reglab/statecodes huggingface dataset:
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.014. Lien

Sec. 399.014.  LIEN.  (a)  A contractual assessment under this chapter and any interest or penalties on the assessment:
(1)  is a first and prior lien against the real property on which the assessment is imposed from the date on which the notice of contractual assessment is recorded as provided by Section 399.013 and until the assessment, interest, or penalty is paid; and
(2)  has the same priority status as a lien for any other ad valorem tax.
(a-1)  After the notice of a contractual assessment is recorded as provided under Section 399.013, the lien may not be contested on the basis that the improvement is not a qualified improvement or the project is not a qualified project.
(b)  The lien runs with the land, and that portion of the  assessment under the assessment contract that has not yet become due is not eliminated by foreclosure of a property tax lien.
(c)  The assessment lien may be enforced by the local government in the same manner that a property tax lien against real property may be enforced by the local government to the extent the enforcement is consistent with Section 50, Article XVI, Texas Constitution.
(d)  Delinquent installments of the assessments incur interest and penalties in the same manner as delinquent property taxes.
(e)  A local government may recover costs and expenses, including attorney's fees, in a suit to collect a delinquent installment of an assessment in the same manner as in a suit to collect a delinquent property tax.
Added by Acts 2013, 83rd Leg., R.S., Ch. 416 (S.B. 385), Sec. 1, eff. June 14, 2013.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 577 (H.B. 3187), Sec. 7, eff. June 16, 2015.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.015. Contract for Collection of Assessments; No Personal Liability

Sec. 399.015.  CONTRACT FOR COLLECTION OF ASSESSMENTS; NO PERSONAL LIABILITY.  (a)  The governing body of a local government may contract with the governing body of another taxing unit, as defined by Section 1.04, Tax Code, or another entity, including a county assessor-collector, to perform the duties of the local government relating to collection of assessments imposed by the local government under this chapter.
(b)  A county assessor-collector who performs the duties of a local government relating to collection of assessments imposed by a local government under this chapter is not personally liable as a result of exercising those duties under this chapter.
Added by Acts 2013, 83rd Leg., R.S., Ch. 416 (S.B. 385), Sec. 1, eff. June 14, 2013.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 864 (H.B. 2654), Sec. 1, eff. September 1, 2017.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.016. Bonds or Notes

Sec. 399.016.  BONDS OR NOTES.  (a)  A local government may issue bonds or notes to finance qualified projects through contractual assessments under this chapter.
(b)  Bonds or notes issued under this section may not be general obligations of the local government.  The bonds or notes must be secured by one or more of the following as provided by the governing body of the local government in the resolution or ordinance approving the bonds or notes:
(1)  payments of contractual assessments on benefited property in one or more specified regions designated under this chapter;
(2)  reserves established by the local government from grants, bonds, or net proceeds or other lawfully available funds;
(3)  municipal bond insurance, lines of credit, public or private guaranties, standby bond purchase agreements, collateral assignments, mortgages, or any other available means of providing credit support or liquidity; and
(4)  any other funds lawfully available for purposes consistent with this chapter.
(c)  A local government pledge of assessments, funds, or contractual rights in connection with the issuance of bonds or notes by the local government under this chapter is a first lien on the assessments, funds, or contractual rights pledged in favor of the person to whom the pledge is given, without further action by the local government.  The lien is valid and binding against any other person, with or without notice.
(d)  Bonds or notes issued under this chapter further an essential public and governmental purpose, including:
(1)  improvement of the reliability of the state electrical system;
(2)  conservation of state water resources consistent with the state water plan;
(3)  reduction of energy costs;
(4)  economic stimulation and development;
(5)  enhancement of property values;
(6)  enhancement of employment opportunities; and
(7)  reduction in greenhouse gas emissions.
Added by Acts 2013, 83rd Leg., R.S., Ch. 416 (S.B. 385), Sec. 1, eff. June 14, 2013.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.017. Joint Implementation

Sec. 399.017.  JOINT IMPLEMENTATION.  (a)  Any combination of local governments may agree to jointly implement or administer a program under this chapter, including entering into an interlocal contract under Chapter 791, Government Code, to jointly implement or administer a program.
(b)  If two or more local governments implement a program jointly, a single public hearing held jointly by the cooperating local governments is sufficient to satisfy the requirement of Section 399.008(a)(2).
(c)  One or more local governments may contract with a third party, including another local government, to administer a program. Local governments that are parties to an interlocal contract described by Subsection (a) may contract with an entity listed in Section 791.013, Government Code, for program administration.
Added by Acts 2013, 83rd Leg., R.S., Ch. 416 (S.B. 385), Sec. 1, eff. June 14, 2013.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 577 (H.B. 3187), Sec. 8, eff. June 16, 2015.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.018. Prohibited Acts

Sec. 399.018.  PROHIBITED ACTS.  A local government that establishes a region under this chapter may not:
(1)  make the issuance of a permit, license, or other authorization from the local government to a person who owns property in the region contingent on the person entering into a written contract to repay the financing of a qualified project through contractual assessments under this chapter; or
(2)  otherwise compel a person who owns property in the region to enter into a written contract to repay the financing of a qualified project through contractual assessments under this chapter.
Added by Acts 2013, 83rd Leg., R.S., Ch. 416 (S.B. 385), Sec. 1, eff. June 14, 2013.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C - Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 399 - Municipal and County Water and Energy Improvement Regions › Section 399.019. No Personal Liability

Sec. 399.019.  NO PERSONAL LIABILITY.  The members of the governing body of a local government, other elected officials of a local government, employees of a local government, and board members, executives, employees, and contractors of a third party who enter into a contract with a local government to provide administrative services for a program under this chapter are not personally liable as a result of exercising any rights or responsibilities granted under this chapter.
Added by Acts 2015, 84th Leg., R.S., Ch. 577 (H.B. 3187), Sec. 9, eff. June 16, 2015.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 864 (H.B. 2654), Sec. 2, eff. September 1, 2017.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.001. Short Title

Sec. 501.001.  SHORT TITLE.  This subtitle may be cited as the Development Corporation Act.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.003. Who May Be User

Sec. 501.003.  WHO MAY BE USER.  The following may be a user under this subtitle:
(1)  an individual, a partnership, a corporation, or any other private entity organized for profit or not for profit; or
(2)  a municipality, county, district, other political subdivision, public entity, or agency of this state or the federal government.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.004. Legislative Findings; Construction of Subtitle

Sec. 501.004.  LEGISLATIVE FINDINGS; CONSTRUCTION OF SUBTITLE.  (a)  The legislature finds that:
(1)  the present and prospective right to gainful employment and the general welfare of the people of this state require as a public purpose the promotion and development of new and expanded business enterprises and of job training;
(2)  the existence, development, and expansion of business, commerce, industry, higher education, and job training are essential to the economic growth of this state and to the full employment, welfare, and prosperity of residents of this state;
(3)  the assistance provided by corporations in promoting higher education opportunities encourages and fosters the development and diversification of the economy of this state and the elimination of unemployment and underemployment in this state;
(4)  the means authorized by this subtitle and the assistance provided by this subtitle, especially with respect to financing, are in the public interest and serve a public purpose of this state in promoting the welfare of the residents of this state economically by securing and retaining business enterprises and as a result maintaining a higher level of employment, economic activity, and stability;
(5)  community industrial development corporations in this state have invested substantial money in successful industrial development projects and have experienced difficulty in undertaking additional industrial development projects because of the partial inadequacy of the community industrial development corporations' money or money potentially available from local subscription sources and the limitations of local financial institutions in providing additional and sufficiently large first mortgage loans; and
(6)  communities in this state have been at a critical disadvantage in competing with communities in other states for the location or expansion of business enterprises because of the availability and prevalent use in all other states of financing and other special incentives, and, for that reason, the issuance of revenue bonds under this subtitle by a corporation on behalf of political subdivisions of this state for the promotion and development of new and expanded business enterprises to provide and encourage employment and the public welfare is in the public interest and is a public purpose.
(b)  This subtitle shall be construed in conformity with the intention of the legislature expressed in this section.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.005. Adoption of Alternate Procedure

