86R12999 SMH-F
By: Johnson of Harris H.B. No. 3380
A BILL TO BE ENTITLED
AN ACT
relating to the inclusion of certain public safety facilities in a
tax increment financing reinvestment zone and the making of
improvements to public safety infrastructure in a zone.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 311.002(1), Tax Code, is amended to read
as follows:
(1) "Project costs" means the expenditures made or
estimated to be made and monetary obligations incurred or estimated
to be incurred by the municipality or county designating a
reinvestment zone that are listed in the project plan as costs of
public works, public improvements, programs, or other projects
benefiting the zone, plus other costs incidental to those
expenditures and obligations. "Project costs" include:
(A) capital costs, including the actual costs of
the acquisition and construction of public works, public
improvements, new buildings, structures, and fixtures; the actual
costs of the acquisition, demolition, alteration, remodeling,
repair, or reconstruction of existing buildings, structures, and
fixtures; the actual costs of the remediation of conditions that
contaminate public or private land or buildings; the actual costs
of the preservation of the facade of a public or private building;
the actual costs of the demolition of public or private buildings;
and the actual costs of the acquisition of land and equipment and
the clearing and grading of land;
(B) financing costs, including all interest paid
to holders of evidences of indebtedness or other obligations issued
to pay for project costs and any premium paid over the principal
amount of the obligations because of the redemption of the
obligations before maturity;
(C) real property assembly costs;
(D) professional service costs, including those
incurred for architectural, planning, engineering, and legal
advice and services;
(E) imputed administrative costs, including
reasonable charges for the time spent by employees of the
municipality or county in connection with the implementation of a
project plan;
(F) relocation costs;
(G) organizational costs, including the costs of
conducting environmental impact studies or other studies, the cost
of publicizing the creation of the zone, and the cost of
implementing the project plan for the zone;
(H) interest before and during construction and
for one year after completion of construction, whether or not
capitalized;
(I) the cost of operating the reinvestment zone
and project facilities;
(J) the amount of any contributions made by the
municipality or county from general revenue for the implementation
of the project plan;
(K) the costs of school buildings, other
educational buildings, other educational facilities, or other
buildings owned by or on behalf of a school district, community
college district, or other political subdivision of this state;
[and]
(L) payments made at the discretion of the
governing body of the municipality or county that the governing
body finds necessary or convenient to the creation of the zone or to
the implementation of the project plans for the zone; and
(M) costs associated with improvements to fire
and police stations.
SECTION 2. Section 311.006, Tax Code, is amended by adding
Subsection (a-1) to read as follows:
(a-1) A municipality may not designate an area as a
reinvestment zone unless the area includes:
(1) police stations that, in the aggregate, serve a
majority of the area included in the zone; and
(2) fire stations that, in the aggregate, serve a
majority of the area included in the zone.
SECTION 3. Section 311.011, Tax Code, is amended by adding
Subsection (i) to read as follows:
(i) The project plan must include a plan for making any
necessary improvements to the public safety infrastructure in the
zone.
SECTION 4. The changes in law made by this Act apply only to
a reinvestment zone designated by a municipality under Chapter 311,
Tax Code, on or after the effective date of this Act.
SECTION 5. 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, 2019.