Texas 2013 - 83rd Regular

Texas Senate Bill SB1496 Compare Versions

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1	1	By: Davis, West S.B. No. 1496
2	2	(In the Senate - Filed March 7, 2013; March 18, 2013, read
3	3	first time and referred to Committee on Economic Development;
4	4	April 11, 2013, reported favorably by the following vote: Yeas 4,
5	5	Nays 1; April 11, 2013, sent to printer.)
6	6
7	7
8	8	A BILL TO BE ENTITLED
9	9	AN ACT
10	10	relating to use of the money from the Texas Enterprise Fund and the
11	11	Texas emerging technology fund to benefit certain historically
12	12	underutilized businesses.
13	13	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
14	14	SECTION 1. Section 481.078, Government Code, is amended by
15	15	adding Subsections (n) and (o) to read as follows:
16	16	(n) To encourage the development and location of
17	17	historically underutilized businesses in this state, the governor
18	18	shall consider making grants from the fund:
19	19	(1) to recipients that are historically underutilized
20	20	businesses in this state that commit to using the grants to create
21	21	additional jobs; or
22	22	(2) to recipients that are historically underutilized
23	23	businesses from outside the state that commit to relocate to this
24	24	state.
25	25	(o) For purposes of this section:
26	26	(1) "Historically underutilized business" means:
27	27	(A) a corporation formed for the purpose of
28	28	making a profit in which 51 percent or more of all classes of the
29	29	shares of stock or other equitable securities are owned by one or
30	30	more economically disadvantaged persons who have a proportionate
31	31	interest and actively participate in the corporation's control,
32	32	operation, and management;
33	33	(B) a sole proprietorship created for the purpose
34	34	of making a profit that is completely owned, operated, and
35	35	controlled by an economically disadvantaged person;
36	36	(C) a partnership formed for the purpose of
37	37	making a profit in which 51 percent or more of the assets and
38	38	interest in the partnership are owned by one or more economically
39	39	disadvantaged persons who have a proportionate interest and
40	40	actively participate in the partnership's control, operation, and
41	41	management; or
42	42	(D) a joint venture in which each entity in the
43	43	venture is a historically underutilized business, as determined
44	44	under another paragraph of this subdivision.
45	45	(2) "Economically disadvantaged person" has the
46	46	meaning assigned by Section 2161.001.
47	47	SECTION 2. Subsection (a), Section 481.079, Government
48	48	Code, is amended to read as follows:
49	49	(a) Before the beginning of each regular session of the
50	50	legislature, the governor shall submit to the lieutenant governor,
51	51	the speaker of the house of representatives, and each other member
52	52	of the legislature a report on grants made under Section 481.078
53	53	that states:
54	54	(1) the number of direct jobs each recipient committed
55	55	to create in this state;
56	56	(2) the number of direct jobs each recipient created
57	57	in this state;
58	58	(3) the median wage of the jobs each recipient created
59	59	in this state;
60	60	(4) the amount of capital investment each recipient
61	61	committed to expend or allocate per project in this state;
62	62	(5) the amount of capital investment each recipient
63	63	expended or allocated per project in this state;
64	64	(6) the total amount of grants made to each recipient;
65	65	(7) the average amount of money granted in this state
66	66	for each job created in this state by grant recipients;
67	67	(8) the number of jobs created in this state by grant
68	68	recipients in each sector of the North American Industry
69	69	Classification System (NAICS); [and]
70	70	(9) of the number of direct jobs each recipient
71	71	created in this state, the number of positions created that provide
72	72	health benefits for employees; and
73	73	(10) the total number of grant recipients that are
74	74	historically underutilized businesses and the total amount of
75	75	grants made to those recipients.
76	76	SECTION 3. Section 490.101, Government Code, is amended by
77	77	adding Subsections (j) and (k) to read as follows:
78	78	(j) To encourage the development and location of
79	79	historically underutilized businesses in this state, the governor
80	80	shall consider making awards from the fund:
81	81	(1) to recipients that are historically underutilized
82	82	businesses in this state that commit to using the awards to create
83	83	additional jobs; or
84	84	(2) to recipients that are historically underutilized
85	85	businesses from outside the state that commit to relocate to this
86	86	state.
87	87	(k) For purposes of this section:
88	88	(1) "Historically underutilized business" means:
89	89	(A) a corporation formed for the purpose of
90	90	making a profit in which 51 percent or more of all classes of the
91	91	shares of stock or other equitable securities are owned by one or
92	92	more economically disadvantaged persons who have a proportionate
93	93	interest and actively participate in the corporation's control,
94	94	operation, and management;
95	95	(B) a sole proprietorship created for the purpose
96	96	of making a profit that is completely owned, operated, and
97	97	controlled by an economically disadvantaged person;
98	98	(C) a partnership formed for the purpose of
99	99	making a profit in which 51 percent or more of the assets and
100	100	interest in the partnership are owned by one or more economically
101	101	disadvantaged persons who have a proportionate interest and
102	102	actively participate in the partnership's control, operation, and
103	103	management; or
104	104	(D) a joint venture in which each entity in the
105	105	venture is a historically underutilized business, as determined
106	106	under another paragraph of this subdivision.
107	107	(2) "Economically disadvantaged person" has the
108	108	meaning assigned by Section 2161.001.
109	109	SECTION 4. Subsection (b), Section 490.005, Government
110	110	Code, is amended to read as follows:
111	111	(b) The annual report must also contain:
112	112	(1) the total number of jobs actually created by each
113	113	project receiving funding under this chapter;
114	114	(2) an analysis of the number of jobs actually created
115	115	by each project receiving funding under this chapter; [and]
116	116	(3) a brief description regarding:
117	117	(A) the methodology used to determine the
118	118	information provided under Subdivisions (1) and (2), which may be
119	119	developed in consultation with the comptroller's office;
120	120	(B) the intended outcomes of projects funded
121	121	under Subchapter D during each preceding state fiscal year; and
122	122	(C) the actual outcomes of all projects funded
123	123	under Subchapter D during each preceding state fiscal year,
124	124	including any financial impact on the state resulting from a
125	125	liquidity event involving a company whose project was funded under
126	126	that subchapter; and
127	127	(4) the total number of recipients of awards from the
128	128	fund that are historically underutilized businesses and the total
129	129	amount of awards made to those recipients.
130	130	SECTION 5. This Act takes effect immediately if it receives
131	131	a vote of two-thirds of all the members elected to each house, as
132	132	provided by Section 39, Article III, Texas Constitution. If this
133	133	Act does not receive the vote necessary for immediate effect, this
134	134	Act takes effect September 1, 2013.
135	135	* * * * *