H.B. No. 4579
AN ACT
relating to the powers, duties, and bond authority of the Lubbock
Reese Redevelopment Authority; providing authority to impose a fee.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 3501.001, Special District Local Laws
Code, is amended by adding Subdivision (4) to read as follows:
(4) "Bond" means an interest-bearing obligation
issued by the authority under this chapter, including a bond,
certificate, note, or other evidence of indebtedness.
SECTION 2. Section 3501.003(a), Special District Local Laws
Code, is amended to read as follows:
(a) The purpose of the authority is to:
(1) undertake projects necessary or incidental to the
industrial, commercial, or business development, redevelopment,
maintenance, and expansion of new and existing businesses on the
property, now or formerly known as Reese Air Force Base, described
in Section 3501.002(a), including the acquisition, construction,
operation, maintenance, enhancement, or disposal of:
(A) [(1)] roads, bridges, and rights-of-way;
(B) [(2)] housing;
(C) [(3)] property;
(D) [(4)] police, fire, medical, cultural,
educational, and research services, equipment, institutions, and
resources;
(E) [(5)] other community support services;
(F) [(6)] flood control, water, wastewater
treatment, and all other utility facilities; and
(G) [(7)] other infrastructure improvements;
(2) encourage the development of new industry by
private businesses; and
(3) encourage financing of projects designated under
Section 3501.1024.
SECTION 3. Section 3501.004, Special District Local Laws
Code, is amended to read as follows:
Sec. 3501.004. EXEMPTION FROM TAXATION. (a) The property,
[revenue, and] income, and operations of the authority are exempt
from taxes [a tax] imposed by the state or a political subdivision
of the state.
(b) Section 25.07(a), Tax Code, applies to a leasehold or
other possessory interest in real property granted by the authority
for a project designated under Section 3501.1024(a) in the same
manner as it applies to a leasehold or other possessory interest in
real property constituting a project described by Section
505.161(a), Local Government Code.
(c) A commercial aircraft to be used as an instrument of
commerce that is under construction in the authority is presumed to
be in interstate, international, or foreign commerce and not
located in this state for longer than a temporary period for
purposes of Sections 11.01 and 21.02, Tax Code.
(d) Tangible personal property located in the authority is
presumed to be in interstate, international, or foreign commerce
and not located in this state for longer than a temporary period for
purposes of Sections 11.01 and 21.02, Tax Code, if the owner
demonstrates to the chief appraiser for the appraisal district in
which the authority is located that the owner intends to
incorporate the property into or attach the property to a
commercial aircraft described by Subsection (c).
(e) In this section, "commercial aircraft" means an
aircraft that is designed to be used as described by Section
21.05(e), Tax Code.
SECTION 4. Subchapter A, Chapter 3501, Special District
Local Laws Code, is amended by adding Section 3501.005 to read as
follows:
Sec. 3501.005. APPLICATION OF OTHER LAW. (a) In this
section, "qualifying project" means any real estate project
involving the construction of:
(1) a tenant finish-out or build-to-suit facility for
a tenant who, through the execution of a lease with the authority,
pays for or reimburses the authority for the cost of the
improvements;
(2) infrastructure improvements including roads,
driveways, or utility extensions made in connection with the sale
or lease of property owned by the authority and for which the
proceeds of the sale or the lease are used to reimburse the
authority for the infrastructure improvements; or
(3) an income-producing facility that generates
revenue for the authority and is constructed by a private developer
with special expertise in development.
(b) Chapters 2267 and 2269, Government Code, do not apply to
a qualifying project of the authority.
SECTION 5. Subchapter B, Chapter 3501, Special District
Local Laws Code, is amended by adding Section 3501.056 to read as
follows:
Sec. 3501.056. HEARINGS BY TELECOMMUNICATION DEVICE. (a)
Notwithstanding Chapter 551, Government Code, or other law, if the
president or vice president of the board, or chairperson or vice
chairperson of a board committee, is physically present at a
meeting of the board or committee, any number of the other members
of the board or committee may attend the meeting by use of telephone
conference call, video conference call, or other similar
telecommunication device. A member of the board or committee who
attends a meeting via a telecommunication device is considered
present for purposes of constituting a quorum, voting, and any
other form of participation in the board or committee meeting. This
subsection applies regardless of the subject of the meeting or
topics considered at the meeting.
