74R9352 SMH-D
By Grusendorf, Maxey H.B. No. 2860
Substitute the following for H.B. No. 2860:
By Craddick C.S.H.B. No. 2860
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the power of certain school districts to grant tax
1-3 abatements.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Chapter 312, Tax Code, is amended by adding
1-6 Subchapter D to read as follows:
1-7 SUBCHAPTER D. TAX ABATEMENT IN SCHOOL DISTRICT
1-8 REINVESTMENT ZONE
1-9 Sec. 312.501. DESIGNATION OF REINVESTMENT ZONE. (a) The
1-10 board of trustees of a school district may designate as a
1-11 reinvestment zone an area of the district if:
1-12 (1) the board adopts guidelines and criteria as
1-13 required of a municipality to designate a reinvestment zone under
1-14 Section 312.002;
1-15 (2) the district's wealth per student does not exceed
1-16 the equalized wealth level;
1-17 (3) the area consists primarily of undeveloped land
1-18 that is contiguous to an airport of a municipality with a
1-19 population of more than 400,000; and
1-20 (4) the area is in a municipal utility district.
1-21 (b) The board may designate a reinvestment zone under this
1-22 section only if the board:
1-23 (1) conducts a public hearing on the proposed
1-24 designation at which persons may speak and present evidence for or
2-1 against the designation; and
2-2 (2) finds that the designation would contribute to:
2-3 (A) the retention or expansion of primary
2-4 employment in the zone or attract major investment to the zone that
2-5 would benefit property in the zone; and
2-6 (B) the economic development of the district.
2-7 (c) The board shall give notice of the hearing in the manner
2-8 required for a hearing under Section 312.201.
2-9 (d) The designation of a reinvestment zone expires on the
2-10 10th anniversary of the date of the designation and may be renewed
2-11 for periods not to exceed five years. The expiration of a
2-12 designation does not affect a tax abatement agreement made under
2-13 this subchapter that is in effect on the date the designation
2-14 expires.
2-15 (e) Territory that is located in a reinvestment zone
2-16 designated by a municipality under Subchapter B or in a
2-17 reinvestment zone designated by a county under Subchapter C is not
2-18 ineligible to be included in the area designated by the district
2-19 under this section.
2-20 (f) In this section, "wealth per student" and "equalized
2-21 wealth level" have the meanings assigned those terms by Section
2-22 36.001, Education Code.
2-23 Sec. 312.502. SCHOOL DISTRICT TAX ABATEMENT AGREEMENT. (a)
2-24 The board of trustees of a school district may agree with the owner
2-25 of taxable real property located in a reinvestment zone designated
2-26 under this subchapter to abate ad valorem taxes that the district
2-27 imposes on the property if the owner agrees to donate to the school
3-1 district real property in an amount and at a location acceptable to
3-2 the district that has been prepared in the manner specified by the
3-3 district for construction of a school building. The tax abatement
3-4 agreement does not take effect until the donation is made.
3-5 (b) Sections 312.204, 312.2041, 312.205, and 312.208 apply
3-6 to an agreement executed under this section as if the agreement
3-7 were executed under Subchapter B.
3-8 (c) A tax abatement agreement made by another taxing unit
3-9 under this chapter does not affect the authority of a school
3-10 district to make a tax abatement agreement under this section.
3-11 (d) A tax abatement agreement made by a school district
3-12 under this section does not affect the authority of another taxing
3-13 unit to make a tax abatement agreement under this chapter.
3-14 (e) Real property that is owned or leased by a member of the
3-15 board of trustees of the school district may not be subject to a
3-16 tax abatement agreement under this section.
3-17 SECTION 2. Section 312.006, Tax Code, is repealed.
3-18 SECTION 3. The importance of this legislation and the
3-19 crowded condition of the calendars in both houses create an
3-20 emergency and an imperative public necessity that the
3-21 constitutional rule requiring bills to be read on three several
3-22 days in each house be suspended, and this rule is hereby suspended,
3-23 and that this Act take effect and be in force from and after its
3-24 passage, and it is so enacted.