Bill Text: TX SB2034 | 2015-2016 | 84th Legislature | Enrolled
Bill Title: Relating to the creation of the Cameron County Healthcare District; granting the authority to impose a tax and issue bonds; granting the power of eminent domain.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Enrolled - Dead) 2015-05-28 - Effective immediately [SB2034 Detail]
Download: Texas-2015-SB2034-Enrolled.html
S.B. No. 2034 |
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relating to the creation of the Cameron County Healthcare District; | ||
granting the authority to impose a tax and issue bonds; granting the | ||
power of eminent domain. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle A, Title 3, Special District Local Laws | ||
Code, is amended by adding Chapter 1121 to read as follows: | ||
CHAPTER 1121. CAMERON COUNTY HEALTHCARE DISTRICT | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 1121.001. DEFINITIONS. In this chapter: | ||
(1) "Board" means the board of directors of the | ||
district. | ||
(2) "Director" means a member of the board. | ||
(3) "District" means the Cameron County Healthcare | ||
District. | ||
Sec. 1121.002. DISTRICT AUTHORIZATION. The Cameron County | ||
Healthcare District may be created and, if created, operates and is | ||
financed as a hospital district as provided by Section 9, Article | ||
IX, Texas Constitution, and by this chapter. | ||
Sec. 1121.003. ESSENTIAL PUBLIC FUNCTION. The district is | ||
a public entity performing an essential public function. | ||
Sec. 1121.004. DISTRICT TERRITORY. The boundaries of the | ||
district are coextensive with the boundaries of Cameron County. | ||
Sec. 1121.005. DISTRICT SUPPORT AND MAINTENANCE NOT STATE | ||
OBLIGATION. The state may not be obligated for the support or | ||
maintenance of the district. | ||
Sec. 1121.006. RESTRICTION ON STATE FINANCIAL ASSISTANCE. | ||
The legislature may not make a direct appropriation for the | ||
construction, maintenance, or improvement of a district facility. | ||
SUBCHAPTER A-1. TEMPORARY PROVISIONS | ||
Sec. 1121.021. CREATION ELECTION; ORDERING ELECTION. | ||
(a) The district may be created and a tax may be authorized only if | ||
the creation and the tax are approved by a majority of the | ||
registered voters of the territory of the proposed district voting | ||
at an election called and held for that purpose. | ||
(b) The Cameron County Commissioners Court shall order an | ||
election for the registered voters of Cameron County on the | ||
question of creation of the Cameron County Healthcare District if | ||
the commissioners court receives a petition requesting an election | ||
that is signed by at least 100 registered voters who are residents | ||
of Cameron County. | ||
(c) The order calling an election under this section must | ||
state: | ||
(1) the nature of the election, including the | ||
proposition that is to appear on the ballot; | ||
(2) the date of the election; | ||
(3) the hours during which the polls will be open; and | ||
(4) the location of the polling places. | ||
(d) Section 41.001(a), Election Code, does not apply to an | ||
election ordered under this section. | ||
(e) The Cameron County Commissioners Court shall give | ||
notice of an election under this section by publishing a | ||
substantial copy of the election order in a newspaper with general | ||
circulation in Cameron County once a week for two consecutive | ||
weeks. The first publication must appear not later than the 30th | ||
day before the date set for the election. | ||
(f) The ballot for an election under this section must be | ||
printed to permit voting for or against the proposition: "The | ||
creation of the Cameron County Healthcare District, providing for | ||
the imposition of an ad valorem tax at a rate determined by the | ||
board of directors of the district, which rate may not exceed 25 | ||
cents on each $100 valuation of all taxable property in the | ||
district. District funds shall be used for district purposes, | ||
including providing medical and hospital care for the needy | ||
inhabitants of Cameron County, improving health care services for | ||
inhabitants of Cameron County, supporting the School of Medicine at | ||
The University of Texas Rio Grande Valley, training physicians, | ||
nurses, and other health care professionals, obtaining federal or | ||
state funds for health care services, and providing community | ||
health clinics, primary care services, behavioral and mental health | ||
care services, and prevention and wellness programs." | ||
(g) The Cameron County Commissioners Court shall find that | ||
the Cameron County Healthcare District is created if a majority of | ||
the voters voting in the election held under this section favor the | ||
