87R7599 CAE/CJC-F By: Gervin-Hawkins, Sanford, Middleton H.B. No. 3610 A BILL TO BE ENTITLED AN ACT relating to the applicability of certain laws to open-enrollment charter schools. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 12.1058(a), Education Code, is amended to read as follows: (a) An open-enrollment charter school is considered to be: (1) a local government for purposes of Chapter 791, Government Code; (2) a local government for purposes of Chapter 2259, Government Code, except that an open-enrollment charter school may not issue public securities as provided by Section 2259.031(b), Government Code; (3) a political subdivision for purposes of Chapter 172, Local Government Code; [and] (4) a local governmental entity for purposes of Subchapter I, Chapter 271, Local Government Code; (5) a political subdivision for purposes of Section 16.061, Civil Practice and Remedies Code, with respect to any property purchased, leased, constructed, renovated, or improved with state funds under Section 12.128 of this code after September 1, 2001; and (6) a political subdivision for purposes of Section 11.11, Tax Code. SECTION 2. Sections 12.128(a) and (a-1), Education Code, are amended to read as follows: (a) Property purchased with funds received by a charter holder under Section 12.106 after September 1, 2001: (1) is considered to be public property for all purposes under state law; (2) is property of this state held in trust by the charter holder for the benefit of the students of the open-enrollment charter school; [and] (3) may be used only for a purpose for which a school district may use school district property; and (4) is exempt from ad valorem taxation as provided by Section 11.11, Tax Code. (a-1) Property leased with funds received by a charter holder under Section 12.106 after September 1, 2001: (1) is considered to be public property for all purposes under state law; (2) is property of this state held in trust by the charter holder for the benefit of the students of the open-enrollment charter school; [and] (3) may be used only for a purpose for which a school district may use school district property; and (4) is exempt from ad valorem taxation as provided by Section 11.11, Tax Code. SECTION 3. This Act takes effect September 1, 2021.