, Chapter 2158, Government Code. The
department may grant an exemption to a person regarding use of the
insurance program for a specific project.
(b) The department and the Texas Building and Procurement
Commission shall enter into an interagency contract under which the
Texas Building and Procurement Commission manages the insurance
program described by Subsection (a) on behalf of the department and
other users.
(c) The Texas Transportation Commission may adopt rules to
implement this section.
SECTION 5A.02. Chapter 2158, Government Code, is amended by
adding Subchapter F to read as follows:
SUBCHAPTER F. OWNER-CONTROLLED INSURANCE FOR PUBLIC WORKS
Sec. 2158.271. DEFINITIONS. In this subchapter:
(1) "Local government" means a county, municipality,
special district, school district, junior college district, or
other political subdivision of the state.
(2) "Owner-controlled insurance program" means a
comprehensive and centrally controlled insurance program that
provides broad and uniform insurance coverage to all participants,
including subcontractors and the governmental entity, in a public
works project.
(3) "Public works project" includes:
(A) a building construction or repair project
undertaken by or for a governmental entity;
(B) a transportation project undertaken by or for
a governmental entity, including a road or highway project; and
(C) other projects undertaken by or for a
governmental entity, such as the construction or repair of a dam,
water system, or sewer system, that are commonly considered public
works projects.
Sec. 2158.272. OWNER-CONTROLLED INSURANCE PROGRAM. (a)
The commission shall contract with one or more private vendors to
develop an owner-controlled insurance program for state agencies
that participate in public works projects.
(b) The owner-controlled insurance program may include
insurance for workers' compensation, employer's liability,
builder's risk, primary and excess liability, and environmental
liability insurance coverage.
(c) The program may not include commercial auto liability
coverage.
Sec. 2158.273. USE OF PROGRAM BY STATE AGENCIES. Each state
agency must use the owner-controlled insurance program for its
public works projects.
Sec. 2158.274. USE OF PROGRAM BY LOCAL GOVERNMENTS. A local
government, subject to the commission's approval, may use the
owner-controlled insurance program for its public works projects.
Sec. 2158.275. FEES. (a) The commission or the private
vendor may charge a reasonable fee to a state agency, local
government, or participant to use the owner-controlled insurance
program, including a reasonable share of costs to implement the
program.
(b) The fee may be based on a percentage of the contract or
public works project value.
Sec. 2158.276. RULES. The commission may adopt rules to
implement this subchapter.
SECTION 5A.03. Section 2166.258, Government Code, as
amended by Chapters 614 and 1422, Acts of the 77th Legislature,
Regular Session, 2001, is amended to read as follows:
Sec. 2166.258. COMMON SURETY [OR INSURER]. (a) The
commission or an agency whose project is exempted from all or part
of this chapter under Section 2166.003 may negotiate an arrangement
advantageous to the state with a surety [or an insurer, as
appropriate,] authorized to do business in this state to furnish
bonds[, insurance, or both] that a contractor or subcontractor is
required to execute or carry to receive a contract or subcontract on
a project administered by the commission or other agency.
(b) In accordance with Section 1, Chapter 87, Acts of the
56th Legislature, Regular Session, 1959 (Article 7.19-1, Vernon's
Texas Insurance Code), the commission or other agency may not
require a contractor or subcontractor for any public building or
other construction contract to obtain a surety bond from any
specific insurance or surety company, agent, or broker. To the
extent consistent with that law, the commission or other agency may
require a contractor or subcontractor to meet part or all of the
bonding [or insurance] requirements for the project under the
negotiated arrangement.
[(b) Except as provided by Subsection (c), notwithstanding
Section 1, Chapter 87, Acts of the 56th Legislature, Regular
Session, 1959 (Article 7.19-1, Vernon's Texas Insurance Code), the
commission or other agency may require a contractor or
subcontractor to meet part or all of the bonding or insurance
requirements for the project under the arrangement negotiated by
the commission or other agency.]
(c) For the purposes of this section, the commission
[General Services Commission] shall establish a program to provide
surety technical assistance services for the benefit of small
businesses and historically underutilized businesses. The
commission may contract with insurance companies, surety
companies, agents, or brokers to implement this program.
(d) [(c)] To assist historically underutilized businesses,
small businesses, or any other businesses, if an agency by rule
requires a proposal guaranty as a condition for bidding on a
contract, the guaranty may be in the form of a:
(1) cashier's check or money order drawn on an account
with a financial entity determined by the agency;
(2) bid bond issued by a surety authorized to do
business in this state; or
(3) any other method approved by the agency.
SECTION 5A.04. The Texas Department of Transportation is
not required to use the insurance program established under
Subchapter F, Chapter 2158, Government Code, as added by this Act,
as required by Section 223.050, Transportation Code, as added by
this Act, until the Texas Building and Procurement Commission has
implemented the insurance program.
SECTION 5A.05. The change in law made by this article to
Section 2166.258, Government Code, applies only to a contract for a
construction project that is made on or after the effective date of
this article. A contract that is made before the effective date of
this article is governed by the law in effect at the time the
contract is made, and that law is continued in effect for that
purpose.
SECTION 5A.06. A state agency is not required to use the
insurance program established under Subchapter F, Chapter 2158,
Government Code, as added by this Act, until the Texas Building and
Procurement Commission has implemented the program.
ARTICLE 5B. COMMISSION ON PRIVATE INITIATIVE
SECTION 5B.01. Chapter 495, Government Code, is amended to
read as follows:
CHAPTER 495. CONTRACTS FOR CORRECTIONAL FACILITIES AND SERVICES
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 495.001. In this chapter, "commission" means the
Commission on Private Initiative.
[Sections 495.002-495.010 reserved for expansion]
SUBCHAPTER B. COMMISSION ON PRIVATE INITIATIVE
Sec. 495.011. COMMISSION. The commission shall administer
the state's participation in a program using contracts with vendors
for the provision of correctional facilities and services.
Sec. 495.012. EXECUTIVE DIRECTOR. The commission shall
employ an executive director to administer the day-to-day
operations of the commission and perform duties imposed by this
chapter and other law.
Sec. 495.013. RULEMAKING AUTHORITY. The commission may
adopt rules as necessary to administer this chapter.
Sec. 495.014. GENERAL POWERS AND DUTIES. The commission is
responsible for:
(1) the submission of requests for proposals for
contracts under Subchapter C and Chapter 507;
(2) the negotiation of those contracts;
(3) with the assistance of the department, the
oversight and monitoring of vendors participating in those
contracts; and
(4) other duties assigned under this subtitle and
other law.
Sec. 495.015. AUDITING AND MONITORING CONTRACTS. (a) The
commission shall develop a comprehensive methodology for enhanced
auditing and monitoring of all facilities operated under contract
that house inmates and defendants of the department and releasees
under the supervision of the department.
(b) The commission shall ensure that all new and renewed
contracts described by Subsection (a) include:
(1) a provision that the commission or the department
may conduct periodic contract compliance reviews, without advance
notice, to monitor vendor performance;
(2) minimum acceptable standards of performance
prescribed by the commission that include provisions regarding the
health, safety, and welfare of inmates, defendants, and releasees;
(3) a provision that if a review determines that a
vendor is not in compliance with the contract, the commission may
require that the vendor's per diem compensation be withheld until
the vendor meets contract requirements or the vendor is replaced;
(4) a provision requiring a vendor not in compliance
with the contract to implement a plan of corrective action approved
by the commission; and
(5) a provision under which the state is indemnified
for costs of litigation and for any damages in lawsuits alleging
that the health, safety, or welfare of an inmate, defendant, or
releasee in a contract facility is not protected.
(c) The commission shall develop an appeals process,
incorporated by reference into all new and renewed contracts, under
which a vendor may appeal any imposed sanction under the contract,
with the appeals process including the right to a formal hearing and
a right to a final determination by the board.
Sec. 495.016. PER DIEM RATE. (a) The commission shall
establish a daily "price to beat" per diem rate for each facility
operated by the department or operated under a contract with the
department.
(b) The rate established under Subsection (a) must be based
on a level and quality of programs at least equal to those provided
by state-operated facilities that house similar types of inmates
and at a rate that provides the state with a savings of not less than
five percent.
(c) The following entities shall assist the commission in
establishing the per diem rate:
(1) the department;
(2) the comptroller;
(3) the state auditor;
(4) the Governor's Office of Budget and Planning; and
(5) the Legislative Budget Board.
Sec. 495.017. BIENNIAL REPORT. (a) Not later than January 1
of each odd-numbered year, the commission shall present a report to
the governor, lieutenant governor, and speaker of the house of
representatives. The report must state:
(1) whether the commission believes the number of beds
or the percentage of beds provided to the department under contract
should be decreased, remain the same, or be increased; and
(2) if the commission believes the number of beds or
the percentage of beds provided to the department under contract
should be increased:
(A) a list of facilities operated by the
department that instead should be operated under contract; and
(B) the projected savings to the department if
the beds become beds operated under contract.
(b) In addition to the information required by Subsection
(a), the report must contain a qualitative and quantitative
analysis of the performance of vendors operating facilities under
this subtitle. The analysis must provide information on the
operations of each vendor, including information about treatment
programs implemented, numbers of escapes, major disciplinary
events, and other matters determined to be important by the
commission.
[Sections 495.018-495.040 reserved for expansion]
SUBCHAPTER C [A]. CONTRACTS WITH PRIVATE VENDORS AND
COMMISSIONERS COURTS FOR INSTITUTIONAL DIVISION FACILITIES
Sec. 495.041 [495.001]. AUTHORITY TO CONTRACT. (a) The
commission [board] may contract with a private vendor or with the
commissioners court of a county for the financing, construction,
operation, maintenance, or management of a secure correctional
facility.
(b) A facility operated, maintained, and managed under this
subchapter by a private vendor or county must:
(1) [hold not more than an average daily population of
1,000 inmates;
[(2)] comply with federal constitutional standards
and applicable court orders; and
(2) [(3)] receive and retain, as an individual
facility, accreditation from the American Correctional
Association.
(c) A facility authorized by this subchapter may be located
on private land or on land owned by the state or a political
subdivision of the state. The board may accept land donated for
that purpose.
(d) [The population requirements imposed by Subsection
(b)(1) do not apply to a facility that is under construction or
completed before April 14, 1987.
[(e)] The commission [board] shall give priority to
entering contracts under this subchapter that will provide the
institutional division with secure regionally based correctional
facilities designed to successfully reintegrate inmates into
society through preparole, prerelease, work release, and prison
industries programs.
[(f) Notwithstanding Subsection (b)(1), a facility that
before December 1, 1991, was operated, maintained, and managed
under this subchapter by a private vendor or county may not hold
more than an average daily population of 500 inmates, unless the
commissioners court of the county in which the facility is located
expresses in a resolution on the subject that the limit on
population imposed by this subsection should not apply to the
facility.]
Sec. 495.042 [495.002]. INMATES. The institutional
division may confine only minimum or medium security inmates in a
facility authorized by this subchapter. An inmate confined in a
facility authorized by this subchapter remains in the legal custody
of the institutional division.
Sec. 495.043 [495.003]. CONTRACT PROPOSALS; QUALIFICATIONS
AND STANDARDS. (a) The commission [board] may not award a contract
under this subchapter unless the commission [board] requests
proposals and receives a proposal that meets or exceeds, in
addition to requirements specified in the request for proposals,
the requirements specified in Subsections (b), (c), and (d).
(b) A person proposing to enter a contract with the
commission [board] under this subchapter must demonstrate:
(1) the qualifications and the operations and
management experience to carry out the terms of the contract; and
(2) the ability to comply with the standards of the
American Correctional Association and with specific court orders.
(c) In addition to meeting the requirements specified in the
requests for proposals, a proposal must:
(1) provide for regular, on-site monitoring by the
commission [institutional division];
(2) acknowledge that payment by the state is subject
to the availability of appropriations;
(3) provide for payment of a maximum amount per
biennium;
(4) [offer a level and quality of programs at least
equal to those provided by state-operated facilities that house
similar types of inmates and at a cost that provides the state with
a savings of not less than 10 percent of the cost of housing inmates
in similar facilities and providing similar programs to those types
of inmates in state-operated facilities;
[(5)] permit the state to terminate the contract for
cause, including as cause the failure of the private vendor or
county to meet the conditions required by this subchapter and other
conditions required by the contract;
(5) [(6)] provide that cost adjustments may be made
only once each fiscal year, to take effect at the beginning of the
next fiscal year;
(6) [(7) have an initial contract term of not more
than three years, with an option to renew for additional periods of
two years;
[(8)] if the proposal includes construction of a
facility, contain a performance bond approved by the commission
[board] that is adequate and appropriate for the proposed contract;
(7) [(9)] provide for assumption of liability by the
private vendor or county for all claims arising from the services
performed under the contract by the private vendor or county;
(8) [(10)] provide for an adequate plan of insurance
for the private vendor or county and its officers, guards,
employees, and agents against all claims, including claims based on
violations of civil rights arising from the services performed
under the contract by the private vendor or county;
(9) [(11)] provide for an adequate plan of insurance
to protect the state against all claims arising from the services
performed under the contract by the private vendor or county and to
protect the state from actions by a third party against the private
vendor or county, its officers, guards, employees, and agents as a
result of the contract;
(10) [(12)] provide plans for the purchase and
assumption of operations by the state in the event of the bankruptcy
of the private vendor or inability of the county to perform its
duties under the contract; and
(11) [(13)] contain comprehensive standards for
conditions of confinement.
(d) Before the commissioners court of a county proposes to
enter into a contract under this subchapter, the commissioners
court of the county must receive the written approval of the sheriff
of the county. A sheriff may not unreasonably withhold written
approval under this subsection. A correctional facility provided by
a county under this subchapter is subject to the same standards and
requirements as a correctional facility provided by a private
vendor.
(e) The commission, if appropriate, shall request proposals
for a contract providing residential infant care and parenting
programs for mothers who are confined by the department. To the
extent practicable, a proposal must offer a program substantially
similar to the residential infant care and parenting program
operated by the Texas Youth Commission [Legislative Budget Board
determines the costs and cost savings under Subsection (c)(4) and
may consider any relevant factor, including additional costs to the
state for providing the same service as a private vendor or county,
indirect costs properly allocable to either the state or the
private vendor or county, and continuing costs to the state
directly associated with the contract].
Sec. 495.044 [495.004]. LIMITATION ON AUTHORITY OVER
INMATES. A private vendor or county operating under a contract
authorized by this subchapter may not:
(1) compute inmate release and parole eligibility
dates;
(2) award good conduct time;
(3) approve an inmate for work, medical, or temporary
furlough or for preparole transfer; or
(4) classify an inmate or place an inmate in less
restrictive custody than the custody ordered by the institutional
division.
Sec. 495.045 [495.005]. CIVIL LIABILITY. A private vendor
operating under a contract authorized by this subchapter may not
claim sovereign immunity in a suit arising from the services
performed under the contract by the private vendor or county. This
section does not deprive the private vendor or the state of the
benefit of any law limiting exposure to liability, setting a limit
on damages, or establishing a defense to liability.
Sec. 495.046. DWI BEDS. The commission shall enter into
contracts under this subchapter that provide the department with
not fewer than 1,000 beds for inmates serving sentences for
offenses under Chapter 49, Penal Code.
[Sections 495.047-495.060 reserved for expansion]
[Sec. 495.006. CONVERSION OF FACILITY. The board may not
convert a facility into a correctional facility operated by a
private vendor or by a county if, before April 14, 1987, the
facility is:
[(1) operated as a correctional facility by the board;
or
[(2) being constructed by the board for use as a
correctional facility.
[Sec. 495.007. LIMITATION. The board may not enter into
contracts under this subchapter for more than 4,580 beds.
[Sec. 495.008. AUDITING AND MONITORING CONTRACTS. (a) The
department shall develop a comprehensive methodology for enhanced
auditing and monitoring of all facilities operated under contract
with the department that house inmates of the department and
releasees under the supervision of the department. To achieve this
objective, the department shall first review existing auditing,
monitoring, and oversight capabilities of the department to
determine what further procedures and resources are necessary to
achieve this goal.
[(b) The department shall ensure that all new and renewed
contracts described by Subsection (a) include:
[(1) a provision that the department or a designee of
the department may conduct periodic contract compliance reviews,
without advance notice, to monitor vendor performance;
[(2) minimum acceptable standards of performance
prescribed by the department that include provisions regarding the
health, safety, and welfare of inmates and releasees;
[(3) a provision that if a review determines that a
vendor is not in compliance with the contract, the department may
require that the vendor's per diem compensation be withheld until
the vendor meets contract requirements or the vendor is replaced;
[(4) a provision requiring a vendor not in compliance
with the contract to implement a plan of corrective action approved
by the department; and
[(5) a provision under which the state is indemnified
for costs of litigation and for any damages in lawsuits alleging
that the health, safety, or welfare of an inmate or releasee in a
contract facility is not protected.
[(c) The department shall complete at least one enhanced
audit for each facility described by Subsection (a), without regard
to whether the facility is operated by a public or private vendor.
The enhanced audit must include an enhanced contract compliance
review of any vendors hired by a community supervision and
corrections department to operate a facility.
[(d) The department, in conjunction with an advisory
committee composed of state officials and private officials from
within the industry, shall adopt rules to implement the
requirements of this section.
[(e) The department shall develop an appeals process,
incorporated by reference into all new and renewed contracts, under
which a vendor may appeal any imposed sanction under the contract,
with the appeals process including the right to a formal hearing and
a right to a final determination by the board.
[(f) The department shall submit a report to the governor
and the Legislative Budget Board not later than January 1, 2003,
describing its efforts to implement the requirements of this
section. The report must include a summary of contracts and
vendors, compliance reviews conducted, incidents of contract
noncompliance, sanctions imposed, corrective actions taken, and
current contract status. This subsection expires February 1,
2003.]
SUBCHAPTER D [B]. MISCELLANEOUS CONTRACTS FOR CORRECTIONAL
FACILITIES AND SERVICES
Sec. 495.061 [495.021]. LEASE-PURCHASE, INSTALLMENT
CONTRACTS. (a) The commission [board] may contract with the
commissioners court of a county to use, lease-purchase, purchase on
an installment contract, or acquire in any other manner a secure
correctional facility financed and constructed under the authority
of the county. The contract must be subject to specific
appropriative authority in the General Appropriations Act, and the
facility must be managed by the institutional division.
(b) A contract under this section is subject to review and
approval by the Bond Review Board under the provisions of Chapter
1231 without regard to the amount or the duration of the contract.
Sec. 495.062 [495.022]. CONTRACTS WITH FEDERAL GOVERNMENT.
(a) The commission [board] may contract with the federal
government for the lease of any military base or other federal
facility that is not being used by the federal government.
(b) A facility leased under this section may be used by the
institutional division for the purpose of housing inmates
determined by the division to be minimum security inmates.
(c) The commission [board] may not enter into a contract
under this section unless funds have been appropriated specifically
for the purpose of making payments on contracts authorized under
this section.
(d) The commission [board] shall attempt to enter into
contracts authorized by this section that will provide the
institutional division with facilities located in the various parts
of the state.
(e) A facility leased under this section by the commission
[board] must comply with federal constitutional standards and
applicable court orders.
Sec. 495.063 [495.023]. CONTRACTS FOR DIAGNOSTIC AND
EVALUATION SERVICES. (a) The commission [institutional division]
shall request proposals and may award one contract to a private
vendor or community supervision and corrections department to
screen and diagnose, either before or after adjudications of guilt,
persons who may be transferred to the division. The term of the
contract may not be for more than two years. The commission
[institutional division] shall award the contract if the commission
[division] determines that:
(1) the person proposing to enter into the contract
can provide psychiatric, psychological, or social evaluations of
persons who are to be transferred to the division;
(2) the services provided will reduce the chances of
misdiagnosis of mentally ill and mentally retarded persons who are
to be transferred to the division, expedite the diagnostic process,
and offer savings to the division;
(3) the quality of services offered equals or exceeds
the quality of the same services provided by the division; and
(4) the state will assume no additional liability by
entering into a contract for the services.
(b) If the commission [institutional division] enters into
the contract and during or at the end of the contract period
determines that the diagnostic services performed under the
contract are of a sufficient quality and are cost effective, the
commission [division] shall submit requests for additional
proposals for contracts and award one or more contracts in the same
manner as provided by Subsection (a).
Sec. 495.064 [495.024]. RELEASE OF OUT-OF-STATE INMATES. A
county or a municipality or a private vendor operating a
correctional facility under a contract with a county under
Subchapter F, Chapter 351, Local Government Code, or a municipality
under Subchapter E, Chapter 361, Local Government Code, that enters
into a contract with any entity to house in this state inmates
convicted of offenses committed against the laws of another state
of the United States must require as a condition of the contract
that each inmate to be released from custody must be released in the
sending state.
[Sections 495.065-495.090 reserved for expansion]
SUBCHAPTER E. PROVISIONS APPLICABLE TO INSTITUTIONAL DIVISION,
PAROLE, AND STATE JAIL FELONY FACILITIES
Sec. 495.091. BEDS. On a determination by the commission
that an increase in the number or percentage of contract beds is
cost-effective, the commission and the board may enter into an
interagency contract to increase the number of beds that are
provided to the department under contract.
Sec. 495.092. ENTERPRISE EFFORTS IN CONTRACT FACILITIES.
(a) To the greatest extent possible, entities entering into
contracts under this subtitle shall generate revenue through
participation in inmate industry and agriculture programs and
through the implementation of commissary programs and other
appropriate revenue generating programs that foster sound
corrections policy or assist in the prevention and solving of
crimes, reduction in the flow of contraband, gathering of criminal
intelligence data and information, suppression of gang activity,
and resolution of complaints made by inmates, defendants,
department employees, and employees of the entities entering into
the contracts.
(b) In developing revenue-generating strategies, the entity
entering into the contract, to ensure good order and public safety,
shall develop written security policies consistent with existing
corrections practices in the federal prison system, this state, or
other states.
(c) A percentage of the profits generated from programs
described by Subsection (a), as negotiated by contract, must be
paid to the department, except that 100 percent of commissary
program profits must be paid to the department. For purposes of
this subsection, deductions from a participant's wages authorized
by Section 497.0581 and paid to an entity entering into a contract
with the department are considered profits.
Sec. 495.093. STATE EMPLOYEE IMPACT. In deciding whether
to accept a proposal for a contract under this subtitle to provide
beds to the department, the commission shall consider the effect
that entering into the contract would have on state employees
employed in correctional facilities.
SECTION 5B.02. Subchapter C, Chapter 497, Government Code,
is amended to read as follows:
SUBCHAPTER C. COMMISSION ON PRIVATE INITIATIVE [SECTOR PRISON
INDUSTRIES OVERSIGHT AUTHORITY]
Sec. 497.051. PURPOSE; DEFINITION. (a) The Commission on
Private Initiative [Sector Prison Industries Oversight Authority]
is created to:
(1) approve, certify, and oversee the operation of
private sector prison industries programs in the department, the
Texas Youth Commission, and in county correctional facilities in
compliance with the federal prison enhancement certification
program established under 18 U.S.C. Section 1761; and
(2) as required by Chapter 495, administer the state's
participation in a program using contracts with vendors for the
provision of correctional facilities and services. [The executive
director shall provide the authority with clerical and technical
support as necessary for the authority to perform duties imposed on
the authority by this subchapter and shall ensure that the
department implements the policies adopted by the authority that
relate to the operation of private sector prison industries
programs.]
(b) In this subchapter:
(1) "Commission" ["Authority"] means the Commission
on Private Initiative [Sector Prison Industries Oversight
Authority].
(2) "Participant" means a participant in a private
sector prison industries program.
Sec. 497.052. MEMBERSHIP. (a) The commission [authority]
is composed of nine members appointed by the governor:
(1) one of whom is representative of organized labor;
(2) [one of whom is representative of employers;
[(3)] one of whom is representative of groups
advocating the rights of victims of criminal offenses;
(3) [(4)] one of whom is representative of groups
advocating the rights of inmates[;
[(5) one of whom is experienced in the field of
vocational rehabilitation]; and
(4) six [(6) four] of whom are public members.
(b) The following individuals shall serve as ex officio
members of the commission [authority]:
(1) a member of the house of representatives
designated by the speaker of the house;
(2) a member of the senate designated by the
lieutenant governor;
(3) the chairman [executive director] of the Texas
Board [Department] of Criminal Justice [or the designee of the
executive director];
(4) the executive director of the Texas Workforce
Commission or the designee of the executive director; [and]
(5) the state auditor; and
(6) the director of the Governor's Office of Budget and
Planning [the executive director of the Texas Youth Commission or
the designee of the executive director].
(c) The governor shall appoint as an employer liaison to the
commission [authority] one person who is an employer in the private
sector prison industries program that is certified as in compliance
with the federal prison enhancement certification program
established under 18 U.S.C. Section 1761. The employer liaison is
entitled to attend meetings of the commission [authority] and offer
advice to the commission [authority] from the perspective of a
prison industries employer. The employer liaison serves at the
pleasure of the governor, is not entitled to vote on any issue
considered by the commission [authority], and is entitled to
reimbursement for travel expenses in the same manner as is a member
of the commission [authority] under Section 497.055.
(d) A person may not be a public member of the commission
[authority] if the person or the person's spouse:
(1) is employed by or participates in the management
of a business entity or other organization regulated by or
receiving money from the commission [authority];
(2) owns or controls, directly or indirectly, more
than a 10 percent interest in a business entity or other
organization regulated by or receiving money from the commission
[authority]; or
(3) uses or receives a substantial amount of tangible
goods, services, or money from the commission [authority] other
than compensation or reimbursement authorized by law for commission
[authority] membership, attendance, or expenses.
(e) Appointments to the commission [authority] shall be
made without regard to the race, color, disability, sex, religion,
age, or national origin of the appointees.
Sec. 497.0521. CONFLICTS OF INTEREST. (a) In this
section, "Texas trade association" means a cooperative and
voluntarily joined association of business or professional
competitors in this state designed to assist its members and its
industry or profession in dealing with mutual business or
professional problems and in promoting their common interest.
(b) A person may not be a member of the commission
[authority] and may not be a commission [an authority] employee
employed in a "bona fide executive, administrative, or professional
capacity," as that phrase is used for purposes of establishing an
exemption to the overtime provisions of the federal Fair Labor
Standards Act of 1938 (29 U.S.C. Section 201 et seq.) and its
subsequent amendments, if:
(1) the person is an officer, employee, or paid
consultant of a Texas trade association in the field of private
sector prison industries; or
(2) the person's spouse is an officer, manager, or paid
consultant of a Texas trade association in the field of private
sector prison industries.
(c) A person may not be a member of the commission
[authority] or act as the general counsel to the commission
[authority] if the person is required to register as a lobbyist
under Chapter 305 because of the person's activities for
compensation on behalf of a profession related to the operation of
the commission [authority].
Sec. 497.0522. REMOVAL PROVISIONS. (a) It is a ground for
removal from the commission [authority] that a member:
(1) does not have at the time of taking office the
qualifications required by Section 497.052(a);
(2) does not maintain during service on the commission
[authority] the qualifications required by Section 497.052(a);
(3) is ineligible for membership under Section
497.052(d) or 497.0521(b) or (c);
(4) cannot, because of illness or disability,
discharge the member's duties for a substantial part of the member's
term; or
(5) is absent from more than half of the regularly
scheduled commission [authority] meetings that the member is
eligible to attend during a calendar year without an excuse
approved by a majority vote of the commission [authority].
(b) The validity of an action of the commission [authority]
is not affected by the fact that it is taken when a ground for
removal of a commission [an authority] member exists.
(c) If the executive director has knowledge that a potential
ground for removal exists, the executive director shall notify the
presiding officer of the commission [authority] of the potential
ground. The presiding officer shall then notify the governor and
the attorney general that a potential ground for removal exists. If
the potential ground for removal involves the presiding officer,
the executive director shall notify the next highest ranking
officer of the commission [authority], who shall then notify the
governor and the attorney general that a potential ground for
removal exists.
Sec. 497.0523. INFORMATION: REQUIREMENTS FOR OFFICE OR
EMPLOYMENT. The executive director or the executive director's
designee shall provide to members of the commission [authority] and
to agency employees, as often as necessary, information regarding
the requirements for office or employment under this subchapter,
including information regarding a person's responsibilities under
applicable laws relating to standards of conduct for state officers
or employees.
Sec. 497.0524. TRAINING PROGRAM. (a) A person who is
appointed to and qualifies for office as a member of the commission
[authority] may not vote, deliberate, or be counted as a member in
attendance at a meeting of the commission [authority] until the
person completes a training program that complies with this
section.
(b) The training program must provide the person with
information regarding:
(1) the legislation that created the commission
[authority];
(2) the programs operated by the commission
[authority];
(3) the role and functions of the commission
[authority];
(4) the rules of the commission [authority];
(5) the current budget for the commission [authority];
(6) the results of the most recent formal audit of the
commission [authority];
(7) the requirements of:
(A) the open meetings law, Chapter 551;
(B) the public information law, Chapter 552;
(C) the administrative procedure law, Chapter
2001; and
(D) other laws relating to public officials,
including conflict of interest laws; and
(8) any applicable ethics policies adopted by the
department or the Texas Ethics Commission.
(c) A person appointed to the commission [authority] is
entitled to reimbursement, as provided by the General
Appropriations Act, for the travel expenses incurred in attending
the training program regardless of whether the attendance at the
program occurs before or after the person qualifies for office.
Sec. 497.0525. POLICYMAKING AND MANAGEMENT
RESPONSIBILITIES. The commission [authority] shall develop and
implement policies that clearly separate the policymaking
responsibilities of the commission [authority] and the management
responsibilities of the staff of the commission [authority].
Sec. 497.0526. PUBLIC ACCESS. The commission [authority]
shall develop and implement policies that provide the public with a
reasonable opportunity to appear before the commission [authority]
and to speak on any issue under the jurisdiction of the commission
[authority].
Sec. 497.0527. COMPLAINTS. (a) The commission
[authority] shall maintain a file on each written complaint filed
with the commission [authority]. The file must include:
(1) the name of the person who filed the complaint;
(2) the date the complaint is received by the
commission [authority];
(3) the subject matter of the complaint;
(4) the name of each person contacted in relation to
the complaint;
(5) a summary of the results of the review or
investigation of the complaint; and
(6) an explanation of the reason the file was closed,
if the commission [authority] closed the file without taking action
other than to investigate the complaint.
(b) The commission [authority] shall provide to the person
filing the complaint and to each person who is a subject of the
complaint a copy of the commission's [authority's] policies and
procedures relating to complaint investigation and resolution.
(c) The commission [authority], at least quarterly until
final disposition of the complaint, shall notify the person filing
the complaint and each person who is a subject of the complaint of
the status of the investigation unless the notice would jeopardize
an undercover investigation.
Sec. 497.053. TERMS. Appointed members of the commission
[authority] serve staggered six-year terms, with three members'
terms expiring on February 1 of each odd-numbered year.
Sec. 497.054. PRESIDING OFFICER. The governor shall
designate the presiding officer from among the members of the
commission [authority], and the presiding officer shall serve in
that capacity at the pleasure of the governor.
Sec. 497.055. REIMBURSEMENT. A member of the commission
[authority] is not entitled to compensation but is entitled to
reimbursement of the travel expenses incurred by the member while
conducting the business of the commission [authority] as provided
in the General Appropriations Act.
