SRC-MKV S.B. 603 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 603
77R1877 SMH-DBy: Brown, J. E. "Buster"
Natural Resources
2/23/2001
As Filed


DIGEST AND PURPOSE 

Currently, many properties in Texas are abandoned or underused due to the
liability associated with contamination from old industrial activity.  S.B.
603 proposes tools, including the Texas Natural Resource Conservation
Commission's Supplemental Environmental Project, to encourage the cleanup
and redevelopment of these contaminated properties. 

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 2(4), Article 5190.6, V.T.C.S., (Developmental
Corporation Act of 1979), to redefine "cost." 

SECTION 2.  Amends Section 4A, Article 5190.6, V.T.C.S., (Developmental
Corporation Act of 1979), by adding Subsection (t), to require the Texas
Department of Commerce (department), with the assistance of the Texas
Natural Resource Conservation Commission (TNRCC), to promote the cleanup of
contaminated property by corporations created under this section through
the use of sales and use tax proceeds. 

SECTION 3.  Amends Section 4B, Article 5190.6, V.T.C.S., (Developmental
Corporation Act of 1979), by adding Subsection (p), to require the
department, with the assistance of TNRCC, to promote the cleanup of
contaminated property by corporations created under this section through
the use of sales and use tax proceeds. 

SECTION 4.  Amends Chapter 2155H, Government Code, by adding Section
2155.449, as follows: 

Sec. 2155.449.  PREFERENCE FOR PRODUCTS OF FACILITIES ON FORMERLY
CONTAMINATED PROPERTY.  Requires the General Services Commission
(commission) and state agencies to give preference to goods produced at a
facility located on property for which the owner has received a certificate
of completion under Section 361.609 (Certificate of Completion), Health and
Safety Code, if the goods meet certain state specifications. 

SECTION 5.  Amends Section 2303.102, Government Code, by adding Subsection
(c), to provide that for purposes of determining the average rate of
unemployment in the area under this section, individuals who are employed
by a business and whose principal place of employment is on a property for
which the business has received a certificate of completion under Section
361.609, Health and Safety Code, are not considered. 

SECTION 6.  Amends Section 312.211 (a), Tax Code, to delete language
regarding real property the value of which is adversely affected by the
release of a hazardous substance or contaminant according to the two
preceding appraisals by the appraisal office. 
 
SECTION 7.  Amends Section 7.067 (a), Water Code, to add language requiring
TNRCC to encourage the cleanup of contaminated property through the use of
supplemental environmental projects. 

SECTION 8.  Effective date: September 1, 2001.
            Makes application of this Act prospective.