81R9115 SMH-D
By: Eissler H.B. No. 1756
A BILL TO BE ENTITLED
AN ACT
relating to the functions performed by the comptroller in
connection with applications and agreements under the Texas
Economic Development Act.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 313.008, Tax Code, as added by Chapter
1270 (H.B. 3430), Acts of the 80th Legislature, Regular Session,
2007, is amended by amending Subsections (a) and (c) and adding
Subsection (d) to read as follows:
(a) Before the beginning of each regular session of the
legislature, the comptroller shall submit to the lieutenant
governor, the speaker of the house of representatives, and each
member of the legislature a report assessing the progress of each
agreement entered into under this chapter. The report must be
based on data certified to the comptroller by each recipient of a
limitation on appraised value under this chapter and state for each
agreement:
(1) the number of qualifying jobs each recipient of a
limitation on appraised value committed to create;
(2) the number of qualifying jobs each recipient
created;
(3) the median wage of the new jobs each recipient
created;
(4) the amount of the qualified investment each
recipient committed to expend or allocate per project;
(5) the amount of the qualified investment each
recipient expended or allocated per project;
(6) the market value of the qualified property of each
recipient as determined by the applicable chief appraiser;
(7) the limitation on appraised value for the
qualified property of each recipient;
(8) the dollar amount of the taxes that would have been
imposed on the market value of the qualified property if the
property had not received a limitation on appraised value;
(9) the dollar amount of the taxes imposed on the
qualified property;
(10) the number of new jobs created by each recipient
in each sector of the North American Industry Classification
System; [and]
(11) of the number of new jobs each recipient created,
the number of jobs created that provide health benefits for
employees;
(12) the dollar amount of any payment in lieu of the
taxes on the qualified property made by each recipient to each
school district or to a foundation or other entity created to
benefit the district;
(13) the amount of the investment each recipient
estimates will be expended or allocated per project; and
(14) the number of qualifying jobs each recipient
estimates will be created.
(c) The comptroller may require a recipient to submit, on a
form the comptroller provides, information required to complete the
report. Failure to submit the required information is considered
to be a failure to comply with the terms of the agreement for
purposes of Section 313.027.
(d) Each school district that is a party to an agreement
entered into under this chapter shall assist the comptroller in
collecting any data required to complete the report.
SECTION 2. Section 313.025, Tax Code, is amended by
amending Subsection (b-1) and adding Subsections (h) and (i) to
read as follows:
(b-1) The comptroller shall indicate on one copy of the
application the date the comptroller received the application and
deliver that copy to the Texas Education Agency. The Texas
Education Agency shall determine the local revenue gains or losses
that would be realized by the school district and the impact on
state aid to the district under the Foundation School Program, as
required to be included in the economic impact evaluation by
Section 313.026(a)(6)(A), and the effect that the applicant's
proposal will have on the number or size of the school district's
instructional facilities, as required to be included in the
economic impact evaluation by Section 313.026(a)(9), and submit a
written report containing the agency's determination to the
comptroller. The governing body of the school district shall
provide any requested information to the Texas Education
Agency. Not later than the 45th day after the date the application
indicates that the comptroller received the application, the Texas
Education Agency shall make the required determinations
[determination] and submit the agency's written report to the
comptroller. A third person contracted by the comptroller to
conduct an economic impact evaluation of an application is not
required to make a determination that the Texas Education Agency is
required to make and report to the comptroller under this
subsection.
(h) After receiving a copy of the application, the
comptroller shall determine whether the property meets the
requirements of Section 313.024 for eligibility for a limitation on
appraised value under this subchapter. The comptroller shall
notify the governing body of the school district of the
comptroller's determination and provide the governing body an
opportunity for a hearing before the determination becomes final.
A hearing under this subsection is a contested case hearing and
shall be conducted by the State Office of Administrative Hearings
in the manner provided by Section 2003.101, Government Code. The
governing body of the school district has the burden of proof on
each issue in the hearing. The governing body of the school
district may seek judicial review of the comptroller's
determination in a Travis County district court under the
substantial evidence rule as provided by Subchapter G, Chapter
2001, Government Code.
(i) Notwithstanding the other provisions of this section,
if the comptroller determines under Subsection (h) that the
property does not meet the requirements of Section 313.024 for
eligibility for a limitation on appraised value under this
subchapter, the comptroller is not required to provide an economic
impact evaluation of the application or to submit a recommendation
to the school district as to whether the application should be
approved or disapproved, and the governing body of the school
district may not grant the application.
SECTION 3. Section 313.026(a), Tax Code, is amended to read
as follows:
(a) The economic impact evaluation of the application must
include the following:
(1) the recommendations of the comptroller;
(2) the relationship between the applicant's industry
and the types of qualifying jobs to be created by the applicant to
the long-term economic growth plans of this state as described in
the strategic plan for economic development submitted by the Texas
Strategic Economic Development Planning Commission under Section
481.033, Government Code, as that section existed before February
1, 1999;
(3) the relative level of the applicant's investment
per qualifying job to be created by the applicant;
(4) the wages, salaries, and benefits to be offered by
the applicant to qualifying job holders;
(5) the ability of the applicant to locate or relocate
in another state or another region of this state;
(6) the impact the added infrastructure will have on
the region, including:
(A) local revenue gains or losses that would be
realized by the school district and the impact on state aid to the
district under the Foundation School Program; and
(B) subsequent economic effects on the local and
regional tax bases;
(7) the economic condition of the region of the state
at the time the person's application is being considered;
(8) the number of new facilities built or expanded in
the region during the two years preceding the date of the
application that were eligible to apply for a limitation on
appraised value under this subchapter; and
(9) the effect of the applicant's proposal, if
approved, on the number or size of the school district's
instructional facilities, as defined by Section 46.001, Education
Code.
SECTION 4. Section 313.008, Tax Code, as added by Chapter
939 (H.B. 3693), Acts of the 80th Legislature, Regular Session,
2007, and Section 313.032, Tax Code, are repealed.
SECTION 5. Sections 313.025 and 313.026, Tax Code, as
amended by this Act, apply only to an application for a limitation
on appraised value that is filed with the governing body of a school
district on or after the effective date of this Act. An application
for a limitation on appraised value that is filed with the governing
body of a school district before the effective date of this Act is
governed by the law as it existed immediately before the effective
date of this Act, and that law is continued in effect for that
purpose.
SECTION 6. This Act takes effect September 1, 2009.