HBA-TBM, BSM H.B. 1225 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1225
By: Hamric
Transportation
3/8/2001
Introduced



BACKGROUND AND PURPOSE 

Under current law, the term local government pertains only to cities and
counties.  Local government corporations (LGCs) are used to pursue various
economic development projects.  For example, through LGCs the City of
Houston is creating tax increment reinvestment zones, the Houston Housing
Finance Corporation is financing moderate income housing, Ellington Field
Airport is financing bonds for an aircraft repair facility, the Houston
Convention Center is constructing a hotel, and Harris County is attracting
development to various parts of the county.  Because navigation districts
are excluded from the definition of local government, the broader authority
and flexibility that cities and counties enjoy through the use of LGCs is
not available to the Port of Houston Authority.  Texas port officials
possess valuable expertise concerning the development and operation of
ports.  Authorizing navigation districts to incorporate will allow the Port
of Houston Authority and other Texas ports to sell the expertise of their
officials, which could nurture and expand trade with foreign and domestic
ports and defray the costs taxpayers and customers incur from the temporary
losses of such experts.  House Bill 1225 allows navigation districts to
incorporate as local governments.   

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 1225 amends the Transportation Code to include a navigation
district in the meaning of local government when referring to local
government corporations. 

EFFECTIVE DATE

September 1, 2001.