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HomeMy WebLinkAboutResolution - 5346 - Approved & Adopted 1997 State Legislative Package - 11/07/1996RESOLUTION NO. 5346 Item #15 RESOLUTION ,November 7, 1996 WHEREAS the Legislature of the State of Texas will convene on January 14, 1997 for the 75th regular session, and WHEREAS during the course of the session numerous issues will be presented to the Legislature that will affect the City of Lubbock, and WHEREAS City staff has developed a comprehensive package which outlines legislative initiatives, and is now recommended to be undertaken on behalf of the City, and WHEREAS the Texas Municipal League has also developed a legislative package for the upcoming session, certain portions of which have been included in the City's proposed 1997 legislative program, and WHEREAS the City of Lubbock recommends the adoption of the official 1997 State Legislative Program, NOW THEREFORE BE IT RESOLVED by the City Council of the City of Lubbock, of the 1997 State Legislative Package as attached is hereby approved and adopted as the official 1997 State Legislative Program of the City of Lubbock. As certain significant issues arise during the course of the session, resolutions will be presented to the City Council stating the City's position on appropriate legislation. The proposed program will then be amended to include such subsequent resolutions adopted by City Council. Passed by the City Council this 7th.. day of _ 4ov=ber , 1996. ALEX "T'T COOKE MAYOR P O TEMPORE ATTEST: 1(ayff Darnell, City Secretary APPROVED AS TO C NTENT: /A hh1j-1(A)$a-(—zi e ra B. Forte', Assistant City Manager APPROVED AS TO Richard Casner, Assistant City Attorney legislative issues g. lccdocsllegis.res October 3, 1996 i City of Lubbock 75th Legislative Program Issues Addressed by the City of Lubbock Omnibus Legislative Policy - Historically, a small part of the City's legislative efforts have been devoted to passing beneficial bills that will enable Home Rule cities to better perform their functions. An exhaustive effort has been expended on preventing passage of detrimental bills. In many cases, these bills are attempts to bypass City Council and taxpayers, or to change the fundamental authority granted to municipalities. 2. Oppose attempts to amend annexation enabling legislation to remove unilateral annexation. 3. Support bracketed legislation that would allow the City of Lubbock to abolish the City's perpetual trust fund for a cemetery or assign the perpetual trust fund to another entity for cities of at least 187,000, but no more than 200,000 in population. 4. Support legislation that would permit cities to recover the full cost of providing data from a geographic information system, including system development costs. (Report of TML Legislative Policy Committee on Community and Economic Affairs) 5. Support the photo enforcement of (red-light violations and speeding violations) traffic laws. b. Amend the current rules which prohibit and/or restrict the placement of identification signs for upcoming businesses in.communities with populations in excess of 50,000. 7. Support a special state statute that states that municipalities may regulate land development within the extra -territorial jurisdiction (ETJ) that will effect drainage and flood hazard issues. 8. Support legislation that will give the City of Lubbock the option to dispose of that portion of the City of Lubbock Auditorium -Coliseum known as the Lubbock Coliseum. 9. Allow Municipal Courts to collect $20 for violations dismissed by attending a driver's training class. In addition, require driver's training schools to give certificates of completion to the students upon completion of the class rather than mailing the 'certificates to the students. IO.Provide state assistance for economic development of closing or closed defense facilities. I I.Support legislation which provides employers with immunity from civil liability for the release of reference information in good faith. 12.Monitor legislation that offers a choice to consumers through local control of utility rates and support competition that offers fair choices to consumers and equitable benefits to all classes of electric customers. City of Lubbock Legislative Position Statement 1997 Proposal Omnibus Legislative Policy - Historically, a small part of the City's legislative efforts have been devoted to passing beneficial bills that will enable Home Rule cities to better perform their functions. An exhaustive effort has been expended on preventing passage of detrimental bills. In many cases, these bills are attempts to bypass City Council and taxpayers, or to change the fundamental authority granted to municipalities. Background Due to the large number of bills introduced and the fast pace of the legislative process, it is always practical for the City Council to consider and adopt formal statements of policy on each piece of proposed legislation. Therefore, the City of Lubbock will support legislation that .%ill benefit the City and oppose all bills that meet one or more of the following criteria: I. Undermine the principals of Home Rule and local self-government. 2. Mandate increased costs to cities, including environmental mandates and state unfunded mandates; 3. Result in the loss of revenue to cities or changes the authority of the city to generate revenue; Result in diminishing the fundamental authority of cities in a manner consistent %%ith the best interest and the health, safety and welfare of the general public. Financial Impact The adverse impact of each detrimental bill must be determined separately. Opponents Various interest groups who introduce legislation which will impact the City of Lubbock negatively, but benefit their particular interest groups. Supporters City of Lubbock and other State of Texas municipalities Additional Information This policy «ill assist the City's consultants in expediting measures to defeat detrimental legislation. 1. City of Lubbock Legislative Position Statement 1997 Proposal Oppose attempts to amend annexation enabling legislation to remove unilateral annexation authority. Background Various interest groups in and around Harris County, Texas, are planning to push for legislation which would remove unilateral annexation authority from Texas cities. Most of the groups have a common goal: legislation that would allow the residents of an area proposed for annexation to vote on approval or rejection of the annexation. The groups propose that these elections be funded by the city proposing annexation. There is a clear correlation'between urban decline and the absence of strong annexation authority. Any bill that severely restricts current annexation authority will result in a predictable sequence of events: (1) wealth will flee; (2) high service needs will stay behind and grow; (3) to serve those needs, cities will be forced to raise taxes on whatever taxable value remains; (4) more wealth will flee to avoid those higher taxes; and (5) the downward spiral Mll continue until the city rots from within. There is one final, important point:. the states that have placed severe restrictions on municipal annexation authority have injected massive amounts of state financial aid into their cities in an effort to prevent municipal decay. States that have limited annexation authority provide annual per capita financial aid of anywhere from $34 to more than $525. In Texas, the corresponding figure is $3.65, by far the lowest in the nation. Financial Impact Unknown. Opponents Various Harris County interest groups. Supporters City of Lubbock, Texas cities, and the Texas Municipal League. 2. City of Lubbock Legislative Position Statement 1997 Proposal Support bracketed legislation that would allow the City of Lubbock to abolish the Citv's perpetual trust fund for a cemetery or assign the perpetual trust fund to another entity for cities of at least 187,000, but no more than 200,000 in population. Background During the 74' Legislature, the City of Lubbock was unsuccessful in pursuing legislation that would have allowed the City to sell its cemeteries. State law only allows cities or cities in counties of at least 122,000, but no more than 128,000 to eliminate or assign to another entity perpetual care trust funds for cemeteries. A number of private entities continue to show interest in acquiring the cemeteries currently operated by the City of Lubbock. Resurrecting the bracketed legislation from the last legislative session would allow the City of Lubbock to take advantage of these opportunities. Financial Impact According to the Culture/Leisure Services' Parks and Recreation Department, typically about 56 percent of cemetery operating costs are recovered through cemetery fees and property sales. However. long-term perpetual care is currently largely unfunded. An estimated S2-3 million is required to provide for the perpetual care of the cemetery. The sale of the cemeteries would eliminate the City's liability for long-term perpetual care, and divest the City of an enterprise - like actixity that does not fully recover its operating costs. Opponents No organized opposition at this time. Supporters City of and private cemetary operations. Additional Information Althoug is no opposition at this point, there is a distinct possibility for strong oPPositie __ -tis bill from the relatives of those buried in the cemetery 3. City of Lubbock Legislative Position Statement 1997 Proposal Support legislation that would permit cities to recover the full cost of providing data from a geographic information system, including system development costs. (Report of TML Legislative Policy Committee on Community and Economic Affairs) Background Geographic Information Systems are a fairly new technology that integrate graphic or spatial information (such as maps) with tabular information (any information related to the graphic information such as: ownership, line size, age.) This integration allows a wide range of information processing and display operations, as well as map production, analysis and modeling. Amendments to the Public Information Act in the last legislature included a section titled "Interim Charges for Geographic Information Systems Data." The section allowed municipalities to set their own charges for CIS data under certain conditions. until August 31, 1997. It also mandated a study to be conducted by the General Services Commission with participation by municipalities, the Geographic Information Systems Planning Council (state agencies GIS consortium) and other interested parties. The study was conducted this summer, and resulted in a final report with two perspectives: One viewpoint, primarily from state agencies, is that sales of GIS information should be under uniform pricing and access guidelines set by the General Services Commission for the entire state; A different perspective, primarily held by municipalities, is that because of variations in scope, quality, and commercial value among GIS system data, and because of the high cost of maintaining GIS data, cities should set their own pricing according to local conditions and needs. The legislation that will allow cities to continue to set their own GIS pricing will probably be sponsored by a legislator representing the City of Irving, and TML will support it. Financial Impact None currently, since the City of Lubbock does not yet sell GIS data and can set its own prices until August 31, 1997. If legislation allowing cities to continue to set pricing is not passed, municipalities will be subject to the uniform pricing standards set by the General Services Commission for public information and will be allowed to charge only for reproduction costs. Opponents Most state agencies that handle GIS data; the GIS Planning Council, a state agency consortium for data sharing; Common Cause of Texas; Title Data, Inc..; Texas Newspaper Association; Texas Press Association; and Texas Media. Supporters Texas Municipal League; the Cities of Irving, Dallas, Richardson, Lubbock, Arlington, Houston, Plano, and Corpus Christi; the Houston -Galveston Area Council of Governments; the Citv Planners Association of Texas (TML affiliate); and private firms including United Aerial Mapping and Tobin Surveys. M City of Lubbock Legislative Position Statement 1997 Proposal Support the photo enforcement of (red-light violations and speeding violations) traffic laws. Background TxDot is currently researching the effectiveness of photo enforcement at railroad crossings. New York City experienced a 20% reduction in violations at 15 intersections where photo enforcement was utilized for 6-12 months. The technology has been used world%%ride for over 30 years. A prior Texas Attorney General opinion (M•692) stated that there: is "no actionable invasion of the right of privacy for a person whose photo is taken on a public highway." Photo enforcement significantly decreases the amount of police officer time required per citation. Financial Impact Minimal. The increased cost of equipment will be offset by the increased number of fines collected by the City of Lubbock. Opponents No organized opposition at this time. Supporters Some org-aru2ations that support photo enforcement include: Citv of Lubbock, Texas Municipal League, City of Richardson, City of Austin, and the Texas Police Chiefs Association. Additional Information This x%ill -;sire a modification of the Texas Penal Code. Photo enforcement is already in use in severs: :-..