88R27961 E     By: Hunter, Meyer, Burrows, Shine, Longoria, H.B. No. 5       et al.     Substitute the following for H.B. No. 5:     By:  Shine C.S.H.B. No. 5       A BILL TO BE ENTITLED   AN ACT   relating to agreements authorizing a limitation on taxable value on   certain property to provide for the creation of jobs and the   generation of state and local tax revenue; authorizing fees;   authorizing a penalty.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Chapter 403, Government Code, is amended by   adding Subchapter T to read as follows:   SUBCHAPTER T. AGREEMENTS TO CREATE JOBS AND GENERATE STATE AND   LOCAL TAX REVENUE          Sec. 403.601.  PURPOSES. The purposes of this subchapter   are to:                (1)  create new, high-paying permanent jobs and   construction jobs in this state;                (2)  encourage financially positive economic   development in this state;                (3)  provide a temporary competitive economic   incentive for attracting large-scale manufacturing projects to   this state that, in the absence of this subchapter, would likely   locate in another state or nation;                (4)  strengthen the security and resource independence   of this state and nation by encouraging energy and water   infrastructure development, new and expanded electric power   generation, and electric grid reliability projects;                (5)  promote the relocation of offshore manufacturing   facilities to this state;                (6)  make this state a national and international   leader in new and innovative technologies;                (7)  encourage the establishment of advanced   manufacturing industry sectors critical to national defense and   health care;                (8)  create new wealth, raise personal income, and   foster long-term expansion of state and local tax bases;                (9)  provide growing and sustainable economic   opportunity for the residents of this state; and                (10)  incentivize the preceding objectives in a   balanced, transparent, and accountable manner.          Sec. 403.602.  DEFINITIONS. In this subchapter:                (1)  "Additional job" means a full-time job in   connection with an eligible project that is not a required job for   the same project.                (2)  "Agreement" means an agreement entered into under   Section 403.612.                 (3)  "Applicant" means a person that applies for, or   enters into an agreement providing for, a limitation on the taxable   value of eligible property used as part of an eligible project,   including the person's assignees or successors-in-interest.                (4)  "Appraised value," "tax year," and "taxing unit"   have the meanings assigned by Section 1.04, Tax Code.                (5)  "Construction completion date" means the date on   which an eligible project is first capable of being used for the   purposes for which it is constructed.                (6)  "Construction job" means an otherwise full-time   job that is temporary in nature and is performed before the start of   the incentive period applicable to an eligible project to perform   construction, maintenance, remodeling, or repair work for an   applicant in connection with the project.                 (7)  "Construction period" means the period prescribed   by an agreement as the construction period of the eligible project   that is the subject of the agreement.                (8)  "Eligible project" means a project that:                      (A)  is a national or state security project or   supply chain infrastructure project;                      (B)  is a manufacturing project; or                      (C)  requires an investment in a school district   in this state of more than $1 billion.                (9)  "Eligible property" means property, other than   property used for intermittent power generation to supply   electricity to the power grid, that is used as part of an eligible   project that is wholly owned by an applicant or leased by an   applicant under a capitalized lease and consists of:                      (A)  a new building or expansion of an existing   building, including a permanent, nonremovable component of a   building, that is:                            (i)  constructed after the date the   agreement pertaining to the project is entered into; and                            (ii)  located in an area designated as a   reinvestment zone under Chapter 311 or 312, Tax Code, or as an   enterprise zone under Chapter 2303 of this code, at the time the   agreement pertaining to the project is entered into; or                      (B)  tangible personal property, other than   inventory, first located in the zone described by Paragraph (A)(ii)   after the date the agreement pertaining to the project is entered   into.                (10)  "Full-time job" means a permanent full-time job   that requires a total of at least 1,600 hours of work a year in   connection with an eligible project.                (11)  "Grid reliability project" means a project:                      (A)  that generates base load or dispatchable   electricity for the power grid, including from thermal sources, or   that provides stored energy to the power grid from batteries,   regardless of power source;                      (B)  that increases the output capacity or   reliability of an existing dispatchable electric power generation   facility or that replaces dispatchable electric power generation   assets to extend the useful life of the facility, including   equipment that enables the use of multiple fuels;                      (C)  that creates or expands the capability to   store fuel used by an electric power generation facility,   regardless of whether the fuel is stored at the facility site;                      (D)  to produce hydrogen fuel or feed stock;                      (E)  that is a natural gas terminal or storage   facility; or                      (F)  that is a gas processing plant, including a   plant used in the processing, treatment, or fractionation of   natural gas.                (12)  "Incentive period" for an eligible project means   the period prescribed by the agreement pertaining to the project   during which the eligible property used as part of the project is   subject to a limitation on taxable value.                (13)  "Independent contractor" has the meaning   assigned by Section 406.121, Labor Code.                (14)  "Investment" means the costs incurred by an   applicant to acquire or construct eligible property composing an   eligible project, other than the cost of land or inventory.                (15)  "Manufacturing project" means a project   primarily engaged in activities described by Sectors 31-33 of the   2007 North American Industry Classification System, including   semiconductor fabrication cleanrooms and equipment as defined by   Section 151.318(q), Tax Code.                 (16)  "Metropolitan statistical area" means an area so   designated by the United States Office of Management and Budget.                (17)  "National or state security project or supply   chain infrastructure project" means:                      (A)  a grid reliability project; or                      (B)  a seawater or brackish groundwater   desalination project.                (18)  "Required job" means a job that an applicant   commits to create or demonstrate in connection with an eligible   project as prescribed by Section 403.604.                (19)  "Total jobs" means the sum of required jobs and   additional jobs in connection with an eligible project.          Sec. 403.603.  EXPIRATION.  This subchapter expires December   31, 2036.          Sec. 403.604.  REQUIRED JOBS AND INVESTMENT.  (a)  This   section does not apply to a national or state security project or   supply chain infrastructure project.          (b)  To be eligible to enter into an agreement, an applicant   for a limitation on taxable value of eligible property to be used   for a proposed eligible project must agree to:                (1)  if the project is to be located in a school   district with a taxable value of property of $10 billion or more for   the tax year preceding the year in which the applicant submits the   application as determined under Subchapter M:                      (A)  create at least 50 required jobs by the end of   the first tax year of the incentive period prescribed by the   agreement and demonstrate an average of at least that number of jobs   during each following tax year until the date the agreement   expires; and                      (B)  make an investment in the project in an   amount of at least $100 million before the incentive period begins;                (2)  if the project is to be located in a school   district with a taxable value of property of at least $1 billion but   less than $10 billion for the tax year preceding the year in which   the applicant submits the application as determined under   Subchapter M:                      (A)  create at least 40 required jobs by the end of   the first tax year of the incentive period prescribed by the   agreement and demonstrate an average of at least that number of jobs   during each following tax year until the date the agreement   expires; and                      (B)  make an investment in the project in an   amount of at least $80 million before the incentive period begins;                (3)  if the project is to be located in a school   district with a taxable value of property of at least $500 million   but less than $1 billion for the tax year preceding the year in   which the applicant submits the application as determined under   Subchapter M:                      (A)  create at least 25 required jobs by the end of   the first tax year of the incentive period prescribed by the   agreement and demonstrate an average of at least that number of jobs   during each following tax year until the date the agreement   expires; and                      (B)  make an investment in the project in an   amount of at least $50 million before the incentive period begins;                (4)  if the project is to be located in a school   district with a taxable value of property of at least $100 million   but less than $500 million for the tax year preceding the year in   which the applicant submits the application as determined under   Subchapter M:                      (A)  create at least 10 required jobs by the end of   the first tax year of the incentive period prescribed by the   agreement and demonstrate an average of at least that number of jobs   during each following tax year until the date the agreement   expires; and                      (B)  make an investment in the project in an   amount of at least $25 million before the incentive period begins;   or                (5)  if the project is to be located in a school   district with a taxable value of property of less than $100 million   for the tax year preceding the year in which the applicant submits   the application as determined under Subchapter M or in a school   district that is not located in a metropolitan statistical area:                      (A)  create at least five required jobs by the end   of the first tax year of the incentive period prescribed by the   agreement and demonstrate an average of at least that number of jobs   during each following tax year until the date the agreement   expires; and                      (B)  make an investment in the project in an   amount of at least $10 million before the incentive period begins.          (c)  For purposes of Subsection (b), each required job   created in connection with an eligible project:                (1)  must be a new full-time job in this state:                      (A)  maintained in the usual course and scope of   the applicant's business, which may be performed by an individual   who is a trainee under the Texans Work program established under   Chapter 308, Labor Code; or                      (B)  performed by an independent contractor and   the independent contractor's employees at the site of the project;   and                (2)  may not be transferred by the applicant from an   existing facility or location in this state or otherwise created to   replace an existing job, unless the applicant fills the vacancy   caused by the transfer.          (d)  For purposes of Subsection (b), an applicant may count   as a required job one construction job credit. An applicant is   entitled to one construction job credit in connection with an   eligible project for every 10 construction jobs created in   connection with the project before the date the incentive period   for the project begins. An applicant may elect to determine the   number of construction jobs for purposes of this subsection as the   quotient of:                (1)  the total amount paid by the applicant for labor in   connection with construction of the project before the incentive   period for the project begins, as evidenced by:                      (A)  separated charges for labor services on   contractor invoices; or                       (B)  other documentation from contractors of the   cost of labor performed under lump-sum contracts; and                (2)  the average annual wage for all jobs in the county   in which the project is primarily located during the most recent   four quarters for which data is available, as computed by the Texas   Workforce Commission.          (e)  For purposes of calculating the applicable number of   required jobs under Subsection (b) in connection with an eligible   project, an applicant may aggregate the number of hours worked by   one or more individuals who work fewer than 1,600 hours a year in   connection with the project if the number of hours worked by each of   those individuals combined meets or exceeds 1,600 hours of work a   year.          (f)  For purposes of Subsection (b), an applicant may   demonstrate that the applicant has met the applicable minimum   investment requirement by any reasonable means. The applicant is   considered to have met the applicable minimum investment   requirement if the most recent appraisal roll for the county in   which the eligible property is located indicates that the appraised   value of the property composing the project as of January 1 of the   first year of the incentive period is equal to or greater than the   minimum investment requirement applicable to the project.          Sec. 403.605.  TAXABLE VALUE OF ELIGIBLE PROPERTY. (a)   Except as provided by Subsection (b), the taxable value for school   district maintenance and operations ad valorem tax purposes of   eligible property subject to an agreement for each tax year of the   incentive period prescribed by the agreement is equal to:                (1)  $100 million, if the project subject to the   agreement is located in a school district with a taxable value of   property of $10 billion or more for the tax year preceding the year   in which the applicant submitted the application to which the   agreement pertains as determined under Subchapter M;                 (2)  $75 million, if the project subject to the   agreement is located in a school district with a taxable value of   property of at least $1 billion but less than $10 billion for the   tax year preceding the year in which the applicant submitted the   application to which the agreement pertains as determined under   Subchapter M;                (3)  $50 million, if the project subject to the   agreement is located in a school district with a taxable value of   property of at least $500 million but less than $1 billion for the   tax year preceding the year in which the applicant submitted the   application to which the agreement pertains as determined under   Subchapter M;                (4)  $25 million, if the project subject to the   agreement is located in a school district with a taxable value of   property of at least $100 million but less than $500 million for the   tax year preceding the year in which the applicant submitted the   application to which the agreement pertains as determined under   Subchapter M; or                (5)  $5 million, if the project subject to the   agreement is located in a school district with a taxable value of   property of less than $100 million for the tax year preceding the   year in which the applicant submitted the application to which the   agreement pertains as determined under Subchapter M.          (b)  The taxable value of eligible property for school   district maintenance and operations ad valorem tax purposes for a   tax year during the incentive period is the appraised value of the   property for that tax year if that value is less than the value of   the property as determined under Subsection (a).          (c)  The taxable value of eligible property for school   district maintenance and operations ad valorem tax purposes is zero   for each tax year beginning with the tax year following the year in   which the agreement pertaining to the property is entered into and   ending December 31 of the tax year that includes the construction   completion date for the applicable eligible project.          (d)  The chief appraiser for the appraisal district in which   eligible property is located shall determine the market value and   appraised value of the property and include the market value,   appraised value, and taxable value of the property as determined   under this section in the appraisal records for the appraisal   district.          (e)  The chief appraiser for the appraisal district in which   eligible property subject to an agreement is located may not use an   estimated value included in the application to which the agreement   pertains to determine the market value of the property.          Sec. 403.606.  APPLICATION. (a) A person who proposes to   construct an eligible project in a school district may apply to the   governing body of the district to limit the taxable value for   maintenance and operations ad valorem tax purposes of the district   of the eligible property used as part of the proposed project.          (b)  A person submitting an application under Subsection (a)   must use the form prescribed by the comptroller. The form must   contain the following information:                 (1)  the applicant's name, address, and Texas taxpayer   identification number and the contact information for the   applicant's authorized representative;                (2)  the applicant's form of business and, if   applicable, the name, address, and Texas taxpayer identification   number of the applicant's parent entity;                (3)  the applicable school district's name and address   and the contact information for the district's authorized   representative;                (4)  the legal description of the property on which the   project is proposed to be located and, if applicable, the address of   the proposed project;                (5)  the applicable number of required jobs prescribed   by Section 403.604 for the proposed project;                (6)  a list of each taxing unit in which the project is   proposed to be located;                (7)  a brief description of the proposed project,   including the classification of the project as designated by the   North American Industry Classification System;                (8)  a brief description of the eligible property to be   used as part of the proposed project;                (9)  a projected timeline for construction and   completion of the proposed project, including the projected dates   on which construction will begin, construction will be completed,   and commercial operations will start;                (10)  the proposed incentive period;                 (11)  the name and location of the existing or proposed   reinvestment zone or enterprise zone in which the proposed project   will be located;                (12)  a brief summary of the projected economic   benefits of the proposed project; and                (13)  the applicant's signature and certification of   the accuracy of the information included in the application.          (c)  The form prescribed by Subsection (b) must allow the   applicant to segregate confidential information described by   Section 403.622(a) from other information in the application.          (d)  An applicant must include with an application the   following:                (1)  an application fee payable to the school district   in an amount determined by the district not to exceed $60,000 for an   initial application, inclusive of the costs of processing the   application, retaining professional services, preparing the school   finance impact report required by Section 403.608, and, if   applicable, creating a reinvestment zone or enterprise zone;                (2)  a map showing the site of the proposed project; and                (3)  the economic benefit statement prepared under   Section 403.607 in connection with the proposed project.          (e)  A school district that receives an application under   this section shall forward the application to the comptroller not   later than the seventh day after the date the district receives the   application.          (f)  The comptroller may request that an applicant provide   any additional information the comptroller reasonably determines   is necessary to complete the comptroller's evaluation of the   application. The comptroller may require an applicant to submit   the additional information by a certain date and may extend that   deadline on a showing of good cause. The comptroller is not   required to take any further action on an application until it is   complete.          (g)  The comptroller shall notify an applicant and the   pertinent school district when the applicant's application is   administratively complete.          Sec. 403.607.  ECONOMIC BENEFIT STATEMENT. (a) An   applicant shall submit an economic benefit statement with the   applicant's application.          (b)  An economic benefit statement must include the   following information for each year of the period that begins on the   date the applicant projects construction of the proposed project   that is the subject of the application will begin and ends on the   25th anniversary of the date the incentive period ends:                (1)  an estimate of the number of total jobs that will   be created by the project;                (2)  an estimate of the total amount of capital   investment that will be created by the project;                (3)  an estimate of the increase in appraised value of   property that will be attributable to the project;                (4)  an estimate of the amount of ad valorem taxes that   will be imposed by each taxing unit other than the school district   on the property used as part of the project;                (5)  an estimate of the amount of state taxes that will   be paid in connection with the project; and                (6)  an estimate of the associated economic benefits   that may reasonably be attributed to the project, including:                       (A)  the impact on the gross revenues and   employment levels of local businesses that provide goods or   services in connection with the project or to the applicant's   employees;                      (B)  the amount of state and local taxes that will   be generated as a result of the indirect economic impact of the   project, including all ad valorem taxes not otherwise estimated in   Subdivision (4) that will be imposed on property placed into   service as a result of the project;                      (C)  the development of complementary businesses   or industries that locate in this state as a direct consequence of   the project;                      (D)  the total impact of the project on the gross   domestic product of this state;                      (E)  the total impact of the project on personal   income in this state; and                      (F)  the total impact of the project on state and   local taxes.          (c)  An applicant may use standard economic estimation   techniques, including economic multipliers, to create an economic   benefit statement.          (d)  The comptroller shall establish criteria for the   methodology to be used by an applicant to create an economic benefit   statement.          (e)  The comptroller may require an applicant to supplement   or modify an economic benefit statement to ensure the accuracy of   the estimates required to be included in the statement under   Subsection (b).          Sec. 403.608.  SCHOOL FINANCE IMPACT REPORT. (a) A school   district that receives an application under this subchapter shall   promptly prepare a school finance impact report for the proposed   project that is the subject of the application.          (b)  A school finance impact report must detail the projected   tax and revenue consequences for the school district of the   proposed project for each year of the 25-year period beginning on   the date the application is received by the district.          (c)  A school finance impact report must include an estimate   of the amount of ad valorem taxes imposed by the school district   during the period described by Subsection (b) on the property used   as part of the proposed project, together with all related property   owned by the applicant or leased by the applicant under a   capitalized lease and placed in service as a direct result of the   project:                (1)  for maintenance and operations purposes; and                (2)  for interest and sinking fund purposes.          Sec. 403.609.  COMPTROLLER DETERMINATION REGARDING   APPLICATION. (a) The comptroller shall determine whether to   recommend that a school district approve an application submitted   to the district under this subchapter.          (b)  The comptroller shall notify an applicant and a school   district of the comptroller's determination under Subsection (a)   regarding an application submitted to the district by the applicant   not later than the 60th day after the date the comptroller   determines the application is complete.          (c)  The comptroller shall recommend that a school district   approve an application submitted to the district if the comptroller   finds that:                 (1)  the proposed project that is the subject of the   application is an eligible project;                (2)  the proposed project is reasonably likely to   generate, before the 25th anniversary of the last day of the   incentive period, state or local tax revenue, including ad valorem   tax revenue attributable to the effect of the project on the economy   of this state, in an amount sufficient to offset the school district   maintenance and operations ad valorem tax revenue lost as a result   of the agreement; and                 (3)  the agreement is a determining factor in the   applicant's decision to make the investment and locate the project   in this state.          (d)  Subsection (c)(3) does not apply to an application if   the proposed project that is the subject of the application is a   grid reliability project.          Sec. 403.610.  HEARING. (a) An applicant is entitled to a   hearing if the comptroller determines not to recommend that the   applicable school district approve an application submitted by the   applicant to the district.          (b)  A hearing under this section is a contested case hearing   and shall be conducted by the State Office of Administrative   Hearings in the manner provided by Section 2003.101.           (c)  To receive a hearing under this section, an applicant   must file a notice of appeal with the comptroller not later than the   30th day after the date the comptroller notifies the applicant of   the comptroller's determination under Section 403.609. The   comptroller's determination becomes final if the applicant does not   file the notice of appeal as provided by this subsection.           (d)  An applicant may seek judicial review of the   comptroller's determination in a Travis County district court under   the substantial evidence rule as provided by Subchapter G, Chapter   2001.          Sec. 403.611.  SCHOOL DISTRICT ACTION ON APPLICATION. (a)   The governing body of a school district shall approve or disapprove   an application submitted to the district under this subchapter that   the comptroller recommends be approved by the district. The   governing body may approve an application only if the comptroller   recommends the application be approved. The governing body shall   approve or disapprove the application not later than the 35th day   after the date the comptroller notifies the district of the   comptroller's determination under Section 403.609. The governing   body may extend the deadline prescribed by this subsection on   written request of the applicant.          (b)  The governing body of a school district that disapproves   an application may propose amendments to the application and   reconsider the amended application not later than the 60th day   after the date the governing body disapproves the application. The   governing body may extend the deadline prescribed by this   subsection on written request of the applicant.  The school   district may impose a fee of $15,000 for an amendment to an   application.          (c)  If the governing body of the school district and the   applicant agree on an amendment to the application under Subsection   (b), the amended application must be submitted to the comptroller   for a redetermination regarding the application.  