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House Bill 990 |
House Author: Rodriguez, Eddie |
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Effective: Vetoed |
Senate Sponsor: Watson |
House Bill 990 amends the Local Government Code to establish the composition of the board of directors of a homestead preservation reinvestment zone in a municipality with a population of 1.18 million or more located predominantly in a county that has a total area of less than 1,000 square miles that has adopted an urban land bank demonstration program. The bill establishes procedures for the appointment of board members and the election of board officers, the process for filling a board vacancy, eligibility requirements for appointment to the board, and the powers and duties of the board. The bill removes the requirement that a final order adopted by an applicable county to create a homestead preservation reinvestment zone designated by municipal ordinance specify an amount of tax increment to be deposited by the county into the tax increment fund equal to the amount of the tax increment specified by an applicable municipality before the zone can take effect. The bill makes the amount the county is required to pay into the tax increment fund for a homestead preservation reinvestment zone the same percentage of the tax increment produced by the county that the municipality pays into the fund.
Reason Given for Veto: "House Bill 990 would change the terms by which Travis County may participate in a homestead preservation reinvestment zone with the City of Austin in East Austin. Although the stated purpose of House Bill 990 is to encourage Travis County to participate in the zone, the county has not expressed support for the bill.
"This bill would exempt Travis County from regulations established for reinvestment zones under Chapter 311 of the Tax Code by allowing the county to exceed the 15-person limit set for reinvestment zone boards and reducing the share of tax revenues the county must contribute to the zone fund.
"The purpose of a reinvestment zone is to provide financial avenues for redevelopment in blighted areas, yet the zone in question is not in a blighted area."