-ier states, including California, New York, and Arizona. For more information, see Tran _-t--:.:::,•,r Research Board, NCHRP Synthesis 219. 5. City of Lubbock Legislative Position Statement 1997 Proposal Amend the current rules which prohibit and/or restrict the placement of identification signs for upcoming businesses in communities %%ith populations in excess of 50,000. Background In conjunction Nvith freeways, Texas recently adopted the rule allowing small business signs, but limited the placement of the signs to rural areas. TxDOT has since bracketed up the counties eligible by population, buy Lubbock is still excluded. The small signs provide a significant asset to business in terms of the traveling public being able to exit at the correct location. Financial Impact Unknown. Opponents Billboard companies. Supporters Texas cities and business groups. Additional Information The rules related to urban areas need amendment to allow the signs within the city limits, or being included will have little benefit to the City of Lubbock. M City of Lubbock Legislative Position Statement 1997 Proposal Support a special state statute that states that municipalities may regulate land development within the extra -territorial jurisdiction (ET)) that will effect drainage and flood hazard issues. Background There is presently no control of properties within the ETJ of a municipality unless that land is platted. This causes numerous safetyconcerns when those areas are annexed into the city. Financial Impact Minimal. Opponents Land owners in the ETJ areas. Supporters Municipalities and counties. 7. City of Lubbock Legislative Position Statement 1997 Proposal Support legislation that %will authorize the City of Lubbock to convert to other uses, lease out, or otherwise dispose of all or any portion of the City of Lubbock Auditorium -Coliseum. Additionally, if the City of Lubbock chooses to dispose of only a portion of the Lubbock Auditorium -Coliseum, the City of Lubbock may retain the real property upon which the Lubbock Coliseum is presently sited for use with the remaining portion despite any prior v provision of the state law, deed or charter to the contrary due to the construction of a new sports arena by Texas Tech University. Background Currentiv Texas Tech University is planning to construct a sports facility for the primary purpose of sporting events that will, in part, include basketball and volleyball games. The secondary purpose will be for graduations, concerts, and special events. Texas Tech will construct this facility on their campus and they will operate and control the facility. With this in mind, the City of Lubbock desires the option to convert to other uses, lease out, or otherwise dispose of all or a portion of the City of Lubbock Auditorium -Coliseum. Because there is not a compatible facility to the Auditorium in Lubbock the City of Lubbock probably will keep the Auditorium portion of the Auditorium -Coliseum regardless of what takes place with the Coliseum portion of the Lubbock Auditorium -Coliseum. In 1994-95 the Auditorium held 38 events while having 37 in 1995-96. The cost of a new Auditorium facility could be expensive for the taxpayers of Lubbock and a new facility is not necessary at this time. The City wishes to continue the operation of the Auditorium portion of the City of Lubbock Auditorium -Coliseum and would like to maintain ownership of the parking lot in order to be in a position to schedule events at the Auditorium. Financial Impact Unknown -- the cost of constructing a new Auditorium and parking lot could be extremely expensive to the taxpayers of Lubbock. Actual costs would depend on the type of facility constructed to replace the Auditorium and the location chosen. Opponents Unknown. Supporters City of Lubbock. M City of Lubbock Legislative Position Statement 1997 Proposal Allow Municipal Courts to collect $20 for violations that are dismissed by attending a driver's training class. In addition, require driver's training schools to give certificates of completion to the students upon completion of the class rather than mailing the certificates to the students. Background Information Currently, the court is permitted only to collect a $10 dismissal fee and State tax on violations that are dismissed by attending a driver's training class. The remaining fine amount is dismissed. In addition, citizens who elect to attend a driver's training class to have a traffic violation dismissed must provide the Court with an official State Comptroller Certificate which is provided by the schools. Mailing these certificates causes delay in the dismissal procedure. Financial Impact An increase of S 10 in the dismissal fee would result in a 570,000 a year increase in revenue. The ability to collect the full fine amount, as opposed to a dismissal fee, would increase revenues by 5200,000 a year. Opponents Schools that offer driver's training classes. Supporters Municipal Courts. VM City of Lubbock Legislative Position Statement 1997 Proposal Provide state assistance for economic development of closing or closed defense facilities. Background BRAC 95 decisions to close Reese AFB will have a significant impact on the City of Lubbock and the surrounding South Plains region. Some 3,414 military and civilian jobs will be affected by the closure. Those jobs annually produce incomes in excess of $81 million and an average salary of S24,000. In addition to that annual payroll, over $45 million in Air Force expenditures for local supplies and services «ill disappear. Accordingly, the baseline expected annually reduction in metropolitan Lubbock's economic activity will be in excess of $126 million. The total reduction in employment of 3,414 workers lost due to base closure will result in roughly a 3.3 percent decrease in total non -agriculture employment and an increase of 3.15 percent in the annual unemployment rate. Those jobs will also take with them approximately 3.75 percent of total wages in the area; 0.7 percent of total annual construction sales; 5.86 percent of gross service revenues; and approximately 0.75 percent of total annual wholesale trade. Overall, it is predicted that the closure of Reese AFB will create an aggregate economic impact equal to approximately 2.1 percent of the Lubbock metropolitan area's total annual economic activitv. In addition, the Reese closure will produce a direct population loss of approximately 2,600 persons, or 1.1 percent of the area's current residents. As many as 503 civilian employees may relocate in the face of impending unemployment, thereby raising the population impact to 1.35 percent of the area's total. This population loss may result in annual reduction in property taxes of approximately $700,000; an annual decrease in sales tax revenues of nearly $59,000; and decrease area bank deposits by approximately $5.5 million. Financial Impact Unknown. A loss of at least 5759,000 in tax revenue alone. Opponents No organized opposition at this time. Supporters City of Lubbock, City of San Antonio, City of Texarkana, and Speaker of the House Pete Laney. 