H.B. No. 5174
AN ACT
relating to the establishment and administration of the Texas
Semiconductor Innovation Consortium.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 481, Government Code, is amended by
adding Subchapter GG to read as follows:
SUBCHAPTER GG. TEXAS SEMICONDUCTOR INNOVATION CONSORTIUM
Sec. 481.651. DEFINITIONS. In this subchapter:
(1) "Consortium" means the Texas Semiconductor
Innovation Consortium.
(2) "Executive committee" means the executive
committee of the consortium.
(3) "Fund" means the Texas Semiconductor Innovation
Fund.
(4) "Institution of higher education" has the meaning
assigned by Section 61.003, Education Code.
Sec. 481.652. ESTABLISHMENT; PURPOSES. (a) The Texas
Semiconductor Innovation Consortium is established as an advisory
panel to the governor and the legislature.
(b) The purposes of the consortium are to:
(1) leverage the expertise and capacity of
institutions of higher education, industry, and nonprofit
stakeholders to develop a comprehensive strategic plan to ensure
ongoing semiconductor innovation;
(2) sustain the leadership of this state in advanced
semiconductor research, design, and manufacturing;
(3) attract public and private investment in this
state related to research, development, commercialization, and
manufacturing of semiconductors;
(4) identify and expand opportunities for workforce
training and development related to the research, design, and
manufacturing of semiconductors; and
(5) establish a forum for public and private
stakeholders across the semiconductor manufacturing industry in
this state to focus on education, research and development, and
commercial production.
Sec. 481.653. COMPOSITION OF CONSORTIUM. (a) The
consortium is composed of a designee of each of the following
institutions of higher education appointed by the office of the
president of the institution:
(1) The University of Texas at Arlington;
(2) The University of Texas at Austin;
(3) The University of Texas at Dallas;
(4) The University of Texas at El Paso;
(5) The University of Texas Rio Grande Valley;
(6) The University of Texas at San Antonio;
(7) Texas A&M University;
(8) Prairie View A&M University;
(9) the University of Houston;
(10) the University of North Texas;
(11) Texas Tech University;
(12) Texas State University;
(13) Texas State Technical College System;
(14) Lamar University;
(15) Lamar State College - Orange;
(16) Lamar State College - Port Arthur;
(17) Lamar Institute of Technology;
(18) Austin Community College; and
(19) Dallas Community College.
(b) In addition to the appointments under Subsection (a),
the executive committee established under Section 481.655 may
appoint any other entity or individual the executive committee
considers necessary.
(c) In making appointments under Subsections (a) and (b),
priority shall be given to individuals with experience in
semiconductor design and manufacturing.
Sec. 481.654. ADMINISTRATIVE ATTACHMENT. (a) The
consortium is administratively attached to the office of the
governor.
(b) The office shall provide the staff and facilities
necessary to assist the consortium in performing the consortium's
duties under this subchapter.
Sec. 481.655. EXECUTIVE COMMITTEE COMPOSITION. (a) The
consortium is governed by an executive committee composed of the
following members:
(1) three members appointed by the governor;
(2) two members appointed by the lieutenant governor;
(3) two members appointed by the speaker of the house
of representatives;
(4) the chancellor of The Texas A&M University System
or the chancellor's designee; and
(5) the chancellor of The University of Texas System
or the chancellor's designee.
(b) In making appointments under Subsection (a), priority
shall be given to individuals with experience in manufacturing,
design, industrial development, academic research, and scientific
research in the field of semiconductors.
(c) In making appointments under Subsection (a), the
governor, the lieutenant governor, and the speaker of the house of
representatives shall coordinate to ensure that at least two
representatives from the commercial semiconductor design and
manufacturing sectors with an established presence in the state are
appointed to the executive committee.
Sec. 481.656. DUTIES OF EXECUTIVE COMMITTEE. (a) The
executive committee shall:
(1) develop and execute a comprehensive statewide
strategic plan to further the objectives of the consortium as
established under Section 481.652;
(2) solicit recommendations from consortium members
on funding and research opportunities related to semiconductor
research, design, commercialization, and manufacturing;
(3) appoint an executive director of the consortium
and determine the title, functions, duties, powers, and salary for
the executive director; and
(4) prepare and submit the report required by Section
481.657.
(b) The executive director may enter into agreements with
the office of the governor for staff support services to facilitate
the work of the consortium.
Sec. 481.657. BIENNIAL REPORT. Not later than December 1 of
each even-numbered year, the executive committee shall prepare and
submit to the governor and the Legislative Budget Board a written
report that outlines:
(1) activities undertaken to meet the purposes of the
consortium under Section 481.652;
(2) a summary of the funding and research
opportunities identified under Section 481.656(a)(2);
(3) any legislative recommendations to further the
purposes of the consortium;
(4) any prospective grants or funding the consortium
members expect to apply for or receive; and
(5) any research accomplishments associated with the
consortium.
Sec. 481.658. TEXAS SEMICONDUCTOR INNOVATION FUND. (a)
The Texas Semiconductor Innovation Fund is created as a dedicated
account within the general revenue fund. The fund consists of:
(1) gifts, grants, or donations to the fund; and
(2) money from any other source designated by the
legislature.
(b) Money in the fund may be used to:
(1) provide matching funding to state entities,
including institutions of higher education, for semiconductor
manufacturing and design projects;
(2) award grants to business entities with an
established presence in this state to encourage economic
development related to semiconductor manufacturing and design; and
(3) subject to Subsection (c), pay for staff support
services described by Section 481.656(b).
(c) The consortium shall request from the Legislative
Budget Board approval to use money in the fund for the purpose
described by Subsection (b)(3). A request under this subsection
shall be considered approved on the 30th day after receipt by the
Legislative Budget Board unless expressly disapproved.
SECTION 2. 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, 2023.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 5174 was passed by the House on May 5,
2023, by the following vote: Yeas 128, Nays 17, 1 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 5174 on May 17, 2023, by the following vote: Yeas 136, Nays 9,
1 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 5174 was passed by the Senate, with
amendments, on May 15, 2023, by the following vote: Yeas 29, Nays
2.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor