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A BILL TO BE ENTITLED
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AN ACT
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relating to the election of members of the boards of directors of |
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certain tax increment reinvestment zones. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 311, Tax Code, is amended by adding |
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Section 311.0093 to read as follows: |
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Sec. 311.0093. COMPOSITION OF BOARD OF DIRECTORS OF |
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REINVESTMENT ZONES IN CERTAIN POPULOUS MUNICIPALITIES. (a) This |
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section applies to a reinvestment zone located wholly or partly in a |
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municipality with a population of at least two million. |
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(b) For purposes of this section, an area adjacent to a |
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reinvestment zone means any area in an election precinct any part of |
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which is within two miles of the zone's boundaries in any direction. |
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(c) The board of directors of a reinvestment zone consists |
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of at least 11 and not more than 15 members, unless more than 15 |
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members are required to satisfy the requirements of this |
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subsection. A majority of members of the board must be elected in a |
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nonpartisan election. Each taxing unit that approves the payment |
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of all or part of its tax increment into the tax increment fund is |
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entitled to appoint a member, including the county or municipality |
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that designated the zone. A taxing unit may waive its right to |
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appoint a director. The member of the state senate in whose |
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district the zone is located is a member of the board, and the |
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member of the state house of representatives in whose district the |
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zone is located is a member of the board, except that either may |
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designate another individual to serve in the member's place at the |
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pleasure of the member. If the zone is located in more than one |
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senate or house district, this subsection applies only to the |
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senator or representative in whose district a larger portion of the |
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zone is located than any other senate or house district, as |
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applicable. The municipality shall hold an election to elect the |
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number of members to the board that results in at least 51 percent |
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of the members of the board being elected. |
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(d) An election required by this section must be held in an |
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even-numbered year on the uniform election date in November |
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authorized by Section 41.001, Election Code. A municipality may |
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contract with the county to hold the election. |
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(e) Members of the board are appointed or elected for terms |
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of two years unless longer terms are provided under Section 11, |
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Article XI, Texas Constitution. Terms of members may be staggered. |
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(f) Individuals residing in the zone or in an area adjacent |
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to the zone are eligible to vote in the election of members of the |
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board. |
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(g) A vacancy on the board is filled for the unexpired term |
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by appointment of the governing body of the taxing unit that |
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appointed the director who served in the vacant position or, if the |
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vacant position was an elected position, by election on the next |
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election date under Subsection (d) that provides sufficient time to |
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comply with other requirements of law. |
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(h) To be eligible for appointment or to be a candidate for |
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or be elected to the board, an individual must: |
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(1) be a qualified voter of the municipality and |
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reside in the zone or in an area adjacent to the zone; 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 in an area adjacent to the zone or be an employee or |
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agent of a person that owns real property in the zone or in an area |
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adjacent to the zone. |
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(i) Each year the board of directors of a reinvestment zone |
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shall elect one of its members to serve as presiding officer for a |
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term of one year. The board of directors may elect an assistant |
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presiding officer to preside in the absence of the presiding |
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officer or when there is a vacancy in the office of presiding |
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officer. The board may elect other officers as it considers |
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appropriate. |
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(j) A member of the board of directors of a reinvestment |
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zone: |
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(1) is not a public official by virtue of that |
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position; and |
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(2) unless otherwise ineligible, may be appointed to |
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serve concurrently on the board of directors of a local government |
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corporation created under Subchapter D, Chapter 431, |
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Transportation Code. |
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(k) This section does not apply to a tax increment |
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reinvestment zone designated in accordance with a law other than |
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this chapter that provides that an entity identified in the other |
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law serves as the board of directors of the tax increment |
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reinvestment zone. |
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SECTION 2. Section 311.004(a), Tax Code, is amended to read |
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as follows: |
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(a) The ordinance or order designating an area as a |
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reinvestment zone must: |
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(1) describe the boundaries of the zone with |
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sufficient definiteness to identify with ordinary and reasonable |
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certainty the territory included in the zone; |
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(2) create a board of directors for the zone and |
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specify the number of directors of the board as provided by Section |
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311.009, [or] 311.0091, or 311.0093, as applicable; |
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(3) provide that the zone take effect immediately upon |
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passage of the ordinance or order; |
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(4) provide a date for termination of the zone; |
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(5) assign a name to the zone for identification, with |
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the first zone created by a municipality or county designated as |
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"Reinvestment Zone Number One, City (or Town, as applicable) of |
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(name of municipality)," or "Reinvestment Zone Number One, (name of |
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county) County," as applicable, and subsequently created zones |
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assigned names in the same form numbered consecutively in the order |
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of their creation; |
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(6) establish a tax increment fund for the zone; and |
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(7) contain findings that: |
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(A) improvements in the zone will significantly |
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enhance the value of all the taxable real property in the zone and |
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will be of general benefit to the municipality or county; and |
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(B) the area meets the requirements of Section |
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311.005. |
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SECTION 3. (a) This section of this Act applies to a tax |
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increment reinvestment zone to which Section 311.0093, Tax Code, as |
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added by this Act, applies. |
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(b) Not later than January 1, 2021, the composition and |
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number of members serving on the board of a tax increment |
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reinvestment zone must comply with the requirements of Section |
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311.0093, Tax Code, as added by this Act. |
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(c) Members required to be elected to the board of a tax |
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increment reinvestment zone shall be elected beginning with the |
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general election conducted in 2020. Members then elected take |
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office January 1, 2021. |
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(d) The change in the manner of selection of the board of |
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directors of a tax increment reinvestment zone does not affect the |
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selection of directors who serve on the board before January 1, |
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2021. |
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(e) The term of a member of the board of directors serving on |
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December 31, 2020, expires on January 1, 2021. |
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SECTION 4. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2019. |