Bill Text: TX HB2404 | 2021-2022 | 87th Legislature | Enrolled

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Bill Title: Relating to the creation and maintenance of a database of information regarding certain local economic development agreements; providing a civil penalty.

Spectrum: Slight Partisan Bill (Republican 2-1)

Status: (Passed) 2021-06-03 - Effective on 9/1/21 [HB2404 Detail]

Download: Texas-2021-HB2404-Enrolled.html

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H.B. No. 2404

AN ACT
relating to the creation and maintenance of a database of
information regarding certain local economic development
agreements; providing a civil penalty.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter B, Chapter 403, Government Code, is
amended by adding Sections 403.0246 and 403.0247 to read as
follows:
Sec. 403.0246. LOCAL DEVELOPMENT AGREEMENT DATABASE. (a)
In this section:
(1) "Business day" means a day other than a Saturday,
Sunday, or state or national holiday.
(2) "Local development agreement" means:
(A) an agreement entered into by a municipality
under Section 380.001 or 380.002, Local Government Code;
(B) an agreement entered into by a county under
Section 381.004, Local Government Code; or
(C) any other agreement to grant or otherwise
commit public money or other resources for economic development
purposes by a local government under Chapter 380 or 381, Local
Government Code.
(3) "Local government" includes:
(A) a municipality;
(B) a county;
(C) a county industrial commission under Section
381.001, Local Government Code; or
(D) a board of development under Section 381.002,
Local Government Code.
(b) The comptroller shall create and make accessible on the
Internet a database, to be known as the Chapter 380 and 381
Agreement Database, that contains information regarding all local
development agreements in this state.
(c) For each local development agreement described by
Subsection (b), the database must include:
(1) the name of the local government that entered into
the agreement;
(2) a numerical code assigned to the local government
by the comptroller;
(3) the address of the local government's
administrative offices and public contact information;
(4) the name of the appropriate officer or other
person representing the local government and that person's contact
information;
(5) the name of any entity that entered into the
agreement with the local government;
(6) the date on which the agreement went into effect
and the date on which the agreement expires;
(7) the focus or scope of the agreement;
(8) an electronic copy of the agreement; and
(9) the name and contact information of the individual
reporting the information to the comptroller.
(d) The comptroller may consult with the appropriate
officer of, or other person representing, each local government
that enters into a local development agreement to obtain the
information necessary to operate and update the database.
(e) The comptroller shall enter into the database for access
by the public the information described by Subsection (c) not later
than the 15th business day after the date the comptroller receives
the information from the providing local government. The
information, including a copy of the agreement, must remain
accessible to the public through the database during the period the
agreement is in effect.
(f) The comptroller may not charge a fee to the public to
access the database.
(g) The comptroller may establish procedures and adopt
rules to implement this section.
Sec. 403.0247. NONCOMPLIANCE; CIVIL PENALTY. (a) In this
section, "local development agreement" has the meaning assigned by
Section 403.0246.
(b) If a local government that enters into a local
development agreement has not complied with a requirement to
provide information under Section 403.0246 of this code or Section
380.004 or 381.005, Local Government Code, the comptroller shall
send a notice to the local government. The notice must be in
writing, describe the information that must be submitted to the
comptroller, and inform the local government that if the
information is not provided on or before the 30th day after the date
the notice is provided, the local government will be subject to a
civil penalty of $1,000.
(c) If a local government does not report the required
information as prescribed by Subsection (b), the local government
is liable to the state for a civil penalty of $1,000.
(d) The attorney general may sue to collect a civil penalty
imposed under this section.
(e) It is a defense to an action brought under this section
that the local government provided the required information or
documents to the extent the information or documents are not exempt
from disclosure or confidential under Chapter 552.
SECTION 2. Chapter 380, Local Government Code, is amended
by adding Section 380.004 to read as follows:
Sec. 380.004. PROVISION OF CERTAIN INFORMATION TO
COMPTROLLER. (a) Not later than the 14th day after the date of
entering into, amending, or renewing an agreement authorized by
this chapter, a municipality shall submit to the comptroller the
information described by Section 403.0246(c), Government Code, and
any other information the comptroller considers necessary to
operate and update the database described by that section.
(b) A municipality shall transmit the information required
by Subsection (a) in a form and manner prescribed by the
comptroller.
(c) If a municipality submits an agreement to the
comptroller under this section and maintains an Internet website,
the municipality shall provide on the website a direct link to the
location of the agreement information published on the
comptroller's Internet website.
SECTION 3. Chapter 381, Local Government Code, is amended
by adding Section 381.005 to read as follows:
Sec. 381.005. PROVISION OF CERTAIN INFORMATION TO
COMPTROLLER. (a) Not later than the 14th day after the date of
entering into, amending, or renewing an agreement authorized by
this chapter, a county, county industrial commission, or
development board, as applicable, shall submit to the comptroller
the information described by Section 403.0246(c), Government Code,
and any other information the comptroller considers necessary to
operate and update the database described by that section.
(b) A county, commission, or board shall transmit the
information required by Subsection (a) in a form and manner
prescribed by the comptroller.
(c) If a county or a commission or board created by the
county submits an agreement to the comptroller under this section
and the county maintains an Internet website, the county shall
provide on the website a direct link to the location of the
agreement information published on the comptroller's Internet
website.
SECTION 4. (a) For each agreement described by Section
403.0246, Government Code, as added by this Act, that is in effect
on the effective date of this Act, the local government that entered
into the agreement shall, not later than January 1, 2022, submit to
the comptroller the information described by that section and any
other information the comptroller considers necessary to operate
and update the database required by that section.
(b) The comptroller shall publish on the comptroller's
Internet website the information received under this section not
later than September 1, 2022.
SECTION 5. The comptroller shall create and post on the
comptroller's Internet website the database required by Section
403.0246, Government Code, as added by this Act, not later than
September 1, 2022.
SECTION 6. The comptroller is required to implement the
changes in law made by this Act only if the legislature appropriates
money specifically for that purpose. If the legislature does not
appropriate money specifically for that purpose, the comptroller
may, but is not required to, implement this Act using other
appropriations available for that purpose.
SECTION 7. This Act takes effect September 1, 2021.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 2404 was passed by the House on April
7, 2021, by the following vote: Yeas 145, Nays 0, 1 present, not
voting; and that the House concurred in Senate amendments to H.B.
No. 2404 on May 18, 2021, by the following vote: Yeas 139, Nays 4,
2 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 2404 was passed by the Senate, with
amendments, on May 14, 2021, by the following vote: Yeas 30, Nays
0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor