Bill > HB5634

This bill modifies the Texas Tax Code to expand the authority of certain municipalities in managing project financing zones. Specifically, the bill allows municipalities meeting specific criteria to designate additional qualified projects within an existing project financing zone, with some key restrictions. A qualified project is defined as a convention center facility or specific venue as described in the Local Government Code, along with related infrastructure. The bill permits a municipality to add new projects that are within 1,000 feet of an already-designated project, without changing the original zone's boundaries or duration. Importantly, if a municipality begins one qualified project within the specified time period, it can use project financing zone revenues for all designated projects. The municipality must notify the state comptroller within 30 days of adding a new project, and the added project becomes a qualified project for most purposes, though it cannot alter the original zone's established boundaries or duration. The bill is set to take effect on September 1, 2025, providing municipalities with new flexibility in managing local development projects.