Relating to a common characteristic or use project in a public improvement district in certain municipalities.

89(R) HB 3509 - House Committee Report version - Bill Text

89R20764 DNC-F

By: Anchía, Leo Wilson, Schofield

H.B. No. 3509

Substitute the following for H.B. No. 3509:

By: Bell of Montgomery

C.S.H.B. No. 3509

A BILL TO BE ENTITLED

AN ACT

relating to a common characteristic or use project in a public

improvement district in certain municipalities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 372.0015, Local Government Code, is

amended to read as follows:

Sec. 372.0015.
DEFINITIONS
[
DEFINITION
]. In this

subchapter
:

(1) "Extraterritorial
[
, "extraterritorial
]

jurisdiction" means extraterritorial jurisdiction as determined

under Chapter 42.

(2)

"Hotel" has the meaning assigned by Section

156.001, Tax Code. The term includes a property that begins

operating as a hotel after the establishment of a public

improvement district that includes the property.

SECTION 2. Section 372.0035(e), Local Government Code, is

amended to read as follows:

(e)
Notwithstanding Section 372.003, a
[
A
] district created

after September 1, 2019, may undertake a project under this section

only for advertising, promotion, or business recruitment[
, as

authorized by Section 372.003(b)(13),
] directly related to hotels.

SECTION 3. Section 372.005, Local Government Code, is

amended by amending Subsection (b-1) and adding Subsection (b-2) to

read as follows:

(b-1)
A person is a qualified petitioner under Subsection

(b-2) if the person:

(1)

is employed in a management position responsible

for overseeing the operations of a hotel, including:

(A) the owner or general manager of a hotel;

(B)

a regional manager who oversees the

operations of a hotel; or

(C)

an employee of a management company who

oversees the operation of a hotel; and

(2)

provides a written statement that the person is

authorized to enter into a binding agreement concerning the

operation of a hotel on behalf of the owner of a hotel.

(b-2)
Notwithstanding Subsection (b), a petition for the

establishment of a public improvement district described by Section

372.0035(a-1)
[
372.0035(a) or (a-1)
] is sufficient only if
the

petition is:

(1)
signed by
qualified petitioners who represent

[
record owners of taxable real property liable for assessment under

the proposal who constitute:

[
(1)
] more than 60 percent of the appraised value of

hotel
[
taxable real
] property liable for assessment under the

proposal, as determined by the current roll of the appraisal

district in which the property is located
,
[
;
] and
who:

[
(2) more than 60 percent of:
]

(A)
represent more than 60 percent of all hotels

[
all record owners of taxable real property
] that are liable for

assessment under the proposal; or

(B)
represent more than 60 percent of
the area of

all [
taxable
] real property that is liable for assessment under the

proposal
; and

(2)

accompanied by the written statement described by

Subsection (b-1)(2) for each qualified petitioner signing the

petition
.

SECTION 4. Sections 372.0035(a) and (e-1), Local Government

Code, are repealed.

SECTION 5. Section 372.005, Local Government Code, as

amended by this Act, applies only to a petition for the

establishment or renewal of a public improvement district filed on

or after the effective date of this Act. A petition filed before

the effective date of this Act is governed by the law in effect on

the date the petition is filed, and the former law is continued in

effect for that purpose.

SECTION 6. 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, 2025.