HBA-LJP H.B. 3006 77(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 3006
By: Uresti
Ways & Means
8/3/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, a taxing unit that levied taxes on real
property in a reinvestment zone was authorized to appoint one member to the
board of directors of the zone, and only certain taxing units were
authorized to appoint members to a board of a zone designated through
petition.  Because of the limitations of a taxing unit to appoint members
to a board of directors of a reinvestment zone, the board of directors of
the zone may not have equally represented the different interests in the
reinvestment zone.  House Bill 3006 provides for a taxing unit to appoint
at least one or more members to the board of directors of a reinvestment
zone. 

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. 

ANALYSIS

House Bill 3006 amends the Tax Code to provide that the board of directors
of a reinvestment zone designated by a municipality on or after September
1, 2001, which is wholly or partially located in a county with a population
of less than 1.4 million in which the principal municipality has a
population of 1.1 million or more (board) consists of at least 5 and not
more than 15 members, unless more than 15 members are required to satisfy
representation requirements.  If a reinvestment zone is designated through
a petition, the board of directors of the zone consists of nine members,
unless a greater number of members is necessary to comply with
representation requirements.  The bill entitles each taxing unit that
approves the payment of all or part of its tax increment into the tax
increment fund to appoint at least one member to the board and entitles the
municipality that designated the zone to appoint at least as many members
to the board as any other participating taxing unit.  The bill also sets
forth the calculation method in which the number of members a taxing unit
is authorized to appoint to a board is determined.  The bill authorizes a
taxing unit to waive its right to appoint a director. 

The bill provides for the membership of the member of the state senate and
the member of the state house of representative in whose district the
reinvestment zone designated by petition is located as a member of a board
in a reinvestment zone. 

The bill sets forth the terms, vacancy, and eligibility of the members of a
board and presiding officer of the board.  The bill also provides that a
member of a board is not a public official by virtue of that position and
authorizes a member of the board to serve concurrently on the board of
directors of a local government corporation. 

EFFECTIVE DATE

September 1, 2001.