By Solis H.B. No. 932
77R3981 CLG-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to requiring a report from the comptroller about state and
1-3 local economic development activities and projects.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter B, Chapter 403, Government Code, is
1-6 amended by adding Section 403.030 to read as follows:
1-7 Sec. 403.030. REPORT ON ECONOMIC DEVELOPMENT ACTIVITIES AND
1-8 PROJECTS. (a) In this section:
1-9 (1) "Group health benefit plan" means:
1-10 (A) a health plan provided by a health
1-11 maintenance organization established under the Texas Health
1-12 Maintenance Organization Act (Chapter 20A, Vernon's Texas Insurance
1-13 Code);
1-14 (B) a health benefit plan approved by the
1-15 commissioner of insurance; or
1-16 (C) a self-funded or self-insured employee
1-17 welfare benefit plan that provides health benefits and is
1-18 established in accordance with the Employee Retirement Income
1-19 Security Act of 1974 (29 U.S.C. Section 1001 et seq.), as amended.
1-20 (2) "Texas growth fund" means the fund created by
1-21 Section 70, Article XVI, Texas Constitution.
1-22 (b) Before each regular session of the legislature, the
1-23 comptroller shall submit to the legislature and the governor a
1-24 report describing all economic development activities or projects:
2-1 (1) developed or engaged in by each state agency,
2-2 corporation created under Section 4A or 4B, Development Corporation
2-3 Act of 1979 (Article 5190.6, Vernon's Texas Civil Statutes), or
2-4 institution of higher education, as defined by Section 61.003,
2-5 Education Code, other than a public junior college; or
2-6 (2) financed with money from the Texas growth fund or
2-7 any other state fund authorized to make investments directly
2-8 related to the creation, retention, or expansion of employment
2-9 opportunity and economic growth in this state.
2-10 (c) The report must include:
2-11 (1) for each entity described by Subsection (b)(1)
2-12 that developed or engaged in an economic development activity or
2-13 project:
2-14 (A) legislative appropriations for each economic
2-15 development activity or project, if any;
2-16 (B) the amount of bond proceeds, taxes, or other
2-17 revenue received or collected in connection with or to support each
2-18 economic development activity or project, if applicable; and
2-19 (C) the amount spent on each economic
2-20 development activity or project;
2-21 (2) for each fund described by Subsection (b)(2) that
2-22 invested in an economic development activity or project, the amount
2-23 invested in each economic development activity or project;
2-24 (3) the effect on economic development, if it is
2-25 possible to assess, of exemptions, discounts, exclusions, special
2-26 valuations, abatements, special accounting treatments, special
2-27 rates, and special methods of reporting relating to:
3-1 (A) the state sales, excise, and use tax under
3-2 Chapter 151, Tax Code;
3-3 (B) the franchise tax under Chapter 171, Tax
3-4 Code;
3-5 (C) school district property taxes;
3-6 (D) the gas production tax and oil production
3-7 tax under Chapters 201 and 202, Tax Code;
3-8 (E) the motor fuels tax under Chapter 153, Tax
3-9 Code;
3-10 (F) taxes on the sale, rental, or use of motor
3-11 vehicles under Chapter 152, Tax Code; and
3-12 (G) any other tax generating more than five
3-13 percent of state tax revenue in the preceding fiscal year;
3-14 (4) with respect to its effect on economic
3-15 development, an analysis of each special provision that reduces the
3-16 amount imposed for a tax covered by Subdivision (3), including an
3-17 estimate of the loss of revenue and a citation of the statutory or
3-18 other legal authority for the provision;
3-19 (5) the effect on employment, capital investment, and
3-20 personal income of:
3-21 (A) legislative appropriations, revenue, and
3-22 expenditures described by Subdivision (1);
3-23 (B) investments described by Subdivision (2);
3-24 and
3-25 (C) tax reductions described by Subdivision (3);
3-26 (6) for each entity and fund included in the report
3-27 and to the extent practicable, detailed outcome measures by which
4-1 to evaluate the effectiveness of each economic development activity
4-2 or project developed or engaged in by the entity or financed by the
4-3 fund, including:
4-4 (A) the number, location, and type of industry
4-5 of new jobs that:
4-6 (i) are not transferred from another
4-7 location; and
4-8 (ii) are not created to replace a previous
4-9 employee;
4-10 (B) the number of those jobs for which the
4-11 starting wage is:
4-12 (i) less than $8 an hour;
4-13 (ii) at least $8 an hour but less than $12
4-14 an hour;
4-15 (iii) at least $12 an hour but less than
4-16 $16 an hour;
4-17 (iv) at least $16 an hour but less than
4-18 $20 an hour; or
4-19 (v) at least $20 an hour;
4-20 (C) job retention after one year;
4-21 (D) the percentage of nonsupervisory employees
4-22 that are covered by a group health benefit plan for which the
4-23 employer pays at least 80 percent of the premiums or other charges
4-24 assessed under the plan for the employee; and
4-25 (E) for each state agency or institution of
4-26 higher education included in the report, any related outcome
4-27 measures listed in the item of the appropriation to the entity in
5-1 the General Appropriations Act from which the entity would make
5-2 expenditures for economic development activities or projects; and
5-3 (7) if more than 50 percent of the total amount spent
5-4 on economic development activities or projects by an entity or fund
5-5 included in the report is allocated to fewer than six persons, the
5-6 names and addresses of those persons.
5-7 (d) The report must cover the six-year period ending on the
5-8 last day of the fiscal biennium during which the report is
5-9 submitted.
5-10 (e) The comptroller may request from an entity described by
5-11 Subsection (b)(1), the board of trustees of the Texas growth fund,
5-12 and any other appropriate agency information necessary to complete
5-13 the report. Each entity or agency shall cooperate with the
5-14 comptroller in providing information for the report.
5-15 SECTION 2. This Act takes effect immediately if it receives
5-16 a vote of two-thirds of all the members elected to each house, as
5-17 provided by Section 39, Article III, Texas Constitution. If this
5-18 Act does not receive the vote necessary for immediate effect, this
5-19 Act takes effect September 1, 2001.