By: Coleman (Senate Sponsor - West) H.B. No. 2316
         (In the Senate - Received from the House May 12, 2011;
  May 12, 2011, read first time and referred to Committee on
  Intergovernmental Relations; May 21, 2011, reported adversely,
  with favorable Committee Substitute by the following vote:  Yeas 3,
  Nays 0; May 21, 2011, sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR H.B. No. 2316 By:  Nichols
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to county powers, duties, and services, including the
  powers and duties of certain districts, and the authorization of
  certain health care programs and studies.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Article 26.13, Code of Criminal Procedure, is
  amended by adding Subsection (j) to read as follows:
         (j)  A person who is incarcerated in a facility operated by
  or under contract with the Texas Department of Criminal Justice may
  submit a plea of guilty or plea of nolo contendere regarding a
  misdemeanor charge in writing, transmitted by mail, facsimile, or
  other means. Before accepting a plea under this subsection, the
  court shall make the admonitions required by this article to the
  defendant in writing as provided by Subsection (d).
         SECTION 2.  Section 31.037, Election Code, is amended to
  read as follows:
         Sec. 31.037.  SUSPENSION OR  TERMINATION OF EMPLOYMENT. The
  employment of the county elections administrator may be suspended,
  with or without pay, or terminated at any time for good and
  sufficient cause on the four-fifths vote of the county election
  commission and approval of that action by a majority vote of the
  commissioners court.
         SECTION 3.  Section 552.116(a), Government Code, is amended
  to read as follows:
         (a)  An audit working paper of an audit of the state auditor
  or the auditor of a state agency, an institution of higher education
  as defined by Section 61.003, Education Code, a county, a
  municipality, a school district, a hospital district, or a joint
  board operating under Section 22.074, Transportation Code,
  including any audit relating to the criminal history background
  check of a public school employee, is excepted from the
  requirements of Section 552.021. If information in an audit
  working paper is also maintained in another record, that other
  record is not excepted from the requirements of Section 552.021 by
  this section.
         SECTION 4.  Section 61.002(5), Health and Safety Code, is
  amended to read as follows:
               (5)  "General revenue levy" means:
                     (A)  the property taxes imposed by a county that
  are not dedicated to:
                           (i)  the construction and maintenance of
  farm-to-market roads under Article VIII, Section 1-a, Texas
  Constitution;
                           (ii)  [or to] flood control under Article
  VIII, Section 1-a, [of the] Texas Constitution;
                           (iii)  [or that are not dedicated to] the
  further maintenance of the public roads under Article VIII, Section
  9, [of the] Texas Constitution; or
                           (iv)  the payment of principal or interest
  on county debt; and
                     (B)  the sales and use tax revenue to be received
  by the county during the calendar year in which the state fiscal
  year begins under Chapter 323, Tax Code, as determined under
  Section 26.041(d), Tax Code.
         SECTION 5.  Section 363.156(b), Local Government Code, is
  amended to read as follows:
         (b)  To the extent competitive bidding procedures in Title 8
  apply, the board may not enter purchasing contracts that involve
  spending more than $50,000 [$25,000] unless the board complies
  with:
               (1)  Subchapter C, Chapter 262, if the district was
  created by a county; or
               (2)  Chapter 252, if the district was created by a
  municipality.
         SECTION 6.  Sections 375.003(3) and (4), Local Government
  Code, are amended to read as follows:
               (3)  "Commission" means the Texas Commission on
  Environmental Quality [Natural Resource Conservation Commission].
               (4)  "Disadvantaged business" means:
                     (A)  a corporation formed for the purpose of
  making a profit and at least 51 percent of all classes of the shares
  of stock or other equitable securities of which are owned by one or
  more persons who are socially disadvantaged because of their
  identification as members of certain groups that have suffered the
  effects of discriminatory practices or similar insidious
  circumstances over which they have no control, including black
  Americans, Hispanic Americans, women, Asian Pacific Americans, and
  American Indians;
                     (B)  a sole proprietorship formed for the purpose
  of making a profit that is owned, operated, and controlled
  exclusively by one or more persons described by Paragraph (A);
                     (C)  a partnership that is formed for the purpose
  of making a profit, in which 51 percent of the assets and interest
  in the partnership is owned by one or more persons described by
  Paragraph (A), and in which minority or women partners have a
  proportionate interest in the control, operation, and management of
  the partnership affairs;
                     (D)  a joint venture between minority and women's
  group members formed for the purpose of making a profit and the
  minority participation in which is based on the sharing of real
  economic interest, including equally proportionate control over
  management, interest in capital, and interest earnings, other than
  a joint venture in which majority group members own or control debt
  securities, leasehold interest, management contracts, or other
  interests; [or]
                     (E)  a supplier contract between persons
  described in Paragraph (A) and a prime contractor in which the
  disadvantaged business is directly involved for the manufacture or
  distribution of the supplies or materials or otherwise for
  warehousing and shipping the supplies; or
                     (F)  a person certified as a disadvantaged
  business by:
                           (i)  this state;
                           (ii)  a political subdivision of this state;
  or
                           (iii)  a regional planning commission,
  council of governments, or similar regional planning agency created
  under Chapter 391.
         SECTION 7.  Section 375.022(c), Local Government Code, is
  amended to read as follows:
         (c)  The petition must:
               (1)  describe the boundaries of the proposed district:
                     (A)  by metes and bounds;
                     (B)  by verifiable landmarks, including a road,
  creek, or railroad line; or
                     (C)[,]  if there is a recorded map or plat and
  survey of the area, by lot and block number;
               (2)  state the specific purposes for which the district
  will be created;
               (3)  state the general nature of the work, projects, or
  services proposed to be provided, the necessity for those services,
  and the costs as estimated by the persons filing the petition;
               (4)  include a name of the district, which must be
  generally descriptive of the location of the district, followed by
  "Management District" or "Improvement District";
               (5)  include a proposed list of initial directors that
  includes the directors' experience and initial term of service; and
               (6)  include a resolution of the governing body of the
  municipality in support of the creation of the district.
         SECTION 8.  Section 375.043, Local Government Code, is
  amended to read as follows:
         Sec. 375.043.  ANNEXATION. A district may annex land as
  provided by Section 49.301 and Chapter 54, Water Code, subject to
  the approval of the governing body of the municipality.
         SECTION 9.  Section 375.044(b), Local Government Code, is
  amended to read as follows:
         (b)  The board shall call a hearing on the exclusion of land
  or other property from the district if a signed petition evidencing
  the consent of the owners of a majority of the acreage in the
  district, according to the most recent certified tax roll of the
  county, is filed [landowner or property owner in the district
  files] with the secretary of the board [a written petition]
  requesting the hearing before the issuance of bonds.
         SECTION 10.  Section 375.061, Local Government Code, is
  amended to read as follows:
         Sec. 375.061.  NUMBER OF DIRECTORS; TERMS. A district is
  governed by a board of at least five [nine] but not more than 30
  directors who serve staggered four-year terms.
         SECTION 11.  Section 375.071, Local Government Code, is
  amended to read as follows:
         Sec. 375.071.  QUORUM. One-half of the serving directors
  constitutes a quorum, and a concurrence of a majority of a quorum of
  directors is required for any official action of the district. The
  written consent of at least two-thirds of the directors is required
  to authorize the levy of assessments, the levy of taxes, the
  imposition of impact fees, or the issuance of bonds.
         SECTION 12.  Section 375.091, Local Government Code, is
  amended to read as follows:
         Sec. 375.091.  GENERAL POWERS OF DISTRICT. [(a)] A district
  has the rights, powers, privileges, authority, and functions
  conferred by the general law of this state applicable to
  conservation and reclamation districts created under Article XVI,
  Section 59, of the Texas Constitution, including those conferred by
  Chapter 54, Water Code.
         [(b)     The district may contract and manage its affairs and
  funds for any corporate purpose in accordance with Chapter 54,
  Water Code.
         [(c)     The district has all the rights, powers, privileges,
  authority, and functions of road districts and road utility
  districts created pursuant to Article III, Section 52, of the Texas
  Constitution, including the power to levy ad valorem taxes for the
  construction, maintenance, and operation of macadamized, graveled,
  or paved roads and turnpikes, or in aid thereof. This power
