By: Coleman (Senate Sponsor - Kolkhorst) H.B. No. 4180

(In the Senate - Received from the House May 8, 2017; May 10, 2017, read first time and referred to Committee on Intergovernmental Relations; May 22, 2017, reported adversely, with favorable Committee Substitute by the following vote: Yeas 7, Nays 0; May 22, 2017, sent to printer.) Click here to see the committee vote

COMMITTEE SUBSTITUTE FOR H.B. No. 4180 By: Bettencourt

A BILL TO BE ENTITLED

AN ACT

relating to the creation, operations, functions, and regulatory authority of certain governmental entities and officials; changes in certain judicial procedures; imposing civil penalties.

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

SECTION 1. Effective September 1, 2017, Section 1, Article 55.02, Code of Criminal Procedure, is amended to read as follows:

Sec. 1. At the request of the acquitted person [defendant] and after notice to the state, or at the request of the attorney for the state, the trial court presiding over the case in which the person [defendant] was acquitted, if the trial court is a district court, or a district court in the county in which the trial court is located shall enter an order of expunction for a person entitled to expunction under Article 55.01(a)(1)(A) not later than the 30th day after the date of the acquittal. On [Upon] acquittal, the trial court shall advise the acquitted person [defendant] of the right to expunction. The party requesting the order of expunction [defendant] shall provide to the district court all of the information required in a petition for expunction under Section 2(b). The attorney for the acquitted person [defendant] in the case in which the person [defendant] was acquitted, if the person [defendant] was represented by counsel, or the attorney for the state, if the person [defendant] was not represented by counsel or if the attorney for the state requested the order of expunction, shall prepare the order for the court's signature.

SECTION 2. Effective September 1, 2017, Article 102.006, Code of Criminal Procedure, is amended by adding Subsection (c) to read as follows:

(c) A court that grants a petition for expunction of a criminal record may order that any fee, or portion of a fee, required to be paid under this article or other law in relation to the petition be returned to the petitioner.

SECTION 3. Effective September 1, 2017, Section 53.001, Government Code, is amended by adding Subsection (k) to read as follows:

(k) The judges of the 5th, 102nd, and 202nd district courts and the judges of the county courts at law of Bowie County shall appoint one or more bailiffs to serve the courts in Bowie County.

SECTION 4. Effective September 1, 2017, Section 53.007(a), Government Code, is amended to read as follows:

(a) This section applies to:

(1) the 34th, 70th, 71st, 86th, 97th, 130th, 142nd, 161st, 238th, 318th, 341st, 355th, and 385th district courts;

(2) the County Court of Harrison County;

(3) the criminal district courts of Tarrant County;

(4) the district courts in Taylor County;

(5) the courts described in Section 53.002(c), (d), (e), or (f);

(6) the county courts at law of Taylor County;

(7) the district courts in Tarrant County that give preference to criminal cases; [and]

(8) the 115th District Court in Upshur County; and

(9) the 5th, 102nd, and 202nd district courts and the county courts at law of Bowie County.

SECTION 5. Effective September 1, 2017, Section 53.0071, Government Code, is amended to read as follows:

Sec. 53.0071. BAILIFF AS PEACE OFFICER. Unless the appointing judge provides otherwise in the order of appointment, a bailiff appointed under Section 53.001(b), [or] (g), or (k) or 53.002(c), (e), or (f) is a "peace officer" for purposes of Article 2.12, Code of Criminal Procedure.

SECTION 6. Effective September 1, 2017, Section 54.653, Government Code, is amended to read as follows:

Sec. 54.653. COMPENSATION. (a) A full-time magistrate is entitled to the salary determined by the Commissioners Court of Tarrant County.

(b) The salary of a full-time magistrate may not exceed 90 percent of the sum of:

(1) [be less than] the salary [authorized to be] paid to a district judge by the state under Section 659.012; and

(2) the maximum amount of county contributions and supplements allowed by law to be paid to a district judge under Section 659.012 [master for family law cases appointed under Subchapter A].

(c) The salary of a part-time magistrate is equal to the per-hour salary of a full-time magistrate. The per-hour salary is determined by dividing the annual salary by a 2,080 work-hour year. The judges of the courts trying criminal cases in Tarrant County shall approve the number of hours for which a part-time magistrate is to be paid.

(d) A [The] magistrate's salary is paid from the county fund available for payment of officers' salaries.

SECTION 7. Effective September 1, 2017, Section 54.656(a), Government Code, is amended to read as follows:

(a) A judge may refer to a magistrate any criminal case or matter relating to a criminal case for proceedings involving:

(1) a negotiated plea of guilty or no contest and sentencing before the court;

(2) a bond forfeiture, remittitur, and related proceedings;

(3) a pretrial motion;

(4) a [postconviction] writ of habeas corpus;

(5) an examining trial;

(6) an occupational driver's license;

(7) a petition for an [agreed] order of expunction under Chapter 55, Code of Criminal Procedure;

(8) an asset forfeiture hearing as provided by Chapter 59, Code of Criminal Procedure;

(9) a petition for an [agreed] order of nondisclosure of criminal history record information or an order of nondisclosure of criminal history record information that does not require a petition provided by Subchapter E-1, Chapter 411;

(10) a [hearing on a] motion to modify or revoke community supervision or to proceed with an adjudication of guilt [probation]; [and]

(11) setting conditions, modifying, revoking, and surrendering of bonds, including surety bonds;

(12) specialty court proceedings;

(13) a waiver of extradition; and

(14) any other matter the judge considers necessary and proper.

