BILL ANALYSIS

 

 

Senate Research Center	H.B. 3442
85R10866 MEW-F	By: Cook (Schwertner)
	Health & Human Services
	5/18/2017
	Engrossed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Interested parties contend that voters of the Fairfield Hospital District should be given the opportunity to increase the district's maximum tax rate. H.B. 3442 seeks to address this issue by providing for an election to increase that rate.

 

H.B. 3442 amends current law relating to the Fairfield Hospital District.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 1015.052, Special District Local Laws Code, as follows:

 

Sec. 1015.052. NOTICE OF ELECTION. Requires that notice of an election of directors be published in accordance with Chapter 4 (Notice of Election), Election Code. Deletes existing text requiring that, at least 35 days before the date of an election of directors, notice of the election be published one time in a newspaper with general circulation in the Fairfield Hospital District (district).

 

SECTION 2. Amends Section 1015.252, Special District Local Laws Code, by amending Subsection (b) and adding Subsection (b-1), as follows:

 

(b) Prohibits the tax rate for all purposes from exceeding 12 cents on each $100 valuation of all taxable property in the district, unless the tax rate is increased as provided by Section 1015.254.

 

(b-1) Prohibits the tax rate, for all purposes, if an increase in the tax rate is approved at an election under Section 1015.254, from exceeding the maximum tax rate approved by the voters at the election.

 

SECTION 3. Amends Subchapter F, Chapter 1015, Special District Local Laws Code, by adding Section 1015.254, as follows:

 

Sec. 1015.254. ELECTION TO INCREASE MAXIMUM TAX RATE. (a) Authorizes the board of directors of the district (board) to order an election to increase the maximum tax rate of the district to a rate not to exceed 25 cents on each $100 valuation of the taxable property in the district.

 

(b) Requires the board, subject to Subsection (d), to order an election to increase the maximum tax rate of the district on presentation of a petition that requests the election, states the maximum tax rate to be voted on at the election, and is signed by at least 100 registered voters of the district, as determined by the most recent official list of registered voters.

 

(c) Requires the board, by order, to set a time and place to hold a hearing on the petition.  Requires the board to set a date for the hearing that is not earlier than the 11th day after the date the board issues the order.

 

(d) Requires the board, if, after the hearing, the board determines that the petition is in proper form and that an increase of the maximum tax rate would benefit the district, to order an election to authorize the increase of the maximum tax rate to the tax rate stated in the petition.

 

(e) Requires that the election order state certain information.

 

SECTION 4. Effective date: upon passage or September 1, 2017.