  includes the power to levy ad valorem taxes to provide for mass
  transit systems in the manner and subject to the limitations
  provided in Article III, Section 52, and Article III, Section
  52(a), of the Texas Constitution.
         [(d)     A district has those powers conferred by Chapters 365
  and 441, Transportation Code, and the additional rights,
  privileges, authority, and functions contained in those chapters.]
         SECTION 13.  Subchapter E, Chapter 375, Local Government
  Code, is amended by adding Sections 375.0921 and 375.0922 to read as
  follows:
         Sec. 375.0921.  AUTHORITY FOR ROAD PROJECTS. (a) Under
  Section 52, Article III, Texas Constitution, a district may design,
  acquire, construct, finance, issue bonds for, improve, operate,
  maintain, and convey to this state, a county, or a municipality for
  operation and maintenance macadamized, graveled, or paved roads, or
  improvements, including storm drainage, in aid of those roads.
         (b)  The district may impose ad valorem taxes to provide for
  mass transit systems in the manner and subject to the limitations
  provided by Section 52, Article III, and Section 52-a, Article III,
  Texas Constitution.
         Sec. 375.0922.  ROAD STANDARDS AND REQUIREMENTS. (a) A road
  project must meet all applicable construction standards, zoning and
  subdivision requirements, and regulations of each municipality in
  whose corporate limits or extraterritorial jurisdiction the road
  project is located.
         (b)  If a road project is not located in the corporate limits
  or extraterritorial jurisdiction of a municipality, the road
  project must meet all applicable construction standards,
  subdivision requirements, and regulations of each county in which
  the road project is located.
         (c)  If the state will maintain and operate the road, the
  Texas Transportation Commission must approve the plans and
  specifications of the road project.
         SECTION 14.  Section 375.097(a), Local Government Code, is
  amended to read as follows:
         (a)  The board may appoint a hearings examiner to conduct any
  hearing called by the board, including a hearing required by
  Chapter 395. The hearings examiner may be an employee or contractor
  of the district, or a member of the district's board.
         SECTION 15.  Subchapter E, Chapter 375, Local Government
  Code, is amended by adding Section 375.098 to read as follows:
         Sec. 375.098.  DISTRICT ACT OR PROCEEDING PRESUMED VALID.
  (a) A governmental act or proceeding of a district is conclusively
  presumed, as of the date it occurred, valid and to have occurred in
  accordance with all applicable statutes and rules if:
               (1)  the third anniversary of the effective date of the
  act or proceeding has expired; and
               (2)  a lawsuit to annul or invalidate the act or
  proceeding has not been filed on or before that third anniversary.
         (b)  This section does not apply to:
               (1)  an act or proceeding that was void at the time it
  occurred;
               (2)  an act or proceeding that, under a statute of this
  state or the United States, was a misdemeanor or felony at the time
  the act or proceeding occurred;
               (3)  a rule that, at the time it was passed, was
  preempted by a statute of this state or the United States, including
  Section 1.06 or 109.57, Alcoholic Beverage Code; or
               (4)  a matter that on the effective date of this
  section:
                     (A)  is involved in litigation if the litigation
  ultimately results in the matter being held invalid by a final
  judgment of a court; or
                     (B)  has been held invalid by a final judgment of a
  court.
         SECTION 16.  Section 375.112(a)(1), Local Government Code,
  is amended to read as follows
               (1)  landscaping, lighting, banners, and signs;
  streets and sidewalks; pedestrian skywalks, crosswalks, and
  tunnels; seawalls; marinas; drainage and navigation improvements;
  pedestrian malls; solid waste, water, sewer and power facilities,
  including electrical, gas, steam, cogeneration, and chilled water
  facilities; parks, plazas, lakes, rivers, bayous, ponds, and
  recreation and scenic areas; historic areas; fountains; works or
  art; off-street parking facilities, bus terminals, heliports, and
  mass transit systems; theatres, studios, exhibition halls,
  production facilities and ancillary facilities in support of the
  foregoing; and the cost of any demolition in connection with
  providing any of the improvement projects;
         SECTION 17.  Section 375.114, Local Government Code, is
  amended to read as follows:
         Sec. 375.114.  PETITION REQUIRED. The board may not finance
  services and improvement projects under this chapter unless a
  written petition has been filed with the board requesting those
  improvements or services signed by:
               (1)  the owners of 50 percent or more of the assessed
  value of the property in the district subject to assessment,
  according to [as determined from] the most recent certified county
  property tax rolls; or
               (2)  the owners of 50 percent or more of the surface
  area of the district, excluding roads, streets, highways, and
  utility rights-of-way, other public areas, and any other property
  exempt from assessment under Section 375.162 or 375.163, according
  to [as determined from] the most recent certified county property
  tax rolls.
         SECTION 18.  Section 375.202(e), Local Government Code, is
  amended to read as follows:
         (e)  If provided by the bond order or resolution, the
  proceeds from the sale of bonds may be used to pay interest on the
  bonds during and after the period of the acquisition or
  construction of any improvement project to be provided through the
  issuance of the bonds, to pay administrative and operation expenses
  to create a reserve fund for the payment of the principal of and
  interest on the bonds, to pay costs associated with the issuance of
  the bonds, and to create any other funds. The proceeds of the bonds
  may be placed on time deposit or invested, until needed, in
  securities in the manner provided by the bond order or resolution.
         SECTION 19.  Section 375.205(a), Local Government Code, is
  amended to read as follows:
         (a)  The district shall submit bonds and the appropriate
  proceedings authorizing their issuance to the attorney general for
  examination. This subsection applies only to bonds that are public
  securities, as that term is defined by Section 1202.001, Government
  Code.
         SECTION 20.  Subchapter J, Chapter 375, Local Government
  Code, is amended by adding Section 375.209 to read as follows:
         Sec. 375.209.  TAXES FOR BONDS. At the time the district
  issues bonds payable wholly or partly from ad valorem taxes, the
  board shall provide for the annual imposition of a continuing
  direct annual ad valorem tax, without limit as to rate or amount,
  while all or part of the bonds are outstanding as required and in
  the manner provided by Sections 54.601 and 54.602, Water Code.
         SECTION 21.  Section 375.221, Local Government Code, is
  amended to read as follows:
         Sec. 375.221.  APPLICABILITY OF WATER DISTRICTS LAW TO
  COMPETITIVE BIDDING ON CERTAIN [PUBLIC WORKS] CONTRACTS. (a)
  Except as provided by Subsection (b) of this section, Subchapter I,
  Chapter 49, Water Code, applies to a district contract for
  construction work, equipment, materials, or machinery.
         (b)  [A contract, other than a contract for services, for
  more than $50,000 for the construction of improvements or the
  purchase of material, machinery, equipment, supplies, and other
  property, except real property, may be entered into only after
  competitive bids. Notice of the contract for the purpose of
  soliciting bids shall be published once a week for two consecutive
  weeks in a newspaper with general circulation in the area in which
  the district is located. The first publication of notice must be
  not later than the 14th day before the date set for receiving bids.]
  The board may adopt rules governing receipt of bids and the award of
  the contract and providing for the waiver of the competitive bid
  requirement if:
               (1)  there is an emergency;
               (2)  the needed materials are available from only one
  source;
               (3)  in a procurement requiring design by the supplier
  competitive bidding would not be appropriate and competitive
  negotiation, with proposals solicited from an adequate number of
  qualified sources, would permit reasonable competition consistent
  with the nature and requirements of the procurement; or
               (4)  after solicitation, it is ascertained that there
  will be only one bidder.
         [(b)     If a proposed contract for works, plant improvements,
  facilities other than land, or the purchase of equipment,
  appliances, materials, or supplies is for an estimated amount of
  more than $50,000 or for a duration of more than two years,
  competitive sealed proposals shall be asked from at least three
  persons.]
         SECTION 22.  Section 375.263(a), Local Government Code, is
  amended to read as follows:
         (a)  The [Except as limited by Section 375.264, the]
  governing body of a municipality in which a district is wholly
  located, by a vote of not less than two-thirds of its membership,
  may adopt an ordinance dissolving the district.
         SECTION 23.  Section 375.264, Local Government Code, is
  amended to read as follows:
         Sec. 375.264.  LIMITATION ON DISSOLUTION BY BOARD. A
  district may not be dissolved by its board [or by a municipality] if
  the district has any outstanding bonded indebtedness until that
  bonded indebtedness has been repaid or defeased in accordance with
  the order or resolution authorizing the issuance of the bonds.
         SECTION 24.  Subchapter N, Chapter 375, Local Government
  Code, is amended by adding Section 375.282 to read as follows:
         Sec. 375.282.  STRATEGIC PARTNERSHIP AGREEMENT. A district
  with territory in the extraterritorial jurisdiction of a
  municipality may negotiate and enter into a written strategic
  partnership with the municipality under Section 43.0751.
         SECTION 25.  Section 382.002, Local Government Code, is
  amended to read as follows:
         Sec. 382.002.  APPLICABILITY. This chapter applies only to:
               (1)  a county with a population of 1.5 million
  [825,000] or more, other than a county that:
                     (A)  borders on the Gulf of Mexico or a bay or
  inlet of the gulf; or
                     (B)  has two municipalities located wholly or
  partly in its boundaries each having a population of 225,000
  [300,000] or more; or
               (2)  a county with a population of 70,000 or more that
  is adjacent to a county described by Subdivision (1) in which a
  municipality with a population of 35,000 or more is primarily
  situated and includes all or a part of the extraterritorial
  jurisdiction of a municipality with a population of 1.1 million or
  more.
         SECTION 26.  Subchapter C, Chapter 382, Local Government
  Code, is amended by adding Section 382.113 to read as follows:
         Sec. 382.113.  ANNEXATION OR EXCLUSION OF LAND. (a) This
  section applies only to a district created by a county described by
  Section 382.002(1).
         (b)  A district may annex or exclude land from the district
  as provided by Subchapter J, Chapter 49, Water Code.
         (c)  Before a district may adopt an order adding or excluding
  land, the district must obtain the consent of:
               (1)  the county that created the district by a
  resolution of the county commissioners court; and
               (2)  a municipality in whose extraterritorial
  jurisdiction the district is located by a resolution adopted by the
  municipality's governing body.
         SECTION 27.  Sections 382.155(b) and (d), Local Government
  Code, are amended to read as follows:
         (b)  If authorized by a county, a district shall impose a
  hotel occupancy tax in the same manner as provided [by Chapter 383,
  Local Government Code, and] Section 352.107, Tax Code, [except that
  a hotel occupancy tax:
               (1)  may be used for any purpose authorized in this
  chapter; and
               (2)  is authorized by the county to be imposed by the
  district.
         (d)  A hotel occupancy tax imposed by a district in a county
  described by Section 382.002(1) may be used:
               (1)  for a purpose described by Chapter 352, Tax Code;
  or
               (2)  to encourage the development or operation of a
  hotel in the district, including an economic development program
  for a grant, loan, service or improvement to a hotel in the district 
  [may not be imposed on the occupants of a hotel unless the owner of
  the hotel agrees to the imposition of the hotel occupancy taxes
  under this chapter. After the owner agrees, the agreement may not
  be revoked by the owner of the hotel or any subsequent owner of the
  hotel. After an agreement under this section, the district may
  impose hotel occupancy taxes as provided by this chapter.]
         SECTION 28.  Subchapter D, Chapter 382, Local Government
  Code, is amended by adding Section 382.1555 to read as follows:
         Sec. 382.1555.  USE OF HOTEL OCCUPANCY TAX FOR ANY PURPOSE.
  (a) If authorized by a county, a district may impose a hotel
  occupancy tax under Section 382.155 and use the revenue from the tax
  for any purpose authorized by this chapter if the owner of the hotel
  agrees to the imposition of the tax.
         (b)  After the owner agrees, the agreement may not be revoked
  by the owner of the hotel or any subsequent owner of the hotel.
         (c)  To the extent of a conflict with Section 382.155(d),
  this section controls.
         SECTION 29.  Section 387.003, Local Government Code, is
  amended by amending Subsections (a), (b), (b-1), (c), (e), (f), and
  (h) and adding Subsections (a-1), (i), and (j) to read as follows:
         (a)  The commissioners court of the county may call an
  election on the question of creating a county assistance district
  under this chapter. More than one county assistance district may be
  created in a county.
         (a-1)  A district may [to] perform the following functions in
  the district:
               (1)  the construction, maintenance, or improvement of
  roads or highways;
               (2)  the provision of law enforcement and detention
  services;
               (3)  the maintenance or improvement of libraries,
  museums, parks, or other recreational facilities;
               (4)  the provision of services that benefit the public
  health or welfare, including the provision of firefighting and fire
  prevention services; or
               (5)  the promotion of economic development and tourism.
         (b)  The order calling the election must:
               (1)  define the boundaries of the district to include
  any portion of the county in which the combined tax rate of all
  local sales and use taxes imposed, including the rate to be imposed
  by the district if approved at the election, would not exceed the
  maximum combined rate of sales and use taxes imposed by political
