78R3336 ATP-D

By:  Shapleigh                                                    S.B. No. 517


A BILL TO BE ENTITLED
AN ACT
relating to the creation of the Texas Border Strategic Investment Commission. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subtitle F, Title 4, Government Code, is amended by adding Chapter 489 to read as follows:
CHAPTER 489. TEXAS BORDER STRATEGIC INVESTMENT COMMISSION
Sec. 489.001. DEFINITIONS. In this chapter: (1) "Commission" means the Texas Border Strategic Investment Commission. (2) "Texas-Mexico border region" has the meaning assigned by Section 2056.002. Sec. 489.002. PURPOSE. The future economic health of this state is dependent in part on investing in the Texas-Mexico border region. The Texas-Mexico border region has the highest poverty and unemployment rates in the country, and the per capita income is the lowest in the country. Texas should invest in and create economic engines in the Texas-Mexico border region that will allow that part of the state to grow, prosper, and participate in the Texas dream. Strategic funding for one region of the state, even where the benefit to the whole state is the primary objective, is politically difficult to achieve in the legislative process. Therefore, this commission is established to bring a statewide perspective to strategic Texas-Mexico border region investments. Sec. 489.003. TEXAS BORDER STRATEGIC INVESTMENT COMMISSION; MEMBERS. (a) The Texas Border Strategic Investment Commission is established. (b) The commission is composed of: (1) the lieutenant governor; (2) the speaker of the house of representatives; (3) the comptroller; (4) the commissioner of agriculture; (5) the chair of the senate finance committee; (6) the chair of the house appropriations committee; and (7) the secretary of state. (c) The lieutenant governor shall serve as the chair of the commission. Sec. 489.004. FUNCTIONS OF COMMISSION. (a) Not later than December 1 of each even-numbered year, the commission shall identify and recommend funding for strategic economic development initiatives in the six metropolitan statistical areas in the Texas-Mexico border region. (b) The strategic investment initiatives recommended shall be identified using criteria that include the following: (1) whether the initiative recommended is the most significant investment the state can make in a key regional cluster to produce a sound foundation for economic development; (2) whether the investment recommended leverages other significant funds or has an objective and calculable rate of return; (3) whether the recommendation is a clearly defined concept with significant regional support; (4) whether the concept recommended requires special investment to be accomplished in the near future because similar and timely funding by local, state, or federal sources in the normal appropriations process is unlikely; and (5) whether the investment recommended will increase the per capita income and decrease the unemployment rate of the affected area. Sec. 489.005. REPORT. (a) Not later than December 1 of each even-numbered year, the commission shall file a report with the legislature that states the strategic investment initiatives recommended by the commission during the preceding two-year period and identifies the initiatives that received funding during the preceding fiscal biennium. The report must include any recommendations for legislative action the commission considers appropriate to further the function of the commission. (b) For those recommended initiatives that received funding during the biennium in which the report is made, the commission shall, in addition to evaluating other performance measures identified by the commission, evaluate the following performance measures in the report: (1) the number of jobs created by the initiative and the nature of economic development created by the initiative; (2) the impact of any economic development on wage rates in the affected metropolitan statistical area; (3) the wages and benefits paid by the employer of the created jobs compared to the county-wide average wage for the particular industry sector that received funding; (4) the other funds that were leveraged or the calculable rate of return from the investment in a particular initiative; (5) the initiative's ability to attract new industry and economic development to the Texas-Mexico border region; and (6) the duration and quality of the jobs, economic development, and opportunities created. Sec. 489.006. FUNDING. (a) In addition to any amount appropriated by the legislature, the commission may request state agencies to apply for funds from the federal government or any other public or private entity. The commission may also solicit grants, gifts, and donations from private sources on the state's behalf. The use of a gift, grant, or donation solicited under this section must be consistent with the purposes of the commission. (b) The commission shall review and may require reports of state agencies that receive appropriations, gifts, grants, donations, or endowments as a result of the commission's recommendations. (c) A state agency may accept a gift, grant, donation, or endowment received as a result of the commission's recommendations. Sec. 489.007. STUDY OF PERSISTENT POVERTY COUNTIES. The commission may study counties with persistent poverty, as classified by the Economic Research Service of the United States Department of Agriculture. SECTION 2. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2003.