1 | 1 | | By: Simmons H.B. No. 58 |
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2 | 2 | | |
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3 | 3 | | |
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4 | 4 | | A BILL TO BE ENTITLED |
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5 | 5 | | AN ACT |
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6 | 6 | | relating to the establishment of a tax credit scholarship and |
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7 | 7 | | educational |
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8 | 8 | | expense assistance program. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | ARTICLE 2. TAX CREDIT SCHOLARSHIP AND EDUCATIONAL EXPENSE |
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11 | 11 | | ASSISTANCE PROGRAM |
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12 | 12 | | SECTION 2.01. Subtitle B, Title 3, Insurance Code, is |
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13 | 13 | | amended by adding Chapter 230 to read as follows: |
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14 | 14 | | CHAPTER 230. CREDIT AGAINST PREMIUM TAXES FOR CONTRIBUTIONS TO |
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15 | 15 | | CERTAIN EDUCATIONAL ASSISTANCE ORGANIZATION |
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16 | 16 | | SUBCHAPTER A. GENERAL PROVISIONS |
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17 | 17 | | Sec. 230.001. DEFINITIONS. In this chapter: |
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18 | 18 | | (1) "Educational assistance organization" means an |
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19 | 19 | | organization that: |
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20 | 20 | | (A) has the ability according to the |
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21 | 21 | | organization's charter to award scholarships to or pay educational |
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22 | 22 | | expenses for eligible students in: |
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23 | 23 | | (i) public elementary or secondary schools |
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24 | 24 | | located in this state; or |
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25 | 25 | | (ii) nonpublic elementary or secondary |
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26 | 26 | | schools located in this state: |
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27 | 27 | | (a) that meet the requirements of |
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28 | 28 | | Section 230.052; |
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29 | 29 | | (b) at which a student may fulfill |
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30 | 30 | | this state's compulsory attendance requirements; and |
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31 | 31 | | (c) that are not in violation of the |
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32 | 32 | | federal Civil Rights Act of 1964 (42 U.S.C. Section 2000a et seq.); |
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33 | 33 | | and |
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34 | 34 | | (B) uses part of its annual revenue for the |
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35 | 35 | | purpose provided by Paragraph (A). |
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36 | 36 | | (2) "State premium tax liability" means any liability |
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37 | 37 | | incurred by an entity under Chapter 221, 222, or 224. |
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38 | 38 | | Sec. 230.002. RULES; PROCEDURES. (a) The comptroller |
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39 | 39 | | shall adopt rules and procedures to implement, administer, and |
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40 | 40 | | enforce this chapter. |
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41 | 41 | | (b) A rule adopted under Subsection (a) is binding on an |
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42 | 42 | | organization that applies for certification as an educational |
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43 | 43 | | assistance organization, an entity that applies for a credit, and a |
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44 | 44 | | state or local governmental entity, including a political |
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45 | 45 | | subdivision, as necessary to implement, administer, and enforce |
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46 | 46 | | this chapter. |
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47 | 47 | | SUBCHAPTER B. SCHOLARSHIP AND EDUCATIONAL EXPENSE ASSISTANCE |
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48 | 48 | | PROGRAM |
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49 | 49 | | Sec. 230.051. SELECTION OF CERTIFIED EDUCATIONAL |
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50 | 50 | | ASSISTANCE ORGANIZATIONS. (a) An organization may apply to the |
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51 | 51 | | comptroller for certification as a certified educational |
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52 | 52 | | assistance organization during an application period provided by |
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53 | 53 | | the comptroller. |
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54 | 54 | | (b) To be eligible for certification, the organization: |
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55 | 55 | | (1) must: |
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56 | 56 | | (A) be exempt from federal tax under Section |
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57 | 57 | | 501(a) of the Internal Revenue Code of 1986 by being listed as an |
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58 | 58 | | exempt organization in Section 501(c)(3) of that code; |
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59 | 59 | | (B) be in good standing with the state; |
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60 | 60 | | (C) be located in the state; |
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61 | 61 | | (D) of the organization's annual revenue from |
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62 | 62 | | contributions that are designated for scholarships or educational |
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63 | 63 | | expense assistance for eligible students under this chapter, |
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64 | 64 | | allocate: |
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65 | 65 | | (i) at least 75 percent for scholarships |
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66 | 66 | | for eligible students to attend nonpublic schools; |
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67 | 67 | | (ii) at least 15 percent for assistance for |
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68 | 68 | | educational expenses, including tuition, transportation, and |
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69 | 69 | | instructional materials and other supplies, and for other related |
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70 | 70 | | educational expense assistance as described by this section; and |
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71 | 71 | | (iii) not more than 10 percent for |
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72 | 72 | | administrative expenses; |
