79R8292 CLG-F
By: Delisi, Homer, Farabee, Corte, Seaman, H.B. No. 548
et al.
Substitute the following for H.B. No. 548:
By: Hodge C.S.H.B. No. 548
A BILL TO BE ENTITLED
AN ACT
relating to a project of a development corporation in connection
with a military base or facility.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2(11), Development Corporation Act of
1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended
to read as follows:
(11) [(A)] "Project" shall mean the land, buildings,
equipment, facilities, expenditures, targeted infrastructure, and
improvements (one or more) that are for the creation or retention of
primary jobs and that are found by the board of directors to be
required or suitable for the development, retention, or expansion
of manufacturing and industrial facilities, research and
development facilities, military facilities, including closed or
realigned military bases, transportation facilities (including but
not limited to airports, ports, mass commuting facilities, and
parking facilities), sewage or solid waste disposal facilities,
recycling facilities, air or water pollution control facilities,
facilities for the furnishing of water to the general public,
distribution centers, small warehouse facilities capable of
serving as decentralized storage and distribution centers, primary
job training facilities for use by institutions of higher
education, and regional or national corporate headquarters
facilities.
"Project" also includes job training required or
suitable for the promotion of development and expansion of business
enterprises and other enterprises described by this Act, as
provided by Section 38 of this Act.
"Project" also includes expenditures found by the board
of directors to be required or suitable for infrastructure
necessary to promote or develop new or expanded business
enterprises limited to streets and roads, rail spurs, water and
electric utilities, gas utilities, drainage and related
improvements, and telecommunications and Internet improvements.
"Project" also includes the infrastructure,
improvements, land acquisition, buildings, or expenditures that:
(A) are for the creation or retention of primary
jobs or jobs that are included in North American Industry
Classification System (NAICS) sector number 926120, Regulation and
Administration of Transportation Programs, for the corresponding
index entry for Coast Guard (except academy); and
(B) are found by the board of directors to be
required or suitable for:
(i) promoting or supporting a military base
in active use to prevent the possible future closure or realignment
of the base;
(ii) attracting new military missions to a
military base in active use; or
(iii) redeveloping a military base that has
been closed or realigned, including a military base closed or
realigned according to the recommendation of the Defense Base
Closure and Realignment Commission under the Defense Base Closure
and Realignment Act of 1990 (10 U.S.C. Section 2687 note).
SECTION 2. Section 2(17), Development Corporation Act of
1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to
read as follows:
(17) "Primary job" means:
(A) a job that is:
(i) [(A)] available at a company for which
a majority of the products or services of that company are
ultimately exported to regional, statewide, national, or
international markets infusing new dollars into the local economy;
and
(ii) [(B)] included in one of the following
sectors of the North American Industry Classification System
(NAICS): NAICS Sector # Description
111 Crop Production
112 Animal Production
113 Forestry and Logging
11411 Commercial Fishing
115 Support Activities for Agriculture and
Forestry
211-213 Mining
221 Utilities
311-339 Manufacturing
42 Wholesale Trade
48-49 Transportation and Warehousing
51 (excluding 512131 Information (excluding movie theaters and
and 512132) drive-in theaters)
523-525 Securities, Commodity Contracts, and Other Financial Investments and Related Activities; Insurance Carriers and Related Activities; Funds, Trusts, and Other Financial Vehicles
5413, 5415, 5416, Scientific Research and Development Services
5417, and 5419
551 Management of Companies and Enterprises
922140 Correctional Institutions; or
(B) a job that is included in North American
Industry Classification System (NAICS) sector number 928110,
National Security, for the corresponding index entries for Armed
Forces, Army, Navy, Air Force, Marine Corps, and Military Bases.
SECTION 3. Section 23(b), Development Corporation Act of
1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to
read as follows:
(b) The corporation shall not have the power to own or
operate any project as a business other than as lessor, seller, or
lender or pursuant to the requirements of any trust agreement
securing the credit transaction. Accordingly, the user pursuant to
any lease, sale, or loan agreement relating to a project shall be
considered to be the owner of the project for the purposes of the
application of any ad valorem, sales, and use taxes or any other
taxes levied or imposed by this state or any political subdivision
of this state. The purchase and holding of mortgages, deeds of
trust, or other security interests and contracting for any
servicing thereof shall not be deemed the operation of a project.
The corporation shall, however, have all powers necessary to own
and operate a project as a business if the project is a military
installation or military facility that has been closed or
realigned, including a military installation or facility closed or
realigned pursuant to the Defense Base Closure and Realignment Act
of 1990 (10 U.S.C. Section 2687 note) as amended.
SECTION 4. 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, 2005.