By: Sibley S.B. No. 932
A BILL TO BE ENTITLED
AN ACT
1-1 relating to abolishing the Texas Department of Commerce and
1-2 transferring its powers and duties to the newly created Texas
1-3 Department of Economic Development and Tourism and to certain other
1-4 economic development programs in the state.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. The heading to Chapter 481, Government Code, is
1-7 amended to read as follows:
1-8 CHAPTER 481. TEXAS DEPARTMENT OF ECONOMIC DEVELOPMENT AND
1-9 TOURISM [COMMERCE]
1-10 SECTION 2. Section 481.001, Government Code, is amended to
1-11 read as follows:
1-12 Sec. 481.001. DEFINITIONS. In this chapter:
1-13 (1) "Governing [Policy] board" means the governing
1-14 [policy] board of [to] the department.
1-15 (2) "Bond" includes a note, draft, bill, warrant,
1-16 debenture, certificate, or other evidence of indebtedness.
1-17 (3) "Border region" means the area composed of the
1-18 counties of Brewster, Cameron, Culberson, Dimmit, El Paso, Hidalgo,
1-19 Hudspeth, Jeff Davis, Kinney, La Salle, Maverick, Presidio, Starr,
1-20 Terrell, Val Verde, Webb, Willacy, Zapata, and Zavala.
1-21 (4) "Department" means the Texas Department of
1-22 Economic Development and Tourism [Commerce].
1-23 SECTION 3. Section 481.002, Government Code, is amended to
2-1 read as follows:
2-2 Sec. 481.002. DEPARTMENT. The Texas Department of Economic
2-3 Development and Tourism [Commerce] is an agency of the state.
2-4 SECTION 4. Section 481.003, Government Code, is amended to
2-5 read as follows:
2-6 Sec. 481.003. SUNSET PROVISION. The Texas Department of
2-7 Economic Development and Tourism [Commerce] is subject to Chapter
2-8 325 (Texas Sunset Act). Unless continued in existence as provided
2-9 by that chapter, the department is abolished and this chapter
2-10 expires September 1, 2001.
2-11 SECTION 5. Section 481.004, Government Code, is amended to
2-12 read as follows:
2-13 Sec. 481.004. GOVERNING [POLICY] BOARD. (a) The governing
2-14 [policy] board is composed of nine[:]
2-15 [(1) six] public members appointed by the governor
2-16 with the advice and consent of the senate, which members shall be
2-17 appointed to give geographical representation on the governing
2-18 [policy] board to all regions of the state[; and]
2-19 [(2) the following ex officio members:]
2-20 [(A) the chairperson of the State Job Training
2-21 Coordinating Council and the chairperson shall in no event be
2-22 permitted to claim or receive state per diem for service on the
2-23 policy board;]
2-24 [(B) the presiding officer of the International
2-25 Trade Commission; and]
3-1 [(C) the presiding officer of the Texas-Mexico
3-2 Authority].
3-3 (b) Members [Appointed members] of the governing [policy]
3-4 board serve for six-year terms with the terms of three [two]
3-5 members expiring February 1 of each odd-numbered year. [Ex officio
3-6 members have the same powers and duties as appointed members.]
3-7 (c) Appointments to the governing [policy] board shall be
3-8 made without regard to the race, color, handicap, sex, religion,
3-9 age, or national origin of the appointees.
3-10 (d) In making appointments under this section, the governor
3-11 shall attempt to include members of different minority groups
3-12 including females, African Americans, Hispanic Americans, Native
3-13 Americans, Asian Americans, and persons who are disabled.
3-14 (e) At least one member of the governing [policy] board must
3-15 be a resident of a county with a population of less than 30,000, at
3-16 least one other member must have experience in international trade,
3-17 and at least one other member must have experience in tourism.
3-18 SECTION 6. Section 481.0041, Government Code, is amended to
3-19 read as follows:
3-20 Sec. 481.0041. REMOVAL OF GOVERNING [POLICY] BOARD MEMBERS.
3-21 (a) It is a ground for removal from the governing [policy] board
3-22 if a member:
3-23 (1) does not have at the time of appointment the
3-24 qualifications required by Section 481.0042;
3-25 (2) does not maintain during service on the governing
4-1 [policy] board the qualifications required by Section 481.0042;
4-2 (3) violates a prohibition established by Section
4-3 481.0042;
4-4 (4) cannot discharge the member's duties for a
4-5 substantial part of the term for which the member is appointed
4-6 because of illness or disability; or
4-7 (5) is absent from more than half of the regularly
4-8 scheduled governing [policy] board meetings that the member is
4-9 eligible to attend during a calendar year unless the absence is
4-10 excused by majority vote of the governing [policy] board.
4-11 (b) The validity of an action of the governing [policy]
4-12 board is not affected by the fact that it is taken when a ground
4-13 for removal of a governing [policy] board member exists.
4-14 (c) If the executive director has knowledge that a potential
4-15 ground for removal exists, the executive director shall notify the
4-16 presiding officer of the governing [policy] board of the ground.
4-17 The presiding officer shall then notify the governor that a
4-18 potential ground for removal exists.
4-19 SECTION 7. Subsections (a), (b), and (e), Section 481.0042
4-20 Government Code, are amended to read as follows:
4-21 (a) A person may not serve as a public member of the
4-22 governing [policy] board or be the executive director or an
4-23 employee of the department if the person:
4-24 (1) is employed by, participates in the management of,
4-25 or is a paid consultant of a business entity that contracts with
5-1 the department;
5-2 (2) owns or controls, directly or indirectly, more
5-3 than a 10 percent interest in a business entity or other
5-4 organization that contracts with the department;
5-5 (3) uses or receives a substantial amount of tangible
5-6 goods, services, or funds from the department, other than
5-7 compensation or reimbursement authorized by law for employee
5-8 salaries and benefits or for governing [policy] board membership,
5-9 attendance, and expenses; or
5-10 (4) is an officer, employee, or paid consultant of a
5-11 trade association of businesses that contracts with the department.
5-12 (b) A person may not serve as a public member of the
5-13 governing [policy] board or be the executive director or an
5-14 employee of the department if the person's spouse:
5-15 (1) participates in the management of or is a paid
5-16 consultant of a business entity that contracts with the department;
5-17 (2) owns or controls, directly or indirectly, more
5-18 than a 10 percent interest in a business entity or other
5-19 organization that contracts with the department;
5-20 (3) uses or receives a substantial amount of tangible
5-21 goods, services, or funds from the department; or
5-22 (4) is an officer, manager, or paid consultant of a
5-23 trade association of businesses that contracts with the department.
5-24 (e) A person may not be a member of the governing [policy]
5-25 board or the executive director or an employee of the department if
6-1 the person is required to register as a lobbyist under Chapter
6-2 305[, Government Code,] because of the person's activities for
6-3 compensation on behalf of a business entity that has an interest in
6-4 a contract with the department or a profession related to the
6-5 operation of the department.
6-6 SECTION 8. Section 481.0043, Government Code, is amended to
6-7 read as follows:
6-8 Sec. 481.0043. OFFICERS; COMPENSATION; MEETINGS. (a) The
6-9 governor designates the presiding officer of the governing [policy]
6-10 board. The governing [policy] board shall elect from among its
6-11 members an assistant presiding officer and a secretary.