10. City of Lubbock Legislative Position Statement 1997 Proposal Support legislation which provides emplovers with immunity from civil liability_ for the release of reference information done in good faith. Background Laws such as defamation, invasion of privacy, and negligent hiring have made it impossible to get credible reference information from past employers. Legislation granting immunity will enable cities to hire dependable workers and rely on information supplied to them by other municipalities. Financial Impact Unkno%vn. Opponents No organized opposition at this time. Supporters City of Lubbock and the Society for Human Resource Management. 11. City of Lubbock Legislative Position Statement 1997 Proposal Monitor legislation that offers a choice to consumers through local control of utility rates and support competition that offers fair choices to consumers and equitable benefits to all classes of electric customers. Background Public power systems have a history of competition and offering choice to consumers through local control of utility rates and services. TPPA supports competition only if it offers fair choices to consumers and equitable benefits to all classes of electric customers. It is important to note, that TPPA is concerned that retail deregulation could mean unequal access to choice: Large industrial and commercial customers Nvith market power are likely to receive the greatest benefits. Cost shifting would raise electric costs to small residential and business consumers. A healthy wholesale market for electricity allows all customers to benefit from competition. The issue of stranded investment needs to be resolved in a manner where low debt utilities do not bear the burden of those with higher debt. TPPA stresses the importance of recovering investments made by municipal electric utilities to serve existing retail customers. Financial Impact Unknown Interested Parties Approximately 275 groups including the Association of Electric Companies of Texas, Electric Coop's, Consumer Groups, LP&L and the Texas Public Power Association (TPPA). TPPA supports competition only if it offers fair choices to consumers and equitable benefits to all classes of electric customers. 12. City of Lubbock 75th Legislative Program Issues Addressed by the Texas Municipal League Finance and Administration 1. Oppose property tax relief efforts unless they are accompanied by an additional provision allowing cities to raise replacement revenues. 2. Provide for the disclosure of information regarding the major contributors to sales tax revenue in cities with populations greater than 50,000. 3. Limit sales tax exemptions unless it can be shown by each interest group that the exemption is in the best interest of cities. 4. Allow the state to share 5 percent of lottery proceeds with cities where lotto tickets are sold. 5. Allow cities that are not within metro transit authorities to reduce their property taxes by offsetting the difference with a sales tax. 6. Oppose legislation that would require local government's to establish a debt limit and submit changes in the tax rate to voter approval. 7. Support legislation granting relief from unfunded mandates. 8. Require a revision of the Public Funds Investment Act to clarify its requirements, with specific reference to sections 2256.002, 2256.005 (d), 2256.005 (e), 2256.005 (f), 2256.005 (k), 2256.005 (m), 2256.008, 2256.019, and 2256.023. Public Works 9. Anv provision, covenant, or other agreement relating to a construction contract that purports to indemnify a person against liability that arised from the negligence or willful misconduct of the person, or of an agent or employee of the person, is void as against public policy. I O.Endorsement of any bill that would allow cities to have the option of requiring a building or construction contractor to have either (1) worker's compensation coverage or (2) accident and liability covera`_e on projects involving expenditures less than $50,000. 11.Require a city to conduct a least -cost review for public works projects by comparing the cost of conducting the project itself with the cost of contracting from the project. Election Procedures 12.Oppose legislation requiring bond elections to be held on uniform election dates. 13.Oppose legislation requiring election officers to check polling places for written communications. 14. Oppose legislation requiring mandatory joint elections. 15.Oppose same day registration legislation which would allow qualified voters to register to vote on election day at the polls. 16.Oppose legislation that would eliminate the option of a spring uniform election date. City of Lubbock Legislative Position Statement 1997 Proposal Oppose property tax relief efforts unless they are accompanied by an additional provision allowing cities to raise replacement revenues. Background The pressure for more broad-based property tax relief continues in Texas and in the nation. As a result, during each legislative session interest groups routinely seek exemptions to the property tax. According to the ACIR, the property tax is the nation's least -liked tax. Although nationally and locally cities' share of the property tax is declining or fixed, the overall property tax burden has increased largely as a result of school district taxes. This national trend is present locally. Between 1989 and 1994, the City of Lubbock's property tax rate remained the same ($0.64/$100 assessed value), while for the same period the property tax rate for the Lubbock Independent School District increased by an average of 10.9 percent per year. Financial Impact After the sales tax, the property tax represents the City of Lubbock's largest source of funding for General Fund operations. Two years ago, the City of Lubbock reduced its property tax by $0.541 by increasing the sales tax by an offsetting amount. Any mandatory efforts to provide additional property tax relief should be accompanied by authority to raise replacement revenues. Without a replacement revenue source, the City of Lubbock would be hard pressed to continue to absorb the cost of the 1993 bond program without a tax increase. The 1993 bond program