1-1     By:  Giddings, et al. (Senate Sponsor - West)          H.B. No. 313
 1-2           (In the Senate - Received from the House April 22, 1999;
 1-3     April 26, 1999, read first time and referred to Committee on
 1-4     Intergovernmental Relations; May 6, 1999, reported favorably by the
 1-5     following vote:  Yeas 5, Nays 0; May 6, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the creation and powers of a neighborhood empowerment
 1-9     zone.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Subtitle A, Title 12, Local Government Code, is
1-12     amended by adding Chapter 378 to read as follows:
1-13                 CHAPTER 378.  NEIGHBORHOOD EMPOWERMENT ZONE
1-14           Sec. 378.001.  DEFINITION.  In this chapter, "zone" means a
1-15     neighborhood empowerment zone created by a municipality under this
1-16     chapter.
1-17           Sec. 378.002.  CREATION OF ZONE.  A municipality may create a
1-18     neighborhood empowerment zone covering a part of the municipality
1-19     if the municipality determines the creation of the zone would
1-20     promote:
1-21                 (1)  the creation of affordable housing, including
1-22     manufactured housing, in the zone;
1-23                 (2)  an increase in economic development in the zone;
1-24                 (3)  an increase in the quality of social services,
1-25     education, or public safety provided to residents of the zone; or
1-26                 (4)  the rehabilitation of affordable housing in the
1-27     zone.
1-28           Sec. 378.003.  ADOPTION OF ZONE.  (a)  A municipality may
1-29     create a zone if the governing body of the municipality adopts a
1-30     resolution containing:
1-31                 (1)  the determination described by Section 378.002;
1-32                 (2)  a description of the boundaries of the zone;
1-33                 (3)  a finding by the governing body that the creation
1-34     of the zone benefits and is for the public purpose of increasing
1-35     the public health, safety, and welfare of the persons in the
1-36     municipality; and
1-37                 (4)  a finding by the governing body that the creation
1-38     of the zone satisfies the requirements of Section 312.202, Tax
1-39     Code.
1-40           (b)  A municipality may create more than one zone and may
1-41     include an area in more than one zone.
1-42           Sec. 378.004.  MUNICIPAL POWERS.  In addition to other powers
1-43     that a municipality may exercise, a municipality may:
1-44                 (1)  waive or adopt fees related to the construction of
1-45     buildings in the zone, including fees related to the inspection of
1-46     buildings and impact fees;
1-47                 (2)  enter into agreements, for a period of not more
1-48     than 10 years, for the purpose of benefiting the zone, for sales
1-49     tax refunds or abatements of municipal sales tax on sales made in
1-50     the zone;
1-51                 (3)  enter into agreements abating municipal property
1-52     taxes on property in the zone subject to the duration limits of
1-53     Section 312.204, Tax Code; and
1-54                 (4)  set baseline performance standards, such as the
1-55     Energy Star Program as developed by the Department of Energy, to
1-56     encourage the use of alternative building materials that address
1-57     concerns relating to the environment or to the building costs,
1-58     maintenance, or energy consumption.
1-59           SECTION 2.  The importance of this legislation and the
1-60     crowded condition of the calendars in both houses create an
1-61     emergency and an imperative public necessity that the
1-62     constitutional rule requiring bills to be read on three several
1-63     days in each house be suspended, and this rule is hereby suspended,
1-64     and that this Act take effect and be in force from and after its
 2-1     passage, and it is so enacted.
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