2007 DALLASCOUNTY LEGISLATIVE PACKAGE

PRIORITY ITEMS

Item 1.Appraisal Caps:

No change - Property tax relief was a major goal of the 79th legislature and we anticipate it will be a major goal in the 80th session as well. Numerous relief/options were presented. One option has the capacity of being extremely detrimental - restrictive caps on appraised property values for the purpose of tax levies. Currently, Texas has a 10% cap on residential homestead, meaning the tax appraisal value cannot rise by more than 10% regardless of the market value. Last session there were several proposals to lower this cap to 3%. While we acknowledge the impact of this reduction will provide a limit on tax revenue, it does not offer true or equitable tax relief to all citizens.

Problems:

(1) Leads to fiscal problems

  • impacts bond rating and cost of borrowing
  • causes government to ignore required service issues

(2) Has arbitrary inequities

  • pushes the tax burden to citizens who purchase new homes and residents of slower economically developing areas

(3)Detriment to economic progress

  • with new development paying a disproportionate share of the taxes and government not being able to address minimum infrastructure needs, new development will suffer.

It is proposed bythe Dallas County Commissioners Court 1.That the members of the Dallas County Legislative Delegation vigorously oppose any legislation that unfairly shifts the ad valorem tax. Imposing a cap on the appraisal of real property for any one class of property owners will raise taxes paid by other taxpaying citizens. 2. Propose that the appraisal review conducted by the Comptrollers office have a varience allowance of up to 10% instead of the current 5% (HB 219 by Miller).

- End of Session Analysis: Appraisal Caps were not enacted.

Item 2. Sales Price Disclosure:HB 133 – Rep. Mike Villarreal & SB 270 – Senator Jeff Wentworth

No change - A recent ruling by the Texas Attorney Generals Office on May 5, 2006 (OR2006-04658) indicated appraisal districts may be required to release Multiple Listing Service (MLS) data the district has in its files. If this interpretation holds, MLS vendors may stop providing data to appraisal districts, thus removing a valuable source of sales price data from the appraisal process.If the participants at all real estate transactions were required to provide at closing, a document outlining the sales price of the property, the local Appraisal District would have a valuable tool to insure that all property appraisals are fair and equal. Accurate appraisals insure that everyone pays their fair share of ad valorem taxes and no more.

It is proposed by the Dallas County Commissioners Court that the members of the Dallas County Legislative Delegation support a bill requiring real estate transaction price disclosure to the local County Appraisal District.

- End of Session Analysis: Sales Price Disclosure Legislation was not enacted.

Monday, June 20, 2007

Item3. Revenue Caps:

No Change - Revenue Caps will limit government without providing a limit on governmental responsibility and obligations. Revenue caps will have a negative impact on a local county bond rating and increase the cost of borrowing money for infrastructure projects, even though those bonds are voted on and approved by the local tax payers. When a service demand is placed on any level of government it must have a revenue source to pay for the new or expanded service.

It is proposed by the Dallas County Commissioners Courtthat the members of the Dallas County Legislative Delegation oppose any legislation that imposes an arbitrary cap on CountyRevenue.

-End of Session Analysis: Revenue Cap Legislation was not enacted.

Item 4. Unfunded and Under funded Mandates: Staff has identified the following unfunded mandates imposed by our state and federal governments.

Unfunded

Indigent defense

DallasCounty spends over $21 million per year for indigent defense. We receive approximately $1 million a year in state subsidies.

  • Statute- Senate Bill 7, 77th Legislature
  • Description- Requires counties to provide criminal defense services to indigent defendants on a very aggressive time line and with specific requirements.
  • Cost- $1.3 million per year

Juvenile Grants

  • Description-State and Federal grants assisting counties with the cost of providing Juvenile residential placement services decreased.
  • Cost- $1.2 million

Visiting Judge

  • Statute- 78th Legislature House Bill 3306
  • Description- Funding for visiting judges was decreased. As a result, DallasCounty picked up the cost to provide a drug court operated by a Visiting Judge.
  • Cost- $75,000

Office space and equipment provided Community Supervision and Corrections Department (CSCD)

  • Statute- TexasGovernment Code Ch. 76.008
  • Description- The state mandates that counties provide the local CSCD with office space and general office equipment.
  • Cost- $500,000 (Does not include the value of office space provided to CSCD in buildings owned by DallasCounty.)