6-12 (b) The governing [policy] board shall meet at least eight
6-13 times each year [quarterly].
6-14 (c) A member of the governing [policy] board may not receive
6-15 compensation for service on the governing [policy] board. A member
6-16 is entitled to receive reimbursement, subject to any applicable
6-17 limitation on reimbursement provided by the General Appropriations
6-18 Act, for actual and necessary expenses incurred in performing
6-19 services as a member of the governing [policy] board.
6-20 (d) The governing [policy] board shall develop and implement
6-21 policies that provide the public with a reasonable opportunity to
6-22 appear before the governing [policy] board and to speak on any
6-23 issue under the jurisdiction of the governing [policy] board.
6-24 SECTION 9. Section 481.0044, Government Code, is amended to
6-25 read as follows:
7-1 Sec. 481.0044. GENERAL POWERS AND DUTIES. (a) The
7-2 governing [policy] board shall adopt rules necessary for the
7-3 administration of department programs and may adopt rules for its
7-4 internal management and control.
7-5 (b) The governing [policy] board shall perform the duties
7-6 assigned to the department under this chapter or other law.
7-7 (c) The governing [policy] board possesses the powers and
7-8 shall perform the duties assigned by law to the department.
7-9 (d) The governing [policy] board shall report to the
7-10 governor annually and to the legislature at each regular session on
7-11 the department's activities. The report must include:
7-12 (1) a description of the activities of the governing
7-13 board and the department during the preceding calendar year;
7-14 (2) a description of the efforts of the governing
7-15 board and the department to promote and market the department's
7-16 economic development programs and services, including the Texas
7-17 Business and Community Economic Development Clearinghouse;
7-18 (3) a description of the efforts of the governing
7-19 board and the department to obtain federal and private funding to
7-20 accomplish the goals of the department;
7-21 (4) recommendations to the legislature on issues
7-22 related to economic development and the business climate of the
7-23 state;
7-24 (5) information pertaining to the implementation of
7-25 the strategic plan developed under Subchapter C; and
8-1 (6) an assessment of the effectiveness of the
8-2 agreements executed under Section 481.028(b). [The policy board
8-3 may make recommendations in those reports on matters under its
8-4 jurisdiction.]
8-5 SECTION 10. Section 481.005, Government Code, is amended to
8-6 read as follows:
8-7 Sec. 481.005. EXECUTIVE DIRECTOR; GOVERNING [POLICY] BOARD
8-8 DUTIES. (a) The governing board [governor] shall employ an
8-9 [appoint the] executive director of the department who [with the
8-10 advice and consent of the senate. The executive director] serves
8-11 at the pleasure of the governing board [a two-year term expiring
8-12 February 1 of each odd-numbered year].
8-13 (b) The executive director shall execute a bond payable to
8-14 the state in an amount set by the members of the governing [policy]
8-15 board conditioned on the faithful performance of the duties of the
8-16 position [office]. Premiums for the bond are payable from
8-17 appropriations to the department. The executive director must have
8-18 demonstrated experience in the areas of economic development or
8-19 tourism and executive and organizational ability.
8-20 (c) The executive director shall manage the affairs of the
8-21 department under the direction of the governing board. The
8-22 executive director shall provide administrative support to the
8-23 members of the governing [policy] board that is necessary for the
8-24 performance of the functions of the members.
8-25 (d) The members of the governing [policy] board shall direct
9-1 the activities of the department and, in performing that duty,
9-2 shall establish policy, adopt rules, evaluate the implementation of
9-3 new legislation that affects the department's duties, review and
9-4 comment on the department's budget, prepare an annual report of the
9-5 department's activities, conduct investigations and studies, and
9-6 develop long-range plans for the future goals and needs of the
9-7 department. The members of the governing [policy] board may not be
9-8 involved in the daily operation of the department. [Except for
9-9 duties related to the approval and issuance of bonds by the
9-10 department, the policy board may delegate to the executive director
9-11 the duties of the policy board under this chapter and other law
9-12 that are not covered by the description of the members' duties
9-13 under this subsection.]
9-14 SECTION 11. Subsection (a), Section 481.006, Government
9-15 Code, is amended to read as follows:
9-16 (a) The governing board [executive director] shall establish
9-17 the divisions within the department, which may include:
9-18 (1) an administrative division;
9-19 (2) an information and referral [a promotion and
9-20 marketing] division;
9-21 (3) a research[, planning,] and data services
9-22 division;
9-23 (4) a [domestic] business development division;
9-24 (5) an international trade [business development]
9-25 division;
10-1 (6) a promotion and marketing [job training] division;
10-2 and
10-3 (7) a tourism division.
10-4 SECTION 12. Subchapter A, Chapter 481, Government Code, is
10-5 amended by adding Section 481.0065 to read as follows:
10-6 Sec. 481.0065. OFFICE OF DEFENSE AFFAIRS. (a) The
10-7 department shall establish and maintain an Office of Defense
10-8 Affairs.
10-9 (b) The Office of Defense Affairs shall:
10-10 (1) conduct a statewide assessment of active military
10-11 installations and current missions to prepare a proactive statewide
10-12 strategy to prevent future defense closures and realignments;
10-13 (2) use the assessment conducted under Subdivision (1)
10-14 to assist defense-dependent communities to develop a long-term
10-15 strategy to prepare for future base realignments and closures;
10-16 (3) provide information to defense-dependent
10-17 communities regarding federal actions affecting military
10-18 installations and missions;
10-19 (4) serve as a clearinghouse for defense economic
10-20 adjustment and transition information and activities; and
10-21 (5) provide assistance to defense-dependent
10-22 communities that have experienced a defense-related closure or
10-23 realignment.
10-24 (c) The department may enter into an agreement with a
10-25 private contractor to perform the assessment required under
11-1 Subsection (b).
11-2 SECTION 13. Section 481.007, Government Code, is amended to
11-3 read as follows:
11-4 Sec. 481.007. ADVISORY COMMITTEES [BOARDS]. The executive
11-5 director or the governing [policy] board may appoint advisory
11-6 committees to assist the executive director or the governing
11-7 [policy] board in the performance of their duties. A member of an
11-8 advisory committee appointed by the executive director or the
11-9 governing [policy] board may not receive compensation for service
11-10 on the advisory committee. A member appointed under this section
11-11 is entitled to receive reimbursement, subject to any applicable
11-12 limitation on reimbursement provided by the General Appropriations
11-13 Act, for actual and necessary expenses included in performing
11-14 service as a member of the advisory committee.
11-15 SECTION 14. Subsections (a), (b), and (c), Section 481.010,
11-16 Government Code, are amended to read as follows:
11-17 (a) The executive director shall employ personnel necessary
11-18 for the performance of department functions. In addition to other
11-19 personnel, the executive director shall employ a human rights
11-20 officer and an internal auditor. The internal auditor shall report
11-21 directly to the governing [policy] board and may consult with the
11-22 executive director or the executive director's designee.
11-23 (b) The executive director shall provide to governing
11-24 [policy] board members and department employees, as often as
11-25 necessary, information regarding their qualifications for office or
12-1 employment under this chapter and their responsibilities under
12-2 applicable laws relating to standards of conduct for state officers
12-3 or employees.
