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A BILL TO BE ENTITLED
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AN ACT
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relating to the qualifications for appointment to the board of |
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directors of certain economic development corporations. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 4B(c), Development Corporation Act of |
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1979 (Article 5190.6, Vernon's Texas Civil Statutes), is amended to |
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read as follows: |
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(c) The board of directors of a corporation under this |
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section consists of seven directors who are appointed by the |
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governing body of the eligible city for two-year terms of office. A |
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director may be removed by the governing body of the eligible city |
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at any time without cause. Each director of a corporation created |
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by an eligible city with a population of 100,000 [20,000] or more |
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must be a resident of the eligible city. Each director of a |
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corporation created by an eligible city with a population of less |
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than 100,000 [20,000] must be a resident of the eligible city, be a |
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resident of the county in which the major part of the area of the |
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eligible city is located, or reside at a place that is within 10 |
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miles of the eligible city's boundaries and is in a county bordering |
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the county in which the major part of the area of the eligible city |
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is located. Not more than two directors of a corporation created by |
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an eligible city with a population of less than 100,000 may be |
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persons who are not residents of the eligible city. Three directors |
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shall be persons who are not employees, officers, or members of the |
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governing body of the eligible city. A majority of the entire |
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membership of the board is a quorum. The board shall conduct all |
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meetings within the boundaries of the eligible city. The board |
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shall appoint a president, a secretary, and other officers of the |
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corporation that the governing body of the eligible city considers |
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necessary. The corporation's registered agent must be an |
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individual resident of the state and the corporation's registered |
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office must be within the boundaries of the eligible city. |
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2007. |