Sec. 497.056. PRIVATE SECTOR PRISON INDUSTRY [INDUSTRIES]
EXPANSION ACCOUNT. (a) The department shall forward money
collected under Section 497.0581 to the comptroller. The
comptroller shall deposit the money in the general revenue fund.
(b) To construct more facilities and increase the number of
participants, the private sector prison industry expansion account
is created as an account in the general revenue fund. Money in the
account may be appropriated only to construct work facilities,
recruit corporations to participate as private sector industries
programs, and pay costs of the commission [authority] and
department in implementing this subchapter, including the cost to
the department in reimbursing commission [authority] members and
the employer liaison for expenses.
(c) On each certification by the department that an amount
has been deposited to the credit of the general revenue fund from
deductions from participants' wages under Section 497.0581, the
comptroller shall transfer an equivalent amount from the general
revenue fund to the private sector prison industry expansion
account, until the balance in the account is $2 million. On a
certification occurring when the balance in the account is more
than $2 million, the comptroller shall transfer to the account an
amount equal to one-half of the amount deposited to the credit of
the general revenue fund from deductions from participants' wages.
(d) The department during each calendar quarter shall make a
certification of the amount deposited during the previous calendar
quarter to the credit of the general revenue fund from deductions
from participants' wages under Section 497.0581.
Sec. 497.057. RULES. The commission [authority] shall
adopt rules as necessary to ensure that the private sector prison
industries program authorized by this subchapter is in compliance
with the federal prison enhancement certification program
established under 18 U.S.C. Section 1761.
Sec. 497.058. PREVAILING WAGE. (a) The commission
[authority] by rule shall require that participants at each private
sector prison industries program be paid not less than the
prevailing wage as computed by the commission [authority], except
that the commission [authority] may permit employers to pay a
participant the minimum wage for the two-month period beginning on
the date participation begins.
(b) For the purposes of computations required by this
section:
(1) the prevailing wage is the wage paid by the
employer for work of a similar nature in the location in which the
work is performed;
(2) in the event that the employer has no employees
other than those employed under this subchapter performing work of
a similar nature within the location, the prevailing wage for work
of a similar nature is determined by reference to openings and wages
by occupation data collected by the labor market information
department of the Texas Workforce Commission; and
(3) the location in which work is performed is the
local workforce development area in which the work is performed.
Sec. 497.0581. PARTICIPANT CONTRIBUTIONS; ASSISTANCE
ACCOUNT. (a) The commission [authority] by rule shall determine
the amount of deductions to be taken from wages received by the
participant under this subchapter. In determining the amount of
deductions under this section, the commission [authority] shall
ensure that the deductions do not place the private sector prison
industries programs in the department in noncompliance with the
federal prison enhancement certification program established under
18 U.S.C. Section 1761.
(b) The private sector prison industry crime victims
assistance account is created as an account in the general revenue
fund. Money in the account may be appropriated only to the
commission [authority] for the purpose of aiding victims of crime,
under rules adopted by the commission [authority].
Sec. 497.059. LIMITING IMPACT ON NON-PRISON
INDUSTRY. (a) The commission [authority] may not grant initial
certification to a private sector prison industries program if the
commission [authority] determines that the operation of the program
would result in the loss of existing jobs provided by the employer
in this state.
(b) The commission [authority] shall adopt rules to
determine whether a program would cause the loss of existing jobs
provided by the employer in this state.
Sec. 497.060. WORKERS' COMPENSATION. The commission
[authority] by rule shall require private sector prison industries
program employers to meet or exceed all federal requirements for
providing compensation to participants injured while working.
Sec. 497.061. RECIDIVISM STUDIES. The commission
[authority], with the cooperation of the Criminal Justice Policy
Council, shall gather data to determine whether participation in a
private sector prison industries program is a factor that reduces
recidivism among participants.
Sec. 497.062. LIMITATION ON NUMBER OF PARTICIPANTS;
GOALS. (a) The commission [authority] may certify any number of
private sector prison industries programs that meet or exceed the
requirements of federal law and the rules of the commission
[authority], but in no event may the commission [authority] permit
more than 2,000 participants in the program at any one time.
(b) The commission [authority] shall establish as a goal
that the program have at least 1,800 participants by January 1,
2006.
SECTION 5B.03. Section 507.001(a), Government Code, is
amended to read as follows:
(a) The state jail division may operate, maintain, and
manage state jail felony facilities to confine inmates described by
Section 507.002, and the department may finance and construct those
facilities. The Commission on Private Initiative [state jail
division, with the approval of the board,] may contract with the
institutional division, a private vendor, a community supervision
and corrections department, or the commissioners court of a county
for the construction, operation, maintenance, or management of a
state jail felony facility. The community justice assistance
division shall assist the commission [state jail division] to
contract with a community supervision and corrections department
for the construction, operation, maintenance, or management of a
state jail felony facility. The Commission on Private Initiative
[state jail division] shall consult with the community justice
assistance division before contracting with a community
supervision and corrections department under this section. A
community supervision and corrections department or the
commissioners court of a county that contracts under this section
may subcontract with a private vendor for the provision of any or
all services described by this subsection. A community supervision
and corrections department that contracts under this section may
subcontract with the commissioners court of a county for the
provision of any or all services described by this subsection. The
Commission on Private Initiative [board] may contract with a
private vendor or the commissioners court of a county for the
financing or construction of a state jail felony facility.
SECTION 5B.04. The governor, in making appointments to the
Commission on Private Initiative as required by Section 497.052,
Government Code, as amended by this article, shall appoint public
members to the positions held by the employer representative and
the vocational rehabilitation representative as soon as the terms
for those positions expire or as those positions become vacant. The
changes in law made by this article to Section 497.052, Government
Code, do not affect the entitlement of a person who, immediately
before the effective date of this article, holds the position on the
commission as the employer representative or as the vocational
rehabilitation representative to serve for the remainder of the
term to which the person was appointed.
SECTION 5B.05. (a) On September 1, 2003, funds appropriated
to the Texas Department of Criminal Justice for the private
facilities division are transferred to the Commission on Private
Initiative.
(b) On September 1, 2003, a reference in law to the Private
Sector Prison Industries Oversight Authority means the Commission
on Private Initiative.
[ARTICLES 5C AND 5D. RESERVED]
ARTICLE 5E. GENERAL STATE PROCUREMENT
SECTION 5E.01. Section 2171.101(a), Government Code, is
amended to read as follows:
(a) The office of vehicle fleet management shall establish a
vehicle reporting system to assist each state agency in the
management of its vehicle fleet. A state agency shall be required
to submit the reports on a monthly basis [not more often than
semiannually].
SECTION 5E.02. Sections 2171.102(a) and (b), Government
Code, are amended to read as follows:
(a) The office of vehicle fleet management may, for a fee,
[shall] provide routine periodic maintenance service to state
agencies located in Travis County. [The office shall charge a fee
for the service.]
(b) The office may [shall] negotiate contracts for major
overhauls and other extensive mechanical work.
SECTION 5E.03. Sections 2171.104(c) and (d), Government
Code, are amended to read as follows:
(c) The management plan must address:
(1) opportunities for consolidating and privatizing
the operation and management of vehicle fleets in areas where there
is a concentration of state agencies, including the Capitol Complex
and the Health and Human Services Complex in Austin;
(2) the number and type of vehicles owned by each
agency and the purpose each vehicle serves;
(3) procedures to increase vehicle use and improve the
efficiency of the state vehicle fleet;
(4) procedures to reduce the cost of maintaining state
vehicles;
(5) procedures to handle surplus or salvage [the sale
of excess] state vehicles; and
(6) lower-cost alternatives to using state-owned
vehicles, including:
(A) using rental cars; and
(B) reimbursing employees for using personal
vehicles.
(d) The commission shall require a state agency to transfer
surplus or salvage vehicles identified by the management plan to
the commission and shall sell or dispose of the [excess] vehicles in
accordance with the provisions of Chapter 2175 that provide for
disposition of surplus or salvage property by the commission
[identified by the management plan and deposit the proceeds from
the sale into the account that the agency used to purchase the
vehicles].
SECTION 5E.04. Section 51.9335(b), Education Code, is
amended to read as follows:
(b) In determining what is the best value to an institution
of higher education, the institution shall consider:
(1) the purchase price;
(2) the reputation of the vendor and of the vendor's
goods or services;
(3) the quality of the vendor's goods or services;
(4) the extent to which the goods or services meet the
institution's needs;
(5) the vendor's past relationship with the
institution;
(6) the impact on the ability of the institution to
comply with laws and rules relating to historically underutilized
businesses and to the procurement of goods and services from
persons with disabilities;
(7) the total long-term cost to the institution of
acquiring the vendor's goods or services; and
(8) any other relevant factor that a private business
entity would consider in selecting a vendor[; and
[(9) the use of material in construction or repair to
real property that is not proprietary to a single vendor unless the
institution provides written justification in the request for bids
for use of the unique material specified].
SECTION 5E.05. Chapter 2151, Government Code, is amended by
adding Section 2151.005 to read as follows:
Sec. 2151.005. EXEMPTIONS RELATED TO LEGAL SERVICES. This
subtitle does not apply to:
(1) obtaining outside legal counsel services;
(2) obtaining expert witnesses; or
(3) procuring litigation-related goods and services
for which competitive procurement is not feasible under the
circumstances.
SECTION 5E.06. Section 2155.078(k), Government Code, is
amended to read as follows:
(k) The commission shall require a reasonable number of [24]
hours of continuing education [each year] to maintain a
certification level. The commission may allow attendance at
equivalent certification training recognized by the commission to
count toward the required number of [up to 16] hours [of the
continuing education requirement]. Maintenance of the
certification level may be by yearly renewal or another reasonable
renewal period comparable to nationally recognized certification
requirements.
SECTION 5E.07. Section 2155.141, Government Code, is
amended to read as follows:
Sec. 2155.141. [CERTAIN OTHER] PURCHASES FOR AUXILIARY
ENTERPRISE NOT WITHIN COMMISSION'S PURCHASING AUTHORITY. The
commission's authority does not extend to a purchase of goods and
services[:
[(1) for resale;
[(2)] for an auxiliary enterprise[; or
[(3) for an organized activity relating to an
instructional department of an institution of higher learning or a
similar activity of another state agency].
SECTION 5E.08. Subchapter C, Chapter 2155, Government Code,
is amended by adding Section 2155.148 to read as follows:
Sec. 2155.148. CERTAIN PURCHASES FOR TEXAS STATEWIDE
EMERGENCY SERVICES PERSONNEL RETIREMENT FUND. (a) The fire
fighters' pension commissioner is delegated all purchasing
functions relating to the purchase of goods or services from funds
other than general revenue funds for a purpose the state board of
trustees of the Texas statewide emergency services personnel
retirement fund determines relates to the fiduciary duties of the
retirement fund.
(b) The fire fighters' pension commissioner shall acquire
goods or services by any procurement method approved by the state
board of trustees of the Texas statewide emergency services
personnel retirement fund that provides the best value to the
retirement fund. The fire fighters' pension commissioner shall
consider the best value standards provided by Section 2155.074.
(c) The commission shall procure goods or services for the
fire fighters' pension commissioner at the request of the pension
commissioner, and the pension commissioner may use the services of
the commission in procuring goods or services.
SECTION 5E.09. Subchapter I, Chapter 2155, Government Code,
is amended by adding Section 2155.510 to read as follows:
Sec. 2155.510. REBATES. The commission may collect a
rebate from a vendor under a contract listed on a schedule developed
under this subchapter.
SECTION 5E.10. The heading to Subchapter B, Chapter 2157,
Government Code, is amended to read as follows:
SUBCHAPTER B. CATALOG [CATALOGUE] PURCHASE METHOD
SECTION 5E.11. Section 2157.061, Government Code, is
amended to read as follows:
Sec. 2157.061. USE OF CATALOG [CATALOGUE] PURCHASE METHOD
REQUIRED UNLESS BEST VALUE AVAILABLE ELSEWHERE. The commission or
a state agency shall purchase an automated information system
through the catalog [catalogue] procedure provided by this
subchapter unless the commission or state agency determines that
the best value may be obtained from another purchase method
authorized by this subtitle.
SECTION 5E.12. Section 2157.0611, Government Code, is
amended to read as follows:
Sec. 2157.0611. REQUIREMENT TO EVALUATE THREE OFFERS
[PROPOSALS] WHEN POSSIBLE. A catalog [catalogue] purchase or lease
that exceeds $2,000 or a greater amount prescribed by commission
rule shall, when possible, be based on an evaluation of at least
three catalog offers [catalogue proposals] made to the commission
or other state agency by catalog [qualified] information systems
vendors. If at least three catalog offers [catalogue proposals]
are not evaluated by the commission or other state agency before a
purchase or lease that exceeds the threshold amount is made, the
commission or other agency shall document the reasons for that fact
before making the purchase or lease under Section 2157.063.
SECTION 5E.13. Section 2157.062, Government Code, is
amended to read as follows:
Sec. 2157.062. BASIC REQUIREMENTS FOR CATALOG [APPLICATION
PROCESS FOR QUALIFICATION AS] VENDOR. [(a) To sell or lease an
automated information system under this subchapter to a state
agency, a vendor must apply to the commission for designation as a
qualified information systems vendor. The commission shall
prescribe the application process. The commission may allow or
require a vendor to apply on-line.
[(b)] At a minimum, a catalog information systems vendor
must [the commission shall require an applicant to submit]:
(1) maintain an Internet catalog [a catalogue]
containing each product and service eligible for purchase by a
state agency, including for each product or service:
(A) a description;
(B) the list price; and
(C) the price to a state agency;
(2) maintain a maintenance, repair, and support plan
for each eligible product or service;
(3) provide on request proof of the applicant's
financial resources and ability to perform; and
(4) provide a guarantee that the vendor will make
available equivalent replacement parts for a product sold to the
state until at least the third anniversary of the date the product
is discontinued.
SECTION 5E.14. Section 2157.063(a), Government Code, is
amended to read as follows:
(a) If a purchase or lease is the best value available and is
in the state's best interest, a state agency may under this
subchapter purchase or lease an automated information system
directly from a catalog [qualified] information systems vendor and
may negotiate price and additional terms and conditions to be
included in a contract relating to the purchase or lease.
SECTION 5E.15. Section 2157.066, Government Code, is
amended by amending Subsections (a), (b), and (f) and adding
Subsection (g) to read as follows:
(a) A catalog [vendor designated by the commission as a
qualified] information systems vendor shall publish and maintain a
catalog [catalogue] described by Section 2157.062(1)
[2157.062(b)(1)] in the manner required by the commission.
(b) The vendor shall revise the catalog [catalogue] as
necessary in the manner required by the commission.
(f) The commission may audit a catalog [qualified]
information systems vendor's catalog [approved catalogue] for
compliance with rules adopted under Subsection (g) [(c)].
(g) The commission shall adopt rules that specify the
requirements for a catalog information systems vendor's
maintenance of Internet catalogs, including:
(1) availability;
(2) format; and
(3) other relevant requirements.
SECTION 5E.16. Section 2157.067(a), Government Code, is
amended to read as follows:
(a) The commission shall make the catalog [catalogue]
purchasing procedure available to a local government that qualifies
for cooperative purchasing under Sections 271.082 and 271.083,
Local Government Code.
SECTION 5E.17. Section 2157.068(b), Government Code, is
amended to read as follows:
(b) The department shall negotiate with catalog [qualified]
information systems vendors to attempt to obtain a favorable price
for all of state government on licenses for commodity software
items, based on the aggregate volume of purchases expected to be
made by the state. The terms and conditions of a license agreement
between a vendor and the department under this section may not be
less favorable to the state than the terms of similar license
agreements between the vendor and retail distributors.
SECTION 5E.18. Chapter 2254, Government Code, is amended by
adding Subchapter D to read as follows:
SUBCHAPTER D. OUTSIDE LEGAL SERVICES
Sec. 2254.151. DEFINITION. In this subchapter, "state
agency" means a department, commission, board, authority, office,
or other agency in the executive branch of state government created
by the state constitution or a state statute.
Sec. 2254.152. APPLICABILITY. This subchapter does not
apply to a contingent fee contract for legal services.
Sec. 2254.153. CONTRACTS FOR LEGAL SERVICES AUTHORIZED.
Subject to Section 402.0212, a state agency may contract for
outside legal services.
Sec. 2254.154. ATTORNEY GENERAL; COMPETITIVE PROCUREMENT.
The attorney general may require state agencies to obtain outside
legal services through a competitive procurement process, under
conditions prescribed by the attorney general.
SECTION 5E.19. Section 2262.001, Government Code, is
amended by adding Subdivision (1-a) to read as follows:
(1-a) "Commission" means the Texas Building and
Procurement Commission.
SECTION 5E.20. Sections 2262.051(a) and (b), Government
Code, are amended to read as follows:
(a) In consultation with the attorney general [Texas
Building and Procurement Commission], the Department of
Information Resources, the comptroller, and the state auditor, the
commission [attorney general] shall develop or [and] periodically
update a contract management guide for use by state agencies.
(b) The commission [attorney general] may adopt rules
necessary to develop or update the guide.
SECTION 5E.21. Section 2262.052(b), Government Code, is
amended to read as follows:
(b) The state auditor shall:
(1) periodically monitor compliance with this
section;
(2) report any noncompliance to:
(A) the governor;
(B) the lieutenant governor;
(C) the speaker of the house of representatives;
and
(D) the team; and
(3) assist, in coordination with the commission
[attorney general] and the comptroller, a noncomplying state agency
to comply with this section.
SECTION 5E.22. Section 2262.053(a), Government Code, is
amended to read as follows:
(a) In coordination with the [Texas Building and
Procurement Commission, the] comptroller, [and the] Department of
Information Resources, and [the] state auditor, the commission
shall develop or administer a training program for contract
managers.
SECTION 5E.23. Section 2262.054, Government Code, is
amended to read as follows:
Sec. 2262.054. PUBLIC COMMENT. The commission [attorney
general] by rule may establish procedures by which each state
agency is required to invite public comment by publishing the
proposed technical specifications for major contracts on the
Internet through the information service known as the Texas
Marketplace or through a suitable successor information service.
The guide must define "technical specifications."
SECTION 5E.24. Section 2262.101, Government Code, is
amended to read as follows:
Sec. 2262.101. CREATION; DUTIES. The Contract Advisory
Team is created to assist state agencies in improving contract
management practices by:
(1) reviewing the solicitation of major contracts by
state agencies;
(2) reviewing any findings or recommendations made by
the state auditor, including those made under Section 2262.052(b),
regarding a state agency's compliance with the contract management
guide; and
(3) providing recommendations to the commission
regarding:
(A) [the attorney general regarding] the
development of the contract management guide; and
(B) [the state auditor regarding] the training
under Section 2262.053.
SECTION 5E.25. Sections 2155.078(n), 2155.142, 2155.144,
2155.1441, 2157.001(2), 2157.064, 2157.065, 2157.066(c) and (d),
and 2261.001(e), Government Code, are repealed.
SECTION 5E.26. The changes in law made by this article to
Section 2155.141, Government Code, apply only to a purchase made on
or after the effective date of this article. A purchase made before
the effective date of this article is covered by the law in effect
when the purchase was made, and the former law is continued in
effect for that purpose.
SECTION 5E.27. (a) In this section, "commission" means the
Texas Building and Procurement Commission.
(b) Not later than February 1, 2004:
(1) the attorney general and state auditor shall
complete the transfer of powers and duties to the commission under
Chapter 2262, Government Code, as amended by this Act;
(2) a rule or form adopted by the attorney general or
state auditor under Chapter 2262, Government Code, is a rule or form
of the commission and remains in effect until changed by the
commission;
(3) the commission assumes, without a change in
status, the position of the attorney general or state auditor with
respect to any matter regarding which the duties of the attorney
general or state auditor under Chapter 2262, Government Code, have
been transferred to the commission;
(4) all property, including records, and rights and
obligations of the attorney general and state auditor related to
those entities' express duties under Chapter 2262, Government Code,
are transferred to the commission; and
(5) all funds appropriated by the legislature to the
attorney general and state auditor related to those entities'
express powers and duties under Chapter 2262, Government Code, are
transferred to the commission.
SECTION 5E.28. Section 2175.061, Government Code, is
amended by adding Subsection (c) to read as follows:
(c) The commission may by rule determine the best method of
disposal for surplus and salvage property of the state under this
chapter.
SECTION 5E.29. Section 2175.134(a), Government Code, is
amended to read as follows:
(a) Proceeds from the sale of surplus or salvage property,
less the cost of advertising the sale, the cost of selling the
surplus or salvage property, including the cost of auctioneer
services, and the amount of the fee collected under Section
2175.131, shall be deposited to the credit of the general revenue
fund of the state treasury [appropriate appropriation item of the
state agency for which the sale was made].
SECTION 5E.30. Section 2175.182(a), Government Code, is
amended to read as follows:
(a) The commission is responsible for the disposal of
surplus or salvage property under this subchapter. The commission
may take physical possession of the property. [A state agency
maintains ownership of property throughout the disposal process.]
SECTION 5E.31. Section 2175.185(b), Government Code, is
amended to read as follows:
(b) On receiving notice under this section, the comptroller
shall, if necessary, [:
[(1) debit and credit the proper appropriations; and
[(2)] adjust state property accounting records.
SECTION 5E.32. Section 2175.191(a), Government Code, is
amended to read as follows:
(a) Proceeds from the sale of surplus or salvage property,
less the cost of advertising the sale, the cost of selling the
surplus or salvage property, including the cost of auctioneer
services, and the amount of the fee collected under Section
2175.188, shall be deposited to the credit of the general revenue
fund of the state treasury [appropriate appropriation item of the
state agency for which the sale was made].
SECTION 5E.33. Section 2175.303, Government Code, is
amended to read as follows:
Sec. 2175.303. EXCEPTION FOR CERTAIN PROPERTY [PRODUCTS].
This chapter does not apply to disposition of:
(1) a product or by-product of research, forestry,
agriculture, livestock, or an industrial enterprise; [or]
(2) certain recyclable materials, including paper,
cardboard, aluminum cans, plastics, glass, one-use pallets, used
tires, used oil, and scrap metal, when the disposition is not in the
best interest of the state or economically feasible;
(3) property acquired by a state agency with money
from the state highway fund; or
(4) property given or granted to a state agency.
SECTION 5E.34. Section 2175.361, Government Code, is
amended to read as follows:
Sec. 2175.361. DEFINITIONS. In this subchapter:
(1) "Federal act" means the Federal Property and
Administrative Services Act of 1949 (40 U.S.C. Section 541 et seq.
[484]), as amended, or any other federal law providing for the
disposal of federal surplus property.
(2) "Federal property" means federal surplus property
acquired:
(A) by the commission or under the commission's
jurisdiction under this subchapter; and
(B) under 40 U.S.C. Section 483c, 549, or 550, or
under any other federal law providing for the disposal [Section
484(j) or (k)] of [the] federal surplus property [act]. [The term
includes federal real property acquired under Section 484(k) of the
federal act.]
SECTION 5E.35. Section 2175.362(a), Government Code, is
amended to read as follows:
(a) The commission is the designated state agency under 40
U.S.C. Section 549 and any other federal law providing for the
disposal [484(j)] of [the] federal surplus property [act].
SECTION 5E.36. Section 2175.364, Government Code, is
amended to read as follows:
Sec. 2175.364. COMMISSION ASSISTANCE IN PROCUREMENT AND USE
OF PROPERTY. The commission may:
(1) disseminate information and assist a potential
applicant regarding the availability of federal real property;
(2) assist in the processing of an application for
acquisition of federal real property and related personal property
under 40 U.S.C. Section 550 or any other federal law providing for
the disposal [484(k)] of [the] federal surplus property [act];
(3) act as an information clearinghouse for an entity
that may be eligible to acquire federal property and, as necessary,
assist the entity to obtain federal property;
(4) assist in assuring use of the property; and
(5) engage in an activity relating to the use of
federal property by another state agency, institution, or
organization engaging in or receiving assistance under a federal
program.
SECTION 5E.37. Section 2175.367, Government Code, is
amended to read as follows:
Sec. 2175.367. CONTRACTS. The commission may enter into an
agreement, including:
(1) a cooperative agreement with a federal agency
under 40 U.S.C. Section 549 or any other federal law providing for
the disposal [484(n)] of [the] federal surplus property [act];
(2) an agreement with a state agency for surplus
property of a state agency that will promote the administration of
the commission's functions under this subchapter; or
(3) an agreement with a group or association of state
agencies for surplus property that will promote the administration
of the commission's functions under this subchapter.
SECTION 5E.38. Sections 2175.134(b) and 2175.191(b),
Government Code, are repealed.
SECTION 5E.39. This article applies only to surplus and
salvage property of the state sold on or after September 1, 2003.
SECTION 5E.40. Section 2166.2531(d), Government Code, is
amended to read as follows:
(d) The commission shall prepare a request for
qualifications that includes general information on the project
site, project scope, [budget,] special systems, selection
criteria, and other information that may assist potential
design-build firms in submitting proposals for the project. The
commission shall also prepare a design criteria package that
includes more detailed information on the project. If the
preparation of the design criteria package requires engineering or
architectural services that constitute the practice of engineering
within the meaning of The Texas Engineering Practice Act (Article
3271a, Vernon's Texas Civil Statutes) or the practice of
architecture within the meaning of Chapter 478, Acts of the 45th
Legislature, Regular Session, 1937 (Article 249a, Vernon's Texas
Civil Statutes), those services shall be provided in accordance
with the applicable law.
SECTION 5E.41. Sections 2166.2532(e) and (g), Government
Code, are amended to read as follows:
(e) The commission shall select the construction
manager-at-risk in either a one-step or two-step process. The
commission shall prepare a request for proposals, in the case of a
one-step process, or a request for qualifications, in the case of a
two-step process, that includes general information on the project
site, project scope, schedule, selection criteria, [estimated
budget,] and the time and place for receipt of proposals or
qualifications, as applicable; a statement as to whether the
selection process is a one-step or two-step process; and other
information that may assist the commission in its selection of a
construction manager-at-risk. The commission shall state the
selection criteria in the request for proposals or qualifications,
as applicable. The selection criteria may include the offeror's
experience, past performance, safety record, proposed personnel
and methodology, and other appropriate factors that demonstrate the
capability of the construction manager-at-risk. If a one-step
process is used, the commission may request, as part of the
offeror's proposal, proposed fees and prices for fulfilling the
general conditions. If a two-step process is used, the commission
may not request fees or prices in step one. In step two, the
commission may request that five or fewer offerors, selected solely
on the basis of qualifications, provide additional information,
including the construction manager-at-risk's proposed fee and its
price for fulfilling the general conditions.
(g) At each step, the commission shall receive, publicly
open, and read aloud the names of the offerors. [At the appropriate
step, the commission shall also read aloud the fees and prices, if
any, stated in each proposal as the proposal is opened.] Within 45
days after the date of opening the proposals, the commission or its
representative shall evaluate and rank each proposal submitted in
relation to the criteria set forth in the request for proposals.
SECTION 5E.42. Sections 2166.2533(d) and (f), Government
Code, are amended to read as follows:
(d) The commission shall prepare a request for competitive
sealed proposals that includes construction documents, selection
criteria, [estimated budget,] project scope, schedule, and other
information that contractors may require to respond to the request.
The commission shall state in the request for proposals all of the
selection criteria that will be used in selecting the successful
offeror.
(f) The commission shall receive, publicly open, and read
aloud the names of the offerors [and, if any are required to be
stated, all prices stated in each proposal]. Within 45 days after
the date of opening the proposals, the commission shall evaluate
and rank each proposal submitted in relation to the published
selection criteria.
SECTION 5E.43. Subchapter F, Chapter 2166, Government Code,
is amended by adding Section 2166.260 to read as follows:
Sec. 2166.260. APPROVAL OF CERTAIN EXPENDITURES REQUIRED.
A state agency may not spend more than the amount authorized for the
cost of a project unless the governor and the Legislative Budget
Board approve the expenditure. Once the cost of a project reaches
the amount authorized for the project, each change to approved
project plans must be approved by the governor and the Legislative
Budget Board.
SECTION 5E.44. Section 2166.305(b), Government Code, is
amended to read as follows:
(b) A committee appointed by the commission shall perform
the review. The committee consists of:
(1) the director of facilities construction and space
management appointed under Section 2152.104, who serves [ex
officio] as the presiding officer of the committee [and who votes
only in case of a tie];
(2) seven individuals appointed by the commission, one
each from the lists of nominees submitted respectively by the:
(A) president of the Texas Society of Architects;
(B) president of the Texas Society of
Professional Engineers;
(C) presiding officer of the Executive Council of
the Texas Associated General Contractors Chapters;
(D) executive secretary of the Mechanical
Contractors Associations of Texas, Incorporated;
(E) executive secretary of the Texas Building and
Construction Trades Council;
(F) president of the Associated Builders and
Contractors of Texas; and
(G) executive director of the National
Association of Minority Contractors, with the list composed of
persons who reside in this state;
(3) one individual appointed by the commission
representing an institution of higher education, as defined by
Section 61.003, Education Code;
(4) one individual appointed by the commission
representing a state agency that has a substantial ongoing
construction program; [and]
(5) one individual appointed by the commission
representing the attorney general's office; and
(6) one individual appointed by the commission
representing the interests of historically underutilized
businesses.
SECTION 5E.45. Section 2166.201, Government Code, is
repealed.
SECTION 5E.46. This article applies only to a Texas
Building and Procurement Commission request for competitive
proposals under Chapter 2166, Government Code, as amended by this
article, on or after September 1, 2003.
ARTICLE 5F. WATER CONTRACTS
SECTION 5F.01. Section 11.041, Water Code, is amended by
amending Subsection (a) and adding Subsection (h) to read as
follows:
(a) Any person entitled to receive or use water from any
canal, ditch, flume, lateral, dam, reservoir, or lake or from any
conserved or stored supply may present to the commission a written
petition showing:
(1) that he is entitled to receive or use the water;
(2) that he is willing and able to pay a just and
reasonable price for the water;
(3) that the party owning or controlling the water
supply has water not contracted to others and available for the
petitioner's use; [and]
(4) that the party owning or controlling the water
supply fails or refuses to supply the available water to the
petitioner, or that the price or rental demanded for the available
water is not reasonable and just or is discriminatory; and
(5) that the petitioner has not entered into a
contract with the party owning or controlling the water supply.
(h) Notwithstanding any other law, the commission may not
amend, interpret, impair, or modify a written contract for the
wholesale provision of water for any purpose provided by this
chapter or Chapter 12 or 13.
SECTION 5F.02. Section 12.013, Water Code, is amended by
adding Subsection (i) to read as follows:
(i) Notwithstanding any other law, the commission may not
amend, interpret, impair, or modify a written contract for the
wholesale provision of raw or treated water for any purpose
provided by Chapter 11, this chapter, or Chapter 13.
SECTION 5F.03. Section 13.041, Water Code, is amended by
adding Subsection (h) to read as follows:
(h) Notwithstanding any other law, the commission may not
amend, interpret, impair, or modify a written contract for the
wholesale provision of water for any purpose provided by Chapter 11
or 12 or this chapter.
