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A BILL TO BE ENTITLED
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AN ACT
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relating to authorizing certain projects to be undertaken by |
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economic development corporations. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter C, Chapter 501, Local Government |
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Code, is amended by adding Sections 501.1031 and 501.108 to read as |
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follows: |
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Sec. 501.1031. CERTAIN GENERAL INFRASTRUCTURE PROJECTS. In |
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this subtitle, "project" includes expenditures that are found by |
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the board of directors to be suitable for general infrastructure, |
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limited to the development, improvement, maintenance, or expansion |
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of: |
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(1) streets and roads; |
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(2) water supply facilities; or |
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(3) sewage facilities. |
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Sec. 501.108. PROJECTS RELATED TO PUBLIC SAFETY. (a) In |
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this subtitle, "project" includes expenditures that are found by |
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the board of directors to be required or suitable for improving, |
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enhancing, or supporting public safety, including: |
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(1) expenditures for improving public safety |
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facilities; |
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(2) expenditures for public safety equipment and for |
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first responders and other personnel; and |
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(3) other expenditures that enhance the level of |
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services provided by public safety facilities. |
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(b) For purposes of this section, "first responder" has the |
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meaning assigned by Section 421.095, Government Code. |
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SECTION 2. Section 504.103(a), Local Government Code, is |
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amended to read as follows: |
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(a) Except as otherwise provided by this section or Section |
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501.1031, a Type A corporation may not undertake a project the |
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primary purpose of which is to provide: |
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(1) a transportation facility; |
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(2) a solid waste disposal facility; |
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(3) a sewage facility; |
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(4) a facility for furnishing water to the general |
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public; or |
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(5) an air or water pollution control facility. |
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SECTION 3. Subchapter D, Chapter 504, Local Government |
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Code, is amended by adding Section 504.172 to read as follows: |
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Sec. 504.172. AUTHORITY TO UNDERTAKE CERTAIN GENERAL |
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INFRASTRUCTURE PROJECTS OR PUBLIC SAFETY PROJECTS; ELECTION. (a) |
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Notwithstanding any other provision of this subtitle, a Type A |
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corporation may not use proceeds from the sales and use tax or |
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other corporate revenues to undertake the category of projects |
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described by Section 501.1031 or the projects described by Section |
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501.108 unless the use of tax proceeds or other corporate revenues |
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for those purposes is authorized by an election as provided by this |
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section. |
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(b) The governing body of a Type A corporation's authorizing |
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municipality by resolution may order an election on the question of |
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approving the use of sales and use tax proceeds and other corporate |
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revenues for: |
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(1) the category of general infrastructure projects |
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described by Section 501.1031; or |
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(2) the public safety projects described by Section |
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501.108. |
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(c) A resolution ordering an election under Subsection (b) |
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must be passed by majority vote of all members of the governing body |
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of the corporation's authorizing municipality and entered in its |
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minutes. |
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(d) The governing body of a Type A corporation's authorizing |
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municipality shall order an election on the question described by |
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Subsection (b)(1) or (2) on receipt of a petition requesting the |
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election that is signed by a number of registered voters of the |
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municipality equal to at least 10 percent of the number of voters |
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participating in the last general election held in the |
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municipality. |
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(e) An election under this section must be held on the first |
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authorized uniform election date prescribed by Chapter 41, Election |
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Code, that occurs after the date the election is ordered and that |
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allows sufficient time to comply with other requirements of law. |
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(f) The ballot in an election under this section on the |
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question described by Subsection (b)(1) shall be printed to provide |
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for voting for or against the proposition: "Allowing the use of Type |
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A corporation sales tax funds and other corporate revenues for |
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streets and roads, water supply facilities, or sewage facilities in |
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the City of ." |
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(g) The ballot in an election under this section on the |
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question described by Subsection (b)(2) shall be printed to provide |
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for voting for or against the proposition: "Allowing the use of Type |
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A corporation sales tax funds and other corporate revenues for |
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improving, enhancing, or supporting public safety in the City of |
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." |
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SECTION 4. The heading to Subchapter D, Chapter 505, Local |
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Government Code, is amended to read as follows: |
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SUBCHAPTER D. AUTHORIZATION FOR ADDITIONAL [AUTHORIZED] PROJECTS |
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SECTION 5. Subchapter D, Chapter 505, Local Government |
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Code, is amended by adding Section 505.162 to read as follows: |
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Sec. 505.162. AUTHORITY TO UNDERTAKE CERTAIN GENERAL |
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INFRASTRUCTURE PROJECTS OR PUBLIC SAFETY PROJECTS; ELECTION. (a) |
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Notwithstanding any other provision of this subtitle, a Type B |
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corporation may not use proceeds from the sales and use tax or other |
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corporate revenues to undertake the category of projects described |
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by Section 501.1031 or the projects described by Section 501.108 |
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unless the use of tax proceeds or other corporate revenues for |
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those purposes is authorized by an election as provided by this |
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section. |
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(b) The governing body of a Type B corporation's authorizing |
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municipality by resolution may order an election on the question of |
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approving the use of sales and use tax proceeds and other corporate |
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revenues for: |
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(1) the category of general infrastructure projects |
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described by Section 501.1031; or |
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(2) the public safety projects described by Section |
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501.108. |
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(c) A resolution ordering an election under Subsection (b) |
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must be passed by majority vote of all members of the governing body |
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of the corporation's authorizing municipality and entered in its |
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minutes. |
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(d) The governing body of a Type B corporation's authorizing |
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municipality shall order an election on the question described by |
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Subsection (b)(1) or (2) on receipt of a petition requesting the |
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election that is signed by a number of registered voters of the |
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municipality equal to at least 10 percent of the number of voters |
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participating in the last general election held in the |
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municipality. |
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(e) An election under this section must be held on the first |
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authorized uniform election date prescribed by Chapter 41, Election |
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Code, that occurs after the date the election is ordered and that |
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allows sufficient time to comply with other requirements of law. |
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(f) The ballot in an election under this section on the |
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question described by Subsection (b)(1) shall be printed to provide |
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for voting for or against the proposition: "Allowing the use of Type |
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B corporation sales tax funds and other corporate revenues for |
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streets and roads, water supply facilities, or sewage facilities in |
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the City of ." |
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(g) The ballot in an election under this section on the |
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question described by Subsection (b)(2) shall be printed to provide |
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for voting for or against the proposition: "Allowing the use of Type |
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B corporation sales tax funds and other corporate revenues for |
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improving, enhancing, or supporting public safety in the City of |
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." |
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SECTION 6. 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, 2021. |