SECTION 8. Effective September 1, 2017, Section 54.658, Government Code, is amended to read as follows:

Sec. 54.658. POWERS. (a) Except as limited by an order of referral, a magistrate to whom a case is referred may:

(1) conduct hearings;

(2) hear evidence;

(3) compel production of relevant evidence;

(4) rule on admissibility of evidence;

(5) issue summons for the appearance of witnesses;

(6) examine witnesses;

(7) swear witnesses for hearings;

(8) make findings of fact on evidence;

(9) formulate conclusions of law;

(10) rule on a pretrial motion;

(11) recommend the rulings, orders, or judgment to be made in a case;

(12) regulate proceedings in a hearing;

(13) accept a plea of guilty from a defendant charged with misdemeanor, felony, or both misdemeanor and felony offenses;

(14) select a jury;

(15) accept a negotiated plea on a probation revocation;

(16) conduct a contested probation revocation hearing;

(17) sign a dismissal in a misdemeanor case; [and]

(18) in any case referred under Section 54.656(a)(1), accept a negotiated plea of guilty or no contest and:

(A) enter a finding of guilt and impose or suspend the sentence; or

(B) defer adjudication of guilt; and

(19) do any act and take any measure necessary and proper for the efficient performance of the duties required by the order of referral.

(b) A magistrate may sign a motion to dismiss submitted by an attorney representing the state on cases referred to the magistrate, or on dockets called by the magistrate, and may consider unadjudicated cases at sentencing under Section 12.45, Penal Code.

(c) A magistrate has all of the powers of a magistrate under the laws of this state and may administer an oath for any purpose.

(d) A magistrate does not have authority under Article 18.01(c), Code of Criminal Procedure, to issue a subsequent search warrant under Article 18.02(a)(10), Code of Criminal Procedure.

SECTION 9. The heading to Section 313.006, Government Code, is amended to read as follows:

Sec. 313.006. NOTICE FOR LAWS ESTABLISHING OR ADDING TERRITORY TO MUNICIPAL MANAGEMENT DISTRICTS.

SECTION 10. Section 313.006, Government Code, is amended by amending Subsections (a), (b), and (d) and adding Subsections (e) and (f) to read as follows:

(a) In addition to the other requirements of this chapter, a person, other than a member of the legislature, who intends to apply for the passage of a law establishing or adding territory to a special district that incorporates a power from Chapter 375, Local Government Code, must provide notice as provided by this section.

(b) The person shall notify by mail each person who owns real property [in the] proposed to be included in a new district or to be added to an existing district, according to the most recent certified tax appraisal roll for the county in which the real property is owned. The notice, properly addressed with postage paid, must be deposited with the United States Postal Service not later than the 30th day before the date on which the intended law is introduced in the legislature.

(d) The person is not required to mail notice under Subsection (b) or (e) to a person who owns real property in the proposed district or in the area proposed to be added to a district if the property cannot be subject to an assessment by the district.

(e) After the introduction of a law in the legislature establishing or adding territory to a special district that incorporates a power from Chapter 375, Local Government Code, the person shall mail to each person who owns real property proposed to be included in a new district or to be added to an existing district a notice that the legislation has been introduced, including the applicable bill number. The notice, properly addressed with postage paid, must be deposited with the United States Postal Service not later than the 30th day after the date on which the intended law is introduced in the legislature. If the person has not mailed the notice required under this subsection on the 31st day after the date on which the intended law is introduced in the legislature, the person may cure the deficiency by immediately mailing the notice, but the person shall in no event mail the notice later than the date on which the intended law is reported out of committee in the chamber other than the chamber in which the intended law was introduced. If similar bills are filed in both chambers of the legislature, a person is only required to provide a single notice under this subsection not later than the 30th day after the date the first of the bills is filed.

(f) A landowner may waive any notice required under this section at any time.

SECTION 11. Effective September 1, 2017, Subchapter B, Chapter 403, Government Code, is amended by adding Sections 403.0241 and 403.0242 to read as follows:

Sec. 403.0241. SPECIAL PURPOSE DISTRICT PUBLIC INFORMATION DATABASE. (a) In this section:

(1) "Special purpose district" means a political subdivision of this state with geographic boundaries that define the subdivision's territorial jurisdiction. The term does not include a municipality, county, junior college district, independent school district, or political subdivision with statewide jurisdiction.

(2) "Tax year" has the meaning assigned by Section 1.04, Tax Code.

(b) The comptroller shall create and make accessible on the Internet a database, to be known as the Special Purpose District Public Information Database, that contains information regarding all special purpose districts of this state that:

(1) are authorized by the state by a general or special law to impose an ad valorem tax or a sales and use tax, to impose an assessment, or to charge a fee; and

(2) during the most recent fiscal year:

(A) had bonds outstanding;

(B) had gross receipts from operations, loans, taxes, or contributions in excess of $250,000; or

(C) had cash and temporary investments in excess of $250,000.

(c) For each special purpose district described by Subsection (b), the database must include:

(1) the name of the special purpose district;

(2) the name of each board member of the special purpose district;

(3) contact information for the main office of the special purpose district, including the physical address, the mailing address, and the main telephone number;

(4) if the special purpose district employs a person as a general manager or executive director, or in another position to perform duties or functions comparable to those of a general manager or executive director, the name of the employee;

(5) if the special purpose district contracts with a utility operator, contact information for a person representing the utility operator, including a mailing address and a telephone number;

(6) if the special purpose district contracts with a tax assessor-collector, contact information for a person representing the tax assessor-collector, including a mailing address and telephone number;

(7) the special purpose district's Internet website address, if any;

(8) the information the special purpose district is required to report under Section 140.008(b) or (g), Local Government Code, including any revenue obligations;

(9) the total amount of bonds authorized by the voters of the special purpose district that are payable wholly or partly from ad valorem taxes, excluding refunding bonds if refunding bonds were separately authorized and excluding contract revenue bonds;

(10) the aggregate initial principal amount of all bonds issued by the special purpose district that are payable wholly or partly from ad valorem taxes, excluding refunding bonds and contract revenue bonds;

(11) the rate of any sales and use tax the special purpose district imposes; and

(12) for a special purpose district that imposes an ad valorem tax:

(A) the ad valorem tax rate for the most recent tax year if the district is a district as defined by Section 49.001, Water Code; or

(B) the table of ad valorem tax rates for the most recent tax year described by Section 26.16, Tax Code, in the form required by that section, if the district is not a district as defined by Section 49.001, Water Code.