(b) If the board or committee of the board holds a meeting
using a telecommunication device in the manner provided by
Subsection (a):
(1) the meeting is subject to the notice requirements
for other meetings;
(2) the board or committee must specify in the notice
the location of the meeting at which the president, vice president,
chairperson, or vice chairperson will be physically present;
(3) the board or committee must make the meeting open
and audible to the public at the location specified under
Subdivision (2); and
(4) the board or committee must provide two-way audio
communication between board or committee members attending the
meeting and, if the two-way audio communication link with a member
is disrupted, stop the meeting until the link is reestablished.
SECTION 6. Section 3501.102(b), Special District Local Laws
Code, is amended to read as follows:
(b) The authority may exercise, on approval by and in
coordination with the governor, any power necessary or convenient
to accomplish a purpose of this chapter, including the power to:
(1) sue and be sued, and plead and be impleaded, in its
own name;
(2) adopt an official seal;
(3) adopt and enforce bylaws and rules for the conduct
of its affairs;
(4) acquire, hold, own, and dispose of its revenue,
income, receipts, and money from any source;
(5) select its depository;
(6) establish its fiscal year;
(7) adopt an annual operating budget for all major
expenditures before the beginning of the fiscal year;
(8) establish a system of accounts for the authority;
(9) invest its money in accordance with Chapter 2256,
Government Code;
(10) acquire, hold, own, use, rent, lease, or dispose
of any property, including a license, patent, right, right-of-way,
easement, and other interest in property, by purchase, exchange,
gift, assignment, condemnation, lease, sale, or any other means, to
perform a duty or to exercise a power under this chapter;
(11) manage, operate, or improve that property, to
perform a duty or to exercise a power under this chapter;
(12) sell, assign, lease, encumber, mortgage, or
otherwise dispose of any base property, or any interest in that
property, release or relinquish any right, title, claim, lien,
interest, easement, or demand, however acquired, and,
notwithstanding any other law, conduct any transaction authorized
by this subdivision by public or private sale;
(13) lease or rent any land, buildings, structures, or
facilities located on the base property to any person to accomplish
the purposes of this chapter;
(14) request and accept any appropriation, grant,
allocation, subsidy, guarantee, aid, service, labor, material,
gift, or money from any source, including the federal government,
the state, a public agency, and a political subdivision;
(15) maintain an office;
(16) appoint and determine the duties, tenure,
qualifications, compensation, and removal of officers, employees,
agents, professional advisors, and counselors, including financial
consultants, accountants, attorneys, architects, engineers,
appraisers, and financing experts, as considered necessary or
advisable by the board;
(17) borrow money as necessary to acquire, improve, or
operate a facility on the base property, not to exceed the amount
determined by the board [governing body of the City of Lubbock];
(18) establish, impose, and collect rents, rates,
fees, and charges for its facilities and services; [and]
(19) exercise the powers Chapter 380, Local Government
Code, grants to a municipality for expansion of economic
development and commercial activity;
(20) lend money for a purpose authorized by Section
52-a, Article III, Texas Constitution;
(21) authorize by resolution the incorporation of a
nonprofit airport facility financing corporation in the manner
provided by Subchapter E, Chapter 22, Transportation Code, for the
purposes provided by Section 22.152(a), Transportation Code;
(22) exercise the powers granted to a local government
for the financing of facilities to be located on airport property,
including powers granted by Chapter 22, Transportation Code,
consistent with the requirements and the purposes of Section 52-a,
Article III, Texas Constitution;
(23) lease, own, and operate an airport and exercise
the powers granted to municipalities and counties by Chapter 22,
Transportation Code;
(24) lease, own, and operate port facilities for air,
truck, and rail transportation;
(25) provide security for port functions, facilities,
and operations;
(26) cooperate with and participate in programs and
security efforts of this state and the United States Department of
Homeland Security; and
(27) participate as a member or partner of a limited
liability company, a limited liability partnership, or other entity
organized to finance a project designated as a redevelopment
project under Section 3501.1024.