12-4 (c) The governing [policy] board and executive director
12-5 shall jointly develop and implement policies that clearly define
12-6 the respective responsibilities of the members of the governing
12-7 [policy] board and the executive director and staff of the
12-8 department in accordance with this chapter.
12-9 SECTION 15. Subsections (c) and (d), Section 481.012,
12-10 Government Code, are amended to read as follows:
12-11 (c) The governing [policy] board shall prepare and maintain
12-12 a written plan that describes how a person who does not speak
12-13 English can be provided reasonable access to the department's
12-14 programs. The governing [policy] board shall also comply with
12-15 federal and state laws for program and facility accessibility.
12-16 (d) The governing [policy] board by rule shall establish
12-17 methods by which consumers and service recipients are notified of
12-18 the name, mailing address, and telephone number of the department
12-19 for the purpose of directing complaints to the department.
12-20 SECTION 16. Section 481.022, Government Code, is amended to
12-21 read as follows:
12-22 Sec. 481.022. GENERAL DUTIES OF DEPARTMENT. [(a)] The
12-23 department shall [plan, organize, and implement programs for]:
12-24 (1) facilitate the location, expansion, and retention
12-25 of domestic and international business investment to the
13-1 [attracting and locating new businesses in this] state;
13-2 (2) provide statewide toll-free information and
13-3 referrals for business and community economic development
13-4 [encouraging the growth and expansion of existing businesses,
13-5 including tourism, in this state];
13-6 (3) promote and administer business and community
13-7 economic development programs and services in the state [working
13-8 with local governments and organizations to improve their
13-9 communities]; [and]
13-10 (4) provide to businesses in the state assistance with
13-11 exporting products and services to international markets;
13-12 (5) promote the state as a premier tourist and
13-13 business travel destination;
13-14 (6) provide businesses and local communities with
13-15 timely and useful research and data services;
13-16 (7) aggressively market and promote the business
13-17 climate in the state and the state economic development business
13-18 assistance programs and services through the use of available media
13-19 and resources, including the Internet; and
13-20 (8) seek funding of the department programs and
13-21 activities from federal, state, and private sources [emphasizing
13-22 rural economic development].
13-23 [(b) To carry out its duties, the department shall:]
13-24 [(1) promote this state as a location for business
13-25 activity and an attraction for tourism;]
14-1 [(2) prepare and administer a statewide business
14-2 development program designed to create job opportunities and
14-3 increase personal income throughout this state;]
14-4 [(3) prepare and administer a program of
14-5 encouragement, support, and development of small and minority
14-6 business ownership throughout this state;]
14-7 [(4) stimulate the expansion of international markets
14-8 for products and services from this state and encourage foreign
14-9 business development in this state;]
14-10 [(5) assist local governments with advisory and
14-11 technical services in matters relating to community and economic
14-12 development;]
14-13 [(6) provide financial aid to local governments for
14-14 programs authorized by law to receive the assistance;]
14-15 [(7) act as an information center and referral agency
14-16 for information of state and federal programs affecting business
14-17 and local government;]
14-18 [(8) conduct research on problems relating to
14-19 community and economic development in this state;]
14-20 [(9) collect, publish, and disseminate information
14-21 useful to local governments and businesses, including data on
14-22 employment, housing, population characteristics, and land use
14-23 patterns in the state;]
14-24 [(10) encourage cooperation between local governments,
14-25 businesses, and the public, if appropriate;]
15-1 [(11) advise and inform the governor and the
15-2 legislature concerning matters relating to community and economic
15-3 development and make recommendations for necessary action;]
15-4 [(12) coordinate the development of training programs
15-5 between appropriate state agencies and educational institutions to
15-6 prepare this state's labor force to meet changing economic
15-7 circumstances;]
15-8 [(13) work with local governments, local economic
15-9 development organizations, and small business development centers
15-10 to develop a referral system to promote community and economic
15-11 development throughout this state;]
15-12 [(14) plan and implement a concerted, targeted effort
15-13 to more effectively address pressing economic problems and to
15-14 maximize the potential of the border region for the benefit of the
15-15 entire state;]
15-16 [(15) work with local community efforts to use federal
15-17 funds to meet community needs, particularly in providing social and
15-18 emergency services to residents of this state having low incomes;]
15-19 [(16) encourage maquiladora projects; and]
15-20 [(17) pay for tourism and other business recruitment
15-21 expenses.]
15-22 SECTION 17. Section 481.023, Government Code, is amended to
15-23 read as follows:
15-24 Sec. 481.023. ADMINISTRATION OF OTHER STATUTES. (a) The
15-25 department shall perform the administrative duties [formerly
16-1 assigned to the Texas Economic Development Commission including
16-2 duties] prescribed under:
16-3 (1) the Act for Development of Employment, Industrial
16-4 and Health Resources of 1971 (Article 5190.1, Vernon's Texas Civil
16-5 Statutes); and
16-6 (2) [Chapter 696, Acts of the 69th Legislature,
16-7 Regular Session, 1985 (Article 5190.4a, Vernon's Texas Civil
16-8 Statutes), relating to industrial training programs; and]
16-9 [(3)] the Development Corporation Act of 1979 (Article
16-10 5190.6, Vernon's Texas Civil Statutes).
16-11 (b) The department shall perform the administrative duties
16-12 formerly assigned to the Texas Economic Development Commission and
16-13 the Enterprise Zone Board under Chapter 2303.
16-14 (c) The department may not use general revenue funds to
16-15 support the Texas leverage fund [shall perform the administrative
16-16 duties formerly assigned to the Texas Department of Community
16-17 Affairs under Chapter 301, Labor Code, and the community
16-18 development block grant program].
16-19 [(d) Any business or industry seeking employee training,
16-20 retraining, or manpower development services at public expense may
16-21 request assistance from the department. The department shall seek
16-22 advice from the Texas Higher Education Coordinating Board in
16-23 identifying the appropriate institution of higher education to
16-24 provide such services. The rules of the coordinating board
16-25 concerning out-of-district and off-campus courses developed to
17-1 assist industrial start-up and employee upgrading apply in
17-2 providing those services. The department and the coordinating
17-3 board shall ensure that appropriate rules are developed to apply to
17-4 any entities involved in the delivery of education and training for
17-5 industrial start-up and employee upgrading that are not currently
17-6 covered.]
17-7 SECTION 18. Subsections (a) and (f), Section 481.024,
17-8 Government Code, are amended to read as follows:
17-9 (a) The Texas Economic Development Corporation on behalf of
17-10 the state shall carry out the public purposes of this chapter. The
17-11 creation of the corporation does not limit or impair the rights,
17-12 powers, and duties of the department provided by this chapter. The
17-13 corporate existence of the Texas Economic Development Corporation
17-14 begins on the issuance of a certificate of incorporation by the
17-15 secretary of state. The members of the governing [policy] board
17-16 serve ex officio as the board of directors of the corporation. The
17-17 corporation has the powers and is subject to the limitations
17-18 provided for the department by this chapter in carrying out the
17-19 public purposes of this chapter. The corporation has the rights
17-20 and powers of a nonprofit corporation incorporated under the Texas
17-21 Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's
17-22 Texas Civil Statutes) except to the extent inconsistent with this
17-23 section. The corporation may contract with the department and with
17-24 bond counsel, financial advisors, or underwriters as its board of
17-25 directors considers necessary.
