82R10657 SMH-D
 
  By: Watson S.B. No. 1574
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the use of money in a tax increment fund to pay costs
  related to public improvements used for social services programs
  that promote the development or redevelopment of a reinvestment
  zone.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 311.008(b), Tax Code, is amended to read
  as follows:
         (b)  A municipality or county may exercise any power
  necessary and convenient to carry out this chapter, including the
  power to:
               (1)  cause project plans to be prepared, approve and
  implement the plans, and otherwise achieve the purposes of the
  plan;
               (2)  acquire real property by purchase, condemnation,
  or other means to implement project plans and sell that property on
  the terms and conditions and in the manner it considers advisable;
               (3)  enter into agreements, including agreements with
  bondholders, determined by the governing body of the municipality
  or county to be necessary or convenient to implement project plans
  and achieve their purposes, which agreements may include
  conditions, restrictions, or covenants that run with the land or
  that by other means regulate or restrict the use of land; and
               (4)  consistent with the project plan for the zone:
                     (A)  acquire blighted, deteriorated,
  deteriorating, undeveloped, or inappropriately developed real
  property or other property in a blighted area or in a federally
  assisted new community in the zone for the preservation or
  restoration of historic sites, beautification or conservation, the
  provision of public works or public facilities, or other public
  purposes;
                     (B)  acquire, construct, reconstruct, or install
  public works, facilities, or sites or other public improvements,
  including utilities, streets, street lights, water and sewer
  facilities, pedestrian malls and walkways, parks, flood and
  drainage facilities, or parking facilities, but not including
  educational facilities; [or]
                     (C)  in a reinvestment zone created on or before
  September 1, 1999, acquire, construct, or reconstruct educational
  facilities in the municipality; or
                     (D)  in a reinvestment zone created in a county
  that has a population of less than 1.5 million but in which a
  municipality is primarily located that has a population of at least
  775,000, acquire, construct, reconstruct, or install public
  improvements used for social services programs that promote the
  development or redevelopment of the zone, including improvements
  related to programs designed to:
                           (i)  provide a social safety net through the
  provision of basic necessities such as food, clothing, shelter,
  health care, and mental health care and the protection of
  constitutionally guaranteed legal rights;
                           (ii)  help disadvantaged people make the
  transition out of poverty by ensuring the availability of
  educational, employment, and other opportunities for furthering
  self-reliance;
                           (iii)  prevent problematic conditions at the
  individual and community level through education, preventive
  physical and mental health programs, crime prevention programs, and
  other preventive programs;
                           (iv)  provide family and societal support
  services, including education, child care, counseling and
  assistance for the aging, youth, the homeless, and the unemployed,
  rehabilitation services, and other support services; and
                           (v)  encourage personal development and
  community enrichment through cultural and educational programs.
         SECTION 2.  Section 311.010, Tax Code, is amended by adding
  Subsections (b-1) and (b-2) to read as follows:
         (b-1)  An agreement under Subsection (b) relating to a
  reinvestment zone described by Section 311.008(b)(4)(D) may:
               (1)  during the term of the agreement dedicate, pledge,
  or otherwise provide for the use of revenue in the tax increment
  fund to pay project costs relating to the cost of public
  improvements described by that paragraph; or
               (2)  dedicate revenue from the tax increment fund to
  pay the costs of operating or administering programs described by
  that paragraph.
         (b-2)  A municipality or county may not use revenue from a
  tax increment fund dedicated, pledged, or otherwise provided for a
  purpose described by Subsection (b-1) to replace revenue the
  municipality or county would otherwise have spent from other
  sources for that purpose.
         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, 2011.