HBA-LJP H.B. 3006 77(R)BILL ANALYSIS Office of House Bill AnalysisH.B. 3006 By: Uresti Ways & Means 8/3/2001 Enrolled BACKGROUND AND PURPOSE Prior to the 77th Legislature, a taxing unit that levied taxes on real property in a reinvestment zone was authorized to appoint one member to the board of directors of the zone, and only certain taxing units were authorized to appoint members to a board of a zone designated through petition. Because of the limitations of a taxing unit to appoint members to a board of directors of a reinvestment zone, the board of directors of the zone may not have equally represented the different interests in the reinvestment zone. House Bill 3006 provides for a taxing unit to appoint at least one or more members to the board of directors of a reinvestment zone. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 3006 amends the Tax Code to provide that the board of directors of a reinvestment zone designated by a municipality on or after September 1, 2001, which is wholly or partially located in a county with a population of less than 1.4 million in which the principal municipality has a population of 1.1 million or more (board) consists of at least 5 and not more than 15 members, unless more than 15 members are required to satisfy representation requirements. If a reinvestment zone is designated through a petition, the board of directors of the zone consists of nine members, unless a greater number of members is necessary to comply with representation requirements. The bill entitles each taxing unit that approves the payment of all or part of its tax increment into the tax increment fund to appoint at least one member to the board and entitles the municipality that designated the zone to appoint at least as many members to the board as any other participating taxing unit. The bill also sets forth the calculation method in which the number of members a taxing unit is authorized to appoint to a board is determined. The bill authorizes a taxing unit to waive its right to appoint a director. The bill provides for the membership of the member of the state senate and the member of the state house of representative in whose district the reinvestment zone designated by petition is located as a member of a board in a reinvestment zone. The bill sets forth the terms, vacancy, and eligibility of the members of a board and presiding officer of the board. The bill also provides that a member of a board is not a public official by virtue of that position and authorizes a member of the board to serve concurrently on the board of directors of a local government corporation. EFFECTIVE DATE September 1, 2001.