By: Flynn H.B. No. 1378
  Relating to annual financial reporting of debt information.
         SECTION 1.  Chapter 140, Local Government Code, is amended
  by adding Section 140.008 to read as follows:
  (a)  In this section:
               (1)  "Debt obligation" means an issued public security,
  as defined by Section 1201.002, Government Code.
               (2)  "Political subdivision" means a county,
  municipality, school district, junior college district, other
  special district, or other subdivision of state government.
         (b)  Except as provided by Subsections (c) and (d), a
  political subdivision shall prepare an annual financial report that
               (1)  financial information for each fund subject to the
  authority of the governing body of the political subdivision during
  the fiscal year, including:
                     (A)  the total receipts of the fund, itemized by
  source of revenue, including taxes, assessments, service charges,
  grants of state money, gifts, or other general sources from which
  funds are derived;
                     (B)  the total disburs.ements of the fund,
  itemized by the nature of the expenditure;
                     (C)  the balance in the fund as of the last day of
  the fiscal year; and
                     (D)  any other information required by law to be
  included by the political subdivision in an annual financial report
  or comparable annual financial statement, exhibit, or report;
               (2)  as of the last day of the preceding fiscal year,
  debt obligation information for the political subdivision that must
                     (A)  the amount of all authorized debt
                     (B)  the principal of all outstanding debt
                     (C)  the principal of each outstanding debt
                     (D)  the combined principal and interest required
  to pay all outstanding debt obligations on time and in full;
                     (E)  the combined principal and interest required
  to pay each outstanding debt obligation on time and in full;
                     (F)  the amounts required by Paragraphs (A)- (E)
  limited to authorized and outstanding debt obligations secured by
  ad valorem taxation, expressed as a total amount and, if the
  political subdivision is a municipality, county, or school
  district, as a per capita amount; and
                     (G)  the following for each debt obligation:
                           (i)  the issued and unissued amount;
                           (ii)  the spent and unspent amount;
                           (iii)  the maturity date; and
                           (iv)  the stated purpose for which the debt
  obligation was authorized; and
               (3)  any other information that the political
  subdivision considers relevant or necessary to explain the values
  required by Subdivisions (2) (A)- (F), including:
                     (A)  an amount required by Subdivision (2)(F)
  stated as a per capita amount if the political subdivision is not
  required to provide the amount under that paragraph;
                     (B)  an explanation of the payment sources for the
  different types of debt; and
                     (C)  a projected per capita amount of an amount
  required by Subdivision (2)(F), as of the last day of the maximum
  term of the most recent debt obligation issued by the political
         (c)  Instead of replicating in the annual financial report
  information required by Subsection (b) that is posted separately on
  the political subdivision's Internet website, or on a website as
  authorized by Subsection (g)(2), the political subdivision may
  provide in the report a direct link to, or a clear statement
  describing the location of, the separately posted information.
         (d)  As an alternative to preparing an annual financial
  report, a political subdivision may provide to the comptroller the
  information described by Subsection (b) and any other related
  information required by the comptroller in the form and in the
  manner prescribed by the comptroller. The comptroller shall post
  the information on the comptroller's Internet website in the format
  that the comptroller determines is appropriate.  The political
  subdivision shall provide a link from the political subdivision's
  website, or a website as authorized by Subsection (g) (2) , to the
  location on the comptroller's website where the political
  subdivision's financial information may be viewed. The comptroller
  shall adopt rules necessary to implement this subsection.
         (e)  Except as provided by Subsection (d), the governing body
  of a political subdivision shall take action to ensure that:
               (1)  the political subdivision's annual financial
  report is made available for inspection by any person and is posted
  continuously on the political subdivision's Internet website, or on
  a website as authorized by Subsection (g)(2), until the political
  subdivision posts the next annual financial report; and
               (2)  the contact information for the main office of the
  political subdivision is continuously posted on the website,
  including the physical address, the mailing address, the main
  telephone number, and an e-mail address.
         (f)  Except as provided by Subsection (g), a political
  subdivision shall maintain or cause to be maintained an Internet
  website to comply with this section.
         (g)  This subsection does not apply to a county or
  municipality with a population of more than 2,000 or a school
  district or a junior college district. If a political subdivision
  did not maintain an Internet website or cause a website to be
  maintained on January 1, 2013, the political subdivision shall post
  the information required by this section on:
               (1)  the political subdivision's website, if the
  political subdivision chooses to maintain the website or cause the
  website to be maintained; or
               (2)  a website in which the political subdivision
  controls the content of the posting, including a social media site,
  provided that the information is easily found by searching the name
  of the political subdivision on the Internet.
         SECTION 2.  Section 271.047, Local Government Code, is
  amended by adding Subsection (d) to read as follows:
         (d)  Except as provided by this subsection, the governing
  body of an issuer may not authorize a certificate to pay a
  contractual obligation to be incurred if a bond proposition to
  authorize the issuance of bonds for the same purpose was submitted
  to the voters during the preceding three years and failed to be
  approved.  A governing body may authorize a certificate that the
  governing body is otherwise prohibited from authorizing under this
               (1)  in a case described by Sections 271.056(1)-(3);
               (2)  to comply with a state or federal law, rule, or
  regulation if the political subdivision has been officially
  notified of noncompliance with the law, rule, or regulation.