SECTION 7. Subchapter C, Chapter 3501, Special District
Local Laws Code, is amended by adding Sections 3501.1021,
3501.1022, 3501.1023, and 3501.1024 to read as follows:
Sec. 3501.1021. INLAND PORT AND TRADE POWERS. (a) The
authority may establish and operate an inland port and related port
facilities to engage in world trade.
(b) The authority may participate in national and
international agreements advancing world trade at the port.
Sec. 3501.1022. SERVICES. The authority may charge a fee
for a service including:
(1) professional consultation services provided in
relation to international trade, planning, land use, or
construction;
(2) real estate development services, including
services provided by a person licensed under Chapter 1101,
Occupations Code, acting as a broker;
(3) support or participation in the acquisition of
venture capital to finance the authority's redevelopment project,
both inside and outside the authority;
(4) participation in or assistance on a joint venture
composed of both public and private entities;
(5) promotion of an activity that creates employment
opportunities; and
(6) any other service provided in relation to a
project undertaken by the authority, alone or with others, to
fulfill an authority purpose or objective.
Sec. 3501.1023. TRANSPORTATION PROJECT. (a) The authority
may implement a transportation project:
(1) on the base property; or
(2) outside of the base property to provide access to
the base property.
(b) The authority may enter into an agreement with a person
to plan, finance, construct, or maintain a project described by
Subsection (a).
(c) The authority may construct a building, loading dock, or
other facility as part of a transportation project described by
Subsection (a)(1).
Sec. 3501.1024. REDEVELOPMENT PROJECTS. (a) The board may
designate as a redevelopment project a project that relates to:
(1) the development of base property and the
surrounding areas; or
(2) the development of property directly related to
the purposes or goals of the authority.
(b) A project designated under Subsection (a) is for a
public purpose.
SECTION 8. Section 3501.106, Special District Local Laws
Code, is amended to read as follows:
Sec. 3501.106. [REVENUE] BONDS. (a) The authority may
issue [for any authority purpose] bonds if authorized by board
resolution.
(b) A bond issued under this chapter must:
(1) be [or other obligations] payable solely from [any
source of] authority revenue;
(2) mature not later than 40 years after its date of
issuance; and
(3) state on its face that it is not an obligation of
this state or a municipality.
(c) The authority may exercise the powers granted to the
governing body of an issuer with regard to the issuance of
obligations and the execution of credit agreements under Chapter
1371, Government Code [issue a bond or other obligation in the form
of a bond, note, certificate of participation or other instrument
evidencing a proportionate interest in payments to be made by the
authority, or other type of obligation].
SECTION 9. (a) The legal notice of the intention to
introduce this Act, setting forth the general substance of this
Act, has been published as provided by law, and the notice and a
copy of this Act have been furnished to all persons, agencies,
officials, or entities to which they are required to be furnished
under Section 59, Article XVI, Texas Constitution, and Chapter 313,
Government Code.
(b) The governor, one of the required recipients, has
submitted the notice and Act to the Texas Commission on
Environmental Quality.
(c) The Texas Commission on Environmental Quality has filed
its recommendations relating to this Act with the governor,
lieutenant governor, and speaker of the house of representatives
within the required time.
(d) All requirements of the constitution and laws of this
state and the rules and procedures of the legislature with respect
to the notice, introduction, and passage of this Act have been
fulfilled and accomplished.
SECTION 10. This Act takes effect September 1, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4579 was passed by the House on April
28, 2021, by the following vote: Yeas 140, Nays 5, 1 present, not
voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4579 was passed by the Senate on May
19, 2021, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor