BILL ANALYSIS

 

 

Senate Research Center                                                                                                     H.B. 3440

80R4996 ATP-D                                                                                                  By: Parker (Harris)

                                                                             S/C on Emerging Technologies & Economic Dev.

                                                                                                                                              5/8/2007

                                                                                                                                           Engrossed

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The Development Corporation Act of 1979 is the organizing statute pursuant to which hundreds of Texas municipalities foster economic development through public grants and loans.  Airports are specifically included within the definition of qualifying projects under this Act, but whether certain airport facilities are included within this definition is unclear.

 

H.B. 3440 clarifies that airport projects include the hangars, maintenance and repair facilities, air cargo facilities, and related infrastructure that constitute an airport facility.  This bill also clarifies the authority of an entity that acquires a leasehold interest from a development corporation to enter into subleases if it has an agreement with the development corporation that authorizes such subleases.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Reenacts and amends Section 2(11), Development Corporation Act of 1979 (Article 5190.6, V.T.C.S.), as amended by Chapters 1, 1048, and 1148, Acts of the 79th Legislature, Regular Session, 2005, to redefine "project" to include projects that are undertaken by development corporations for the development, retention, or expansion of hangars, airport maintenance and repair facilities, air cargo facilities, and related infrastructure located on or adjacent to an airport facility.  Makes nonsubstantive changes.

 

SECTION 2.  Amends Section 4B(a)(2), Development Corporation Act of 1979 (Article 5190.6, V.T.C.S.), to redefine "project" to include land, buildings, equipment, facilities, and improvements found by development corporations to be required or suitable for the development or expansion of airport facilities, including hangars, airport maintenance and repair facilities, air cargo facilities, and related infrastructure located on or adjacent to an airport facility, if the project is undertaken by a development corporation created by certain eligible cities.

 

SECTION 3.  Effective date: upon passage or September 1, 2007.