BILL ANALYSIS

H.B. 956

By: Miller

County Affairs

Committee Report (Unamended)

BACKGROUND AND PURPOSE

It has been noted that current law does not provide for the dissolution of a county assistance district, which may result in an outdated administrative burden for the managing entity even if the associated tax rate has been repealed or the applicable area has been reduced by changing the boundaries. H.B. 956 seeks to remedy this issue by providing procedures for the dissolution of such a district.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 956 amends the Local Government Code to authorize the governing body of a county assistance district to petition the commissioners court of the county in which the district was created to dissolve the district if a majority of the governing body finds the performance of the district's functions cannot be accomplished to the benefit of the residents and owners of land in the district. The bill requires the county commissioners court to hold a hearing on the dissolution if the commissioners court receives such a petition or, in a district in which the commissioners court acts as the district's governing body, if a majority of the commissioners court makes such a finding. The bill requires the hearing to be held not later than the 61st day after the commissioners court receives the petition or makes such a finding. The bill requires the commissioners court to give notice of the hearing as required by law and include in the notice information regarding the right of the residents and owners of land in the district to appear and present evidence for or against the district's dissolution. The bill requires the commissioners court to order the district dissolved and the district's assets transferred to the county if the commissioners court unanimously votes that dissolution of the district is in the best interests of the district, the county in which the district is located, and the residents and owners of land in the district and the district has no outstanding bonds payable wholly or partly from district revenue and the dissolution does not impair any outstanding district debt or contractual obligation.

EFFECTIVE DATE

September 1, 2019.