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73 | 73 | | (E) award scholarships and assistance for |
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74 | 74 | | qualifying educational expenses to eligible students who |
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75 | 75 | | demonstrate the greatest financial and academic need; |
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76 | 76 | | (F) agree to give each donor a receipt for money |
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77 | 77 | | contributed to the organization that includes the name of the |
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78 | 78 | | organization, the name of the donor, the amount of the |
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79 | 79 | | contribution, the information required by Section 230.054(c), and |
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80 | 80 | | any other information required by the comptroller; |
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81 | 81 | | (G) demonstrate experience and technical |
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82 | 82 | | expertise in: |
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83 | 83 | | (i) accepting, processing, and tracking |
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84 | 84 | | applications for scholarships or educational expense assistance; |
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85 | 85 | | and |
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86 | 86 | | (ii) awarding scholarships to students in |
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87 | 87 | | primary or secondary schools; |
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88 | 88 | | (H) agree to be independently audited on an |
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89 | 89 | | annual basis and file the audit with the comptroller; and |
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90 | 90 | | (I) disburse within two academic years of receipt |
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91 | 91 | | contributions received from and designated by entities for |
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92 | 92 | | scholarships or educational expense assistance under this chapter; |
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93 | 93 | | and |
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94 | 94 | | (2) may not: |
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95 | 95 | | (A) award all scholarships under this chapter to |
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96 | 96 | | students who attend a particular school or pay educational expenses |
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97 | 97 | | incurred only at a particular school; |
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98 | 98 | | (B) provide to a student a scholarship in an |
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99 | 99 | | annual amount that exceeds the amount provided under Section |
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100 | 100 | | 230.055(a) or (b), unless the money used to provide the portion of |
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101 | 101 | | the scholarship in excess of that amount was contributed by a person |
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102 | 102 | | other than an entity that notifies the organization under Section |
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103 | 103 | | 230.054(c) that the entity may apply for a tax credit for the |
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104 | 104 | | contribution; and |
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105 | 105 | | (C) provide to a student educational expense |
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106 | 106 | | assistance in excess of the amount provided under Section |
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107 | 107 | | 230.055(c) per academic year, unless the money used to provide the |
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108 | 108 | | portion of the assistance in excess of that amount was contributed |
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109 | 109 | | by a person other than an entity that notifies the organization |
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110 | 110 | | under Section 230.054(c) that the entity may apply for a tax credit |
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111 | 111 | | for the contribution, including assistance for: |
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112 | 112 | | (i) facility fees; |
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113 | 113 | | (ii) instructional materials; |
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114 | 114 | | (iii) school supplies; |
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115 | 115 | | (iv) tutoring; |
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116 | 116 | | (v) academic after-school programs; |
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117 | 117 | | (vi) school or lab fees; and |
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118 | 118 | | (vii) transportation expenses, including |
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119 | 119 | | the cost to transfer from one public school to another. |
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120 | 120 | | (c) The comptroller shall certify one organization as the |
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121 | 121 | | primary certified educational assistance organization and one |
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122 | 122 | | organization as the secondary certified educational assistance |
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123 | 123 | | organization. The comptroller shall select the organizations to |
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124 | 124 | | certify as the primary and secondary certified educational |
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125 | 125 | | assistance organizations from among the organizations that apply |
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126 | 126 | | under Subsection (a) and meet the requirements of Subsection (b). |
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127 | 127 | | The comptroller has broad discretion in selecting the primary and |
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128 | 128 | | secondary certified educational assistance organizations. |
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129 | 129 | | (d) The comptroller shall notify all organizations that |
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130 | 130 | | apply under Subsection (a) of the comptroller's selections under |
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131 | 131 | | Subsection (c). |
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132 | 132 | | (e) The comptroller shall attempt to maintain one primary |
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133 | 133 | | and one secondary certified educational assistance organization at |
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134 | 134 | | all times. The comptroller shall provide an application period |
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135 | 135 | | under Subsection (a) as soon as practicable after the comptroller |
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136 | 136 | | learns there is, or is likely to be, a vacancy for the primary or |
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137 | 137 | | secondary certified educational assistance organization. |
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138 | 138 | | (f) The comptroller's selections under Subsection (c) are |
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139 | 139 | | final and are not appealable. |
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140 | 140 | | Sec. 230.0511. PERFORMANCE OF CERTIFIED EDUCATIONAL |
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141 | 141 | | ASSISTANCE ORGANIZATION POWERS AND DUTIES. (a) Except as provided |
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142 | 142 | | by Subsection (b), the organization certified as the primary |
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143 | 143 | | certified educational assistance organization shall perform the |
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144 | 144 | | powers and duties assigned to the certified educational assistance |
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145 | 145 | | organization under this chapter. |
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146 | 146 | | (b) The organization certified as the secondary certified |
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147 | 147 | | educational assistance organization shall perform the powers and |
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148 | 148 | | duties assigned to the certified educational assistance |
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149 | 149 | | organization under this chapter if: |
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150 | 150 | | (1) the organization certified as the primary |
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151 | 151 | | certified educational assistance organization has its |
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152 | 152 | | certification revoked; or |
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153 | 153 | | (2) the comptroller otherwise determines the |
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154 | 154 | | organization certified as the primary educational assistance |
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155 | 155 | | organization is unable to perform the powers and duties assigned to |
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156 | 156 | | the certified educational assistance organization under this |
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157 | 157 | | chapter. |
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158 | 158 | | (c) A reference in this chapter or other law to the |
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159 | 159 | | certified educational assistance organization means the |
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160 | 160 | | organization performing the powers and duties of the certified |
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161 | 161 | | educational assistance organization under Subsection (a) or (b). |
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162 | 162 | | Sec. 230.0512. INFORMATION REGARDING SCHOLARSHIPS. (a) |
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163 | 163 | | The certified educational assistance organization shall make |
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164 | 164 | | information about scholarships under this chapter available to |
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165 | 165 | | parents of a student who is eligible to apply for assistance under |
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166 | 166 | | Section 230.053(a)(3)(E) through the organization's Internet |
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167 | 167 | | website. |
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168 | 168 | | (b) The information made available must include a notice |
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169 | 169 | | that: |
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170 | 170 | | (1) states that a nonpublic school is not subject to |
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171 | 171 | | laws regarding the provision of educational services in the same |
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172 | 172 | | manner as a public school, and a student with a disability attending |
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173 | 173 | | a nonpublic school may not receive the services a student with a |
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174 | 174 | | disability attending a public school is entitled to receive under |
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175 | 175 | | federal and state law; and |
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176 | 176 | | (2) provides information regarding rights to which a |
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177 | 177 | | student with a disability is entitled under federal and state law if |
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178 | 178 | | the student attends a public school, including: |
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179 | 179 | | (A) rights provided under the Individuals with |
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180 | 180 | | Disabilities Education Act (20 U.S.C. Section 1400 et seq.), |
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181 | 181 | | including: |
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182 | 182 | | (i) an individualized education program; |
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183 | 183 | | (ii) educational services provided in the |
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184 | 184 | | least restrictive environment; |
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185 | 185 | | (iii) instruction from certified teachers; |
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186 | 186 | | (iv) due process hearings to ensure proper |
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187 | 187 | | and full implementation of an individualized education program; |
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188 | 188 | | (v) transition and planning services; and |
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189 | 189 | | (vi) supplementary aids and services; |
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190 | 190 | | (B) rights provided under Subchapter A, Chapter |
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191 | 191 | | 29, Education Code; and |
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192 | 192 | | (C) other rights provided under federal or state |
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193 | 193 | | law. |
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194 | 194 | | Sec. 230.0513. REPORTING NUMBER OF SCHOLARSHIP RECIPIENTS. |
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195 | 195 | | (a) Not later than October 1 of each year, the certified |
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196 | 196 | | educational assistance organization shall notify the commissioner |
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197 | 197 | | of education and the Legislative Budget Board of the likely number |
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198 | 198 | | of students who will enroll in a nonpublic school instead of a |
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199 | 199 | | public school using scholarships under this chapter, disaggregated |
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200 | 200 | | by the school district or open-enrollment charter school the |
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201 | 201 | | students would otherwise attend. |
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202 | 202 | | (b) Not later than March 1 of each year, the certified |
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203 | 203 | | educational assistance organization shall provide final |
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204 | 204 | | information to the commissioner of education and the Legislative |
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205 | 205 | | Budget Board regarding the actual number of students described by |
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206 | 206 | | Subsection (a), disaggregated in the same manner as the initial |
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207 | 207 | | information under that subsection. |
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208 | 208 | | Sec. 230.052. NONPUBLIC SCHOOL REQUIREMENTS. The certified |
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209 | 209 | | educational assistance organization may not award scholarships to |
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210 | 210 | | or pay educational expenses for eligible students enrolled in a |
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211 | 211 | | nonpublic school unless the nonpublic school executes a notarized |
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212 | 212 | | affidavit, with supporting documents, concerning the school's |
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213 | 213 | | qualification for scholarships and educational expense assistance |
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214 | 214 | | for eligible students who receive assistance from the certified |
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215 | 215 | | educational assistance organization, including evidence of: |
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216 | 216 | | (1) accreditation by the Texas Education Agency or by |
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217 | 217 | | an organization that is recognized by the Texas Private School |
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218 | 218 | | Accreditation Commission; |
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219 | 219 | | (2) annual administration of a nationally |
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220 | 220 | | norm-referenced assessment instrument or the appropriate |
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221 | 221 | | assessment instrument required under Section 39.023, Education |
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222 | 222 | | Code; |
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223 | 223 | | (3) valid certificate of occupancy; and |
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224 | 224 | | (4) policy statements regarding: |
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225 | 225 | | (A) admissions; |
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226 | 226 | | (B) curriculum; |
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227 | 227 | | (C) safety; |
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228 | 228 | | (D) food service inspection; and |
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229 | 229 | | (E) student to teacher ratios. |
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230 | 230 | | Sec. 230.053. ELIGIBILITY OF STUDENTS; INCLUSION IN |
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231 | 231 | | CALCULATION OF EQUALIZED WEALTH LEVEL. (a) A student is eligible |
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232 | 232 | | to apply to the certified educational assistance organization for a |
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233 | 233 | | scholarship or educational expense assistance under this chapter |
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234 | 234 | | if: |
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235 | 235 | | (1) the student resides in a public school district |
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236 | 236 | | located in whole or in part in a county; and |
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237 | 237 | | (2) the student: |
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238 | 238 | | (A) is eligible under Section 29.003, Education |
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239 | 239 | | Code, to participate in a school district's special education |
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240 | 240 | | program; or |
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241 | 241 | | (B) covered by Section 504, Rehabilitation Act of |
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242 | 242 | | 1973 (29 U.S.C. Section 794). |
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243 | 243 | | (b) A student may continue to receive assistance under this |
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244 | 244 | | chapter until the earlier of the date the student graduates from |
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245 | 245 | | high school or the student's 22nd birthday if the student: |
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246 | 246 | | (1) meets the requirements of Subsection (a)(1); and |
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247 | 247 | | (2) previously qualified under Subsections (a)(2) and |
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248 | 248 | | (3)(E). |
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249 | 249 | | (c) The certified educational assistance organization shall |
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250 | 250 | | award scholarships and educational expense assistance to eligible |
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251 | 251 | | students who apply in accordance with this chapter. |
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252 | 252 | | (d) The certified educational assistance organization shall |
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253 | 253 | | provide to each parent of a student with a disability who applies |
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254 | 254 | | for a scholarship or educational expense assistance under this |
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255 | 255 | | chapter a written copy of the notice described by Section |
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256 | 256 | | 230.0512(b). Before the organization may award a scholarship or |
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257 | 257 | | educational expense assistance to the student, the student's parent |
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258 | 258 | | must sign and return the notice to the organization. |
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259 | 259 | | Sec. 230.054. CREDIT FOR CONTRIBUTIONS. (a) An entity may |
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260 | 260 | | apply for a credit under this chapter only for money contributed to |
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261 | 261 | | the certified educational assistance organization and designated |
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262 | 262 | | for scholarships or educational expense assistance for eligible |
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263 | 263 | | students. |
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264 | 264 | | (b) An entity may not apply for a credit under this chapter |
