Bill Text: TX HB2720 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to the authority of a Type A economic development corporation to provide grants and loans to small businesses during a declared state of disaster.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2021-03-17 - Referred to International Relations & Economic Development [HB2720 Detail]
Download: Texas-2021-HB2720-Introduced.html
| 87R6541 SMT-D | ||
| By: Lucio III | H.B. No. 2720 | |
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| relating to the authority of a Type A economic development | ||
| corporation to provide grants and loans to small businesses during | ||
| a declared state of disaster. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Chapter 504, Local Government Code, is amended | ||
| by adding Subchapter D-1 to read as follows: | ||
| SUBCHAPTER D-1. PROJECTS AUTHORIZED DURING DISASTER | ||
| Sec. 504.181. APPLICABILITY. This subchapter applies only | ||
| to a Type A corporation authorized by a municipality that is wholly | ||
| or partly located in an area declared to be in a state of disaster by | ||
| the governor under Chapter 418, Government Code. | ||
| Sec. 504.182. AUTHORITY FOR CERTAIN PROJECTS. (a) For a | ||
| Type A corporation to which the subchapter applies, in this | ||
| subtitle, "project" includes a program to provide grants and loans | ||
| to small businesses during a declared state of disaster to promote | ||
| recovery from the disaster. | ||
| (b) A Type A corporation that provides a grant or loan under | ||
| this subchapter must establish criteria to be used in determining | ||
| which businesses may receive the grant or loan and the permitted | ||
| uses of the grant or loan. | ||
| Sec. 504.183. LIMITATION ON REVENUE SPENT ON PROJECTS. A | ||
| Type A corporation may spend not more than 10 percent of the sales | ||
| and use tax revenue received by the corporation under this chapter | ||
| to establish and operate a project authorized by this subchapter. | ||
| 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, 2021. | ||
