SRC-SEW H.B. 3006 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 3006
By: Uresti (Madla)
Intergovernmental Relations
5/7/2001
Engrossed


DIGEST AND PURPOSE 

Under current law, a taxing unit that levies taxes on real property in a
reinvestment zone is authorized to appoint one member to the board of
directors of the zone, and only certain taxing units are authorized to
appoint members to a board of a zone designated through petition. Because
of the limitation on the ability of a taxing unit to appoint members to a
board of directors of a reinvestment zone, the board may not equally
represent the different interests in the reinvestment zone. H. B. 3006
provides for a taxing unit to appoint as many members to the board of
directors of a reinvestment zone as the municipality that created the zone.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 311.009, Tax Code, as follows:

Sec. 311.009.  (a) Deletes text referencing Subsection (b) and makes a
nonsubstantive change. Authorizes each taxing unit other than a
municipality that levies taxes on real property in the reinvestment zone to
appoint one member of the board of directors of the reinvestment zone
(board), except that if the unit has approved the payment of all or part of
the tax increment produced by the unit, it is required to have the right to
appoint as many members as are appointed by the municipality that created
the zone.  Deletes text prohibiting the governing body of the municipality
that created the zone from appointing more than 10 directors to the board
except under certain conditions. 

(b)  Deletes text providing that the board consists of nine members.
Deletes text regarding each school district or county that levies taxes on
real property in the zone.  Authorizes a taxing unit, if the zone was
designated under Section 311.005(a)(5), to appoint a (rather than one)
member of the board only if the unit (rather than school district or
county) has approved the payment of all or part of the tax increment
produced by the unit.  Deletes text providing that the remaining members of
the board are appointed by the governing body of the municipality that
created the zone. 
 
(f)  Requires the board of directors of a reinvestment zone (rather than
the governing body of the municipality) each year to appoint one of its
members to serve as chairman for a term of one year that begins on January
1 of the following year.  
 
SECTION 2.  Effective date:  September 1, 2001.