Sec. 501.005.  ADOPTION OF ALTERNATE PROCEDURE.  If a court holds that a procedure under this subtitle violates the federal or state constitution, a corporation by resolution may provide an alternate procedure that conforms to the constitution.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.006. Use of Corporation to Finance Project

Sec. 501.006.  USE OF CORPORATION TO FINANCE PROJECT.  A unit may use a corporation to issue bonds on the unit's behalf to finance the cost of a project, including a project in a federally designated empowerment zone or enterprise community or in an enterprise zone designated under Chapter 2303, Government Code, to promote and develop new and expanded business enterprises for the promotion and encouragement of employment and the public welfare.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.007. Lending Credit or Granting Public Money

Sec. 501.007.  LENDING CREDIT OR GRANTING PUBLIC MONEY.  (a)  Except as provided by Subsection (b), a unit may not lend its credit or grant public money or another thing of value in aid of a corporation.
(b)  A municipality may grant public money to a corporation under a contract authorized by Section 380.002.
(c)  The grants, loans, expenditures, and tax exemptions authorized by this subtitle in connection with a project and authorized by a corporation in accordance with this subtitle constitute the making of loans or grants of public money or constitute other actions authorized by Section 52-a, Article III, Texas Constitution.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 15.011(a), eff. September 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.008. Limitation on Financial Obligation

Sec. 501.008.  LIMITATION ON FINANCIAL OBLIGATION.  (a) Except as provided by Subsection (b), a corporation may not incur a financial obligation that cannot be paid from:
(1)  bond proceeds;
(2)  revenue realized from the lease or sale of a project;
(3)  revenue realized from a loan made by the corporation to wholly or partly finance or refinance a project; or
(4)  money granted under a contract with a municipality under Section 380.002.
(b)  A Type A or Type B corporation may obtain a loan from the Texas small and rural community success fund program under Subchapter E, Chapter 489, Government Code, for eligible projects as authorized by this subtitle.  To secure the loan, the Type A or Type B corporation may pledge revenue from the sales and use tax imposed by the corporation's authorizing municipality under Chapter 504 or 505, as applicable, for the benefit of the corporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 947 (S.B. 1465), Sec. 2, eff. June 18, 2021.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.009. Police Powers Not Affected

Sec. 501.009.  POLICE POWERS NOT AFFECTED.  This subtitle does not deprive this state or a governmental subdivision of this state of its police powers over a corporation's property and does not impair any police power over the property that is otherwise provided by law to any official or agency of this state or its governmental subdivisions.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.010. Delegation of Unit's Sovereign Powers Prohibited

Sec. 501.010.  DELEGATION OF UNIT'S SOVEREIGN POWERS PROHIBITED.  A unit may not delegate to a corporation any of the unit's attributes of sovereignty, including the power to tax, the power of eminent domain, and the police power.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter A. General Provisions › Section 501.011. Reference to Articles of Incorporation or Certificate of Formation

Sec. 501.011.  REFERENCE TO ARTICLES OF INCORPORATION OR CERTIFICATE OF FORMATION.  (a)  With respect to a corporation created under the Development Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil Statutes) before January 1, 2006, a reference in any law of this state or in the corporation's governing documents to "articles of incorporation" means, for purposes of this subtitle, the corporation's certificate of formation.
(b)  With respect to a corporation that is created under the Development Corporation Act of 1979 (Article 5190.6, Vernon's Texas Civil Statutes) before January 1, 2006, and continues to operate under articles of incorporation, a reference in this subtitle or any other law of this state or in the corporation's governing documents to "certificate of formation" means the corporation's articles of incorporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.051. Authority to Create

