1 | 1 | | 85R13071 SMT-D |
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2 | 2 | | By: Bohac H.B. No. 4046 |
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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 the election of members of the boards of directors of |
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8 | 8 | | certain tax increment reinvestment zones. |
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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. Chapter 311, Tax Code, is amended by adding |
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11 | 11 | | Section 311.0092 to read as follows: |
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12 | 12 | | Sec. 311.0092. COMPOSITION OF BOARD OF DIRECTORS OF |
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13 | 13 | | REINVESTMENT ZONES IN CERTAIN POPULOUS MUNICIPALITIES. (a) This |
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14 | 14 | | section applies to a reinvestment zone located wholly or partly in a |
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15 | 15 | | municipality with a population of at least two million. |
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16 | 16 | | (b) For purposes of this section, an area adjacent to a |
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17 | 17 | | reinvestment zone means any area in an election precinct any part of |
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18 | 18 | | which is within two miles of the zone's boundaries in any direction. |
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19 | 19 | | (c) The board of directors of a reinvestment zone consists |
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20 | 20 | | of at least 11 and not more than 15 members, unless more than 15 |
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21 | 21 | | members are required to satisfy the requirements of this |
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22 | 22 | | subsection. A majority of members of the board must be elected in a |
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23 | 23 | | nonpartisan election. Each taxing unit that approves the payment |
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24 | 24 | | of all or part of its tax increment into the tax increment fund is |
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25 | 25 | | entitled to appoint a member, including the county or municipality |
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26 | 26 | | that designated the zone. A taxing unit may waive its right to |
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27 | 27 | | appoint a director. The member of the state senate in whose |
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28 | 28 | | district the zone is located is a member of the board, and the |
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29 | 29 | | member of the state house of representatives in whose district the |
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30 | 30 | | zone is located is a member of the board, except that either may |
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31 | 31 | | designate another individual to serve in the member's place at the |
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32 | 32 | | pleasure of the member. If the zone is located in more than one |
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33 | 33 | | senate or house district, this subsection applies only to the |
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34 | 34 | | senator or representative in whose district a larger portion of the |
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35 | 35 | | zone is located than any other senate or house district, as |
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36 | 36 | | applicable. The municipality shall hold an election to elect the |
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37 | 37 | | number of members to the board that results in at least 51 percent |
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38 | 38 | | of the members of the board being elected. |
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39 | 39 | | (d) An election required by this section must be held in an |
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40 | 40 | | even-numbered year on the uniform election date in November |
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41 | 41 | | authorized by Section 41.001, Election Code. A municipality may |
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42 | 42 | | contract with the county to hold the election. |
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43 | 43 | | (e) Members of the board are appointed or elected for terms |
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44 | 44 | | of two years unless longer terms are provided under Section 11, |
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45 | 45 | | Article XI, Texas Constitution. Terms of members may be staggered. |
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46 | 46 | | (f) Individuals residing in the zone or in an area adjacent |
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47 | 47 | | to the zone are eligible to vote in the election of members of the |
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48 | 48 | | board. |
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49 | 49 | | (g) A vacancy on the board is filled for the unexpired term |
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50 | 50 | | by appointment of the governing body of the taxing unit that |
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51 | 51 | | appointed the director who served in the vacant position or, if the |
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52 | 52 | | vacant position was an elected position, by election on the next |
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53 | 53 | | election date under Subsection (d) that provides sufficient time to |
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54 | 54 | | comply with other requirements of law. |
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55 | 55 | | (h) To be eligible for appointment or to be a candidate for |
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56 | 56 | | or be elected to the board, an individual must: |
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57 | 57 | | (1) be a qualified voter of the municipality and |
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58 | 58 | | reside in the zone or in an area adjacent to the zone; or |
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59 | 59 | | (2) be at least 18 years of age and own real property |
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60 | 60 | | in the zone or in an area adjacent to the zone or be an employee or |
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61 | 61 | | agent of a person that owns real property in the zone or in an area |
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62 | 62 | | adjacent to the zone. |
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63 | 63 | | (i) Each year the board of directors of a reinvestment zone |
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64 | 64 | | shall elect one of its members to serve as presiding officer for a |
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65 | 65 | | term of one year. The board of directors may elect an assistant |
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66 | 66 | | presiding officer to preside in the absence of the presiding |