18-1 (f) The [Texas Economic Development Foundation, the] Texas
18-2 Economic Development Corporation[,] and any other corporation whose
18-3 charter specifically dedicates the corporation's activities to the
18-4 benefit of the Texas Department of Economic Development and Tourism
18-5 [Commerce] shall file an annual report of the financial activity of
18-6 the corporation. The annual report shall be filed prior to the
18-7 90th day after the last day for the corporation's fiscal year and
18-8 shall be prepared in accordance with generally accepted accounting
18-9 principles. The report must include a statement of support,
18-10 revenue, and expenses and change in fund balances, a statement of
18-11 functional expenses, and balance sheets for all funds.
18-12 SECTION 19. Subsection (b), Section 481.028, Government
18-13 Code, is amended to read as follows:
18-14 (b) The department shall enter into an agreement as required
18-15 by Subsection (a) with the:
18-16 (1) Department of Agriculture regarding each agency's
18-17 international marketing efforts and business finance programs;
18-18 (2) Texas Workforce [Employment] Commission regarding
18-19 the skills development fund, and the dissemination of
18-20 employment-related data, statistics, and analyses, and the use of
18-21 field offices to distribute information of interest to businesses
18-22 and communities in the state, including applications for Smart Jobs
18-23 grants[, Texas Higher Education Coordinating Board, and Central
18-24 Education Agency regarding each agency's work force development
18-25 efforts and literacy programs];
19-1 (3) General Land Office regarding each agency's rural
19-2 economic development efforts;
19-3 (4) Texas Department of Housing and Community Affairs
19-4 regarding each agency's community development programs;
19-5 (5) Texas Department of Transportation and Parks and
19-6 Wildlife Department regarding each agency's efforts to promote
19-7 tourism;
19-8 (6) Texas Natural Resource Conservation Commission
19-9 regarding small business finance and permits, the marketing of
19-10 recyclable products, and business permits;
19-11 (7) office of the [state] comptroller regarding the
19-12 dissemination of economic data, statistics, [development] and
19-13 analyses and the use of field offices to distribute information to
19-14 businesses and local communities in the state;
19-15 (8) Texas Historical Commission regarding community
19-16 preservation, restoration, and revitalization;
19-17 (9) [Texas Department of Human Services regarding work
19-18 force development;]
19-19 [(10)] General Services Commission regarding providing
19-20 procurement information, certification, and technical assistance to
19-21 small and historically underutilized businesses;
19-22 (10) [(11)] Alternative Fuels Council regarding the
19-23 promotion of alternative fuels; and
19-24 (11) [(12)] institutions of higher education regarding
19-25 work force development, literacy, and technology transfer.
20-1 SECTION 20. Section 481.029, Government Code, is amended to
20-2 read as follows:
20-3 Sec. 481.029. COST RECOVERY. The department shall recover
20-4 the cost of providing direct technical assistance, [and] management
20-5 training services, and other services to businesses and communities
20-6 when reasonable and practical.
20-7 SECTION 21. Subchapter C, Chapter 481, Government Code, is
20-8 amended to read as follows:
20-9 SUBCHAPTER C. TEXAS STRATEGIC ECONOMIC DEVELOPMENT
20-10 PLANNING COMMISSION [POLICY]
20-11 Sec. 481.0301. DEFINITION. In this subchapter, "commission"
20-12 means the Texas Strategic Economic Development Planning Commission.
20-13 Sec. 481.031. COMMISSION [LEGISLATIVE FINDINGS; INTENT].
20-14 (a) The Texas Strategic Economic Development Planning Commission
20-15 is composed of [The legislature finds that]:
20-16 (1) 10 public members appointed by the governor [the
20-17 changing nature of the state's economy requires a more diversified
20-18 approach to promote economic growth and job creation]; and
20-19 (2) the following ex officio members:
20-20 (A) the presiding officer of the Science and
20-21 Technology Council or the presiding officer's designee;
20-22 (B) the presiding officer of the governing board
20-23 of the department or the presiding officer's designee;
20-24 (C) the presiding officer of the Texas
20-25 Department of Housing and Community Affairs or the presiding
21-1 officer's designee;
21-2 (D) the presiding officer of the Texas Workforce
21-3 Commission or the presiding officer's designee; and
21-4 (E) the comptroller or the comptroller's
21-5 designee [the state does not have a long-term economic development
21-6 policy and has suffered from lack of a long-term plan in its
21-7 attempt to resolve the economic problems that continue to plague
21-8 the state].
21-9 (b) The governor shall designate a presiding officer and an
21-10 assistant presiding officer from among the members [It is the
21-11 policy of this state, in the interest of promoting the general
21-12 welfare, to formulate a comprehensive plan for diversifying and
21-13 developing the economy of the state].
21-14 (c) The commission shall meet at least quarterly and shall
21-15 hold special meetings at the call of the governor.
21-16 (d) A public member of the commission is not entitled to
21-17 compensation but is entitled to reimbursement of travel expenses
21-18 incurred by the member while conducting the business of the
21-19 commission, as provided by the General Appropriations Act.
21-20 (e) The governor's office shall provide the administrative
21-21 support necessary to carry out the purposes of this chapter. The
21-22 governor may enter into an agreement with a private contractor to
21-23 compile information for the strategic plan required under Section
21-24 481.032.
21-25 (f) The commission shall work with other state agencies that
22-1 impact economic development in the state.
22-2 (g) An affirmative vote of a majority of the entire
22-3 membership of the commission is necessary for an action of the
22-4 commission.
22-5 Sec. 481.032. DUTIES OF COMMISSION [AND FUNCTIONS].
22-6 (a) The commission [department] shall:
22-7 (1) develop a comprehensive, long-range domestic and
22-8 international strategic plan for economic development in
22-9 [diversifying and developing the economy of] the state;
22-10 (2) develop strategies to encourage investment in
22-11 rural and distressed areas of the state, including the border
22-12 region;
22-13 (3) examine the competitive advantages and
22-14 disadvantages of this state as a place to do business and make
22-15 recommendations for improving the business climate of the state;
22-16 (4) develop measurable economic development goals and
22-17 propose specific courses of action to meet those goals [(3)
22-18 evaluate the performance of existing state economic development
22-19 efforts for consistency and coordination and for their effect on
22-20 job creation and evaluate the long-term benefits to the state of
22-21 those efforts];
22-22 (5) study the potential for establishing a permanent
22-23 mechanism for use by state agencies to communicate on economic
22-24 development issues [(4) review economic development policy
22-25 recommendations made by other agencies or organizations and
23-1 recommend to the governor and legislature those strategies,
23-2 policies, and programs that the department considers to be in the
23-3 best interest of the state]; and
23-4 (6) [(5)] study the economic development programs and
23-5 policies of other states and determine the feasibility of adapting
23-6 those programs or policies for implementation in this state.[;]
23-7 (b) The commission may:
23-8 (1) [(6) undertake specialized studies and prepare
23-9 specialized reports;]
23-10 [(7)] hold public hearings and receive recommendations
23-11 from interested persons;
23-12 (2) [(8)] as appropriate, appoint task forces or other
23-13 panels [from within or outside the membership of the department] to
23-14 study and report on specific issues, including international trade
23-15 and direct foreign investment;
23-16 [(9) conduct a biennial review of economic development
23-17 activities in the state;] and
23-18 (3) [(10)] perform other duties and functions
23-19 necessary to carry out the purposes of this chapter.
23-20 Sec. 481.033. STRATEGIC PLAN [POLICY AND PROGRAM
23-21 RECOMMENDATIONS]. (a) Before November 1, 1998, the commission
23-22 shall submit to the governor, lieutenant governor, and speaker of
23-23 the house of representatives a strategic plan for economic
23-24 development. A copy of the strategic plan shall also be
23-25 distributed to other state agencies that affect the economic
24-1 development of the state.
24-2 (b) The governing board and the department shall provide
24-3 oversight for the implementation of the strategic plan.
24-4 Sec. 481.034. ABOLITION OF COMMISSION. The Texas Strategic
24-5 Economic Development Policy Commission is abolished and this
24-6 subchapter expires February 1, 1999. [The department may recommend
24-7 policies and programs for:]
24-8 [(1) fostering the creation of new businesses,
24-9 including high technology businesses, and the retention and
24-10 expansion of existing business enterprises;]
24-11 [(2) increasing the availability of capital for
24-12 business start-ups and expansions;]
24-13 [(3) encouraging and strengthening local economic
24-14 development efforts and improving coordination between state and
24-15 local economic development activities;]
24-16 [(4) improving the skills of the state's work force
24-17 and enhancing the coordination of state and local job training and
24-18 retraining activities;]
24-19 [(5) improving agricultural productivity and otherwise
24-20 maximizing the state's agricultural capabilities;]
24-21 [(6) attracting new industries and investment to the
24-22 state;]
24-23 [(7) developing the state's university-based and
24-24 private sector research and development resources and obtaining
24-25 additional federal research and development funding;]
25-1 [(8) establishing more effective working relationships
25-2 among state agencies engaged in economic development functions;]
25-3 [(9) increasing the export of the state's agricultural
25-4 products and other goods;]
25-5 [(10) enhancing tourism; and]
25-6 [(11) establishing state economic development offices
25-7 in foreign countries.]
25-8 SECTION 22. The heading to Subchapter D, Chapter 481,
25-9 Government Code, is amended to read as follows:
25-10 SUBCHAPTER D. INTERNATIONAL [WORLD] TRADE
25-11 SECTION 23. Section 481.041, Government Code, is amended to
25-12 read as follows:
25-13 Sec. 481.041. LEGISLATIVE FINDINGS. The legislature finds
25-14 that:
25-15 (1) the development and expansion of international
25-16 trade and the export of products and services from this state to
25-17 foreign purchasers are essential to the economic growth of the
25-18 state and to the full employment, welfare, and prosperity of its
25-19 citizens; and
25-20 (2) the measures authorized and the assistance
25-21 provided by this subchapter, especially with respect to financing,
25-22 are in the public interest and serve a public purpose of the state
25-23 in promoting the economic welfare of the citizens of the state
25-24 [economically by stimulating the expansion of international markets
25-25 for products and services from this state].
26-1 SECTION 24. Section 481.043, Government Code, is amended to
26-2 read as follows:
26-3 Sec. 481.043. GENERAL POWERS AND DUTIES RELATING TO
26-4 INTERNATIONAL [WORLD] TRADE. [(a)] The department shall:
26-5 (1) provide businesses in the state with technical
26-6 assistance, information, and referrals related to the export of
26-7 products and services, including export finance and international
26-8 business practices [assist, promote, encourage, develop, and
26-9 advance economic prosperity and employment throughout this state by
26-10 fostering the expansion of exports of manufactured goods and
26-11 services to foreign purchasers];
26-12 (2) coordinate the representation of exporters in the
26-13 state at international trade shows, missions, marts, seminars, and
26-14 other appropriate promotional venues;
26-15 (3) cooperate and act in conjunction with other public
26-16 and private organizations to promote and advance export trade
26-17 activities in this state; and
26-18 (4) disseminate trade leads to exporters in the state
26-19 through the use of the Internet and other available media
26-20 [(3) design and implement programs to provide
26-21 financial assistance, particularly to small and medium-sized
26-22 businesses, to support export development;]
26-23 [(4) formulate and develop programs to stimulate and
26-24 encourage increased international trade along the entire border
26-25 region; and]
27-1 [(5) provide financial counseling to potential and
27-2 existing exporters].
27-3 [(b) In carrying out its duties, the department may:]
27-4 [(1) conduct research and analysis relating to:]
27-5 [(A) foreign commerce;]
27-6 [(B) the manner in which business is conducted
27-7 in foreign marketplaces;]
27-8 [(C) methods of stimulating reverse investment;]
27-9 [(D) international tourism; and]
27-10 [(E) governmental incentives and disincentives
27-11 to foreign trade activity in this state;]
27-12 [(2) accept inquiries from foreign businesses and
27-13 governments and introduce the inquiring businesses or governments
27-14 to the appropriate association or state businesses;]
27-15 [(3) cooperate with other persons in developing
27-16 marketing programs and disseminating information about the state
27-17 economy and the opportunities for and advantages of doing business
27-18 in this state;]
27-19 [(4) represent the interests of state businesses
27-20 engaged in foreign trade and aid others representing those
27-21 interests through trade delegations, missions, marts, seminars, and
27-22 other appropriate promotional methods;]
27-23 [(5) recruit foreign capital investment and encourage
27-24 foreign business development in the state;]
27-25 [(6) encourage travel from foreign countries;]
28-1 [(7) seek funding of the department programs and
28-2 activities from federal, state, local, and private sources;]
28-3 [(8) periodically study and report to the legislature
28-4 on the effect of state tax laws on international trade activity in
28-5 this state;]
28-6 [(9) encourage the development of programs by which
28-7 experienced executives from private businesses volunteer their
28-8 services to the state to aid the development of foreign commerce;]
28-9 [(10) collect and distribute to foreign commercial
28-10 libraries directories, catalogs, brochures, and other information
28-11 of value to foreign businesses considering doing business in this
28-12 state;]
28-13 [(11) provide speakers bureau services for civic
28-14 organizations and other private groups in the state;]
28-15 [(12) develop programs of mutual assistance between
28-16 banks, shipping agents, combination export managers, freight
28-17 forwarders, international consultants, ports, and other trade
28-18 intermediaries of this state;]
28-19 [(13) encourage and assist expansion of international
28-20 trade activities of chambers of commerce, development commissions,
28-21 trade associations, ports, and similar organizations in the state;]
28-22 [(14) establish an export finance awareness program to
28-23 provide information to banking organizations about methods used by
28-24 banks to provide financing for businesses engaged in exporting and
28-25 about other state and federal programs to promote and expedite
29-1 export financing;]
29-2 [(15) provide businesses with counseling and
29-3 management programs, technical assistance, advice, and information
29-4 relating to development of export opportunities and programs;]
29-5 [(16) promote export trading companies;]
29-6 [(17) provide for, in cooperation with trade
29-7 associations, chambers of commerce, or other appropriate private
29-8 entities, the establishment of state offices in Asia, Europe, and
29-9 Central and South America to identify export markets for Texas
29-10 services and products, identify sources of investment capital, and
29-11 otherwise represent the interests of the state; and]
29-12 [(18) impose reasonable fees for its programs,
29-13 services, and publications.]