vas initially projected to require an S.08 increase in the property tax rate. Opponents Taxpayer groups. Supporters City of Lubbock and the Texas Municipal League. City of Lubbock Legislative Position Statement 1997 Proposal Provide for the disclosure of information regarding the major contributors to sales tax revenue in cities with populations greater than 50,000. Bad - - round At 30 percent of the City of Lubbock's General Fund revenues, the sales tax represents the City's largest source of funds for basic government services. In addition, because the sales tax rises and falls with the business cycle, the sales tax is also a volatile revenue source. Under current law, only cities with populations under 50,000 can obtain information on major contributors to sales tax revenue (i.e. those remitting payments of $100,000 or more). This prevents the City from conducting adequate studies regarding the impact of a new business or the relocation of a business outside of the city limits. Financial Impact Unkno%%m. Opponents No organized opposition at this time. Supporters City of Lubbock and Government Finance Officers Association of Texas. 2 City of Lubbock Legislative Position Statement 1997 Proposal Limit sales tax exemptions unless it can be shown by each interest group that the exemption is in the best interest of cities. Background In every legislative session since the Legislature broadened the sales tax base in 1987, special interest groups have sought exemptions to the sales tax. During the 1989 session, seven additional exemptions affecting industries such as amusement services,joint research and development ventures, computer programming services and temporary help services were adopted. No exemptions were approved during 1991, but three more were adopted in 1995. Financial Impact The adverse impact is unknown, but because the sales tax constitutes 30 percent of the Citv of Lubbock's General Fund revenues, any efforts to narrow the base of the tax should be opposed. Opponents Business associations and trade groups. Supporters City of Lubbock and the Texas Municipal League. Additional Information The Texas Municipal League has successfully opposed prior efforts to gain exemptions to the sales tax. 3. City of Lubbock Legislative Position Statement 1997 Proposal Allow the state to share S percent of lottery proceeds with cities where lotto tickets are sold. Background Several proposals in recent years have advocated that the State of Texas share lottery proceeds with cities where lotto tickets are sold in order to help fund state mandated programs. This is the most recent proposal. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock and the Texas Municipal League. 4 City of Lubbock Legislative Position Statement 1997 Proposal Allow cities that are not within metro transit authorities to reduce their property taxes by offsetting the difference %%ith a sales tax. Background A recent Attorney General's opinion allows cities that are not within metro transit authorities to reduce their property taxes by an offsetting sales tax increase for public transit. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock and the Texas Municipal League. w City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation that would require local government's to establish a debt limit and submit changes in the tax rate to voter approval. Background H.B. 2717 (1973 Legislative Session) and H.B. 1947 (1995 Legislative Session) recommended that each local government's governing body establish an initial debt limit stated as a percentage of the jurisdiction's total assessed valuation of taxable property. After the initial debt limit was established, votes could change the debt limit (upward or downward) through a petition and election process. The Texas Municipal League successfully lobbied against each of these bills, and as a result, they did not pass. However, Colorado does allow voters to vote on any tax increase proposed by a municipal governing body. While there is currently no direct debt limitation in the Lubbock City Charter or under State law, the City operates under a Home Rule Charter that limits the maximum tax rate, for all City purposes, to $2.50 per $100 assessed valuation . Administratively, the Texas Attorney General will permit allocation of $1.50 of the $2.50 maximu tax rate for general obligation debt service. At the present time, the issuance of general obligation bonds requires voters approval. Certificates of Obligation issuance does not require voter approval, but is subject to an election through a voter petition and election process. Legislation proposing that municipalities set a debt limit, that once set can only be changed by an election, could prohibit municipalities from reacting timely if the need to issue bonds arises for a necessary public purpose. The Cit-%- of Lubbock's ratio of tax or supported debt to assessed valuation is approximately 1.25%. Moody's Investor Services provides a median for this ratio by cities our size of 2.1%. In dollars the City of Lubbock debt is $45.9 million under the current Moody median. Financial policies may address debt limits without unduly restricting the municipality. Financial Impact Unknown. Opponents Various lawmakers. Supporters City of Lubbock and the Texas Municipal League. Additional Information The Texas Municipal League has successfully opposed prior legislative proposals. 0 City of Lubbock Legislative Position Statement 1997 Proposal Support legislation granting relief from unfunded mandates. Background The Texas Municipal League reports that mandate relief legislation has been enacted in a number of states with varying degrees of success. Some state statutes include so many exceptions and qualifiers that it is almost impossible to obtain reimbursement from the state. Some states see local governments either successfully collecting funds or avoiding state mandates. During the last legislative session, several bills were introduced supporting this position, including H.B. 142, S.J.R. 8, H.B. 460, and H.B. 734. A current area of concern is environmental unfunded mandates. Many of these mandates require levels of protection beyond that required by the federal government. These mandates have required that cities find alternative funding sources, often at the expense of other government services. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock, Texas Municipal League, and the Government Finance Officers Association of Texas. 