  subdivisions of this state that is prescribed by Sections 321.101
  and 323.101, Tax Code [two percent]; and
               (2)  call for the election to be held within those
  boundaries.
         (b-1)  If the proposed district includes any territory of a
  municipality, the commissioners court shall send notice by
  certified mail to the governing body of the municipality of the
  commissioners court's intent to create the district.  If the
  municipality has created a development corporation under Chapter
  504 or 505, the commissioners court shall also send the notice to
  the board of directors of the corporation.  The commissioners court
  must send the notice not later than the 60th day before the date the
  commissioners court orders the election.  The governing body of the
  municipality may exclude the territory of the municipality from the
  proposed district by sending notice by certified mail to the
  commissioners court of the governing body's desire to exclude the
  municipal territory from the district.  The governing body must
  send the notice not later than the 45th day after the date the
  governing body receives notice from the commissioners court under
  this subsection.  The territory of a municipality that is excluded
  under this subsection may subsequently be included in:
               (1)  the district in an election held under Subsection
  (f) with the consent of the municipality; or
               (2)  another district after complying with the
  requirements of this subsection and after an election under
  Subsection (f).
         (c)  The ballot at the election must be printed to permit
  voting for or against the proposition: "Authorizing the creation
  of the ____ County Assistance District No.___ (insert name of
  district) and the imposition of a sales and use tax at the rate of
  ____ [of one] percent (insert [one-eighth, one-fourth,
  three-eighths, or one-half, as] appropriate rate) for the purpose
  of financing the operations of the district."
         (e)  If a majority of the votes received at the election are
  against the creation of the district, the district is not created
  and the county at any time may call one or more elections [another
  election] on the question of creating one or more [a] county
  assistance districts [district may not be held in the county before
  the first anniversary of the most recent election concerning the
  creation of a district].
         (f)  The commissioners court may call an election to be held
  in an area of the county that is not located in a district created
  under this section to determine whether the area should be included
  in the district and whether the district's sales and use tax should
  be imposed in the area.  An election may not be held in an area in
  which the combined tax rate of all local sales and use taxes
  imposed, including the rate to be imposed by the district if
  approved at the election, would exceed the maximum combined rate of
  sales and use taxes imposed by political subdivisions of this state
  that is prescribed by Sections 321.101 and 323.101, Tax Code [two
  percent].
         (h)  If more than one election to authorize a local sales and
  use tax is held on the same day in the area of a proposed district or
  an area proposed to be added to a district and if the resulting
  approval by the voters would cause the imposition of a local sales
  and use tax in any area to exceed the maximum combined rate of sales
  and use taxes of political subdivisions of this state that is
  prescribed by Sections 321.101 and 323.101, Tax Code [two percent],
  only a tax authorized at an election under this section may be
  imposed.
         (i)  In addition to the authority to include an area in a
  district under Subsection (f), the governing body of a district by
  order may include an area in the district on receipt of a petition
  or petitions signed by the owner or owners of the majority of the
  land in the area to be included in the district. If there are no
  qualified voters in the area to be included in the district, no
  election is required.
         (j)  The commissioners court by order may exclude an area
  from the district if the district has no outstanding bonds payable
  wholly or partly from sales and use taxes and the exclusion does not
  impair any outstanding district debt or contractual obligation.
         SECTION 30.  Section 387.005, Local Government Code, is
  amended to read as follows:
         Sec. 387.005.  GOVERNING BODY. (a)  The commissioners court
  of the county in which the district is created by order shall
  provide that:
               (1)  the commissioners court is the governing body of
  the district; or
               (2)  the commissioners court shall appoint a governing
  body of the district.
         (b)  A member of the governing body of the district
  [commissioners court] is not entitled to compensation for service
  [on the governing body of the district] but is entitled to
  reimbursement for actual and necessary expenses.
         (c)  A board of directors appointed by the commissioners
  court under this section shall consist of five directors who serve
  staggered terms of two years. To be eligible to serve as a
  director, a person must be at least 18 years of age and a resident of
  the county in which the district is located. The initial directors
  shall draw lots to achieve staggered terms, with three of the
  directors serving one-year terms and two of the directors serving
  two-year terms.
         SECTION 31.  Section 387.006(a), Local Government Code, is
  amended to read as follows:
         (a)  A district may:
               (1)  perform any act necessary to the full exercise of
  the district's functions;
               (2)  accept a grant or loan from:
                     (A)  the United States;
                     (B)  an agency or political subdivision of this
  state; or
                     (C)  a public or private person;
               (3)  acquire, sell, lease, convey, or otherwise dispose
  of property or an interest in property under terms determined by the
  district;
               (4)  employ necessary personnel; [and]
               (5)  adopt rules to govern the operation of the
  district and its employees and property; and
               (6)  enter into agreements with municipalities
  necessary or convenient to achieve the district's purposes,
  including agreements regarding the duration, rate, and allocation
  between the district and the municipality of sales and use taxes.
         SECTION 32.  Section 387.007, Local Government Code, is
  amended by amending Subsection (b) to read as follows:
         (b)  A district may not adopt a sales and use tax under this
  chapter if the adoption of the tax would result in a combined tax
  rate of all local sales and use taxes that would exceed the maximum
  combined rate prescribed by Sections 321.101 and 323.101, Tax Code,
  [of more than two percent] in any location in the district.
         SECTION 33.  Section 387.009, Local Government Code, is
  amended to read as follows:
         Sec. 387.009.  TAX RATE. The rate of a tax adopted under
  this chapter must be in increments of one-eighth[, one-fourth,
  three-eighths, or one-half] of one percent.
         SECTION 34.  Sections 387.010(a), (b), and (c), Local
  Government Code, are amended to read as follows:
         (a)  A district that has adopted a sales and use tax under
  this chapter may, by order and subject to Section 387.007(b):
               (1)  reduce [, change] the rate of the tax or repeal the
  tax without an election, except that the district may not repeal the
  sales and use tax or reduce the rate of the sales and use tax below
  the amount pledged to secure payment of an outstanding district
  debt or contractual obligation;
               (2)  increase the rate of the sales and use tax, if the
  increased rate of the sales and use tax will not exceed the rate
  approved at an election held under Section 387.003; or
               (3)  increase the rate of the sales and use tax to a
  rate that exceeds the rate approved at an election held under
  Section 387.003 after [if] the increase [change or repeal] is
  approved by a majority of the votes received in the district at an
  election held for that purpose.
         (b)  The tax may be changed under Subsection (a) in one or
  more increments of one-eighth of one percent [to a maximum of
  one-half of one percent].
         (c)  The ballot for an election to increase [change] the tax
  shall be printed to permit voting for or against the proposition:
  "The increase [change] of a sales and use tax for the ____ County
  Assistance District No. ___ (insert name of district) from the rate
  of ____ [of one] percent (insert [one-fourth, three-eighths, or
  one-half, as] appropriate rate) to the rate of ____ [of one] percent
  (insert [one-fourth, three-eighths, or one-half, as] appropriate
  rate)."
         SECTION 35.  Section 387.012, Local Government Code, is
  amended to read as follows:
         Sec. 387.012.  EFFECTIVE DATE OF TAX. The adoption of the
  tax, the increase or reduction [change] of the tax rate, or the
  repeal of the tax takes effect on the first day of the first
  calendar quarter occurring after the expiration of the first
  complete quarter occurring after the date the comptroller receives
  a copy of the order of the district's governing body [notice of the
  results of the election] adopting, increasing, reducing
  [changing], or repealing the tax.
         SECTION 36.  Section 3815.051(a), Special District Local
  Laws Code, is amended to read as follows:
         (a)  The district is governed by a board of 17 [21] directors
  who serve staggered terms of four years, with eight [10] directors'
  terms expiring June 1 of an odd-numbered year and nine [11]
  directors' terms expiring June 1 of the following odd-numbered
  year.
         SECTION 37.  Subchapter B, Chapter 3815, Special District
  Local Laws Code, is amended by adding Section 3815.055 to read as
  follows:
         Sec. 3815.055.  INTERIM DIRECTORS. (a) The board serving on
  September 1, 2011, is abolished and is replaced by an interim board
  consisting of the following directors:
 
