By: Cain S.B. No. 569 2001S0419/1 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the allocation of increased revenues between certain 1-3 municipalities jointly involved in operating an airport. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter D, Chapter 22, Transportation Code, is 1-6 amended by adding Section 22.089 to read as follows: 1-7 Sec. 22.089. ALLOCATION OF INCREASED REVENUES. (a) If one 1-8 or more airport passenger terminal buildings that are owned jointly 1-9 by populous home-rule municipalities that are constituent agencies 1-10 are located within the boundaries of a municipality that is not a 1-11 constituent agency, the populous home-rule municipalities that are 1-12 constituent agencies are entitled to receive annually a portion of 1-13 the increased annual revenues of the municipality that is not a 1-14 constituent agency in accordance with Subsection (b). 1-15 (b) One-third of the increased annual revenues of the 1-16 municipality that is not a constituent agency shall be retained by 1-17 that municipality and two-thirds of the increased annual revenues 1-18 of that municipality shall be shared by the populous home-rule 1-19 municipalities that are constituent agencies in proportion to their 1-20 respective ownership interests in the airport from which the 1-21 increased annual revenues were generated. The municipality that is 1-22 not a constituent agency shall pay each populous home-rule 1-23 municipality that is a constituent agency its share of the 1-24 increased annual revenues for a calendar year by March 31 of the 1-25 following calendar year. 2-1 (c) The amount of increased annual revenues shall be 2-2 verified each year by an independent auditor retained by the 2-3 municipality that is not a constituent agency. The populous 2-4 home-rule municipalities that are constituent agencies shall 2-5 reimburse the municipality that is not a constituent agency for 2-6 two-thirds of the cost of the verification in proportion to their 2-7 respective ownership interests in the airport from which the 2-8 increased annual revenues were generated. Not more frequently than 2-9 once each calendar year, each populous home-rule municipality that 2-10 is a constituent agency may audit, at its own expense, the records 2-11 of the increased annual revenues of the municipality that is not a 2-12 constituent agency. 2-13 (d) In this section: 2-14 (1) "Base year revenues" means the total of the taxes 2-15 and revenues identified in Subdivisions (2)(A)-(F) collected, 2-16 credited to, or received by a municipality in the calendar year 2-17 2001 that were generated from that part of the municipality lying 2-18 within the geographic boundaries of an airport subject to the 2-19 authority of a joint board. 2-20 (2) "Increased annual revenues" means an amount equal 2-21 to the sum of the following amounts collected, credited to, or 2-22 received by a municipality in any calendar year, that are generated 2-23 from that part of the municipality lying within the geographic 2-24 boundaries of an airport subject to the authority of a joint board 2-25 and that are in excess of base year revenues: 2-26 (A) the annual maintenance and operation portion 3-1 of the ad valorem tax levy on real and personal property, excluding 3-2 the portion necessary for general obligation debt service of the 3-3 municipality; 3-4 (B) sales and use taxes, excluding sales and use 3-5 tax levies dedicated for specific purposes authorized by law; 3-6 (C) utility franchise taxes; 3-7 (D) municipal court revenues, including fines, 3-8 fees, and court costs resulting from citations written for 3-9 violations of law occurring within the geographic boundaries of the 3-10 airport; 3-11 (E) mixed beverage taxes; 3-12 (F) hotel occupancy taxes; and 3-13 (G) all other general revenue tax levies. 3-14 SECTION 2. This Act takes effect January 1, 2002.