86R11957 JES-D
By: Cole H.B. No. 1977
A BILL TO BE ENTITLED
AN ACT
relating to a requirement that a fiscal impact statement be
provided before a taxing unit may enter into a tax abatement
agreement.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 312, Tax Code, is amended
by adding Section 312.008 to read as follows:
Sec. 312.008. FISCAL IMPACT STATEMENT. (a) Before
entering into a tax abatement agreement under this chapter, a
taxing unit shall prepare a fiscal impact statement that,
specifically and in detail, assesses the direct economic impact
that the tax abatement agreement would have on schools,
transportation, and public safety in the county or municipality in
which the reinvestment zone would be located under the tax
abatement agreement.
(b) The comptroller shall adopt rules establishing the
minimum requirements for a fiscal impact statement under this
section. The rules must require a taxing unit to provide the
statement within a reasonable amount of time before the taxing unit
enters into the applicable tax abatement agreement and in a manner
that allows members of the general public to review the statement.
SECTION 2. Not later than January 1, 2020, the comptroller
of public accounts shall adopt rules necessary to implement Section
312.008, Tax Code, as added by this Act.
SECTION 3. The change in law made by this Act applies only
to a tax abatement agreement entered into on or after January 1,
2020.
SECTION 4. This Act takes effect September 1, 2019.