       Pos. No. Name of Director
 
       1 Alan D. Bergeron
 
       2 Sharone Mayberry
 
       3 James Donatto Sr.
 
       4 Hexser J. Holliday II
 
       5 Osama Abdullatif
 
       6 Skye Thompson
 
       7 Asmara Tekle Johnson
 
       8 Jaa St. Julien
 
       9 Jimmy Arnold
 
       10 Cyeoni Miles
 
       11 Zinetta A. Burney
 
       12 Chris Hageney
 
       13 Teddy A. McDavid
 
       14 Brian G. Smith
 
       15 Robert S. Muhammad
 
       16 Robert C. Combre
 
       17 Janice M. Sibley-Reid
         (b)  The terms of the interim directors expire June 1, 2015.
         (c)  The mayor and the members of the governing body of the
  City of Houston shall appoint successor directors not later than
  June 1, 2015, and shall stagger the terms of the directors, with
  eight of the directors' terms expiring June 1, 2017, and the
  remaining directors' terms expiring June 1, 2019.
         (d)  This section expires September 1, 2015.
         SECTION 38.  (a) The Health and Human Services Commission
  shall study the health care delivery systems used by health care
  providers who are not physicians.
         (b)  The study shall examine using health care providers who
  are not physicians to perform basic emergency and non-emergency
  health care services and preventive health care services within the
  scope of the health care providers' practice and license, including
  evaluating:
               (1)  the potential cost savings of health care
  providers who are not physicians performing these health care
  services;
               (2)  any projected increase in access to health care
  services for underserved communities; and
               (3)  any projected impact on the quality of care for
  persons treated by health care providers who are not physicians.
         (c)  The study conducted under this section must
  specifically address the potential cost savings and other
  foreseeable consequences of expanding the authority of advanced
  practice nurses to prescribe medication to patients.
         (d)  In conducting the study under this section, the
  commission shall consult with:
               (1)  the Texas Medical Board;
               (2)  the Texas Board of Nursing;
               (3)  the Texas Physician Assistant Board;
               (4)  the Midwifery Board;
               (5)  the Texas State Board of Podiatric Medical
  Examiners;
               (6)  the Texas Board of Chiropractic Examiners;
               (7)  the Texas Optometry Board; and
               (8)  any other regulatory body or professional
  association that the department determines would be beneficial to
  consult for the purposes of this study.
         (e)  The commission shall submit a report to the legislature
  on the results of the study conducted under this section not later
  than December 31, 2012. The report shall include any
  recommendations for potential legislation relating to health care
  providers who are not physicians.
         (f)  This section expires September 1, 2013.
         SECTION 39.  (a) An interim committee on health care
  professionals is created to conduct a study of:
               (1)  the value of health care professionals in cost
  containment and access to health care; and
               (2)  potential health care delivery systems that
  include multiple types of providers.
         (b)  The committee is composed of five members as follows:
               (1)  two members appointed by the lieutenant governor,
  one of whom must be a senator and one of whom must be a member of the
  public; and
               (2)  three members appointed by the speaker of the
  house of representatives, two of whom must be representatives and
  one of whom must be a member of the public.
         (c)  The committee shall select a presiding officer and
  convene at the call of the presiding officer.
         (d)  The committee has all other powers and duties provided
  to a special or select committee by the rules of the senate and
  house of representatives, by Subchapter B, Chapter 301, Government
  Code, and by policies of the senate and house committees on
  administration.
         (e)  From the contingent expense fund of the senate and the
  contingent expense fund of the house of representatives equally,
  the members of the committee are entitled to reimbursement for
  expenses incurred in carrying out this section in accordance with
  the rules of the senate and house of representatives and the
  policies of the senate and house committees on administration.
         (f)  Not later than December 1, 2012, the committee shall
  report the committee's findings and recommendations to the
  lieutenant governor, the speaker of the house of representatives,
  and the governor. The committee shall include in its
  recommendations specific statutory and rule amendments that appear
  necessary from the results of the committee's study conducted under
  Subsection (a) of this section.
         (g)  Not later than November 1, 2011, the lieutenant governor
  and the speaker of the house of representatives shall appoint the
  members of the interim committee created under this section.
         (h)  This section expires September 1, 2013.
         SECTION 40.  (a) The legislature validates and confirms all
  governmental acts and proceedings before the effective date of this
  Act of a district created under Chapter 382, Local Government Code,
  transferred from Subchapter C, Chapter 372, Local Government Code,
  by Chapter 87 (S.B. 1969), Acts of the 81st Legislature, Regular
  Session, 2009, before the effective date of this Act, including
  acts of the district's board of directors.
         (b)  Subsection (a) does not apply to a matter that on the
  effective date of this Act:
               (1)  is involved in litigation, if the litigation
  ultimately results in the matter being held invalid by a final court
  judgment; or
               (2)  has been held invalid by a final court judgment.
         SECTION 41.  (a) Article 26.13(j), Code of Criminal
  Procedure, as added by this Act, applies only to an offense
  committed on or after the effective date of this Act. An offense
  committed before the effective date of this Act is governed by the
  law in effect at the time the offense was committed, and the former
  law is continued in effect for that purpose. For purposes of this
  section, an offense was committed before the effective date of this
  Act if any element of the offense occurred before that date.
         (b)  The change in law made by Section 552.116, Government
  Code, as amended by this Act, applies to an audit working paper
  created before, on, or after the effective date of this Act.
         (c)  The change in law made by Section 363.156, Local
  Government Code, as amended by this Act, applies only to a purchase
  made or contract executed on or after the effective date of this
  Act. A purchase made or contract executed before the effective date
  of this Act is governed by the law in effect immediately before that
  date, and the former law is continued in effect for that purpose.
         (d)  The change in law made by this Act to Section 375.221,
  Local Government Code, applies only to a contract awarded on or
  after January 1, 2012. A contract awarded before January 1, 2012,
  is governed by the law in effect on the date the contract was
  awarded, and that law is continued in effect for that purpose.
         SECTION 42.  Sections 375.021, 375.027, 375.064(f), and
  387.010(d), Local Government Code, are repealed.
         SECTION 43.  This Act takes effect September 1, 2011.
 
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