85R9935 SMT-D

By: Hefner H.B. No. 2868

A BILL TO BE ENTITLED

AN ACT

relating to the adoption of the budget of an appraisal district.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 6.037, Tax Code, is amended to read as follows:

Sec. 6.037. PARTICIPATION OF CONSERVATION AND RECLAMATION DISTRICTS IN APPRAISAL DISTRICT MATTERS. In this title, a reference to the taxing units entitled to vote on the appointment of appraisal district board members includes the conservation and reclamation districts participating in the appraisal district, without regard to whether the conservation and reclamation districts are currently entitled to do so under Section 6.03(c). In a provision of this title other than Section 6.03 or 6.031 that grants authority to a majority or other number of the taxing units entitled to vote on the appointment of appraisal district directors, including [the disapproval of the appraisal district budget under Section 6.06 and] the disapproval of appraisal district board actions under Section 6.10, the conservation and reclamation districts participating in the appraisal district are given the vote or authority of one taxing unit. That vote or authority is considered exercised only if a majority of the conservation and reclamation districts take the same action to exercise that vote or authority. Otherwise, the conservation and reclamation districts are treated in the same manner as a single taxing unit that is entitled to act but does not take any action on the matter.

SECTION 2. Section 6.06(b), Tax Code, is amended to read as follows:

(b) The board of directors shall hold a public hearing to consider the budget. The secretary of the board shall deliver to the presiding officer of the governing body of each taxing unit participating in the district not later than the 10th day before the date of the hearing a written notice of the date, time, and place fixed for the hearing. The board shall complete its hearings, make any amendments to the proposed budget it desires, and [finally] approve a proposed budget before September 15. The board shall submit the proposed budget to each taxing unit entitled to vote on the appointment of board members for final approval. Not later than the 30th day after the date the proposed budget is submitted to the taxing units, the governing body of each taxing unit entitled to vote on the appointment of board members shall vote to approve or disapprove the proposed budget. The budget does not take effect unless the [If] governing bodies of a majority of the taxing units entitled to vote on the appointment of board members vote to approve the budget by that date. If the budget is not approved by that date, [adopt resolutions disapproving a budget and file them with the secretary of the board within 30 days after its adoption, the budget does not take effect, and] the board shall adopt a new proposed budget and submit the proposed budget to each taxing unit entitled to vote on the appointment of board members within 30 days [of the disapproval].

SECTION 3. Section 6.062(c), Tax Code, is amended to read as follows:

(c) The notice must state that the appraisal district is supported solely by payments from the local taxing units served by the appraisal district. The notice must also contain the following statement: "If approved by the appraisal district board of directors at the public hearing and by the governing bodies of a majority of the taxing units entitled to vote on the appointment of members of the board of directors of the appraisal district, this proposed budget will take effect [automatically unless disapproved by the governing bodies of the county, school districts, cities, and towns served by the appraisal district]. A copy of the proposed budget is available for public inspection in the office of each of those governing bodies."

SECTION 4. (a) This Act applies only to a proposed budget of an appraisal district for which a public hearing is held under Section 6.06(b), Tax Code, as amended by this Act, on or after the effective date of this Act.

(b) A proposed budget for which a public hearing is held before the effective date of this Act is governed by the law in effect when the public hearing was held, and that law is continued in effect for that purpose.

SECTION 5. This Act takes effect September 1, 2017.