79R9640 ATP-F
By: Deshotel H.B. No. 3036
A BILL TO BE ENTITLED
AN ACT
relating to the number, terms, and removal of directors of certain
development corporations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 4A(c), Development Corporation Act of
1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to
read as follows:
(c) The board of directors of a corporation under this
section consists of at least three [five] directors who are
appointed by the governing body of the city and who serve at the
pleasure of the governing body and may be removed by the governing
body at any time without cause. The governing body of the city
shall determine the number of directors and the length of the term
of each director, not to exceed six years. A majority of the entire
membership of the board constitutes a quorum. The board shall
conduct each of its meetings within the boundaries of the city. The
board shall appoint a president, a secretary, and other officers of
the corporation that the governing body of the city considers
necessary. The corporation's registered agent must be an
individual resident of the state and the corporation's registered
office must be within the boundaries of the city.
SECTION 2. Not later than January 1, 2006, the governing
body of a city that has created a corporation governed by Section
4A, Development Corporation Act of 1979 (Article 5190.6, Vernon's
Texas Civil Statutes), shall take action necessary to conform the
number and length of terms of the board of directors of that
corporation to the requirements of Section 4A(c), Development
Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil
Statutes), as amended by this Act.
SECTION 3. 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.