29-14 [(c) In carrying out its duties and powers, the department
29-15 shall give emphasis and priority to matters relating to trade with
29-16 Mexico.]
29-17 SECTION 25. Subsection (a), Section 481.059, Government
29-18 Code, as amended by Chapters 18 and 602, Acts of the 72nd
29-19 Legislature, Regular Session, 1991, is amended to read as follows:
29-20 (a) The Texas exporters loan fund is a fund in the state
29-21 treasury. The fund consists of appropriations or transfers made to
29-22 the fund, [guarantee] fees, other money received from operation of
29-23 the program established by this section, and interest paid on money
29-24 in the fund. [Notwithstanding Section 481.056 of this code, the
29-25 department may deposit proceeds of bonds issued under this chapter
30-1 in the fund.] Money in the fund may be used to establish a reserve
30-2 fund[,] in an amount determined by the department [as appropriate,
30-3 for bonds issued under this chapter or to insure] and [guarantee
30-4 the bonds in any other manner] to carry out the purposes of this
30-5 section. [Reserve funds for the issuance of bonds under Subchapters
30-6 Q and U may only be created on approval of the Product Development
30-7 Advisory Board or the Product Commercialization Advisory Board, as
30-8 applicable.] If any appropriations are made to the department from
30-9 the general revenue fund to carry out this section for a fiscal
30-10 year, at the end of that fiscal year the unexpended balance of
30-11 those appropriations shall be transferred to the Texas exporters
30-12 loan fund.
30-13 SECTION 26. The heading to Subchapter E, Chapter 481,
30-14 Government Code, is amended to read as follows:
30-15 SUBCHAPTER E. [DOMESTIC] BUSINESS DEVELOPMENT--GENERAL PROVISIONS
30-16 SECTION 27. Section 481.071, Government Code, is amended to
30-17 read as follows:
30-18 Sec. 481.071. LEGISLATIVE FINDINGS. The legislature finds
30-19 that:
30-20 (1) the department should focus business development
30-21 efforts on rural areas, the border region, and small business
30-22 [development and expansion of business, commerce, and industry are
30-23 essential to the economic growth of the state and to the full
30-24 employment, welfare, and prosperity of its citizens]; [and]
30-25 (2) the measures authorized by this subchapter and the
31-1 assistance provided by this subchapter, especially with respect to
31-2 financing, are in the public interest and serve a public purpose of
31-3 the state; and
31-4 (3) the department should actively seek private
31-5 funding to supplement the department's marketing and advertising
31-6 efforts [economically by the securing and retaining of private
31-7 business enterprises and the resulting maintenance of a higher
31-8 level of employment, economic activity, and stability].
31-9 SECTION 28. Subchapter E, Chapter 481, Government Code, is
31-10 amended by adding Section 481.0725 to read as follows:
31-11 Sec. 481.0725. GENERAL POWERS AND DUTIES. The department
31-12 shall:
31-13 (1) focus business recruitment, expansion, and
31-14 retention efforts on industry sectors with the highest potential
31-15 for creating high-wage, high-skill jobs;
31-16 (2) provide businesses with site selection assistance
31-17 and communities with investment leads;
31-18 (3) develop a comprehensive business recruitment
31-19 marketing plan;
31-20 (4) participate in international and domestic trade
31-21 shows, trade missions, marketing trips, and seminars; and
31-22 (5) produce and disseminate information through the
31-23 use of available media and resources, including the Internet, to
31-24 promote business assistance programs and the overall business
31-25 climate in the state.
32-1 SECTION 29. Subsection (b), Section 481.073, Government
32-2 Code, is amended to read as follows:
32-3 (b) The governing [policy] board has the powers that are
32-4 necessary to accomplish the purposes of this subchapter, including
32-5 the powers granted to industrial development corporations by
32-6 Section 23 of the Development Corporation Act, except those
32-7 provided by Subsections (a)(7), (8), (9), and (10) of that section,
32-8 and Sections 26, 27, and 29 of that Act.
32-9 SECTION 30. Subsection (a), Section 481.075, Government
32-10 Code, is amended to read as follows:
32-11 (a) The department shall adopt rules to establish criteria
32-12 for determining which users may participate in programs established
32-13 by the department under this subchapter. The department shall
32-14 adopt collateral or security requirements to ensure the full
32-15 repayment of any loan, lease, or installment sale and the solvency
32-16 of any program implemented under this subchapter. The governing
32-17 [policy] board must approve all leases and sale and loan agreements
32-18 made under this subchapter except that the governing [policy] board
32-19 may delegate this approval authority to the executive director.
32-20 SECTION 31. Section 481.077, Government Code, is amended by
32-21 adding Subsection (f) to read as follows:
32-22 (f) The department shall transfer the corporation to the
32-23 private sector not later than June 1, 1999. The department shall
32-24 submit a report to the legislature and the comptroller detailing
32-25 the plan for the transfer not later than December 1, 1997.
33-1 SECTION 32. The heading to Subchapter H, Chapter 481,
33-2 Government Code, is amended to read as follows:
33-3 SUBCHAPTER H. BUSINESS DEVELOPMENT--PERMIT ASSISTANCE [OFFICE]
33-4 SECTION 33. The heading to Subchapter J, Chapter 481,
33-5 Government Code, is amended to read as follows:
33-6 SUBCHAPTER J. BUSINESS DEVELOPMENT--SMART JOBS FUND PROGRAM
33-7 SECTION 34. Section 481.153, Government Code, is amended to
33-8 read as follows:
33-9 Sec. 481.153. RULES. The governing [policy] board shall
33-10 adopt rules as necessary to implement the program.
33-11 SECTION 35. Subsection (b), Section 481.157, Government
33-12 Code, is amended to read as follows:
33-13 (b) The governing [policy] board may adopt rules modifying
33-14 the requirements of Subsection (a) for employers with fewer than 50
33-15 employees and may also adopt rules modifying the requirements of
33-16 Subsection (a) for projects that provide significant economic
33-17 benefits to an entire region of the state.
33-18 SECTION 36. Section 481.172, Government Code, is amended to
33-19 read as follows:
33-20 Sec. 481.172. DUTIES. The department shall:
33-21 (1) promote and advertise within the United States and
33-22 in foreign countries, by radio, television, newspaper, the
33-23 Internet, and other means considered appropriate, tourism in this
33-24 state by non-Texans, including persons from foreign countries, and
33-25 distribute promotional materials through appropriate distribution
34-1 channels [agencies, including the United States Travel and Tourism
34-2 Agency];
34-3 (2) represent the state in domestic and international
34-4 travel trade shows, trade missions, and seminars;
34-5 (3) encourage travel by Texans to this state's scenic,
34-6 historical, natural, agricultural, educational, recreational, and
34-7 other attractions;
34-8 [(3) coordinate and stimulate orderly and accelerated
34-9 development of tourist attractions throughout this state;]
34-10 (4) conduct a public relations campaign to create a
34-11 responsible and accurate national and international image of this
34-12 state;
34-13 (5) use current market research to develop a tourism
34-14 marketing plan to increase travel to the state by domestic and
34-15 international visitors;
34-16 (6) develop methods to attract tourist attractions to
34-17 the state;
34-18 (7) assist communities to develop tourist attractions;
34-19 and
34-20 (8) cooperate fully with the Parks and Wildlife
34-21 Department, the Texas Department of Transportation, the Texas
34-22 Historical Commission, and the Texas Commission on the Arts in all
34-23 matters relating to promotion of tourism[;]
34-24 [(6) cooperate with the Texas Transportation
34-25 Commission in the administration of the commission's collateral
35-1 program of highway map distribution and operation of travel
35-2 information bureaus and other tourist-related functions of the
35-3 commission; and]
35-4 [(7) encourage communities, organizations, and
35-5 individuals in this state to cooperate with its program by their
35-6 activities and use of their own funds and collaborate with those
35-7 organizations and other governmental entities in the pursuit of the
35-8 objectives of this subchapter].
35-9 SECTION 37. The heading to Subchapter N, Chapter 481,
35-10 Government Code, is amended to read as follows:
35-11 SUBCHAPTER N. BUSINESS DEVELOPMENT--[HISTORICALLY UNDERUTILIZED
35-12 BUSINESS AND SMALL BUSINESS] LINKED DEPOSIT PROGRAM
35-13 SECTION 38. Chapter 481, Government Code, is amended by
35-14 adding Subchapters K and P to read as follows:
35-15 SUBCHAPTER K. INFORMATION AND REFERRAL
35-16 Sec. 481.166. LEGISLATIVE FINDINGS. The legislature finds
35-17 that:
35-18 (1) economic development programs and services are
35-19 located in a number of state agencies;
35-20 (2) businesses and communities need a single point of
35-21 contact on business and community economic development programs and
35-22 services; and
35-23 (3) state agencies need to work together to provide
35-24 outreach and assistance to local governments and businesses.
35-25 Sec. 481.167. TEXAS BUSINESS AND COMMUNITY ECONOMIC
36-1 DEVELOPMENT CLEARINGHOUSE. (a) The department shall establish the
36-2 Texas Business and Community Economic Development Clearinghouse to
36-3 provide information and assistance to businesses and communities in
36-4 the state through the use of a statewide toll-free telephone
36-5 service.
36-6 (b) The clearinghouse shall collect and disseminate
36-7 information on federal, state, local, and private:
36-8 (1) business development programs, including financial
36-9 assistance and business incentive programs;
36-10 (2) business development services, including technical
36-11 assistance, workshops, business incubators, training, and useful
36-12 publications;
36-13 (3) rural and urban community economic development
36-14 programs, including loans, grants, and other funding sources;
36-15 (4) rural and urban community economic development
36-16 services, including technical assistance, workshops, training, and
36-17 useful publications;
36-18 (5) small business programs and services and useful
36-19 publications;
36-20 (6) defense economic adjustment programs and services
36-21 and useful publications; and
36-22 (7) international trade programs, services, and useful
36-23 publications.
36-24 (c) The clearinghouse shall provide access to the
36-25 information compiled under this subchapter in a user-friendly
37-1 format through the use of the Internet.
37-2 (d) The department shall obtain from other state agencies
37-3 appropriate information needed by the department to carry out its
37-4 duties under this subchapter.
37-5 (e) The comptroller shall assist the department in
37-6 furthering the purposes of this subchapter by allowing the
37-7 department to use the field offices and personnel of the
37-8 comptroller to disseminate brochures, documents, and other
37-9 information useful to businesses in the state.
37-10 SUBCHAPTER P. RESEARCH AND DATA SERVICES
37-11 Sec. 481.211. POWERS AND DUTIES. The department shall:
37-12 (1) compile and update demographic and economic
37-13 information on the state;
37-14 (2) develop and update information products for local
37-15 communities on community economic development issues and practices
37-16 that encourage regional cooperation; and
37-17 (3) compile and disseminate information on economic
37-18 and industrial development trends and issues, including NAFTA,
37-19 emerging industries, and patterns of international trade and
37-20 investment.
37-21 Sec. 481.212. COMPILATION AND DISTRIBUTION OF DATA AND
37-22 RESEARCH. (a) To serve as a one-stop center for business-related
37-23 information, the department shall obtain from other state agencies
37-24 and organizations, including the comptroller and the Texas
37-25 Workforce Commission, business-related statistics and data.
38-1 (b) To maximize the accessibility of business-related data,
38-2 the department shall create a web site to publish business-related
38-3 information on the Internet. The web site must provide connections
38-4 to other business-related web sites.
38-5 (c) The department may charge a reasonable access fee in
38-6 connection with this subchapter.
38-7 SECTION 39. Chapter 484, Government Code, is amended to read
38-8 as follows:
38-9 CHAPTER 484. TEXAS MANUFACTURING INSTITUTE
38-10 Sec. 484.001. ESTABLISHMENT. The Texas Manufacturing
38-11 Institute shall be established as a nonprofit corporation,
38-12 organized under the Texas Non-Profit Corporation Act (Article
38-13 1396-1.01 et seq., Vernon's Texas Civil Statutes), to carry out the
38-14 purposes of this chapter [consists of governmental agencies,
38-15 educational institutions, and other entities, involved in the
38-16 promotion of manufacturing, that join as members of the institute].
38-17 Sec. 484.002. DUTIES. The institute shall:
38-18 (1) identify needs within Texas' manufacturing
38-19 infrastructure, work to meet those needs, promote Texas'
38-20 manufacturing strengths and capabilities, and communicate the
38-21 importance of manufacturing to the state's economic future;
38-22 (2) develop a program of activities that will improve
38-23 Texas' manufacturing capabilities by enhancing existing research,
38-24 educational, and technical training programs aimed at developing
38-25 and transferring new manufacturing technologies and at increasing
39-1 the skilled work force in manufacturing;
39-2 (3) take all opportunities for cooperation among
39-3 manufacturing programs of participating [its member] institutions;
39-4 (4) encourage the development of the statewide
39-5 manufacturing program among participating [its member]
39-6 institutions, including the areas of microelectronics, electronics
39-7 assembly, automation and robotics, concurrent engineering, computer
39-8 integrated manufacturing, artificial intelligence applications, and
39-9 flexible manufacturing systems; and
39-10 (5) seek opportunities to facilitate cooperative
39-11 efforts among participating institutions [members of the
39-12 institute], other educational institutions in this state, private
39-13 research organizations, industry, and federal laboratories.
39-14 Sec. 484.003. Governing [POLICY] BOARD. The institute is
39-15 governed by an initial [a policy] board of directors composed of
39-16 the executive director of the Texas Department of Economic
39-17 Development and Tourism or the director's designee and one member
39-18 appointed by the lieutenant governor, one member appointed by the
39-19 speaker of the house of representatives, and one member appointed
39-20 by each entity participating in the institute [one member appointed
39-21 by each member institution]. The bylaws of the corporation shall
39-22 provide for a permanent board of directors, which must include the
39-23 executive director of the Texas Department of Economic Development
39-24 and Tourism or the director's designee, a member appointed by the
39-25 lieutenant governor, and a member appointed by the speaker of the
40-1 house of representatives. [The policy board shall elect the
40-2 chairman from among the policy board's members. The chairman
40-3 serves a two-year term. A person who has been chairman is not
40-4 eligible to be elected chairman. The policy board shall establish
40-5 policies and strategies necessary for the institute to accomplish
40-6 the purposes of this chapter.]
40-7 Sec. 484.004. CONFIDENTIALITY [TECHNICAL ADVISORY COUNCIL].
40-8 (a) Information relating to a product or process and the
40-9 application or use of a product or process, technological and
40-10 scientific information, including computer programs, and
40-11 manufacturing and business systems and processes of the customer,
40-12 developed in whole or part by a customer of the institute, are
40-13 confidential and are not subject to disclosure under state law or
40-14 otherwise, regardless of whether the product or process is
40-15 patentable or capable of being registered under copyright or
40-16 trademark laws or has a potential for being sold, traded, or
40-17 licensed for a fee.
40-18 (b) Nothing in this chapter prevents or restricts the
40-19 institute from obtaining information relating to a product or
40-20 process from an applicant or recipient of institute services or
40-21 from obtaining information related to the results of services
40-22 provided to the customer. [The policy board shall appoint a
40-23 technical advisory council to develop recommendations on the
40-24 educational and technical program priorities for the institute.
40-25 The technical advisory council consists of one representative from
41-1 each member institution, together with an equal number of
41-2 representatives from manufacturing industry, a representative of
41-3 community and junior colleges, and a senior representative from a
41-4 professional engineering society. The technical advisory council
41-5 shall be responsible for those activities assigned to it by the
41-6 policy board.]
41-7 Sec. 484.005. PUBLIC [AND PRIVATE] FUNDS. The Texas
41-8 Department of Economic Development and Tourism may contract with
41-9 the institute for the purpose of providing [may receive]
41-10 state-appropriated funds for use [and use the funds] as matching
41-11 funds for federal grants for [proposals and contracts to provide
41-12 specialized equipment and facilities for members of the institute
41-13 and to assist with technology transfer to Texas industry, and as
41-14 seed funds for new] programs and purposes within the scope of the
41-15 institute. The contract must adequately provide for the
41-16 department's oversight of the use of state funds to ensure that
41-17 those funds are being used by the institute in accordance with the
41-18 contract. The institute may accept gifts, donations, and grants,
41-19 including federal funds, to support its purposes and programs.
41-20 Sec. 484.006. IMMUNITY FROM LIABILITY [DISBURSEMENT POLICY].
41-21 (a) A member of the governing board or any person acting on behalf
41-22 of [Disbursement of funds received by] the institute in executing a
41-23 contract, commitment, or agreement under this chapter is not
41-24 personally liable on the contract, commitment, or agreement [shall
41-25 be in accordance with policy determined by the policy board subject
42-1 to the laws of the state and the policies of member institutions.
42-2 The disbursement policy must recognize the state core support for
42-3 each institution, matching requirements for federal grants and
42-4 contracts, and new cooperative initiatives. Disbursement of funds
42-5 shall reflect the division of labor as specified in the submitted
42-6 proposal].
42-7 (b) A member of the board or another person acting on behalf
42-8 of the institute is not personally liable for damage or injury
42-9 resulting from the performance of duties under this chapter.
42-10 Sec. 484.007. TRANSFER TO PRIVATE SECTOR [STAFFING].
42-11 (a) The governing board shall submit a plan for transferring the
42-12 institute to the private sector to the governor, the legislature,
42-13 and the executive director of the Texas Department of Economic
42-14 Development and Tourism not later than December 1, 1997.
42-15 (b) The transfer of the Texas Manufacturing Institute to the
42-16 private sector shall be completed not later than September 1, 1999.
42-17 [Staffing to carry out the purposes of this chapter, to the extent
42-18 required, will be provided by member institutions.]
42-19 SECTION 40. (a) Sections 481.0075, 481.026, 481.042,
42-20 481.044, 481.046, 481.048 through 481.058, 481.060, 481.061,
42-21 481.074, 481.078, 481.081 through 481.0831, 481.0841 through
42-22 481.086, 481.088 through 481.093, and 483.001 through 483.006,
42-23 Government Code, are repealed.
42-24 (b) Subchapters G, I, M, Q, R, S, T, U, V, X, and Y, Chapter
42-25 481, Government Code, are repealed.
43-1 (c) Subchapter AA, Chapter 481, Government Code, as added by
43-2 Chapter 899, Acts of the 73rd Legislature, 1993, is repealed.
43-3 SECTION 41. (a) This Act takes effect September 1, 1997.
43-4 (b) The Texas Department of Commerce is abolished and its
43-5 powers and duties are transferred to the Texas Department of
43-6 Economic Development and Tourism. A reference in law to the Texas
43-7 Department of Commerce means the Texas Department of Economic
43-8 Development and Tourism.
43-9 (c) The terms of office of the members of the policy board
43-10 of the Texas Department of Commerce expire on the effective date of
43-11 this Act. As soon as possible after the effective date of this
43-12 Act, the governor shall make appointments to the governing board of
43-13 the Texas Department of Economic Development and Tourism. In
43-14 making those appointments, the governor shall appoint three members
43-15 to terms expiring February 1, 1999, three to terms expiring
43-16 February 1, 2001, and three to terms expiring February 1, 2003.
43-17 (d) The person appointed to perform the duties of executive
43-18 director of the Texas Department of Commerce abolished by this Act
43-19 may continue to perform those duties and complete the term of
43-20 office.
43-21 (e) The governor or the person appointed by the governor to
43-22 be the presiding officer of the governing board of the Texas
43-23 Department of Economic Development and Tourism may designate a
43-24 person to perform ministerial duties necessary for posting notice
43-25 of and holding the first meeting of the governing board of the
44-1 Texas Department of Economic Development and Tourism.
44-2 (f) The Texas Department of Economic Development and Tourism
44-3 has all the powers and duties provided by law and all the property,
44-4 funds, rules, employees, unspent appropriations, documents, rights,
44-5 and obligations of the abolished Texas Department of Commerce,
44-6 except to the extent the laws governing the Texas Department of
44-7 Commerce's powers and duties are amended by this Act.
44-8 (g) The rules, policies, procedures, and decisions of the
44-9 Texas Department of Commerce are continued in effect as rules,
44-10 policies, procedures, and decisions of the Texas Department of
44-11 Economic Development and Tourism until superseded by a rule or
44-12 other appropriate action of the Texas Department of Economic
44-13 Development and Tourism.
44-14 (h) The validity of a rule, form, or procedure adopted,
44-15 contract or acquisition made, proceeding begun, obligation
44-16 incurred, right accrued, or other action taken by or in connection
44-17 with the authority of the Texas Department of Commerce before it is
44-18 abolished under Subsection (b) of this section is not affected by
44-19 this Act. To the extent those actions continue to have any effect
44-20 on or after September 1, 1997, they are considered to be the
44-21 actions of the Texas Department of Economic Development and
44-22 Tourism.
44-23 (i) The Texas Department of Economic Development and Tourism
44-24 shall utilize existing stationery, supplies, promotional materials,
44-25 and similar items from the Texas Department of Commerce until such
45-1 items have been exhausted.
45-2 SECTION 42. The importance of this legislation and the
45-3 crowded condition of the calendars in both houses create an
45-4 emergency and an imperative public necessity that the
45-5 constitutional rule requiring bills to be read on three several
45-6 days in each house be suspended, and this rule is hereby suspended.