BILL ANALYSIS

H.B. 2032

By: England

Ways & Means

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Under current law, certain cities qualify to use Chapter 334 of the Local Government Code to finance the development of convention and meeting space on certain park land.   However, the law as written applies only to municipalities with a population of less than 120,000.  As a city's population grows, it can exceed this stated population limit and thus inadvertently cease to qualify under that section of law. 

H.B. 2032 raises the population limit for a city from less than 120,000 to less than 130,000, and bases the population on the 2000 federal decennial census.  This will enable the City of Grand Prairie to continue to utilize this code provision for its efforts to develop convention and meeting space, which in turn generates tremendous economic development and investment for the city. The voters of Grand Prairie at a public referendum have already approved the use of a hotel occupancy tax for this purpose.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 2032 amends Local Government Code provisions that allow a municipality that is below a specified population threshold, is located in three counties, and acquires by purchase or lease with a term of not less than 20 years an interest in real property that is required to be maintained as a park property, to use revenue from a hotel occupancy tax imposed under that code for a convention center facility or related infrastructure to be constructed on the property. The bill changes the population threshold for the municipality from not less than 120,000 to not less than 130,000 and establishes that the population is to be determined from the 2000 federal decennial census.

EFFECTIVE DATE

On passage, or, if the act does not receive the necessary vote, the act takes effect September 1, 2009.