Sec. 501.051.  AUTHORITY TO CREATE.  (a)  Three or more individuals who are qualified voters of a unit may file with the unit's governing body a written application requesting the unit to authorize creation of a corporation to act on behalf of the unit.  The governing body may not charge a filing fee for the application.
(b)  A corporation may be created only if the governing body of the unit  by resolution:
(1)  determines that the creation of the corporation is advisable; and
(2)  approves the certificate of formation proposed to be used in organizing the corporation.
(c)  A unit may authorize the creation of one or more corporations if the resolution authorizing the creation of each corporation specifies the public purpose of the unit to be furthered by the corporation.  The specified public purpose must be limited to the promotion and development under this subtitle of enterprises to promote and encourage employment and the public welfare.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.052. Nonmember, Nonstock Form of Corporation

Sec. 501.052.  NONMEMBER, NONSTOCK FORM OF CORPORATION.  A corporation is a nonmember, nonstock corporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.053. Corporation Nonprofit; Net Earnings

Sec. 501.053.  CORPORATION NONPROFIT; NET EARNINGS.  (a)  A corporation is nonprofit, and the corporation's net earnings remaining after payment of its expenses may not benefit an individual, firm, or corporation, except as provided by Subsection (b).
(b)  If the board of directors determines that sufficient provision has been made for the full payment of the corporation's expenses, bonds, and other obligations, any net earnings of the corporation subsequently accruing shall be paid to the corporation's authorizing unit.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.054. General Powers, Privileges, and Functions

Sec. 501.054.  GENERAL POWERS, PRIVILEGES, AND FUNCTIONS.  (a)  A corporation has the powers, privileges, and functions of a nonprofit corporation incorporated under the Texas Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes) or formed under the Texas Nonprofit Corporation Law, as described by Section 1.008, Business Organizations Code.  To the extent that the provisions governing powers, privileges, and functions of a nonprofit corporation under those laws are in conflict with or inconsistent with provisions of this subtitle governing powers, privileges, and functions of a nonprofit corporation, the provisions of this subtitle prevail.
(b)  A corporation:
(1)  has all powers incidental to or necessary for the performance of the powers provided by Sections 501.059, 501.060, 501.064, 501.153-501.155, 501.159, 501.201(a), 501.208, 501.209, 501.214, and 501.402; and
(2)  with respect to a project, may exercise all powers necessary or appropriate to effect a purpose for which the corporation is organized, subject to the control of the governing body of the corporation's authorizing unit.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Sec. 501.055.  CONSTITUTED AUTHORITY OR INSTRUMENTALITY.  (a)  A corporation is a constituted authority and an instrumentality, within the meaning of the United States Department of the Treasury regulations and the Internal Revenue Service rulings adopted under Section 103, Internal Revenue Code of 1986, as amended, including regulations and rulings adopted under Section 103, Internal Revenue Code of 1954, and may act on behalf of the corporation's authorizing unit for the specific public purpose authorized by the unit.
(b)  A corporation is not a political subdivision or a political corporation for purposes of the laws of this state, including Section 52, Article III, Texas Constitution.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.056. Contents of Certificate of Formation

Sec. 501.056.  CONTENTS OF CERTIFICATE OF FORMATION.  The certificate of formation of a corporation must state:
(1)  the name of the corporation;
(2)  that the corporation is a nonprofit corporation;
(3)  the duration of the corporation, which may be perpetual;
(4)  the specific purpose for which the corporation is organized and may issue bonds on behalf of the unit;
(5)  that the corporation has no members and is a nonstock corporation;
(6)  any provision consistent with law for the regulation of the corporation's internal affairs, including any provision required or permitted by this subtitle to be stated in the bylaws;
(7)  the street address of the corporation's initial registered office and the name of the corporation's initial registered agent at that address;
(8)  the number of directors of the initial board of directors and the name and address of each initial director;
(9)  the name and street address of each organizer; and
(10)  that the unit has:
(A)  by resolution specifically authorized the corporation to act on the unit's behalf to further the public purpose stated in the resolution and the certificate of formation; and
(B)  approved the certificate of formation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.057. Filing of Certificate of Formation and Delivery of Certificate Evidencing Filing

