By Giddings                                            H.B. No. 313
         76R2565 CAG-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the creation and powers of a neighborhood empowerment
 1-3     zone.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subtitle A, Title 12, Local Government Code, is
 1-6     amended by adding Chapter 378 to read as follows:
 1-7                 CHAPTER 378.  NEIGHBORHOOD EMPOWERMENT ZONE
 1-8           Sec. 378.001.  DEFINITION.  In this chapter, "zone" means a
 1-9     neighborhood empowerment zone created by a municipality under this
1-10     chapter.
1-11           Sec. 378.002.  CREATION OF ZONE.  A municipality may create a
1-12     neighborhood empowerment zone covering a part of the municipality
1-13     if the municipality determines the creation of the zone would
1-14     promote:
1-15                 (1)  the creation of affordable housing in the zone;
1-16                 (2)  an increase in economic development in the zone;
1-17     or
1-18                 (3)  an increase in the quality of social services,
1-19     education, or public safety provided to residents of the zone.
1-20           Sec. 378.003.  ADOPTION OF ZONE.  (a)  A municipality may
1-21     create a zone if the governing body of the municipality adopts a
1-22     resolution containing:
1-23                 (1)  the determination described by Section 378.002;
1-24                 (2)  a description of the boundaries of the zone;
 2-1                 (3)  a finding by the governing body that the creation
 2-2     of the zone benefits and is for the public purpose of increasing
 2-3     the public health, safety, and welfare of the persons in the
 2-4     municipality; and
 2-5                 (4)  a finding by the governing body that the creation
 2-6     of the zone satisfies the requirements of Section 312.202, Tax
 2-7     Code.
 2-8           (b)  A municipality may create more than one zone and may
 2-9     include an area in more than one zone.
2-10           Sec. 378.004.  EFFECT OF CREATION OF ZONE.  A municipality
2-11     that creates a zone may, in the zone:
2-12                 (1)  take any action allowed under this subtitle;
2-13                 (2)  use any power given to a municipality or any other
2-14     political subdivision under this subtitle; and
2-15                 (3)  exercise any other power granted by this chapter.
2-16           Sec. 378.005.  ADDITIONAL POWERS.  A municipality may:
2-17                 (1)  waive or adopt fees related to the construction of
2-18     buildings in the zone, including fees related to the inspection of
2-19     buildings and impact fees;
2-20                 (2)  enter into agreements, for a period of not more
2-21     than 10 years, for the purpose of benefitting the zone, for sales
2-22     tax refunds or abatements of municipal sales tax on sales made in
2-23     the zone; and
2-24                 (3)  enter into agreements abating municipal property
2-25     taxes on property in the zone subject to the duration limits of
2-26     Section 312.204, Tax Code.
2-27           SECTION 2.  The importance of this legislation and the
 3-1     crowded condition of the calendars in both houses create an
 3-2     emergency and an imperative public necessity that the
 3-3     constitutional rule requiring bills to be read on three several
 3-4     days in each house be suspended, and this rule is hereby suspended,
 3-5     and that this Act take effect and be in force from and after its
 3-6     passage, and it is so enacted.