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67 | 67 | | officer or when there is a vacancy in the office of presiding |
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68 | 68 | | officer. The board may elect other officers as it considers |
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69 | 69 | | appropriate. |
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70 | 70 | | (j) A member of the board of directors of a reinvestment |
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71 | 71 | | zone: |
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72 | 72 | | (1) is not a public official by virtue of that |
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73 | 73 | | position; and |
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74 | 74 | | (2) unless otherwise ineligible, may be appointed to |
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75 | 75 | | serve concurrently on the board of directors of a local government |
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76 | 76 | | corporation created under Subchapter D, Chapter 431, |
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77 | 77 | | Transportation Code. |
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78 | 78 | | (k) This section does not apply to a tax increment |
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79 | 79 | | reinvestment zone designated in accordance with a law other than |
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80 | 80 | | this chapter that provides that an entity identified in the other |
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81 | 81 | | law serves as the board of directors of the tax increment |
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82 | 82 | | reinvestment zone. |
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83 | 83 | | SECTION 2. Section 311.004(a), Tax Code, is amended to read |
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84 | 84 | | as follows: |
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85 | 85 | | (a) The ordinance or order designating an area as a |
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86 | 86 | | reinvestment zone must: |
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87 | 87 | | (1) describe the boundaries of the zone with |
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88 | 88 | | sufficient definiteness to identify with ordinary and reasonable |
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89 | 89 | | certainty the territory included in the zone; |
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90 | 90 | | (2) create a board of directors for the zone and |
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91 | 91 | | specify the number of directors of the board as provided by Section |
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92 | 92 | | 311.009, [or] 311.0091, or 311.0092, as applicable; |
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93 | 93 | | (3) provide that the zone take effect immediately upon |
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94 | 94 | | passage of the ordinance or order; |
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95 | 95 | | (4) provide a date for termination of the zone; |
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96 | 96 | | (5) assign a name to the zone for identification, with |
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97 | 97 | | the first zone created by a municipality or county designated as |
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98 | 98 | | "Reinvestment Zone Number One, City (or Town, as applicable) of |
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99 | 99 | | (name of municipality)," or "Reinvestment Zone Number One, (name of |
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100 | 100 | | county) County," as applicable, and subsequently created zones |
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101 | 101 | | assigned names in the same form numbered consecutively in the order |
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102 | 102 | | of their creation; |
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103 | 103 | | (6) establish a tax increment fund for the zone; and |
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104 | 104 | | (7) contain findings that: |
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105 | 105 | | (A) improvements in the zone will significantly |
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106 | 106 | | enhance the value of all the taxable real property in the zone and |
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107 | 107 | | will be of general benefit to the municipality or county; and |
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108 | 108 | | (B) the area meets the requirements of Section |
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109 | 109 | | 311.005. |
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110 | 110 | | SECTION 3. (a) This section of this Act applies to a tax |
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111 | 111 | | increment reinvestment zone to which Section 311.0092, Tax Code, as |
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112 | 112 | | added by this Act, applies. |
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113 | 113 | | (b) Not later than January 1, 2019, the composition and |
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114 | 114 | | number of members serving on the board of a tax increment |
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115 | 115 | | reinvestment zone must comply with the requirements of Section |
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116 | 116 | | 311.0092, Tax Code, as added by this Act. |
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117 | 117 | | (c) Members required to be elected to the board of a tax |
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118 | 118 | | increment reinvestment zone shall be elected beginning with the |
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119 | 119 | | general election conducted in 2018. Members then elected take |
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120 | 120 | | office January 1, 2019. |
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121 | 121 | | (d) The change in the manner of selection of the board of |
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122 | 122 | | directors of a tax increment reinvestment zone does not affect the |
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123 | 123 | | selection of directors who serve on the board before January 1, |
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124 | 124 | | 2019. |
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125 | 125 | | (e) The term of a member of the board of directors serving on |
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126 | 126 | | December 31, 2018, expires on January 1, 2019. |
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127 | 127 | | SECTION 4. This Act takes effect immediately if it receives |
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128 | 128 | | a vote of two-thirds of all the members elected to each house, as |
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129 | 129 | | provided by Section 39, Article III, Texas Constitution. If this |
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130 | 130 | | Act does not receive the vote necessary for immediate effect, this |
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131 | 131 | | Act takes effect September 1, 2017. |
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