81R7814 CLG-D
 
  By: Button H.B. No. 1198
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the qualifications for certification of a person as a
  qualified business under the enterprise zone program.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 2303.402, Government Code, is amended by
  amending Subsection (a) and adding Subsection (b) to read as
  follows:
         (a)  In this section, "emerging technology" means:
               (1)  semiconductors;
               (2)  information and computer technology;
               (3)  micro-electromechanical systems;
               (4)  manufactured energy systems;
               (5)  nanotechnology; and
               (6)  biotechnology. 
         (b)  A person is a qualified business if the bank, for the
  purpose of state benefits under this chapter, or the nominating
  body of a project or activity of the person under this chapter, for
  the purpose of local incentives, certifies that:
               (1)  the person is engaged in or has provided
  substantial commitment to initiate the active conduct of a trade or
  business in an enterprise zone, and:
                     (A)  if the trade or business is an emerging
  technology trade or business, at least 25 percent of the person's
  new employees in the enterprise zone are economically disadvantaged
  individuals; or
                     (B)  if the trade or business is not an emerging
  technology trade or business, at least 25 percent of the person's
  new employees in the enterprise zone are:
                           (i) [(A)]  residents of any enterprise zone
  in this state; or
                           (ii) [(B)]  economically disadvantaged
  individuals; or
               (2)  the person is engaged in or has provided
  substantial commitment to initiate the active conduct of a trade or
  business in an area of this state that does not qualify as an
  enterprise zone, and:
                     (A)  if the trade or business is an emerging
  technology trade or business, at least 35 percent of the person's
  new employees at the qualified business site are individuals who
  are economically disadvantaged; or
                     (B)  if the trade or business is not an emerging
  technology trade or business, at least 35 percent of the person's
  new employees at the qualified business site are:
                           (i) [(A)]  residents of any enterprise zone
  in this state; or
                           (ii) [(B)]  individuals who are
  economically disadvantaged.
         SECTION 2.  The changes in law made by this Act to Section
  2303.402, Government Code, apply only to an application for a
  designation under the enterprise zone program under Chapter 2303,
  Government Code, as amended by this Act, that is filed on or after
  the effective date of this Act. An application for a designation
  under the enterprise zone program that is filed before the
  effective date of this Act is governed by the law in effect on the
  date the application was filed, and the former law is continued in
  effect for that purpose.
         SECTION 3.  This Act takes effect September 1, 2009.