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A BILL TO BE ENTITLED
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AN ACT
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relating to the ability of certain municipalities enhancing |
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participation in economic development programs, including small |
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business development. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. PURPOSE. The purpose of this Act is to enable |
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greater participation in economic development programs, including |
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development of emerging small businesses, and to attract new |
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investment to these zones. |
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SECTION 2. Chapter 501, Local Government Code is amended by |
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adding subchapter J to read as follows: |
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SUBCHAPTER J: ECONOMIC DEVELOPMENT BY CERTAIN MUNICIPALITIES |
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Section 501.501 ECONOMIC AND SMALL BUSINESS DEVELOPMENT A |
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municipality with a population of 70,000 or less that is located in |
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a county in which all or part of a military installation is located |
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may, by vote, adopt an ordinance directing the orderly economic |
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development of the municipality, including the development of |
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small businesses in the municipality. |
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SECTION 501.502 ECONOMIC AND SMALL BUSINESS DEVELOPMENT |
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PLAN In developing the economic development ordinance, including |
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portions of the ordinance dealing with the development of small |
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businesses, a municipality may create or participate in a |
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reinvestment zone financing plan, that may operate under Section |
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403.302(e), Government Code or may create another plan, under other |
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existing law. |
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SECTION 501.503 INTERACTION WITH OTHER FINANCING PLANS The |
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provisions of Section 403.302(e), Government Code apply only if all |
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participants in reinvestment zone financing plan agree with the use |
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of the provision to accelerate the economic development of Small |
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Businesses in the participating political subdivisions. |
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SECTION 3. Section 403.302(e), Government Code, is amended |
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by adding subsection (e): (e) The total dollar amount deducted in |
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each year as required by Subsection (d)(4) in a reinvestment zone |
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created after January 1, 1999, may not exceed the captured |
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appraised value estimated for that year as required by Section |
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311.011(c)(8), Tax Code, in the reinvestment zone financing plan |
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approved under Section 311.011(d), Tax Code, before September 1, |
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1999. The number of years for which the total dollar amount may be |
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deducted under Subsection (d)(4) shall for any zone, including |
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those created on or before January 1, 1999, be limited to the |
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duration of the zone as specified as required by Section 311.017, |
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Tax Code. 311.011(c)(9), Tax Code, in the reinvestment zone |
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financing plan approved under Section 311.011(d), Tax Code, before |
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September 1, 1999. |
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Subsection (d)(4) for any zone, including those created on or |
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before January 1, 1999, may not be increased by any reinvestment |
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zone financing plan amendments that occur after August 31, 1999. |
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The total dollar amount deducted under Subsection (d)(4) for any |
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zone, including those created on or before January 1, 1999, may not |
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be increased by a change made after August 31, 1999, in the portion |
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of the tax increment retained by the school district. |
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SECTION 4. This Act takes effect September 1, 2011. |