The comptroller   shall notify the applicant and school district of the comptroller's   redetermination regarding the application not later than the 30th   day after the date the comptroller receives the amended   application.          (d)  The presiding officer of the governing body of a school   district shall notify the applicant and the comptroller of the   governing body's approval or disapproval of an application not   later than the seventh day after the date the governing body   approves or disapproves the application.          (e)  Except for a payment authorized by this subchapter, an   employee or representative of a school district, a member of the   governing body of the district, or any other person may not   intentionally or knowingly solicit, accept, agree to accept, or   require any payment of money or transfer of property or other thing   of value, directly or indirectly, to the district, an employee or   representative of the district, a member of the governing body of   the district, or any other person in recognition of, anticipation   of, or consideration for approval of an application under this   section.           (f)  Except for a payment authorized by this subchapter, an   applicant, an employee or representative of the applicant, or any   other person may not intentionally or knowingly offer, confer,   agree to confer, or make a payment of money or transfer of property   or other thing of value, directly or indirectly, to the school   district, an employee or representative of the district, a member   of the governing body of the district, or any other person in   recognition of, anticipation of, or consideration for approval of   an application under this section.           Sec. 403.612.  AGREEMENT. (a) The governing body of a   school district that approves an application under Section 403.611   shall enter into an agreement with the applicant that submitted the   application.           (b)  An agreement entered into under this section between an   applicant and a school district for an eligible project shall:                (1)  specify the project to which the agreement   applies;                (2)  specify the term of the agreement, which must:                      (A)  begin on the date the agreement is entered   into; and                      (B)  end on December 31 of the third tax year   following the end of the incentive period;                (3)  specify the incentive period for the project;                (4)  specify the manner for determining the taxable   value for school district maintenance and operations ad valorem tax   purposes during the incentive period under Section 403.605 for the   eligible property subject to the agreement;                (5)  specify the applicable jobs and investment   requirements prescribed by Section 403.604 and require the   applicant to comply with those requirements;                (6)  if the applicant is subject to the jobs   requirement prescribed by Section 403.604, require that the average   annual wage paid to all persons employed by the applicant in   connection with the project used to calculate total jobs, other   than a required job derived from a construction job credit, exceed   the average annual wage for all jobs in the county during the most   recent four quarters for which data is available, as computed by the   Texas Workforce Commission, with the applicant's average annual   wage being equal to the quotient of:                      (A)  the applicant's total wages paid, other than   wages paid for construction jobs, as reported under Section   403.617(c)(4); and                      (B)  the applicant's number of total jobs, other   than a required job derived from a construction job credit, as   reported under Section 403.617(c)(3);                (7)  require the applicant to pay a penalty prescribed   by Section 403.615 if the applicant fails to comply with an   applicable jobs or wage requirement;                (8)  authorize the district to terminate the agreement   if the applicant fails to meet a material requirement of the   agreement as provided by Subsection (e); and                (9)  incorporate each relevant provision of this   subchapter.          (c)  An agreement entered into under this section between an   applicant and a school district pertaining to an eligible project   may:                (1)  require the applicant to:                      (A)  either:                            (i)  share a percentage of the applicant's   tax revenue savings with the district, as computed under Section   403.614; or                            (ii)  pay the district an amount specified   in the agreement, which may not be less than $75,000 for each tax   year during the incentive period; and                      (B)  if the agreement requires the applicant to   share a percentage of the applicant's tax revenue savings under   Paragraph (A)(i), specify the tax savings percentages required to   compute the applicable tax sharing amount under Section 403.614;                (2)  require the applicant to make an indemnity payment   to the district as provided by Subsection (f);                (3)  authorize the applicant to terminate the agreement   as an alternative to making an indemnity payment to the district as   provided by Subsection (f); and                (4)  authorize the district to terminate the agreement   as provided by Subsection (h).          (d)  An agreement entered into under this section between an   applicant and a school district pertaining to an eligible project   may not require the applicant to make a payment to the district   other than a payment prescribed by this subchapter.          (e)  This subsection applies to a term described by   Subsection (b)(8). The agreement must provide that the school   district:                (1)  is authorized to terminate the agreement if the   applicant fails to meet a material requirement of the agreement,   other than a requirement described by Section 403.614;                 (2)  may not terminate the agreement until the district   provides written notice to the applicant of the proposed   termination;                (3)  must provide the applicant the opportunity to cure   and dispute the alleged failure, including through judicial action;   and                (4)  is entitled to recover all lost ad valorem tax   revenue from the project and interest on that amount calculated as   provided by Section 111.060, Tax Code.          (f)  This subsection applies only if an agreement includes a   term described by Subsection (c)(2). The agreement must require   the applicant to make an indemnity payment to the school district   for a tax year during the incentive period in which the district's   revenue is substantially reduced as a result of the enactment of   legislation, an amendment to the constitution, or a final judicial   determination directly affecting the tax incentives authorized by   this subchapter, as determined by the Texas Education Agency as   provided by Subsection (g). The amount of the indemnity payment is   equal to the difference between the amount of revenue the district   would have received in that tax year had the legislation not been   enacted, the constitution not been amended, or the final judicial   determination not been made and the amount of revenue actually   received by the district in that tax year. The agreement must   provide that, as an alternative to making the indemnity payment,   the applicant may elect to terminate the agreement by notifying the   district in writing of the termination. An agreement terminated   under this subsection is void, and all remaining obligations and   benefits under the agreement and this subchapter terminate on the   date the agreement is terminated. The agreement may not require the   applicant to pay back any benefit the applicant received under the   agreement before the date the agreement is terminated under this   subsection.          (g)  For purposes of Subsection (f), the Texas Education   Agency shall determine whether a law enacted by the legislature, an   amendment to the constitution, or a final judicial determination   results in a substantial change that affects the Foundation School   Program, not including facilities funding, and directly affects an   agreement entered into under this subchapter.  If the agency makes a   determination under this subsection related to an agreement, the   agency shall establish the method the applicable school district   must use to calculate the indemnity payment and certify the   calculation made by the district.          (h)  This subsection applies only if an agreement includes a   term described by Subsection (c)(4). The agreement may authorize   the school district to terminate the agreement under the   circumstances described by Subsection (f) if the district   determines that the indemnity payment made by the applicant would   not fully reimburse the district as required by that subsection.   The district must notify the applicant in writing of the   termination. An agreement terminated under this subsection is   void, and all remaining obligations and benefits under the   agreement and this subchapter terminate on the date the agreement   is terminated. The agreement may not require the applicant to pay   back any benefit the applicant received under the agreement before   the date the agreement is terminated under this subsection.          (i)  An applicant and a school district may modify the terms   of an agreement that do not materially modify the jobs or investment   requirements prescribed by the agreement.  The district may impose   a fee of $15,000 for an amendment to an agreement.          (j)  The school district shall append the economic benefit   statement applicable to the project that is the subject of the   agreement to the agreement.          (k)  The school district shall submit each agreement entered   into by the district to the comptroller not later than the seventh   day after the date the agreement is entered into.          Sec. 403.613.  INCENTIVE PERIOD. (a) An incentive period   pertaining to an eligible project is the period specified in the   agreement for the project, which must be a period of 10 consecutive   tax years.          (b)  An incentive period may not begin:                (1)  earlier than January 1 of the first tax year   following the construction completion date; or                (2)  later than January 1 of the first tax year   following the 10th anniversary of the date the agreement is entered   into.          (c)  Subject to Subsection (b), the beginning date of an   incentive period specified in an agreement pertaining to an   eligible project is deferred if the applicant does not satisfy the   minimum investment requirement applicable to the project on or   before the date the incentive period is specified to begin under the   agreement. The incentive period is deferred until January 1 of the   year following the year in which the applicant satisfies the   investment requirement pertaining to the project. The deferral of   an incentive period under this subsection does not affect the date   on which the incentive period ends as prescribed by the agreement.          (d)  Subject to Subsection (b), an applicant may propose to   modify the beginning and ending dates of the incentive period as   provided by this subsection. The applicant shall provide notice of   the proposed modification to the comptroller and the school   district not later than the 90th day before the first day of the   incentive period specified in Section 403.612(b)(3) or as proposed   to be modified, whichever is earlier. The applicant shall revise   the most recent economic benefit statement as necessary to reflect   the proposed change to the incentive period. The applicant must   include the revised economic benefit statement with the notice   provided to the comptroller and the district under this subsection.   The comptroller shall make the finding required by Section   403.609(c)(2) regarding the project as proposed to be modified or   determine that the finding cannot be made. The comptroller shall   notify the applicant and the district of the comptroller's finding   or determination not later than the 60th day after the date the   comptroller receives notice from the applicant of the proposed   modification. The applicant may appeal the comptroller's   determination in the manner provided by Section 403.610. The   incentive period for the project may not be modified if the   comptroller determines that the finding required by Section   403.609(c)(2) regarding the project as proposed to be modified   cannot be made or, if the determination is appealed, the applicant   is not successful on appeal before the beginning of the original or   modified incentive period, whichever is earlier.          Sec. 403.614.  COMPUTATION OF TAX SHARING AMOUNT. (a)  An   applicant's tax revenue savings for eligible property that is   subject to an agreement between the applicant and a school district   is:                (1)  for a tax year during the period prescribed by   Section 403.605(c), an amount equal to the product of:                      (A)  the amount computed by dividing the appraised   value of the property for that tax year by 100; and                      (B)  the maintenance and operations ad valorem tax   rate adopted by the district for that tax year; and                (2)  for a tax year during the incentive period   prescribed by the agreement, an amount equal to the product of:                      (A)  the amount computed by:                            (i)  subtracting the taxable value of the   property as determined under Section 403.612(b)(4) from the   appraised value of the property for that tax year; and                            (ii)  dividing the amount computed under   Paragraph (A) by 100; and                      (B)  the maintenance and operations ad valorem tax   rate adopted by the district for that tax year.          (b)  An applicant's tax sharing amount for a tax year during   the period described by Subsection (a)(1) is equal to 20 percent of   the applicant's tax revenue savings as computed under that   subdivision for that tax year.          (c)  An applicant's tax sharing amount for a tax year during   the period described by Subsection (a)(2) in which the applicant's   tax revenue savings as computed under that subdivision is:                (1)  $3 million or less is the amount equal to the   product of the amount computed under Subsection (a)(2) and the   applicable tax savings percentage specified in the agreement   between the applicant and the school district, which may not exceed   30 percent;                (2)  more than $3 million but less than $7 million is   the amount equal to the sum of the following amounts:                      (A)  the product of:                            (i)  $3 million; and                            (ii)  the applicable tax savings percentage   specified in the agreement, which may not exceed 30 percent; and                      (B)  the product of:                            (i)  the difference between the amount   computed under Subsection (a)(2) and $3 million; and                            (ii)  the applicable tax savings percentage   specified in the agreement, which may not exceed 20 percent; and                (3)  $7 million or more is the amount equal to the sum   of the following amounts:                      (A)  the product of:                            (i)  $3 million; and                            (ii)  the applicable tax savings percentage   specified in the agreement, which may not exceed 30 percent;                      (B)  the product of:                            (i)  $4 million; and                            (ii)  the applicable tax savings percentage   specified in the agreement, which may not exceed 20 percent; and                      (C)  the product of:                            (i)  the difference between the amount   computed under Subsection (a)(2) and $7 million; and                            (ii)  the applicable tax savings percentage   specified in the agreement, which may not exceed 10 percent.          Sec. 403.615.  FAILURE TO COMPLY WITH JOBS OR WAGE   REQUIREMENT. (a) An applicant is liable to the state for a penalty   in the amount computed under this subsection if the applicant fails   to maintain at least the number of required jobs prescribed by the   agreement to which the applicant is a party during the periods   covered by two consecutive reports submitted by the applicant under   Section 403.617. The amount of the penalty is equal to the product   of:                (1)  the difference between:                      (A)  the number of required jobs prescribed by the   agreement; and                      (B)  the number of required jobs actually created   as stated in the most recent report submitted by the applicant under   Section 403.617; and                (2)  the average annual wage prescribed by the   agreement during the most recent four quarters for which data is   available, as computed by the Texas Workforce Commission.          (b)  An applicant is liable to the state for a penalty in the   amount computed under this subsection if the applicant fails to   meet the average annual wage requirement prescribed by the   agreement to which the applicant is a party, if any, during the   periods covered by two consecutive reports submitted by the   applicant under Section 403.617. The amount of the penalty is equal   to the difference between:                (1)  the product of:                      (A)  the actual average annual wage paid to all   persons employed by the applicant in connection with the project   that is the subject of the agreement as computed under Section   403.612(b)(6); and                      (B)  the number of required jobs prescribed by the   agreement; and                (2)  the product of:                      (A)  the average annual wage prescribed by the   agreement; and                      (B)  the number of required jobs prescribed by the   agreement.          (c)  Notwithstanding Subsections (a) and (b), the amount of a   penalty imposed on an applicant under this section may not exceed   the amount of the ad valorem tax benefit received by the applicant   under the agreement that is the subject of the penalty.          (d)  An applicant on request of the comptroller shall provide   to the comptroller a schedule of required jobs created as of the   date of the request under an agreement to which the applicant is a   party.          (e)  A determination by the comptroller that an applicant has   failed to meet the jobs or wage requirement prescribed by an   agreement to which the applicant is a party is a deficiency   determination under Section 111.008, Tax Code. A penalty imposed   under this section is an amount the comptroller is required to   collect, receive, administer, or enforce, and is subject to the   payment and redetermination requirements of Sections 111.0081 and   111.009, Tax Code. A redetermination under Section 111.009, Tax   Code, of a determination under this section is a contested case as   defined by Section 2001.003 of this code.          (f)  An applicant may challenge under Subchapters A and B,   Chapter 112, Tax Code, a determination under this section that   imposes a penalty on the applicant if the applicant contends that   the amount of the penalty is unlawful or that the comptroller may   not legally demand or collect the amount.          (g)  The comptroller shall deposit the amount collected   under this section, including any interest applicable to the   amount, to the credit of the foundation school fund.          Sec. 403.616.  AUDIT OF AGREEMENTS BY STATE AUDITOR. (a)   Each year the state auditor shall select and review at least three   major agreements to determine whether:                (1)  each agreement accomplishes the purposes of this   subchapter as expressed in Section 403.601; and                (2)  the terms of each agreement were executed in   compliance with the terms of this subchapter.          (b)  As part of the review, the state auditor shall make   recommendations relating to increasing the efficiency and   effectiveness of the administration of this subchapter.          Sec. 403.617.  BIENNIAL COMPLIANCE REPORT BY APPLICANT. (a)   An applicant that is a party to an agreement shall submit a report   to the comptroller as required by this section using the form   adopted by the comptroller.          (b)  An applicant must submit a report required by this   section to the comptroller not later than June 1 of each   even-numbered year during the term of the agreement that is the   subject of the report.          (c)  A report required by this section must include the   following documents and information applicable to the agreement   that is the subject of the report:                (1)  a certification by the applicant that is a party to   the agreement that the applicant has met the jobs and investment   requirements prescribed by the agreement, which must include:                      (A)  a sworn affidavit stating:                            (i)  the number of required jobs prescribed   by the agreement;                            (ii)  the number of total jobs created under   the agreement as of December 31 of the preceding two years,   including the number of total jobs for each category of required   jobs; and                            (iii)  the name and contact information of   each person who employs a person described by Subparagraph (ii),   other than the applicant or the applicant's affiliates;                      (B)  if applicable, payroll records maintained   for purposes of 40 T.A.C. Chapter 815; and                      (C)  if applicable, evidence of the number of   construction jobs created and construction job credits counted by   the applicant as a required job;                (2)  the number assigned to the application by the   comptroller for the agreement, name of the applicant, name of the   school district, and name of and contact information for the   applicant's representative;                (3)  the number of total jobs, not including   construction