|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to voter approval of the issuance of certain obligations |
|
by municipalities to pay their unfunded liabilities to a public |
|
pension fund. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 107.003(a), Local Government Code, is |
|
amended to read as follows: |
|
(a) Subject to Section 107.0035, a [A] municipality may |
|
issue obligations to fund all or any part of an unfunded liability. |
|
SECTION 2. Chapter 107, Local Government Code, is amended |
|
by adding Section 107.0035 to read as follows: |
|
Sec. 107.0035. VOTER APPROVAL REQUIRED FOR CERTAIN PENSION |
|
FUND OBLIGATIONS. A municipality may issue an obligation under |
|
Section 107.003 in an amount that exceeds $50 million only if the |
|
issuance is approved by a majority of the qualified voters of the |
|
municipality voting at an election held for that purpose. |
|
SECTION 3. Section 107.0036, Local Government Code, is |
|
repealed. |
|
SECTION 4. Section 107.0035, Local Government Code, as |
|
added by this Act, applies only to obligations for which the |
|
governing body of a municipality executes an agreement under |
|
Section 107.003(b), Local Government Code, on or after the |
|
effective date of this Act. |
|
SECTION 5. 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, 2019. |