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            |  | A BILL TO BE ENTITLED | 
         
            |  | AN ACT | 
         
            |  | relating to certain contracts regarding airports and associated air | 
         
            |  | navigation facilities operated by or on behalf of a local | 
         
            |  | government. | 
         
            |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
         
            |  | SECTION 1.  Section 22.019, Transportation Code, is amended | 
         
            |  | to read as follows: | 
         
            |  | Sec. 22.019.  CONTRACTS.  Except as provided by Section | 
         
            |  | 22.0191, a [ A] local government may enter into a contract necessary | 
         
            |  | to the execution of a power granted the local government and for a | 
         
            |  | purpose provided by this chapter. | 
         
            |  | SECTION 2.  Subchapter B, Chapter 22, Transportation Code, | 
         
            |  | is amended by adding Section 22.0191 to read as follows: | 
         
            |  | Sec. 22.0191.  AIRPORT INFRASTRUCTURE OR EQUIPMENT | 
         
            |  | CONTRACTS.  (a)  In this section, "airport infrastructure or | 
         
            |  | equipment contract" means a contract for the acquisition, | 
         
            |  | construction, improvement, or renovation of airport infrastructure | 
         
            |  | or equipment, including a terminal, security system, or passenger | 
         
            |  | boarding bridge, used at an airport or an air navigation facility | 
         
            |  | associated with an airport. | 
         
            |  | (b)  A local government or a person operating an airport on | 
         
            |  | behalf of a local government may not enter into an airport | 
         
            |  | infrastructure or equipment contract with: | 
         
            |  | (1)  an entity that: | 
         
            |  | (A)  a federal court determines has | 
         
            |  | misappropriated intellectual property or trade secrets from | 
         
            |  | another entity organized under federal, state, or local law; and | 
         
            |  | (B)  is owned wholly or partly by, is controlled | 
         
            |  | by, or receives subsidies from the government of a country that: | 
         
            |  | (i)  is identified under Section 182, Trade | 
         
            |  | Act of 1974 (19 U.S.C. Section 2242), as a priority foreign country; | 
         
            |  | or | 
         
            |  | (ii)  is subject to monitoring by the Office | 
         
            |  | of the United States Trade Representative in accordance with | 
         
            |  | Section 306, Trade Act of 1974 (19 U.S.C. Section 2416); or | 
         
            |  | (2)  any entity that owns, controls, is owned or | 
         
            |  | controlled by, is under common ownership with, or is a successor to | 
         
            |  | an entity described by Subdivision (1). | 
         
            |  | (c)  An airport infrastructure or equipment contract for | 
         
            |  | goods or services entered into by a local government or a person | 
         
            |  | operating an airport on behalf of a local government must contain a | 
         
            |  | written statement by the entity with which the local government or | 
         
            |  | person is contracting verifying that the entity is not an entity | 
         
            |  | described by Subsection (b)(1) or (2). | 
         
            |  | (d)  If the written statement required in an airport | 
         
            |  | infrastructure or equipment contract under Subsection (c) is found | 
         
            |  | to be false, the contract is voidable by the local government or | 
         
            |  | person operating the airport. | 
         
            |  | SECTION 3.  Section 22.020(a), Transportation Code, is | 
         
            |  | amended to read as follows: | 
         
            |  | (a)  A local government, by contract, lease, or other | 
         
            |  | arrangement, on a consideration fixed by the local government and | 
         
            |  | for a term not to exceed 99 [ 40] years, may authorize a qualified | 
         
            |  | person to operate, as the agent of the local government or | 
         
            |  | otherwise, an airport owned or controlled by the local government. | 
         
            |  | SECTION 4.  Sections 22.021(a) and (d), Transportation Code, | 
         
            |  | are amended to read as follows: | 
         
            |  | (a)  In operating an airport or air navigation facility that | 
         
            |  | it owns, leases, or controls, a local government may enter into a | 
         
            |  | contract, lease, or other arrangement for a term not exceeding 99 | 
         
            |  | [ 40] years with a person: | 
         
            |  | (1)  granting the privilege of using or improving the | 
         
            |  | airport or air navigation facility, a portion or facility of the | 
         
            |  | airport or air navigation facility, or space in the airport or air | 
         
            |  | navigation facility for commercial purposes; | 
         
            |  | (2)  conferring the privilege of supplying goods, | 
         
            |  | services, or facilities at the airport or air navigation facility; | 
         
            |  | or | 
         
            |  | (3)  making available services to be furnished by the | 
         
            |  | local government or its agents at the airport or air navigation | 
         
            |  | facility. | 
         
            |  | (d)  The 99-year [ 40-year] limit on the term of a contract, | 
         
            |  | lease, or other arrangement provided by Subsection (a) does not | 
         
            |  | apply to a contract, lease, or other arrangement under this section | 
         
            |  | between a local government and this state, the United States, or an | 
         
            |  | agency or instrumentality of this state or the United States. | 
         
            |  | SECTION 5.  Sections 22.022(a) and (b), Transportation Code, | 
         
            |  | are amended to read as follows: | 
         
            |  | (a)  A lease of real property may not exceed 99 [ 40] years if: | 
         
            |  | (1)  the lease is made under Section 22.011(c) or (d), | 
         
            |  | Section 22.020, or Section 22.021; and | 
         
            |  | (2)  at the time of the execution of the lease, the | 
         
            |  | property is used as nonaeronautical property and is located on an | 
         
            |  | airport on which there are active federal governmental aircraft | 
         
            |  | operations on federal government property. | 
         
            |  | (b)  A renewal or extension of a lease under Subsection (a) | 
         
            |  | may not exceed 99 [ 40] years. If the lease provides for more than | 
         
            |  | one renewal or extension, the renewals or extensions may not in the | 
         
            |  | aggregate exceed 99 [ 40] years. | 
         
            |  | SECTION 6.  Section 22.0191, Transportation Code, as added | 
         
            |  | by this Act, applies only to an airport infrastructure or equipment | 
         
            |  | contract entered into, modified, or renewed on or after the | 
         
            |  | effective date of this Act. | 
         
            |  | SECTION 7.  This Act takes effect September 1, 2023. |