HBA-DMD S.B. 313 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 313
By: Madla
State, Federal, & International Relations
5/20/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, the Texas Department of Economic Development (department) is
prohibited from designating more than two businesses in a single zone as
defense readjustment projects. A company designated as a defense
readjustment project qualifies for a tax refund of $2,500 for each new job
that is retained by the project, and is allowed to make reductions of
taxable capital within a zone. S.B. 313 prohibits the department from
designating more than six businesses in a single readjustment zone as
defense readjustment projects. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 2310.303, Government Code, to prohibit the Texas
Department of Economic Development from designating more than six, rather
than two, businesses in a single readjustment zone as defense readjustment
projects. 

SECTION 2. Provides that this Act takes effect only if a specific
appropriation for the implementation of this Act is provided in H.B. No. 1,
Acts of the 76th Legislature, Regular Session, 1999. Provides that if no
specific appropriation is provided in H.B. No. 1, this Act has no effect. 

SECTION 3.Emergency clause.
  Effective date: 90 days after adjournment.