creation of the district. | ||
SUBCHAPTER B. DISTRICT ADMINISTRATION | ||
Sec. 1121.051. DIRECTORS; TERM. (a) If the creation of | ||
the district is approved at the election held under Section | ||
1121.021, the district shall be governed by a board of nine | ||
directors, appointed as follows: | ||
(1) the county judge of Cameron County shall appoint | ||
one director; | ||
(2) each county commissioner serving on the Cameron | ||
County Commissioners Court shall appoint one director; and | ||
(3) the governing bodies of the four municipalities | ||
located in Cameron County that have the greatest amounts of taxable | ||
value of property taxable by the district located within their | ||
corporate boundaries shall each appoint one director. | ||
(b) Directors serve staggered three-year terms, with three | ||
directors' terms expiring each year. The initial directors | ||
appointed under this section shall draw lots as follows to | ||
determine: | ||
(1) for the directors appointed by the governing | ||
bodies of the municipalities in Cameron County described by | ||
Subsection (a), which director serves a one-year term, which two | ||
directors serve a two-year term, and which director serves a | ||
three-year term; and | ||
(2) for the directors appointed by the Cameron County | ||
Commissioners Court, including the director appointed by the county | ||
judge of Cameron County, which two directors serve a one-year term, | ||
which director serves a two-year term, and which two directors | ||
serve a three-year term. | ||
(c) On expiration of the initial directors' terms, | ||
successor directors shall be appointed for a three-year term by the | ||
person or governing body that appointed the initial director. | ||
(d) A director may not serve more than three consecutive | ||
three-year terms. | ||
Sec. 1121.052. ELIGIBILITY FOR APPOINTMENT TO BOARD. A | ||
person is not eligible for appointment to the board if the person | ||
is: | ||
(1) an employee of Cameron County; | ||
(2) an employee of a municipality located in the | ||
district; | ||
(3) a district employee; or | ||
(4) related within the third degree of consanguinity | ||
or affinity, as determined under Subchapter B, Chapter 573, | ||
Government Code, to a member of the Commissioners Court of Cameron | ||
County, to a member of the governing body of a municipality located | ||
in the district, or to a person described by Subdivision (1), (2), | ||
or (3). | ||
Sec. 1121.053. OFFICERS. (a) The board shall elect from | ||
among the directors: | ||
(1) a chair; and | ||
(2) a vice chair to preside in the chair's absence. | ||
(b) The board shall elect a director or the district | ||
administrator to serve as secretary. | ||
Sec. 1121.054. COMPENSATION; REIMBURSEMENT. A director or | ||
officer serves without compensation but may be reimbursed for | ||
actual expenses incurred in the performance of official duties. | ||
The expenses must be: | ||
(1) reported in the district's records; and | ||
(2) approved by the board. | ||
Sec. 1121.055. DIRECTOR'S BOND. (a) Before assuming the | ||
duties of office, each director must execute a bond in the amount of | ||
$5,000 payable to the district and conditioned on the faithful | ||
performance of the director's duties. | ||
(b) The bond shall be kept in the permanent records of the | ||
district. | ||
(c) The board may pay for a director's bond with district | ||
money. | ||
Sec. 1121.056. BOARD VACANCY. A vacancy in the office of | ||
director shall be filled for the remainder of the unexpired term by | ||
appointment by the person or governing body that appointed the | ||
vacating director. | ||
Sec. 1121.057. VOTING REQUIREMENT. A concurrence of a | ||
majority of the directors voting is necessary in matters relating | ||
to district business. | ||
Sec. 1121.058. DISTRICT ADMINISTRATOR; ADMINISTRATOR'S | ||
BOND. (a) The board may appoint a qualified person as district | ||
administrator. | ||
(b) The district administrator serves at the will of the | ||
board. | ||
(c) The district administrator is entitled to compensation | ||
determined by the board. | ||
(d) Before assuming the duties of district administrator, | ||
the administrator must execute a bond payable to the district in an | ||
amount not less than $5,000, as determined by the board, | ||
conditioned on the faithful performance of the administrator's | ||
duties. | ||
(e) The board may pay for the bond with district money. | ||
Sec. 1121.059. GENERAL DUTIES OF DISTRICT ADMINISTRATOR. | ||
Subject to the limitations prescribed by the board, the district | ||
administrator shall: | ||
(1) supervise the work and activities of the district; | ||
and | ||
(2) direct the general affairs of the district. | ||
