By Shapleigh                                          S.B. No. 1837
         77R15193 JMG-D                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the creation of the Texas Border Strategic Investment
 1-3     Commission; making an appropriation.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1. Chapter 481, Government Code, is amended by adding
 1-6     Subchapter G to read as follows:
 1-7         SUBCHAPTER G. TEXAS BORDER STRATEGIC INVESTMENT COMMISSION
 1-8           Sec. 481.101.  DEFINITIONS. In this subchapter:
 1-9                 (1)  "Commission" means the Texas Border Strategic
1-10     Investment Commission.
1-11                 (2)  "Texas-Mexico border region" has the meaning
1-12     assigned by Section 2056.002.
1-13           Sec. 481.102.  PURPOSE. The future economic health of this
1-14     state is dependent on investing now in the Texas-Mexico border
1-15     region.  The Texas-Mexico border region has the highest poverty and
1-16     unemployment rates in the country, and the per capita income is the
1-17     lowest in the country. An emergency situation exists. Texas must
1-18     invest in and create economic engines in the Texas-Mexico border
1-19     region that will allow that part of the state to grow, prosper, and
1-20     participate in the Texas dream. If this is not done, the future
1-21     cost to the state to provide for the Texas-Mexico border region
1-22     will increase and affect future family incomes across Texas.
1-23     Strategic funding for one region of the state, even where the
1-24     benefit to the whole state is the primary objective, is politically
 2-1     difficult to achieve in the legislative process.  Therefore, this
 2-2     commission is established and funded to bring a statewide
 2-3     perspective to strategic Texas-Mexico border region investments.
 2-4           Sec. 481.103.  TEXAS BORDER STRATEGIC INVESTMENT COMMISSION;
 2-5     MEMBERS. (a)  The Texas Border Strategic Investment Commission is
 2-6     established.
 2-7           (b)  The commission is composed of:
 2-8                 (1)  the lieutenant governor;
 2-9                 (2)  the speaker of the house of representatives;
2-10                 (3)  the comptroller;
2-11                 (4)  the commissioner of agriculture; and
2-12                 (5)  the secretary of state.
2-13           (c)  The lieutenant governor shall serve as the chair of the
2-14     commission.
2-15           Sec. 481.104.  FUNCTIONS OF COMMISSION. (a)  To the extent
2-16     that funds are specifically appropriated for the purpose, the
2-17     commission shall, after the conclusion of each regular session of
2-18     the legislature, meet, identify, and direct funding for strategic
2-19     economic development initiatives in the six metropolitan
2-20     statistical areas in the Texas-Mexico border region.
2-21           (b)  The strategic investment initiatives to receive funding
2-22     shall be identified using criteria that include the following:
2-23                 (1)  whether the initiative is the most significant
2-24     investment the state can make in a key regional cluster to produce
2-25     a sound foundation for economic development;
2-26                 (2)  whether the investment leverages other significant
2-27     funds or has an objective and calculable rate of return;
 3-1                 (3)  whether the funds are being invested in a clearly
 3-2     defined concept with significant regional support;
 3-3                 (4)  whether the concept requires special investment in
 3-4     order to be accomplished in the near future because similar and
 3-5     timely funding by local, state, or federal sources in the normal
 3-6     appropriations process is unlikely; and
 3-7                 (5)  whether the investment will increase the per
 3-8     capita income and decrease the unemployment rate of the affected
 3-9     area.
3-10           (c)  The commission must identify initiatives for funding on
3-11     or before December 1 of each odd-numbered year.
3-12           Sec. 481.105.  REPORT. (a)  Not later than December 1 of each
3-13     even-numbered year, the commission shall file a report with the
3-14     legislature that states the strategic investment initiatives
3-15     considered by the commission during the preceding two-year period
3-16     and identifies the initiatives that received funding during the
3-17     preceding fiscal biennium. The report must include any
3-18     recommendations for legislative action the commission considers
3-19     appropriate to further the creation or function of the commission.
3-20           (b)  For those initiatives that received funding from the
3-21     commission during the biennium in which the report is made, the
3-22     commission shall, in addition to evaluating other performance
3-23     measures identified by the commission, evaluate the following
3-24     performance measures in the report:
3-25                 (1)  the number of jobs created by the initiative and
3-26     the nature of economic development created by the initiative;
3-27                 (2)  the impact of any economic development on wage
 4-1     rates in the affected metropolitan statistical area;
 4-2                 (3)  the wages and benefits paid by the employer of the
 4-3     created jobs compared to the county-wide average wage for the
 4-4     particular industry sector that received funding;
 4-5                 (4)  the other funds that were leveraged or the
 4-6     calculable rate of return from the commission's investment in a
 4-7     particular initiative;
 4-8                 (5)  the initiative's ability to attract new industry
 4-9     and economic development to the Texas-Mexico border region; and
4-10                 (6)  the duration and quality of the jobs, economic
4-11     development, and opportunities created.
4-12           Sec. 481.106.  FUNDING. (a)  In addition to any amount
4-13     appropriated by the legislature, the commission may apply for and
4-14     accept funds from the federal government or any other public or
4-15     private entity. The commission may also solicit and accept grants,
4-16     gifts, and donations from private sources on the commission's
4-17     behalf.  The use of a gift, grant, or donation solicited or
4-18     accepted under this section must be consistent with the purposes of
4-19     the commission.
4-20           (b)  The commission shall administer and approve
4-21     disbursements of any appropriation, fund, pledge, gift, or
4-22     endowment that is the property of the commission.
4-23           SECTION 2.  There is appropriated from the economic
4-24     stabilization fund the sum of $250,000,000 to the Texas Border
4-25     Strategic Investment Commission established under Subchapter G,
4-26     Chapter 481, Government Code, as added by this Act, for the
4-27     two-year period beginning September 1, 2001, for the purposes of
 5-1     that subchapter.
 5-2           SECTION 3.  This Act takes effect immediately if it receives
 5-3     a vote of two-thirds of all the members elected to each house, as
 5-4     provided by Section 39, Article III, Texas Constitution.  If this
 5-5     Act does not receive the vote necessary for immediate effect, this
 5-6     Act takes effect September 1, 2001.