SECTION 5F.04. The changes in law made by this article apply
only to a contract executed on or after the effective date of this
article. A contract executed before the effective date of this
article is governed by the law in effect on the date the contract
was executed, and the former law is continued in effect for that
purpose.
ARTICLE 5G. TRAVEL SERVICES CONTRACTS
SECTION 5G.01. Sections 2171.052(b) and (c), Government
Code, are amended to read as follows:
(b) The central travel office may [shall] negotiate
contracts with private travel agents, with travel and
transportation providers, and with credit card companies that
provide travel services and other benefits to the state. The
central travel office may [shall] negotiate with commercial lodging
establishments to obtain the most cost-effective rates possible for
state employees traveling on state business.
(c) The commission may [shall] make contracts with travel
agents that meet certain reasonable requirements prescribed by the
central travel office, [allowing contracts to provide travel
services by as many private travel agents as possible] with
preference given to resident entities of this state.
SECTION 5G.02. Section 2171.052(e), Government Code, is
repealed.
ARTICLE 5H. ADMINISTRATION OF TEXAS BUILDING AND PROCUREMENT
COMMISSION
SECTION 5H.01. Section 2152.051, Government Code, is
amended to read as follows:
Sec. 2152.051. COMPOSITION OF COMMISSION. (a) The
commission consists of five members appointed by the governor.
(b) Subsection (a) governs the composition of the
commission after January 31, 2007. On or before that date, this
subsection governs the composition of the commission. The
commission consists of seven members, of whom[:
[(1)] three members are appointed by the governor,[;
[(2)] two additional members are appointed by the
governor from a list of nominees submitted by the speaker of the
house of representatives,[;] and
[(3)] two members are appointed by the lieutenant
governor. The members serving on the commission immediately before
the effective date of the Act of the 78th Legislature, Regular
Session, 2003, that amended this section and added this subsection
are entitled to continue to serve on the commission for the terms
for which they were appointed if they are otherwise qualified for
their positions. Notwithstanding Section 2152.057, for the period
in which the commission consists of seven members under this
subsection, two or three members' terms expire on January 31 of each
odd-numbered year. If, on or before January 31, 2007, the term of
any position on the commission expires or a vacancy is created in
any position on the commission, the governor shall appoint a person
to fill the position. However, the two positions on the commission
that are filled by appointment by the governor from a list submitted
by the speaker are abolished on the expiration of the positions'
terms on January 31, 2007. This subsection expires September 1,
2009.
[(b) In making an appointment under Subsection (a)(2), the
governor may reject one or more of the nominees on a list submitted
by the speaker of the house of representatives and request a new
list of different nominees.]
SECTION 5H.02. Section 2152.052(b), Government Code, is
amended to read as follows:
(b) In making appointments under this section, the governor
[and lieutenant governor] shall attempt to appoint women and
members of different minority groups, including African Americans,
Hispanic Americans, Native Americans, and Asian Americans.
SECTION 5H.03. Section 2152.057, Government Code, is
amended to read as follows:
Sec. 2152.057. TERMS. Commission members serve staggered
six-year terms with one or two [or three] members' terms expiring
January 31 of each odd-numbered year.
SECTION 5H.04. Section 2152.058(b), Government Code, is
amended to read as follows:
(b) The commission shall meet at least quarterly [once each
month]. The commission may meet at other times at the call of the
presiding officer or as provided by the commission's rules.
SECTION 5H.05. Subchapter B, Chapter 2152, Government Code,
is amended by adding Section 2152.065 to read as follows:
Sec. 2152.065. REPRESENTATION ON BOARD OR COMMITTEE. If
the commission must be represented on a board or committee, the
executive director or the executive director's designee shall serve
as the commission's representative on the board or committee unless
the presiding officer of the commission elects to personally serve
as the commission's representative or appoints a specific person to
serve as the commission's representative on the board or committee.
SECTION 5H.06. Section 2152.104(a), Government Code, is
amended to read as follows:
(a) The commission shall have an appropriate number of
[three] associate deputy directors.
SECTION 5H.07. Section 2172.001(a), Government Code, is
amended to read as follows:
[(a)] The commission may [shall] operate a central supply
store at which only state agencies, the legislature, and
legislative agencies may obtain small supply items. If the
commission operates a central supply store, the commission shall
devise an appropriate method of billing a using entity for the
supplies.
SECTION 5H.08. Section 2172.002(a), Government Code, is
amended to read as follows:
(a) The commission may [shall] maintain a facility for
repairing office machines and may [shall] offer repair services to
the following entities located in Austin:
(1) state agencies;
(2) the legislature; and
(3) legislative agencies.
SECTION 5H.09. Section 2172.001(b), Government Code, is
repealed.
[ARTICLE 5I. RESERVED]
ARTICLE 5J. STATE AGENCY LETTERHEAD
SECTION 5J.01. Subchapter C, Chapter 2054, Government Code,
is amended by adding Section 2054.062 to read as follows:
Sec. 2054.062. STATE AGENCY LETTERHEAD. The department
shall create a program that automatically generates letterhead for
a state agency on an agency computer.
[PART 6. RESERVED]
PART 7. PERSONNEL AND HUMAN RESOURCES
ARTICLE 7A. RETIREMENT SYSTEM CREDIT ESTABLISHED BY STATE
EMPLOYEES
SECTION 7A.01. Section 812.003, Government Code, is amended
by amending Subsection (d) and adding Subsections (e) and (f) to
read as follows:
(d) Membership in the employee class begins on the 91st day
after the first day a person is employed or holds office.
(e) A person who is reemployed or who again holds office
after withdrawing contributions under Subchapter B for previous
service credited in the employee class begins membership in the
employee class on the 91st day after the first day the person is
reemployed or again holds office.
(f) Notwithstanding any other provision of law, a member may
establish credit only as provided by Section 813.514 for service
performed during the 90-day waiting period provided by Subsection
(d) or (e).
SECTION 7A.02. Subchapter F, Chapter 813, Government Code,
is amended by adding Section 813.514 to read as follows:
Sec. 813.514. CREDIT PURCHASE OPTION FOR CERTAIN SERVICE.
(a) A member may establish credit under this section in the
employee class only for service performed during the 90-day waiting
period provided by Section 812.003(d) or (e).
(b) A member may establish service credit under this section
by depositing with the retirement system, for each month of service
credit, the actuarial present value, at the time of deposit, of the
additional standard retirement annuity benefits that would be
attributable to the purchase of the service credit under this
section based on rates and tables recommended by the retirement
system's actuary and adopted by the board of trustees.
(c) After a member makes the deposits required by this
section, the retirement system shall grant the member one month of
equivalent membership service credit for each month of credit
approved. A member may establish not more than three months of
equivalent membership service credit under this section.
(d) The retirement system shall deposit the amount of the
actuarial present value of the service credit purchased in the
member's individual account in the employees saving account.
(e) The board of trustees may adopt rules to administer this
section, including rules that impose restrictions on the
application of this section as necessary to cost-effectively
administer this section.
SECTION 7A.03. Section 812.003, Government Code, as amended
by this article, and Section 813.514, Government Code, as added by
this article, apply only to a person who is first employed by or
begins to hold an office of the state on or after the effective date
of this article and to a former employee or office holder who has
withdrawn retirement contributions under Subchapter B, Chapter
812, Government Code, and is reemployed by or begins to again hold
an office of the state on or after the effective date of this
article.
ARTICLE 7B. TEXAS EMPLOYEES GROUP HEALTH BENEFIT PLAN
SECTION 7B.01. Subchapter E, Chapter 1551, Insurance Code,
as effective June 1, 2003, is amended by adding Section 1551.219 to
read as follows:
Sec. 1551.219. MAIL ORDER REQUIREMENT FOR PRESCRIPTION DRUG
COVERAGE PROHIBITED. The board of trustees or a health benefit plan
under this chapter that provides benefits for prescription drugs
may not require a participant in the group benefits program to
purchase a prescription drug through a mail order program. The
board or health benefit plan shall require that a participant who
chooses to obtain a prescription drug through a retail pharmacy or
other method other than by mail order pay a deductible, copayment,
coinsurance, or other cost-sharing obligation to cover the
additional cost of obtaining a prescription drug through that
method rather than by mail order.
ARTICLE 7C. STATE AGENCY HUMAN RESOURCES STAFFING AND FUNCTIONS
SECTION 7C.01. Subtitle B, Title 6, Government Code, is
amended by adding Chapter 670 to read as follows:
CHAPTER 670. HUMAN RESOURCES STAFFING AND FUNCTIONS
Sec. 670.001. DEFINITION. In this chapter, "state agency"
means a department, commission, board, office, authority, council,
or other governmental entity in the executive branch of government
that is created by the constitution or a statute of this state and
has authority not limited to a geographical portion of the state.
The term does not include a university system or institution of
higher education as defined by Section 61.003, Education Code.
Sec. 670.002. HUMAN RESOURCES STAFFING FOR LARGE STATE
AGENCIES. A state agency with 500 or more full-time equivalent
employees shall adjust the agency's human resources staff to
achieve a human resources employee-to-staff ratio of not more than
one human resources employee for every 100 staff members.
Sec. 670.003. HUMAN RESOURCES STAFFING FOR MEDIUM-SIZED AND
SMALL STATE AGENCIES; OUTSOURCING. (a) The State Council on
Competitive Government shall determine the cost-effectiveness of
consolidating the human resources functions of or contracting with
private entities to perform the human resources functions of state
agencies that employ fewer than 500 full-time equivalent employees.
(b) If the council determines that contracting with private
entities is cost-effective, the council shall issue a request for
proposals for vendors to perform the human resources functions of
the agencies.
(c) The council shall determine which human resources
functions are subject to the contract and which functions the
agency may select to perform itself.
(d) Each agency shall pay for the contracts for human
resources functions out of the agency's human resources budget.
SECTION 7C.02. (a) Not later than September 1, 2003, each
state agency with 500 or more full-time equivalent employees shall
comply with the human resources employee-to-staff ratio
requirements in Section 670.002, Government Code, as added by this
article.
(b) Not later than January 1, 2004, the State Council on
Competitive Government shall conduct an initial feasibility study
to determine the cost-effectiveness of consolidating the human
resources functions of or contracting with private entities to
perform human resources functions of state agencies under Section
670.003, Government Code, as added by this article.
ARTICLE 7D. INSURANCE FOR VOLUNTEER MEMBERS OF STATE BOARDS
SECTION 7D.01. Section 1551.101(c), Insurance Code, as
effective June 1, 2003, is amended to read as follows:
(c) Subject to Section 1551.321, an [An] individual is
eligible to participate in the group benefits program as provided
by Subsection (a) if the individual is appointed, subject to
confirmation by the senate, as a member of the governing body with
administrative responsibility over a statutory state agency that
has statewide jurisdiction and whose employees are covered by this
chapter.
SECTION 7D.02. Subchapter G, Chapter 1551, Insurance Code,
as effective June 1, 2003, is amended by adding Section 1551.321 to
read as follows:
Sec. 1551.321. STATE CONTRIBUTION FOR CERTAIN INDIVIDUALS.
(a) The state or a state agency may not make any contribution to the
cost of any coverages or benefits provided under this chapter for an
individual described by Section 1551.101(c) or a dependent of the
individual.
(b) An individual described by Section 1551.101(c) who
participates in the group benefits program shall pay to the
trustee, in the manner specified by the trustee, the full cost of
the coverages or benefits provided to the individual or a dependent
of the individual.
SECTION 7D.03. (a) The change in law made by this article
by the addition of Section 1551.321, Insurance Code, applies only
to group coverages provided under the group benefits program
established under Chapter 1551, Insurance Code, on and after
September 1, 2003.
(b) Not later than the 30th day after the effective date of
Section 1551.321, Insurance Code, as added by this article, the
Employees Retirement System of Texas shall notify each individual
eligible to participate in the group benefits program under Chapter
1551, Insurance Code, in accordance with Section 1551.101(c),
Insurance Code, of the applicable requirements of Section 1551.321,
Insurance Code.
ARTICLE 7E. AGENCY STAFFING AND PRODUCTIVITY
SECTION 7E.01. Subchapter K, Chapter 659, Government Code,
is amended by adding Section 659.262 to read as follows:
Sec. 659.262. ADDITIONAL COMPENSATION FOR CERTAIN
CLASSIFIED STATE EMPLOYEES. (a) In this section, "state agency"
means an agency of any branch of state government that employs
individuals who are classified under Chapter 654.
(b) To enhance the recruitment of competent personnel for
certain classified employee positions, a state agency may provide
to a state employee, at the time of the employee's hiring for a
classified position, additional compensation in the form of a
one-time recruitment payment not to exceed $5,000. If the employee
discontinues employment with the state agency for any reason less
than three months after the date of receiving the recruitment
payment, the employee shall refund to the state agency the full
amount of the recruitment payment. If the employee discontinues
employment with the state agency for any reason three months or
longer but less than 12 months after the date of receiving the
recruitment payment, the employee shall refund to the state agency
an amount computed by:
(1) subtracting from 12 months the number of complete
calendar months the employee worked after the date of receiving the
recruitment payment;
(2) dividing the number of months computed under
Subdivision (1) by 12 months; and
(3) multiplying the fraction computed under
Subdivision (2) by the amount of the recruitment payment.
(c) To enhance the retention of employees who are employed
in certain classified positions that are identified by the chief
administrator of a state agency as essential for the state agency's
operations, a state agency may enter into a deferred compensation
contract with a classified employee to provide to the employee a
one-time additional compensation payment not to exceed $5,000 to be
added to the employee's salary payment the month after the
conclusion of the 12-month period of service under the deferred
compensation contract.
(d) To be eligible to enter into a contract for deferred
compensation under Subsection (c), a state employee must have
already completed at least 12 months of service in a classified
position.
(e) The chief administrator of a state agency shall
determine whether additional compensation is necessary under this
section on a case-by-case basis, considering:
(1) the criticality of the employee position in the
operations of the state agency;
(2) evidence of high turnover rates among employees
filling the position or an extended period during which the
position is or has in the past been vacant;
(3) evidence of a shortage of employees qualified to
fill the position or a shortage of qualified applicants; and
(4) other relevant factors.
(f) Before an agency provides or enters into a contract to
provide additional compensation to an employee under this section,
the chief administrator of the state agency must certify to the
comptroller in writing the reasons why the additional compensation
is necessary.
(g) Additional compensation paid to an employee under this
section is specifically exempted from any limitation on salary or
salary increases prescribed by this chapter.
SECTION 7E.02. Subtitle B, Title 6, Government Code, is
amended by adding Chapter 670 to read as follows:
CHAPTER 670. MANAGEMENT PERFORMANCE PROGRAM
Sec. 670.001. DEFINITION. In this chapter, "state agency"
means an agency in the executive branch of state government.
Sec. 670.002. UPPER MANAGEMENT PERFORMANCE
AGREEMENTS. (a) The governing body of a state agency shall
develop and enter into agreements with employees of the agency who
serve in upper management positions, including the chief executive
or chief administrator of the agency.
(b) An agreement under this section shall:
(1) communicate to the upper management employee the
agency's overall organizational goals and specific strategic aims;
(2) identify the specific performance measures and
targets applicable to the unique programs for which the upper
management employee is responsible; and
(3) explain the procedures that will be used by the
agency to hold the upper management employee accountable for
performance under the agreement, including annual performance
review procedures.
SECTION 7E.03. Effective September 1, 2003, Section
651.004, Government Code, is amended by adding Subsections (c-1)
and (d) to read as follows:
(c-1) A state agency in the executive branch of state
government that employs more than 100 full-time equivalent
employees may not, after August 31, 2004, employ more than one
full-time equivalent employee in a management position for every
eight full-time equivalent employees that the agency employs in
nonmanagerial staff positions. This subsection expires September
1, 2005.
(d) A state agency that believes that the minimum
management-to-staff ratios required by this section are
inappropriate for that agency may appeal to the governor. The
governor's decision regarding management-to-staff ratios is final.
The governor by rule shall adopt appeal procedures.
SECTION 7E.04. Effective September 1, 2004, Section
651.004, Government Code, is amended by adding Subsection (c-2) to
read as follows:
(c-2) A state agency in the executive branch of state
government that employs more than 100 full-time equivalent
employees may not, after August 31, 2005, employ more than one
full-time equivalent employee in a management position for every
nine full-time equivalent employees that the agency employs in
nonmanagerial staff positions. This subsection expires September
1, 2006.
SECTION 7E.05. Effective September 1, 2005, Section
651.004, Government Code, is amended by adding Subsection (c-3) to
read as follows:
(c-3) A state agency in the executive branch of state
government that employs more than 100 full-time equivalent
employees may not, after August 31, 2006, employ more than one
full-time equivalent employee in a management position for every 10
full-time equivalent employees that the agency employs in
nonmanagerial staff positions. This subsection expires September
1, 2007.
SECTION 7E.06. (a) Effective September 1, 2006, Section
651.004, Government Code, is amended by adding Subsection (c) to
read as follows:
(c) A state agency in the executive branch of state
government that employs more than 100 full-time equivalent
employees may not employ more than one full-time equivalent
employee in a management position for every 11 full-time equivalent
employees that the agency employs in nonmanagerial staff positions.
(b) A state agency in the executive branch of government
shall achieve the management-to-staff ratio required by Section
651.004(c), Government Code, as added by this section, not later
than August 31, 2007.
SECTION 7E.07. Section 656.048(b), Government Code, is
repealed.
PART 8. ENVIRONMENT
ARTICLE 8A. NONADJUDICATIVE NOTICE AND HEARING
SECTION 8A.01. Chapter 5, Water Code, is amended by adding
Subchapter S to read as follows:
SUBCHAPTER S. NONADJUDICATIVE NOTICE AND HEARING
Sec. 5.851. APPLICABILITY. This subchapter provides
procedures for providing public notice, opportunity for public
comment, and an opportunity for a nonadjudicative hearing regarding
commission actions relating to certain permits issued under Chapter
26 or 27 or under Chapter 361 or 382, Health and Safety Code.
Sec. 5.852. PRELIMINARY DECISION. (a) The executive
director shall conduct a technical review of and issue a
preliminary decision on an application for a permit.
(b) Notice of the preliminary decision must be provided as
prescribed by Section 5.854.
(c) The applicant shall make available for review a copy of
the application and preliminary decision at a public place in the
county in which the facility is located or proposed to be located.
Sec. 5.853. NOTICE CONTENT; PUBLIC COMMENT PERIOD. (a) The
commission by rule shall establish:
(1) the form, content, and timing of the notice; and
(2) the duration of the public comment period.
(b) Notice must be provided as follows:
(1) the chief clerk of the commission shall mail
notice to:
(A) the state senator and representative who
represent the general area in which the facility is located or
proposed to be located; and
(B) any other person designated by commission
rule; and
(2) the applicant shall publish notice in a newspaper
of general circulation in the county in which the facility is
located or proposed to be located.
(c) The notice must include:
(1) the permit application number;
(2) the applicant's name and address;
(3) the location of the facility and the nature of the
proposed activity at the facility;
(4) the location at which copies of the application
and preliminary decision are available for review;
(5) a description of any procedural rights of the
public; and
(6) a 30-day public comment period, except as
otherwise provided by commission rule.
Sec. 5.854. NONADJUDICATIVE HEARING. (a) A hearing on an
application for issuance, amendment, modification, or renewal of a
permit subject to this subchapter must be conducted under this
section. Chapter 2001, Government Code, does not apply to a hearing
under this subchapter.
(b) The executive director shall hold a nonadjudicative
hearing for an application if, after the close of the public comment
period, there is significant public interest in the application.
(c) At the hearing, any person may submit an oral or written
statement regarding the application for the permit. The public
comment period extends to the close of the hearing.
(d) In determining whether to issue the permit and what
conditions should be included if a permit is issued, the executive
director shall consider all comments received during the public
comment period and at the hearing.
Sec. 5.855. RESPONSE TO PUBLIC COMMENTS; PREPARATION OF
FACT SHEET. (a) If necessary to satisfy a requirement for federal
authorization of a state permit program, the executive director, in
a manner consistent with commission rule, shall file with the chief
clerk of the commission a response to each significant written
public comment on the preliminary decision filed during the public
comment period.
(b) For an application that is not subject to Subsection
(a), the executive director shall submit to the chief clerk of the
commission a statement that briefly describes the principal facts
and significant legal and policy issues related to the application.
ARTICLE 8B. PUBLIC PARTICIPATION
SECTION 8B.01. Subchapter D, Chapter 5, Water Code, is
amended by adding Sections 5.132 and 5.133 to read as follows:
Sec. 5.132. GENERAL PERMITS. (a) The commission may issue
a general permit to authorize a regulated activity for a category of
entities if the commission finds that:
(1) the types of operations of the entities are the
same or substantially similar;
(2) the activity is more appropriately regulated under
a general permit than under an individual permit;
(3) the general permit is enforceable;
(4) the commission can adequately monitor compliance
with the terms of the general permit; and
(5) the general permit does not conflict with any
requirement to maintain federal program authorization.
(b) The commission shall publish notice of a proposed
general permit in the Texas Register and in a newspaper of general
circulation in the area affected by the activity that is the subject
of the proposed general permit. For a statewide general permit, the
commission shall designate one or more newspapers of statewide or
regional circulation and shall publish notice of the proposed
statewide general permit in each designated newspaper in addition
to the Texas Register. The notice shall invite written comments and
be published not later than the 30th day before the commission
issues the general permit.
(c) The commission may hold a public meeting to provide an
additional opportunity for public comment. The commission shall
give notice of a public meeting as provided by Subsection (b) not
later than the 30th day before the date of the meeting.
(d) If the commission receives public comment relating to
issuance of a general permit, the commission may issue the general
permit only after responding in writing to the comments. The
commission shall issue a written response to comments on the permit
at the same time the commission issues or denies the permit. The
commission shall make its response available to the public and
shall mail its response to each person who made a comment.
(e) A general permit must include the procedures for
obtaining authorization under the terms of the general permit.
(f) The commission by rule shall establish procedures for
the issuance, amendment, renewal, suspension, revocation, or
cancellation of a general permit.
(g) The commission may impose a reasonable and necessary fee
for authorization to use general permits under this section.
(h) The issuance, amendment, renewal, suspension,
revocation, or cancellation of a general permit or of authorization
to use a general permit is not subject to Subchapters C-F, Chapter
2001, Government Code.
(i) The commission may adopt rules as necessary to implement
and administer this section.
(j) The commission may delegate to the executive director
the authority to issue, amend, renew, suspend, revoke, or cancel a
general permit or an authorization to use a general permit.
Sec. 5.133. TIME LIMIT FOR ISSUANCE OR DENIAL OF PERMITS.
(a) Except as provided in Subsection (b), all permit decisions
shall be made within 180 days of the date of the receipt of the
permit application or application amendment or the date of the
determination of administrative completeness, whichever date is
later.
(b) This section does not apply to a permit issued under a
federally delegated or approved program unless allowed under that
program.
SECTION 8B.02. Section 5.551, Water Code, is amended by
amending Subsection (a) and adding Subsection (d) to read as
follows:
(a) This subchapter establishes procedures for providing
public notice, an opportunity for public comment, and a contested
case [an opportunity for public] hearing under [Subchapters C-H,]
Chapter 2001, Government Code, regarding commission actions
relating to a permit issued under Chapter 26 or 27 [of this code] or
under Chapter 361 or 382, Health and Safety Code. This subchapter
is procedural and does not expand or restrict the types of
commission actions for which public notice, an opportunity for
public comment, and a contested case [an opportunity for public]
hearing are provided under Chapter 26 or 27 [of this code] or
Chapter 361 or 382, Health and Safety Code.
(d) The procedures established by this subchapter apply to
permits subject to a contested case hearing and supersede any other
procedural requirements in Chapter 26 or 27 and under Chapter 361 or
382, Health and Safety Code, relating to public notice, public
comment, public meetings, and a request for a contested case
hearing.
SECTION 8B.03. Subchapter M, Chapter 5, Water Code, is
amended by adding Section 5.5515 to read as follows:
Sec. 5.5515. NOTICE CONTENT; PUBLIC COMMENT PERIOD. (a)
The commission by rule shall establish the form, content, and
timing of the notice and the duration of the public comment period.
(b) Notice shall be provided by the following methods:
(1) the chief clerk shall mail notice to the state
senator and representative who represent the general area in which
the facility is located or proposed to be located and any other
persons designated by commission rule; and
(2) the applicant shall publish notice in a newspaper
of general circulation in the county in which the facility is
located or proposed to be located.
(c) The notice must include:
(1) the permit application number;
(2) the applicant's name and address;
(3) the location of the facility and the nature of the
proposed activity;
(4) the location at which a copy of the application and
preliminary decision is available for review and copying at a
public place in the county in which the facility is located or
proposed to be located;
(5) a description of the procedural rights and
obligations of the public; and
(6) a 30-day public comment period unless otherwise
provided by commission rule.
SECTION 8B.04. The heading to Section 5.553, Water Code, is
amended to read as follows:
Sec. 5.553. PRELIMINARY DECISION[; NOTICE AND PUBLIC
COMMENT].
SECTION 8B.05. Section 5.553, Water Code, is amended by
adding Subsection (a-1) and amending Subsection (e) to read as
follows:
(a-1) Notice of the preliminary decision must be provided in
accordance with Section 5.5515.
(e) The applicant shall make a copy of the application and
preliminary decision available for review and copying at a public
place in the county in which the facility is located or proposed to
be located.
SECTION 8B.06. Section 5.554, Water Code, is amended to
read as follows:
Sec. 5.554. PUBLIC MEETING. (a) During the public comment
period, the executive director may hold one or more public meetings
in the county in which the facility is located or proposed to be
located. The executive director shall hold a public meeting:
(1) on the request of a member of the legislature who
represents the general area in which the facility is located or
proposed to be located; or
(2) if the executive director determines that there is
substantial public interest in the proposed activity.
(b) The applicant shall publish notice of a public meeting
in a newspaper of general circulation in the county in which the
facility is located or proposed to be located at least 30 days
before the public meeting unless otherwise provided by commission
rule.
SECTION 8B.07. Section 5.555, Water Code, is amended to
read as follows:
Sec. 5.555. RESPONSE TO PUBLIC COMMENTS; PREPARATION OF
FACT SHEET. (a) If necessary to satisfy a requirement for federal
authorization of a state permit program, the [The] executive
director, in accordance with [procedures provided by] commission
rules [rule], shall file with the chief clerk of the commission a
response to each significant written [relevant and material] public
comment on the preliminary decision filed during the public comment
period.
(b) For applications that are not subject to Subsection (a),
the executive director shall prepare a fact sheet that briefly
describes the principal facts and significant legal and policy
issues and shall file the fact sheet with the chief clerk of the
commission [The chief clerk of the commission shall transmit the
executive director's decision, the executive director's response to
public comments, and instructions for requesting that the
commission reconsider the executive director's decision or hold a
contested case hearing to:
[(1) the applicant;
[(2) any person who submitted comments during the
public comment period; and
[(3) any person who requested to be on the mailing list
for the permit action].
SECTION 8B.08. The heading to Section 5.556, Water Code, is
amended to read as follows:
Sec. 5.556. REQUEST FOR [RECONSIDERATION OR] CONTESTED CASE
HEARING.
SECTION 8B.09. Section 5.556, Water Code, is amended by
amending Subsections (a), (b), (c), and (f), and by adding
Subsections (d-1)-(d-9) to read as follows:
(a) A person may request that the executive director refer
an application to the State Office of Administrative Hearings for
[commission reconsider the executive director's decision or hold] a
contested case hearing. A request must be filed with the chief
clerk of the commission during the period provided by commission
rule.
(b) The executive director [commission] shall act on a
request during the period provided by commission rule.
(c) The executive director on receiving [commission may not
grant] a request for a contested case hearing [unless the
commission determines that the request was filed] by the applicant
or by an affected person as defined by Subsections (d-1)-(d-5),
shall refer an application to the commission's office of hearings
examiners [Section 5.115].
(d-1) For applications under Chapter 382, Health and Safety
Code, an affected person is a person who:
(1) resides on or owns property within one-half mile
of the facility or proposed facility if the application is for a
permit or permit amendment to allow emissions below the threshold
for major source or major modification, or for a permit renewal; or
(2) resides on or owns property within one mile of the
facility or proposed facility if the application is for a permit or
permit amendment for a major source or major modification.
(d-2) For industrial solid waste and hazardous waste
applications under Chapter 361, Health and Safety Code, an affected
person is a person who resides on or owns property within:
(1) one-half mile of the facility or proposed facility
if the application is for a major amendment, Class 3 modification,
or renewal; or
(2) one mile of the facility or proposed facility if
the application is for a new permit.
(d-3) For municipal solid waste applications under Chapter
361, Health and Safety Code, an affected person is a person who
resides on or owns property within:
(1) one-half mile of the facility or proposed facility
if the application is for a major amendment or a modification that
requires notice; or
(2) one mile of the facility or proposed facility if
the application is for a new permit.
(d-4) For underground injection well applications under
Chapter 27, an affected person is a person who, for a new permit,
major amendment, or renewal, resides on, owns property on, or owns
mineral rights:
(1) underlying the facility; or
(2) underlying property adjacent to the facility.
(d-5) For water quality applications for a new permit, major
amendment, or renewal, under Chapter 26, an affected person is a
person who resides on or owns property:
(1) within one-half mile downstream of a discharge or
proposed discharge;
(2) within one mile downstream of a discharge or
proposed discharge if the proposed discharge is for one million
gallons per day or more; or
(3) that is adjacent to the property used by the
applicant to dispose of or land apply waste or wastewater, or
adjacent to the facility or proposed facility.
(d-6) An affected person must reside on or own the property
specified in Subsections (d-1)-(d-5) on the date of the notice of
preliminary decision.
(d-7) A group composed of individuals with a common interest
and that is potentially affected by the application, an association
that has one or more members potentially affected by the
application, or a governmental entity with authority under state
law over issues relating to the permit application may be an
affected person. The commission by rule shall establish criteria
for determining whether a group, association, or governmental
entity is an affected person.
(d-8) A person whose hearing request is not referred to the
commission's office of hearings examiners may appeal to the
commission as provided by commission rule.
(d-9) The commission by rule may establish criteria for the
amount of increase proposed to be authorized below which a request
for hearing by an affected person may be denied if the commission
determines that such an increase is not expected to have a negative
impact on human health or the environment.
(f) This section does not preclude the executive director
from referring any application for a contested case hearing and
does not preclude the commission from holding a hearing if it
determines that the public interest warrants doing so.
SECTION 8B.10. Sections 26.028(c), (d), (g), and (h), Water
Code, are amended to read as follows:
(c) Except as otherwise provided by this section, the
commission, on the motion of a commissioner, or on the request of
the executive director or any affected person, shall hold a
contested case [public] hearing on the application for a permit,
permit amendment, or renewal of a permit.