(d) The comptroller may consult with the appropriate officer of, or other person representing, each special purpose district to obtain the information necessary to operate and update the database.

(e) To the extent information required in the database is otherwise collected or maintained by a state agency or special purpose district, the comptroller may require the state agency or special purpose district to provide that information and updates to the information as necessary for inclusion in the database.

(f) The comptroller shall update information in the database annually.

(g) The comptroller may not charge a fee to the public to access the database.

(h) The comptroller may establish procedures and adopt rules to implement this section.

Sec. 403.0242. SPECIAL PURPOSE DISTRICT NONCOMPLIANCE LIST. The comptroller shall prepare and maintain a noncompliance list of special purpose districts that have not timely complied with a requirement to provide information under Section 203.062, Local Government Code.

SECTION 12. Effective September 1, 2017, Subchapter E-1, Chapter 411, Government Code, is amended by adding Section 411.0746 to read as follows:

Sec. 411.0746. RETURN OF FEES. A court that issues an order of nondisclosure of criminal history record information under this subchapter may order that any fee, or portion of a fee, required to be paid under this subchapter or other law in relation to the order be returned to the person who is the subject of that order.

SECTION 13. Effective September 1, 2017, Section 659.012(a), Government Code, is amended to read as follows:

(a) Notwithstanding Section 659.011:

(1) a judge of a district court is entitled to an annual salary from the state of at least $125,000, except that the combined salary of a district judge from state and county sources, not including compensation for any extrajudicial services performed on behalf of the county, may not exceed the amount that is $5,000 less than the salary provided for a justice of a court of appeals other than a chief justice;

(2) a justice of a court of appeals other than the chief justice is entitled to an annual salary from the state that is equal to 110 percent of the salary of a district judge, except that the combined salary of a justice of the court of appeals other than the chief justice from all state and county sources, not including compensation for any extrajudicial services performed on behalf of the county, may not exceed the amount that is $5,000 less than the salary provided for a justice of the supreme court;

(3) a justice of the supreme court other than the chief justice or a judge of the court of criminal appeals other than the presiding judge is entitled to an annual salary from the state that is equal to 120 percent of the salary of a district judge; and

(4) the chief justice or presiding judge of an appellate court is entitled to an annual salary from the state that is $2,500 more than the salary provided for the other justices or judges of the court, except that the combined salary of the chief justice of a court of appeals may not exceed the amount that is $2,500 less than the salary provided for a justice of the supreme court.

SECTION 14. Subchapter A, Chapter 264, Health and Safety Code, is amended by adding Section 264.004 to read as follows:

Sec. 264.004. DISSOLUTION. (a) The commissioners court of a county by order may dissolve an authority created by the commissioners court if the commissioners court and the authority provide for the sale or transfer of the authority's assets and liabilities to the county.

(b) The dissolution of an authority and the sale or transfer of the authority's assets and liabilities may not:

(1) violate a trust indenture or bond resolution relating to the outstanding bonds of the authority; or

(2) diminish or impair the rights of the holders of outstanding bonds, warrants, or other obligations of the authority.

(c) An order dissolving an authority takes effect on the 31st day after the date the commissioners court adopts the order.

(d) All records of the authority remaining when the authority is dissolved shall be transferred to the county clerk of the county in which the authority is located.

SECTION 15. Subtitle D, Title 4, Health and Safety Code, is amended by adding Chapter 291A to read as follows:

CHAPTER 291A. COUNTY HEALTH CARE PROVIDER PARTICIPATION

PROGRAM IN CERTAIN COUNTIES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 291A.001. DEFINITIONS. In this chapter:

(1) "Institutional health care provider" means a nonpublic hospital that provides inpatient hospital services.

(2) "Paying hospital" means an institutional health care provider required to make a mandatory payment under this chapter.

(3) "Program" means the county health care provider participation program authorized by this chapter.

Sec. 291A.002. APPLICABILITY. This chapter applies only to:

(1) a county that:

(A) is not served by a hospital district or a public hospital;

(B) has a population of more than 75,000; and

(C) borders or includes a portion of the Sam Rayburn Reservoir; and

(2) a county that has a population of more than 200,000 and less than 220,000.

Sec. 291A.003. COUNTY HEALTH CARE PROVIDER PARTICIPATION PROGRAM; PARTICIPATION IN PROGRAM. (a) A county health care provider participation program authorizes a county to collect a mandatory payment from each institutional health care provider located in the county to be deposited in a local provider participation fund established by the county. Money in the fund may be used by the county to fund certain intergovernmental transfers and indigent care programs as provided by this chapter.

(b) The commissioners court may adopt an order authorizing a county to participate in the program, subject to the limitations provided by this chapter.

SUBCHAPTER B. POWERS AND DUTIES OF COMMISSIONERS COURT

Sec. 291A.051. LIMITATION ON AUTHORITY TO REQUIRE MANDATORY PAYMENT. The commissioners court of a county may require a mandatory payment authorized under this chapter by an institutional health care provider in the county only in the manner provided by this chapter.

Sec. 291A.052. MAJORITY VOTE REQUIRED. The commissioners court of a county may not authorize the county to collect a mandatory payment authorized under this chapter without an affirmative vote of a majority of the members of the commissioners court.

Sec. 291A.053. RULES AND PROCEDURES. After the commissioners court has voted to require a mandatory payment authorized under this chapter, the commissioners court may adopt rules relating to the administration of the mandatory payment.