7 City of Lubbock Legislative Position Statement 1997 Proposal Require a revision of the Public Funds Investment Act to clariR, its requirements, with specific reference to sections 2256.002, 2256.005(d), 2256.005(e), 2256.005(f), 2256.005(k), 2256.005(m), 2256.008, 2256.019, and 2256.023. Background Several points in the Act are confusing and subject to varying interpretations. Financial Impact Unknown. Opponents Members of the Government Finance Officers Association of Texas who support the current wording of the Act. Supporters City of Lubbock, Texas Municipal League, and members of the Government Finance Officers Association of Texas. Additional Information The Government Finance Officers Association of Texas is currently working to develop a consensus among its members on identifying those areas that need to be addressed with supplemental legislation and proposals for correcting those areas. City of Lubbock Legislative Position Statement 1997 Proposal Any provision, covenant, or other agreement relating to a construction contract that purports to indemnify a person against liability that arises from the negligence or %villful misconduct of the person, or of an agent or employee of the person, is void as against public policy. Background Contractor groups attempted to invalidate and prohibit indemnity provisions in construction and public works contracts during the 1991, 1993, and 1995 sessions. All bills were defeated. Financial Impact An Owners and Contractors Protective Liability Policy or adding the city as an additional insured on the Contractor's Comprehensive General Liability Policy avoids, complicated and costly legal battles if damages are incurred. Opponents City of Lubbock and the Texas Municipal League. Supporters Construction Contractor Groups. 9 City of Lubbock Legislative Position Statement 1997 Proposal Endorsement of any bill that would allow cities to have the option of requiring.a building or construction contractor to have either (1) worker's compensation coverage or (2) accident and liability coverage on projects involving expenditures less than $50,000. Background Current law requires the city to require the contractor to provide workers compensation for each employee on the project. Financial Impact Reduced costs and increased number of small and minority owned businesses could result from such legislation. " Opponents No organized opposition at this time. Supporters City of Lubbock and City of Rockwall. Additional Information It is important that the city have the "option" of either workers compensation or accident and liability coverage due to the nature of some small projects. 10 City of Lubbock Legislative Position Statement 1997 Proposal Require a city to conduct a least -cost review for public works projects by comparing the cost of conducting the project itself with the cost of contracting from the project. Background H.B. 2641 died in committee during the 1991 session. H.B. 2663 passed during the 1993 session and provided that the State Auditor may develop forms to be used for least -cost reviews. Mandatory least -cost review legislation died during the 1995 session. Financial Impact Mandatory requirement of a city to conduct least -cost reviews would add additional costs in bidding out each and every public works project. Opponents City of Lubbock and the Texas Municipal League. Supporters Construction Contractors Associations and Contractor Groups. 11 City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation requiring bond elections to be held on uniform election dates. Background In prior legislative sessions, bills have been introduced that would require bond elections to be held on uniform election dates. At present, bond elections are one of the few exceptions to the requirement that all elections be held on one of the four uniform election dates. The Texas Municipal League has successfully opposed this legislation in the past, pointing to the need to kno%v the outcome of bond elections prior to a local government setting its property tax rate. There area several of other reason for local governments, including the City of Lubbock, to oppose .a uniform election date requirement for bond elections. First and foremost, the requirement undermines the City's home rule authority. Any public entity should have the right to determine when it holds an election to finance an improvement. It is conceivable that the need for an improvement is so urgent that its financing cannot be delayed until the next general election. Second, by fixing an election date, the City's flexibility as to when it goes to market is reduced. This could result in the city paying higher interest rates on the bonds it issues. Third, if all public entities use a common uniform election date, it is likely that a large volume of bonds will be issued at the same time. This oversupply could reduce the demand for General Obligation bonds, driving up the interest rates that cities pay on their long-term debt. Financial Impact Unknown. Opponents No organized support at this time. Supporters City of Lubbock and the Texas Municipal League. 12 City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation requiring election officers to check polling places for written communications. Background The State Election Code prohibits a voter from bringing a sample ballot prepared by another person into the polling place. In addition, electioneering in the polling place is prohibited. During the 1995 legislative session, two bills were introduced that would have required election officials to periodically check each voting station and polling place for discarded sample ballots or other written materials. Critics of the bills, including the Texas Municipal League and the State Municipal Clerks Association, argued that these bills shifted the. burden regarding written documents from the voter to the election official. A recent federal district court.decision found the restriction on written documents in the polling place to be unconstitutionally narrow. As a result, many observers of the Legislature expect legislation requiring election officials to check polling places for written documents to be re -introduced. Financial Impact It is conceivable that such legislation could result in the need for an additional election worker for each of the City's forty-seven polling places. An election worker gets $77 per day/per polling place. This would result in a total cost to the City of S3,619 per election. Opponents No organized support at this time. Supporters City of Lubbock and the Texas Municipal League. 