86R12833 KJE/ATP-D
By: Hughes S.B. No. 2380
A BILL TO BE ENTITLED
AN ACT
relating to the creation of certain pilot programs to encourage
economic and educational opportunities in certain regions of this
state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle C, Title 15, Business & Commerce Code,
is amended by adding Chapter 682 to read as follows:
CHAPTER 682. SPECIAL ECONOMIC ZONE PILOT PROGRAM
Sec. 682.001. DEFINITIONS. In this chapter:
(1) "Department" means the Texas Department of
Licensing and Regulation.
(2) "Pilot program" means the Special Economic Zone
pilot program established under this chapter.
Sec. 682.002. ESTABLISHMENT OF PILOT PROGRAM. (a) The
Texas Department of Licensing and Regulation, in cooperation with
the secretary of state, the comptroller, the Texas Commission on
Environmental Quality, other state agencies, and political
subdivisions of this state that provide occupational licenses,
shall establish a pilot program to create special economic zones in
eligible counties of this state for the purpose of reducing
barriers and costs of entry to occupations and entrepreneurship for
residents of and new and existing businesses located in or
relocating to a special economic zone.
(b) The department shall select eligible counties for
participation in the pilot program, at least one of which must have
a school district in the county participating in the Rural School
Innovation Zones pilot program established under Subchapter O,
Chapter 29, Education Code.
(c) To the extent not prohibited by law, the pilot program
must, unless the department determines that the activity endangers
or is likely to endanger the health, safety, or welfare of the
public, provide for the following in participating counties:
(1) waiving fees for filing a certificate of formation
with the secretary of state;
(2) waiving all professional licensing fees imposed by
state agencies;
(3) waiving minimum time periods or examination
requirements for offering reciprocity to out-of-state occupational
license holders;
(4) waiving minimum credit hours and other educational
prerequisites for eligibility to sit for certain occupational
licensing exams and allowing licensure from the passage of the
relevant licensing exam;
(5) waiving or reducing permitting fees and allowing
expedited processing of certain environmental permits issued by the
Texas Commission on Environmental Quality, including:
(A) waiving fees or issuing refunds for air
permits by rule and waiving requirements for certain standard air
permits for small businesses, nonprofit corporations,
municipalities, counties, and independent school districts;
(B) exempting facilities permitted by rule from
additional permits or registrations required by local air pollution
control agencies;
(C) expanding the readily available permit
program of the Texas Commission on Environmental Quality, including
by developing additional readily available permits tailored for
manufacturing, wood-processing, and other industrial sectors and
facility types commonly found in East Texas; and
(D) reducing or waiving fees and waiving
requirements for obtaining a Texas Commission on Environmental
Quality occupational license, including waiving the requirement
that an individual must be in compliance with the payment of
guaranteed student loans to be eligible for a license;
(6) suspending any duplicative local government
occupational license requirements;
(7) waiving the annual requirement to file a "no tax
due" franchise tax report with the comptroller; and
(8) a $2 million minimum deduction from the state
franchise tax.
Sec. 682.003. ELIGIBLE COUNTIES: SPECIAL ECONOMIC ZONE
LOCATIONS. (a) A special economic zone may be created in counties
in this state that meet one or more of the following criteria, as
measured during the five years preceding the creation of the zone:
(1) school districts in the region received an overall
district performance rating under Section 39.054 or made
achievements under the closing the gaps domain under Section
39.053(c) lower than the state average;
(2) the percentage of the population with a bachelor's
degree or higher was lower than the state average;
(3) population growth was negative or lower than the
state average;
(4) zero or very few new building permits were issued;
(5) retail sales per capita were lower than the state
average;
(6) the number of employer establishments was lower
than the state average;
(7) median household income was lower than the state
average;
(8) the number of persons living in poverty was higher
than the state average for communities of the same size; and
(9) unemployment rates were stagnant or increasing.
(b) A pilot program must be created in eligible counties
that, to the extent possible, represent different regions of this
state.
Sec. 682.004. REPORT. Not later than December 1 of each
even-numbered year, the department shall submit to the legislature
a report on the effectiveness of the pilot program. The department
shall include in the report a recommendation regarding whether the
pilot program should be continued, expanded, or terminated.
Sec. 682.005. EXPIRATION. This chapter expires September
1, 2025.
SECTION 2. Chapter 29, Education Code, is amended by adding
Subchapter O to read as follows:
SUBCHAPTER O. RURAL SCHOOL INNOVATION ZONES PILOT PROGRAM
Sec. 29.601. DEFINITIONS. In this subchapter:
(1) "Institution of higher education" has the meaning
assigned by Section 61.003.