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265 | 265 | | for a contribution made to the certified educational assistance |
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266 | 266 | | organization if: |
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267 | 267 | | (1) the entity requires that the contribution benefit |
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268 | 268 | | a particular person or school; or |
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269 | 269 | | (2) the contribution is designated to provide a |
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270 | 270 | | scholarship or educational expense assistance for an entity |
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271 | 271 | | employee or for a spouse or dependent of an entity employee. |
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272 | 272 | | (c) An entity shall notify the certified educational |
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273 | 273 | | assistance organization in writing when the entity makes a |
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274 | 274 | | contribution if the entity may apply for a tax credit under this |
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275 | 275 | | chapter for the contribution. An entity may not apply for a credit |
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276 | 276 | | for the contribution unless the entity provides the notification at |
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277 | 277 | | the time the contribution is made. The certified educational |
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278 | 278 | | assistance organization shall indicate on the receipt provided |
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279 | 279 | | under Section 230.051(b)(1)(F) that the entity made the |
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280 | 280 | | notification under this subsection. |
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281 | 281 | | Sec. 230.055. LIMIT ON AMOUNT OF SCHOLARSHIP OR EDUCATIONAL |
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282 | 282 | | EXPENSE ASSISTANCE. (a) Except as provided by Subsection (b), the |
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283 | 283 | | maximum scholarship amount the certified educational assistance |
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284 | 284 | | organization may award to a student under this chapter using money |
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285 | 285 | | contributed by an entity that notifies the organization under |
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286 | 286 | | Section 230.054(c) that the entity may apply for a tax credit for |
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287 | 287 | | the contribution may not exceed 75 percent of the state average |
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288 | 288 | | maintenance and operations expenditures per student for the |
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289 | 289 | | preceding state fiscal year. |
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290 | 290 | | (b) A student who receives a payment to an education savings |
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291 | 291 | | account under Section 29.358, Education Code, for a year is |
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292 | 292 | | eligible to receive for the same year a scholarship from the |
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293 | 293 | | certified educational assistance organization if the student is |
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294 | 294 | | eligible for that assistance. The maximum scholarship amount the |
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295 | 295 | | certified educational assistance organization may award to a |
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296 | 296 | | student to whom this subsection applies using money contributed by |
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297 | 297 | | an entity that notifies the organization under Section 230.054(c) |
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298 | 298 | | that the entity may apply for a tax credit for the contribution may |
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299 | 299 | | not exceed the sum of: |
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300 | 300 | | (1) the difference between the amount of the payment |
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301 | 301 | | under Section 29.358, Education Code, and the full tuition amount |
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302 | 302 | | for the student's nonpublic school; and |
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303 | 303 | | (2) a transportation allowance not to exceed $500. |
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304 | 304 | | (c) The maximum educational expense assistance the |
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305 | 305 | | certified educational assistance organization may award to a |
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306 | 306 | | student under this chapter using money contributed by an entity |
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307 | 307 | | that notifies the organization under Section 230.054(c) that the |
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308 | 308 | | entity may apply for a tax credit for the contribution may not |
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309 | 309 | | exceed $500 for the 2018 state fiscal year, increased by five |
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310 | 310 | | percent each subsequent year. |
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311 | 311 | | Sec. 230.056. REVOCATION. (a) The comptroller shall |
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312 | 312 | | revoke the certification provided under Section 230.051 if the |
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313 | 313 | | comptroller finds that the certified educational assistance |
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314 | 314 | | organization: |
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315 | 315 | | (1) is no longer eligible under Section 230.051; or |
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316 | 316 | | (2) intentionally and substantially violates this |
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317 | 317 | | chapter. |
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318 | 318 | | (b) The comptroller has broad discretion in determining |
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319 | 319 | | whether to revoke a certification under Subsection (a). |
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320 | 320 | | (c) The comptroller shall notify the certified educational |
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321 | 321 | | assistance organization in writing of the comptroller's decision to |
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322 | 322 | | revoke the organization's certification. If the comptroller |
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323 | 323 | | revokes the organization's certification, the comptroller shall |
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324 | 324 | | include in the notice of revocation the reasons for the revocation. |
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325 | 325 | | (d) If the comptroller revokes the certified educational |
