Bill Text: TX HB3544 | 2015-2016 | 84th Legislature | Introduced


Bill Title: Relating to the Texas Enterprise Fund.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2015-04-02 - Left pending in committee [HB3544 Detail]

Download: Texas-2015-HB3544-Introduced.html
 
 
  By: Springer H.B. No. 3544
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the Texas Enterprise Fund.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 481.078, Government Code, is amended by
  amending Subsection (f) and adding Subsections (m), (n), (o), and
  (p) to read as follows:
         (f)  Before awarding a grant under this section, the governor
  shall enter into a written agreement with the entity to be awarded
  the grant money specifying that:
               (1)  if the governor finds that the grant recipient has
  not met each of the performance targets specified in the agreement
  as of a date certain provided in the agreement:
                     (A)  the recipient shall repay the full amount of
  the grant and any related interest to the state at the agreed rate
  [and on the agreed terms];
                     (B)  the governor will not distribute to the
  recipient any grant money that remains to be awarded under the
  agreement; and
                     (C)  the governor may assess specified penalties
  for noncompliance against the recipient;
               (2)  if all or any portion of the amount of the grant is
  used to build a capital improvement, the state may:
                     (A)  retain a lien or other interest in the
  capital improvement in proportion to the percentage of the grant
  amount used to pay for the capital improvement; and
                     (B)  require the recipient of the grant, if the
  capital improvement is sold, to:
                           (i)  repay to the state the grant money used
  to pay for the capital improvement, with interest at the rate and
  according to the other terms provided by the agreement; and
                           (ii)  share with the state a proportionate
  amount of any profit realized from the sale; and
               (3)  if, as of a date certain provided in the agreement,
  the grant recipient has not used grant money awarded under this
  section for the purposes for which the grant was intended, the
  recipient shall repay that amount and any related interest to the
  state at the agreed rate [and on the agreed terms].
         (m)  In a calendar year at least 25 percent of the grant
  agreements entered into must contain a provision that requires all
  of the jobs created under the agreement to be created in a county
  that has:
               (1)  a population of less than 250,000;
               (2)  a family income that is in the lower 3 quartiles of
  family income for the state as determined by the United States
  Department of Housing and Urban Development;
               (3)  and target and promote appropriate sized companies
  of approximately 25 to 200 employees that would benefit counties of
  under 250,000.
 
         (n)  The governor may not award a grant to a business that
  intends to use grant money for the development or establishment of a
  retail business that would be in direct competition with an
  existing business in this state and would have a negative impact on
  the existing business.
         (o)  Before August 31, 2024, the Sunset Advisory Commission
  shall conduct an extensive review of the Texas Enterprise Fund
  program that is similar to the review of an agency under Chapter 325
  (Texas Sunset Act).  The commission shall make recommendations on
  the abolition or continuation of the program in a report submitted
  to the governor and the legislature on or before August 31, 2024.
         (p)  This section and Sections 481.079 and 481.080 expire
  September 1, 2025.
         SECTION 2.  Subchapter E, Chapter 481, Government Code, is
  amended by adding Section 481.081 to read as follows:
         Sec. 481.081.  APPLICATION FOR CERTAIN GRANTS. (a)  The
  office shall develop a streamlined application and review process
  for a request for a grant of less than $5 million under Section
  481.078.
         (b)  The application may not be more than four pages long.
         SECTION 3.  Sections 481.078(f-2) and (j), Government Code,
  are repealed.
         SECTION 4.  The changes in law made by this Act apply only to
  an application for a grant filed on or after the effective date of
  this Act. An application for a grant that is filed before the
  effective date of this Act is governed by the law in effect on the
  date the application was filed, and the former law is continued in
  effect for that purpose.
         SECTION 5.  Section 481.078(m), Government Code, as added by
  this Act, applies only in a calendar year that begins after the
  effective date of this Act.
         SECTION 6.  This Act takes effect September 1, 2015.
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