(2) "Pilot program" means the Rural School Innovation
Zones pilot program established under this subchapter.
Sec. 29.602. ESTABLISHMENT. (a) The Rural School
Innovation Zones pilot program is established to align the delivery
of educational services in eligible regions of the state to
maximize workforce preparation and improve student outcomes at the
primary, secondary, and postsecondary levels.
(b) A school district located in an eligible region of the
state designated under Section 29.605 may elect to participate in
the pilot program by entering into an agreement with one or more
other school districts in that region to establish a regional
administrator to manage the educational and career opportunities
that will be offered under the pilot program to high school students
enrolled at the participating districts.
Sec. 29.603. REGIONAL ADMINISTRATOR. (a) The governing
body of a regional administrator established under Section
29.602(b) must include:
(1) at least one representative of:
(A) the applicable regional education service
center; and
(B) each participating school district; and
(2) representatives of the business community or
institutions of higher education in the applicable region that have
experience in operating a P-TECH program under Subchapter N.
(b) The members described by Subsection (a)(2) must be
appointed by the commissioner in a number that exceeds the number of
members affiliated with participating school districts.
(c) The governing body shall hire an executive director for
the regional administrator.
(d) The regional administrator shall:
(1) manage the portfolio of educational and career
opportunities offered by participating school districts;
(2) enter into:
(A) articulation agreements with institutions of
higher education in the region to offer to high school students
enrolled at participating school districts dual credit courses
aligned with the programs offered under the pilot program under
Section 29.604; and
(B) memoranda of understanding with regional
business partners to provide high school students enrolled at
participating school districts access to work-based training and
education;
(3) facilitate discussion between the participating
school districts, business partners, and institutions of higher
education to align program offerings under the pilot program;
(4) manage student transportation between the
participating school districts, business partners, and
institutions of higher education;
(5) collaborate with:
(A) parents of students enrolled at
participating school districts to identify programs of interest;
and
(B) local businesses and local workforce
development boards to identify regional workforce needs;
(6) work with child care and prekindergarten providers
in the region to improve the quality of those programs and allow for
a seamless transition to kindergarten;
(7) provide supports to educators who develop ideas
for new programs or schools that fulfill educational or workforce
needs in the region; and
(8) develop and provide college and career counseling
services to high school students enrolled at participating school
districts.
Sec. 29.604. PROGRAM REQUIREMENTS. (a) Each participating
school district shall offer educational or career-oriented
pathways of focus to all high school students enrolled at
participating districts in the region.
(b) The programs offered under the pilot program:
(1) must:
(A) enable each high school student enrolled at a
participating district to graduate high school with an associate
degree;
(B) include a P-TECH program in each community in
the region; and
(C) include an open-enrollment early college
high school program in at least one community in the region; and
(2) may enable each high school student enrolled at a
participating district to graduate high school with a two-year
postsecondary certificate or industry certification.
(c) Any agreement with a business partner to participate in
the pilot program must require the business partner to offer paid
internships to high school students enrolled at participating
districts.
Sec. 29.605. ELIGIBLE REGION. To be an eligible region
under the pilot program, a region must meet one or more of the
following criteria, as measured during the five years preceding the
participation of school districts in the region in the pilot
program:
(1) school districts in the region received an overall
district performance rating under Section 39.054 or made
achievements under the closing the gaps domain under Section
39.053(c) lower than the state average;
(2) the percentage of the population with a bachelor's
degree or higher was lower than the state average;
(3) population growth was negative or lower than the
state average;
(4) zero or very few new building permits were issued;
(5) retail sales per capita were lower than the state
average;
(6) the number of employer establishments was lower
than the state average;
(7) median household income was lower than the state
average;
(8) the number of persons living in poverty was higher
than the state average for communities of the same size; and
(9) unemployment rates were stagnant or increasing.
Sec. 29.606. REPORT. Not later than December 1 of each
even-numbered year, the agency shall submit to the legislature a
report on the effectiveness of the pilot program. The agency shall
include in the report a recommendation regarding whether the pilot
program should be continued, expanded, or terminated.
Sec. 29.607. EXPIRATION. This subchapter expires September
1, 2025.
SECTION 3. Subchapter O, Chapter 29, Education Code, as
added by this Act, applies beginning with the 2019-2020 school
year.
SECTION 4. This Act takes effect September 1, 2019.