1-1 By: Lindsay S.B. No. 588
1-2 (In the Senate - Filed February 7, 2001; February 8, 2001,
1-3 read first time and referred to Committee on Intergovernmental
1-4 Relations; February 21, 2001, reported favorably, as amended, by
1-5 the following vote: Yeas 7, Nays 0; February 21, 2001, sent to
1-6 printer.)
1-7 COMMITTEE AMENDMENT NO. 1 By: Lindsay
1-8 Amend S.B. No. 588 as follows:
1-9 In SECTION 2 of the bill, page 2, line 17, after the word
1-10 "public", insert ", the user,".
1-11 A BILL TO BE ENTITLED
1-12 AN ACT
1-13 relating to the functions of a municipal or county cultural
1-14 education facilities finance corporation.
1-15 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-16 SECTION 1. Subsection (a), Section 2, Cultural Education
1-17 Facilities Finance Corporation Act (Article 1528m, Vernon's Texas
1-18 Civil Statutes), is amended to read as follows:
1-19 (a) The legislature finds that:
1-20 (1) the health, education, and general welfare of the
1-21 people of this state require the development of new and expanded
1-22 cultural and community facilities for the purpose of:
1-23 (A) exhibition and promotion of and education
1-24 about the performing, dramatic, visual, and literary arts; the
1-25 culture and history of races, ethnic groups, religious groups, and
1-26 national heritage groups; and history, natural history, and
1-27 science;
1-28 (B) promotion of and education about health and
1-29 physical fitness, public health and safety, child care, adoption,
1-30 children's services, substance abuse counseling, family counseling,
1-31 and care of persons who are elderly or disabled;
1-32 (C) administering the provision and granting of
1-33 charitable services and grants in accomplishment of the purposes
1-34 described by Paragraph (B) of this subdivision;
1-35 (D) promotion of and education about activities
1-36 devoted to general cultural improvement, including scouting
1-37 programs and programs by which agencies seek to provide facilities
1-38 for retreats in urban or rural settings;
1-39 (E) support of agencies devoted to the
1-40 eradication, elimination, or amelioration of one or more diseases
1-41 or afflictions affecting health or improving the condition of
1-42 individuals or groups within a community; and
1-43 (F) provision of public health and safety and
1-44 charitable services to communities in times of catastrophe or
1-45 disaster;
1-46 (2) the existence, development, and expansion of
1-47 cultural facilities are essential to the continuing education,
1-48 health, general welfare, and comfort of the citizens of this state;
1-49 (3) the means and measures authorized and the
1-50 assistance provided by this Act are in the public interest and
1-51 serve a public purpose in promoting the health, education, and
1-52 general welfare of the people of this state by securing and
1-53 maintaining cultural facilities and the resulting advancement of
1-54 culture and civilization;
1-55 (4) qualified cultural organizations in this state
1-56 have invested substantial funds in useful and beneficial cultural
1-57 facilities and have experienced difficulty in undertaking
1-58 additional projects because of the partial inadequacy of their own
1-59 funds or of funds potentially available from local subscription
1-60 sources and because of limitations of local financial institutions
1-61 in providing necessary financing for these facilities; and
1-62 (5) the enactment of this Act will:
1-63 (A) secure for present and future generations
2-1 the benefits and nurturance derived from these cultural facilities;
2-2 and
2-3 (B) enhance the public health and welfare of
2-4 communities receiving the benefit of the cultural facilities.
2-5 SECTION 2. Subdivision (5), Section 3, Cultural Education
2-6 Facilities Finance Corporation Act (Article 1528m, Vernon's Texas
2-7 Civil Statutes), is amended to read as follows:
2-8 (5) "Cultural facility" means:
2-9 (A) real property or an interest in real
2-10 property, including buildings and[,] improvements, or equipment,
2-11 furnishings, [land,] or other personal property that:
2-12 (i) is found by the board to be necessary
2-13 or convenient to finance, refinance, acquire, construct, enlarge,
2-14 remodel, renovate, improve, furnish, or equip for cultural
2-15 education or community benefit;
2-16 (ii) is made available for use by [or open
2-17 to] the general public or community groups; and
2-18 (iii) is used for a [the] purpose
2-19 described by Section 2(a)(1) of this Act; [of exhibition and
2-20 promotion of an education about the performing, dramatic, visual,
2-21 and literary arts, natural history, and science] and
2-22 (B) facilities incidental, subordinate, or
2-23 related to or appropriate in connection with property described by
2-24 Paragraph (A) of this subdivision [these facilities], located
2-25 within the state, regardless of the date of construction or
2-26 acquisition [whether or not constructed or acquired before or after
2-27 the effective date of this Act].
2-28 SECTION 3. The Cultural Education Facilities Finance
2-29 Corporation Act (Article 1528m, Vernon's Texas Civil Statutes) is
2-30 amended by adding Section 4A to read as follows:
2-31 Sec. 4A. LIMITATION ON CORPORATE PURPOSES. (a) A city or
2-32 county that creates a corporation under this Act may limit the
2-33 corporation's purposes in the proceedings directing the creation of
2-34 the corporation by prohibiting the corporation from financing
2-35 particular types of cultural facilities, including a cultural
2-36 facility to be used for a purpose specified in the proceedings.
2-37 (b) As a condition of providing financing, a corporation may
2-38 restrict a person receiving financing from using a cultural
2-39 facility for a particular purpose.
2-40 (c) A restriction imposed by a city or county on a
2-41 corporation may be enforced by the governing body of the sponsoring
2-42 entity by injunction or mandamus.
2-43 (d) A violation of a restriction by a corporation may not
2-44 impair the validity of the obligations incurred by the corporation.
2-45 SECTION 4. Section 5, Cultural Education Facilities Finance
2-46 Corporation Act (Article 1528m, Vernon's Texas Civil Statutes), is
2-47 amended by adding Subsection (c) to read as follows:
2-48 (c) Except as provided by this Act, a corporation formed
2-49 under this Act has the same rights and powers as a corporation
2-50 organized under the Texas Non-Profit Corporation Act (Article
2-51 1396-1.01 et seq., Vernon's Texas Civil Statutes).
2-52 SECTION 5. This Act takes effect immediately if it receives
2-53 a vote of two-thirds of all the members elected to each house, as
2-54 provided by Section 39, Article III, Texas Constitution. If this
2-55 Act does not receive the vote necessary for immediate effect, this
2-56 Act takes effect September 1, 2001.
2-57 * * * * *