1-1     By:  Van de Putte, Truan                               S.B. No. 944
 1-2           (In the Senate - Filed February 26, 2001; February 28, 2001,
 1-3     read first time and referred to Committee on Intergovernmental
 1-4     Relations; April 17, 2001, reported adversely, with favorable
 1-5     Committee Substitute by the following vote:  Yeas 4, Nays 0;
 1-6     April 17, 2001, sent to printer.)
 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 944                  By:  Staples
 1-8                            A BILL TO BE ENTITLED
 1-9                                   AN ACT
1-10     relating to the contracting authority of certain hospital districts
1-11     to enter into or modify a tax abatement agreement.
1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13           SECTION 1.  Subchapter E, Chapter 281, Health and Safety
1-14     Code, is amended by adding Section 281.095 to read as follows:
1-15           Sec. 281.095.  PROHIBITION AGAINST PARTICIPATION IN TAX
1-16     ABATEMENT AGREEMENT:  BEXAR COUNTY HOSPITAL DISTRICT, EL PASO
1-17     COUNTY HOSPITAL DISTRICT, HARRIS COUNTY HOSPITAL DISTRICT, AND
1-18     NUECES COUNTY HOSPITAL DISTRICT.  (a)  In this section, "district"
1-19     means the Bexar County Hospital District, the El Paso County
1-20     Hospital District, the Harris County Hospital District, and the
1-21     Nueces County Hospital District.
1-22           (b)  The district may not enter into a contract or agreement
1-23     to participate in a tax abatement agreement under Section 311.0125,
1-24     Tax Code, or Chapter 312, Tax Code.  This subsection does not
1-25     affect the validity of a tax abatement agreement entered into by
1-26     the district before September 1, 2001.
1-27           (c)  A tax abatement agreement entered into before September
1-28     1, 2001, may not be amended on or after September 1, 2001, to:
1-29                 (1)  increase the amount of the tax abatement of the
1-30     district; or
1-31                 (2)  increase the time during which the district may
1-32     participate in the tax abatement agreement.
1-33           (d)  An agreement entered into by the district under Section
1-34     311.0125, Tax Code, or Chapter 312, Tax Code, before September 1,
1-35     2001, may not be amended on or after September 1, 2001, to include
1-36     any of the conditions prohibited by Subsection (c).
1-37           SECTION 2.  This Act takes effect September 1, 2001.
1-38                                  * * * * *