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326 | 326 | | assistance organization's certification under Subsection (a), the |
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327 | 327 | | organization may request in writing a reconsideration of the |
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328 | 328 | | revocation not later than the 10th day after the date of the notice |
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329 | 329 | | under Subsection (c) or the revocation is final. |
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330 | 330 | | (e) An organization that requests a reconsideration under |
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331 | 331 | | Subsection (d) may submit to the comptroller not later than the 30th |
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332 | 332 | | day after the date the request for reconsideration is submitted |
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333 | 333 | | additional information and documents to support the organization's |
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334 | 334 | | request for reconsideration. |
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335 | 335 | | (f) The comptroller's reconsideration of a revocation under |
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336 | 336 | | this section is not a contested case under Chapter 2001, Government |
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337 | 337 | | Code. The comptroller's decision on a request for reconsideration |
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338 | 338 | | of a revocation is final and is not appealable. |
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339 | 339 | | (g) This section does not create a cause of action to |
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340 | 340 | | contest a decision of the comptroller to revoke the certified |
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341 | 341 | | educational assistance organization's certification under this |
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342 | 342 | | chapter. |
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343 | 343 | | (h) Revocation of a certification under this section does |
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344 | 344 | | not affect the validity of a tax credit relating to a contribution |
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345 | 345 | | made before the date of revocation. |
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346 | 346 | | Sec. 230.057. REPORT OF NET SAVINGS TO PUBLIC EDUCATION. |
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347 | 347 | | (a) In this section, "net savings" means any positive difference in |
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348 | 348 | | a state fiscal year between: |
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349 | 349 | | (1) the amount by which state spending on public |
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350 | 350 | | education for that year is reduced as a result of students receiving |
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351 | 351 | | scholarships and educational expense assistance from the certified |
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352 | 352 | | educational assistance organization under this chapter; and |
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353 | 353 | | (2) the amount by which state revenue derived from |
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354 | 354 | | Chapters 221, 222, and 224 is reduced as a result of tax credits |
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355 | 355 | | under this chapter. |
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356 | 356 | | (b) Not later than December 31 of each even-numbered year, |
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357 | 357 | | the comptroller shall determine the amount of net savings for the |
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358 | 358 | | previous state fiscal biennium and make available to the public a |
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359 | 359 | | report of that amount of savings. |
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360 | 360 | | SUBCHAPTER C. CREDIT |
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361 | 361 | | Sec. 230.101. CREDIT. An entity may apply for a credit |
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362 | 362 | | against the entity's state premium tax liability in the amount and |
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363 | 363 | | under the conditions and limitations provided by this chapter. The |
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364 | 364 | | comptroller shall award credits as provided by Section 230.103. |
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365 | 365 | | Sec. 230.102. AMOUNTS; LIMITATION ON TOTAL CREDITS. (a) |
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366 | 366 | | Subject to Subsections (b) and (c), the amount of an entity's credit |
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367 | 367 | | is equal to the lesser of the amount of the qualifying contributions |
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368 | 368 | | made to the certified educational assistance organization or 50 |
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369 | 369 | | percent of the entity's state premium tax liability. |
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370 | 370 | | (b) The total amount of tax credits that may be awarded |
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371 | 371 | | under this chapter for each state fiscal year may not exceed $25 |
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372 | 372 | | million. |
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373 | 373 | | (c) The comptroller by rule shall prescribe procedures by |
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374 | 374 | | which the comptroller may allocate credits under this chapter. The |
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375 | 375 | | procedures must provide that credits are allocated on a first-come, |
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376 | 376 | | first-served basis, based on the date the contribution was |
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377 | 377 | | initially made. |
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378 | 378 | | (d) The comptroller may require an entity to notify the |
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379 | 379 | | comptroller of the amount the entity intends or expects to apply for |
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380 | 380 | | under this chapter before the beginning of a state fiscal year or at |
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381 | 381 | | any other time required by the comptroller. |
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382 | 382 | | Sec. 230.103. APPLICATION FOR CREDIT. (a) An entity must |
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383 | 383 | | apply for a credit under this chapter on or with the tax return for |
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384 | 384 | | the taxable year during which the qualifying contributions were |
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385 | 385 | | made and submit with the application each receipt issued under |
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386 | 386 | | Section 230.051(b)(1)(F) that includes the information required by |
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387 | 387 | | Section 230.054(c). |
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388 | 388 | | (b) The comptroller shall adopt a form for the application |
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389 | 389 | | for the credit. An entity must use this form in applying for the |
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390 | 390 | | credit. |
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391 | 391 | | (c) The comptroller may award a credit to an entity that |
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392 | 392 | | applies for the credit under Subsection (a) if the entity is |
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393 | 393 | | eligible for the credit and the credit is available under Section |
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394 | 394 | | 230.102(b). The comptroller has broad discretion in determining |
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395 | 395 | | whether to grant or deny an application for a credit. |
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396 | 396 | | (d) The comptroller shall notify an entity in writing of the |
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397 | 397 | | comptroller's decision to grant or deny the application under |
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398 | 398 | | Subsection (a). If the comptroller denies an entity's application, |
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399 | 399 | | the comptroller shall include in the notice of denial the reasons |
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400 | 400 | | for the comptroller's decision. |
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401 | 401 | | (e) If the comptroller denies an entity's application under |
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402 | 402 | | Subsection (a), the entity may request in writing a reconsideration |
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403 | 403 | | of the application not later than the 10th day after the date of the |
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404 | 404 | | notice under Subsection (d). If the entity does not request a |
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405 | 405 | | reconsideration of the application on or before that date, the |
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406 | 406 | | comptroller's decision is final. |
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407 | 407 | | (f) An entity that requests a reconsideration under |
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408 | 408 | | Subsection (e) may submit to the comptroller not later than the 30th |
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409 | 409 | | day after the date the request for reconsideration is submitted |
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410 | 410 | | additional information and documents to support the entity's |
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411 | 411 | | request for reconsideration. |
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412 | 412 | | (g) The comptroller's reconsideration of an application |
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413 | 413 | | under this section is not a contested case under Chapter 2001, |
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414 | 414 | | Government Code. The comptroller's decision on a request for |
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415 | 415 | | reconsideration of an application is final and is not appealable. |
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416 | 416 | | (h) This section does not create a cause of action to |
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417 | 417 | | contest a decision of the comptroller to deny an application for a |
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418 | 418 | | credit under this chapter. |
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419 | 419 | | Sec. 230.104. ASSIGNMENT PROHIBITED; EXCEPTION. An entity |
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420 | 420 | | may not convey, assign, or transfer the credit allowed under this |
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421 | 421 | | chapter to another entity unless all of the assets of the entity are |
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422 | 422 | | conveyed, assigned, or transferred in the same transaction. |
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423 | 423 | | Sec. 230.105. NOTICE OF AVAILABILITY OF CREDIT. The |
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424 | 424 | | comptroller shall provide notice of the availability of the credit |
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425 | 425 | | under this chapter on the comptroller's Internet website, in the |
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426 | 426 | | instructions for insurance premium tax report forms, and in any |
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427 | 427 | | notice sent to an entity concerning the requirement to file an |
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428 | 428 | | insurance premium tax report. |
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429 | 429 | | SECTION 2.02. An entity may apply for a credit under Chapter |
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430 | 430 | | 230, Insurance Code, as added by this article, only for an |
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431 | 431 | | expenditure made on or after the effective date of this article. |
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432 | 432 | | SECTION 2.03. Not later than February 15, 2018, the |
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433 | 433 | | comptroller of public accounts shall adopt rules as provided by |
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434 | 434 | | Section 230.002(a), Insurance Code, as added by this article. |
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435 | 435 | | SECTION 2.04. The comptroller of public accounts shall make |
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436 | 436 | | the initial determination of net savings and report regarding that |
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437 | 437 | | savings as required by Section 230.057, Insurance Code, as added by |
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438 | 438 | | this article, not later than December 31, 2020, based on the state |
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439 | 439 | | fiscal biennium ending August 31, 2019. |
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440 | 440 | | SECTION 2.05. This article applies only to a report |
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441 | 441 | | originally due on or after the effective date of this article. |
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442 | 442 | | SECTION 2.06. This article takes effect January 1, 2018. |
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443 | 443 | | ARTICLE 3. JUDICIAL REVIEW |
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444 | 444 | | SECTION 3.01. (a) The constitutionality and other validity |
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445 | 445 | | under the state or federal constitution of all or any part of |
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446 | 446 | | Subchapter J, Chapter 29, Education Code, as added by this Act, or |
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447 | 447 | | Chapter 230, Insurance Code, as added by this Act, may be determined |