Sec. 291A.054. INSTITUTIONAL HEALTH CARE PROVIDER REPORTING; INSPECTION OF RECORDS. (a) The commissioners court of a county that collects a mandatory payment authorized under this chapter shall require each institutional health care provider to submit to the county a copy of any financial and utilization data required by and reported to the Department of State Health Services under Sections 311.032 and 311.033 and any rules adopted by the executive commissioner of the Health and Human Services Commission to implement those sections.

(b) The commissioners court of a county that collects a mandatory payment authorized under this chapter may inspect the records of an institutional health care provider to the extent necessary to ensure compliance with the requirements of Subsection (a).

SUBCHAPTER C. GENERAL FINANCIAL PROVISIONS

Sec. 291A.101. HEARING. (a) Each year, the commissioners court of a county that collects a mandatory payment authorized under this chapter shall hold a public hearing on the amounts of any mandatory payments that the commissioners court intends to require during the year.

(b) Not later than the fifth day before the date of the hearing required under Subsection (a), the commissioners court of the county shall publish notice of the hearing in a newspaper of general circulation in the county.

(c) A representative of a paying hospital is entitled to appear at the time and place designated in the public notice and to be heard regarding any matter related to the mandatory payments authorized under this chapter.

Sec. 291A.102. DEPOSITORY. (a) The commissioners court of each county that collects a mandatory payment authorized under this chapter by resolution shall designate one or more banks located in the county as the depository for mandatory payments received by the county.

(b) All income received by a county under this chapter, including the revenue from mandatory payments remaining after discounts and fees for assessing and collecting the payments are deducted, shall be deposited with the county depository in the county's local provider participation fund and may be withdrawn only as provided by this chapter.

(c) All funds under this chapter shall be secured in the manner provided for securing county funds.

Sec. 291A.103. LOCAL PROVIDER PARTICIPATION FUND; AUTHORIZED USES OF MONEY. (a) Each county that collects a mandatory payment authorized under this chapter shall create a local provider participation fund.

(b) The local provider participation fund of a county consists of:

(1) all revenue received by the county attributable to mandatory payments authorized under this chapter, including any penalties and interest attributable to delinquent payments;

(2) money received from the Health and Human Services Commission as a refund of an intergovernmental transfer from the county to the state for the purpose of providing the nonfederal share of Medicaid supplemental payment program payments, provided that the intergovernmental transfer does not receive a federal matching payment; and

(3) the earnings of the fund.

(c) Money deposited to the local provider participation fund may be used only to:

(1) fund intergovernmental transfers from the county to the state to provide:

(A) the nonfederal share of a Medicaid supplemental payment program authorized under the state Medicaid plan, the Texas Healthcare Transformation and Quality Improvement Program waiver issued under Section 1115 of the federal Social Security Act (42 U.S.C. Section 1315), or a successor waiver program authorizing similar Medicaid supplemental payment programs; or

(B) payments to Medicaid managed care organizations that are dedicated for payment to hospitals;

(2) subsidize indigent programs;

(3) pay the administrative expenses of the county solely for activities under this chapter;

(4) refund a portion of a mandatory payment collected in error from a paying hospital; and

(5) refund to paying hospitals the proportionate share of money received by the county that is not used to fund the nonfederal share of Medicaid supplemental payment program payments.

(d) Money in the local provider participation fund may not be commingled with other county funds.

(e) An intergovernmental transfer of funds described by Subsection (c)(1) and any funds received by the county as a result of an intergovernmental transfer described by that subsection may not be used by the county or any other entity to expand Medicaid eligibility under the Patient Protection and Affordable Care Act (Pub. L. No. 111-148) as amended by the Health Care and Education Reconciliation Act of 2010 (Pub. L. No. 111-152).

SUBCHAPTER D. MANDATORY PAYMENTS

Sec. 291A.151. MANDATORY PAYMENTS BASED ON PAYING HOSPITAL NET PATIENT REVENUE. (a) Except as provided by Subsection (e), the commissioners court of a county that collects a mandatory payment authorized under this chapter may require an annual mandatory payment to be assessed on the net patient revenue of each institutional health care provider located in the county. The commissioners court may provide for the mandatory payment to be assessed quarterly. In the first year in which the mandatory payment is required, the mandatory payment is assessed on the net patient revenue of an institutional health care provider as determined by the data reported to the Department of State Health Services under Sections 311.032 and 311.033 in the fiscal year ending in 2015 or, if the institutional health care provider did not report any data under those sections in that fiscal year, as determined by the institutional health care provider's Medicare cost report submitted for the 2015 fiscal year or for the closest subsequent fiscal year for which the provider submitted the Medicare cost report. The county shall update the amount of the mandatory payment on an annual basis.

(b) The amount of a mandatory payment authorized under this chapter must be uniformly proportionate with the amount of net patient revenue generated by each paying hospital in the county. A mandatory payment authorized under this chapter may not hold harmless any institutional health care provider, as required under 42 U.S.C. Section 1396b(w).

(c) The commissioners court of a county that collects a mandatory payment authorized under this chapter shall set the amount of the mandatory payment. The amount of the mandatory payment required of each paying hospital may not exceed six percent of the paying hospital's net patient revenue.

(d) Subject to the maximum amount prescribed by Subsection (c), the commissioners court of a county that collects a mandatory payment authorized under this chapter shall set the mandatory payments in amounts that in the aggregate will generate sufficient revenue to cover the administrative expenses of the county for activities under this chapter, to fund an intergovernmental transfer described by Section 291A.103(c)(1), and to pay for indigent programs, except that the amount of revenue from mandatory payments used for administrative expenses of the county for activities under this chapter in a year may not exceed the lesser of four percent of the total revenue generated from the mandatory payment or $20,000.

(e) A paying hospital may not add a mandatory payment required under this section as a surcharge to a patient.

Sec. 291A.152. ASSESSMENT AND COLLECTION OF MANDATORY PAYMENTS. The county may collect or contract for the assessment and collection of mandatory payments authorized under this chapter.