Testing of public safety personnel for Hepatitis B and C

  • Statute- 78th Legislature Senate Bill 401
  • Description- The state mandates that certain public safety personnel must be tested for Hepatitis B and C each year.
  • Cost - $67,500

Texas Jail Standards

  • Statute-Texas Administrative Code Title 37 Part 9
  • Description- The Texas Jail Standards mandates counties perform a variety of services for inmates and dictates specific staffing levels. In many cases these mandates insert inefficiencies in a large urban jail environment with 7,000 inmates.
  • Cost- $1.5 million

45 Day Inmate Pickup

  • Statue-TexasGovernment Code Ch. 499.121
  • Description- The Department of Corrections has to accept inmates in a state correctional facility not later than the 45th day after the date on which all processing required for the transfer has been completed, but does not provide compensation to counties for this 45 day period. This places a financial burden on a county to hold a State inmate for up to 45 days without reimbursement.
  • Cost- $15.8 million

Parole Violators (Blue Warrants)

  • Statue-TexasGovernment Code Ch.508.282
  • Description- DallasCounty is required to detain parole violators who are being held on a “blue warrant” up to 40 days without compensation to the county. Further, even though the law requires the state to take action before the 41st day, administrative inaction beyond that period adds to the financial impact of housing inmates pending a disposition of the blue warrant.
  • Cost- $5.4 million– HB 541 would have eliminated most of this expense. It was vetoed by the Governor.

First Administrative Judicial Region

  • Statute-TexasGovernment Code Ch. 74.043
  • Description-DallasCounty is required to make an annual payment from the general fund to the First Administrative Judicial Region.
  • Cost- Funding for Administrative Judicial Regions is apportioned according to population. The 2000 census apportions approximately 51.8% of the First Administrative Judicial Region’s budget or $143,205.89 to DallasCounty.

CountyCollections Program

  • Statute- TexasGovernment Code Ch. 2115
  • Description- The state mandated, through the Office of Court Administration, certain counties must implement a Collection Improvement Plan to improve the collection of court costs, fees and fines imposed in criminal cases.
  • Cost- $36,200, representing additional clerk and management hours as well as IT programming costs for generating reports for the Comptroller.

Under Funded

Child Protective Services

  • Description- Dallas County provides funds to help staff several programs including 1) Adoption/Permanency Unit; 2) Model Project for the Prevention of Abandoned Children in Texas Unit; 3) Family Based Safety Services Unit; 4) Moderate Risk Family Based Safety Services Unit; 5) High Risk Family Based Safety Services Unit; 6) Home Study Caseworkers; 7) Referral and Evaluation of Abused Children Clinic; 8) Bilingual Caseworkers and Translators; and 9) Kinship Caseworkers and Relative Assistance. In addition, DallasCounty provides a supplemental pay program for caseworkers to decrease caseworker turnover.
  • Cost- $2.2 million

Mental Health Services

  • Description-DallasCounty provides support to the State operated NorthStar System and for MetroCare to provide additional Mental Health and Mental Retardation services in DallasCounty.
  • Cost- $4.5 million

Community Health Services

  • Description-DallasCounty provides grant matches each year to ensure that Community Health Services provided by DallasCounty through contracts with the State are adequately provided to DallasCounty residents.
  • Cost- $200,000 per year
  • ParklandHospital will be identifying additional health related unfunded mandates.

It is proposed by the Commissioners Court that the Dallas Legislative Delegation oppose any mandate imposed on local government that does not have a funding source.

- End of Session Analysis: While Unfunded mandates were basically held in check HB 541 (that would have saved DallasCounty the cost of having technical blue warranty parole violators in our jail) was vetoed by Governor Perry.

