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A BILL TO BE ENTITLED
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AN ACT
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relating to the operation and governance of tax increment financing |
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reinvestment zones. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 311.009(a), Tax Code, is amended to read |
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as follows: |
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(a) Except as provided by Subsection (b), the board of |
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directors of a reinvestment zone consists of at least five and not |
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more than 15 members, unless more than 15 members are required to |
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satisfy the requirements of this subsection. Each taxing unit other |
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than the municipality or county that created the zone that levies |
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taxes on real property in the zone may appoint one member of the |
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board if the taxing unit has approved the payment of all or part of |
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the tax increment produced by the unit into the tax increment fund |
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for the zone. A unit may waive its right to appoint a director. The |
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governing body of the municipality or county that created the zone |
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may appoint not more than 10 directors to the board; except that if |
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there are fewer than five directors appointed by taxing units other |
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than the municipality or county, the governing body of the |
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municipality or county may appoint more than 10 members as long as |
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the total membership of the board does not exceed 15. |
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SECTION 2. Section 311.0091, Tax Code, is amended by |
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amending Subsection (f) and adding Subsection (i) to read as |
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follows: |
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(f) Except as provided by Subsection (i), to [To] be |
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eligible for appointment to the board, an individual must: |
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(1) be a qualified voter of the municipality; or |
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(2) be at least 18 years of age and own real property |
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in the zone or be an employee or agent of a person that owns real |
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property in the zone. |
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(i) The eligibility criteria for appointment to the board |
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specified by Subsection (f) do not apply to an individual appointed |
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by a conservation and reclamation district: |
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(1) created under Section 59, Article XVI, Texas |
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Constitution; and |
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(2) the jurisdiction of which covers four counties. |
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SECTION 3. Section 311.013(l), Tax Code, is amended to read |
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as follows: |
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(l) The governing body of a municipality or county that |
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designates an area as a reinvestment zone may determine, in the |
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designating ordinance or order adopted under Section 311.003 or in |
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the ordinance or order adopted under Section 311.011 approving the |
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reinvestment zone financing plan for the zone, the portion of the |
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tax increment produced by the municipality or county that the |
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municipality or county is required to pay into the tax increment |
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fund for the zone. If a municipality or county does not determine |
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the portion of the tax increment produced by the municipality or |
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county that the municipality or county is required to pay into the |
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tax increment fund for a reinvestment zone, the municipality or |
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county is required to pay into the fund for the zone the entire tax |
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increment produced by the municipality or county, except as |
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provided by Subsection (b)(1). |
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SECTION 4. Section 311.016(a), Tax Code, is amended to read |
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as follows: |
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(a) On or before the 150th [90th] day following the end of |
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the fiscal year of the municipality or county, the governing body of |
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a municipality or county shall submit to the chief executive |
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officer of each taxing unit that levies property taxes on real |
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property in a reinvestment zone created by the municipality or |
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county a report on the status of the zone. The report must include: |
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(1) the amount and source of revenue in the tax |
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increment fund established for the zone; |
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(2) the amount and purpose of expenditures from the |
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fund; |
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(3) the amount of principal and interest due on |
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outstanding bonded indebtedness; |
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(4) the tax increment base and current captured |
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appraised value retained by the zone; and |
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(5) the captured appraised value shared by the |
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municipality or county and other taxing units, the total amount of |
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tax increments received, and any additional information necessary |
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to demonstrate compliance with the tax increment financing plan |
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adopted by the governing body of the municipality or county. |
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SECTION 5. This Act takes effect September 1, 2011. |