| 1 | 1 | | 81R7677 KFF-D |
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| 2 | 2 | | By: Leibowitz H.B. No. 3103 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to a change in ownership of entities awarded grants from |
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| 8 | 8 | | the Texas Enterprise Fund. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 481.078, Government Code, is amended by |
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| 11 | 11 | | adding Subsections (f-1) and (f-2) to read as follows: |
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| 12 | 12 | | (f-1) An entity that acquires, by merger, acquisition, or |
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| 13 | 13 | | other transfer, ownership or control of a grant recipient shall: |
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| 14 | 14 | | (1) report the change in ownership or control to the |
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| 15 | 15 | | governor; and |
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| 16 | 16 | | (2) comply with the terms and conditions of the grant |
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| 17 | 17 | | agreement entered into by the grant recipient and any other |
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| 18 | 18 | | requirement imposed on the grant recipient in connection with the |
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| 19 | 19 | | grant award. |
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| 20 | 20 | | (f-2) The grant agreement must include a provision |
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| 21 | 21 | | regarding the requirements of Subsection (f-1). A grant recipient |
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| 22 | 22 | | that is the subject of a merger, acquisition, or other transfer of |
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| 23 | 23 | | ownership or control shall include language in each contract |
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| 24 | 24 | | relating to the transfer that informs the acquiring entity of its |
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| 25 | 25 | | duties and obligations under Subsection (f-1). |
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| 26 | 26 | | SECTION 2. The changes in law made by this Act to Section |
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| 27 | 27 | | 481.078, Government Code, apply only to an agreement that is |
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| 28 | 28 | | entered into on or after the effective date of this Act. An |
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| 29 | 29 | | agreement that is entered into before the effective date of this Act |
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| 30 | 30 | | is governed by the law in effect on the date the agreement was |
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| 31 | 31 | | entered into, and the former law is continued in effect for that |
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| 32 | 32 | | purpose. |
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| 33 | 33 | | SECTION 3. This Act takes effect September 1, 2009. |
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