Sec. 1121.060. ASSISTANT DISTRICT ADMINISTRATOR; ATTORNEY. | ||
(a) The board may appoint qualified persons as assistant district | ||
administrator and attorney for the district. | ||
(b) The assistant district administrator and attorney for | ||
the district serve at the will of the board. | ||
(c) The assistant district administrator and attorney for | ||
the district are entitled to compensation determined by the board. | ||
Sec. 1121.061. EMPLOYEES. (a) The district may employ | ||
nurses, technicians, fiscal agents, accountants, architects, | ||
additional attorneys, and other necessary employees. | ||
(b) The board may delegate to the district administrator the | ||
authority to employ persons for the district. | ||
Sec. 1121.062. RECRUITMENT OF MEDICAL STAFF AND EMPLOYEES. | ||
The board may spend district money, enter into agreements, and take | ||
other necessary actions to recruit physicians and other persons to | ||
serve as medical staff members or district employees. The actions | ||
may include: | ||
(1) advertising and marketing; | ||
(2) paying travel, recruitment, and relocation | ||
expenses; | ||
(3) providing a loan or scholarship to a physician or a | ||
person currently enrolled in health care education courses at an | ||
institution of higher education who contracts to become a medical | ||
staff member or district employee; or | ||
(4) contracting with a full-time medical student or | ||
other student in a health occupation who is enrolled in and in good | ||
standing at an accredited medical school, college, or university to | ||
pay the student's tuition or other expenses for the consideration | ||
of the student agreeing to serve as an employee or independent | ||
contractor for the district. | ||
Sec. 1121.063. APPOINTMENT AND REMOVAL OF MEDICAL STAFF. | ||
The board may: | ||
(1) appoint to the medical staff any doctor the board | ||
considers necessary for the efficient operation of the district; | ||
(2) remove any doctor from the medical staff, after | ||
due process, if the board considers the doctor's removal necessary | ||
for the efficient operation of the district; and | ||
(3) make temporary appointments to the medical staff | ||
as the board considers necessary. | ||
Sec. 1121.064. RETIREMENT BENEFITS. The board may provide | ||
retirement benefits for district employees by: | ||
(1) establishing or administering a retirement | ||
program; or | ||
(2) participating in: | ||
(A) the Texas County and District Retirement | ||
System; or | ||
(B) another statewide retirement system in which | ||
the district is eligible to participate. | ||
SUBCHAPTER C. POWERS AND DUTIES | ||
Sec. 1121.101. DISTRICT RESPONSIBILITY. The district has | ||
full responsibility for operating the district's hospital | ||
facilities and providing medical and hospital care for the | ||
district's needy inhabitants. | ||
Sec. 1121.102. MANAGEMENT, CONTROL, AND ADMINISTRATION. | ||
The board shall manage, control, and administer the district and | ||
the money and resources of the district. | ||
Sec. 1121.103. RULES. The board may adopt rules governing: | ||
(1) the operation of the district and any district | ||
hospital; and | ||
(2) the duties, functions, and responsibilities of | ||
district staff and employees. | ||
Sec. 1121.104. PURCHASING AND ACCOUNTING PROCEDURES. The | ||
board may prescribe: | ||
(1) the method of making purchases and expenditures by | ||
and for the district; and | ||
(2) accounting and control procedures for the | ||
district. | ||
Sec. 1121.105. PROVISION OF CERTAIN HEALTH SERVICES. | ||
(a) The district may operate or provide for the operation of a | ||
mobile emergency medical service. | ||
(b) The district may operate or provide for home health | ||
services, long-term care, skilled nursing care, intermediate | ||
nursing care, or hospice care. | ||
Sec. 1121.106. DISTRICT PROPERTY, FACILITIES, AND | ||
EQUIPMENT. (a) The board shall determine: | ||
(1) the type, number, and location of buildings | ||
required to maintain an adequate health care district; and | ||
(2) the type of equipment necessary to provide medical | ||
care in the district. | ||
(b) The board may: | ||
(1) acquire property, facilities, and equipment for | ||
use by the district; | ||
(2) mortgage or pledge the property, facilities, or | ||
equipment as security for payment of the purchase price; | ||
(3) sell or otherwise dispose of property, facilities, | ||
or equipment for the district; or | ||
(4) lease hospital facilities for the district. | ||
Sec. 1121.107. OPERATING AND MANAGEMENT CONTRACTS. The | ||
board may enter into operating or management contracts relating to | ||
hospital or other health care facilities for the district. | ||
Sec. 1121.108. SERVICE CONTRACTS. (a) The board may | ||
contract with public or private hospitals, clinics, physicians or | ||
other health care providers, political subdivisions of the state, | ||
accredited public or private medical schools and their affiliated | ||
nonprofit entities or faculty practice plans, allied health | ||
education institutions, or state and federal agencies for the | ||
district to provide a mobile emergency medical service or other | ||
medical, hospital, or health care services needed to provide for | ||
the investigatory, welfare, medical, or health care needs of | ||
inhabitants of the district. | ||
(b) The board may contract with a person to receive or | ||
supply the services the board considers necessary for the effective | ||
operation of the district. | ||
Sec. 1121.109. EMINENT DOMAIN. (a) The district may | ||
exercise the power of eminent domain to acquire a fee simple or | ||
other interest in property located in district territory if the | ||
interest is necessary for the district to exercise the rights or | ||
authority conferred by this chapter. | ||
(b) The district must exercise the power of eminent domain | ||
in the manner provided by Chapter 21, Property Code, except that the | ||
district is not required to deposit with the trial court money or a | ||
bond as provided by Section 21.021(a), Property Code. | ||
(c) In a condemnation proceeding brought by the district, | ||
the district is not required to: | ||
(1) pay in advance or provide bond or other security | ||
for costs in the trial court; | ||
(2) provide bond for the issuance of a temporary | ||
restraining order or a temporary injunction; or | ||
(3) provide a bond for costs or a supersedeas bond on | ||
an appeal or petition for review. | ||
Sec. 1121.110. COST OF RELOCATING OR ALTERING PROPERTY. In | ||
exercising the power of eminent domain, if the board requires | ||
relocating, raising, lowering, rerouting, changing the grade, or | ||
altering the construction of any railroad, highway, pipeline, or | ||
electric transmission and electric distribution, telegraph, or | ||
telephone line, conduit, pole, or facility, the district shall pay | ||
the actual cost of that activity to provide a comparable | ||
replacement, without enhancement of facilities, after deducting | ||
the net salvage value derived from the old facility. | ||
Sec. 1121.111. GIFTS AND ENDOWMENTS. The board may accept | ||
for the district a gift or endowment to be held in trust for any | ||
purpose and under any direction, limitation, or provision in | ||
writing by the donor that is consistent with the proper management | ||
of the district. | ||
Sec. 1121.112. PAYMENT FOR TREATMENT; PROCEDURES. | ||
(a) When a person who resides in the district is admitted as a | ||
patient to a district facility or receives medical or hospital care | ||
from the district, the district administrator may have an inquiry | ||
made into the financial circumstances of: | ||
(1) the patient; and | ||
(2) a relative of the patient who is legally | ||
responsible for the patient's support. | ||
(b) To the extent that the patient or a relative of the | ||
patient who is legally responsible for the patient's support cannot | ||
pay for care and treatment provided by the district, the district | ||
shall supply the care and treatment without charging the patient or | ||
the patient's relative. | ||
(c) On determining that the patient or a relative legally | ||
responsible for the patient's support can pay for all or part of the | ||
care and treatment provided by the district, the district | ||
administrator shall report that determination to the board, and the | ||
board shall issue an order directing the patient or the relative to | ||
pay the district a specified amount each week. The amount must be | ||
based on the person's ability to pay. | ||
(d) The district administrator may collect money owed to the | ||
district from the patient's estate or from that of a relative | ||
legally responsible for the patient's support in the manner | ||
provided by law for the collection of expenses in the last illness | ||
of a deceased person. | ||
(e) If there is a dispute relating to a person's ability to | ||
pay or if the district administrator has any doubt concerning a | ||
person's ability to pay, the board shall call witnesses, hear and | ||
resolve the question, and issue a final order. The order may be | ||
appealed to a district court in Cameron County. The substantial | ||
evidence rule applies to an appeal under this subsection. | ||
Sec. 1121.113. REIMBURSEMENT FOR SERVICES. (a) If the | ||
district provides care or treatment to a sick or injured person who | ||
is not an inhabitant of Cameron County, the board shall require the | ||
county, municipality, or public hospital located outside of the | ||
district and in which the person is an inhabitant to reimburse the | ||
district for the district's care and treatment of that person as | ||
provided by Chapter 61, Health and Safety Code. | ||
(b) The board shall require the sheriff of Cameron County to | ||
reimburse the district for the district's care and treatment of a | ||
person who is confined in a jail facility of Cameron County and is | ||
not a resident of the district. | ||
(c) On behalf of the district, the board may contract with | ||
the state or federal government for that government to reimburse | ||
the district for treatment of a sick or injured person. | ||
Sec. 1121.114. NONPROFIT CORPORATION. (a) The district | ||
may create and sponsor a nonprofit corporation under the Business | ||
Organizations Code and may contribute money to or solicit money for | ||
the corporation. | ||
(b) A corporation created under this section may use money | ||
contributed by the district only for a district purpose, including | ||
the provision of health care or other services the district is | ||
authorized to provide under this chapter. | ||
(c) The corporation may invest the corporation's money in | ||
any manner in which the district may invest the district's money, | ||
including investing money as authorized by Chapter 2256, Government | ||
Code. | ||
(d) The board shall establish controls to ensure that the | ||
corporation uses its money as required by this section. | ||
Sec. 1121.115. LOANS AND GRANTS FOR ECONOMIC DEVELOPMENT | ||
PURPOSES. Under the authority granted by Section 52-a, Article | ||
III, Texas Constitution, the district may loan or grant money to any | ||
person for the development of medical education and research in the | ||
district. | ||
Sec. 1121.116. AUTHORITY TO SUE AND BE SUED. The board may | ||
sue and be sued on behalf of the district. | ||
Sec. 1121.117. CONSTRUCTION CONTRACTS; ADVERTISING FOR | ||
CERTAIN CONSTRUCTION CONTRACTS. (a) The board may enter into a | ||
construction contract on the district's behalf. | ||
(b) The board may enter into a construction contract only | ||
after competitive bidding as provided by Subchapter B, Chapter 271, | ||
Local Government Code, if the amount of the contract is greater than | ||
the amount provided by Section 271.024 of that code. | ||
SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS | ||
Sec. 1121.151. BUDGET. (a) The board and the district | ||
administrator shall jointly prepare a proposed annual budget for | ||
the district. | ||
(b) The proposed budget must contain a complete financial | ||
statement, including a statement of: | ||
(1) the outstanding obligations of the district; | ||
(2) the amount of cash on hand to the credit of each | ||
fund of the district; | ||
(3) the amount of money received by the district from | ||
all sources during the previous year; | ||
(4) the amount of money available to the district from | ||
all sources during the ensuing year; | ||
(5) the amount of the balances expected at the end of | ||
the year in which the budget is being prepared; | ||
(6) the estimated amount of revenues and balances | ||
available to cover the proposed budget; and | ||
(7) the estimated tax rate required. | ||
Sec. 1121.152. NOTICE; HEARING; ADOPTION OF BUDGET. | ||
(a) The board shall hold a public hearing on the proposed budget. | ||
(b) The board shall publish notice of the hearing in a | ||
newspaper with general circulation in the district not later than | ||
the 10th day before the date of the hearing. | ||
(c) Any district resident is entitled to be present and | ||
participate at the hearing. | ||
(d) At the conclusion of the hearing, the board shall adopt | ||
a budget by acting on the proposed budget. The board may make a | ||
change in the proposed budget that the board determines to be in the | ||
interests of the taxpayers. | ||
(e) The budget is effective only after adoption by the | ||
board. | ||
Sec. 1121.153. AMENDMENT OF BUDGET. After the budget is | ||
adopted, the budget may be amended if the proposed amendment is | ||
adopted by the board. | ||
Sec. 1121.154. FISCAL YEAR. (a) The district operates | ||
according to a fiscal year established by the board. | ||
(b) The fiscal year may not be changed: | ||
(1) during a period in which revenue bonds of the | ||
district are outstanding; or | ||
(2) more than once in a 24-month period. | ||
Sec. 1121.155. ANNUAL AUDIT. The board shall have an annual | ||
audit made of the financial condition of the district. | ||
Sec. 1121.156. INSPECTION OF ANNUAL AUDIT AND DISTRICT | ||
RECORDS. The annual audit and other district records are open to | ||
inspection during regular business hours at the principal office of | ||
the district. | ||
Sec. 1121.157. FINANCIAL REPORT. As soon as practicable | ||
after the close of each fiscal year, the district administrator | ||
shall prepare for the board a sworn statement of the amount of | ||
district money and an account of the disbursement of that money. | ||
Sec. 1121.158. SHORT-TERM FINANCING. The district may | ||
borrow money through short-term financing. | ||
Sec. 1121.159. DEBT LIMITATION. Except as provided by this | ||
chapter and Chapter 1207, Government Code, the district may not | ||
incur a debt payable from district revenue other than revenue | ||
available in the current fiscal year and the immediately following | ||
fiscal year of the district. | ||
Sec. 1121.160. DEPOSITORY. (a) The board shall select at | ||
least one bank to serve as a depository for district money. | ||
(b) The board may solicit bids from local financial | ||
institutions to determine which institution may serve as a | ||
depository for district money. | ||
(c) District money, other than money invested as provided by | ||
Section 1121.161 and money transmitted to a bank for payment of | ||
bonds or obligations issued or assumed by the district, shall be | ||
deposited as received with the depository bank and shall remain on | ||
deposit. This subsection does not limit the board's power to place | ||
part of the district's money on time deposit or to purchase | ||
certificates of deposit. | ||
Sec. 1121.161. RESTRICTION ON INVESTMENT. The board may | ||
invest operating, depreciation, or building reserves only in funds | ||
or securities specified by Chapter 2256, Government Code. | ||
SUBCHAPTER E. BONDS | ||
Sec. 1121.201. GENERAL OBLIGATION BONDS. If authorized by | ||
an election, the board may issue and sell general obligation bonds | ||
in the name and on the faith and credit of the district to: | ||
(1) purchase, construct, acquire, repair, or renovate | ||
buildings or improvements; | ||
(2) equip buildings or improvements for district | ||
purposes; or | ||
(3) acquire and operate a mobile emergency medical | ||
service. | ||
Sec. 1121.202. TAX TO PAY GENERAL OBLIGATION BONDS. | ||
(a) At the time general obligation bonds are issued by the | ||
district under Section 1121.201, the board shall impose an ad | ||
valorem tax in an amount sufficient to create an interest and | ||
sinking fund to pay the principal of and interest on the bonds as | ||
the bonds mature. | ||
(b) The tax required by this section together with any other | ||
tax the district imposes in any year may not exceed the limit | ||
approved by the voters at the election authorizing the imposition | ||
of taxes. | ||
Sec. 1121.203. GENERAL OBLIGATION BOND ELECTION. (a) The | ||
district may issue general obligation bonds only if the bonds are | ||
authorized by a majority of the voters voting in an election held | ||
for that purpose. | ||
(b) The board may order a bond election. The order calling | ||
the election must specify: | ||
(1) the nature and date of the election; | ||
(2) the hours during which the polls will be open; | ||
(3) the location of polling places; | ||
(4) the amounts of the bonds to be authorized; and | ||
(5) the maximum maturity of the bonds. | ||
(c) Notice of a bond election must be given as provided by | ||
Chapter 1251, Government Code. | ||
(d) The board shall declare the results of the election. | ||
Sec. 1121.204. REVENUE BONDS. (a) The board may issue | ||
revenue bonds to: | ||
(1) acquire, purchase, construct, repair, renovate, | ||
or equip buildings or improvements for district purposes; | ||
(2) acquire sites to be used for district purposes; or | ||
(3) acquire and operate a mobile emergency medical | ||
service to assist the district in carrying out its purposes. | ||
(b) The bonds must be payable from and secured by a pledge of | ||
all or part of the revenues derived from the operation of the | ||
district. | ||
(c) The bonds may be additionally secured by a mortgage or | ||
deed of trust lien on all or part of the district property. | ||
(d) The bonds must be issued in the manner provided by | ||
Sections 264.042, 264.043, 264.046, 264.047, 264.048, and 264.049, | ||
Health and Safety Code, for issuance of revenue bonds by county | ||
hospital authorities. | ||
Sec. 1121.205. MATURITY. District bonds must mature not | ||
later than 40 years after the date of their issuance. | ||
Sec. 1121.206. EXECUTION OF BONDS. (a) The board chair | ||
shall execute district bonds in the district's name. | ||
(b) The board secretary shall countersign the bonds in the | ||
manner provided by Chapter 618, Government Code. | ||
Sec. 1121.207. BONDS NOT SUBJECT TO TAXATION. The | ||
following are not subject to taxation by the state or by a political | ||
subdivision of the state: | ||
(1) bonds issued by the district; | ||
(2) any transaction relating to the bonds; and | ||
(3) profits made in the sale of the bonds. | ||
SUBCHAPTER F. AD VALOREM TAX | ||
Sec. 1121.251. IMPOSITION OF AD VALOREM TAX. (a) The | ||
board shall impose a tax on all property in the district subject to | ||
taxation by the district. | ||
(b) The tax may be used to pay: | ||
(1) indebtedness issued or assumed by the district; | ||
and | ||
(2) the maintenance and operating expenses of the | ||
district. | ||
(c) The district may not impose a tax to pay the principal of | ||
or interest on revenue bonds issued under this chapter. | ||
Sec. 1121.252. LIMITATION ON TAX RATE. (a) The tax rate on | ||
all taxable property in the district for all purposes may not exceed | ||
25 cents on each $100 valuation of the property according to the | ||
most recent certified tax appraisal roll of the district. | ||
(b) In setting the tax rate, the board shall consider | ||
district income from sources other than taxation. | ||
(c) Section 285.231, Health and Safety Code, does not apply | ||
to the district. | ||
Sec. 1121.253. REDUCTION IN AD VALOREM TAX RATE BY COUNTY. | ||
The Cameron County Commissioners Court, in determining the county | ||
ad valorem tax rate for the first year in which the district imposes | ||
ad valorem taxes on property in the district, shall: | ||
(1) take into account the decrease in the amount the | ||
county will spend for health care purposes in that year because the | ||
district is providing health care services previously provided or | ||
paid for by the county; and | ||
(2) reduce the county's ad valorem tax rate in | ||
accordance with the decreased amount of required spending described | ||
by Subdivision (1). | ||
Sec. 1121.254. RESIDENCE HOMESTEAD TAX PROVISIONS | ||
APPLICABLE. (a) The board shall ensure that all district | ||
residents receive all ad valorem tax exemptions and limitations | ||
that the residents are entitled to receive under the constitution | ||
and the Tax Code. | ||
(b) The board shall adopt an exemption from ad valorem | ||
taxation by the district of a portion of the appraised value of a | ||
district resident's residence homestead as provided by Section | ||
11.13(d), Tax Code. Unless the board specifies a larger amount as | ||
provided by Section 11.13(e), Tax Code, the amount of the exemption | ||
required to be adopted by the board under this subsection is $3,000 | ||
of the appraised value of a district resident's residence | ||
homestead. Section 11.13(f), Tax Code, applies to an exemption | ||
adopted by the board under this subsection. | ||
Sec. 1121.255. PROHIBITION ON PARTICIPATION IN TAX | ||
INCREMENT FUND. The district may not enter into an agreement to | ||
participate in a reinvestment zone designated by a municipality or | ||
a county under Chapter 311, Tax Code. | ||
Sec. 1121.256. TAX ASSESSOR-COLLECTOR. The board may | ||
provide for the appointment of a tax assessor-collector for the | ||
district or may contract for the assessment and collection of taxes | ||
as provided by the Tax Code. | ||
SUBCHAPTER G. DISSOLUTION | ||
Sec. 1121.301. DISSOLUTION; ELECTION. (a) The district | ||
may be dissolved only on approval of a majority of the voters voting | ||
in an election held for that purpose. | ||
(b) The board may order an election on the question of | ||
dissolving the district and disposing of the district's assets and | ||
obligations. | ||
(c) The board shall order an election if the board receives | ||
a petition requesting an election that is signed by at least 15 | ||
percent of the district's registered voters. | ||
(d) The order calling the election must state: | ||
(1) the nature of the election, including the | ||
proposition that is to appear on the ballot; | ||
(2) the date of the election; | ||
(3) the hours during which the polls will be open; and | ||
(4) the location of the polling places. | ||
(e) Section 41.001(a), Election Code, does not apply to an | ||
election ordered under this section. | ||
Sec. 1121.302. NOTICE OF ELECTION. (a) The board shall | ||
give notice of an election under this subchapter by publishing a | ||
substantial copy of the election order in a newspaper with general | ||
circulation in the district once a week for two consecutive weeks. | ||
(b) The first publication must appear not later than the | ||
30th day before the date set for the election. | ||
Sec. 1121.303. BALLOT. The ballot for an election under | ||
this subchapter must be printed to permit voting for or against the | ||
proposition: "The dissolution of the Cameron County Healthcare | ||
District." | ||
Sec. 1121.304. ELECTION RESULTS. (a) If a majority of the | ||
votes in an election under this subchapter favor dissolution, the | ||
board shall order that the district be dissolved. | ||
(b) If a majority of the votes in an election under this | ||
subchapter do not favor dissolution, the board shall continue to | ||
administer the district, and another election on the question of | ||
dissolution may not be held before the first anniversary of the date | ||
of the most recent election to dissolve the district. | ||
Sec. 1121.305. TRANSFER OR ADMINISTRATION OF ASSETS. | ||
(a) If a majority of the votes in an election under this subchapter | ||
favor dissolution, the board shall: | ||
(1) transfer the land, buildings, improvements, | ||
equipment, and other assets belonging to the district to Cameron | ||
County; or | ||
(2) administer the property, assets, and debts of the | ||
district until all money has been disposed of and all district debts | ||
have been paid or settled. | ||
(b) If the board makes the transfer under Subsection (a)(1), | ||
the county assumes all debts and obligations of the district at the | ||
time of the transfer and the district is dissolved. | ||
(c) If Subsection (a)(1) does not apply and the board | ||
administers the property, assets, and debts of the district under | ||
Subsection (a)(2), the district is dissolved when all money has | ||
been disposed of and all district debts have been paid or settled. | ||
Sec. 1121.306. IMPOSITION OF TAX AND RETURN OF SURPLUS | ||
TAXES. (a) After the board determines that the district is | ||
dissolved, the board shall: | ||
(1) determine the debt owed by the district; and | ||
(2) impose on the property included in the district's | ||
tax rolls a tax that is in proportion of the debt to the property | ||
value. | ||
(b) On the payment of all outstanding debts and obligations | ||
of the district, the board shall order the secretary to return to | ||
each district taxpayer the taxpayer's pro rata share of all unused | ||
tax money. | ||
(c) A taxpayer may request that the taxpayer's share of | ||
surplus tax money be credited to the taxpayer's county taxes. If a | ||
taxpayer requests the credit, the board shall direct the secretary | ||
to transmit the funds to the tax assessor-collector for Cameron | ||
County. | ||
Sec. 1121.307. REPORT; DISSOLUTION ORDER. (a) After the | ||
district has paid all its debts and has disposed of all its money | ||
and other assets as prescribed by this subchapter, the board shall | ||
file a written report with the Cameron County Commissioners Court | ||
summarizing the board's actions in dissolving the district. | ||
(b) Not later than the 10th day after the date the Cameron | ||
County Commissioners Court receives the report and determines that | ||
the requirements of this subchapter have been fulfilled, the | ||
commissioners court shall enter an order dissolving the district | ||
and releasing the board from any further duty or obligation. | ||
SECTION 2. On the creation of the Cameron County Healthcare | ||
District, or as soon as practicable after the district is created, | ||
the Cameron County Commissioners Court shall transfer to the | ||
district all operating funds, and any funds held in reserve for | ||
operating expenses, that have been budgeted by the county to pay the | ||
costs associated with administering a county program to provide to | ||
residents of the district indigent health care assistance under | ||
Chapter 61, Health and Safety Code, during the fiscal year in which | ||
the district is created. | ||
SECTION 3. Proof of publication of the notice required to | ||
enact Chapter 1121, Special District Local Laws Code, as added by | ||
this Act, under the provisions of Section 9, Article IX, Texas | ||
Constitution, has been made in the manner and form provided by law | ||
pertaining to the enactment of local and special laws, and the | ||
notice is found and declared proper and sufficient to satisfy the | ||
requirement. | ||
SECTION 4. (a) Except as provided by Subsection (b) of | ||
this section, 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. | ||
(b) If this Act does not receive the vote necessary for | ||
immediate effect: | ||
(1) this Act takes effect September 1, 2015; and | ||
(2) Section 1121.109, Special District Local Laws | ||
Code, as added by this Act, has no effect. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I hereby certify that S.B. No. 2034 passed the Senate on | ||
April 30, 2015, by the following vote: Yeas 30, Nays 1. | ||
______________________________ | ||
Secretary of the Senate | ||
I hereby certify that S.B. No. 2034 passed the House on | ||
May 18, 2015, by the following vote: Yeas 123, Nays 15, | ||
two present not voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
Approved: | ||
______________________________ | ||
Date | ||
______________________________ | ||
Governor |