88R10967 MZM-F
By: Creighton S.B. No. 1260
A BILL TO BE ENTITLED
AN ACT
relating to certain contracts regarding airports and associated air
navigation facilities operated by or on behalf of a local
government.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 22.019, Transportation Code, is amended
to read as follows:
Sec. 22.019. CONTRACTS. Except as provided by Section
22.0191, a [A] local government may enter into a contract necessary
to the execution of a power granted the local government and for a
purpose provided by this chapter.
SECTION 2. Subchapter B, Chapter 22, Transportation Code,
is amended by adding Section 22.0191 to read as follows:
Sec. 22.0191. AIRPORT INFRASTRUCTURE OR EQUIPMENT
CONTRACTS. (a) In this section, "airport infrastructure or
equipment contract" means a contract for the acquisition,
construction, improvement, or renovation of airport infrastructure
or equipment, including a terminal, security system, or passenger
boarding bridge, used at an airport or an air navigation facility
associated with an airport.
(b) A local government or a person operating an airport on
behalf of a local government may not enter into an airport
infrastructure or equipment contract with:
(1) an entity that:
(A) a federal court determines has
misappropriated intellectual property or trade secrets from
another entity organized under federal, state, or local law; and
(B) is owned wholly or partly by, is controlled
by, or receives subsidies from the government of a country that:
(i) is identified under Section 182, Trade
Act of 1974 (19 U.S.C. Section 2242), as a priority foreign country;
or
(ii) is subject to monitoring by the Office
of the United States Trade Representative in accordance with
Section 306, Trade Act of 1974 (19 U.S.C. Section 2416); or
(2) any entity that owns, controls, is owned or
controlled by, is under common ownership with, or is a successor to
an entity described by Subdivision (1).
(c) An airport infrastructure or equipment contract for
goods or services entered into by a local government or a person
operating an airport on behalf of a local government must contain a
written statement by the entity with which the local government or
person is contracting verifying that the entity is not an entity
described by Subsection (b)(1) or (2).
(d) If the written statement required in an airport
infrastructure or equipment contract under Subsection (c) is found
to be false, the contract is voidable by the local government or
person operating the airport.
SECTION 3. Section 22.020(a), Transportation Code, is
amended to read as follows:
(a) A local government, by contract, lease, or other
arrangement, on a consideration fixed by the local government and
for a term not to exceed 99 [40] years, may authorize a qualified
person to operate, as the agent of the local government or
otherwise, an airport owned or controlled by the local government.
SECTION 4. Sections 22.021(a) and (d), Transportation Code,
are amended to read as follows:
(a) In operating an airport or air navigation facility that
it owns, leases, or controls, a local government may enter into a
contract, lease, or other arrangement for a term not exceeding 99
[40] years with a person:
(1) granting the privilege of using or improving the
airport or air navigation facility, a portion or facility of the
airport or air navigation facility, or space in the airport or air
navigation facility for commercial purposes;
(2) conferring the privilege of supplying goods,
services, or facilities at the airport or air navigation facility;
or
(3) making available services to be furnished by the
local government or its agents at the airport or air navigation
facility.
(d) The 99-year [40-year] limit on the term of a contract,
lease, or other arrangement provided by Subsection (a) does not
apply to a contract, lease, or other arrangement under this section
between a local government and this state, the United States, or an
agency or instrumentality of this state or the United States.
SECTION 5. Sections 22.022(a) and (b), Transportation Code,
are amended to read as follows:
(a) A lease of real property may not exceed 99 [40] years if:
(1) the lease is made under Section 22.011(c) or (d),
Section 22.020, or Section 22.021; and
(2) at the time of the execution of the lease, the
property is used as nonaeronautical property and is located on an
airport on which there are active federal governmental aircraft
operations on federal government property.
(b) A renewal or extension of a lease under Subsection (a)
may not exceed 99 [40] years. If the lease provides for more than
one renewal or extension, the renewals or extensions may not in the
aggregate exceed 99 [40] years.
SECTION 6. Section 22.0191, Transportation Code, as added
by this Act, applies only to an airport infrastructure or equipment
contract entered into, modified, or renewed on or after the
effective date of this Act.
SECTION 7. This Act takes effect September 1, 2023.