Sec. 501.057.  FILING OF CERTIFICATE OF FORMATION AND DELIVERY OF CERTIFICATE EVIDENCING FILING.  (a)  If the unit's governing body adopts a resolution under Section 501.051, the certificate of formation may be filed as provided by this section.
(b)  Three originals of the certificate of formation shall be delivered to the secretary of state.  If the secretary of state determines that the certificate of formation conforms to this subchapter, the secretary of state shall:
(1)  endorse the word "Filed" and the date of the filing on each original certificate of formation;
(2)  file one of the original certificates of formation in the secretary of state's office;
(3)  issue two certificates evidencing the filing of the certificate of formation;
(4)  attach to each certificate evidencing the filing of the certificate of formation an original of the certificate of formation; and
(5)  deliver a certificate evidencing the filing of the certificate of formation and the attached certificate of formation to:
(A)  the organizers or the organizers' representatives; and
(B)  the governing body of:
(i)  the corporation's authorizing unit; or
(ii)  any county in the county alliance that authorized the creation of the corporation, for a county alliance corporation.
(c)  The governing body of a county to which a certificate evidencing the filing of the certificate of formation and the attached certificate of formation are delivered under Subsection (b)(5)(B)(ii) shall provide photocopies of the certificate evidencing the filing of the certificate of formation and the attached certificate of formation to each other member of the county alliance.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.058. Effect of Issuance of Certificate Evidencing Filing

Sec. 501.058.  EFFECT OF ISSUANCE OF CERTIFICATE EVIDENCING FILING.  (a)  A corporation's existence begins when the certificate evidencing the filing of its certificate of formation is issued.
(b)  After the issuance of the certificate evidencing the filing of the certificate of formation, the formation of the corporation may not be contested for any reason.
(c)  A certificate evidencing the filing of the certificate of formation is conclusive evidence that:
(1)  the organizers and the unit have performed all conditions precedent for the formation of the corporation; and
(2)  the corporation is formed under this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.059. Corporate Seal

Sec. 501.059.  CORPORATE SEAL.  A corporation may have a corporate seal and with respect to a project may impress, affix, or otherwise reproduce the seal or a facsimile of the seal on an instrument required to be executed by the corporation's appropriate officers.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.060. May Sue and Be Sued

Sec. 501.060.  MAY SUE AND BE SUED.  With respect to a project, a corporation may sue, be sued, complain, and defend in the corporation's name.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.061. Corporation's Organization Not Restricted

Sec. 501.061.  CORPORATION'S ORGANIZATION NOT RESTRICTED.  Except as provided by this subtitle, no proceeding, notice, or approval is required for the organization of a corporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.062. Board of Directors

Sec. 501.062.  BOARD OF DIRECTORS.  (a)  All of the powers of a corporation are vested in a board of directors consisting of three or more directors appointed by the governing body of the corporation's authorizing unit.
(b)  A director serves for a term of not more than six years.
(c)  The governing body of the corporation's authorizing unit may remove a director for cause or at will.
(d)  A director serves without compensation, but is entitled to reimbursement for actual expenses incurred in the performance of the director's duties under this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.063. Organizational Meeting

Sec. 501.063.  ORGANIZATIONAL MEETING.  (a)  After issuance of the certificate evidencing the filing of the certificate of formation, the board of directors named in the certificate of formation shall hold an organizational meeting in this state to adopt bylaws and elect officers and for other purposes.
(b)  Not later than the third day before the date of the meeting, the organizers who call the meeting shall give notice by mail of the time and place of the meeting to each director named in the certificate of formation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.064. Bylaws