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448 | 448 | | in an action for declaratory judgment in a district court in Travis |
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449 | 449 | | County under Chapter 37, Civil Practice and Remedies Code, except |
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450 | 450 | | that this section does not authorize an award of attorney's fees |
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451 | 451 | | against this state and Section 37.009, Civil Practice and Remedies |
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452 | 452 | | Code, does not apply to an action filed under this section. This |
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453 | 453 | | section does not authorize a taxpayer suit to contest the denial of |
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454 | 454 | | a tax credit by the comptroller of public accounts. |
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455 | 455 | | (b) An appeal of a declaratory judgment or order, however |
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456 | 456 | | characterized, of a district court, including an appeal of the |
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457 | 457 | | judgment of an appellate court, holding or otherwise determining |
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458 | 458 | | that all or any part of Subchapter J, Chapter 29, Education Code, as |
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459 | 459 | | added by this Act, or Chapter 230, Insurance Code, as added by this |
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460 | 460 | | Act, is constitutional or unconstitutional, or otherwise valid or |
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461 | 461 | | invalid, under the state or federal constitution is an accelerated |
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462 | 462 | | appeal. |
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463 | 463 | | (c) If the judgment or order is interlocutory, an |
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464 | 464 | | interlocutory appeal may be taken from the judgment or order and is |
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465 | 465 | | an accelerated appeal. |
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466 | 466 | | (d) A district court in Travis County may grant or deny a |
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467 | 467 | | temporary or otherwise interlocutory injunction or a permanent |
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468 | 468 | | injunction on the grounds of the constitutionality or |
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469 | 469 | | unconstitutionality, or other validity or invalidity, under the |
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470 | 470 | | state or federal constitution of all or any part of Subchapter J, |
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471 | 471 | | Chapter 29, Education Code, as added by this Act, or Chapter 230, |
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472 | 472 | | Insurance Code, as added by this Act. |
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473 | 473 | | (e) There is a direct appeal to the Texas Supreme Court from |
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474 | 474 | | an order, however characterized, of a trial court granting or |
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475 | 475 | | denying a temporary or otherwise interlocutory injunction or a |
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476 | 476 | | permanent injunction on the grounds of the constitutionality or |
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477 | 477 | | unconstitutionality, or other validity or invalidity, under the |
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478 | 478 | | state or federal constitution of all or any part of Subchapter J, |
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479 | 479 | | Chapter 29, Education Code, as added by this Act, or Chapter 230, |
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480 | 480 | | Insurance Code, as added by this Act. |
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481 | 481 | | (f) The direct appeal is an accelerated appeal. |
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482 | 482 | | (g) This section exercises the authority granted by Section |
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483 | 483 | | 3-b, Article V, Texas Constitution. |
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484 | 484 | | (h) The filing of a direct appeal under this section will |
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485 | 485 | | automatically stay any temporary or otherwise interlocutory |
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486 | 486 | | injunction or permanent injunction granted in accordance with this |
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487 | 487 | | section pending final determination by the Texas Supreme Court, |
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488 | 488 | | unless the supreme court makes specific findings that the applicant |
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489 | 489 | | seeking such injunctive relief has pleaded and proved that: |
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490 | 490 | | (1) the applicant has a probable right to the relief it |
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491 | 491 | | seeks on final hearing; and |
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492 | 492 | | (2) the applicant will suffer a probable injury that |
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493 | 493 | | is imminent and irreparable, and that the applicant has no other |
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494 | 494 | | adequate legal remedy. |
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495 | 495 | | (i) An appeal under this section, including an |
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496 | 496 | | interlocutory, accelerated, or direct appeal, is governed, as |
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497 | 497 | | applicable, by the Texas Rules of Appellate Procedure, including |
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498 | 498 | | Rules 25.1(d)(6), 26.1(b), 28.1, 28.3, 32.1(g), 37.3(a)(1), |
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499 | 499 | | 38.6(a) and (b), 40.1(b), and 49.4. |
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500 | 500 | | ARTICLE 4. EFFECTIVE DATE |
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501 | 501 | | SECTION 4.01. Except as otherwise provided by this Act: |
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502 | 502 | | (1) this Act takes effect immediately if it receives a |
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503 | 503 | | vote of two-thirds of all the members elected to each house, as |
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504 | 504 | | provided by Section 39, Article III, Texas Constitution; and (2) if |
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505 | 505 | | this Act does not receive the vote necessary for immediate effect, |
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506 | 506 | | this Act takes effect 91 days after the last day of the legislative |
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507 | 507 | | session. |
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