1-1                                   AN ACT
 1-2     relating to the authority of certain municipalities to create an
 1-3     industrial development district.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Section 4B(a)(1), Development Corporation Act of
 1-6     1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to
 1-7     read as follows:
 1-8                 (1)  "Eligible city" means a city:
 1-9                       (A)  that is located in a county with a
1-10     population of  500,000 [750,000] or more, according to the most
1-11     recent federal decennial census and in which the combined rate of
1-12     all sales and use taxes imposed by the city, the state, and other
1-13     political subdivisions of the state having territory in the city
1-14     does not exceed 8.25 percent on the date of any election held under
1-15     or made applicable to this section;
1-16                       (B)  that has a population of 400,000 or more,
1-17     according to the most recent federal decennial census, and that is
1-18     located in more than one county, and in which the combined rate of
1-19     all sales and use taxes imposed by the city, the state, and other
1-20     political subdivisions of the state having territory in the city,
1-21     including taxes under this section, does not exceed 8.25 percent;
1-22     or
1-23                       (C) [(D)]  to which Section 4A of this Act
1-24     applies.
 2-1                       [(E)  Paragraph (C) of this subdivision expires
 2-2     September 1, 1999.]
 2-3           SECTION 2.  This Act takes effect immediately if it receives
 2-4     a vote of two-thirds of all the members elected to each house, as
 2-5     provided by Section 39, Article III, Texas Constitution.  If this
 2-6     Act does not receive the vote necessary for immediate effect, this
 2-7     Act takes effect September 1, 2001.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 1390 was passed by the House on April
         20, 2001, by the following vote:  Yeas 142, Nays 0, 2 present, not
         voting.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 1390 was passed by the Senate on May
         10, 2001, by the following vote:  Yeas 29, Nays 0, 1 present, not
         voting.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor