Bill Text: TX SB565 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to use of project funds of municipal development districts.
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2021-03-11 - Referred to Local Government [SB565 Detail]
Download: Texas-2021-SB565-Introduced.html
| 87R4996 MCF-F | ||
| By: Buckingham | S.B. No. 565 | |
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| relating to use of project funds of municipal development | ||
| districts. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Section 377.072(c), Local Government Code, is | ||
| amended to read as follows: | ||
| (c) Except as provided by Subsections (d) and (e), the | ||
| district may use money in the development project fund only to: | ||
| (1) pay the costs of planning, acquiring, | ||
| establishing, developing, constructing, or renovating one or more | ||
| development projects located: | ||
| (A) in the district; or | ||
| (B) outside the district, if: | ||
| (i) the board determines that the | ||
| development project will provide an economic benefit to the | ||
| district; and | ||
| (ii) the following entities, as applicable, | ||
| by resolution approve the development project: | ||
| (a) the municipality that created the | ||
| district; | ||
| (b) each municipality in whose | ||
| corporate limits or extraterritorial jurisdiction the project is | ||
| located; and | ||
| (c) the commissioners court of the | ||
| county in which the project is located, if the project is not | ||
| located in the corporate limits or extraterritorial jurisdiction of | ||
| a municipality; | ||
| (2) pay the principal of, interest on, and other costs | ||
| relating to bonds or other obligations issued by the district or to | ||
| refund bonds or other obligations; or | ||
| (3) pay the costs of operating or maintaining one or | ||
| more development projects during the planning, acquisition, | ||
| establishment, development, construction, or renovation or while | ||
| bonds or other obligations for the planning, acquisition, | ||
| establishment, development, construction, or renovation are | ||
| outstanding. | ||
| 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. | ||
