86R5624 CLG-F
By: Hinojosa S.B. No. 1841
A BILL TO BE ENTITLED
AN ACT
relating to certain requirements for designation as a qualified
business under the enterprise zone program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2303.401, Government Code, is amended to
read as follows:
Sec. 2303.401. DEFINITIONS. In this subchapter:
(1) "New permanent job" means any [a] new employment
position, regardless of title, that:
(A) is created by a qualified business as
described by Section 2303.402 at the qualified business site not
earlier than the 90th day before the date the business's project or
activity is designated as an enterprise project under this chapter;
(B) will provide or has provided for the duration
of the project's designation period at least 1,820 hours of
employment a year to a qualified employee; and
(C) will exist or has existed at the qualified
business site for [the longer of]:
(i) the duration of the project's
designation period; or
(ii) three years after the date on which a
state benefit is received as authorized by this chapter.
(2) "Retained job" means any employment position,
regardless of title, [a job] that:
(A) existed with a qualified business on the 91st
day before the date the business's project or activity is
designated as an enterprise project;
(B) has provided and will continue to provide
employment to a qualified employee of at least 1,820 hours
annually; and
(C) will be or has been an employment position
for [the longer of]:
(i) the duration of the project's
designation period; or
(ii) three years after the expiration date
of the claim period for receipt of a state benefit authorized by
this chapter.
SECTION 2. Section 2303.402(a), Government Code, is amended
to read as follows:
(a) A person is a qualified business if the bank, for the
purpose of state benefits under this chapter, or the nominating
body of a project or activity of the person under this chapter, for
the purpose of local incentives, certifies that:
(1) the person is engaged in or has provided
substantial commitment to initiate the active conduct of a trade or
business in an enterprise zone, and at least 25 percent of the
person's new permanent jobs in the enterprise zone are held by:
(A) residents of any enterprise zone in this
state;
(B) economically disadvantaged individuals; [or]
(C) veterans; or
(D) residents of any area in this state
designated by the federal government as an opportunity zone; or
(2) the person is engaged in or has provided
substantial commitment to initiate the active conduct of a trade or
business in an area of this state that does not qualify as an
enterprise zone, and at least 35 percent of the person's new
permanent jobs at the qualified business site are held by:
(A) residents of any enterprise zone in this
state;
(B) individuals who are economically
disadvantaged; [or]
(C) veterans; or
(D) residents of any area in this state
designated by the federal government as an opportunity zone.
SECTION 3. The changes in law made by this Act apply only to
an application for an enterprise project designation under the
enterprise zone program established under Chapter 2303, Government
Code, as amended by this Act, that is submitted on or after the
effective date of this Act. An application for an enterprise
project designation under the enterprise zone program that is
submitted before the effective date of this Act is governed by the
law in effect on the date the application was submitted, and the
former law is continued in effect for that purpose.
SECTION 4. This Act takes effect September 1, 2019.