Sec. 291A.153. INTEREST, PENALTIES, AND DISCOUNTS. Interest, penalties, and discounts on mandatory payments required under this chapter are governed by the law applicable to county ad valorem taxes.

Sec. 291A.154. PURPOSE; CORRECTION OF INVALID PROVISION OR PROCEDURE. (a) The purpose of this chapter is to generate revenue by collecting from institutional health care providers a mandatory payment to be used to provide the nonfederal share of a Medicaid supplemental payment program.

(b) To the extent any provision or procedure under this chapter causes a mandatory payment authorized under this chapter to be ineligible for federal matching funds, the county may provide by rule for an alternative provision or procedure that conforms to the requirements of the federal Centers for Medicare and Medicaid Services.

SECTION 16. Effective September 1, 2017, Section 533.035, Health and Safety Code, is amended by adding Subsection (b-1) to read as follows:

(b-1) At least once each year, a local mental health authority shall consult with the sheriff, or a representative of the sheriff, of each county in the local authority's service area regarding the use of funds received under Subsection (b). The local authority shall provide to the sheriff or the sheriff's representative a detailed statement of the amount and use of the funds.

SECTION 17. Subchapter C, Chapter 775, Health and Safety Code, is amended by adding Section 775.0341 to read as follows:

Sec. 775.0341. APPOINTMENT OF BOARD IN CERTAIN DISTRICTS LOCATED IN MORE THAN ONE COUNTY. (a) This section applies only to a district that was authorized to have a board of emergency services commissioners appointed under former Section 776.0345 and that is located:

(1) partly in a county with a population of less than 22,000; and

(2) partly in a county with a population of more than 54,000.

(b) A five-member board of emergency services commissioners appointed under this section serves as the district's governing body. A commissioner serves a two-year term.

(c) The commissioners court of the smallest county in which the district is located shall appoint two commissioners to the board. The commissioners court of the largest county in which the district is located shall appoint three commissioners to the board.

(d) To be eligible for appointment as an emergency services commissioner under this section, a person must be at least 18 years of age and reside in the district. Two commissioners must reside in the smallest county in which the district is located, and three commissioners must reside in the largest county in which the district is located.

(e) On January 1 of each year, a commissioners court shall appoint a successor for each emergency services commissioner appointed by that commissioners court whose term has expired.

(f) The appropriate commissioners court shall fill a vacancy on the board for the remainder of the unexpired term.

SECTION 18. Section 775.035, Health and Safety Code, is amended by adding Subsection (j) to read as follows:

(j) This section does not apply to a district described by Section 775.0341.

SECTION 19. Section 775.036, Health and Safety Code, is amended by adding Subsection (a-1) to read as follows:

(a-1) Notwithstanding Subsection (a)(1), the board for a district located wholly in a county with a population of 75,000 or less may by resolution determine to hold the board's regular meetings less frequently than prescribed by that subsection. The resolution must require the board to meet either quarterly or every other month. The board shall meet as required by the resolution.

SECTION 20. Section 81.001(b), Local Government Code, is amended to read as follows:

(b) If present, the county judge is the presiding officer of the commissioners court. This subsection does not apply to a meeting held under Section 551.127, Government Code, if the county judge is not located at the physical space made available to the public for the meeting.

SECTION 21. Effective September 1, 2017, Chapter 140, Local Government Code, is amended by adding Section 140.012 to read as follows:

Sec. 140.012. EXPENDITURES FOR LOBBYING ACTIVITIES. (a) This section applies only to:

(1) a political subdivision that imposes a tax;

(2) a political subdivision or special district that has the authority to issue bonds, including revenue bonds;

(3) a regional mobility authority;

(4) a transit authority;

(5) a regional tollway authority;

(6) a special purpose district;

(7) a public institution of higher education;

(8) a community college district;

(9) a utility owned by the state or a political subdivision; or

(10) a river authority.

(b) A political subdivision or entity described by Subsection (a) may enter into a contract to spend money to directly or indirectly influence or attempt to influence the outcome of any legislation only if the contract, purpose of the contract, recipient of the contract, and amount of the contract expenditure are authorized by a majority vote of the governing body of the political subdivision or entity in an open meeting of the governing body. The contract expenditure must be voted on by the governing body as a stand-alone item on the agenda at the meeting. The governing body may approve multiple contract expenditures for the purpose described by this subsection by a single vote of the governing body, if the total amount of those expenditures is stated as a separate item on the meeting agenda.

(c) A political subdivision or entity described by Subsection (a) shall report to the Texas Ethics Commission and publish on the political subdivision's or entity's Internet website:

(1) the amount of money authorized under Subsection (b) for the purpose of directly or indirectly influencing or attempting to influence the outcome of any legislation pending before the legislature;

(2) the name of any person required to register under Chapter 305, Government Code, retained or employed by the political subdivision or entity for the purpose described by Subdivision (1); and

(3) an electronic copy of any contract for services described by Subdivision (1) entered into by the political subdivision or entity with each person listed under Subdivision (2).

(d) In addition to the requirements of Subsection (c), the political subdivision or entity described by Subsection (a) shall report to the Texas Ethics Commission and publish on the political subdivision's or entity's Internet website the amount of public money spent for membership fees and dues of any nonprofit state association or organization of similarly situated political subdivisions or entities that directly or indirectly influences or attempts to influence the outcome of any legislation pending before the legislature.

(e) The Texas Ethics Commission shall make available to the public an online searchable database on the commission's Internet website containing the reports submitted to the commission under Subsection (c).

(f) If any political subdivision or entity described by Subsection (a) does not comply with the requirements of this section, an interested party is entitled to appropriate injunctive relief to prevent any further activity in violation of this section. For purposes of this subsection, "interested party" means a person who:

(1) is a taxpayer of a political subdivision or entity described by Subsection (a); or

(2) is served by or receives services from a political subdivision or entity described by Subsection (a).

(g) This section does not apply to expenditures or contracts of a political subdivision or entity described by Subsection (a) that are related to a person who is a full-time employee of the political subdivision or entity, or to the reimbursement of expenses for a full-time employee of the political subdivision or entity.

SECTION 22. Effective September 1, 2017, Chapter 203, Local Government Code, is amended by adding Subchapter D to read as follows:

SUBCHAPTER D. RECORDS AND INFORMATION PROVIDED TO COMPTROLLER

Sec. 203.061. APPLICABILITY OF SUBCHAPTER. This subchapter applies only to a special purpose district described by Section 403.0241(b), Government Code.

Sec. 203.062. PROVISION OF CERTAIN RECORDS AND OTHER INFORMATION TO COMPTROLLER. (a) A special purpose district shall transmit records and other information to the comptroller annually for purposes of providing the comptroller with information to operate and update the Special Purpose District Public Information Database under Section 403.0241, Government Code.

(b) The special purpose district may comply with Subsection (a) by affirming that records and other information previously transmitted are current.

(c) The special purpose district shall transmit the records and other information in a form and in the manner prescribed by the comptroller.

Sec. 203.063. PENALTIES FOR NONCOMPLIANCE. (a) If a special purpose district does not timely comply with Section 203.062, the comptroller shall provide written notice to the special purpose district:

(1) informing the special purpose district of the violation of that section; and

(2) notifying the special purpose district that the special purpose district will be subject to a penalty of $1,000 if the special purpose district does not report the required information on or before the 30th day after the date the notice is provided.

(b) Not later than the 30th day after the date the comptroller provides notice to a special purpose district under Subsection (a), the special purpose district must report the required information.

(c) If a special purpose district does not report the required information as prescribed by Subsection (b):

(1) the special purpose district is liable to the state for a civil penalty of $1,000; and

(2) the comptroller shall provide written notice to the special purpose district:

(A) informing the special purpose district of the liability for the penalty; and

(B) notifying the special purpose district that if the special purpose district does not report the required information on or before the 30th day after the date the notice is provided:

(i) the special purpose district will be subject to an additional penalty of $1,000; and

(ii) the noncompliance will be reflected in the list maintained by the comptroller under Section 403.0242, Government Code.

(d) Not later than the 30th day after the date the comptroller provides notice to a special purpose district under Subsection (c), the special purpose district must report the required information.

(e) If a special purpose district does not report the required information as prescribed by Subsection (d):

(1) the special purpose district is liable to the state for a civil penalty of $1,000; and

(2) the comptroller shall:

(A) reflect the noncompliance in the list maintained under Section 403.0242, Government Code, until the special purpose district reports all information required under Section 203.062; and

(B) provide written notice to the special purpose district that the noncompliance will be reflected in the list until the special purpose district reports the required information.

(f) The attorney general may sue to collect a civil penalty imposed by this section.

SECTION 23. Effective September 1, 2017, Section 250.006(a), Local Government Code, is amended to read as follows:

(a) Except as provided by Subsection (h), a county by order or a municipality by ordinance may require the owner of property within the jurisdiction of the county or municipality to remove graffiti from the owner's property on receipt of notice from the county or municipality. This section applies only to commercial property. Nothing in this section may be construed as applying to residential property.

SECTION 24. Subchapter Z, Chapter 271, Local Government Code, is amended by adding Section 271.909 to read as follows:

Sec. 271.909. PURCHASES: DEVICES THAT UTILIZE ELECTRONIC CAPTURE. As it relates to purchases by political subdivisions and notwithstanding any other state law, devices that utilize electronic capture to produce a physical record are considered interchangeable with devices that utilize electronic capture to produce an electronic record.

SECTION 25. Chapter 330, Local Government Code, is amended by adding Section 330.002 to read as follows:

Sec. 330.002. LIMITATION ON AUTHORITY OF CERTAIN COUNTIES TO IMPROVE OR REDEVELOP CERTAIN SPORTS FACILITIES. (a) In this section:

(1) "County revenue" includes revenue from property taxes, hotel occupancy taxes, fees, and fines.

(2) "Obsolete sports facility" means a multipurpose arena, coliseum, or stadium designed to be used in part as a venue for professional sports events and that opened to the public before 1966.

(b) This section applies only to a county with a population of 3.3 million or more.

(c) A county may not fund, in whole or in part, the improvement or redevelopment of an obsolete sports facility with county revenue or debt if the improvement or redevelopment will cost $10 million or more, unless the funding is approved by the voters of the county at an election held for that purpose.

SECTION 26. Section 375.022(b), Local Government Code, is amended to read as follows:

(b) The petition must be signed by[:

[(1)] the owners of a majority of the assessed value of the real property in the proposed district, according to the most recent certified county property tax rolls[; or

[(2) 50 persons who own real property in the proposed district if, according to the most recent certified county property tax rolls, more than 50 persons own real property in the proposed district].

SECTION 27. Effective September 1, 2017, Section 391.0095, Local Government Code, is amended by amending Subsections (a), (d), and (e) and adding Subsections (c-1), (d-1), and (f) to read as follows:

(a) The audit and reporting requirements under Section 391.009(a) shall include a requirement that a commission annually report to the state auditor:

(1) the amount and source of funds received by the commission during the commission's preceding fiscal year;

(2) the amount and source of funds expended by the commission during the commission's preceding fiscal year, including, for each commission program for which an expenditure is made:

(A) a description of the program;

(B) the name of the program and the name of each eligible recipient, governmental unit, or other person who received funds approved by the governing body of the commission under the program; and

(C) the amount spent for each eligible governmental unit;

(3) an explanation of any method used by the commission to compute an expense of the commission, including computation of any indirect cost of the commission;

(4) a report of the commission's productivity and performance during the commission's preceding fiscal year [annual reporting period];

(5) a projection of the commission's productivity and performance during the commission's next fiscal year [annual reporting period];

(6) the results of an audit of the commission's affairs prepared by an independent certified public accountant; and

(7) a report of any assets disposed of by the commission during the commission's preceding fiscal year.

