85R1269 AJA-D By: Capriglione H.B. No. 1035 A BILL TO BE ENTITLED AN ACT relating to the sale of alcoholic beverages in certain areas annexed by a municipality. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 251.725, Alcoholic Beverage Code, as added by Chapter 463 (H.B. 2735), Acts of the 84th Legislature, Regular Session, 2015, is amended to read as follows: Sec. 251.725. CHANGE OF STATUS FOR CERTAIN TERRITORY ANNEXED BY MUNICIPALITY. (a) This section applies only to a municipality whose local option status allows for the legal sale of beer and wine for off-premise consumption and for the legal sale of mixed beverages [only] as a result of a local option election on an [the] applicable ballot issue held on or after January 1, 1985. (b) The governing body of a municipality described by Subsection (a) may adopt an ordinance authorizing the sale of beer and wine for off-premise consumption or mixed beverages for on-premise consumption in an area annexed by the municipality after that election if at the time the ordinance is adopted: (1) the annexed area is not more than one percent of the total area covered by the municipality; (2) all of the land in the annexed area is zoned for commercial use only; and (3) the annexed area is not adjacent to residential, church, or school property. SECTION 2. The change in law made by this Act applies to an area annexed or acquired by a municipality before, on, or after the effective date of this Act. SECTION 3. 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, 2017.