By: Watson S.B. No. 1573
 
 
 
   
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to emergency services districts.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter B, Chapter 775, Health and Safety
  Code, is amended by adding Section 775.0201 to read as follows:
         Sec. 775.0201.  OVERLAPPING DISTRICTS IN CERTAIN COUNTIES.
  (a)  This section applies only to a district located wholly or
  partly in a county to which Subchapter K applies.
         (b)  If the territory of a district proposed under this
  chapter overlaps with the boundaries of another district created
  under this chapter or Chapter 776, the commissioners court of each
  county in which the proposed district is located shall send to the
  board of the existing district a copy of the petition filed under
  this subchapter for creation of the proposed district.
         (c)  The board of the existing district shall adopt a
  statement before the date of the election required by Section
  775.018 that specifies the types of emergency services the existing
  district will provide or continue to provide in the overlapping
  territory if the proposed district is created.
         (d)  If the territory in a district created under this
  chapter overlaps with the boundaries of another district created
  under this chapter or under Chapter 776, the most recently created
  district may not provide services in the overlapping territory that
  duplicate the services described in the statement required by
  Subsection (c).
         SECTION 2.  The heading to Section 775.0205, Health and
  Safety Code, is amended to read as follows:
         Sec. 775.0205.  OVERLAPPING DISTRICTS IN OTHER COUNTIES.
         SECTION 3.  Section 775.0205(e), Health and Safety Code, is
  amended to read as follows:
         (e)  This section does not apply to a district:
               (1)  located wholly in a county with a population of
  more than three million; or
               (2)  located wholly or partly in a county to which
  Subchapter K applies.
         SECTION 4.  Section 775.024, Health and Safety Code, is
  amended to read as follows:
         Sec. 775.024.  CONSOLIDATION [MERGER] OF EMERGENCY SERVICES
  DISTRICTS. (a)  Two or more emergency services districts may
  consolidate [merge] into a single emergency services district as
  provided by this section if:
               (1)  the board of each of the districts votes in favor
  of the consolidation [merger]; and
               (2)  the residents of each district approve the
  consolidation [merger] in an election held for that purpose.
         (b)  The boards shall agree on a name for the proposed
  consolidated [merged] district and choose five commissioners from
  among the membership of the boards to serve on the initial board for
  the proposed district. The boards shall agree to stagger the terms
  appropriately.
         (c)  The ballot for the election to approve a consolidation
  [merger] shall be printed to permit voting for or against the
  proposition: "The consolidation [merger] of the ___________
  (insert district names) to create the _______________ (insert name
  of proposed district), which assumes all outstanding debts of the
  consolidated [merged] districts."
         (d)  If a majority of the voters voting in each district
  favor the consolidation [merger], the consolidated [merged]
  district is created. If less than a majority of the voters voting
  in any of the districts are in favor of the consolidation [merger],
  the vote fails and the districts are not consolidated [merged].
         (e)  The maximum tax rate that may be imposed by the
  consolidated [merged] district may not exceed the maximum tax rate
  authorized for any of the previous districts.
         (f)  The consolidated [merged] district assumes all powers,
  rights, duties, assets, and liabilities of the former districts
  without a change in status. The consolidation [merger] does not
  diminish or impair the rights of the holders of any outstanding and
  unpaid bonds, warrants, or obligations of the district.
         (g)  This section does not apply to a district located wholly
  or partly in a county to which Subchapter K applies.
         SECTION 5.  Chapter 775, Health and Safety Code, is amended
  by adding Subchapter K to read as follows:
  SUBCHAPTER K. CONSOLIDATION OF EMERGENCY SERVICES DISTRICTS IN
  CERTAIN COUNTIES
         Sec. 775.301.  APPLICABILITY. This subchapter applies only
  to a county:
               (1)  with a population of less than 1.1 million;
               (2)  that has in its boundaries the majority of the
  territory of at least one municipality that has a population of
  750,000 or more; and
               (3)  that, according to the most recent federal
  decennial census, had population growth of more than 20 percent
  during the decade preceding the most recent federal decennial
  census.
         Sec. 775.302.  CONSOLIDATION OF EMERGENCY SERVICES
  DISTRICTS AUTHORIZED; JOINT ORDER. (a)  Two or more districts
  located wholly or partly in a county to which this subchapter
  applies may consolidate into a single district if the board of each
  district:
               (1)  determines that consolidation would allow the
  districts to provide services more economically and efficiently;
  and
               (2)  adopts a joint order of consolidation that
  includes:
                     (A)  the name and territory of the consolidated
  district;
                     (B)  the proposed date on which the former
  districts dissolve and the consolidated district is created and
  will start offering services; and
                     (C)  the results of any election required by
  Section 775.304(a).
         (b)  The boards shall send a copy of the joint order of
  consolidation to the commissioners court of each county in which
  the consolidated district is wholly or partly located for approval
  or rejection.
         (c)  If a commissioners court rejects the joint order, the
  districts may not proceed with the consolidation. If all
  commissioners courts approve the joint order, the districts may
  proceed with the consolidation. If a commissioners court does not
  take action on the joint order before the 91st day after the date
  the court receives written notice of the adoption of the joint
  order, the order is considered approved.
         Sec. 775.303.  INITIAL BOARD. (a)  The boards that adopt a
  joint order under Section 775.302 shall appoint five commissioners
  from among the membership of the boards to serve on the initial
  board for the proposed consolidated district. The boards must
  agree to stagger the terms appropriately.
         (b)  The commissioners courts shall jointly appoint
  commissioners to the initial board of the consolidated district if
  the boards do not make the appointments before the 31st day after
  the later of the date the:
               (1)  boards adopted the joint order under Section
  775.302; or
               (2)  commissioners court of each county in which the
  consolidated district is wholly or partly located approves the
  joint order or the order is considered approved under Section
  775.302(c).
         Sec. 775.304.  TAXES FOR CONSOLIDATED DISTRICT. (a)  If two
  districts that want to consolidate under Section 775.302 have
  different maximum ad valorem tax rates, the board of the district
  with the lower maximum ad valorem tax rate shall order an election
  in its district under Section 775.0745 to authorize the imposition
  of taxes in the territory of that district at a maximum rate that
  equals the maximum rate authorized in the district with the higher
  maximum rate.
         (b)  If a majority of the voters do not favor the increase in
  the maximum ad valorem tax rate under Subsection (a), the districts
  may not proceed with the consolidation.
         (c)  If the districts have different sales and use tax rates,
  the board of the consolidated district shall designate the
  territory of the former districts as subdistricts and shall
  continue to impose the sales and use tax in each subdistrict at the
  rate the tax was imposed by the former district.
         (d)  Subsection (c) does not limit the authority of the board
  of the consolidated district to order an election under Section
  775.0752 in a subdistrict or in the entire district. If the boards
  conduct an election under Section 775.0752, Section 775.0753
  governs the effective date of the resulting tax rate.
         Sec. 775.305.  EFFECTIVE DATE OF CONSOLIDATION. (a)  The
  consolidated district is created and may begin offering services on
  the latest of:
               (1)  the date stated in the joint order;
               (2)  the date all commissioners courts approve the
  joint order and the results of an election held under Section
  775.304(a), if any; or
               (3)  the date the initial board of the consolidated
  district is appointed.
         (b)  The consolidated district assumes all powers, rights,
  duties, assets, and liabilities of the former districts without a
  change in status. The consolidation does not diminish or impair the
  rights of the holders of any outstanding and unpaid bonds,
  warrants, or other obligations of the district.
         SECTION 6.  This Act takes effect immediately if it 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
  Act takes effect September 1, 2011.