Texas 2011 - 82nd Regular

Texas House Bill HB1263 Compare Versions

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1	1	By: Lucio III, Solomons (Senate Sponsor - Shapiro) H.B. No. 1263
2	2	(In the Senate - Received from the House April 18, 2011;
3	3	April 26, 2011, read first time and referred to Committee on
4	4	Economic Development; May 5, 2011, reported favorably by the
5	5	following vote: Yeas 5, Nays 0; May 5, 2011, sent to printer.)
6	6
7	7
8	8	A BILL TO BE ENTITLED
9	9	AN ACT
10	10	relating to the powers, duties, and financing of certain facilities
11	11	finance corporations.
12	12	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
13	13	SECTION 1. Section 2(a), Cultural Education Facilities
14	14	Finance Corporation Act (Article 1528m, Vernon's Texas Civil
15	15	Statutes), is amended to read as follows:
16	16	(a) The legislature finds that:
17	17	(1) the health, education, and general welfare of the
18	18	people of this state require the development of new and expanded
19	19	cultural and community facilities for the purpose of:
20	20	(A) exhibition and promotion of and education
21	21	about the performing, dramatic, visual, and literary arts; the
22	22	culture and history of races, ethnic groups, and national heritage
23	23	groups; and history, natural history, and science;
24	24	(B) promotion of and education about health and
25	25	physical fitness, public health and safety, conservation and
26	26	preservation of the environment or natural resources, child care,
27	27	adoption, children's services, substance abuse counseling, family
28	28	counseling, and care of persons who are elderly or disabled;
29	29	(C) administering the provision and granting of
30	30	charitable services and grants in accomplishment of the purposes
31	31	described by Paragraph (B) of this subdivision;
32	32	(D) promotion of and education about activities
33	33	devoted to general cultural improvement, including scouting
34	34	programs and programs by which agencies seek to provide facilities
35	35	for retreats in urban or rural settings;
36	36	(E) support of agencies devoted to the
37	37	eradication, elimination, or amelioration of one or more diseases
38	38	or afflictions affecting health or improving the condition of
39	39	individuals or groups within a community; and
40	40	(F) provision of public health and safety and
41	41	charitable services to communities in times of catastrophe or
42	42	disaster;
43	43	(2) the existence, development, and expansion of
44	44	cultural facilities are essential to the continuing education,
45	45	health, general welfare, and comfort of the citizens of this state;
46	46	(3) the means and measures authorized and the
47	47	assistance provided by this Act are in the public interest and serve
48	48	a public purpose in promoting the health, education, and general
49	49	welfare of the people of this state by securing and maintaining
50	50	cultural facilities and the resulting advancement of culture and
51	51	civilization;
52	52	(4) qualified cultural organizations in this state
53	53	have invested substantial funds in useful and beneficial cultural
54	54	facilities and have experienced difficulty in undertaking
55	55	additional projects because of the partial inadequacy of their own
56	56	funds or of funds potentially available from local subscription
57	57	sources and because of limitations of local financial institutions
58	58	in providing necessary financing for these facilities;
59	59	(5) qualified nonprofit corporations in this state
60	60	have invested substantial funds in useful and beneficial cultural
61	61	facilities and have experienced difficulty in undertaking
62	62	additional projects because of the inadequacy of their own funds or
63	63	of funds potentially available from local subscription sources and
64	64	because of limitations of local financial institutions in providing
65	65	necessary financing for these facilities; and
66	66	(6) [(5)] the enactment of this Act will:
67	67	(A) secure for present and future generations the
68	68	benefits and nurturance derived from these cultural facilities; and
69	69	(B) enhance the public health and welfare of
70	70	communities receiving the benefit of the cultural facilities.
71	71	SECTION 2. Section 3(5), Cultural Education Facilities
72	72	Finance Corporation Act (Article 1528m, Vernon's Texas Civil
73	73	Statutes), is amended to read as follows:
74	74	(5) "Cultural facility" means any capital expenditure
75	75	by a user. The term includes:
76	76	(A) real property or an interest in real
77	77	property, including buildings and improvements, or equipment,
78	78	furnishings, or other personal property that:
79	79	(i) is found by the board to be necessary or
80	80	convenient to finance, refinance, acquire, construct, enlarge,
81	81	remodel, renovate, improve, furnish, or equip for cultural
82	82	education or community benefit;
83	83	(ii) is made available for use by the
84	84	general public, the user, or community groups; and
85	85	(iii) is used for a purpose described by
86	86	Section 2(a)(1) of this Act; [and]
87	87	(B) a facility in which any of the following
88	88	entities engage in any activity in which the entity is permitted to
89	89	engage:
90	90	(i) a nonprofit corporation exempt from the
91	91	state franchise tax under Section 171.063, Tax Code;
92	92	(ii) an organization described in Section
93	93	11.18, Tax Code; or
94	94	(iii) an organization described in Section
95	95	501(c)(3), Internal Revenue Code of 1986; and
96	96	(C) facilities incidental, subordinate, or
97	97	related to or appropriate in connection with property described by
98	98	Paragraph (A) or (B) of this subdivision, [located within the
99	99	state,] regardless of the date of construction or acquisition.
100	100	SECTION 3. Section 4, Cultural Education Facilities Finance
101	101	Corporation Act (Article 1528m, Vernon's Texas Civil Statutes), is
102	102	amended by amending Subsections (b) and (c) and adding Subsection
103	103	(e) to read as follows:
104	104	(b) The corporation shall be created and organized in the
105	105	same manner as a health facilities development corporation under
106	106	Chapter 221, Health and Safety Code, and has the same powers,
107	107	authority, and rights:
108	108	(1) with respect to cultural facilities and health
109	109	facilities that a health facilities development corporation has
110	110	with respect to health facilities under Chapter 221, Health and
111	111	Safety Code; and
112	112	(2) with respect to educational facilities, housing
113	113	facilities, and other facilities incidental, subordinate, or
114	114	related to those facilities that a nonprofit corporation created
115	115	under Section 53.35(b), Education Code, or an authority created
116	116	under Section 53.11, Education Code, has under Chapter 53,
117	117	Education Code.
118	118	(c) The powers of a corporation under Subsection (b) include
119	119	the power to acquire, purchase, lease, mortgage, and convey
120	120	property with respect to a facility; borrow money by issuing bonds,
121	121	notes, and other obligations; lend money for its corporate
122	122	purposes; invest and reinvest its funds; and secure its bonds,
123	123	notes, and obligations by mortgaging, pledging, assigning, or
124	124	otherwise encumbering its property or assets. Except as otherwise
125	125	provided by this Act, any bonds, notes, or other obligations
126	126	authorized under this subsection must be issued in accordance with
127	127	Chapter 1201, Government Code.
128	128	(e) Regardless of any other provision in Chapter 221, Health
129	129	and Safety Code, or Chapter 53, Education Code, the corporation may
130	130	exercise its powers on behalf of a user outside of this state if the
131	131	user also conducts lawful activities in this state.
132	132	SECTION 4. This Act takes effect immediately if it receives
133	133	a vote of two-thirds of all the members elected to each house, as
134	134	provided by Section 39, Article III, Texas Constitution. If this
135	135	Act does not receive the vote necessary for immediate effect, this
136	136	Act takes effect September 1, 2011.
137	137	* * * * *