Bill Text: TX SB506 | 2015-2016 | 84th Legislature | Introduced

Texas Senate Bill 506 (Prior Session Legislation)

Introduced

Bill Title: Relating to the authority of a political subdivision of this state to execute certain contracts for the use or acquisition of personal property.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2015-02-11 - Referred to Business & Commerce [SB506 Detail]

Download: Texas-2015-SB506-Introduced.html

	84R2328 TJB-D

	By: Perry	S.B. No. 506



	A BILL TO BE ENTITLED
	AN ACT
	relating to the authority of a political subdivision of this state
	to execute certain contracts for the use or acquisition of personal
	property.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Section 271.005(a), Local Government Code, is
	amended to read as follows:
	(a) Subject to Section 271.0055, the [~~The~~] governing body of
	a governmental agency may execute, perform, and make payments under
	a contract with any person for the use or the purchase or other
	acquisition of any personal property, or the financing thereof.
	The contract is an obligation of the governmental agency. The
	contract may:
	(1) be on the terms considered appropriate by the
	governing body;
	(2) be in the form of a lease, a lease with an option or
	options to purchase, an installment purchase, or any other form
	considered appropriate by the governing body including that of an
	instrument which would be required to be approved by the attorney
	general under Chapter 1202, Government Code, provided that
	contracts in such form must be approved by the attorney general in
	accordance with the terms of that chapter;
	(3) be for a term approved by the governing body and
	contain an option or options to renew or extend the term; and
	(4) be made payable from a pledge of all or any part of
	any revenues, funds, or taxes available to the governmental agency
	for its public purposes.
	SECTION 2. Subchapter A, Chapter 271, Local Government
	Code, is amended by adding Section 271.0055 to read as follows:
	Sec. 271.0055. AUTHORIZATION OF CERTAIN CONTRACTS FOR
	PERSONAL PROPERTY; NOTICE; PETITION AND ELECTION. (a) This section
	applies only to a contract authorized by Section 271.005 that will
	require an expenditure by a governmental agency of $25,000 or more.
	(b) The governing body of a governmental agency must approve
	the execution of a contract by majority vote of the governing body
	before the contract may be executed.
	(c) Before the governing body of a governmental agency may
	approve the execution of the contract, the governmental agency must
	publish notice of the agency's intention to enter into the
	contract. The notice must be published once a week for two
	consecutive weeks in a newspaper with general circulation in the
	area of the governmental agency, with the date of the first
	publication to be before the 30th day before the date tentatively
	set for the governing body's approval of the execution of the
	contract.
	(d) The notice must state:
	(1) the time and place tentatively set for the
	approval of the execution of the contract;
	(2) the purpose and an estimate of the cost of the
	contract; and
	(3) the manner in which the amount required to be paid
	under the contract by the agency will be paid, whether by taxes,
	revenues, or a combination of funds.
	(e) If, before the execution of the contract, the secretary
	or clerk of the governmental agency receives a petition signed by at
	least five percent of the qualified voters within the boundaries of
	the governmental agency protesting the execution of the contract,
	the governing body of the agency may not authorize the execution of
	the contract unless the execution is approved at an election
	ordered, held, and conducted in the manner provided for bond
	elections under Chapter 1251, Government Code.
	SECTION 3. Section 271.006(a), Local Government Code, is
	amended to read as follows:
	(a) In entering into the contract, a municipality must
	comply with the requirements of Chapter 252 and a county must comply
	with the requirements of Subchapter C, Chapter 262. However, the
	municipality or county is not required to submit to a referendum the
	question of entering into the contract, except as provided by
	Section 271.0055(e).
	SECTION 4. The changes in law made by Section 271.005(a),
	Local Government Code, as amended by this Act, and Section
	271.0055, Local Government Code, as added by this Act, apply only to
	a contract authorized by Section 271.005, Local Government Code,
	that is entered into on or after the effective date of this Act.
	SECTION 5. This Act takes effect September 1, 2015.