HBA-BSM H.B. 3001 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3001
By: Uresti
Ways & Means
7/19/2001
Enrolled



BACKGROUND AND PURPOSE 

Prior to the 77th Legislature, tax abatement agreements in reinvestment
zones had a maximum phase-in term of 10 years that commenced the year after
the agreement was executed.  However, some businesses that make capital
investments may require more time to complete such investments.  House Bill
3001 authorizes tax abatement agreements in reinvestment zones to take
effect on January 1 of the next year after the date the improvements or
repairs are substantially completed. 

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 3001 amends the Tax Code to authorize tax abatement agreements
in reinvestment zones to take effect on January 1 of the next tax year
after the date the improvements or repairs are substantially completed. 

EFFECTIVE DATE

September 1, 2001.