This website will be unavailable from Friday, April 26, 2024 at 6:00 p.m. through Monday, April 29, 2024 at 7:00 a.m. due to data center maintenance.

 
 
  S.B. No. 971
 
 
 
 
AN ACT
  relating to the purposes, designation, and funding of a
  transportation reinvestment zone for port projects; providing
  authority to issue bonds; authorizing an assessment.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Subchapter E, Chapter 222, Transportation Code,
  is amended by adding Section 222.1075 to read as follows:
         Sec. 222.1075.  PORT AUTHORITY TRANSPORTATION REINVESTMENT
  ZONE. (a)  In this section:
               (1)  "Port authority" means a port authority or
  navigation district created or operating under Section 52, Article
  III, or Section 59, Article XVI, Texas Constitution.
               (2)  "Port commission" means the governing body of a
  port authority or navigation district.
               (3)  "Port project" means a project that is necessary
  or convenient for the proper operation of a maritime port or
  waterway and that will improve the security, movement, and
  intermodal transportation of cargo or passengers in commerce and
  trade, including dredging, disposal, and other projects.
         (b)  In this section:
               (1)  the amount of a port authority's tax increment for
  a year is the amount of ad valorem taxes levied and collected by the
  port authority or by the commissioners court on behalf of the port
  authority for that year on the captured appraised value of real
  property taxable by the port authority and located in a
  transportation reinvestment zone under this section;
               (2)  the captured appraised value of real property
  taxable by a port authority for a year is the total appraised value
  of all real property taxable by the port authority and located in a
  transportation reinvestment zone for that year less the tax
  increment base of the port authority; and
               (3)  the tax increment base of a port authority is the
  total appraised value of all real property taxable by the port
  authority and located in a transportation reinvestment zone for the
  year in which the zone was designated under this section.
         (c)  The port commission of the port authority, after
  determining that an area is unproductive or underdeveloped and that
  action under this section would improve the security, movement, and
  intermodal transportation of cargo or passengers in commerce and
  trade, by order or resolution may designate a contiguous geographic
  area in the jurisdiction of the port authority to be a
  transportation reinvestment zone to promote a port project and for
  the purpose of abating ad valorem taxes or granting other relief
  from taxes imposed by the county on real property located in the
  zone.
         (d)  The port commission must comply with all applicable laws
  in the application of this chapter.
         (e)  Not later than the 30th day before the date the port
  commission proposes to designate an area as a transportation
  reinvestment zone under this section, the port commission must hold
  a public hearing on the creation of the zone, its benefits to the
  port authority and to property in the proposed zone, and the
  abatement of ad valorem taxes or the grant of other relief from ad
  valorem taxes imposed by the port authority on real property
  located in the zone.  At the hearing an interested person may speak
  for or against the designation of the zone, its boundaries, or the
  abatement of or other relief from port authority taxes on real
  property in the zone.  Not later than the seventh day before the
  date of the hearing, notice of the hearing and the intent to create
  a zone must be published in a newspaper having general circulation
  in the county in which the zone is proposed to be located.
         (f)  The order or resolution designating an area as a
  transportation reinvestment zone must:
               (1)  describe the boundaries of the zone with
  sufficient definiteness to identify with ordinary and reasonable
  certainty the territory included in the zone;
               (2)  provide that the zone takes effect immediately on
  adoption of the order or resolution and that the base year shall be
  the year of passage of the order or resolution or some year in the
  future;
               (3)  assign a name to the zone for identification, with
  the first zone designated by a county designated as "Transportation
  Reinvestment Zone Number One, (name of port authority)," and
  subsequently designated zones assigned names in the same form
  numbered consecutively in the order of their designation;
               (4)  designate the base year for purposes of
  establishing the tax increment base of the port authority;
               (5)  establish an ad valorem tax increment account for
  the zone; and
               (6)  contain findings that promotion of a port project
  will improve the security, movement, and intermodal transportation
  of cargo or passengers in commerce and trade.
         (g)  Compliance with the requirements of this section
  constitutes designation of an area as a transportation reinvestment
  zone without further hearings or other procedural requirements.
         (h)  The port commission may:
               (1)  from taxes collected on property in a zone,
  including maintenance and operation taxes, pay into a tax increment
  account for the zone an amount equal to the tax increment produced
  by the port authority less any amounts allocated under previous
  agreements, including agreements under Chapter 312, Tax Code;
               (2)  from a tax increment account for the zone, repay
  any loan or other debt incurred to finance a port project under this
  section;
               (3)  by order or resolution enter into an agreement
  with the owner of any real property located in the transportation
  reinvestment zone to abate all or a portion of the ad valorem taxes
  or to grant other relief from the taxes imposed by the port
  authority on the owner's property in an amount not to exceed the
  amount calculated under Subsection (b)(1) for that year;
               (4)  by order or resolution elect to abate all or a
  portion of the ad valorem taxes imposed by the port authority on all
  real property in a zone; or
               (5)  grant other relief from ad valorem taxes on
  property in a zone.
         (i)  All abatements or other relief granted by the port
  commission in a transportation reinvestment zone must be equal in
  rate. In any ad valorem tax year, the total amount of the taxes
  abated or the total amount of other relief granted under this
  section may not exceed the amount calculated under Subsection
  (b)(1) for that year, less any amounts allocated under previous
  agreements, including agreements under Chapter 312, Tax Code.
         (j)  To further the development of the port project for which
  the transportation reinvestment zone was designated, a port
  authority may assess all or part of the cost of the port project
  against property within the zone.  The assessment against each
  property in the zone may be levied and payable in installments in
  the same manner as provided for municipal and county public
  improvement districts under Sections 372.016-372.018, Local
  Government Code, provided that the installments do not exceed the
  total amount of the tax abatement or other relief granted under
  Subsection (h).  The port authority has the powers provided to
  municipalities and counties under Sections 372.015-372.020 and
  372.023, Local Government Code, for the assessment of costs and
  Sections 372.024-372.030, Local Government Code, for the issuance
  of bonds by the port authority to pay the cost of a port project.  
  The port commission of the port authority may contract with a public
  or private entity to develop, redevelop, or improve a port project
  in the transportation reinvestment zone, including aesthetic
  improvements, and may pledge and assign to that entity all or a
  specified amount of the revenue the port authority receives from
  installment payments of the assessments for the payment of the
  costs of that port project.  After a pledge or assignment is made,
  if the entity that received the pledge or assignment has itself
  pledged or assigned that amount to secure bonds or other
  obligations issued to obtain funding for the port project, the port
  commission of the port authority may not rescind its pledge or
  assignment until the bonds or other obligations secured by the
  pledge or assignment have been paid or discharged.  Any amount
  received from installment payments of the assessments not pledged
  or assigned in connection with the port project may be used for
  other purposes associated with the port project or in the zone.
         (k)  To accommodate changes in the limits of the project for
  which a reinvestment zone was designated, the boundaries of a zone
  may be amended at any time, except that property may not be removed
  or excluded from a designated zone if any part of the assessment has
  been assigned or pledged directly by the port authority or through
  another entity to secure bonds or other obligations issued to
  obtain funding of the project, and property may not be added to a
  designated zone unless the port commission of the port authority
  complies with Subsections (e) and (f).
         (l)  Except as provided by Subsection (m), a tax abatement
  agreement entered into under Subsection (h), or an order or
  resolution on the abatement of taxes or the grant of other relief
  from taxes under that subsection, terminates on December 31 of the
  year in which the port authority completes any contractual
  requirement that included the pledge or assignment of assessments
  collected under this section.
         (m)  A transportation reinvestment zone terminates on
  December 31 of the 10th year after the year the zone was designated,
  if before that date the port authority has not used the zone for the
  purpose for which it was designated.
         SECTION 2.  Subsection (d), Section 222.108, Transportation
  Code, is amended to read as follows:
         (d)  In this section, "transportation project" includes:
               (1)  transportation projects described [has the
  meaning assigned] by Section 370.003; and
               (2)  port security, transportation, or facility
  projects described by Section 55.001(5).
         SECTION 3.  This Act takes effect September 1, 2013.
 
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 971 passed the Senate on
  April 11, 2013, by the following vote:  Yeas 31, Nays 0;
  May 17, 2013, Senate refused to concur in House amendments and
  requested appointment of Conference Committee; May 21, 2013, House
  granted request of the Senate; May 25, 2013, Senate adopted
  Conference Committee Report by the following vote:  Yeas 30,
  Nays 0.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 971 passed the House, with
  amendments, on May 2, 2013, by the following vote:  Yeas 101,
  Nays 44, two present not voting; May 21, 2013, House granted
  request of the Senate for appointment of Conference Committee;
  May 23, 2013, House adopted Conference Committee Report by the
  following vote:  Yeas 144, Nays 1, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
             Date
 
 
  ______________________________ 
            Governor