By Duncan S.B. No. 269 76R1714 DRH-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the dissolution of certain economic development 1-3 corporations. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 4B, Development Corporation Act of 1979 1-6 (Article 5190.6, Vernon's Texas Civil Statutes), is amended by 1-7 adding Subsection (o) to read as follows: 1-8 (o)(1) The governing body of a city creating a corporation 1-9 under this section shall order an election on the dissolution of 1-10 the corporation on receipt of a petition requesting the election 1-11 that is signed by at least 10 percent of the registered voters of 1-12 the city. The election must be held on the first available uniform 1-13 election date that occurs on or after the 45th day after the date 1-14 the petition is filed with the city. 1-15 (2) At the election the ballot shall be printed to 1-16 permit voting for or against the proposition: "Dissolution of the 1-17 _____________ (name of corporation)." 1-18 (3) If a majority of the votes cast are in favor of 1-19 the dissolution, the corporation shall continue operations only as 1-20 necessary to meet obligations the corporation incurred before the 1-21 date of the election, including paying the principal of and 1-22 interest on bonds. To the extent practicable, the corporation 1-23 shall liquidate assets of the corporation and apply the proceeds to 1-24 satisfy the corporation's obligations. After all of the 2-1 obligations are satisfied, any remaining assets of the corporation 2-2 shall be transferred to the city, and the corporation is dissolved. 2-3 The city shall promptly notify the comptroller of the date a 2-4 corporation is dissolved under this subsection. 2-5 (4) A tax imposed under this section may not be 2-6 collected after the last day of the first calendar quarter that 2-7 begins after the city provides notice under Subdivision (3). 2-8 (5) If less than a majority of the votes cast at the 2-9 election favor the dissolution, Subdivisions (3) and (4) of this 2-10 subsection have no effect. 2-11 SECTION 2. This Act takes effect September 1, 1999. 2-12 SECTION 3. The importance of this legislation and the 2-13 crowded condition of the calendars in both houses create an 2-14 emergency and an imperative public necessity that the 2-15 constitutional rule requiring bills to be read on three several 2-16 days in each house be suspended, and this rule is hereby suspended.