(d) Notwithstanding any other provision of this chapter,
the commission, at a regular meeting without the necessity of
holding a contested case [public] hearing, may approve an
application to renew or amend a permit if:
(1) the applicant is not applying to:
(A) increase significantly the quantity of waste
authorized to be discharged; or
(B) change materially the pattern or place of
discharge;
(2) the activities to be authorized by the renewed or
amended permit will maintain or improve the quality of waste
authorized to be discharged;
(3) [for NPDES permits,] notice and the opportunity to
comment and request a nonadjudicative hearing under Subchapter S,
Chapter 5, has been [public meeting shall be] given, and a
nonadjudicative hearing has been held if required under Subchapter
S, Chapter 5 [in compliance with NPDES program requirements, and
the commission shall consider and respond to all timely received
and significant public comment]; [and]
(4) the commission determines that an applicant's
compliance history for the preceding five years [under the method
for evaluating compliance history developed by the commission under
Section 5.754] raises no issues regarding the applicant's ability
to comply with a material term of its permit; and
(5) for NPDES permits, the commission has considered
and responded to each significant public comment that was timely
received.
(g) An application to renew a permit for a confined animal
feeding operation [which was issued between July 1, 1974, and
December 31, 1977,] may be set for consideration and may be acted on
by the commission at a regular meeting without the necessity of
holding a contested case [public] hearing if the applicant does not
seek to discharge into or adjacent to water in the state and does
not seek to change materially the pattern or place of disposal.
(h) For the purposes of Subsection (c), the commission may
act on the application without holding a contested case [public]
hearing if all of the following conditions are met:
(1) not less than 30 days before the date of action on
the application by the commission, the applicant has published the
commission's notice of the application at least once in a newspaper
regularly published or circulated within each county where the
proposed facility or discharge is located and in each county
affected by the discharge;
(2) not less than 30 days before the date of action on
the application by the commission, the applicant has served or
mailed the commission's notice of the application to persons who in
the judgment of the commission may be affected, including the
county judges as required by Subsection (b). As part of the [his]
application the applicant shall submit an affidavit which lists the
names and addresses of the persons who may be affected by the
application and includes the source of the list;
(3) within 30 days after the date of the newspaper
publication of the commission's notice, neither a commissioner, the
executive director, nor an affected person who objects to the
application has requested a contested case [public] hearing.
SECTION 8B.11. Section 361.0666, Health and Safety Code, is
amended by adding Subsection (f) to read as follows:
(f) A public meeting is not required for a new municipal
solid waste facility that is authorized through registration.
SECTION 8B.12. Section 361.088(e), Health and Safety Code,
is amended to read as follows:
(e) This subsection applies to an application for a new
permit or permit modification or amendment for post-closure care or
corrective action at a solid waste management facility. After
complying with Sections 5.5515-5.555 [5.552-5.555], Water Code,
the commission, without providing an opportunity for a contested
case hearing, may act on an application described by this
subsection if notice and opportunity to request a nonadjudicative
hearing under Subchapter S, Chapter 5, Water Code, has been given,
to renew a permit for:
(1) storage of hazardous waste in containers, tanks,
or other closed vessels if the waste:
(A) was generated on-site; and
(B) does not include waste generated from other
waste transported to the site; [and]
(2) processing of hazardous waste if:
(A) the waste was generated on-site;
(B) the waste does not include waste generated
from other waste transported to the site; and
(C) the processing does not include thermal
processing; and
(3) treatment, storage, or disposal of solid waste,
including actions relating to post-closure or corrective action, if
the renewal application does not include any changes to
authorization provided by the existing permit.
SECTION 8B.13. Section 361.121(c), Health and Safety Code,
is amended to read as follows:
(c) The notice and hearing provisions of Subchapter S [M],
Chapter 5, Water Code, [as added by Chapter 1350, Acts of the 76th
Legislature, Regular Session, 1999,] apply to an application under
this section for a permit, a permit amendment, or a permit renewal.
SECTION 8B.14. Subchapter C, Chapter 361, Health and Safety
Code, is amended by adding Sections 361.123 and 361.124 to read as
follows:
Sec. 361.123. PERMIT FOR DISPOSAL OF BRUSH, CONSTRUCTION
AND DEMOLITION WASTE, AND OTHER NONPUTRESCIBLE WASTES IN
ARID-EXEMPT LANDFILLS. This section applies only to a landfill for
which an application for an initial permit is filed on or after
September 1, 2003, and that is certified as arid-exempt in
accordance with commission rule and is designated for the disposal
of brush, construction and demolition waste, and other
nonputrescible wastes. An application by a landfill for a permit or
permit amendment is not subject to a contested case hearing but is
subject to notice and opportunity for a nonadjudicative hearing
under Subchapter S, Chapter 5, Water Code.
Sec. 361.124. PERMIT FOR ANIMAL CREMATORY FACILITY. This
section applies only to a facility that stores, processes, or
disposes of animal carcasses and that is not eligible for
authorization through a permit by rule. An application by a
facility for a permit or permit amendment is not subject to a
contested case hearing but is subject to the notice and opportunity
for a nonadjudicative hearing under Subchapter S, Chapter 5, Water
Code.
SECTION 8B.15. Section 361.534, Health and Safety Code, is
amended by amending Subsection (a) and adding Subsection (c) to
read as follows:
(a) The commission may hold a public meeting on [shall set a
hearing to be held not later than the 30th day after the date that
the commission receives] an application under this subchapter.
(c) Notice of the public meeting shall be mailed and
published as provided by commission rule.
SECTION 8B.16. Section 382.0518(b), Health and Safety Code,
is amended to read as follows:
(b) The commission shall grant within a reasonable time a
permit or permit amendment to construct or modify a facility if,
from the information available to the commission, including
information presented at a contested case [any] hearing [held under
Section 382.056(k)], the commission finds:
(1) the proposed facility for which a permit, permit
amendment, or a special permit is sought will use at least the best
available control technology, considering the technical
practicability and economic reasonableness of reducing or
eliminating the emissions resulting from the facility; and
(2) no indication that the emissions from the facility
will contravene the intent of this chapter, including protection of
the public's health and physical property.
SECTION 8B.17. Section 382.05191, Health and Safety Code,
is amended by amending Subsection (a) and adding Subsection (e) to
read as follows:
(a) An applicant for a permit under Section 382.05183,
382.05185(c) or (d), 382.05186, or 382.0519 shall publish notice
and provide the opportunity for nonadjudicative hearing [of intent
to obtain the permit] in accordance with Subchapter S, Chapter 5,
Water Code [Section 382.056]. An applicant for a permit under
Section 382.05186(b) shall publish notice and provide an
opportunity for nonadjudicative hearing under Section 382.05197.
(e) For an application under Section 382.05183,
382.05185(c) or (d), 382.05186, or 382.0519, the executive director
shall prepare a fact sheet that briefly describes the principal
facts and significant legal and policy issues, as provided by
commission rule.
SECTION 8B.18. Section 382.05197, Health and Safety Code,
is amended by amending Subsection (a) and adding Subsection (e) to
read as follows:
(a) An application [applicant] for a permit under Section
382.05194 is subject to notice and opportunity for contested case
hearing [shall publish notice of intent to obtain the permit in
accordance with Section 382.056, except that the notice of a
proposed multiple plant permit for existing facilities shall be
published in one or more statewide or regional newspapers that
provide reasonable notice throughout the state. If the multiple
plant permit for existing facilities will be effective for only
part of the state, the notice shall be published in a newspaper of
general circulation in the area to be affected. The commission by
rule may require that additional notice be given].
(e) Notwithstanding Section 5.5515(c), Water Code, notice
of a proposed multiple plant permit for existing facilities shall
be published in one or more statewide or regional newspapers that
provide reasonable notice throughout this state. If the multiple
plant permit for existing facilities will be effective for only a
part of this state, the notice shall be published in a newspaper of
general circulation in the area to be affected. The commission by
rule may require that additional notice be given.
SECTION 8B.19. The heading to Section 382.056, Health and
Safety Code, is amended to read as follows:
Sec. 382.056. NOTICE AND [OF INTENT TO OBTAIN PERMIT OR
PERMIT REVIEW;] HEARING.
SECTION 8B.20. Section 382.056, Health and Safety Code, is
amended by amending Subsections (a), (o), (q), and (r), and adding
Subsections (a-1) through (a-3) to read as follows:
(a) An [Except as provided by Section 382.0518(h), an]
applicant for a permit or permit amendment under Section 382.0518
or a permit renewal review under Section 382.055 shall publish
notice of a preliminary decision on [intent to obtain] the permit,
permit amendment, or permit review and provide an opportunity for
contested case hearing as provided by Subchapter M, Chapter 5,
Water Code [not later than the 30th day after the date the
commission determines the application to be administratively
complete. The commission by rule shall require an applicant for a
federal operating permit under Section 382.054 to publish notice of
intent to obtain a permit, permit amendment, or permit review
consistent with federal requirements and with the requirements of
Subsection (b). The applicant shall publish the notice at least
once in a newspaper of general circulation in the municipality in
which the facility or federal source is located or is proposed to be
located or in the municipality nearest to the location or proposed
location of the facility or federal source. If the elementary or
middle school nearest to the facility or proposed facility provides
a bilingual education program as required by Subchapter B, Chapter
29, Education Code, the applicant shall also publish the notice at
least once in an additional publication of general circulation in
the municipality or county in which the facility is located or
proposed to be located that is published in the language taught in
the bilingual education program. This requirement is waived if
such a publication does not exist or if the publisher refuses to
publish the notice. The commission by rule shall prescribe the form
and content of the notice and when notice must be published. The
commission may require publication of additional notice. The
commission by rule shall prescribe alternative procedures for
publication of the notice in a newspaper if the applicant is a small
business stationary source as defined by Section 382.0365 and will
not have a significant effect on air quality. The alternative
procedures must be cost-effective while ensuring adequate notice.
Notice required to be published under this section shall only be
required to be published in the United States].
(a-1) An amendment, modification, or renewal that would not
result in an increase in allowable emissions and would not result in
the emission of an air contaminant not previously emitted is
subject to notice but the commission may not hold a contested case
hearing on the amendment, modification, or renewal as provided by
this section except as provided by Subsection (e).
(a-2) An application for a permit amendment under this
section is not subject to notice and opportunity for a contested
case hearing if the total emissions increase from all facilities
authorized under the amended permit will meet the de minimus
criteria established by commission rule and the emissions will not
change in character. An application for a permit amendment for a
facility affected by a rule adopted under Section 382.020 is not
subject to notice and opportunity for a contested case hearing if
the total emissions increase from all facilities authorized under
the permit amendment is not significant and will not change in
character. A finding under this subsection that a total emissions
increase is not significant must be made in the same manner as a
finding made under Section 382.05196.
(a-3) The following types of applications for a permit,
permit amendment, or permit renewal are not subject to the
opportunity for a contested case hearing and are subject to notice
and opportunity for a nonadjudicative hearing under Subchapter S,
Chapter 5, Water Code:
(1) concrete batch plants;
(2) rock crushing facilities;
(3) concrete crushing facilities;
(4) hot mix asphalt plants;
(5) cotton gins;
(6) grain handling facilities; and
(7) animal crematory facilities.
(o) Notwithstanding other provisions of this chapter, an
application for [the commission may hold a hearing on] a permit
amendment, modification, or renewal is subject to the opportunity
for a contested case hearing if it [if the commission determines
that the application] involves a facility for which the applicant's
compliance history is unacceptable to the commission based on
violations constituting a recurring pattern of conduct that
demonstrates a consistent disregard for the regulatory process,
including a failure to make a timely and substantial attempt to
correct the violations [in the lowest classification under Sections
5.753 and 5.754, Water Code, and rules adopted and procedures
developed under those sections].
(q) The commission [department] shall establish rules to
ensure that a permit applicant complies with the notice requirement
under Subchapter M, Chapter 5, Water Code [Subsection (a)].
(r) An application is not subject to notice and opportunity
for a contested case hearing if the application involves [This
section does not apply to]:
(1) the relocation or change of location of a portable
facility to a site where an authorized portable [a] facility
[permitted by the commission is located if no portable facility]
has been located at the proposed site at any time during the
previous two years; or
(2) a portable facility located temporarily in the
right-of-way, or contiguous to the right-of-way, of a public works
project.
SECTION 8B.21. The heading to Section 382.0561, Health and
Safety Code, is amended to read as follows:
Sec. 382.0561. FEDERAL OPERATING PERMIT: NOTICE AND
HEARING.
SECTION 8B.22. Section 382.0561(f), Health and Safety Code,
is amended to read as follows:
(f) Notice of the public comment period and opportunity for
a hearing under this section shall be published in accordance with
commission rules and include:
(1) a description of the location or proposed location
of the facility or federal source;
(2) a description of the manner in which the
commission may be contacted for further information, including a
telephone number;
(3) a statement that a person who may be affected by
emissions of air contaminants from the facility, proposed facility,
or federal source, is entitled to request a nonadjudicative hearing
from the commission; and
(4) any other information the commission by rule
requires [Section 382.056].
SECTION 8B.23. Section 382.065, Health and Safety Code, as
added by Chapter 965, Acts of the 77th Legislature, Regular
Session, 2001, is amended by adding Subsection (c) to read as
follows:
(c) For the purposes of applying the restriction regarding
the distance between a concrete crushing facility and a building
under Subsection (a), the commission shall determine the location
of the building as of the date the permit application is filed with
the commission.
SECTION 8B.24. The following laws are repealed:
(1) Section 5.552, Water Code;
(2) Sections 5.553(b), (c), and (d), Water Code;
(3) Sections 5.556(d) and (e), Water Code; and
(4) Section 5.557, Water Code.
SECTION 8B.25. Sections 361.0791 and 361.088(d), Health and
Safety Code, are repealed.
SECTION 8B.26. The following laws are repealed:
(1) Sections 2003.047 and 2003.048, Government Code;
and
(2) Sections 361.534(b), 382.0518(h) and (i),
382.05191(b) and (c), 382.05197(b) and (c), 382.056(b)-(n) and (p),
and 382.058, Health and Safety Code.
ARTICLE 8C. COMPLIANCE HISTORY
SECTION 8C.01. Subchapter Q, Chapter 5, Water Code, is
repealed.
SECTION 8C.02. Section 361.0215(c), Health and Safety Code,
is repealed.
SECTION 8C.03. Section 27.051(h), Water Code, as added by
Chapter 965, Acts of the 77th Legislature, Regular Session, 2001,
is repealed.
SECTION 8C.04. Section 26.0281, Water Code, is amended to
read as follows:
Sec. 26.0281. CONSIDERATION OF PAST PERFORMANCE AND
COMPLIANCE [HISTORY]. In considering the issuance, amendment, or
renewal of a permit to discharge effluent comprised primarily of
sewage or municipal waste, the commission shall consider any
adjudicated decision or [the] compliance proceeding addressing
past performance and compliance [history] of the applicant and its
operator with the laws of this state governing waste discharge,
waste treatment, or waste disposal facilities and with the terms of
any permit or order issued by the commission [under the method for
evaluating compliance history developed by the commission under
Section 5.754]. In considering an applicant's compliance history
under this subsection, the commission shall consider as evidence of
compliance information regarding the applicant's implementation of
an environmental management system at the facility for which the
permit, permit amendment, or permit renewal is sought. In this
section, "environmental management system" has the meaning
assigned by Section 5.127.
SECTION 8C.05. Section 26.040(h), Water Code, is amended to
read as follows:
(h) Notwithstanding other provisions of this chapter, the
commission, after hearing, shall deny or suspend a discharger's
authority to discharge under a general permit if the commission
determines that the discharger operates any facility for which the
discharger's compliance history contains violations constituting a
recurring pattern of egregious conduct that demonstrates a
consistent disregard for the regulatory process, including a
failure to make a timely and substantial attempt to correct the
violations [is in the lowest classification under Sections 5.753
and 5.754 and rules adopted and procedures developed under those
sections]. A hearing under this subsection is not subject to
Chapter 2001, Government Code.
SECTION 8C.06. Section 27.051(d), Water Code, and Section
27.051(e), Water Code, as amended by Chapter 965, Acts of the 77th
Legislature, Regular Session, 2001, are amended to read as follows:
(d) The commission, in determining if the use or
installation of an injection well is in the public interest under
Subsection (a)(1), shall consider, but shall not be limited to the
consideration of:
(1) compliance history of the applicant and related
entities [under the method for evaluating compliance history
developed by the commission under Section 5.754 and] in accordance
with the provisions of Subsection (e);
(2) whether there is a practical, economic, and
feasible alternative to an injection well reasonably available; and
(3) if the injection well will be used for the disposal
of hazardous waste, whether the applicant will maintain sufficient
public liability insurance for bodily injury and property damage to
third parties that is caused by sudden and non-sudden accidents or
will otherwise demonstrate financial responsibility in a manner
adopted by the commission in lieu of public liability insurance. A
liability insurance policy which satisfies the policy limits
required by the hazardous waste management regulations of the
commission for the applicant's proposed pre-injection facilities
shall be deemed "sufficient" under this subdivision if the policy:
(A) covers the injection well; and
(B) is issued by a company that is authorized to
do business and to write that kind of insurance in this state and is
solvent and not currently under supervision or in conservatorship
or receivership in this state or any other state.
(e) The [Consistent with Sections 5.753 and 5.754 and rules
adopted and procedures developed under those sections, the]
commission shall establish a procedure by rule for its preparation
of compliance summaries relating to the history of compliance and
noncompliance by the applicant with the rules adopted or orders or
permits issued by the commission under this chapter for any
injection well for which a permit has been issued under this chapter
[for preparing summaries of the applicant's compliance history].
The compliance summaries shall be made available to the applicant
and any interested person after the commission has completed its
technical review of the permit application and prior to the
promulgation of the public notice relating to the issuance of the
permit. Evidence of compliance or noncompliance by an applicant
for an injection well for the disposal of hazardous waste with the
rules adopted or orders or permits issued by the commission under
this chapter may be offered by any party at a hearing on the
applicant's application and admitted into evidence subject to
applicable rules of evidence. [In accordance with this subsection
and Sections 5.753 and 5.754 and rules adopted and procedures
developed under those sections, evidence of the compliance history
of an applicant for an injection well may be offered at a hearing on
the application and may be admitted into evidence, subject to the
rules of evidence.] All evidence admitted, including compliance
history, shall be considered by the commission in determining
whether to issue, amend, extend or renew a permit.
SECTION 8C.07. Sections 361.084(a) and (c), Health and
Safety Code, are amended to read as follows:
(a) The commission by rule shall establish a procedure to
prepare compliance summaries relating to the applicant's solid
waste management activities [in accordance with the method for
evaluating compliance history developed by the commission under
Section 5.754, Water Code]. A compliance summary shall include as
evidence of compliance information regarding the applicant's
implementation of an environmental management system at the
facility for which the authorization is sought. In this subsection,
"environmental management system" has the meaning assigned by
Section 5.127, Water Code.
(c) Evidence of compliance or noncompliance by an applicant
for a solid waste management facility permit with agency rules,
permits, other orders, or evidence of a final determination of
noncompliance with federal statutes or statutes of any state in the
preceding five years concerning solid waste management may be:
(1) offered by a party at a hearing concerning the
application; and
(2) admitted into evidence subject to applicable rules
of evidence.
SECTION 8C.08. Section 361.088(f), Health and Safety Code,
is amended to read as follows:
(f) Notwithstanding Subsection (e), if the commission
determines that an applicant's compliance history for the preceding
five years [under the method for evaluating compliance history
developed by the commission under Section 5.754, Water Code,]
raises an issue regarding the applicant's ability to comply with a
material term of its permit, the commission shall provide an
opportunity to request a contested case hearing.
SECTION 8C.09. Sections 361.089(a), (e), and (f), Health
and Safety Code, are amended to read as follows:
(a) The commission may, for good cause, deny or amend a
permit it issues or has authority to issue for reasons pertaining to
public health, air or water pollution, or land use, or for a
violation of this chapter or other applicable laws or rules
controlling the management of solid waste [having a compliance
history that is in the lowest classification under Sections 5.753
and 5.754, Water Code, and rules adopted and procedures developed
under those sections].
(e) The commission may deny an original or renewal permit if
it is found, after notice and hearing, that:
(1) the applicant or permit holder has a record of
environmental violations in the preceding five years at the
permitted site [compliance history that is in the lowest
classification under Sections 5.753 and 5.754, Water Code, and
rules adopted and procedures developed under those sections];
(2) the permit holder or applicant made a false or
misleading statement in connection with an original or renewal
application, either in the formal application or in any other
written instrument relating to the application submitted to the
commission, its officers, or its employees;
(3) the permit holder or applicant is indebted to the
state for fees, payment of penalties, or taxes imposed by this title
or by a rule of the commission; [or]
(4) the permit holder or applicant is unable to ensure
that the management of the hazardous waste management facility
conforms or will conform to this title and the rules of the
commission; or
(5) the applicant has a record of environmental
violations in the preceding five years at any site owned, operated,
or controlled by the applicant.
(f) Before denying a permit under this section, the
commission must find:
(1) that a violation or violations are significant and
that the permit holder or applicant has not made a substantial
attempt to correct the violations [the applicant or permit holder
has a compliance history that is in the lowest classification under
Sections 5.753 and 5.754, Water Code, and rules adopted and
procedures developed under those sections]; or
(2) that the permit holder or applicant is indebted to
the state for fees, payment of penalties, or taxes imposed by this
title or by a rule of the commission.
SECTION 8C.10. Section 382.0518(c), Health and Safety Code,
is amended to read as follows:
(c) In considering the issuance, amendment, or renewal of a
permit, the commission may consider any adjudicated decision or
compliance proceeding within the five years before the date on
which the application was filed that addressed the applicant's past
performance and compliance with the laws of this state, another
state, or the United States governing air contaminants or with the
terms of any permit or order issued by the commission [the
applicant's compliance history in accordance with the method for
evaluating compliance history developed by the commission under
Section 5.754, Water Code]. In considering an applicant's
compliance history under this subsection, the commission shall
consider as evidence of compliance information regarding the
applicant's implementation of an environmental management system
at the facility for which the permit, permit amendment, or permit
renewal is sought. In this subsection, "environmental management
system" has the meaning assigned by Section 5.127, Water Code.
SECTION 8C.11. Section 382.055(d), Health and Safety Code,
is amended to read as follows:
(d) In determining whether and under which conditions a
preconstruction permit should be renewed, the commission shall
consider, at a minimum:
(1) whether the [performance of the owner or operator
of the] facility is or has been in substantial compliance with this
chapter and the terms of the existing permit [according to the
method developed by the commission under Section 5.754, Water
Code]; and
(2) the condition and effectiveness of existing
emission control equipment and practices.
SECTION 8C.12. Section 382.056(o), Health and Safety Code,
is amended to read as follows:
(o) Notwithstanding other provisions of this chapter, the
commission may hold a hearing on a permit amendment, modification,
or renewal if the commission determines that the application
involves a facility for which the applicant's compliance history is
unacceptable to the commission based on violations constituting a
recurring pattern of conduct that demonstrates a consistent
disregard for the regulatory process, including a failure to make a
timely and substantial attempt to correct the violations [in the
lowest classification under Sections 5.753 and 5.754, Water Code,
and rules adopted and procedures developed under those sections].
SECTION 8C.13. Section 401.110, Health and Safety Code, is
amended to read as follows:
Sec. 401.110. DETERMINATION ON LICENSE. In making a
determination whether to grant, deny, amend, renew, revoke,
suspend, or restrict a license or registration, the commission may
consider an applicant's or license holder's technical competence,
financial qualifications, and the applicant's or license holder's
record in areas involving radiation [compliance history under the
method for evaluation of compliance history developed by the
commission under Section 5.754, Water Code].
SECTION 8C.14. Section 401.112(a), Health and Safety Code,
is amended to read as follows:
(a) The department or commission, within its jurisdiction,
in making a licensing decision on a specific license application to
process or dispose of low-level radioactive waste from other
persons, shall consider:
(1) site suitability, geological, hydrological, and
meteorological factors, and natural hazards;
(2) compatibility with present uses of land near the
site;
(3) socioeconomic effects on surrounding communities
of operation of the licensed activity and of associated
transportation of low-level radioactive waste;
(4) the need for and alternatives to the proposed
activity, including an alternative siting analysis prepared by the
applicant;
(5) the applicant's qualifications, including
financial and technical qualifications and past operating
practices [and compliance history under the method for evaluation
of compliance history developed by the commission under Section
5.754, Water Code];
(6) background monitoring plans for the proposed site;
(7) suitability of facilities associated with the
proposed activities;
(8) chemical, radiological, and biological
characteristics of the low-level radioactive waste and waste
classification under Section 401.053;
(9) adequate insurance of the applicant to cover
potential injury to any property or person, including potential
injury from risks relating to transportation;
(10) training programs for the applicant's employees;
(11) a monitoring, record-keeping, and reporting
program;
(12) spill detection and cleanup plans for the
licensed site and related to associated transportation of low-level
radioactive waste;
(13) decommissioning and postclosure care plans;
(14) security plans;
(15) worker monitoring and protection plans;
(16) emergency plans; and
(17) a monitoring program for applicants that includes
prelicense and postlicense monitoring of background radioactive
and chemical characteristics of the soils, groundwater, and
vegetation.
[ARTICLES 8D and 8E. RESERVED]
ARTICLE 8F. CERTAIN FEES RELATED TO CLEAN AIR ACT
SECTION 8F.01. Section 382.0622, Health and Safety Code, is
amended by amending Subsection (b) and adding Subsections (b-1),
(b-2), and (b-3) to read as follows:
(b) Except as provided by Subsection (b-1), Clean Air Act
fees shall be deposited in the state treasury to the credit of the
clean air account and shall be used to safeguard the air resources
of the state.
(b-1) Fees collected under Section 382.0621(a) on or after
September 1, 2003, shall be deposited in the state treasury to the
credit of the operating permit fees account. Fees collected under
Section 382.0621(a) may not be commingled with any fees in the clean
air account or with any other money in the state treasury.
(b-2) Money in the operating permit fees account
established under Subsection (b-1) may be appropriated to the
commission only to cover the costs of developing and administering
the federal permit programs under Title IV or V of the federal Clean
Air Act (42 U.S.C. Section 7651 et seq. and Section 7661 et seq.).
(b-3) Section 403.095, Government Code, does not apply to
the operating permit fees account established under Subsection
(b-1), and any balance remaining in the operating permit fees
account at the end of a fiscal year shall be left in the account and
used in the next or subsequent fiscal years only for the purposes
stated in Subsection (b-2).
SECTION 8F.02. Not later than December 1, 2003, the Texas
Commission on Environmental Quality shall adopt any rules required
for the implementation of this article.
ARTICLE 8G. OIL SPILL PREVENTION AND RESPONSE
SECTION 8G.01. Section 40.002(c), Natural Resources Code,
is amended to read as follows:
(c) The legislature intends by this chapter to exercise the
police power of the state to protect its coastal waters and adjacent
shorelines by conferring upon the Commissioner of the General Land
Office the power to:
(1) prevent spills and discharges of oil by requiring
and monitoring preventive measures and response planning;
(2) provide for prompt response to abate and contain
spills and discharges of oil and ensure the removal and cleanup of
pollution from such spills and discharges;
[(3) provide for development of a state coastal
discharge contingency plan through planning and coordination with
the Texas Natural Resource Conservation Commission to protect
coastal waters from all types of spills and discharges;] and
(3) [(4)] administer a fund to provide for funding
these activities and to guarantee the prompt payment of certain
reasonable claims resulting from spills and discharges of oil.
SECTION 8G.02. Sections 40.003(13), (17), and (22), Natural
Resources Code, are amended to read as follows:
(13) "Hazardous substance" means any substance,
except oil, designated as hazardous by the Environmental Protection
Agency pursuant to the Comprehensive Environmental Response,
Compensation, and Liability Act of 1980 (42 U.S.C. Sec. 9601 et
seq.) and designated by the Texas [Natural Resource Conservation]
Commission on Environmental Quality.
(17) "Oil" means oil of any kind or in any form,
including but not limited to crude oil, petroleum, fuel oil,
sludge, oil refuse, and oil mixed with wastes other than dredged
spoil, but does not include petroleum, including crude oil or any
fraction thereof, which is specifically listed or designated as a
hazardous substance under Subparagraphs (A) through (F) of Section
101(14) of the Comprehensive Environmental Response, Compensation,
and Liability Act of 1980 (42 U.S.C. Sec. 9601 et seq.) and which is
subject to the provisions of that Act, and which is so designated by
the Texas [Natural Resource Conservation] Commission on
Environmental Quality.
(22) "Response costs" means:
(A) with respect to an actual or threatened
discharge of oil, all costs incurred in an attempt to prevent,
abate, contain, and remove pollution from the discharge, including
costs of removing vessels or structures under this chapter, and
costs of any reasonable measures to prevent or limit damage to the
public health, safety, or welfare, public or private property, or
natural resources; or
(B) with respect to an actual or threatened
discharge of a hazardous substance, only costs incurred to
supplement the response operations of the Texas [Natural Resource
Conservation] Commission on Environmental Quality.
SECTION 8G.03. Section 40.005, Natural Resources Code, is
amended to read as follows:
Sec. 40.005. ADMINISTRATION OF HAZARDOUS SUBSTANCE SPILL
RESPONSE AND CLEANUP. The General Land Office, under the direction
and control of the commissioner, is the state's lead agency for
initiating response to all actual or threatened unauthorized
discharges of oil. In the event of an unauthorized discharge of a
hazardous substance, nothing in this chapter shall preclude the
Texas [Natural Resource Conservation] Commission on Environmental
Quality from at the earliest time practicable assuming response and
cleanup duties pursuant to Subchapter G, Chapter 26, Water Code[,
and the state coastal discharge contingency plan].
SECTION 8G.04. Section 40.052, Natural Resources Code, is
amended to read as follows:
Sec. 40.052. HAZARDOUS SUBSTANCES DISCHARGES. If the
unauthorized discharge involves predominantly a hazardous
substance, the Texas [Natural Resource Conservation] Commission on
Environmental Quality shall carry out responsibility for
abatement, containment, removal, and cleanup of the hazardous
substances discharged, pursuant to Subchapter G, Chapter 26, Water
Code[, and to the state coastal discharge contingency plan].
SECTION 8G.05. Section 40.101(c), Natural Resources Code,
is amended to read as follows:
(c) In order to prevent duplication of effort among state
agencies, the commissioner shall utilize the expertise of the Texas
[Natural Resource Conservation] Commission on Environmental
Quality on technical and scientific actions, including but not
limited to:
(1) taking samples in the spill area;
(2) monitoring meteorological conditions that may
affect spill response operations; and
(3) regulating disposal of spilled material.
SECTION 8G.06. Section 40.103(b), Natural Resources Code,
is amended to read as follows:
(b) Any person or discharge cleanup organization that
renders assistance in abating, containing, or removing pollution
from any unauthorized discharge of oil may receive compensation
from the fund for response costs, provided the commissioner
approves compensation prior to the assistance being rendered.
[Prior approval for compensation may be provided for in the state
coastal discharge contingency plan.] The commissioner, on petition
and for good cause shown, may waive the prior approval
prerequisite.
SECTION 8G.07. Section 40.104, Natural Resources Code, is
amended to read as follows:
Sec. 40.104. QUALIFIED IMMUNITY FOR RESPONSE ACTIONS. (a)
No action taken by any person or discharge cleanup organization to
abate, contain, or remove pollution from an unauthorized discharge
of oil, whether such action is taken voluntarily, or pursuant to the
national contingency plan [or state coastal discharge contingency
plan], or pursuant to a discharge response plan required under this
chapter, or pursuant to the request of an authorized federal or
state official, or pursuant to the request of the responsible
person, shall be construed as an admission of responsibility or
liability for the discharge.
