S.B. No. 1716
AN ACT
relating to term limits for 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 22.020(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 50 [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 2. 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 50
[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 50-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 3. Sections 22.022(a) and (b), Transportation Code,
are amended to read as follows:
(a) A lease of real property may not exceed 50 [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 50 [40] years. If the lease provides for more than
one renewal or extension, the renewals or extensions may not in the
aggregate exceed 50 [40] years.
SECTION 4. This Act takes effect September 1, 2023.
______________________________ ______________________________
President of the Senate Speaker of the House
I hereby certify that S.B. No. 1716 passed the Senate on
May 3, 2023, by the following vote: Yeas 30, Nays 1.
______________________________
Secretary of the Senate
I hereby certify that S.B. No. 1716 passed the House on
May 12, 2023, by the following vote: Yeas 134, Nays 6,
two present not voting.
______________________________
Chief Clerk of the House
Approved:
______________________________
Date
______________________________
Governor