Item 5. Regional Support Indigent Healthcare: HB 1209 - Rep. Jim Jackson

The Citizens of Dallas County, through property taxes assessed by the Dallas County Hospital District, provide indigent healthcare to the citizens of DallasCounty. Unfortunately, indigent citizens who live in surrounding counties are treated for their medical conditions at our public hospital and at our local tax payer expense. In a briefing to the Commissioners Court, Parkland reported over $26,805,479 in non-reimbursable care was provided by the Dallas County Hospital District and DallasCounty tax payers to indigent citizens from our surrounding counties. Under current law, counties without a hospital district are required to expend up to 8% of their budget for reimbursement of eligible indigent healthcare expenditures. Some counties get around paying the full 8% by setting eligibility standards at unreasonably low levels. In more than a few Texas counties a family that earns more than 25% of the federal poverty level is ineligible for indigent healthcare reimbursements.

It is proposed by theDallas County Commissioners Court that the members of the Dallas Delegation support a legislative solution that would require all counties in the metropolitan area to fund their fair share of the care provided to their indigent residents at hospital district facilities in DallasCounty. One approach would be to have surrounding counties join the Dallas and Tarrant County Hospital Districts. Other valid approaches to solving this problem are available -one would be to have all counties without a hospital district to set the eligibility standard of income for a family at 100% of the federal poverty level. This is the code red recommendation. Another approach would require counties who receive a bill from a hospital district for indigent care of their residents to be liable for reimbursement to the hospital district regardless of the local county eligibility standard,for any patient who falls below the 100% of federal poverty level income test.

-End of Session Analysis: A limited 3 share program and a study on multi-county hospital districts were small steps in the right direction.

Item 6. Transportation:SB 165 & SB 257 - Senator John Carona

DallasCounty is strongly committed to a viable regional transportation system that includes adequate roads (freeways or tollways), public rail and other alternatives including hike and bike trails.

Discussion Item:

TollwayGovernance/Fund Six Allocation

DallasCounty requests county representation on the NTTA Board be proportionate to asset ownership or ridership of each member county. It is proposedby the Commissioners Court that our Legislative Delegation beopposed to any further diversion of Fund Six money and that transportation related fees be dedicated for construction projects for transportation improvement and road maintenance. The final proposal is that the legislature investigate the option of indexing the gasoline tax(SB 165 by Carona) to create new funding fortransportation construction projects, and grant a sales tax cap waiver for communities who wish to join regional rail authorities(SB 257 by Carona).

- End of Session Analysis:DallasCounty projects were exempted from the tollway moratorium.

Item 7. LIRAP and TERP Unexpended Funds: Dallas County currently is required to return unexpended LIRAP and TERP funds to TCEQ where they remain in unappropriated accounts.

The Commissioners Court supports changes in legislation that willallow a county that collects money for the LIRAP or TERP programs to keep those funds in their county. We also request our delegation support the recommendations of the Texas Clean Air Working Group.

- End of Session Analysis: SB 12 by Averitt was enacted with favorable TERP and LIRAP provisions.

Item 8. Family Violence Fee: SB 957 - Senator Royce West - House version by Dutton.

HB 764 passed House.

In 2003, Chapter 51 of the Government Code was amended to double the $15.00 fee created to fund programs addressing the issue of family violence. Under this amendment the county was entitled to retain 50% of the new fee with the balance being sent to the State. Because the state share was not being spent for -the support of family violence programs, it was ruled unconstitutional. This has caused the collection of this fee to be discontinued and has left needed programs without funding.

TheDallas County District Attorney’s office has drafted a proposed legislative solution that will delete the amendment creating the legal conflict and restore the county’s ability to collect a $15.00 filing fee to address family violence.The Commissioners Court request the members of the Dallas Delegation support the passage of this proposed bill.

- End of Session Analysis: HB 764 was enacted. It will provide an estimated $150,000.00 per year funding for family violence prevention and social services.

Item 9. Collection of Debts Owed to the County: SB 1897- Senator John Carona

Referred to Senate Transportation.

It was proposed in Commissioners Court that legislation be drafted to amend section 502.185 of the Transportation Code allowing a County to block the registration of vehicles owned by persons who have outstanding debts owed to a County and/or a City.

TheCommissioners Court requests that each member of the Dallas County Legislative Delegation support an amendment to 502.185 of the Transportation Code that will accomplish the following:

  1. Require the State to refuse the registration of a vehicle if notified by a County of money being owed by the vehicle owner to a County or City.
  2. Notification to the State is deemed to have been made if the County provides the name, license # or VIN, amount owed, where it can be paid and how the debts were incurred (as a ticket, tax, fee and or fine).
  3. A County that has provided information causing a registration to be blocked shall be required to timely report any change in the reported information.
  4. Require the State to print in a very obvious and noticeable way on the renewal notice that the registration is blocked because the registrant owes a City or County money. This notification will state the amount owed and where it can be paid (in person, by mail, telephone or on-line).
  5. The State shall provide an on-line service where a person can pay the money owed.
  6. The State can perform or contract out any or all of this new service.
  7. The State must remit any funds they collect for a City or County in a timely manner.
  8. Allow a user fee to be paid to the State to cover the cost of providing this service.

- End of Session Analysis: SB 1897 died on the last night bills were eligible on the calendar.

Item10. Health Information Initiative: ISSUE RESOLVED

Rep. Jim Jackson - Resolved through an Interagency Agreement - In 2005, the Texas Legislature passed HB 43, legislation requiring the Institutional Division of the Texas Department of Criminal Justice to perform Human Immunodeficiency Virus testing on inmates scheduled for release from prison or state jail facilities. The results of positive tests are reported to the Department of State Health Services.

The Dallas County Commissioners Court proposes that the Health and Human Services Department in the county where the inmate will be released should also be notified when an inmate with a positive test is released back to that county, using the same procedures now in place to notify the Department of State Health Services.

- End of Session Analysis: This problem was resolved through negotiations between Representative Jackson and Commissioner Hawkins.

Item 11. Alternative Funding for Indigent Healthcare:SB 104 – Senator Royce West

In 2005, Harris County Precient 2 CommissionerSylvia Garcia proposed the establishment of a transaction fee to be charged on the electronic transmittal of currency from sites in Texas to destinations outside the United States. Commissioner Garcia also proposed the revenue generated by this new fee be set aside to fund indigent healthcare in Texas. This proposal was endorsed by Dallas, Harris, and TarrantCounties along with the Texas Conference of Urban Counties. In response to this proposal Senator Royce West filed S.B. 1501 in the 79th Session.

The Dallas County Commissioners Courtcontinues to endorse this proposal and request the members of the Dallas Delegation support the attempt by Senator West to create a new funding source for indigent healthcare by establishing a fee on transactions transmitting money from Texas to destinations outside the United States.

- End of Session Analysis: This proposed Legislation SB 104 80th Session was ruled unconstitutional by the Attorney General. However, new funding was achieved when revenue from red light cameras was dedicated for Trauma Care.

Item 12. Juror Reimbursement Donations:HB 1204 - Rep. Helen Giddings Senator West, Senate Sponsor

DallasCounty has had a long standing juror donation program that has allowed local jurors to donate their reimbursement check to DallasCounty for the benefit of charities served by the program. In 1995 this authority was codified into statute by S.B. 346. The amount of juror reimbursement was $6 a day. The statute (Ch 61.003 Government Code) provides only for an all or nothing donation. Because juror reimbursements have increased significantly, jurors are reluctant to donate all of their reimbursement check to the juror donation fund.

The Commissioners Court request that Chapter 61.003 of the Government Code be amended to allow jurors who make donations, be able to choose to donate all or part of their reimbursement checks to the juror donation fund.

-End of Session Analysis: HB 1204 was enacted by the 80th Legislature.

Item 13. CountyClerk Archive Fee: HB 1222 - Rep. Tony Goolsby

According to Local Government Code Section 118.0216 (d), the CountyClerk may collect a fee for “Records Management and Preservation” which can be used to provide funds for specific records management and preservation tasks.