Bill Text: TX HB4717 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to authorizing an emergency services district to impose an ad valorem tax for the acquisition of land, equipment, or apparatus or the construction of capital improvements.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-22 - Referred to Ways & Means [HB4717 Detail]
Download: Texas-2023-HB4717-Introduced.html
88R16255 MCF-D | ||
By: Cortez | H.B. No. 4717 |
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relating to authorizing an emergency services district to impose an | ||
ad valorem tax for the acquisition of land, equipment, or apparatus | ||
or the construction of capital improvements. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 775.018(a), Health and Safety Code, is | ||
amended to read as follows: | ||
(a) On the granting of a petition, the commissioners court | ||
shall order an election to confirm the district's creation and | ||
authorize the imposition of the taxes provided and [ |
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exceed the rates [ |
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Constitution. Any conditions negotiated under Section 775.014(h) | ||
must be included on the ballot. | ||
SECTION 2. The heading to Section 775.074, Health and | ||
Safety Code, is amended to read as follows: | ||
Sec. 775.074. AD VALOREM TAXES [ |
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SECTION 3. Section 775.074, Health and Safety Code, is | ||
amended by amending Subsection (a) and adding Subsections (a-1), | ||
(a-2), and (a-3) to read as follows: | ||
(a) The board shall annually impose an ad valorem tax on all | ||
real and personal property located in the district and subject to | ||
district taxation for the operating and capital [ |
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support of the district [ |
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(a-1) In addition to the ad valorem tax authorized under | ||
Subsection (a), the board, after its establishment following an | ||
election held under Section 775.018 and subject to Section | ||
775.0745(a-1), shall annually impose an additional ad valorem tax | ||
on all real and personal property in the district that is subject to | ||
district taxation for the exclusive purposes of the acquisition of | ||
land, equipment, or apparatus or the construction of capital | ||
improvements, as described in the capital improvements plan filed | ||
under Subsection (a-2). The board may use the tax for any related | ||
purpose or pledge the revenue from the tax to pay the principal of | ||
and interest on any bonds or notes issued or other indebtedness, | ||
including loans and other financial arrangements described by | ||
Section 775.085, to acquire land, equipment, or apparatus or to | ||
construct capital improvements under this section, as the interest | ||
and principal come due and to provide reserve funds if prescribed in | ||
the resolution authorizing or the trust indenture securing the | ||
bonds, notes, or other indebtedness. The revenue from the tax | ||
authorized under this subsection shall be maintained in an account | ||
separate from the maintenance and operations funds of the district. | ||
A tax authorized by an election held under Section 775.0745(a-1) | ||
may not be imposed on or after the date that: | ||
(1) the purchase price of the capital assets as | ||
provided by the capital improvements plan is paid in full; and | ||
(2) the bonds, notes, or other indebtedness, including | ||
loans and other financial arrangements described by Section | ||
775.085, as authorized by the capital improvements plan, are paid | ||
in full. | ||
(a-2) The district may impose the tax under Subsection (a-1) | ||
only if imposition of the tax is approved by the district voters | ||
voting in an election held under Section 775.0745. At least 30 days | ||
before the date the board orders an election to authorize the | ||
additional tax described by Subsection (a-1), the district shall | ||
file in the administrative office of the district a capital | ||
improvements plan that is open to public inspection and that | ||
describes the planned acquisition of land, equipment, or apparatus | ||
or the planned construction of the capital improvements and their | ||
estimated cost and incidental expenses. The capital improvements | ||
plan is not: | ||
(1) part of a proposition to be voted on; or | ||
(2) a contract with the voters. | ||
(a-3) In addition to any other information required by law, | ||
notice of an election to authorize the additional tax described by | ||
Subsection (a-1) must contain a copy of each proposition that will | ||
be voted on at the election. The notice must include an estimate of | ||
the probable cost of land, equipment, or apparatus or the | ||
construction of capital improvements contained in the capital | ||
improvements plan filed under Subsection (a-2) and any incidental | ||
expenses connected with the issuance of bonds, notes, or other | ||
indebtedness. | ||
SECTION 4. The heading to Section 775.0745, Health and | ||
Safety Code, is amended to read as follows: | ||
Sec. 775.0745. ELECTION TO INCREASE TAX RATE OR IMPOSE TAX. | ||
SECTION 5. Section 775.0745, Health and Safety Code, is | ||
amended by adding Subsection (a-1) to read as follows: | ||
(a-1) If the board decides to increase a tax imposed under | ||
Section 775.074(a-1) to any rate above the rate approved by the | ||
voters under Section 775.074(a-2), the board must order an election | ||
to authorize the tax rate increase. Notwithstanding Subsection | ||
(c), the board must hold the election on the uniform election date | ||
in November. The proposition on the ballot must state the proposed | ||
tax rate to be authorized at the election and the notice for the | ||
election must conform to the requirements prescribed by Subsection | ||
(b) and Section 775.074(a-3). | ||
SECTION 6. This Act takes effect January 1, 2024, but only | ||
if the constitutional amendment proposed by the 88th Legislature, | ||
Regular Session, 2023, to authorize an emergency services district | ||
to impose an ad valorem tax on property situated in the district not | ||
to exceed five cents for the acquisition of land, equipment, or | ||
apparatus or the construction of capital improvements is approved | ||
by the voters. If the proposed amendment is not approved by the | ||
voters, this Act has no effect. |