(b) No person or discharge cleanup organization that
voluntarily, or pursuant to the national contingency plan [or the
state coastal discharge contingency plan], or pursuant to any
discharge response plan required under this chapter, or pursuant to
the request of an authorized federal or state official, or pursuant
to the request of the responsible person, renders assistance or
advice in abating, containing, or removing pollution from an
unauthorized discharge of oil is liable for response costs,
damages, or civil penalties resulting from acts or omissions
committed in rendering such assistance or advice, except for acts
or omissions of gross negligence or wilful misconduct.
SECTION 8G.08. Section 40.107(a)(1), Natural Resources
Code, is amended to read as follows:
(1) In any action to recover natural resources
damages, the amount of damages established by the commissioner in
conjunction with the trustees[, according to the procedures and
plans contained in the state coastal discharge contingency plan,]
shall create a rebuttable presumption of the amount of such
damages.
SECTION 8G.09. Sections 40.107(c)(1) and (4), Natural
Resources Code, are amended to read as follows:
(1) The commissioner, in conjunction with the
trustees, shall develop an inventory that identifies and catalogs
the physical locations, the seasonal variations in location, and
the current condition of natural resources; provides for data
collection related to coastal processes; and identifies the
recreational and commercial use areas that are most likely to
suffer injury from an unauthorized discharge of oil. The inventory
shall be completed by September 1, 1995[, and shall be incorporated
into the state coastal discharge contingency plan after public
review and comment].
(4) The commissioner shall adopt administrative
procedures and protocols for the assessment of natural resource
damages from an unauthorized discharge of oil. As developed
through negotiated rulemaking with the trustees and other
interested parties, the procedures and protocols shall require the
trustees to assess natural resource damages by considering the
unique characteristics of the spill incident and the location of
the natural resources affected. These procedures and protocols
shall be adopted by rule, by the trustee agencies after
negotiation, notice, and public comment, by June 1, 1994[, and
shall be incorporated into the state coastal discharge contingency
plan].
SECTION 8G.10. Section 40.116, Natural Resources Code, is
amended to read as follows:
Sec. 40.116. AUDITS, INSPECTIONS, and DRILLS. The
commissioner may subject a vessel subject to Section 40.114 of this
code[, as a condition to being granted entry into any port in this
state,] or a terminal facility to an announced or unannounced
audit, inspection, or drill to determine the discharge prevention
and response capabilities of the terminal facility or vessels. Any
vessel drill conducted by the commissioner shall be in cooperation
and conjunction with the United States Coast Guard, and the
commissioner's participation may not interfere with the schedule of
the vessel.
SECTION 8G.11. Section 40.151(b), Natural Resources Code,
is amended to read as follows:
(b) The coastal protection fund is established in the state
treasury to be used by the commissioner as a nonlapsing revolving
fund only for carrying out the purposes of this chapter and of
Subchapter H, Chapter 33. To this fund shall be credited all fees,
penalties, judgments, reimbursements, interest or income on the
fund, and charges provided for in this chapter and the fee revenues
levied, collected, and credited pursuant to this chapter. The fund
shall not exceed $50 million.
SECTION 8G.12. Section 40.152(a), Natural Resources Code,
is amended to read as follows:
(a) Money in the fund may be disbursed for the following
purposes and no others:
(1) administrative expenses, personnel and training
expenses, and equipment maintenance and operating costs related to
implementation and enforcement of this chapter;
(2) response costs related to abatement and
containment of actual or threatened unauthorized discharges of oil
incidental to unauthorized discharges of hazardous substances;
(3) response costs and damages related to actual or
threatened unauthorized discharges of oil;
(4) assessment, restoration, rehabilitation, or
replacement of or mitigation of damage to natural resources damaged
by an unauthorized discharge of oil;
(5) in an amount not to exceed $50,000 annually, the
small spill education program;
(6) in an amount not to exceed $1,250,000 annually,
interagency contracts under Section 40.302;
(7) the purchase of response equipment under Section
40.105 within two years of the effective date of this chapter, in an
amount not to exceed $4 million; thereafter, for the purchase of
equipment to replace equipment that is worn or obsolete;
(8) [an inventory under Section 40.107, to be
completed by September 1, 1995, in an amount not to exceed $6
million;
[(9)] other costs and damages authorized by this
chapter; [and]
(9) [(10)] in an amount not to exceed the interest
accruing to the fund annually, erosion response projects under
Subchapter H, Chapter 33; and
(10) in conjunction with the Railroad Commission of
Texas, costs related to the plugging of abandoned or orphaned oil
wells located on state-owned submerged lands.
SECTION 8G.13. Section 40.254(g)(3), Natural Resources
Code, is amended to read as follows:
(3) [A person who fails to comply with Subdivision (2)
of this subsection waives the right to judicial review.] On failure
of the person to comply with the order or file a petition for
judicial review [Subdivision (2) of this subsection], the
commissioner may refer the matter to the attorney general for
collection and enforcement.
SECTION 8G.14. Section 40.254(h)(1), Natural Resources
Code, is amended to read as follows:
(1) If a penalty is reduced or not assessed, the
commissioner shall[:
[(A)] remit to the person charged the appropriate
amount of any penalty payment plus accrued interest[; or
[(B) execute a release of the bond if a
supersedeas bond has been posted].
SECTION 8G.15. Sections 40.258(a)(1), (2), and (3), Natural
Resources Code, are amended to read as follows:
(1) The commissioner shall promulgate rules [and a
state coastal discharge contingency plan] that, to the greatest
extent practicable, conform to the national contingency plan and
rules promulgated under federal law.
(2) The commissioner may impose requirements under
such rules [and the state coastal discharge contingency plan] that
are in addition to or vary materially from federal requirements if
the state interests served by the requirements substantially
outweigh the burdens imposed on those subject to the requirements.
(3) Any request for judicial review of any rule [or any
provision of the state coastal discharge contingency plan based on
Subdivision (1) or (2) of this subsection] must be filed in a
district court in Travis County within 90 days of the effective date
of the rule or plan challenged.
SECTION 8G.16. Sections 40.006, 40.053, 40.110(f), 40.115,
40.117(b), 40.151(e), 40.254(g)(2), and 40.303, Natural Resources
Code, are repealed.
[ARTICLE 8H. RESERVED]
ARTICLE 8I. REPORTS
SECTION 8I.01. Section 363.064(a), Health and Safety Code,
is amended to read as follows:
(a) A regional or local solid waste management plan must:
(1) include a description and an assessment of current
efforts in the geographic area covered by the plan to minimize
production of municipal solid waste, including sludge, and efforts
to reuse or recycle waste;
(2) identify additional opportunities for waste
minimization and waste reuse or recycling;
(3) include a description and assessment of existing
or proposed community programs for the collection of household
hazardous waste;
(4) make recommendations for encouraging and
achieving a greater degree of waste minimization and waste reuse or
recycling in the geographic area covered by the plan;
(5) encourage cooperative efforts between local
governments in the siting of landfills for the disposal of solid
waste;
(6) consider the need to transport waste between
municipalities, from a municipality to an area in the jurisdiction
of a county, or between counties, particularly if a technically
suitable site for a landfill does not exist in a particular area;
(7) allow a local government to justify the need for a
landfill in its jurisdiction to dispose of the solid waste
generated in the jurisdiction of another local government that does
not have a technically suitable site for a landfill in its
jurisdiction;
(8) establish recycling rate goals appropriate to the
area covered by the plan;
(9) recommend composting programs for yard waste and
related organic wastes that may include:
(A) creation and use of community composting
centers;
(B) adoption of the "Don't Bag It" program for
lawn clippings developed by the Texas Agricultural Extension
Service; and
(C) development and promotion of education
programs on home composting, community composting, and the
separation of yard waste for use as mulch;
(10) include an inventory of municipal solid waste
landfill units, including:
(A) landfill units no longer in operation;
(B) the exact boundaries of each former landfill
unit or, if the exact boundaries are not known, the best
approximation of each unit's boundaries;
(C) a map showing the approximate boundaries of
each former landfill unit, if the exact boundaries are not known;
(D) the current owners of the land on which the
former landfill units were located; and
(E) the current use of the land;
(11) assess the need for new waste disposal capacity;
and
(12) include a public education program[; and
[(13) include waste reduction in accordance with the
goal established under Section 361.0201(d), to the extent that
funds are available].
SECTION 8I.02. The heading to Section 5.178, Water Code, is
amended to read as follows:
Sec. 5.178. ANNUAL REPORTS; BIENNIAL APPENDICES
[APPENDIXES].
SECTION 8I.03. Section 5.178(b), Water Code, is amended to
read as follows:
(b) The report due by December 1 of an even-numbered year
shall include, in addition:
(1) the commission's recommendations for necessary and
desirable legislation; and
(2) the following reports:
(A) the assessments and reports required by
Section [Sections] 361.0219(c)[, 361.0232, 361.510, 371.063, and
382.141], Health and Safety Code;
(B) the reports required by Section 26.0135(d)
[of this code] and Section 5.02, Chapter 133, Acts of the 69th
Legislature, Regular Session, 1985; and
(C) a summary of the analyses and assessments
required by Section 5.1773 [of this code].
SECTION 8I.04. (a) Sections 361.020, 361.0201, 361.0232,
361.0233, 361.0234, 361.040(d), 361.0871(c), 361.510, 371.063,
382.141, Health and Safety Code, are repealed.
(b) Section 5.178(c), Water Code, is repealed.
[ARTICLE 8J. RESERVED]
ARTICLE 8K. ALTERNATIVE FUELS AND VEHICLES
SECTION 8K.01. The following laws are repealed:
(1) Subchapter F, Chapter 382, Health and Safety Code;
and
(2) the following subchapters of the Transportation
Code:
(A) Subchapter G, Chapter 451;
(B) Subchapter F, Chapter 452;
(C) Subchapter F, Chapter 453; and
(D) Subchapter E, Chapter 457.
SECTION 8K.02. Section 113.287(e), Natural Resources Code,
is amended to read as follows:
(e) A state agency, county, municipality, school district,
or mass transit authority or department is eligible to receive a
loan, grant, or other disbursement under this subchapter to carry
out an eligible conversion or infrastructure project regarding LPG
or another environmentally beneficial fuel to comply with fuel
requirements provided by or by rules adopted under:
(1) [Subchapter F, Chapter 382, Health and Safety
Code;
[(2)] Subchapter A, Chapter 2158, Government Code; or
(2) [(3)] Subchapter C, Chapter 2171, Government
Code[;
[(4) Subchapter G, Chapter 451, Transportation Code;
[(5) Subchapter F, Chapter 452, Transportation Code;
or
[(6) Subchapter F, Chapter 453, Transportation Code].
SECTION 8K.03. Section 2158.001, Government Code, is
amended to read as follows:
Sec. 2158.001. DEFINITION. In this subchapter,
"conventional gasoline" means any gasoline that does not meet
specifications set by a certification under Section 211(k) of the
federal Clean Air Act (42 U.S.C. Section 7545(k)), as amended [has
the meaning assigned by Section 382.131, Health and Safety Code].
SECTION 8K.04. Section 1232.104(a), Government Code, is
amended to read as follows:
(a) If the authority determines that a project is
financially viable and sufficient revenue is or will be available,
the authority may issue and sell obligations the proceeds of which
shall be used for the financing of:
(1) the conversion of state agency vehicles and other
sources of substantial energy output to an alternative fuel under
Subchapter A, Chapter 2158;
(2) the construction, acquisition, or maintenance by
the commission of fueling stations supplying alternative fuels or
equipment enhancing the use of engine-driven technology to support
state agency vehicles and other energy applications that use an
alternative fuel;
(3) the conversion of school district motor vehicles
and other sources of substantial energy output to an alternative
fuel;
(4) the construction, acquisition, or maintenance by a
school district of fueling stations supplying alternative fuels or
equipment enhancing the use of engine-driven technology to support
school district motor vehicles and other energy applications that
use an alternative fuel;
(5) the conversion of local mass transit authority or
department motor vehicles and other sources of substantial energy
output to an alternative fuel [under Chapters 451, 452, and 453,
Transportation Code];
(6) the construction, acquisition, or maintenance of
fueling stations supplying alternative fuels or equipment
enhancing the use of engine-driven technology by a local mass
transit authority or department to support transit authority or
department vehicles and other energy applications that use an
alternative fuel;
(7) the conversion of motor vehicles and other sources
of substantial energy output of a local government[, as defined by
Section 382.003, Health and Safety Code,] to an alternative fuel
[under Section 382.134, Health and Safety Code];
(8) the conversion of motor vehicles and other sources
of substantial energy output of a hospital district or authority, a
housing authority, or a district or authority created under Section
52, Article III, Texas Constitution, or Section 59, Article XVI,
Texas Constitution, to an alternative fuel;
(9) the construction, acquisition, or maintenance of
fueling stations supplying alternative fuels or equipment
enhancing the use of engine-driven technology to support motor
vehicles and other energy applications that use an alternative fuel
by a county, a municipality, or an entity described by Subdivision
(8); or
(10) a joint venture between the private sector and a
state agency or political subdivision that is required under law to
use an alternative fuel in the agency's or subdivision's vehicles or
other energy applications to:
(A) convert vehicles or other sources of
substantial energy output to an alternative fuel;
(B) develop fueling stations and resources for
the supply of alternative fuels and engine-driven applications;
(C) aid in the distribution of alternative fuels;
and
(D) engage in other projects to facilitate the
use of alternative fuels.
SECTION 8K.05. Section 5.178(b), Water Code, is amended to
read as follows:
(b) The report due by December 1 of an even-numbered year
shall include, in addition:
(1) the commission's recommendations for necessary and
desirable legislation; and
(2) the following reports:
(A) the assessments and reports required by
Sections 361.0219(c), 361.0232, 361.510, and 371.063[, and
382.141], Health and Safety Code;
(B) the reports required by Section 26.0135(d) of
this code and Section 5.02, Chapter 133, Acts of the 69th
Legislature, Regular Session, 1985; and
(C) a summary of the analyses and assessments
required by Section 5.1773 of this code.
SECTION 8K.06. Title 2, Agriculture Code, is amended by
adding Chapter 16 to read as follows:
CHAPTER 16. FUEL ETHANOL AND BIODIESEL PRODUCTION
Sec. 16.001. DEFINITIONS. In this chapter:
(1) "Account" means the fuel ethanol and biodiesel
production account.
(2) "ASTM" means the American Society for Testing and
Materials.
(3) "Biodiesel" means a monoalkyl ester that:
(A) is derived from vegetable oils, rendered
animal fats, or renewable lipids or a combination of those
ingredients; and
(B) meets the requirements of ASTM PS 121, the
provisional specification for biodiesel.
(4) "Fuel ethanol" means ethyl alcohol that:
(A) has a purity of at least 99 percent,
exclusive of added denaturants;
(B) has been denatured in conformity with a
method approved by the Bureau of Alcohol, Tobacco and Firearms of
the United States Department of the Treasury;
(C) meets the requirements of ASTM D4806, the
standard specification for ethanol used as a motor fuel; and
(D) is produced exclusively from agricultural
products or by-products or municipal solid waste.
(5) "Producer" means a person who operates a fuel
ethanol or biodiesel plant in this state.
Sec. 16.002. PLANT REGISTRATION. (a) To be eligible for a
grant for fuel ethanol or biodiesel produced in a plant, a producer
must apply to the department for the registration of the plant. A
producer may apply for the registration of more than one plant.
(b) An application for the registration of a plant must show
to the satisfaction of the department that:
(1) the plant is capable of producing fuel ethanol or
biodiesel;
(2) the producer has made a substantial investment of
resources in this state in connection with the plant; and
(3) the plant constitutes a permanent fixture in this
state.
(c) The department shall register each plant that qualifies
under this section.
Sec. 16.003. REPORTS. (a) On or before the fifth day of
each month, a producer shall report to the department on:
(1) the number of gallons of fuel ethanol or biodiesel
produced at each registered plant operated by the producer during
the preceding month;
(2) the number of gallons of fuel ethanol or biodiesel
imported into this state by the producer during the preceding
month;
(3) the number of gallons of fuel ethanol or biodiesel
sold or blended with motor fuels by the producer during the
preceding month; and
(4) the total value of agricultural products consumed
in each registered plant operated by the producer during the
preceding month.
(b) A producer who fails to file a report as required by this
section is ineligible to receive a grant for the period for which
the report is not filed.
Sec. 16.004. FUEL ETHANOL AND BIODIESEL PRODUCTION ACCOUNT.
(a) The fuel ethanol and biodiesel production account is an account
in the general revenue fund that may be appropriated only to the
department for the purposes of this chapter, including the making
of grants under this chapter.
(b) The account is composed of:
(1) fees collected under Section 16.005; and
(2) money transferred to the account under Subsection
(c).
(c) The comptroller shall transfer from the undedicated
portion of the general revenue fund to the account an amount of
money equal to 5.25 times the amount of the fees collected under
Section 16.005.
Sec. 16.005. FEE ON FUEL ETHANOL AND BIODIESEL PRODUCTION.
(a) The department shall impose a fee on each producer in an amount
equal to 3.2 cents for each gallon of fuel ethanol or biodiesel
produced in each registered plant operated by the producer.
(b) For each fiscal year, the department may not impose fees
on a producer for more than 18 million gallons of fuel ethanol or
biodiesel produced at any one registered plant.
(c) The department shall transfer the fees collected under
this section to the comptroller for deposit to the credit of the
account.
(d) The department may not impose fees on a producer for
fuel ethanol or biodiesel produced at a registered plant after the
10th anniversary of the date production from the plant begins.
Sec. 16.006. FUEL ETHANOL AND BIODIESEL GRANTS. (a) The
department shall make grants to producers as an incentive for the
development of the fuel ethanol and biodiesel industry and
agricultural production in this state.
(b) A producer is entitled to receive from the account 20
cents for each gallon of fuel ethanol or biodiesel produced in each
registered plant operated by the producer until the 10th
anniversary of the date production from the plant begins.
(c) For each fiscal year a producer may not receive grants
for more than 18 million gallons of fuel ethanol or biodiesel
produced at any one registered plant.
(d) The department by rule shall provide for the
distribution of grant funds under this chapter to producers. The
department shall make grants not less often than quarterly.
(e) If the department determines that the amount of money
credited to the account is not sufficient to distribute the full
amount of grant funds to eligible producers as provided by this
chapter for a fiscal year, the department shall proportionately
reduce the amount of each grant for each gallon of fuel ethanol or
biodiesel produced as necessary to continue the incentive program
during the remainder of the fiscal year.
SECTION 8K.07. Notwithstanding Section 16.004(c),
Agriculture Code, as added by this Act, the comptroller may not make
transfers from general revenue during the fiscal biennium ending
August 31, 2005.
PART 9. EDUCATION
ARTICLE 9A. SCHOOL BUS SAFETY STANDARDS
SECTION 9A.01. Section 34.002(a), Education Code, is
amended to read as follows:
(a) The Department of Public Safety, with the advice of the
[General Services Commission and the] Texas Education Agency, shall
establish safety standards for school buses used to transport
students in accordance with Section 34.003 [34.002, Education
Code].
SECTION 9A.02. Sections 547.7015(a) and (b),
Transportation Code, are amended to read as follows:
(a) The department [General Services Commission, with the
advice of the department,] shall adopt and enforce rules governing
the design, color, lighting and other equipment, construction, and
operation of a school bus for the transportation of schoolchildren
that is:
(1) owned and operated by a school district in this
state; or
(2) privately owned and operated under a contract with
a school district in this state.
(b) In adopting rules under this section, the department
[General Services Commission] shall emphasize:
(1) safety features; and
(2) long-range, maintenance-free factors.
SECTION 9A.03. Rules that were adopted under Section
547.7015, Transportation Code, before the effective date of this
Act and that are in effect on the effective date of this Act are
continued in effect as rules of the Department of Public Safety
until the rules are amended, repealed, or superseded by an action of
the department.
PART 10. INSURANCE
ARTICLE 10A. ABANDONMENT OF
PROCEEDS ON DEMUTUALIZATION
SECTION 10A.01. Section 72.101, Property Code, is amended
by adding Subsection (c) to read as follows:
(c) The three-year period leading to a presumption of
abandonment of proceeds from the demutualization of an insurance
company begins on the earlier of the date of the last contact with
the policyholder entitled to the proceeds or the date of the
demutualization.
SECTION 10A.02. Section 74.301, Property Code, is amended
by amending Subsection (a) and adding Subsection (d) to read as
follows:
(a) Except as provided by Subsection (c) or (d), each holder
who on June 30 holds property that is presumed abandoned under
Chapter 72, 73, or 75 shall deliver the property to the comptroller
on or before the following November 1 accompanied by the report
required to be filed under Section 74.101.
(d) If the property subject to delivery under Subsection (a)
is proceeds from the demutualization of an insurance company, the
holder shall deliver the property and required report to the
comptroller on or before the following August 1.
[PART 11. RESERVED]
[PART 12. RESERVED]
PART 13. AD VALOREM TAXATION
ARTICLE 13A. STATE ADMINISTRATION OF AD VALOREM TAXATION
SECTION 13A.01. Title 1, Tax Code, is amended by adding
Subtitle G to read as follows:
SUBTITLE G. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES
AND APPRAISAL DISTRICT ACCOUNTABILITY
CHAPTER 51. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES AND
APPRAISAL DISTRICT ACCOUNTABILITY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 51.01. PURPOSE. It is the policy of this state to
ensure equity among taxpayers in the burden of school district
taxes and among school districts in the distribution of state
financial aid for public education. The purpose of this chapter is
to promote that policy by providing for uniformity in local
property appraisal practices and procedures and for determining
property values for schools in order to distribute state funding
equitably.
Sec. 51.02. DEFINITIONS. In this chapter:
(1) "Annual study" means a study conducted under
Section 51.21.
(2) "Eligible school district" means a school district
for which the commissioner has determined the following:
(A) in the most recent annual study, the local
value is invalid under Section 51.21(c) and does not exceed the
state value for the school district determined in the annual study;
and
(B) in the annual study for each of the two years
preceding the most recent annual study, the school district's local
value was valid.
(3) "Local value" means the market value of property
in a school district as determined by the appraisal district that
appraises property for the school district, less the total amounts
and values listed in Section 51.21(d) as determined by that
appraisal district.
(4) "Ratio study" means a study conducted under
Section 51.41.
(5) "State value" means the value of property in a
school district as determined in the annual study as provided by
Section 51.21(c).
[Sections 51.03-51.20 reserved for expansion]
SUBCHAPTER B. DETERMINATION OF SCHOOL DISTRICT PROPERTY VALUES
Sec. 51.21. DETERMINATION OF SCHOOL DISTRICT PROPERTY
VALUES. (a) The commissioner shall conduct an annual study to
determine the total taxable value of all property in each school
district. The annual study shall determine the total taxable value
of all property and of each category of property in each school
district. The annual study shall also determine the productivity
value of all land designated as agricultural, open-space, or timber
land under Chapter 23. The commissioner shall make appropriate
adjustments in the study to account for actions taken under Chapter
41, Education Code.
(b) In conducting the annual study, the commissioner shall
determine the taxable value of property in each school district:
(1) using, if appropriate, samples selected through
generally accepted sampling techniques;
(2) according to generally accepted standard
valuation, statistical compilation, and analysis techniques;
(3) ensuring that different levels of appraisal on
sold and unsold property do not adversely affect the accuracy of the
study; and
(4) using current technology and techniques in
appraising commercial personal property.
(c) If after conducting the annual study the commissioner
determines that the local value for a school district is valid, the
local value is presumed to represent taxable value for the school
district. In the absence of that presumption, taxable value for a
school district is the state value for the school district
determined in the annual study under Subsections (a) and (b),
unless the local value exceeds the state value, in which case the
taxable value for the school district is the district's local
value.
(d) For purposes of this section, "taxable value" means the
market value of all taxable property less:
(1) the total dollar amount of any residence homestead
exemptions lawfully granted under Section 11.13(b) or (c) in the
year that is the subject of the study for each school district;
(2) one-half of the total dollar amount of any
residence homestead exemptions granted under Section 11.13(n) in
the year that is the subject of the study for each school district;
(3) the total dollar amount of any exemptions granted
before May 31, 1993, within a reinvestment zone under agreements
authorized by Chapter 312;
(4) subject to Subsection (e), the total dollar amount
of any captured appraised value of property that:
(A) is within a reinvestment zone created on or
before May 31, 1999, or is proposed to be included within the
boundaries of a reinvestment zone as the boundaries of the zone and
the proposed portion of tax increment paid into the tax increment
fund by a school district are described in a written notification
provided by the municipality or the board of directors of the zone
to the governing bodies of the other taxing units in the manner
provided by Section 311.003(e) before May 31, 1999, and within the
boundaries of the zone as those boundaries existed on September 1,
1999, including subsequent improvements to the property regardless
of when made;
(B) generates taxes paid into a tax increment
fund created under Chapter 311 under a reinvestment zone financing
plan approved under Section 311.011(d) on or before September 1,
1999; and
(C) is eligible for tax increment financing under
Chapter 311;
(5) the total dollar amount of any exemptions granted
under Section 11.251;
(6) the difference between the commissioner's
determination of the market value and the productivity value of
land that qualifies for appraisal on the basis of its productive
capacity under Chapter 23;
(7) the portion of the appraised value of residence
homesteads of the elderly on which school district taxes are not
imposed in the year that is the subject of the study, calculated as
if the residence homesteads were appraised at the full value
required by law;
(8) a portion of the market value of property not
otherwise fully taxable by the district at market value because of:
(A) action required by statute or the
constitution of this state that, if the tax rate adopted by the
district is applied to it, produces an amount equal to the
difference between the tax that the district would have imposed on
the property if the property were fully taxable at market value and
the tax that the district is actually authorized to impose on the
property, if this subsection does not otherwise require that
portion to be deducted; or
(B) action taken by the district under Subchapter
B or C, Chapter 313;
(9) the market value of all tangible personal
property, other than manufactured homes, owned by a family or
individual and not held or used for the production of income;
(10) the appraised value of property for which the
collection of delinquent taxes is deferred under Section 33.06;
(11) the portion of the appraised value of property
for which the collection of delinquent taxes is deferred under
Section 33.065; and
(12) the amount by which the market value of a
residence homestead to which Section 23.23 applies exceeds the
appraised value of that property as calculated under that section.
(e) The total dollar amount deducted in each year as
required by Subsection (d)(3) in a reinvestment zone created after
January 1, 1999, may not exceed the captured appraised value
estimated for that year as required by Section 311.011(c)(8) in the
reinvestment zone financing plan approved under Section 311.011(d)
before September 1, 1999. The number of years for which the total
dollar amount may be deducted under Subsection (d)(3) shall for any
zone, including those created on or before January 1, 1999, be
limited to the duration of the zone as specified as required by
Section 311.011(c)(9) in the reinvestment zone financing plan
approved under Section 311.011(d) before September 1, 1999. The
total dollar amount deducted under Subsection (d)(3) for any zone,
including a zone created on or before January 1, 1999, may not be
increased by any reinvestment zone financing plan amendments that
occur after August 31, 1999. The total dollar amount deducted under
Subsection (d)(3) for any zone, including a zone created on or
before January 1, 1999, may not be increased by a change made after
August 31, 1999, in the portion of the tax increment retained by the
school district.
(f) The annual study shall determine the school district
values as of January 1 of each study year.
(g) If after conducting the annual study for the year 2004
or a subsequent year the commissioner determines that a school
district is an eligible school district, for that year and the
following year the taxable value for the school district is the
district's local value. Not later than the first anniversary of the
date of the determination that a school district is an eligible
school district, the commissioner shall complete an appraisal
standards review as provided by Section 51.42 of each appraisal
district that appraises property for the school district.
(h) The commissioner shall publish preliminary findings,
listing values by school district, before February 1 of the year
following the study year. Preliminary findings shall be delivered
to each school district and shall be certified to the commissioner
of education.
(i) For purposes of Section 42.2511, Education Code, the
commissioner shall certify to the commissioner of education:
(1) a final value for each school district computed on
a residence homestead exemption under Section 1-b(c), Article VIII,
Texas Constitution, of $5,000; and
(2) a final value for each school district computed
on:
(A) a residence homestead exemption under
Section 1-b(c), Article VIII, Texas Constitution, of $15,000; and
(B) the effect of the additional limitation on
tax increases under Section 1-b(d), Article VIII, Texas
Constitution.
(j) For purposes of Section 42.2522, Education Code, the
commissioner shall certify to the commissioner of education:
(1) a final value for each school district computed
without any deduction for residence homestead exemptions granted
under Section 11.13(n); and
(2) a final value for each school district computed
after deducting one-half the total dollar amount of residence
homestead exemptions granted under Section 11.13(n).
Sec. 51.22. ADMINISTRATIVE AND JUDICIAL REVIEW. (a) A
school district, or a property owner whose property is included in
the annual study and whose tax liability on the property is $100,000
or more, may protest the commissioner's findings by filing a
petition with the commissioner. The petition must be filed not
later than the 40th day after the date on which the commissioner's
findings are certified to the commissioner of education and must
include specific pleadings stating the legal and appraisal issues
in dispute and the value claimed to be correct.
(b) On receipt of a petition, the commissioner shall hold a
hearing. The commissioner has the burden to prove the accuracy of
the findings. Until a final decision is made by the commissioner,
the taxable value of property in the district is determined, with
respect to the property subject to the protest, according to the
value of the property claimed by the school district or property
owner, except that the value to be used while a final decision is
pending may not be less than the value of the property as listed on
the school district's appraisal roll for the year of the study. If
after the hearing the commissioner concludes that the findings
should be changed, the commissioner shall order the appropriate
changes and shall certify the changes to the commissioner of
education. The commissioner shall complete all protest hearings
and certify all changes as necessary to comply with Chapter 42,
Education Code. A hearing conducted under this subsection is not a
contested case for purposes of Section 2001.003, Government Code.
(c) The commissioner shall adopt procedural rules governing
the conduct of protest hearings. The rules shall provide for each
protesting school district and property owner to:
(1) be informed of the requirements for submitting a
petition initiating a protest;
(2) receive adequate notice of a hearing;
(3) have an opportunity to present evidence and oral
argument; and
(4) be given notice by the commissioner of the
commissioner's decision on the hearing.
(d) A protesting school district may appeal a determination
of protest by the commissioner to a district court in Travis County
by filing a petition with the court. An appeal must be filed not
later than the 30th day after the date the school district receives
notice from the commissioner of the determination. Review is
conducted by the court sitting without a jury. The court shall
remand the determination to the commissioner if on review the court
discovers that substantial rights of the school district have been
prejudiced and that:
(1) the commissioner has acted arbitrarily and without
regard to the facts; or
(2) the determination of the commissioner is not
reasonably supported by substantial evidence introduced before the
court.
Sec. 51.23. AUDIT. (a) On request of a school district or
the commissioner of education, the commissioner may audit the total
taxable value of property in a school district and may revise the
annual study findings. The request for audit is limited to
corrections and changes in a school district's appraisal roll that
occurred after preliminary certification of the annual study
findings by the commissioner.
(b) Except as provided by Subsection (c), the request for
audit must be filed with the commissioner not later than the third
anniversary of the date of the final certification of the annual
study findings.
(c) The request for audit may be filed not later than the
first anniversary of the date the chief appraiser certifies a
change to the appraisal roll if:
(1) the chief appraiser corrects the appraisal roll
under Section 25.25 or 42.41; and
(2) the change results in a material reduction in the
total taxable value of property in the school district.
(d) The commissioner shall certify the findings of the audit
to the commissioner of education.
Sec. 51.24. CONFIDENTIALITY. (a) All information the
commissioner obtains from a person, other than a governmental
entity, under an assurance that the information will be kept
confidential, in the course of conducting the annual study is
confidential and may not be disclosed, except as provided by
Subsection (b).
(b) Information made confidential by this section may be
disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who gave the information to the
commissioner; or
(3) for statistical purposes if in a form that does not
identify specific property or a specific owner.
[Sections 51.25-51.40 reserved for expansion]
SUBCHAPTER C. DETERMINATION OF APPRAISAL DISTRICT ACCOUNTABILITY
Sec. 51.41. APPRAISAL DISTRICT RATIO STUDY. (a) The
commissioner shall conduct a study in each appraisal district for
each tax year to determine the degree of uniformity of and the
median level of appraisals by the appraisal district within each
major category of property for that tax year. In conducting the
study, the commissioner shall apply appropriate standard
statistical analysis techniques to data collected as part of the
annual study of school district property values required by Section
51.21.
(b) The commissioner shall publish a report of the findings
of the study, including the median level of appraisal for each major
category of property, the coefficient of dispersion around the
median level of appraisal for each major category of property, and
any other standard statistical measure that the commissioner
considers appropriate. A copy of the published report of the
commissioner shall be distributed to each member of the legislature
and to each appraisal district.
(c) In conducting a study under this section, the
commissioner or the commissioner's authorized representatives may
enter the premises of a business, trade, or profession and inspect
the property to determine the existence and market value of
property used for the production of income. An inspection under
this subsection must be made during normal business hours or at a
time mutually agreeable to the commissioner or the commissioner's
authorized representatives and the person in control of the
premises.
Sec. 51.42. APPRAISAL STANDARDS REVIEW. (a) The
commissioner shall review the appraisal standards, procedures, and
methodology used by each appraisal district that appraises property
for an eligible school district to determine compliance with
generally accepted appraisal standards and practices. The
commissioner by rule may establish procedures and standards for
conducting the review.
(b) In conducting the review, the commissioner is entitled
to access to all records and reports of the appraisal district and
to the assistance of the appraisal district's officers and
employees.
(c) If the review results in a finding that an appraisal
district is not in compliance with generally accepted appraisal
standards and practices, the commissioner shall deliver a report
that details the commissioner's findings and recommendations for
improvement to:
(1) the appraisal district's chief appraiser and board
of directors; and
(2) the superintendent and board of trustees of each
school district participating in the appraisal district.
(d) If the appraisal district fails to comply with the
recommendations in the report and the commissioner finds that the
board of directors of the appraisal district failed to take
remedial action before the first anniversary of the date the report
was issued, the commissioner shall notify the judge of each
district court in the county for which the appraisal district is
established, who shall appoint a board of conservators consisting
of five members to implement the recommendations. The board of
conservators shall exercise supervision and control over the
operations of the appraisal district until the commissioner
determines under Section 51.21 that in the same year the taxable
value of each school district for which the appraisal district
appraises property is the local value for the district. The
appraisal district shall bear the costs related to the supervision
and control of the district by the board of conservators.
Sec. 51.43. APPRAISAL DISTRICT PERFORMANCE AUDITS. (a)
The commissioner shall audit the performance of an appraisal
district if one or more of the following conditions exist according
to each of two consecutive ratio studies conducted under Section
51.41, regardless of whether the prescribed condition or conditions
that exist are the same for each of those studies:
(1) the overall median level of appraisal for all
property in the district for which the commissioner determines a
median level of appraisal is less than 0.75;
(2) the coefficient of dispersion around the overall
median level of appraisal of the properties used to determine the
overall median level of appraisal for all property in the district
for which the commissioner determines a median level of appraisal
is more than 0.30; or
(3) the difference between the median levels of
appraisal for any two classes of property in the district for which
the commissioner determines a median level of appraisal is more
than 0.45.
(b) At the written request of the governing bodies of a
majority of the taxing units participating in an appraisal district
or of a majority of the taxing units entitled to vote on the
appointment of appraisal district directors, the commissioner
shall audit the performance of the appraisal district. The
governing bodies may request a general audit of the performance of
the appraisal district or may request an audit of only one or more
specific duties, practices, functions, departments, or other
appraisal district matters.
(c) At the written request of the owners of not less than 10
percent of the number of accounts or parcels of property in an
appraisal district belonging to a single class of property, if the
class constitutes at least five percent of the appraised value of
taxable property within the district in the preceding year, or at
the written request of the owners of property representing not less
than 10 percent of the appraised value of all property in the
district belonging to a single class of property, if the class
constitutes at least five percent of the appraised value of taxable
property in the district in the preceding year, the commissioner
shall audit the performance of the appraisal district. The
property owners may request a general audit of the performance of
the appraisal district or may request an audit of only one or more
specific duties, practices, functions, departments, or other
appraisal district matters. A property owner may authorize an
agent to sign a request for an audit under this subsection on the
property owner's behalf. The commissioner may require a person
signing a request for an audit to provide proof that the person is
entitled to sign the request as a property owner or as the agent of a
property owner.
(d) A request for a performance audit of an appraisal
district may not be made under Subsection (b) or (c) if according to
each of the two most recently published ratio studies conducted by
the commissioner under Section 51.41:
(1) the overall median level of appraisal for all
property in the district for which the commissioner determines a
median level of appraisal is more than 0.90 and less than 1.10;
(2) the coefficient of dispersion around the overall
median level of appraisal of the properties used to determine the
overall median level of appraisal for all property in the district
for which the commissioner determines a median level of appraisal
is less than 0.15; and
(3) the difference between the highest and lowest
median levels of appraisal in the district for the classes of
property for which the commissioner determines a median level of
appraisal is less than 0.20.
(e) A request for a performance audit of an appraisal
district may not be made under Subsection (b) or (c):
(1) during the two years following the publication of
the second of two consecutive ratio studies according to which the
commissioner is required to conduct an audit of the district under
Subsection (a); or
(2) during the year immediately following the date the
results of an audit of the district conducted by the commissioner
under Subsection (a) are reported to the chief appraiser of the
district.
(f) For purposes of this section, "class of property" means
a major kind of property for which the commissioner determines a
median level of appraisal under Section 51.41.
(g) In addition to the performance audits permitted by
Subsections (a), (b), and (c) and the appraisal standards review
required by Section 51.42, the commissioner may audit an appraisal
district to analyze the effectiveness and efficiency of the
policies, management, and operations of the appraisal district.
The results of the audit shall be delivered in a report that details
the commissioner's findings and recommendations for improvement to
the appraisal district's chief appraiser and board of directors and
to the governing body of each taxing unit participating in the
appraisal district. The commissioner may require reimbursement by
the appraisal district for some or all of the costs of the audit,
not to exceed the actual costs associated with conducting the
audit.
Sec. 51.44. ADMINISTRATION OF PERFORMANCE AUDITS. (a) The
commissioner shall complete an audit required by Section 51.43(a)
not later than the second anniversary of the date of the publication
of the second of the two ratio studies the results of which required
the audit to be conducted. The commissioner shall complete an audit
requested under Section 51.43(b) or (c) as soon as practicable
after the request is made. The commissioner shall complete an audit
conducted under Section 51.43(g) not later than the first
anniversary of the date that it is initiated by the commissioner.
(b) The commissioner may not audit the financial condition
of an appraisal district or a district's tax collections. If the
request is for an audit limited to one or more particular matters,
the commissioner's audit must be limited to those matters.
(c) The commissioner must approve the specific plan for the
performance audit of an appraisal district. Before approving an
audit plan, the commissioner must provide any interested person an
opportunity to appear before the commissioner and to comment on the
proposed plan. Not later than the 20th day before the date the
commissioner considers the plan for an appraisal district
performance audit, the commissioner must notify the presiding
officer of the appraisal district's board of directors that the
commissioner intends to consider the plan. The notice must include
the time, date, and location of the meeting to consider the plan.
Immediately after receiving the notice, the presiding officer shall
deliver a copy of the notice to the other members of the appraisal
district's board of directors.
(d) In conducting a general audit, the commissioner shall
consider and report on:
(1) the extent to which the district complies with
applicable law and generally accepted standards of appraisal or
other relevant practice;
(2) the uniformity and level of appraisal of major
kinds of property and the cause of any significant deviation from
ideal uniformity and equality of appraisal of major kinds of
property;
(3) duplication of effort and efficiency of operation;
(4) the general efficiency, quality of service, and
qualification of appraisal district personnel; and
(5) except as otherwise provided by Subsection (b),
any other matter included in the request for the audit.
(e) In conducting the audit, the commissioner is entitled to
have access at all times to the books, appraisal and other records,
reports, vouchers, and other information, confidential or not, of
the appraisal district. The commissioner may require the
assistance of appraisal district officers and employees that does
not interfere significantly with the ordinary functions of the
appraisal district. The commissioner may rely on any previous
analysis the commissioner has made relating to the appraisal
district if the previous analysis is useful or relevant to the
audit.
(f) The commissioner shall report the results of the audit
in writing to the governing body of each taxing unit that
participates in the appraisal district, to the chief appraiser, and
to the presiding officer of the appraisal district's board of
directors. If the audit was requested under Section 51.43(c), the
commissioner shall also provide a report to a representative of the
property owners who requested the audit.
(g) If the audit is required or requested under Section
51.43(a) or (b), the appraisal district shall reimburse the
commissioner for the costs incurred in conducting the audit and
making the commissioner's report of the audit. The costs shall be
allocated among the taxing units participating in the district in
the same manner as an operating expense of the district. If the
audit is requested under Section 51.43(c), the property owners who
requested the audit shall reimburse the commissioner for the costs
incurred in conducting the audit and making the report of the audit
and shall allocate the costs among those property owners in
proportion to the appraised value of each property owner's property
in the district or on any other basis agreed to by the property
owners. If the audit confirms that the median level of appraisal
for a class of property exceeds 1.10 or that the median level of
appraisal for a class of property varies at least 10 percent from
the overall median level of appraisal for all property in the
district for which the commissioner determines a median level of
appraisal, not later than the 90th day after the date a request is
made by the property owners for reimbursement the appraisal
district shall reimburse the property owners who requested the
audit for the amount paid to the commissioner for the costs incurred
in conducting the audit and making the report. Before conducting an
audit under Section 51.43(c), the commissioner may require the
requesting property owners to provide the commissioner with a bond,
deposit, or other financial security sufficient to cover the
projected costs of conducting the audit and making the report. For
purposes of this subsection, "costs" include expenses related to
salaries, professional fees, travel, reproduction or other
printing services, and consumable supplies that are directly
attributable to conducting the audit.
(h) At any time after the request for an audit is made, the
commissioner may discontinue the audit in whole or in part if
requested to do so by:
(1) the governing bodies of a majority of the taxing
units participating in the district, if the audit was requested by a
majority of those units;
(2) the governing bodies of a majority of the taxing
units entitled to vote on the appointment of appraisal district
directors, if the audit was requested by a majority of those units;
or
(3) if the audit was requested under Section 51.43(c),
by the property owners who requested the audit.
(i) The commissioner by rule may adopt procedures, audit
standards, and forms for the administration of performance audits.
Sec. 51.45. ADMINISTRATIVE PROVISIONS. (a) The
commissioner may inspect the records or other materials of an
appraisal district or taxing unit, including relevant records and
materials in the possession or control of a consultant, advisor, or
expert hired by the appraisal district or taxing unit, for the
purpose of conducting an annual study, ratio study, appraisal
standards review, or performance audit required or authorized by
this chapter.
(b) On request of the commissioner, the appraisal district
or administrative officer of the taxing unit shall produce the
records or other materials in the form and manner prescribed by the
commissioner.
(c) The commissioner shall prescribe a uniform record
system to be used by all appraisal districts for the purpose of
submitting data to be used in the annual study and ratio study. The
record system shall include a compilation of information concerning
sales of real property within the boundaries of the appraisal
district. The sales information maintained in the uniform record
system shall be submitted annually in a form prescribed by the
commissioner.
SECTION 13A.02. Section 13.051(c), Education Code, is
amended to read as follows:
(c) Territory that does not have residents may be detached
from a school district and annexed to another school district if:
(1) the total taxable value of the property in the
territory according to the most recent certified appraisal roll for
each school district is not greater than:
(A) five percent of the district's taxable value
of all property in that district as determined under Subchapter B,
Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code; and
(B) $5,000 property value per student in average
daily attendance as determined under Section 42.005; and
(2) the school district from which the property will
be detached does not own any real property located in the territory.
SECTION 13A.03. Section 13.231(b), Education Code, is
amended to read as follows:
(b) In this section, "taxable value" has the meaning
assigned by Section 51.21, Tax [403.302, Government] Code.
SECTION 13A.04. Section 41.001(2), Education Code, is
amended to read as follows:
(2) "Wealth per student" means the taxable value of
property, as determined under Subchapter B, Chapter 51, Tax
[Subchapter M, Chapter 403, Government] Code, divided by the number
of students in weighted average daily attendance.
SECTION 13A.05. Section 41.002(f), Education Code, is
amended to read as follows:
(f) For purposes of Subsection (e), a school district's
effective tax rate is determined by dividing the total amount of
taxes collected by the district for the applicable school year less
any amounts paid into a tax increment fund under Chapter 311, Tax
Code, by the quotient of the district's taxable value of property,
as determined under Subchapter B, Chapter 51, Tax [Subchapter M,
Chapter 403, Government] Code, divided by 100.
SECTION 13A.06. Section 41.005, Education Code, is amended
to read as follows:
Sec. 41.005. [COMPTROLLER AND APPRAISAL DISTRICT]
COOPERATION. The chief appraiser of each appraisal district and
the commissioner of the State Board on Property Valuation
[comptroller] shall cooperate with the commissioner and school
districts in implementing this chapter.
SECTION 13A.07. Section 41.202(a), Education Code, is
amended to read as follows:
(a) For purposes of this subchapter, the taxable value of an
individual parcel or other item of property and the total taxable
value of property in a school district resulting from the
detachment of property from or annexation of property to that
district is determined by applying the appraisal ratio for the
appropriate category of property determined under Subchapter B,
Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, for
the preceding tax year to the taxable value of the detached or
annexed property determined under Title 1, Tax Code, for the
preceding tax year.
SECTION 13A.08. Sections 42.106 and 42.2511, Education
Code, are amended to read as follows:
Sec. 42.106. ADJUSTED PROPERTY VALUE FOR DISTRICTS NOT
OFFERING ALL GRADE LEVELS. For purposes of this chapter, the
taxable value of property of a school district that contracts for
students residing in the district to be educated in another
district under Section 25.039(a) is adjusted by applying the
formula:
ADPV = DPV - (TN/.015)
where:
"ADPV" is the district's adjusted taxable value of property;
"DPV" is the taxable value of property in the district for the
preceding tax year determined under Subchapter B, Chapter 51, Tax
[Subchapter M, Chapter 403, Government] Code; and
"TN" is the total amount of tuition required to be paid by the
district under Section 25.039 for the school year for which the
adjustment is made.
Sec. 42.2511. ADDITIONAL STATE AID FOR HOMESTEAD EXEMPTION.
(a) Notwithstanding any other provision of this chapter, a school
district is entitled to additional state aid to the extent that
state aid under this chapter based on the determination of the
school district's taxable value of property as provided under
Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403,
Government] Code, does not fully compensate the district for ad
valorem tax revenue lost due to the increase in the homestead
exemption under Section 1-b(c), Article VIII, Texas Constitution,
as proposed by H.J.R. No. 4, 75th Legislature, Regular Session,
1997, and the additional limitation on tax increases under Section
1-b(d), Article VIII, Texas Constitution, as proposed by H.J.R. No.
4, 75th Legislature, Regular Session, 1997.
(b) The commissioner, using information provided by the
commissioner of the State Board on Property Valuation
[comptroller], shall compute the amount of additional state aid to
which a district is entitled under this section. A determination by
the commissioner under this section is final and may not be
appealed.
SECTION 13A.09. Sections 42.252(a) and (c), Education Code,
are amended to read as follows:
(a) Each school district's share of the Foundation School
Program is determined by the following formula:
LFA = TR X DPV
where:
"LFA" is the school district's local share;
"TR" is a tax rate which for each hundred dollars of valuation
is an effective tax rate of $0.86; and
"DPV" is the taxable value of property in the school district
for the preceding tax year determined under Subchapter B, Chapter
51, Tax [Subchapter M, Chapter 403, Government] Code.
(c) Appeals of district values shall be held pursuant to
Section 51.22, Tax [403.303, Government] Code.
SECTION 13A.10. Sections 42.2522(a) and (d), Education
Code, are amended to read as follows:
(a) In any school year, the commissioner may not provide
funding under this chapter based on a school district's taxable
value of property computed in accordance with Section 51.21(d)(2),
Tax [403.302(d)(2), Government] Code, unless:
(1) funds are specifically appropriated for purposes
of this section; or
(2) the commissioner determines that the total amount
of state funds appropriated for purposes of the Foundation School
Program for the school year exceeds the amount of state funds
distributed to school districts in accordance with Section 42.253
based on the taxable values of property in school districts
computed in accordance with Section 51.21(d), Tax [403.302(d),
Government] Code, without any deduction for residence homestead
exemptions granted under Section 11.13(n), Tax Code.
(d) If the commissioner determines that the amount of funds
available under Subsection (a)(1) or (2) does not at least equal the
total amount of state funding to which districts would be entitled
if state funding under this chapter were based on the taxable values
of property in school districts computed in accordance with Section
51.21(d)(2), Tax [403.302(d)(2), Government] Code, the
commissioner may, to the extent necessary, provide state funding
based on a uniform lesser fraction of the deduction under Section
51.21(d)(2), Tax [403.302(d)(2), Government] Code.
SECTION 13A.11. Section 42.253(h), Education Code, is
amended to read as follows:
(h) If the legislature fails during the regular session to
enact the transfer and appropriation proposed under Subsection (f)
and there are not funds available under Subsection (j), the
commissioner shall reduce the total amount of state funds allocated
to each district by an amount determined by a method under which the
application of the same number of cents of increase in tax rate in
all districts applied to the taxable value of property of each
district, as determined under Subchapter B, Chapter 51, Tax
[Subchapter M, Chapter 403, Government] Code, results in a total
levy equal to the total reduction. The following fiscal year, a
district's entitlement under this section is increased by an amount
equal to the reduction made under this subsection.
SECTION 13A.12. Section 42.254, Education Code, is amended
to read as follows:
Sec. 42.254. ESTIMATES REQUIRED. (a) Not later than
October 1 of each even-numbered year:
(1) the agency shall submit to the legislature an
estimate of the tax rate and student enrollment of each school
district for the following biennium; and
(2) the commissioner of the State Board on Property
Valuation [comptroller] shall submit to the legislature an estimate
of the total taxable value of all property in the state as
determined under Subchapter B, Chapter 51, Tax [Subchapter M,
Chapter 403, Government] Code, for the following biennium.
(b) The agency and the commissioner of the State Board on
Property Valuation [comptroller] shall update the information
provided to the legislature under Subsection (a) not later than
March 1 of each odd-numbered year.
SECTION 13A.13. Section 42.257(a), Education Code, is
amended to read as follows:
(a) If the final determination of an appeal under Chapter
42, Tax Code, results in a reduction in the taxable value of
property that exceeds five percent of the total taxable value of
property in the school district for the same tax year determined
under Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403,
Government] Code, the commissioner shall request the commissioner
of the State Board on Property Valuation [comptroller] to adjust
the [its] taxable property value findings for that year consistent
with the final determination of the appraisal appeal.
SECTION 13A.14. Section 42.302(a), Education Code, is
amended to read as follows:
(a) Each school district is guaranteed a specified amount
per weighted student in state and local funds for each cent of tax
effort over that required for the district's local fund assignment
up to the maximum level specified in this subchapter. The amount of
state support, subject only to the maximum amount under Section
42.303, is determined by the formula:
GYA = (GL X WADA X DTR X 100) - LR
where:
"GYA" is the guaranteed yield amount of state funds to be
allocated to the district;
"GL" is the dollar amount guaranteed level of state and local
funds per weighted student per cent of tax effort, which is $27.14
or a greater amount for any year provided by appropriation;
"WADA" is the number of students in weighted average daily
attendance, which is calculated by dividing the sum of the school
district's allotments under Subchapters B and C, less any allotment
to the district for transportation, any allotment under Section
42.158, and 50 percent of the adjustment under Section 42.102, by
the basic allotment for the applicable year;
"DTR" is the district enrichment tax rate of the school
district, which is determined by subtracting the amounts specified
by Subsection (b) from the total amount of maintenance and
operations taxes collected by the school district for the
applicable school year and dividing the difference by the quotient
of the district's taxable value of property as determined under
Subchapter B, Chapter 51, Tax [Subchapter M, Chapter 403,
Government] Code, or, if applicable, under Section 42.2521, divided
by 100; and
"LR" is the local revenue, which is determined by multiplying
"DTR" by the quotient of the district's taxable value of property as
determined under Subchapter B, Chapter 51, Tax [Subchapter M,
Chapter 403, Government] Code, or, if applicable, under Section
42.2521, divided by 100.
SECTION 13A.15. Section 46.003(a), Education Code, is
amended to read as follows:
(a) For each year, except as provided by Sections 46.005 and
46.006, a school district is guaranteed a specified amount per
student in state and local funds for each cent of tax effort, up to
the maximum rate under Subsection (b), to pay the principal of and
interest on eligible bonds issued to construct, acquire, renovate,
or improve an instructional facility. The amount of state support
is determined by the formula:
FYA = (FYL X ADA X BTR X 100) - (BTR X (DPV/100))
where:
"FYA" is the guaranteed facilities yield amount of state
funds allocated to the district for the year;
"FYL" is the dollar amount guaranteed level of state and
local funds per student per cent of tax effort, which is $35 or a
greater amount for any year provided by appropriation;
"ADA" is the greater of the number of students in average
daily attendance, as determined under Section 42.005, in the
district or 400;
"BTR" is the district's bond tax rate for the current year,
which is determined by dividing the amount budgeted by the district
for payment of eligible bonds by the quotient of the district's
taxable value of property as determined under Subchapter B, Chapter
51, Tax [Subchapter M, Chapter 403, Government] Code, or, if
applicable, Section 42.2521, divided by 100; and
"DPV" is the district's taxable value of property as
determined under Subchapter B, Chapter 51, Tax [Subchapter M,
Chapter 403, Government] Code, or, if applicable, Section 42.2521.
SECTION 13A.16. Section 46.006(g), Education Code, is
amended to read as follows:
(g) In this section, "wealth per student" means a school
district's taxable value of property as determined under Subchapter
B, Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code,
or, if applicable, Section 42.2521, divided by the district's
average daily attendance as determined under Section 42.005.
SECTION 13A.17. Section 46.032(a), Education Code, is
amended to read as follows:
(a) Each school district is guaranteed a specified amount
per student in state and local funds for each cent of tax effort to
pay the principal of and interest on eligible bonds. The amount of
state support, subject only to the maximum amount under Section
46.034, is determined by the formula:
EDA = (EDGL X ADA X EDTR X 100) - (EDTR X (DPV/100))
where:
"EDA" is the amount of state funds to be allocated to the
district for assistance with existing debt;
"EDGL" is the dollar amount guaranteed level of state and
local funds per student per cent of tax effort, which is $35 or a
greater amount for any year provided by appropriation;
"ADA" is the number of students in average daily attendance,
as determined under Section 42.005, in the district;
"EDTR" is the existing debt tax rate of the district, which is
determined by dividing the amount budgeted by the district for
payment of eligible bonds by the quotient of the district's taxable
value of property as determined under Subchapter B, Chapter 51, Tax
[Subchapter M, Chapter 403, Government] Code, or, if applicable,
under Section 42.2521, divided by 100; and
"DPV" is the district's taxable value of property as
determined under Subchapter B, Chapter 51, Tax [Subchapter M,
Chapter 403, Government] Code, or, if applicable, under Section
42.2521.
SECTION 13A.18. Sections 825.405(h) and (i), Government
Code, are amended to read as follows:
(h) This section does not apply to state contributions for
members employed by a school district in a school year if the
district's effective tax rate for maintenance and operation
revenues for the tax year that ended in the preceding school year
equals or exceeds 125 percent of the statewide average effective
tax rate for school district maintenance and operation revenues for
that tax year. For a tax year, the statewide average effective tax
rate for school district maintenance and operation revenues is the
tax rate that, if applied to the statewide total appraised value of
taxable property for every school district in the state determined
under Section 51.21, Tax Code [403.302], would produce an amount
equal to the statewide total amount of maintenance and operation
taxes imposed in the tax year for every school district in the
state.
(i) Not later than the seventh day after the final date the
commissioner of the State Board on Property Valuation [comptroller]
certifies to the commissioner of education changes to the property
value study conducted under Section 51.21, Tax Code [Subchapter M,
Chapter 403], the commissioner of the State Board on Property
Valuation [comptroller] shall certify to the Teacher Retirement
System of Texas:
(1) the effective tax rate for school district
maintenance and operation revenues for each school district in the
state for the immediately preceding tax year; and
(2) the statewide average effective tax rate for
school district maintenance and operation revenues for the
immediately preceding tax year.
SECTION 13A.19. Section 61.040, Health and Safety Code, is
amended to read as follows:
Sec. 61.040. TAX INFORMATION. (a) The commissioner of the
State Board on Property Valuation [comptroller] shall give the
department information relating to[:
[(1)] the taxable value of property taxable by each
county and each county's applicable general revenue tax levy for
the relevant period.
(b) The comptroller shall give the department information
relating to[; and
[(2)] the amount of sales and use tax revenue received
by each county for the relevant period.
SECTION 13A.20. Section 1152.204(c), Occupations Code, is
amended to conform to the changes in terminology made by Chapter
836, Acts of the 77th Legislature, Regular Session, 2001, and is
further amended to read as follows:
(c) The executive director [commissioner] may recognize an
educational program or course:
(1) related to property tax consulting services; and
(2) offered or sponsored by a public provider or a
recognized private provider, including:
(A) the commissioner of the State Board on
Property Valuation [comptroller];
(B) the State Bar of Texas;
(C) the Texas Real Estate Commission;
(D) an institution of higher education that meets
program and accreditation standards comparable to those for public
institutions of higher education as determined by the Texas Higher
Education Coordinating Board; or
(E) a nonprofit and voluntary trade association,
institute, or organization:
(i) whose membership consists primarily of
persons who represent property owners in property tax or
transactional tax matters;
(ii) that has written experience and
examination requirements for membership or for granting
professional designation to its members; and
(iii) that subscribes to a code of
professional conduct or ethics.
SECTION 13A.21. Section 1.04, Tax Code, is amended by
amending Subdivision (19) and adding Subdivision (20) to read as
follows:
(19) "Commissioner" ["Comptroller"] means the
commissioner of the State Board on Property Valuation [Comptroller
of Public Accounts of the State of Texas].
(20) "Board" means the State Board on Property
Valuation.
SECTION 13A.22. Section 1.111(h), Tax Code, is amended to
read as follows:
(h) The commissioner [comptroller] shall prescribe forms
and adopt rules to facilitate compliance with this section. The
commissioner [comptroller] shall include on any form used for
designation of an agent for a single-family residential property in
which the property owner resides the following statement in
boldfaced type:
"In some cases, you may want to contact your appraisal
district or other local taxing units for free information and/or
forms concerning your case before designating an agent."
SECTION 13A.23. Chapter 5, Tax Code, is amended by adding
Sections 5.01 and 5.02 to read as follows:
Sec. 5.01. STATE BOARD ON PROPERTY VALUATION. (a) The
State Board on Property Valuation is established. The board
consists of five members appointed by the governor.
(b) Members of the board hold office for terms of six years,
with the terms of one or two members expiring March 1 of each
odd-numbered year.
(c) To be eligible to serve on the board, a person must:
(1) have been a resident of this state for at least 10
years; and
(2) possess knowledge, skill, and experience in
property tax administration, property appraisal, or school
finance.
(d) A person is not eligible to serve as a member of the
board if the person or the person's spouse:
(1) is registered with or certified by the Board of Tax
Professional Examiners;
(2) is employed by or participates in the management
of a school district, an appraisal district, the office of an
assessor or collector, or a business entity or other organization
that is substantially and directly affected by the activities of
the board or that does substantial business with the board; or
(3) uses or receives a substantial amount of tangible
goods, services, or funds from the board, other than compensation
or reimbursement authorized by law for board membership,
attendance, or expenses.
(e) Appointments to the board shall be made without regard
to the race, color, disability, sex, religion, age, or national
origin of the appointees.
(f) The governor shall designate one of the members of the
board to serve as presiding officer of the board. The presiding
officer serves in that capacity for a term of two years expiring on
March 1 of an odd-numbered year.
(g) The board shall maintain its principal office in Austin.
(h) The board shall meet at least once in each calendar
quarter and shall meet at other times at the call of the presiding
officer or as provided by the rules of the board.
(i) The board is subject to the open meetings law, Chapter
551, Government Code, and the administrative procedure law, Chapter
2001, Government Code.
(j) A member of the board may not receive compensation for
service on the board but is entitled to reimbursement for actual and
necessary expenses incurred in performing functions as a board
member, subject to any applicable limitation on reimbursement
provided by the General Appropriations Act.
(k) It is a ground for removal from the board if a member:
(1) violates a prohibition established by Subsection
(d);
(2) cannot because of illness or disability discharge
the member's duties for a substantial part of the term for which the
member is appointed; or
(3) is absent from more than half of the regularly
scheduled board meetings that the member is eligible to attend
during a calendar year unless the absence is excused by majority
vote of the board.
Sec. 5.02. BOARD PERSONNEL AND OPERATIONS. (a) The board
shall employ the commissioner, who shall administer board policies
and perform all duties as provided by law.
(b) The commissioner shall employ and supervise
professional, clerical, and other personnel necessary to perform
all duties as required by law, board policy, and direction of the
board or commissioner.
(c) The commissioner shall provide to board staff, as often
as necessary, information regarding their qualifications for
employment under this chapter and their responsibilities under
applicable laws relating to standards of conduct for state
employees.
(d) The comptroller, by interagency contract, may provide
support to the board for payroll, human resources, computer
maintenance and technical assistance, printing and distribution of
publications, and similar administrative services.
SECTION 13A.24. Section 5.03, Tax Code, is amended to read
as follows:
Sec. 5.03. POWERS AND DUTIES GENERALLY. (a) The board
[comptroller] shall adopt rules establishing minimum standards for
the administration and operation of an appraisal district. The
minimum standards may vary according to the number of parcels and
the kinds of property the district is responsible for appraising.
(b) The board [comptroller] may require from each district
engaged in appraising property for taxation an annual report on a
form prescribed by the commissioner [comptroller] on the
administration and operation of the appraisal office.
(c) The board [comptroller] may contract with consultants
to assist in performance of the duties imposed by this chapter.
(d) The board is responsible for ensuring that the
commissioner performs the duties required by law of the
commissioner.
(e) The board has the powers necessary to carry out its
powers and duties under this title.
