1-1     By:  Uresti (Senate Sponsor - Madla)                  H.B. No. 3006
 1-2           (In the Senate - Received from the House May 7, 2001;
 1-3     May 7, 2001, read first time and referred to Committee on
 1-4     Intergovernmental Relations; May 11, 2001, reported favorably by
 1-5     the following vote:  Yeas 5, Nays 0; May 11, 2001, sent to
 1-6     printer.)
 1-7                            A BILL TO BE ENTITLED
 1-8                                   AN ACT
 1-9     relating to composition of the board of directors of a tax
1-10     increment reinvestment zone.
1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12           SECTION 1. Section 311.009, Tax Code, is amended to read as
1-13     follows:
1-14           Sec. 311.009.  COMPOSITION OF BOARD OF DIRECTORS. (a)  The
1-15     [Except as provided by Subsection (b), the] board of directors of a
1-16     reinvestment zone consists of at least five and not more than 15
1-17     members, unless more than 15 members are required to satisfy the
1-18     requirements of this subsection. Each taxing unit other than a
1-19     municipality that levies taxes on real property in the zone may
1-20     appoint one member of the board, except that if the unit has
1-21     approved the payment of all or part of the tax increment produced
1-22     by the unit, it shall have the right to appoint as many members as
1-23     are appointed by the municipality that created the zone.  A unit
1-24     may waive its right to appoint a director.  [The governing body of
1-25     the municipality that created the zone may appoint not more than 10
1-26     directors to the board; except that if there are fewer than five
1-27     directors appointed by taxing units other than the municipality,
1-28     the governing body of the municipality may appoint more than 10
1-29     members as long as the total membership of the board does not
1-30     exceed 15.]
1-31           (b)  If the zone was designated under Section 311.005(a)(5),
1-32     a taxing unit [the board of directors of the zone consists of nine
1-33     members.  Each school district or county that levies taxes on real
1-34     property in the zone] may appoint a [one] member of the board only
1-35     if the unit [school district or county] has approved the payment of
1-36     all or part of the tax increment produced by the unit.  The member
1-37     of the state senate in whose district the zone is located is a
1-38     member of the board, and the member of the state house of
1-39     representatives in whose district the zone is located is a member
1-40     of the board, except that either may designate another individual
1-41     to serve in the member's place at the pleasure of the member.  If
1-42     the zone is located in more than one senate or house district, this
1-43     subsection applies only to the senator or representative in whose
1-44     district a larger portion of the zone is located than any other
1-45     senate or house district, as applicable.  [The remaining members of
1-46     the board are appointed by the governing body of the municipality
1-47     that created the zone.]
1-48           (c)  Members of the board are appointed for terms of two
1-49     years unless longer terms are provided under Article XI, Section
1-50     11, of the Texas Constitution.  Terms of members may be staggered.
1-51           (d)  A vacancy on the board is filled for the unexpired term
1-52     by appointment of the governing body of the taxing unit that
1-53     appointed the director who served in the vacant position.
1-54           (e)  To be eligible for appointment to the board by the
1-55     governing body of the municipality, an individual must:
1-56                 (1)  if the board is covered by Subsection (a):
1-57                       (A)  be a qualified voter of the municipality; or
1-58                       (B)  be at least 18 years of age and own real
1-59     property in the zone, whether or not the individual resides in the
1-60     municipality; or
1-61                 (2)  if the board is covered by Subsection (b):
1-62                       (A)  be at least 18 years of age; and
1-63                       (B)  own real property in the zone or be an
1-64     employee or agent of a person that owns real property in the zone.
 2-1           (f)  Each year the board of directors of a reinvestment zone
 2-2     [governing body of the municipality] shall appoint one of its
 2-3     members [member of the board] to serve as chairman for a term of
 2-4     one year that begins on January 1 of the following year.  The board
 2-5     of directors may elect a vice-chairman to preside in the absence of
 2-6     the chairman or when there is a vacancy in the office of chairman.
 2-7     The board may elect other officers as it considers appropriate.
 2-8           (g)  A member of the board of directors of a reinvestment
 2-9     zone:
2-10                 (1)  is not a public official by virtue of that
2-11     position; and
2-12                 (2)  unless otherwise ineligible, may be appointed to
2-13     serve concurrently on the board of directors of a local government
2-14     corporation created under Subchapter D, Chapter 431, Transportation
2-15     Code.
2-16           SECTION 2.  This Act takes effect September 1, 2001.
2-17                                  * * * * *