81R11680 NC-D
By: Geren H.B. No. 3072
A BILL TO BE ENTITLED
AN ACT
relating to the transfer of municipal property to economic
development corporations by certain municipalities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 253, Local Government Code, is amended
by adding Section 253.012 to read as follows:
Sec. 253.012. CONVEYANCE TO ECONOMIC DEVELOPMENT
CORPORATION BY CERTAIN MUNICIPALITIES. (a) In this section,
"economic development corporation" means a Type A corporation
governed by Chapter 504 or a Type B corporation governed by Chapter
505.
(b) This section applies only to a municipality with a
population of 20,000 or less.
(c) A municipality may transfer to an economic development
corporation, for consideration described by this section, real
property or an interest in real property without complying with the
notice and bidding requirements of Section 272.001(a) or other law.
(d) Consideration for a transfer authorized by this section
is in the form of an agreement between the parties that requires the
economic development corporation to use the property in a manner
that primarily promotes a public purpose of the municipality. If
the economic development corporation at any time fails to use the
property in that manner, ownership of the property automatically
reverts to the municipality.
(e) The municipality shall transfer the property by an
appropriate instrument of transfer. The instrument must include a
provision that:
(1) requires the economic development corporation to
use the property in a manner that primarily promotes a public
purpose of the municipality; and
(2) indicates that ownership of the property
automatically reverts to the municipality if the nonprofit
organization at any time fails to use the property in that manner.
SECTION 2. 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, 2009.