NEW LOCAL GOVERNMENT DEBT REPORTING DEADLINE APPROACHES
From Comptrollers Office –
HB 1378: Local Government Debt Transparency
Debt Obligation Reporting under Local Government Code, Section 140.008
The 84th Legislature passed HB 1378 to increase the transparency of local government debt. Under Local Government Code § 140.008, political subdivisions, including counties, cities, school districts, junior college districts, special purpose districts, and other subdivisions of State government must annually compile their debt obligation data from the preceding fiscal year and either:
- report it to the Comptroller of Public Accounts for posting or, alternatively,
- post the information on their own Web sites.
The Comptroller is currently developing rules to define and clarify compliance with HB 1378.
On an annual basis, and within 210 days of the end of each political subdivision’s fiscal year in 2016, and thereafter within 180 days of the end of the most recently completed fiscal year, all political subdivisions shall report the required information via option #1 or #2 above.
Required Debt Obligation Reporting
For those who choose the first option above, the Comptroller’s office is developing a reporting form and an uploading solution to enable entities or their third-party representatives to compile and submit the required information beginning in the summer of 2016. All submissions will be received electronically through this uploading solution, as opposed to hard copy or email.
- Entities that maintain websites and elect to submit the required information to the Comptroller’s office must link to a specified location on the Comptroller’s site reserved for Local Government Code, Section 140.008 reporting. This website location will be determined in the coming months.
- Water districts may electronically submit required financial documents to the Comptroller to be compliant with Local Government Code, Section 140.008. Water districts will submit either an audit report, an affidavit of financial dormancy (AFD) or an annual financial report per Subchapter G, Chapter 49, Water Code.
- As an alternative to providing an annual report under Section 140.008(f), cities with populations under 15,000 and counties with populations below 35,000 may provide the required debt obligation reporting information in Section 140.008(b). The Comptroller has determined that these political subdivisions will use the same reporting form and uploading solution as other political subdivisions.
Click on the categories below to see details on what information is required for total authorized debt obligations and for each authorized debt obligation.
If you have questions, please contact us.