By: Laubenberg H.B. No. 3706

A BILL TO BE ENTITLED

AN ACT

relating to certain county or municipal districts that promote tourism or the film industry.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subtitle A, Title 10, Local Government Code, is amended by adding Chapter 309 to read as follows: CHAPTER 309. FILM DISTRICTS SUBCHAPTER A. GENERAL PROVISIONS

Sec. 309.001. DEFINITIONS. In this chapter:

(1) "Board" means a district's board of directors.

(2) "District" means a film district created under this chapter.

Sec. 309.002. NATURE OF DISTRICT. A district is a political subdivision of this state and a special district. [Sections 309.003-309.050 reserved for expansion] SUBCHAPTER B. CREATION

Sec. 309.051. CREATION BY POPULOUS MUNICIPALITY. A municipality with a population of one million or more may create a district as provided by this subchapter to promote the film industry in a designated area in the municipality.

Sec. 309.052. HEARING. Before creating a district, the governing body of a municipality must hold a hearing on the purposes and advisability of creating the district. Any interested person may speak at the hearing.

Sec. 309.053. ORDER CREATING DISTRICT; INITIAL DIRECTORS. (a) After a hearing under Section 309.052, if a governing body finds that the municipality and the designated area would benefit from the district's creation, the governing body by order may create the district.

(b) The order must specify:

(1) the district's boundaries, which must be wholly in the municipality;

(2) the number and qualifications of directors to be appointed under Section 309.103; and

(3) the initial directors and the terms of those initial directors, consistent with Subsection (c).

(c) The initial directors' terms must be staggered, with as near as possible to half of the directors' terms expiring on the same date in not more than one year and the remainder expiring on the same date in not more than two years. [Sections 309.054-309.100 reserved for expansion] SUBCHAPTER C. BOARD OF DIRECTORS

Sec. 309.101. GOVERNING BODY. A district is governed by a board of at least seven directors.

Sec. 309.102. TERMS. Directors serve staggered two-year terms.

Sec. 309.103. APPOINTMENT BY MUNICIPALITY. The governing body of a municipality that creates a district shall appoint the directors as provided by the order creating the district. The directors must include:

(1) two directors who represent the interests of the municipality and reside in the municipality;

(2) one director who represents a local or regional film commission that:

(A) is part of an international professional and educational organization for film commissions; and

(B) has an office located in the municipality, if a film commission described by Paragraph (A) has an office located in the municipality;

(3) one director who represents a school district that has the majority of its territory located in the municipality;

(4) one director who represents an institution of higher education, as defined by Section 61.003, Education Code, located in the municipality;

(5) one director who represents a public junior college, as defined by Section 61.003, Education Code, located in the municipality; and

(6) any other directors as provided by the order creating the district.

Sec. 309.104. COMPENSATION; EXPENSES. A director is not entitled to compensation but is entitled to reimbursement for actual and necessary expenses.

Sec. 309.105. OFFICERS. A board shall elect a presiding officer, a secretary, a treasurer, and any other officers the board considers necessary. [Sections 309.106-309.150 reserved for expansion] SUBCHAPTER D. POWERS AND DUTIES

Sec. 309.151. PROMOTION OF FILM INDUSTRY. A district shall promote the film industry in the district.

Sec. 309.152. PARTNERSHIP WITH LOCAL COMMUNITIES. A district shall act jointly with the municipality, local businesses, the film industry, and other local communities to promote the film industry in the district.

Sec. 309.153. INCENTIVES. A district may provide incentives to promote the film industry in the district.

Sec. 309.154. DONATIONS; GRANTS. A district may accept a donation or grant from any person for any district purpose.

Sec. 309.155. EXECUTIVE DIRECTOR; EMPLOYEES. A district may hire an executive director and other employees. [Sections 309.156-309.200 reserved for expansion] SUBCHAPTER E. FINANCIAL PROVISIONS

Sec. 309.201. BORROWING. A district may borrow money from any person for any district purpose. [Sections 309.202-309.250 reserved for expansion] SUBCHAPTER F. DISSOLUTION

Sec. 309.251. DISSOLUTION. A board may dissolve a district that has no debt.

SECTION 2. Subchapter D, Chapter 383, Local Government Code, is amended by adding Section 383.067 to read as follows:

Sec. 383.067. PROGRAM TO PROMOTE TOURISM. (a) A district may establish or administer a program to promote:

(1) the attraction of visitors and tourists to the district; and

(2) employment, economic activity, and travel in the district.

(b) As part of the program, the district may promote travel by county residents within the county.

(c) A district may use taxes collected under Subchapter F for a program created under this section or to make a loan or grant for a public purpose under Section 52-a, Article III, Texas Constitution. A program under this section is a program under Section 52-a, Article III, Texas Constitution.

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, 2007.