JKM H.B. 1526 75(R) BILL ANALYSIS ECONOMIC DEVELOPMENT H.B. 1526 By: Oliveira 3-4-97 Committee Report (Amended) BACKGROUND Cities and counties that grant tax abatements must report to the comptroller's office for taxing purposes and to the Department of Commerce for purposes of maintaining a registry of tax abatement agreements. The reporting requirements are duplicative and often communities fail to report to Commerce because of lack of knowledge of that reporting requirement. Consequently, it is feared the registry is incomplete. During the legislative interim, the House Economic Development Committee recommended the Legislature consolidate reporting requirements into one agency PURPOSE To consolidate reporting requirements of tax abatements and reinvestment zones into one agency. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 312.005 (a) of the Tax Code by replacing the Texas Department of Commerce with the comptroller as the designated agency to maintain a central registry of reinvestment zones and of ad valorem tax abatement agreements. (b) Replaces the Department of Commerce with the comptroller's office as the agency authorized to provide administrative assistance to a taxing unit. Gives the department and the comptroller authority to provide technical assistance to a local governing body regarding designation of reinvestment zones, the adoption of tax abatement guidelines, and the execution of tax abatement agreements. SECTION 2. This act takes effect September 1, 1997 SECTION 3. Emergency clause. EXPLANATION OF AMENDMENTS Amendment #1. Amends 312.005, Tax Code, to remove the requirement that taxing units report to the Department of Commerce.