Sec. 501.064.  BYLAWS.  (a)  A corporation may adopt and amend bylaws for the administration and regulation of the corporation's affairs.
(b)  The board of directors shall adopt a corporation's initial bylaws.
(c)  The bylaws and each amendment of the bylaws must:
(1)  be consistent with state law and with the certificate of formation of the corporation; and
(2)  be approved by resolution of the governing body of the corporation's authorizing unit.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.065. Officers

Sec. 501.065.  OFFICERS.  (a)  A corporation has the following officers:
(1)  a president;
(2)  at least one vice president;
(3)  a secretary;
(4)  a treasurer; and
(5)  other officers or assistant officers considered necessary.
(b)  An officer of the corporation is elected or appointed at the time, in the manner, and for the term prescribed by the certificate of formation or bylaws, except that an officer's term may not exceed three years.  In the absence of provisions in the certificate of formation or the bylaws prescribing the selection or terms of officers, the board of directors shall annually elect or appoint officers.
(c)  A person may hold more than one office, except that the same person may not hold the offices of president and secretary.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.066. Indemnification

Sec. 501.066.  INDEMNIFICATION.  (a)  In this section, "director or officer" includes a former director or officer.
(b)  Except as provided by Subsection (d), a corporation may indemnify a director or officer of the corporation for necessary expenses and costs, including attorney's fees, actually incurred by the director or officer in connection with a claim asserted against the director or officer, by action in court or another forum, by reason of the director's or officer's being or having been a director or officer of the corporation.
(c)  Except as provided by Subsection (d), if a corporation has not fully indemnified a director or officer under Subsection (b), the court in a proceeding in which a claim is asserted against the director or officer or a court having jurisdiction over an action brought by the director or officer on a claim for indemnity may assess indemnity against the corporation or the corporation's receiver or trustee.  The assessment must equal the amount that the director or officer paid to satisfy the judgment or compromise the claim, including attorney's fees and not including any amount paid to the corporation, to the extent that:
(1)  the amount paid was actually and necessarily incurred; and
(2)  the court considers the amount paid reasonable and equitable.
(d)  A corporation may not indemnify a director or officer for a matter in which the director or officer is guilty of negligence or misconduct.  A court may assess indemnity against the corporation only if the court finds that the director or officer was not guilty of negligence or misconduct in the matter for which indemnity is sought.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.067. Insurance and Benefits

Sec. 501.067.  INSURANCE AND BENEFITS.  (a)  Notwithstanding any law to the contrary and with the consent of the corporation's authorizing unit, a corporation may obtain:
(1)  health benefits coverage, liability coverage, workers' compensation coverage, and property coverage under the authorizing unit's insurance policies, through self-funded coverage, or under coverage provided under an interlocal agreement with a political subdivision; or
(2)  retirement benefits under a retirement program the authorizing unit participates in or operates.
(b)  Health benefits coverage may be extended to the corporation's directors and employees, and to the dependents of the directors and employees.
(c)  Workers' compensation benefits may be extended to the corporation's directors, employees, and volunteers.
(d)  Liability coverage may be extended to protect the corporation and the corporation's directors and employees.
(e)  Retirement benefits may be extended to the corporation's employees.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.068. Board Meetings; Notice of Meeting

Sec. 501.068.  BOARD MEETINGS; NOTICE OF MEETING.  (a)  A board of directors may hold a regular meeting in this state with or without notice as prescribed by the corporation's bylaws.
(b)  A board of directors may hold a special meeting with notice as prescribed by the corporation's bylaws.
(c)  A director's attendance at a board meeting constitutes a waiver of notice of the meeting, unless the director attends the meeting for the express purpose of objecting to the transaction of any business at the meeting because the meeting has not been lawfully called or convened.
(d)  Unless required by the corporation's bylaws, notice or waiver of notice of a board meeting is not required to specify the business to be transacted at the meeting or the purpose of the meeting.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.069. Waiver of Notice

Sec. 501.069.  WAIVER OF NOTICE.  If a notice is required to be given to a director of a corporation under this subtitle or the corporation's certificate of formation or bylaws, a written waiver of the notice signed by the person entitled to the notice is equivalent to giving the required notice.  The waiver may be given before or after the time that would have been stated in the notice.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.070. Action of Board; Quorum

Sec. 501.070.  ACTION OF BOARD; QUORUM.  (a)  A quorum of a board of directors is the lesser of:
(1)  a majority of the number of directors:
(A)  established by the corporation's bylaws; or
(B)  stated in the corporation's certificate of formation, if the bylaws do not establish the number of directors; or
(2)  the number of directors, not less than three, established as a quorum by the certificate of formation or bylaws.
(b)  The act of a majority of the directors present at a meeting at which a quorum is present is an act of the board of directors, unless the act of a larger number is required by the certificate of formation or bylaws of the corporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.071. Action Without Meeting

Sec. 501.071.  ACTION WITHOUT MEETING.  (a)  An action that may be taken at a meeting of a board of directors, including an action required by this subtitle to be taken at a meeting, may be taken without a meeting if each director signs a written consent providing the action to be taken.
(b)  The consent has the same effect as a unanimous vote and may be stated as such in a document filed with the secretary of state under this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.072. Open Meetings and Public Information

Sec. 501.072.  OPEN MEETINGS AND PUBLIC INFORMATION.  A board of directors is subject to the open meetings law, Chapter 551, Government Code, and the public information law, Chapter 552, Government Code.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.073. Supervision by Authorizing Unit

Sec. 501.073.  SUPERVISION BY AUTHORIZING UNIT.  (a)  The corporation's authorizing unit will approve all programs and expenditures of a corporation and annually review any financial statements of the corporation.
(b)  A corporation's authorizing unit is entitled to access to the corporation's books and records at all times.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.074. Purchasing

Sec. 501.074.  PURCHASING.  A corporation may use the reverse auction procedure defined by Section 2155.062(d), Government Code, for purchasing.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter B. Creation and Operation of Corporation › Section 501.075. Exemption From Taxation

Sec. 501.075.  EXEMPTION FROM TAXATION.  (a)  The activities of a corporation affect all the residents of the corporation's authorizing unit by the corporation's assuming to a material extent what otherwise might be an obligation or duty of the authorizing unit, and therefore the corporation is an institution of purely public charity within the tax exemption of Section 2, Article VIII, Texas Constitution.
(b)  A corporation is exempt from the tax imposed by Chapter 171, Tax Code, only if the corporation is exempted by that chapter.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.101. Projects Related to Creation or Retention of Primary Jobs

Sec. 501.101.  PROJECTS RELATED TO CREATION OR RETENTION OF PRIMARY JOBS.  In this subtitle, "project" includes the land, buildings, equipment, facilities, expenditures, targeted infrastructure, and improvements that are:
(1)  for the creation or retention of primary jobs; and
(2)  found by the board of directors to be required or suitable for the development, retention, or expansion of:
(A)  manufacturing and industrial facilities;
(B)  research and development facilities;
(C)  military facilities, including closed or realigned military bases;
(D)  transportation facilities, including airports, hangars, railports, rail switching facilities, maintenance and repair facilities, cargo facilities, related infrastructure located on or adjacent to an airport or railport facility, marine ports, inland ports, mass commuting facilities, and parking facilities;
(E)  sewage or solid waste disposal facilities;
(F)  recycling facilities;
(G)  air or water pollution control facilities;
(H)  facilities for furnishing water to the public;
(I)  distribution centers;
(J)  small warehouse facilities capable of serving as decentralized storage and distribution centers;
(K)  primary job training facilities for use by institutions of higher education; or
(L)  regional or national corporate headquarters facilities.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 15.012(a), eff. September 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 150 (S.B. 2052), Sec. 1, eff. September 1, 2009.