BILL ANALYSIS

Senate Research Center	S.B. 1331
85R5574 SMT-D	By: Hughes
	Intergovernmental Relations
	4/21/2017
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The governmental entities and chambers of commerce in Bowie County, Texas, and adjoining counties have expressed an interest in developing a regional economic development entity to bring jobs to the area. TexAmericas Center should be a major player in this endeavor since it is the only entity owning and/or controlling a site of approximately 9,000 acres, a part of the former Lone Star Army Ammunition Plant. Regional economic development activities in cooperation with other governmental and private entities will allow for both financial growth and planning, which will in turn benefit TexAmericas Center and the surrounding areas. Thus, one of the purposes of TexAmericas Center should include regional economic development that will enhance the ability to redevelop the property of the Center.

S.B. 1331 specifies and grants the TexAmericas Center the authority to enter into and participate in regional economic development activities with other entities, including, but not limited to, nonprofit corporations established under the Development Corporation Act (Chapters 501-504, Local Government Code). It also allows them to establish a nonprofit organization for certain activities they are already authorized to conduct by statute.

As proposed, S.B. 1331 amends current law relating to the powers of the Texamericas Center.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 3503.003(a), Special District Local Laws Code, to provide that the TexAmericas Center (authority) is created to among certain other duties, promote regional economic development and job creation inside and outside of the district's boundaries.

SECTION 2. Amends Subchapter C, Chapter 3503, Special District Local Laws, by adding Section 3503.112, as follows:

Sec. 3503.112. NONPROFIT CORPORATIONS FOR SPECIAL PROJECTS. (a) Authorizes the authority to authorize by resolution the creation of a nonprofit corporation under the Business Organizations Code solely to undertake on behalf of the authority a project described by Section 3503.003(a)(3) (relating to providing that the authority is created to undertake certain projects the authority's board of directors (board) considers necessary).

(b) Requires the board to appoint the board of directors of each nonprofit corporation created under this section. Provides that a board member is not required to reside in the authority.

(c) Authorizes a board member or employee of the authority to simultaneously serve as a member of the board of directors of a nonprofit corporation. Authorizes a person serving as a board member of the authority and of a nonprofit corporation created by the authority to participate in all votes relating to the business of the authority or the corporation, regardless of any statutory prohibition.

SECTION 3. Effective date: September 1, 2017.