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A BILL TO BE ENTITLED
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AN ACT
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relating to the procedures required for a Type A economic |
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development corporation to make certain expenditures. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter C, Chapter 504, Local Government |
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Code, is amended by adding Section 504.108 to read as follows: |
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Sec. 504.108. PROCEDURES FOR CERTAIN LARGE EXPENDITURES. |
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(a) A Type A corporation may not make an expenditure in the amount |
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of $50,000 or more unless: |
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(1) the corporation first publishes notice of the |
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expenditure on the publicly accessible website of the authorizing |
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municipality or in a newspaper of general circulation in the |
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authorizing municipality; and |
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(2) the authorizing municipality approves the |
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expenditure, not earlier than the seventh day after the date notice |
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is published under Subdivision (1). |
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(b) The notice under Subsection (a) must state: |
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(1) each business entity or other person who will |
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receive money from the corporation for the expenditure; and |
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(2) each investor or owner with an ownership interest |
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of five percent or more in a business entity described by |
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Subdivision (1). |
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SECTION 2. Section 504.108, Local Government Code, as added |
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by this Act, applies only to an expenditure made or obligated to be |
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made on or after the effective date of this Act. An expenditure |
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that is made or obligated to be made before the effective date of |
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this Act is governed by the law in effect when the corporation made |
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or first became obligated to make the expenditure, and the former |
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law is continued in effect for that purpose. |
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SECTION 3. This Act takes effect September 1, 2015. |