(c-1) The report submitted under this section shall note any governmental units that are ineligible to receive money under a commission program.

(d) If a commission fails to submit a report or audit as required under this section or is determined by the state auditor to have failed to comply with a rule, requirement, or guideline adopted under Section 391.009, the state auditor shall report the failure to the governor's office. The governor may, until the failure is corrected:

(1) appoint a receiver to operate or oversee the commission; or

(2) withhold any appropriated funds of the commission.

(d-1) If the governor appoints a receiver under Subsection (d)(1), the receiver or the commission may not spend any of the commission's funds until the failure is corrected.

(e) A commission shall send to the governor, the state auditor, the comptroller, the members of the legislature that represent a district located wholly or partly in the region of the commission, each participating governmental unit in the region, and the Legislative Budget Board a copy of each report and audit required under this section or under Section 391.009. The state auditor may review each audit and report, subject to a risk assessment performed by the state auditor and to the legislative audit committee's approval of including the review in the audit plan under Section 321.013, Government Code. If the state auditor reviews the audit or report, the state auditor must be given access to working papers and other supporting documentation that the state auditor determines is necessary to perform the review. If the state auditor finds significant issues involving the administration or operation of a commission or its programs, the state auditor shall report its findings and related recommendations to the legislative audit committee, the governor, and the commission. The governor and the legislative audit committee may direct the commission to prepare a corrective action plan or other response to the state auditor's findings or recommendations. The legislative audit committee may direct the state auditor to perform any additional audit or investigative work that the committee determines is necessary.

(f) A commission's Internet website home page must contain a prominently placed direct link to the most recent report and audit required under this section.

SECTION 28. Effective September 1, 2017, Section 1.07(d), Tax Code, is amended to read as follows:

(d) A notice required by Section 11.43(q), 11.45(d), 23.44(d), 23.46(c) or (f), 23.54(e), 23.541(c), 23.55(e), 23.551(a), 23.57(d), 23.76(e), 23.79(d), [or] 23.85(d), or 33.06(h) must be sent by certified mail.

SECTION 29. Effective September 1, 2017, Section 33.06, Tax Code, is amended by adding Subsection (h) to read as follows:

(h) The chief appraiser may not make a determination that an individual who is 65 years of age or older is no longer entitled to receive a deferral or abatement under this section because the property for which the deferral or abatement was obtained is no longer the individual's principal residence without first providing written notice to the individual stating that the chief appraiser believes the property may no longer be the individual's principal residence. The notice must include a form on which the individual may indicate that the property remains the individual's principal residence and a self-addressed postage prepaid envelope with instructions for returning the form to the chief appraiser. The chief appraiser shall consider the individual's response on the form in determining whether the property remains the individual's principal residence. If the chief appraiser does not receive a response on or before the 60th day after the date the notice is mailed, the chief appraiser may make a determination that the property is no longer the individual's principal residence on or after the 30th day after the expiration of the 60-day period, but only after making a reasonable effort to locate the individual and determine whether the property remains the individual's principal residence. For purposes of this subsection, sending an additional notice that includes, in bold font equal to or greater in size than the surrounding text, the date on which the chief appraiser is authorized to make the determination to the individual receiving the deferral or abatement immediately after the expiration of the 60-day period by first class mail in an envelope on which is written, in all capital letters, "RETURN SERVICE REQUESTED," or another appropriate statement directing the United States Postal Service to return the notice if it is not deliverable as addressed, or providing the additional notice in another manner that the chief appraiser determines is appropriate, constitutes a reasonable effort on the part of the chief appraiser. The chief appraiser may include a notice required under this subsection in a notice required under Section 11.43(q), if applicable.

SECTION 30. Effective September 1, 2017, Section 313.032(c), Tax Code, is amended to read as follows:

(c) The portion of the report described by Subsection (a)(2) must be based on data certified to the comptroller by each recipient or former recipient of a limitation on appraised value under this chapter. The recipient or former recipient shall contract with an independent certified public accountant to verify the data certified to the comptroller. The data may be verified using information from any reliable source, including the Texas Workforce Commission and the chief appraiser of the applicable appraisal district.

SECTION 31. Effective September 1, 2017, Section 397.0125(a), Transportation Code, is amended to read as follows:

(a) In addition to the penalty provided by Section 397.012, a person who operates an automotive wrecking and salvage yard in violation of this chapter is liable for a civil penalty of not less than $500 or more than $5,000 [$1,000] for each violation. A separate penalty may be imposed for each day a continuing violation occurs.

SECTION 32. Section 49.302(b), Water Code, is amended to read as follows:

(b) A petition requesting the annexation of a defined area signed by a majority in value of the owners of land in the defined area, as shown by the tax rolls of the central appraisal district of the county or counties in which such area is located, [or signed by 50 landowners if the number of landowners is more than 50,] shall describe the land by metes and bounds or by lot and block number if there is a recorded plat of the area and shall be filed with the secretary of the board.

SECTION 33. Section 54.014, Water Code, is amended to read as follows:

Sec. 54.014. PETITION. When it is proposed to create a district, a petition requesting creation shall be filed with the commission. The petition shall be signed by a majority in value of the holders of title of the land within the proposed district, as indicated by the tax rolls of the central appraisal district. [If there are more than 50 persons holding title to the land in the proposed district, as indicated by the tax rolls of the central appraisal district, the petition is sufficient if it is signed by 50 holders of title to the land.]

SECTION 34. Section 54.016(a), Water Code, is amended to read as follows:

(a) No land within the corporate limits of a city or within the extraterritorial jurisdiction of a city, shall be included in a district unless the city grants its written consent, by resolution or ordinance, to the inclusion of the land within the district in accordance with Section 42.042, Local Government Code, and this section. The request to a city for its written consent to the creation of a district, shall be signed by a majority in value of the holders of title of the land within the proposed district as indicated by the county tax rolls [or, if there are more than 50 persons holding title to the land in the proposed district as indicated by the county tax rolls, the request to the city will be sufficient if it is signed by 50 holders of title to the land in the district]. A petition for the written consent of a city to the inclusion of land within a district shall describe the boundaries of the land to be included in the district by metes and bounds or by lot and block number, if there is a recorded map or plat and survey of the area, and state the general nature of the work proposed to be done, the necessity for the work, and the cost of the project as then estimated by those filing the petition. If, at the time a petition is filed with a city for creation of a district, the district proposes to connect to a city's water or sewer system or proposes to contract with a regional water and wastewater provider which has been designated as such by the commission as of the date such petition is filed, to which the city has made a capital contribution for the water and wastewater facilities serving the area, the proposed district shall be designated as a "city service district." If such proposed district does not meet the criteria for a city service district at the time the petition seeking creation is filed, such district shall be designated as a "noncity service district." The city's consent shall not place any restrictions or conditions on the creation of a noncity service district as defined by Chapter 54 of the Texas Water Code other than those expressly provided in Subsection (e) of this section and shall specifically not limit the amounts of the district's bonds. A city may not require annexation as a consent to creation of any district. A city shall not refuse to approve a district bond issue for any reason except that the district is not in compliance with valid consent requirements applicable to the district. If a city grants its written consent without the concurrence of the applicant to the creation of a noncity service district containing conditions or restrictions that the petitioning land owner or owners reasonably believe exceed the city's powers, such land owner or owners may petition the commission to create the district and to modify the conditions and restrictions of the city's consent. The commission may declare any provision of the consent to be null and void.

SECTION 35. (a) All governmental acts and proceedings of an emergency services district to which former Section 776.0345, Health and Safety Code, applied before that section was repealed and that relate to the selection of emergency services commissioners of the district and that were taken between January 1, 2012, and the effective date of this Act are validated, ratified, and confirmed in all respects as if they had been taken as authorized by law.

(b) This section does not apply to any 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 36. Section 1, Article 55.02, Code of Criminal Procedure, as amended by this Act, applies only to the expunction of arrest records and files related to a criminal offense for which the trial of the offense begins on or after September 1, 2017. The expunction of arrest records and files related to a criminal offense for which the trial of the offense begins before September 1, 2017, is governed by the law in effect on the date the trial begins, and the former law is continued in effect for that purpose.

SECTION 37. Article 102.006, Code of Criminal Procedure, as amended by this Act, applies only to a petition for expunction filed on or after September 1, 2017. A petition for expunction filed before September 1, 2017, is governed by the law in effect on the date the petition was filed, and the former law is continued in effect for that purpose.

SECTION 38. Sections 54.656 and 54.658, Government Code, as amended by this Act, apply to a matter or case referred to a magistrate on or after September 1, 2017. A matter or case referred to a magistrate before September 1, 2017, is governed by the law in effect immediately before that date, and that law is continued in effect for that purpose.

SECTION 39. Section 411.0746, Government Code, as added by this Act, applies only to an order of nondisclosure of criminal history record information issued on or after September 1, 2017. The issuance of an order of nondisclosure of criminal history record information before September 1, 2017, is governed by the law in effect on the date the order was issued, and the former law is continued in effect for that purpose.

SECTION 40. If before implementing any provision of Chapter 291A, Health and Safety Code, as added by this Act, a state agency determines that a waiver or authorization from a federal agency is necessary for implementation of that provision, the agency affected by the provision shall request the waiver or authorization and may delay implementing that provision until the waiver or authorization is granted.

SECTION 41. (a) The comptroller shall create and post on the Internet the Special Purpose District Public Information Database required by Section 403.0241, Government Code, as added by this Act, not later than September 1, 2018.

(b) Not later than January 1, 2018, the comptroller shall send written notice to each special purpose district described by Section 403.0241(b), Government Code, as added by this Act, that describes the changes in law made by this Act. Each special purpose district that receives notice shall submit to the comptroller any information required under Section 403.0241, Government Code, as added by this Act, or Section 203.062, Local Government Code, as added by this Act, not later than the 90th day after the date the district receives the notice.

(c) Notwithstanding another provision of this Act, including Subsections (a) and (b) of this section, the comptroller is required to implement Sections 403.0241 and 403.0242, Government Code, and Subchapter D, Chapter 203, Local Government Code, as added by this Act, only if the legislature appropriates money specifically for that purpose. If the legislature does not appropriate money specifically for that purpose, the comptroller may, but is not required to, implement Sections 403.0241 and 403.0242, Government Code, and Subchapter D, Chapter 203, Local Government Code, as added by this Act, using other appropriations available for that purpose.

SECTION 42. Sections 1.07 and 33.06, Tax Code, as amended by this Act, apply only to a determination by a chief appraiser that an individual who is 65 years of age or older is no longer entitled to receive a deferral or abatement of collection of ad valorem taxes under Section 33.06, Tax Code, because the property for which the deferral or abatement was obtained is no longer the individual's principal residence that is made on or after September 1, 2017. A determination by a chief appraiser that an individual who is 65 years of age or older is no longer entitled to receive a deferral or abatement of collection of ad valorem taxes under Section 33.06, Tax Code, because the property for which the deferral or abatement was obtained is no longer the individual's principal residence that is made before September 1, 2017, is governed by the law in effect at the time the determination was made, and that law is continued in effect for that purpose.

SECTION 43. Section 397.0125, Transportation Code, as amended by this Act, applies only to a violation of Chapter 397, Transportation Code, that occurs on or after September 1, 2017. A violation of that chapter that occurred before September 1, 2017, is governed by the law in effect when the violation occurred, and the former law is continued in effect for that purpose.

SECTION 44. Except as otherwise provided by this Act, 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, 2017.

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