13 City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation requiring mandatory joint elections. Background Legislation requiring mandatory joint elections has been introduced during the last three legislative sessions. Supporters of such legislation argue that a large number of separate election days reduces voter turn -out. Critics of mandatory joint elections point out that they erode the home rule authority of political jurisdictions. At present, joint elections are voluntary. The local elected officials of cities and other political jurisdictions decide when to call an election, and which political jurisdictions they will join in an election. Mandatory joint elections also raise issues of administrative practicality. For example, if a school district overlaps several jurisdictions, which jurisdiction is the school district required to join in an election with? Joint elections are too complicated to be decided at the state level, but instead need to be decided at the local level on a case by case basis. Financial Impact The cost of the last election which the City of Lubbock held on its own was approximately $49,000. A joint election, usually held with Lubbock Independent School District, costs approximately 573,500. However, the City's share of the cost of a joint election with Lubbock Independent School District is typically 60 percent, or 544,100. Based on the experience of other communities, savings in election costs in excess of 50 percent are possible with joint elections. Opponents No organized support at this time. Supporters City of Lubbock and the Texas Municipal League. 14 City of Lubbock Legislative Position Statement 1997 Proposal Oppose same day registration legislation which would allow qualified voters to register to vote on election day at the polls. Background Same day registration legislation has been introduced during the last three legislative sessions. The legislation would have allowed the voter to register at the polls on election day, thus requiring the voter registrar to determine, after the polls closed, if the voter was eligible to vote. Supporters of same day registration point to the fact that it increases voter participation. Critics argue that the federal motor -voter legislation and other opportunities for voter registration, for example registration at local grocery stores, already accomplish this goal. More importantly, same day registration critics cite the increased possibility of voter fraud and delays in finalizing election results caused by the need to verify voter eligibility. Financial Impact The fiscal impact of same day registration tivould depend on the number of election workers hired to register voters. One additional worker for each of Lubbock's forty-seven polling places would cost approximately $3,619. Opponents No organized support at this time. Supporters City of Lubbock and the Texas Municipal League. 15 City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation that would eliminate the option of a spring uniform election date. Background The State Election Code provides that elections be held on one of four uniform election dates: (1) third Saturday in January; (2) second Saturday in August; (3) first Tuesdav after the first Monday in November; or (4) first Saturday in May. According to the Texas Municipal Clerks Association, about 90 percent of cities and school districts in Texas, including the City of Lubbock, hold their general elections in May. During the last session, several bills would have changed or eliminated the May uniform election date. The May uniform date must be maintained as an option for the City of Lubbock and other local governments. Financial Impact None. Opponents No organized support at this time. Supporters City of Lubbock and the Texas Municipal League 16 City of Lubbock 7th Legislative Program Supplemental Issues Public Safety 1. Oppose legislation adopting a Police Officers Bill of Rights which would provide officers with more protection against criminal prosecution than that afforded to ordinary criminals. 2. Support changes in the structure and purpose of the Texas Commission on Law Enforcement Standards and Education. Finance and Administration 3. Change the form of the effective tax rate publication to allow for easier identification of roll back rates. 4. Standardize the certification for brokers and/or dealers as required by the Public Funds Investment Act using an alternative form developed by the Government Finance Officers Association of Texas (GFOAT) and supported by the national Government Finance Officers Association (GFOA). 5. Amend the Texas Unemployment Compensation Act so that political subdivisions of the state have the same rights to object to unemployment compensation claims made by former employees as are currently possessed by non -reimbursing employers. 6. Change the 12 percent interest rate currently prescribed by the Prompt Payment Act to a reasonable flexible rate that is indexed to an agreed upon standard. 7. If a competitive sealed bidding requirement applies to a municipal contract, the city may give a 2-3 percent cost preference to bidders situated in the city. 8. Create tax-exempt status for bonds issued in projects done in partnership with the private sector. 9. Monitor legislation that will make it easier for cities to finance sports venue projects. Right of Way I O.Enable the State (TxDOT) to acquire property that is not adjacent to the project limits of a TxDOT project, but is required as part of that project. City of Lubbock Legislative Position Statement 1997 Proposal Oppose legislation adopting a Police Officers Bill of Rights which would provide officers with more protection against criminal prosecution than that afforded to ordinary criminals. Background During each legislative session, the police unions present a Police Officer Bill of Rights. This bill would give officers more protections against criminal prosecution than that afforded to other criminals. Also, it creates increased intrusion into local matters. . Financial Impact Unknown. Opponents Police Unions. Supporters City of Lubbock. City of Lubbock Legislative Position Statement 1997 Proposal Support changes in the structure and purpose of the Texas Commission on Law Enforcement Standards and Education. Background The Texas Police Chief's Association will attempt to change the Texas Commission on Law Enforcement Standards and Education. Over the years, this commission has become a labor union dominated group that has lost its mission. It is the intention of the Police Chiefs Association to make the commission more reflective of administrative necessity, or to abolish the commission altogether. Financial Impact Unknown. Opponents No organized opposition at this time, however, %ve anticipate opposition from police labor groups. Supporters City of Lubbock and Texas Police Chiefs Association. FA City of Lubbock Legislative Position Statement 1997 Proposal Change the form of the effective tax rate publication to allow for easier identification of roll back rates. Background The Government Finance Officers Association of Texas is supporting changes in the form of the effective tax rate publication to allow easier distinction of the M S& O and roll back rates. The Texas Municipal League has also adopted a similar resolution in support of this position. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock, Texas Municipal League, and the Government Finance Officers Association of Texas. 3 City of Lubbock Legislative Position Statement 1997 Proposal Standardize the certification for brokers and/or dealers as required by the Public Funds Investment Act using an alternative form developed by the Government Finance Officers Association of Texas (GFOAT) and supported by the national Government Finance Officers Association (GFOA). Background A recent issue concerns standardization of the brokers' form required by the Public Funds Investment Act. A proposed standardization form has been conveyed to the Attorney General with a request for endorsement. A second form, not required by the Act, has also been conveyed to the Attorney General for approval. The concern is that the forms as originally proposed by the Act would dilute the effect of the Act as amended in 1995. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock, Government Finance Officers Association of Texas, and the Government Finance Officers Association. Additional Information The proposed forms have not been submitted to the Texas Municipal League because the issue arose after the July 1996 meeting. City of Lubbock Legislative Position Statement 1997 Proposal Amend the Texas Unemployment Compensation Act so that political subdivisions of the state have the same rights to object to unemployment compensation claims made by former employees as are currently possessed by non -reimbursing employers. Background The discrepancy in the Act that allows non -reimbursing employers to object to certain unemployment compensation claims and that does not allow reimbursing employers that same right results in the unnecessary payment of claims. This places an undue strain on scarce public resources. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock, City of Harlingen, Government Finance Officers Association of Texas, and the Texas Municipal League. 61 City of Lubbock Legislative Position Statement 1997 Proposal Change the 12 percent interest rate currently prescribed by the Prompt Payment Act to a reasonable flexible rate that is indexed to an agreed upon standard. Background The Prompt Payment Act requires that cities pay vendors interest on balances outstanding over thirty days at a rate of 12 percent. This rate is deemed to high by many experts. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock and the Government Finance Officers Association of Texas. rll City of Lubbock Legislative Position Statement 1997 Proposal If a competitive sealed bidding requirement applies to a municipal contract, the city may give a 2-3 percent cost preference to bidders situated in the city. Background H.B. 2858 was defeated during the 1989 legislative session. Similar legislation was defeated in 1991. No bills of this nature were introduced during the 1993 or 1995 sessions. Financial Impact Preferences based solely upon the location of a bidder cause an unreasonable restraint of trade and invite retaliation by others. This does not serve the best interests of the city. Opponents City of Lubbock. Supporters City of Sulpher Springs Additional Information The desired policy is to award contracts to the lowest responsive and responsible bidder. 7 City of Lubbock Legislative Position Statement 1997 Proposal Create tax-exempt status for bonds issued in projects done in partnership with the private sector. Background This proposal is designed to facilitate the construction of production plants built jointly with investor owned utilities. Financial Impact Unknown. Opponents No organized opposition at this time. Supporters City of Lubbock. Additional Information This issue may be best addressed in the United States Congress through changes in the Internal Revenue Code. E3 City of Lubbock Legislative Position Statement 1997 Proposal Monitor legislation that will make it easier for cities to finance sports venue projects. Background The financing of sports venues has garnered considerable attention. Sports facilities have become increasingly important components in the public finance market place. These financings, which concern fundamental value -related issues, have stirred significant political controversy. Generally, while the point is often debated, municipalities frequently believe that a sports franchise provides a worthwhile economic benefit to their respective communities, as well as a valuable social amenity. Consequently, the business of sports can be a highly desirable commodity. The increase in sports facility construction is expected to continue throughout the decade as the underlying economic of the sports industry evolve. It is important to keep in mind that the focus on building new sports facilities is taking place, and will continue to occur, in the context of constrained budgets and competing fiscal pressures. Therefore, traditional financing methods will likely become outdated and politically unpopular and, instead, will be replaced by more innovative financing techniques. Due to the City of Lubbock's budget constraints, it is difficult to find ways to contribute to sports venue projects. By supporting legislation that will make additional revenue streams available for cities to utilize for purposes of a sports venue, the City of Lubbock would be in a better position to finance projects in the future; at the voter's discretion. Financial Impact Unknown Opponents Local tax groups. Supporters City of Lubbock and other Texas Cities. 9 City of Lubbock Legislative Position Statement 1997 Proposal Enable the State (TxDOT) to acquire property that is not adjacent to the project limits of a TxDOT project, but is required as part of that project. Background Construction of the East-West Freeway by the State (TxDOT) requires that the City of Lubbock acquire right-of-way for the relocation of the railroad. Financial Impact This will save the City of Lubbock both time and money related to a project that should be a turnkey job by the State of Texas. Opponents State of Texas. Supporters City of Lubbock. Additional Information This will allow the State to have complete control of contracts related to the project and the scheduling of the project itself. It also minimizes the number of contracts and agreements that are necessary for all parties that are involved. 4 10