(f) The board may:
(1) adopt rules necessary to carry out the board's
powers and duties under this title;
(2) sue and be sued;
(3) enter into contracts and other necessary
instruments;
(4) impose administrative fees and charges for the
costs of publications;
(5) purchase liability insurance covering the board
and employees and agents of the board; and
(6) establish other policies, procedures, and
eligibility criteria necessary to carry out the board's powers and
duties under this title.
SECTION 13A.25. Section 5.04(a), Tax Code, is amended to
read as follows:
(a) The commissioner [comptroller] shall consult and
cooperate with the Board of Tax Professional Examiners or any
successor agency responsible for certifying tax professionals in
this state in setting standards for and approving curricula and
materials for use in training and educating appraisers and
assessor-collectors, and the commissioner [comptroller] may
cooperate with the board or with other public agencies, educational
institutions, or private organizations in sponsoring courses of
instruction and training programs.
SECTION 13A.26. Sections 5.041(a), (c), (d), and (f), Tax
Code, are amended to read as follows:
(a) The board [comptroller] shall:
(1) approve curricula and provide materials for use in
training and educating members of an appraisal review board; and
(2) supervise a course for training and education of
appraisal review board members and issue certificates indicating
course completion.
(c) The board [comptroller] may contract with service
providers to assist with the duties imposed under Subsection (a),
but the course required may not be provided by an appraisal district
or a taxing unit. The board [comptroller] may assess a fee to
recover a portion of the costs incurred for the training course, but
the fee may not exceed $50 per person trained.
(d) The course material for the course required under
Subsection (a) is the [comptroller's] Appraisal Review Board Manual
prepared by the commissioner in use on the effective date of this
section. The manual shall be updated regularly. It may be revised
on request, in writing, to the board [comptroller]. The revision
language must be approved on the unanimous agreement of a committee
selected by the board [comptroller] and representing, equally,
taxpayers and chief appraisers. The person requesting the revision
shall pay the costs of mediation if the board [comptroller]
determines that mediation is required.
(f) The commissioner [comptroller] may not advise a
property owner, a property owner's agent, an appraisal district, or
an appraisal review board on a matter that the commissioner
[comptroller] knows is the subject of a protest to the appraisal
review board.
SECTION 13A.27. Sections 5.05(a), (b), and (c), Tax Code,
are amended to read as follows:
(a) The commissioner [comptroller] shall prepare and issue:
(1) a general appraisal manual;
(2) special appraisal manuals;
(3) cost, price, and depreciation schedules, with
provision for inserting local market index factors and with a
standard procedure for determining local market index factors;
(4) news and reference bulletins;
(5) annotated digests of all laws relating to property
taxation; and
(6) a handbook of all rules promulgated by the board or
commissioner [comptroller] relating to the property tax and its
administration.
(b) The commissioner [comptroller] shall revise or
supplement all materials periodically as necessary to keep them
current.
(c) The commissioner [comptroller] shall provide without
charge one copy of all materials to officials of local government
who are responsible for administering the property tax system. If a
local government official requests more than one copy, the
commissioner [comptroller] may charge a reasonable fee to offset
the costs of printing and distributing the materials. The
commissioner [comptroller] shall make the materials available to
members of the public but may charge a reasonable fee to offset the
costs of printing and distributing the materials.
SECTION 13A.28. Sections 5.06, 5.07, 5.08, 5.09, 5.101,
5.14, and 5.16, Tax Code, are amended to read as follows:
Sec. 5.06. EXPLANATION OF TAXPAYER REMEDIES. (a) The
commissioner [comptroller] shall prepare and publish a pamphlet
explaining the remedies available to dissatisfied taxpayers and the
procedures to be followed in seeking remedial action. The
commissioner [comptroller] shall include in the pamphlet advice on
preparing and presenting a protest.
(b) The commissioner [comptroller] shall provide without
charge a reasonable number of copies of the pamphlet to any person
on request. The commissioner [comptroller] may charge a person who
requests multiple copies of the pamphlet a reasonable fee to offset
the costs of printing and distributing those copies. The
commissioner [comptroller] at its discretion shall determine the
number of copies that a person may receive without charge.
Sec. 5.07. PROPERTY TAX FORMS AND RECORDS SYSTEMS. (a) The
commissioner [comptroller] shall prescribe the contents of all
forms necessary for the administration of the property tax system
and on request shall furnish sufficient copies of model forms of
each type to the appropriate local officials. The commissioner
[comptroller] may require reimbursement for the costs of printing
and distributing the forms.
(b) The commissioner [comptroller] shall make the contents
of the forms uniform to the extent practicable but may prescribe or
approve additional or substitute forms for special circumstances.
(c) The commissioner [comptroller] shall also prescribe a
uniform record system to be used by all offices appraising property
for tax purposes.
Sec. 5.08. PROFESSIONAL AND TECHNICAL ASSISTANCE. (a) The
commissioner [comptroller] may provide professional and technical
assistance on request in appraising property, installing or
updating tax maps, purchasing equipment, developing recordkeeping
systems, or performing other appraisal activities. The
commissioner [comptroller] may also provide professional and
technical assistance on request to an appraisal review board. The
commissioner [comptroller] may require reimbursement for the costs
of providing the assistance.
(b) The commissioner [comptroller] may provide information
to and consult with persons actively engaged in appraising property
for tax purposes about any matter relating to property taxation
without charge.
Sec. 5.09. ANNUAL REPORTS. (a) The commissioner
[comptroller] shall publish an annual report of the operations of
the appraisal districts. The report shall include for each
appraisal district, each county, and each school district and may
include for other taxing units the total appraised values, assessed
values, and taxable values of taxable property by class of
property, the assessment ratio, and the tax rate.
(b) The commissioner [comptroller] shall deliver a copy of
each annual report published under Subsection (a) of this section
to the governor, the lieutenant governor, and each member of the
legislature.
Sec. 5.101. TECHNICAL ADVISORY COMMITTEE. (a) The board
[comptroller] shall appoint a technical advisory committee for the
purpose of providing professional and practical expertise to the
board [comptroller] and to review and comment on the methodology
used by the commissioner [comptroller] to conduct the annual
studies required by Section 51.21 and the ratio studies required by
Section 51.41 [Section 5.10 of this code and by Section 403.302,
Government Code]. A member of the committee serves at the will of
the board [comptroller].
(b) The committee shall:
(1) review the methodology used by the commissioner
[comptroller] to conduct the studies described in Subsection (a);
(2) make an annual report to the commissioner
[comptroller] that includes the committee's findings and
recommendations relating to the methodology used to conduct the
studies; and
(3) meet as often as necessary to perform its duties,
but not less often than semiannually.
(c) The board [comptroller] shall appoint the committee to
provide for a balanced representation of the general public and of
professionals affiliated with the entities affected by the studies.
(d) Each member of the committee must have expertise
sufficient to determine the accuracy of the [annual] studies and
the appropriateness of the methods used to develop the findings of
the studies.
(e) The board [comptroller] shall specify the committee's
purpose, powers, and duties and shall require the committee to
report to the board [comptroller] in a manner specified by the board
[comptroller] relating to the committee's activities and the
results of its work.
(f) A member of the committee may receive compensatory per
diem for serving on the committee and is entitled to reimbursement
for transportation expenses and the per diem meals and lodging
allowance as provided for the board [comptroller] and for
commission members in the General Appropriations Act.
(g) The commissioner [comptroller] shall make the
committee's annual report available to the public on request.
Sec. 5.14. PUBLIC ACCESS, INFORMATION, AND COMPLAINTS. (a)
The board [comptroller] shall develop and implement policies that
provide the public with a reasonable opportunity to submit
information on any property tax issue under the jurisdiction of the
board [comptroller].
(b) The board [comptroller] shall prepare and maintain a
written plan that describes how a person who does not speak English
or who has a physical, mental, or developmental disability may be
provided reasonable access to the board's [comptroller's] programs.
(c) The board [comptroller] shall prepare information of
public interest describing the property tax functions of the office
of the board [comptroller] and the board's [comptroller's]
procedures by which complaints are filed with and resolved by the
board [comptroller]. The board [comptroller] shall make the
information available to the public and appropriate state agencies.
(d) If a written complaint is filed with the board
[comptroller] that the board [comptroller] has authority to
resolve, the board [comptroller], at least quarterly and until
final disposition of the complaint, shall notify the parties to the
complaint of the status of the complaint unless notice would
jeopardize an undercover investigation.
(e) The board [comptroller] shall keep an information file
about each complaint filed with the board [comptroller] that the
board [comptroller] has authority to resolve.
Sec. 5.16. ADMINISTRATIVE PROVISIONS. (a) The
commissioner [comptroller] may inspect the records or other
materials of an appraisal office or taxing unit, including the
relevant records and materials in the possession or control of a
consultant, advisor, or expert hired by the appraisal office or
taxing unit, for the purpose of[:
[(1)] establishing, reviewing, or evaluating the
value of or an appraisal of any property[; or
[(2) conducting a study, review, or audit required by
Section 5.10 or 5.102 or by Section 403.302, Government Code].
(b) On request of the commissioner [comptroller], the chief
appraiser or administrative head of the taxing unit shall produce
the materials in the form and manner prescribed by the commissioner
[comptroller].
SECTION 13A.29. Section 6.025(a), Tax Code, is amended to
read as follows:
(a) The chief appraisers of two or more appraisal districts
that have boundaries that include any part of the same territory
shall enter into a written understanding that, with respect to the
property located in the territory in which each of the districts has
appraisal jurisdiction:
(1) permits each appraiser to have access to and use
information appropriate to appraisals, including a record of an
exemption application, rendition, or other property owner report;
(2) eliminates differences in the information in
appraisal records of the districts, including information relating
to ownership of property, the description of property, and the
physical characteristics of property; and
(3) contains the form of a written advisory prescribed
by the commissioner [comptroller] informing the owners of property
that reports and other documents required of the owners must be
filed with or sent to each appraisal district and that the owners
should consider sending any other document relating to the property
to each appraisal district.
SECTION 13A.30. Section 6.235(a), Tax Code, is amended to
read as follows:
(a) During each full term of office, a county
assessor-collector of a county with a population of 1,000,000 or
more shall complete 64 or more classroom hours of instruction that
relate to the duties of the office and that are accredited by the
Board of Tax Professional Examiners, the commissioner [division of
the office of comptroller with responsibility for property taxes],
the division of the Texas Department of Transportation with
responsibility for motor vehicles, or the secretary of state as
continuing education credits for the office of county
assessor-collector.
SECTION 13A.31. Sections 6.28(b), (d), and (e), Tax Code,
are amended to read as follows:
(b) The bond for state taxes must be payable to the governor
and his successors in office in an amount equal to five percent of
the net state collections from motor vehicle sales and use taxes and
motor vehicle registration fees in the county during the year
ending August 31 preceding the date bond is given, except that the
amount of bond may not be less than $2,500 or more than $100,000. To
be effective, the bond must be approved by the commissioners court
of the county and the commissioner [state comptroller of public
accounts].
(d) The commissioner [state comptroller of public accounts]
or the commissioners court of the county may require a new bond for
state taxes at any time. The commissioners court may require a new
bond for county taxes at any time. However, the total amount of
state bonds or county bonds required of an assessor-collector may
not exceed $100,000 at one time. The commissioners court shall
suspend the assessor-collector from office and begin removal
proceedings if the assessor-collector [he] fails to give new bond
within a reasonable time after demand.
(e) The assessor-collector's official oath and bonds for
state and county taxes shall be recorded in the office of the county
clerk, and the county judge shall submit the bond for state taxes to
the commissioner [state comptroller of public accounts].
SECTION 13A.32. Section 6.412(c), Tax Code, is amended to
read as follows:
(c) A person is ineligible to serve on the appraisal review
board if the person is a member of the board of directors, an
officer, or employee of the appraisal district, an employee of the
commissioner [comptroller], or a member of the governing body,
officer, or employee of a taxing unit.
SECTION 13A.33. Section 11.11(b), Tax Code, is amended to
read as follows:
(b) Land owned by the Permanent University Fund is taxable
for county purposes. Any notice required by Section 25.19 of this
code shall be sent to the commissioner [comptroller], and the
commissioner [comptroller] shall appear in behalf of the state in
any protest or appeal relating to taxation of Permanent University
Fund land.
SECTION 13A.34. Section 11.182(f), Tax Code, as added by
Chapter 842, Acts of the 77th Legislature, Regular Session, 2001,
is relettered and amended to read as follows:
(i) [(f)] If any property owned by an organization
receiving an exemption under this section has been acquired or sold
during the preceding year, such organization shall file by March 31
of the following year with the chief appraiser in the county in
which the relevant property is located, on a form promulgated by the
commissioner [comptroller of public accounts], a list of such
properties acquired or sold during the preceding year.
SECTION 13A.35. Sections 11.252(c), (d), (i), and (j), Tax
Code, are amended to read as follows:
(c) The commissioner [comptroller] by rule shall establish
exemption application requirements and appropriate procedures to
determine whether a motor vehicle subject to a lease qualifies for
an exemption under Subsection (a).
(d) In connection with the requirements and procedures
under Subsection (c), the commissioner [comptroller] by rule shall
adopt a form to be completed by the lessee of a motor vehicle for
which the owner of the vehicle may apply for an exemption under
Subsection (a). The form shall require the lessee to provide the
lessee's name, address, and driver's license or personal
identification certificate number and to certify under oath that
the lessee does not hold the vehicle for the production of income
and that the vehicle is used primarily for activities that do not
involve the production of income. The commissioner [comptroller]
shall include on the form a notice of the penalties prescribed by
Section 37.10, Penal Code, for making a false statement on the form.
(i) In addition to the requirements of Subsections (c) and
(d), the commissioner [comptroller] by rule shall prescribe a
property report form to be completed by the lessor describing the
leased motor vehicles that the lessor owns. The property report
form shall require the lessor to list each leased vehicle the lessor
owns on January 1, to provide the year, make, model, and vehicle
identification number of each leased vehicle, and to provide the
name of the lessee, the address at which the vehicle is kept, and an
indication of whether the lessee has designated the vehicle as not
held for the production and not used for the production of income.
(j) The lessor shall provide the chief appraiser with the
completed property report form adopted by the commissioner
[comptroller] in the manner provided by Subchapter B, Chapter 22.
SECTION 13A.36. Section 11.26(e), Tax Code, is amended to
read as follows:
(e) For each school district in an appraisal district, the
chief appraiser shall determine the portion of the appraised value
of residence homesteads of the elderly on which school district
taxes are not imposed in a tax year because of the limitation on tax
increases imposed by this section. That portion is calculated by
determining the taxable value that, if multiplied by the tax rate
adopted by the school district for the tax year, would produce an
amount equal to the amount of tax that would have been imposed by
the school district on residence homesteads of the elderly if the
limitation on tax increases imposed by this section were not in
effect, but that was not imposed because of that limitation. The
chief appraiser shall determine that taxable value and certify it
to the commissioner [comptroller] as soon as practicable for each
tax year.
SECTION 13A.37. Section 11.27(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller], with the assistance of
the Texas Energy and Natural Resources Advisory Council, or its
successor, shall develop guidelines to assist local officials in
the administration of this section.
SECTION 13A.38. Section 11.43(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller], in prescribing the
contents of the application form for each kind of exemption, shall
ensure that the form requires an applicant to furnish the
information necessary to determine the validity of the exemption
claim. The form must require an applicant to provide the
applicant's name and driver's license number, personal
identification certificate number, or social security account
number. The commissioner [comptroller] shall include on the forms
a notice of the penalties prescribed by Section 37.10, Penal Code,
for making or filing an application containing a false statement.
The commissioner [comptroller] shall include, on application forms
for exemptions that do not have to be claimed annually, a statement
explaining that the application need not be made annually and that
if the exemption is allowed, the applicant has a duty to notify the
chief appraiser when the applicant's entitlement to the exemption
ends. In this subsection:
(1) "Driver's license" has the meaning assigned that
term by Section 521.001, Transportation Code.
(2) "Personal identification certificate" means a
certificate issued by the Department of Public Safety under
Subchapter E, Chapter 521, Transportation Code.
SECTION 13A.39. Section 11.44(c), Tax Code, is amended to
read as follows:
(c) The commissioner [comptroller] shall prescribe by rule
the content of the explanation required by Subsection (a) [of this
section], and shall require that each exemption application form be
printed and prepared:
(1) as a separate form from any other form; or
(2) on the front of the form if the form also provides
for other information.
SECTION 13A.40. Section 21.03(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller] shall adopt rules:
(1) identifying the kinds of property subject to this
section; and
(2) establishing formulas for calculating the
proportion of total market value to be allocated to this state.
SECTION 13A.41. Sections 21.031(e) and (f), Tax Code, are
amended to read as follows:
(e) To receive an allocation of value under this section, a
property owner must apply for the allocation on a form that
substantially complies with the form prescribed by the commissioner
[comptroller]. The application must be filed with the chief
appraiser for the district in which the property to which the
application applies is taxable before the approval of the appraisal
records by the appraisal review board as provided by Section 41.12
[of this code].
(f) The commissioner [comptroller] shall promulgate forms
and may adopt rules consistent with the provisions of this section.
SECTION 13A.42. Section 22.21, Tax Code, is amended to read
as follows:
Sec. 22.21. PUBLICIZING REQUIREMENTS. Each year the
commissioner [comptroller] and each chief appraiser shall
publicize in a manner reasonably designed to notify all property
owners the requirements of the law relating to filing rendition
statements and property reports and of the availability of forms.
SECTION 13A.43. Sections 22.24(a), (c), and (e), Tax Code,
are amended to read as follows:
(a) A person required to render property or to file a report
as provided by this chapter shall use a form that substantially
complies with the appropriate form prescribed or approved by the
commissioner [comptroller].
(c) The commissioner [comptroller] may prescribe or approve
different forms for different kinds of property but shall ensure
that each form requires a property owner to furnish the information
necessary to identify the property and to determine its ownership,
taxability, and situs. A form may not require a property owner to
furnish information not relevant to the appraisal of property for
tax purposes or to the assessment or collection of property taxes.
(e) To be valid, a rendition or report must be sworn to
before an officer authorized by law to administer an oath. The
commissioner [comptroller] may not prescribe or approve a rendition
or report form unless the form provides for the person filing the
form to swear that the information provided in the rendition or
report is true and accurate to the best of the person's knowledge
and belief. This subsection does not apply to a rendition or report
filed by the property owner, an employee of the property owner, or
an employee of a property owner on behalf of an affiliated entity of
the property owner.
SECTION 13A.44. Sections 22.27(a), (b), and (d), Tax Code,
are amended to read as follows:
(a) Rendition statements, real and personal property
reports, attachments to those statements and reports, and other
information the owner of property provides to the appraisal office
in connection with the appraisal of the property, including income
and expense information related to a property filed with an
appraisal office and information voluntarily disclosed to an
appraisal office or the commissioner [comptroller] about real or
personal property sales prices after a promise it will be held
confidential, are confidential and not open to public inspection.
The statements and reports and the information they contain about
specific real or personal property or a specific real or personal
property owner and information voluntarily disclosed to an
appraisal office about real or personal property sales prices after
a promise it will be held confidential may not be disclosed to
anyone other than an employee of the appraisal office who appraises
property except as authorized by Subsection (b) [of this section].
(b) Information made confidential by this section may be
disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who filed the statement or report or
the owner of property subject to the statement, report, or
information or to a representative of either authorized in writing
to receive the information;
(3) to the commissioner [comptroller] and the
commissioner's [comptroller's] employees authorized by the
commissioner [comptroller] in writing to receive the information or
to an assessor or a chief appraiser if requested in writing;
(4) in a judicial or administrative proceeding
relating to property taxation to which the person who filed the
statement or report or the owner of the property that is a subject
of the statement, report, or information is a party;
(5) for statistical purposes if in a form that does not
identify specific property or a specific property owner;
(6) if and to the extent the information is required to
be included in a public document or record that the appraisal office
is required to prepare or maintain; or
(7) to a taxing unit or its legal representative that
is engaged in the collection of delinquent taxes on the property
that is the subject of the information.
(d) No person who directly or indirectly provides
information to the commissioner [comptroller] or appraisal office
about real or personal property sales prices, either as set forth in
Subsection (a) [of this section] under a promise of
confidentiality, or otherwise, shall be liable to any other person
as the result of providing such information.
SECTION 13A.45. Section 23.121(a)(6), Tax Code, is amended
to read as follows:
(6) "Declaration" means the dealer's motor vehicle
inventory declaration form promulgated by the commissioner
[comptroller] as required by this section.
SECTION 13A.46. Section 23.121(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] shall promulgate a form
entitled Dealer's Motor Vehicle Inventory Declaration. Except as
provided by Section 23.122(l) [of this code], not later than
February 1 of each year, or, in the case of a dealer who was not in
business on January 1, not later than 30 days after commencement of
business, each dealer shall file a declaration with the chief
appraiser and file a copy with the collector. For purposes of this
subsection, a dealer is presumed to have commenced business on the
date of issuance to the dealer of a dealer's general distinguishing
number as provided by Chapter 503, Transportation Code.
Notwithstanding the presumption created by this subsection, a chief
appraiser may, at the chief appraiser's [his or her] sole
discretion, designate as the date on which a dealer commenced
business a date other than the date of issuance to the dealer of a
dealer's general distinguishing number. The declaration is
sufficient to comply with this subsection if it sets forth the
following information:
(1) the name and business address of each location at
which the dealer owner conducts business;
(2) each of the dealer's general distinguishing
numbers issued by the Texas Department of Transportation;
(3) a statement that the dealer owner is the owner of a
dealer's motor vehicle inventory; and
(4) the market value of the dealer's motor vehicle
inventory for the current tax year as computed under Section
23.121(b) [of this code].
SECTION 13A.47. Section 23.122(a)(9), Tax Code, is amended
to read as follows:
(9) "Statement" means the Dealer's Motor Vehicle
Inventory Tax Statement filed on a form promulgated by the
commissioner [comptroller] as required by this section.
SECTION 13A.48. Section 23.122(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] shall promulgate a form
entitled a Dealer's Motor Vehicle Inventory Tax Statement. A
dealer shall complete the form with respect to each motor vehicle
sold. A dealer may use no other form for that purpose. The
statement may include the information the commissioner
[comptroller] deems appropriate but shall include at least the
following:
(1) a description of the motor vehicle sold;
(2) the sales price of the motor vehicle;
(3) the unit property tax of the motor vehicle if any;
and
(4) the reason no unit property tax is assigned if no
unit property tax is assigned.
SECTION 13A.49. Section 23.123(c), Tax Code, is amended to
read as follows:
(c) Information made confidential by this section may be
disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who filed the declaration or
statement or to that person's representative authorized by the
person in writing to receive the information;
(3) to the commissioner [comptroller] or an employee
of the commissioner [comptroller] authorized by the commissioner
[comptroller] to receive the information;
(4) to a collector or chief appraiser;
(5) to a district attorney, criminal district attorney
or county attorney involved in the enforcement of a penalty imposed
pursuant to Section 23.121 or Section 23.122 [of this code];
(6) for statistical purposes if in a form that does not
identify specific property or a specific property owner;
(7) if and to the extent that the information is
required for inclusion in a public document or record that the
appraisal or collection office is required by law to prepare or
maintain; or
(8) to the Texas Department of Transportation for use
by that department in auditing compliance of its licensees with
appropriate provisions of applicable law.
SECTION 13A.50. Section 23.124(a)(6), Tax Code, is amended
to read as follows:
(6) "Declaration" means the dealer's vessel and
outboard motor inventory declaration form promulgated by the
commissioner [comptroller] as required by this section.
SECTION 13A.51. Section 23.124(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] shall promulgate a form
entitled "Dealer's Vessel and Outboard Motor Inventory
Declaration." Except as provided by Section 23.125(l) [of this
code], not later than February 1 of each year or, in the case of a
dealer who was not in business on January 1, not later than 30 days
after commencement of business, each dealer shall file a
declaration with the chief appraiser and file a copy with the
collector. The declaration is sufficient to comply with this
subsection if it sets forth the following information:
(1) the name and business address of each location at
which the dealer owner conducts business;
(2) each of the dealer's and manufacturer's numbers
issued by the Parks and Wildlife Department;
(3) a statement that the dealer owner is the owner of a
dealer's vessel and outboard motor inventory; and
(4) the market value of the dealer's vessel and
outboard motor inventory for the current tax year as computed under
Subsection (b) of this section.
SECTION 13A.52. Section 23.1241(a)(4), Tax Code, is amended
to read as follows:
(4) "Declaration" means a dealer's heavy equipment
inventory declaration form adopted by the commissioner
[comptroller] under this section.
SECTION 13A.53. Section 23.1241(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] by rule shall adopt a
dealer's heavy equipment inventory declaration form. Except as
provided by Section 23.1242(k), not later than February 1 of each
year, or, in the case of a dealer who was not in business on January
1, not later than 30 days after commencement of business, each
dealer shall file a declaration with the chief appraiser and file a
copy with the collector. The declaration is sufficient to comply
with this subsection if it sets forth:
(1) the name and business address of each location at
which the declarant conducts business;
(2) a statement that the declarant is the owner of a
dealer's heavy equipment inventory; and
(3) the market value of the declarant's heavy
equipment inventory for the current tax year as computed under
Subsection (b).
SECTION 13A.54. Section 23.1242(a)(3), Tax Code, is amended
to read as follows:
(3) "Statement" means the dealer's heavy equipment
inventory tax statement filed on a form adopted by the commissioner
[comptroller] under this section.
SECTION 13A.55. Section 23.1242(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] by rule shall adopt a
dealer's heavy equipment inventory tax statement form. A dealer
shall complete the form with respect to each item of heavy equipment
sold. A dealer may use no other form for that purpose. The
statement may include the information the commissioner
[comptroller] considers appropriate but shall include at least the
following:
(1) a description of the item of heavy equipment sold,
including any unique identification or serial number affixed to the
item by the manufacturer;
(2) the sales price of the item of heavy equipment;
(3) the unit property tax of the item of heavy
equipment, if any; and
(4) the reason no unit property tax is assigned if no
unit property tax is assigned.
SECTION 13A.56. Section 23.125(a)(9), Tax Code, is amended
to read as follows:
(9) "Statement" means the dealer's vessel and outboard
motor inventory tax statement filed on a form promulgated by the
commissioner [comptroller] as required by this section.
SECTION 13A.57. Section 23.125(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] shall promulgate a form
entitled "Dealer's Vessel and Outboard Motor Inventory Tax
Statement." A dealer shall complete the form with respect to each
vessel and outboard motor sold. A dealer may use no other form for
that purpose. The statement may include the information the
commissioner [comptroller] deems appropriate but shall include at
least the following:
(1) a description of the vessel or outboard motor
sold;
(2) the sales price of the vessel or outboard motor;
(3) the unit property tax of the vessel or outboard
motor, if any; and
(4) the reason no unit property tax is assigned if no
unit property tax is assigned.
SECTION 13A.58. Section 23.126(c), Tax Code, is amended to
read as follows:
(c) Information made confidential by this section may be
disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who filed the declaration or
statement or to that person's representative authorized by the
person in writing to receive the information;
(3) to the commissioner [comptroller] or an employee
of the commissioner [comptroller] authorized by the commissioner
[comptroller] to receive the information;
(4) to a collector or chief appraiser;
(5) to a district attorney, criminal district
attorney, or county attorney involved in the enforcement of a
penalty imposed pursuant to Section 23.124 or Section 23.125 [of
this code];
(6) for statistical purposes if in a form that does not
identify specific property or a specific property owner; or
(7) if and to the extent that the information is
required for inclusion in a document or record that the appraisal or
collection office is required by law to prepare or maintain.
SECTION 13A.59. Section 23.127(a)(3), Tax Code, is amended
to read as follows:
(3) "Declaration" means a retail manufactured housing
inventory declaration form adopted by the commissioner
[comptroller] under this section.
SECTION 13A.60. Section 23.127(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] by rule shall adopt a
form entitled "Retail Manufactured Housing Inventory Declaration."
Except as provided by Section 23.128(k), not later than February 1
of each year or, in the case of a retailer who was not in business on
January 1, not later than the 30th day after the date the retailer
commences business, each retailer shall file a declaration with the
chief appraiser and file a copy with the collector. The declaration
is sufficient to comply with this subsection if it sets forth the
following information:
(1) the name and business address of each location at
which the retailer conducts business;
(2) the retailer's license number issued by the
department;
(3) a statement that the retailer is the owner of a
retail manufactured housing inventory; and
(4) the market value of the retailer's manufactured
housing inventory for the current tax year as computed under
Subsection (b).
SECTION 13A.61. Section 23.128(a)(4), Tax Code, is amended
to read as follows:
(4) "Statement" means the retail manufactured housing
inventory tax statement filed on a form adopted by the commissioner
[comptroller] under this section.
SECTION 13A.62. Section 23.128(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] by rule shall adopt a
form entitled "Retail Manufactured Housing Inventory Tax
Statement." A retailer shall complete the form with respect to each
unit of manufactured housing sold. A retailer may not use another
form for that purpose. The statement shall include:
(1) a description of the unit of manufactured housing
sold, including any unique identification or serial number affixed
to the unit by the manufacturer;
(2) the sales price of the unit of manufactured
housing;
(3) any unit property tax of the unit of manufactured
housing;
(4) the reason a unit property tax is not assigned if
that is the case; and
(5) any other information the commissioner
[comptroller] considers appropriate.
SECTION 13A.63. Section 23.175(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller] by rule shall develop
and distribute to each appraisal office appraisal manuals that
specify methods and procedures to discount future income from the
sale of oil or gas from the interest to present value.
SECTION 13A.64. Sections 23.41(b) and (e), Tax Code, are
amended to read as follows:
(b) The commissioner [comptroller] shall promulgate rules
specifying the methods to apply and the procedures to use in
appraising land designated for agricultural use.
(e) Improvements other than appurtenances to the land, the
mineral estate, and all land used for residential purposes and for
processing harvested agricultural products are appraised
separately at market value. Riparian water rights, private roads,
dams, reservoirs, water wells, and canals, ditches, terraces, and
similar reshaping of or additions to the soil for agricultural
purposes are appurtenances to the land, and the effect of each on
the value of the land for agricultural use shall be considered in
appraising the land. However, the commissioner [comptroller] shall
provide that in calculating average net income from land a
deduction from income be allowed for an appurtenance subject to
depreciation or depletion.
SECTION 13A.65. Section 23.43(d), Tax Code, is amended to
read as follows:
(d) The commissioner [comptroller] in prescribing the
contents of the application forms shall ensure that each form
requires a claimant to furnish the information necessary to
determine the validity of the claim. The commissioner
[comptroller] shall require that the form permit a claimant who has
previously been allowed an agricultural designation to indicate
that previously reported information has not changed and to supply
only the eligibility information not previously reported.
SECTION 13A.66. Section 23.45(b), Tax Code, is amended to
read as follows:
(b) Information made confidential by this section may be
disclosed:
(1) in a judicial or administrative proceeding
pursuant to a lawful subpoena;
(2) to the person who filed the application or to his
representative authorized in writing to receive the information;
(3) to the commissioner [comptroller] and his
employees authorized by him in writing to receive the information
or to an assessor or a chief appraiser if requested in writing;
(4) in a judicial or administrative proceeding
relating to property taxation to which the person who filed the
application is a party;
(5) for statistical purposes if in a form that does not
identify specific property or a specific property owner; or
(6) if and to the extent the information is required to
be included in a public document or record that the appraisal office
is required to prepare or maintain.
SECTION 13A.67. Section 23.52(d), Tax Code, is amended to
read as follows:
(d) The commissioner [comptroller] by rule shall develop
and distribute to each appraisal office appraisal manuals setting
forth this method of appraising qualified open-space land, and each
appraisal office shall use the appraisal manuals in appraising
qualified open-space land. The commissioner [comptroller] by rule
shall develop and the appraisal office shall enforce procedures to
verify that land meets the conditions contained in Subdivision (1)
of Section 23.51 [of this code]. The rules, before taking effect,
must be approved by a majority vote of a committee comprised of the
following officials or their designees: the commissioner, the
governor, the comptroller, the attorney general, and the
agriculture commissioner[, and the Commissioner of the General Land
Office].
SECTION 13A.68. Section 23.521(a), Tax Code, is amended to
read as follows:
(a) The Parks and Wildlife Department, with the assistance
of the commissioner [comptroller], shall develop standards for
determining whether land qualifies under Section 23.51(7) for
appraisal under this subchapter. The commissioner [comptroller] by
rule shall adopt the standards developed by the Parks and Wildlife
Department and distribute those rules to each appraisal district.
On request of the Parks and Wildlife Department, the Texas
Agricultural Extension Service shall assist the department in
developing the standards.
SECTION 13A.69. Sections 23.54(b) and (c), Tax Code, are
amended to read as follows:
(b) To be valid, the application must:
(1) be on a form provided by the appraisal office and
prescribed by the commissioner [comptroller]; and
(2) contain the information necessary to determine the
validity of the claim.
(c) The commissioner [comptroller] shall include on the
form a notice of the penalties prescribed by Section 37.10, Penal
Code, for making or filing an application containing a false
statement. The commissioner [comptroller], in prescribing the
contents of the application form, shall require that the form
permit a claimant who has previously been allowed appraisal under
this subchapter to indicate that previously reported information
has not changed and to supply only the eligibility information not
previously reported.
SECTION 13A.70. Section 23.73(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller] by rule shall develop
and distribute to each appraisal office appraisal manuals setting
forth this method of appraising qualified timber land, and each
appraisal office shall use the appraisal manuals in appraising
qualified timber land. The commissioner [comptroller] by rule
shall develop and the appraisal office shall enforce procedures to
verify that land meets the conditions contained in Section 23.72
[of this code]. The rules, before taking effect, must be approved
by majority vote of a committee comprised of the following
officials or their designees: the commissioner, the governor, the
comptroller, the attorney general, and the agriculture
commissioner[, and the Commissioner of the General Land Office].
SECTION 13A.71. Sections 23.75(b) and (c), Tax Code, are
amended to read as follows:
(b) To be valid, the application must:
(1) be on a form provided by the appraisal office and
prescribed by the commissioner [comptroller]; and
(2) contain the information necessary to determine the
validity of the claim.
(c) The commissioner [comptroller] shall include on the
form a notice of the penalties prescribed by Section 37.10, Penal
Code, for making or filing an application containing a false
statement. The commissioner [comptroller], in prescribing the
contents of the application form, shall require that the form
permit a claimant who has previously been allowed appraisal under
this subchapter to indicate that previously reported information
has not changed and to supply only the eligibility information not
previously reported.
SECTION 13A.72. Section 23.83(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] shall promulgate rules
specifying the methods to apply and the procedures to use in
appraising land under this subchapter.
SECTION 13A.73. Section 23.84(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] in prescribing the
contents of the application forms shall ensure that each form
requires a claimant to furnish the information necessary to
determine the validity of the claim and that the form requires the
claimant to state that the land for which the claimant [he] claims
appraisal under this subchapter will be used exclusively for
recreational, park, or scenic uses in the current year.
SECTION 13A.74. Section 23.93(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] shall promulgate rules
specifying the methods to apply and the procedures to use in
appraising property under this subchapter.
SECTION 13A.75. Section 23.94(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] in prescribing the
contents of the application forms shall ensure that each form
requires a claimant to furnish the information necessary to
determine the validity of the claim and that the form requires the
claimant to state that the airport property for which the claimant
[he] claims appraisal under this subchapter will be used
exclusively as public access airport property in the current year.
SECTION 13A.76. Sections 23.9804(b), (c), and (d), Tax
Code, are amended to read as follows:
(b) To be valid, an application for appraisal under Section
23.9802(a) must:
(1) be on a form provided by the appraisal office and
prescribed by the commissioner [comptroller];
(2) provide evidence that the land qualifies for
designation as an aesthetic management zone, critical wildlife
habitat zone, or streamside management zone;
(3) specify the location of the proposed zone and the
quantity of land, in acres, in the proposed zone; and
(4) contain other information necessary to determine
the validity of the claim.
(c) To be valid, an application for appraisal under Section
23.9802(b) must:
(1) be on a form provided by the appraisal office and
prescribed by the commissioner [comptroller];
(2) provide evidence that the land on which the timber
was harvested was appraised under Subchapter E in the year in which
the timber was harvested;
(3) provide evidence that all of the land has been
regenerated in compliance with Section 23.9802(b)(2); and
(4) contain other information necessary to determine
the validity of the claim.
(d) The commissioner [comptroller] shall include on the
form a notice of the penalties prescribed by Section 37.10, Penal
Code, for making or filing an application containing a false
statement. The commissioner [comptroller], in prescribing the
contents of the application form, shall require that the form
permit a claimant who has previously been allowed appraisal under
this subchapter to indicate that the previously reported
information has not changed and to supply only the eligibility
information not previously reported.
SECTION 13A.77. Section 24.32(c), Tax Code, is amended to
read as follows:
(c) A report required by this section must be on a form
prescribed by the commissioner [comptroller]. In prescribing the
form, the commissioner [comptroller] shall ensure that it requires
the information necessary to determine market value of rolling
stock used in this state.
SECTION 13A.78. Section 24.34(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller] shall adopt rules
establishing formulas for interstate allocation of the value of
railroad rolling stock.
SECTION 13A.79. Sections 24.36, 24.365, 24.37, and 24.38,
Tax Code, are amended to read as follows:
Sec. 24.36. CERTIFICATION TO COMMISSIONER [COMPTROLLER].
On approval of the appraised value of the rolling stock as provided
by Chapter 41 [of this code], the chief appraiser shall certify to
the commissioner [comptroller] the amount of market value allocated
to this state for each owner whose rolling stock is appraised in the
county and the name and business address of each owner.
Sec. 24.365. CORRECTION OF CERTIFIED AMOUNT. (a) A chief
appraiser who discovers that the chief appraiser's certification to
the commissioner [comptroller] of the amount of the market value of
rolling stock allocated to this state under Section 24.36 was
incomplete or incorrect shall immediately certify the correct
amount of that market value to the commissioner [comptroller].
(b) As soon as practicable after the commissioner
[comptroller] receives the correct certification from the chief
appraiser, the commissioner [comptroller] shall certify to the
county assessor-collector for each affected county the information
required by Section 24.38 as corrected.
Sec. 24.37. INTRASTATE APPORTIONMENT. The commissioner
[comptroller] shall apportion the appraised value of each owner's
rolling stock to each county in which the railroad using it operates
according to the ratio the mileage of road owned by the railroad in
the county bears to the total mileage of road the railroad owns in
this state.
Sec. 24.38. CERTIFICATION OF APPORTIONED VALUE. Before
August 1, the commissioner [comptroller] shall certify to the
county assessor-collector for each county in which a railroad
operates:
(1) the county's apportioned amount of the market
value of each owner's rolling stock; and
(2) the name and business address of each owner.
SECTION 13A.80. Section 24.40(a), Tax Code, is amended to
read as follows:
(a) If a chief appraiser discovers that rolling stock used
in this state and subject to appraisal by the chief appraiser [him]
has not been appraised and apportioned to the counties in one of the
two preceding years, he shall appraise the property as of January 1
for each year it was omitted, submit the appraisal for review and
protest, and certify the approved value to the commissioner
[comptroller].
SECTION 13A.81. Section 25.011(b), Tax Code, is amended to
read as follows:
(b) The record for each type of specially appraised property
must be maintained in a separate document for each 12-month period
beginning June 1. The document must include the name of at least one
owner of the property, the acreage of the property, and other
information sufficient to identify the property as required by the
commissioner [comptroller]. All entries in each document must be
kept in alphabetical order according to the last name of each owner
whose name is part of the record.
SECTION 13A.82. Section 25.02(a), Tax Code, is amended to
read as follows:
(a) The appraisal records shall be in the form prescribed by
the commissioner [comptroller] and shall include:
(1) the name and address of the owner or, if the name
or address is unknown, a statement that it is unknown;
(2) real property;
(3) separately taxable estates or interests in real
property, including taxable possessory interests in exempt real
property;
(4) personal property;
(5) the appraised value of land and, if the land is
appraised as provided by Subchapter C, D, E, or H, Chapter 23, the
market value of the land;
(6) the appraised value of improvements to land;
(7) the appraised value of a separately taxable estate
or interest in land;
(8) the appraised value of personal property;
(9) the kind of any partial exemption the owner is
entitled to receive, whether the exemption applies to appraised or
assessed value, and, in the case of an exemption authorized by
Section 11.23, the amount of the exemption;
(10) the tax year to which the appraisal applies; and
(11) an identification of each taxing unit in which
the property is taxable.
SECTION 13A.83. Section 25.025(b), Tax Code, is amended to
read as follows:
(b) Information in appraisal records under Section 25.02 is
confidential and is available only for the official use of the
appraisal district, this state, the commissioner [comptroller],
and taxing units and political subdivisions of this state if:
(1) the information identifies the home address of a
named individual to whom this section applies; and
(2) the individual chooses to restrict public access
to the information on the form prescribed for that purpose by the
commissioner [comptroller] under Section 5.07.
SECTION 13A.84. Section 25.026(b), Tax Code, is amended to
read as follows:
(b) Information in appraisal records under Section 25.02 is
confidential and is available only for the official use of the
appraisal district, this state, the commissioner [comptroller],
and taxing units and political subdivisions of this state if the
information identifies the address of a family violence shelter
center or a sexual assault program.
SECTION 13A.85. Section 25.03(b), Tax Code, is amended to
read as follows:
(b) The commissioner [comptroller] may adopt rules
establishing minimum standards for descriptions of property.
SECTION 13A.86. Sections 25.19(i) and (j), Tax Code, are
amended to read as follows:
(i) Delivery with a notice required by Subsection (a) or (g)
of a copy of the pamphlet published by the commissioner
[comptroller] under Section 5.06 or a copy of the notice published
by the chief appraiser under Section 41.70 is sufficient to comply
with the requirement that the notice include the information
specified by Subsection (b)(7) or (g)(3), as applicable.
(j) The chief appraiser shall include with a notice required
by Subsection (a) or (g):
(1) a copy of a notice of protest form as prescribed by
the commissioner [comptroller] under Section 41.44(d); and
(2) instructions for completing and mailing the form
to the appraisal review board and requesting a hearing on the
protest.
SECTION 13A.87. Section 25.23(b), Tax Code, is amended to
read as follows:
(b) Supplemental appraisal records shall be in the form
prescribed by the commissioner [comptroller] and shall include the
items required by Section 25.02 [of this code].
SECTION 13A.88. Section 26.01(b), Tax Code, is amended to
read as follows:
(b) When a chief appraiser submits an appraisal roll for
county taxes to a county assessor-collector, the chief appraiser
also shall certify the appraisal district appraisal roll to the
commissioner [comptroller]. However, the commissioner
[comptroller] by rule may provide for submission of only a summary
of the appraisal roll. The chief appraiser shall certify the
district appraisal roll or the summary of that roll in the form and
manner prescribed by the commissioner's [comptroller's] rule.
SECTION 13A.89. Section 26.04(e), Tax Code, is amended to
read as follows:
(e) By August 7 or as soon thereafter as practicable, the
designated officer or employee shall submit the rates to the
governing body. The designated officer or employee [He] shall
deliver by mail to each property owner in the unit or publish in a
newspaper in the form prescribed by the commissioner [comptroller]:
(1) the effective tax rate, the rollback tax rate, and
an explanation of how they were calculated;
(2) the estimated amount of interest and sinking fund
balances and the estimated amount of maintenance and operation or
general fund balances remaining at the end of the current fiscal
year that are not encumbered with or by corresponding existing debt
obligation;
(3) a schedule of the unit's debt obligations showing:
(A) the amount of principal and interest that
will be paid to service the unit's debts in the next year from
property tax revenue, including payments of lawfully incurred
contractual obligations providing security for the payment of the
principal of and interest on bonds and other evidences of
indebtedness issued on behalf of the unit by another political
subdivision and, if the unit is created under Section 52, Article
III, or Section 59, Article XVI, Texas Constitution, payments on
debts that the unit anticipates to incur in the next calendar year;
(B) the amount by which taxes imposed for debt
are to be increased because of the unit's anticipated collection
rate; and
(C) the total of the amounts listed in Paragraphs
(A)-(B), less any amount collected in excess of the previous year's
anticipated collections certified as provided in Subsection (b);
(4) the amount of additional sales and use tax revenue
anticipated in calculations under Section 26.041;
(5) a statement that the adoption of a tax rate equal
to the effective tax rate would result in an increase or decrease,
as applicable, in the amount of taxes imposed by the unit as
compared to last year's levy, and the amount of the increase or
decrease;
(6) in the year that a taxing unit calculates an
adjustment under Subsection (i) or (j), a schedule that includes
the following elements:
(A) the name of the unit discontinuing the
department, function, or activity;
(B) the amount of property tax revenue spent by
the unit listed under Paragraph (A) to operate the discontinued
department, function, or activity in the 12 months preceding the
month in which the calculations required by this chapter are made;
and
(C) the name of the unit that operates a distinct
department, function, or activity in all or a majority of the
territory of a taxing unit that has discontinued operating the
distinct department, function, or activity; and
(7) in the year following the year in which a taxing
unit raised its rollback rate as required by Subsection (j), a
schedule that includes the following elements:
(A) the amount of property tax revenue spent by
the unit to operate the department, function, or activity for which
the taxing unit raised the rollback rate as required by Subsection
(j) for the 12 months preceding the month in which the calculations
required by this chapter are made; and
(B) the amount published by the unit in the
preceding tax year under Subdivision (6)(B).
SECTION 13A.90. Section 26.06(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] by rule shall prescribe
the language and format to be used in the part of the notice
required by Subsection (b)(2). A notice under Subsection (b) is not
valid if it does not substantially conform to the language and
format prescribed by the commissioner [comptroller] under this
subsection.
SECTION 13A.91. Section 31.01(c), Tax Code, is amended to
read as follows:
(c) The tax bill or a separate statement accompanying the
tax bill shall:
(1) identify the property subject to the tax;
(2) state the appraised value, assessed value, and
taxable value of the property;
(3) if the property is land appraised as provided by
Subchapter C, D, E, or H, Chapter 23, state the market value and the
taxable value for purposes of deferred or additional taxation as
provided by Section 23.46, 23.55, 23.76, or 23.9807, as applicable;
(4) state the assessment ratio for the unit;
(5) state the type and amount of any partial exemption
applicable to the property, indicating whether it applies to
appraised or assessed value;
(6) state the total tax rate for the unit;
(7) state the amount of tax due, the due date, and the
delinquency date;
(8) explain the payment option and discounts provided
by Sections 31.03 and 31.05, if available to the unit's taxpayers,
and state the date on which each of the discount periods provided by
Section 31.05 concludes, if the discounts are available;
(9) state the rates of penalty and interest imposed
for delinquent payment of the tax;
(10) include the name and telephone number of the
assessor for the unit and, if different, of the collector for the
unit; and
(11) include any other information required by the
commissioner [comptroller].
SECTION 13A.92. Section 31.032(f), Tax Code, is amended to
read as follows:
(f) The commissioner [comptroller] shall adopt rules to
implement this section.
SECTION 13A.93. Section 31.075(a), Tax Code, is amended to
read as follows:
(a) At the request of a property owner or a property owner's
agent, the collector for a taxing unit shall issue a receipt showing
the taxable value and the amount of tax imposed by the unit on the
property in one or more tax years for which the information is
requested, the tax rate for each of those tax years, and the amount
of tax paid in each of those years. The receipt must describe the
property in the manner prescribed by the commissioner
[comptroller].
SECTION 13A.94. Section 31.11(c), Tax Code, is amended to
read as follows:
(c) An application for a refund must be made within three
years after the date of the payment or the taxpayer waives the right
to the refund. A taxpayer may apply for a refund by filing:
(1) an application on a form prescribed by the
commissioner [comptroller] by rule; or
(2) a written request that includes information
sufficient to enable the auditor for the taxing unit and, if
applicable, the governing body of the taxing unit to determine
whether the taxpayer is entitled to the refund.
SECTION 13A.95. Section 33.43(e), Tax Code, is amended to
read as follows:
(e) The commissioner [comptroller] shall prepare forms for
petitions initiating suits to collect delinquent taxes. An
attorney representing a taxing unit may use the forms or develop a
[his own] form.
SECTION 13A.96. Section 41.44(d), Tax Code, is amended to
read as follows:
(d) A notice of protest is sufficient if it identifies the
protesting property owner, including a person claiming an ownership
interest in the property even if that person is not listed on the
appraisal records as an owner of the property, identifies the
property that is the subject of the protest, and indicates apparent
dissatisfaction with some determination of the appraisal office.
The notice need not be on an official form, but the commissioner
[comptroller] shall prescribe a form that provides for more detail
about the nature of the protest. The form must permit a property
owner to include each property in the appraisal district that is the
subject of a protest. The commissioner [comptroller], each
appraisal office, and each appraisal review board shall make the
forms readily available and deliver one to a property owner on
request.
SECTION 13A.97. Sections 41.45(k) and (l), Tax Code, are
amended to read as follows:
(k) The commissioner [comptroller] shall prescribe a
standard form for an affidavit offered under Subsection (b). Each
appraisal district shall make copies of the affidavit form
available to property owners without charge.
(l) A property owner is not required to use the affidavit
form prescribed by the commissioner [comptroller] when offering an
affidavit under Subsection (b).
SECTION 13A.98. Section 41.461(a), Tax Code, is amended to
read as follows:
(a) At least 14 days before a hearing on a protest, the chief
appraiser shall:
(1) deliver a copy of the pamphlet prepared by the
commissioner [comptroller] under Section 5.06(a) to the property
owner initiating the protest if the owner is not represented by
another person [representing himself], or to an agent representing
the owner if requested by the agent;
(2) inform the property owner that the owner or the
agent of the owner may inspect and may obtain a copy of the data,
schedules, formulas, and all other information the chief appraiser
plans to introduce at the hearing to establish any matter at issue;
and
(3) deliver a copy of the hearing procedures
established by the appraisal review board under Section 41.66 to
the property owner.
SECTION 13A.99. Sections 41.65 and 41.68, Tax Code, are
amended to read as follows:
Sec. 41.65. REQUEST FOR STATE ASSISTANCE. The appraisal
review board may request the commissioner [comptroller] to assist
in determining the accuracy of appraisals by the appraisal office
or to provide other professional assistance. The appraisal office
shall reimburse the costs of providing assistance if the
commissioner [comptroller] requests reimbursement.
Sec. 41.68. RECORD OF PROCEEDING. The appraisal review
board shall keep a record of its proceedings in the form and manner
prescribed by the commissioner [comptroller].
SECTION 13A.100. Section 41.70(a), Tax Code, is amended to
read as follows:
(a) On or after May 1 but not later than May 15, the chief
appraiser shall publish notice of the manner in which a protest
under this chapter may be brought by a property owner. The notice
must describe how to initiate a protest and must describe the
deadlines for filing a protest. The notice must also describe the
manner in which an order of the appraisal review board may be
appealed. The commissioner [comptroller] by rule shall adopt
minimum standards for the form and content of the notice required by
this section.
SECTION 13A.101. Sections 42.01, 42.03, and 42.05, Tax
Code, are amended to read as follows:
Sec. 42.01. RIGHT OF APPEAL BY PROPERTY OWNER. A property
owner is entitled to appeal:
(1) an order of the appraisal review board
determining:
(A) a protest by the property owner as provided
by Subchapter C of Chapter 41; or
(B) a determination of an appraisal review board
on a motion filed under Section 25.25; or
(2) an order of the commissioner [comptroller] issued
as provided by Subchapter B, Chapter 24, apportioning among the
counties the appraised value of railroad rolling stock owned by the
property owner.
Sec. 42.03. RIGHT OF APPEAL BY COUNTY. A county may appeal
the order of the commissioner [comptroller] issued as provided by
Subchapter B, Chapter 24 of this code apportioning among the
counties the appraised value of railroad rolling stock.
Sec. 42.05. COMMISSIONER [COMPTROLLER] AS PARTY. The
commissioner [comptroller] is an opposing party in an appeal by:
(1) a property owner of an order of the commissioner
[comptroller] determining a protest of the appraisal, interstate
allocation, or intrastate apportionment of transportation business
intangibles; or
(2) a county or a property owner of an order of the
commissioner [comptroller] apportioning among the counties the
appraised value of railroad rolling stock.
SECTION 13A.102. Sections 42.06(a), (b), and (c), Tax Code,
are amended to read as follows:
(a) To exercise the party's right to appeal an order of an
appraisal review board, a party other than a property owner must
file written notice of appeal within 15 days after the date the
party receives the notice required by Section 41.47 or, in the case
of a taxing unit, by Section 41.07 that the order appealed has been
issued. To exercise the right to appeal an order of the
commissioner [comptroller], a party other than a property owner
must file written notice of appeal within 15 days after the date the
party receives the commissioner's [comptroller's] order. A
property owner is not required to file a notice of appeal under this
section.
(b) A party required to file a notice of appeal under this
section other than a chief appraiser who appeals an order of an
appraisal review board shall file the notice with the chief
appraiser of the appraisal district for which the appraisal review
board is established. A chief appraiser who appeals an order of an
appraisal review board shall file the notice with the appraisal
review board. A party who appeals an order of the commissioner
[comptroller] shall file the notice with the commissioner
[comptroller].
(c) If the chief appraiser, a taxing unit, or a county
appeals, the chief appraiser, if the appeal is of an order of the
appraisal review board, or the commissioner [comptroller], if the
appeal is of an order of the commissioner [comptroller], shall
deliver a copy of the notice to the property owner whose property is
involved in the appeal within 10 days after the date the notice is
filed.
SECTION 13A.103. Section 42.21(b), Tax Code, is amended to
read as follows:
(b) A petition for review brought under Section 42.02 must
be brought against the owner of the property involved in the appeal.
A petition for review brought under Section 42.031 must be brought
against the appraisal district and against the owner of the
property involved in the appeal. A petition for review brought
under Subdivision (2) or (3) of Section 42.01 or under Section 42.03
must be brought against the commissioner [comptroller]. Any other
petition for review under this chapter must be brought against the
appraisal district. A petition for review is not required to be
brought against the appraisal review board, but may be brought
against the appraisal review board in addition to any other
required party, if appropriate.
SECTION 13A.104. Section 42.22, Tax Code, as amended by
Chapters 667 and 1033, Acts of the 73rd Legislature, Regular
Session, 1993, is reenacted and amended to read as follows:
Sec. 42.22. VENUE. (a) Except as provided by Subsections
(b) and (c), and by Section 42.221, venue is in the county in which
the appraisal review board that issued the order appealed is
located.
(b) Venue of an action brought under Section 42.01(1) is in
the county in which the property is located or in the county in
which the appraisal review board that issued the order is located.
(c) Venue is in Travis County if the order appealed was
issued by the commissioner [comptroller].
SECTION 13A.105. Section 42.23(b), Tax Code, is amended to
read as follows:
(b) The court may not admit in evidence the fact of prior
action by the appraisal review board or commissioner [comptroller],
except to the extent necessary to establish its jurisdiction.
SECTION 13A.106. Section 42.26(c), Tax Code, is amended to
read as follows:
(c) For purposes of establishing the median level of
appraisal under Subsection (a)(1), the median level of appraisal in
the appraisal district as determined by the commissioner
[comptroller] under Section 51.41 [5.10] is admissible as evidence
of the median level of appraisal of a reasonable and representative
sample of properties in the appraisal district for the year of the
commissioner's [comptroller's] determination, subject to the Texas
Rules of Evidence and the Texas Rules of Civil Procedure.
SECTION 13A.107. Sections 42.28 and 43.01, Tax Code, are
amended to read as follows:
Sec. 42.28. APPEAL OF DISTRICT COURT JUDGMENT. A party may
appeal the final judgment of the district court as provided by law
for appeal of civil suits generally, except that an appeal bond is
not required of the chief appraiser, the county, the commissioner
[comptroller], or the commissioners court of a county.
Sec. 43.01. AUTHORITY TO BRING SUIT. A taxing unit may sue
the appraisal district that appraises property for the unit to
compel the appraisal district to comply with the provisions of this
title, rules of the commissioner [comptroller], or other applicable
law.
SECTION 13A.108. Section 313.022(b), Tax Code, is amended
to read as follows:
(b) For purposes of determining the required minimum amount
of a qualified investment under Section 313.021(2)(A)(iv)(a), and
the minimum amount of a limitation on appraised value under Section
313.027(b), school districts to which this subchapter applies are
categorized according to the taxable value of property in the
district for the preceding tax year determined under Subchapter B,
Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, as
follows:CATEGORY TAXABLE VALUE OF PROPERTY
I $10 billion or more
II $1 billion or more but less than $10 billion
III $500 million or more but less than $1 billion
IV $100 million or more but less than $500 millio
V less than $100 million
SECTION 13A.109. Section 313.052, Tax Code, is amended to
read as follows:
Sec. 313.052. CATEGORIZATION OF SCHOOL DISTRICTS. For
purposes of determining the required minimum amount of a qualified
investment under Section 313.021(2)(A)(iv)(a) and the minimum
amount of a limitation on appraised value under this subchapter,
school districts to which this subchapter applies are categorized
according to the taxable value of industrial property in the
district for the preceding tax year determined under Subchapter B,
Chapter 51, Tax [Subchapter M, Chapter 403, Government] Code, as
follows:CATEGORY TAXABLE VALUE OF INDUSTRIAL PROPERTY
I $200 million or more
II $90 million or more but less than $200 million
III $1 million or more but less than $90 million
IV $100,000 or more but less than $1 million
V less than $100,000
SECTION 13A.110. Sections 39.901(a), (b), (c), and (e),
Utilities Code, are amended to read as follows:
(a) Not later than August 31 each year, the commissioner of
the State Board on Property Valuation [comptroller] shall certify
to the Texas Education Agency the statewide net loss in electric
generating facility property value attributable to electric
utility restructuring. In calculating the statewide net loss in
electric generating facility property value, the commissioner of
the State Board on Property Valuation [comptroller] shall:
(1) subtract current year electric generating
facility appraisal roll values, as defined by Section 25.24, Tax
Code, from 1999 electric generating facility appraised values in
each school district;
(2) sum the resulting property value losses (positive
differences);
(3) sum the resulting property value gains (negative
differences); and
(4) subtract the absolute value of the property value
gains, subject to the limitation in Section 39.9011, from the
absolute value of the property value losses to calculate a
statewide net loss.
(b) The Texas Education Agency shall determine the amount
necessary to compensate the state for the statewide net loss
certified under Subsection (a) by multiplying the statewide net
loss by the average adopted property tax rate of the school
districts that had losses, weighted by the value losses in each
school district, and dividing the result by 100 and shall notify the
commission of the amount necessary to compensate the state for the
reduction. The commissioner of the State Board on Property
Valuation [comptroller] shall provide the Texas Education Agency
the electric generating facility value losses in each school
district used in Subsection (a)(2) for use in calculating the
weighted average property tax rate.
(c) The amounts determined by the commissioner of the State
Board on Property Valuation [comptroller] and the Texas Education
Agency under this section, for the purposes of this section, are
final and may not be appealed.
(e) The commissioner of education and the commissioner of
the State Board on Property Valuation [comptroller] shall adopt
rules necessary to implement this section, including rules
providing for public input.
SECTION 13A.111. The following laws are repealed:
(1) Sections 5.10, 5.102, 5.12, and 5.13, Tax Code;
and
(2) Subchapter M, Chapter 403, Government Code.
SECTION 13A.112. (a) As soon as practicable on or after the
effective date of this article, the governor shall appoint the
members of the State Board on Property Valuation. The initial
members appointed shall draw lots so that one member's term expires
March 1, 2005, two members' terms expire March 1, 2007, and two
members' terms expire March 1, 2009. The board shall employ a
commissioner as soon as practicable after a majority of the members
of the board qualify for office.
(b) The comptroller of public accounts and the commissioner
of the State Board on Property Valuation shall coordinate the
transfer of all aspects and functions of the comptroller relating
to state administration of the property tax system to the board or
commissioner, as applicable. The transfer shall be accomplished as
soon as practicable but not later than the 45th day after the date
the board employs the initial commissioner.
(c) The transfer required by Subsection (b) of this section
includes all assets, obligations, and liabilities of any kind
relating to state administration of the property tax system,
including all contracts, leases, real or personal property,
personnel, furniture, computers and other equipment, files, and
related materials used by the comptroller for that purpose.
(d) All appropriations made to the comptroller for the
operation of the property tax division, as well as the personnel
assigned to the division, are transferred to the State Board on
Property Valuation, except for the appropriations for support
services provided by other divisions of the comptroller's office.
Notwithstanding Section 5.02(d), Tax Code, as added by this Act,
until the end of the state fiscal biennium that begins September 1,
2003, the comptroller, by interagency contract, shall continue to
provide support to the State Board on Property Valuation for
payroll, human resources, computer maintenance and technical
assistance, printing and distribution of publications created by
the board, and similar administrative services currently provided.
(e) All forms, rules, and procedures relating to state
administration of the property tax system adopted by the
comptroller or administratively transferred to the comptroller and
in effect on the effective date of this article remain in effect on
or after that date as if adopted by the State Board on Property
Valuation or the commissioner of the State Board on Property
Valuation, as applicable, until amended, repealed, withdrawn, or
otherwise superseded by the board or commissioner.
(f) In any protest, appeal, or other administrative or
judicial action in which the comptroller is a party on the effective
date of this article in connection with a duty or function
transferred from the comptroller to the State Board on Property
Valuation or the commissioner of the State Board on Property
Valuation, as applicable, by this article, the board or
commissioner is substituted for the comptroller on the effective
date of this article.
SECTION 13A.113. This article takes effect immediately if
this Act receives a vote of two-thirds of all the members elected to
each house, as provided by Section 39, Article III, Texas
Constitution. If this Act does not receive the vote necessary for
immediate effect, this article takes effect September 1, 2003.
PART 14. CONFLICTS CLAUSE; EFFECTIVE DATE
ARTICLE 14A. CONFLICTS CLAUSE
SECTION 14A.01. In the event of a conflict between a
provision of this Act and another Act passed by the 78th
Legislature, Regular Session, 2003, that becomes law, this Act
prevails and controls regardless of the relative dates of
enactment.
ARTICLE 14B. EFFECTIVE DATE
SECTION 14B.01. Except as otherwise provided by this Act,
this Act takes effect September 1, 2003.