Bill Text: TX HB785 | 2011-2012 | 82nd Legislature | Introduced
Bill Title: Relating to restrictions on the use of state funds to benefit private entities that outsource jobs to foreign countries.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2011-04-14 - Left pending in committee [HB785 Detail]
Download: Texas-2011-HB785-Introduced.html
82R2911 VOO-F | ||
By: Davis of Dallas | H.B. No. 785 |
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relating to restrictions on the use of state funds to benefit | ||
private entities that outsource jobs to foreign countries. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subtitle F, Title 10, Government Code, is | ||
amended by adding Chapter 2267 to read as follows: | ||
CHAPTER 2267. RESTRICTING STATE INVESTMENT IN AND PROVISION OF TAX | ||
BENEFITS TO ENTITIES THAT OUTSOURCE JOBS TO FOREIGN COUNTRIES | ||
SUBCHAPTER A. GENERAL PROVISIONS | ||
Sec. 2267.001. DEFINITION. In this chapter, "domestic" | ||
means created or organized in the United States or under the laws of | ||
the United States or any state. | ||
[Sections 2267.002-2267.050 reserved for expansion] | ||
SUBCHAPTER B. RESTRICTIONS ON INVESTMENTS | ||
Sec. 2267.051. APPLICABILITY OF SUBCHAPTER. (a) This | ||
subchapter applies in connection with the management or investment | ||
of state funds managed or invested: | ||
(1) under the Texas Constitution or other law, | ||
including Chapters 404 and 2256; and | ||
(2) by or for: | ||
(A) a public retirement system as defined by | ||
Section 802.001 that provides service retirement, disability | ||
retirement, or death benefits for officers or employees of the | ||
state; | ||
(B) an institution of higher education as defined | ||
by Section 61.003, Education Code; or | ||
(C) another entity that is part of state | ||
government and that manages or invests state funds or for which | ||
state funds are managed or invested. | ||
(b) This subchapter applies in connection with the | ||
management or investment of state funds without regard to whether | ||
the funds are held in the state treasury. | ||
(c) This subchapter does not apply to the extent that an | ||
investment standard prescribed by the Texas Constitution prohibits | ||
the legislature from restricting the investment discretion of an | ||
entity responsible for the management or investment of a fund. | ||
Sec. 2267.052. PROHIBITION ON CERTAIN INVESTMENTS. A state | ||
governmental entity may not invest state funds in or purchase | ||
obligations of a domestic private entity that, at any time during | ||
the previous two years, created employment suitable for performance | ||
in the United States in a country other than the United States and, | ||
as a result, eliminated or failed to create similar employment in | ||
the United States. | ||
[Sections 2267.053-2267.100 reserved for expansion] | ||
SUBCHAPTER C. RESTRICTIONS ON ELIGIBILITY FOR TAX AND FEE BENEFITS | ||
Sec. 2267.101. DEFINITION. In this subchapter, "state | ||
agency" means a department, board, commission, or other agency in | ||
the executive branch of state government. The term does not include | ||
an institution of higher education as defined by Section 61.003, | ||
Education Code. | ||
Sec. 2267.102. APPLICABILITY OF SUBCHAPTER. This | ||
subchapter does not apply to a credit, exemption, or discount for | ||
which the Texas Constitution specifically prescribes the | ||
eligibility requirements. | ||
Sec. 2267.103. INELIGIBILITY OF CERTAIN ENTITIES FOR TAX | ||
AND FEE BENEFITS. Notwithstanding other law, a domestic private | ||
entity is not eligible for a credit, exemption, or discount in | ||
relation to a tax or fee imposed by the state if the entity, at any | ||
time during the previous two years, created employment suitable for | ||
performance in the United States in a country other than the United | ||
States and, as a result, eliminated or failed to create similar | ||
employment in the United States. | ||
Sec. 2267.104. DENIAL OF BENEFITS. (a) A state agency | ||
responsible for the issuance of a credit, exemption, or discount in | ||
relation to a tax or fee imposed by the state shall adopt rules in | ||
accordance with Subchapter B, Chapter 2001, relating to the manner | ||
in which: | ||
(1) the agency will determine whether to deny the | ||
benefit under Section 2267.103 or 2267.105; and | ||
(2) a person may ask the agency to reconsider the | ||
denial. | ||
(b) The rules adopted by a state agency shall require that | ||
as soon as practicable after making the decision to deny a credit, | ||
exemption, or discount to a domestic private entity that is | ||
ineligible for the benefit under Section 2267.103 or 2267.105 but | ||
is otherwise eligible for the benefit, the state agency shall | ||
provide the domestic private entity with notice of and the factual | ||
basis for the denial and a description of the procedures available | ||
to request a reconsideration and to contest the factual or legal | ||
basis for the denial. | ||
Sec. 2267.105. REPORTING. (a) In addition to the standard | ||
imposed by Section 2267.103, a domestic private entity that applies | ||
for a credit, exemption, or discount in relation to a tax or fee | ||
imposed by the state is not eligible for the credit, exemption, or | ||
discount unless, during the six-month period before applying for | ||
the credit, exemption, or discount, the entity reports to the Texas | ||
Workforce Commission on the number of jobs the entity created in | ||
this state and the number of jobs suitable for performance in the | ||
United States that the entity created in a country other than the | ||
United States during the 12-month period before the date of the | ||
report. | ||
(b) Not later than December 31 of each year, the Texas | ||
Workforce Commission shall, based on information obtained from the | ||
reports under Subsection (a), report to the governor, the | ||
lieutenant governor, and the speaker of the house of | ||
representatives: | ||
(1) the domestic private entities that are not | ||
eligible for state investment under Section 2267.052; and | ||
(2) the domestic private entities that are not | ||
eligible for a credit, exemption, or discount under Section | ||
2267.103. | ||
SECTION 2. Chapter 2267, Government Code, as added by this | ||
Act, applies only to: | ||
(1) an investment made by a state governmental entity | ||
on or after September 1, 2012; and | ||
(2) a credit, exemption, or discount provided or | ||
denied on or after September 1, 2012, in relation to a tax or fee | ||
imposed by the state. | ||
SECTION 3. This Act takes effect September 1, 2011. |