job credits counted by the applicant as a required   job, created by the project in each of the preceding two years;                (4)  the total wages paid for total jobs, not including   wages paid for construction jobs, in each of the preceding two   years;                (5)  the number of construction jobs created as   determined under Section 403.604(d);                (6)  the total amount of the applicant's investment,   including any additional amount invested by the applicant after the   incentive period begins;                (7)  the appraised value of all property composing the   project for each previous tax year of the agreement;                (8)  the taxable value of all property composing the   project for each previous tax year of the agreement;                (9)  the amount of school district maintenance and   operations ad valorem taxes imposed on the property composing the   project and paid by the applicant for each previous tax year of the   agreement;                (10)  the amount of school district interest and   sinking fund ad valorem taxes imposed on the property composing the   project and paid by the applicant for each previous tax year of the   agreement;                (11)  the amount of school district ad valorem taxes   that would have been imposed on the property composing the project   and paid by the applicant in the absence of the agreement for each   previous tax year of the agreement;                (12)  the amount of payments made by the applicant to   the school district as prescribed by the agreement for each   previous tax year of the agreement, listed by type of payment; and                (13)  the amount of ad valorem taxes imposed on the   property composing the project by each taxing unit other than the   school district and paid by the applicant for each previous tax year   of the agreement, stated by taxing unit.          (d)  This subsection applies only to a report required to be   submitted under this section by an applicant for the period that   includes the first year of the incentive period as prescribed by the   agreement that is the subject of the report or as deferred. In   addition to the documents and information described by Subsection   (c), the applicant must include with the certification required by   Subsection (c)(1):                (1)  a list of the property tax account numbers   assigned to the property composing the project;                (2)  the current total appraised value of the property   composing the project; and                 (3)  if applicable, a statement that the incentive   period was deferred because the applicant did not meet the minimum   investment requirement prescribed by the agreement before the date   specified in the agreement.           Sec. 403.618.  SCHOOL DISTRICT REPORT. (a) A school   district that is a party to an agreement must submit a report to the   comptroller as prescribed by this section.           (b)  A school district must submit the report not later than   June 1 of each even-numbered year:                (1)  beginning in the first even-numbered year   following the year in which the governing body of the district   approves the application for the project that is the subject of the   agreement; and                (2)  ending in the last even-numbered year before the   third anniversary of the expiration of the incentive period   prescribed by the agreement.          (c)  The report must include:                 (1)  the total amount received from the applicant under   the agreement for each previous year;                (2)  the total amount of any other direct or indirect   benefit received from the applicant for each previous year,   including an in-kind contribution; and                (3)  the purposes for which the payments and benefits   were used by the school district.          Sec. 403.619.  BIENNIAL REPORT TO LEGISLATURE. (a) The   comptroller shall submit to the lieutenant governor, the speaker of   the house of representatives, and each other member of the   legislature a report on the agreements entered into under this   subchapter. The comptroller must submit the report not later than   December 1 of each even-numbered year.          (b)  The report must include:                (1)  an assessment of the following with regard to the   agreements entered into under this subchapter, considered in the   aggregate:                      (A)  the total number of jobs created in this   state;                      (B)  the total effect on personal income in this   state;                      (C)  the total amount of investment in this state;                      (D)  the total taxable value of property on the   tax rolls in this state resulting from the agreements, including   property subject to an agreement that has expired;                       (E)  the total value of property subject to   agreements that have not expired; and                      (F)  the total fiscal effect resulting from the   agreements on this state and on local governments in this state; and                (2)  an assessment of each agreement entered into under   this subchapter that states for each agreement:                      (A)  the number of required jobs prescribed by the   agreement;                      (B)  the number of jobs actually created under the   agreement, including:                            (i)  each job described by Section   403.604(c)(1)(A);                            (ii)  each job described by Section   403.604(c)(1)(B);                             (iii)  each construction job credit   described by Section 403.604(d) counted by an applicant as a   required job; and                            (iv)  any additional jobs created or   maintained in connection with the project that is the subject of the   agreement, if reported by the applicant;                      (C)  the number of total jobs created under the   agreement, if the term of the agreement has expired;                      (D)  the amount of the investment specified by the   agreement;                      (E)  the amount of the actual investment made for   the applicable project before the expiration of the agreement;                      (F)  the difference between the amount of ad   valorem taxes that would have been imposed on the property   composing the applicable project in the absence of the agreement   and the amount of ad valorem taxes actually imposed on that property   during the term of the agreement;                      (G)  the total amount of state and local tax   revenue attributable to the applicable project during the term of   the agreement;                      (H)  the total amount received by the school   district from the applicant under the agreement for each previous   year;                      (I)  the total amount of any other direct or   indirect benefit received by the district from the applicant for   each previous year, including an in-kind contribution; and                      (J)  the purposes for which the payments and   benefits described by Paragraphs (H) and (I) were used by the   district.          (c)  The comptroller may not include in the report   information that is confidential under law.          (d)  The comptroller may use standard economic estimation   techniques, including economic multipliers, to prepare the portion   of the report described by Subsection (b)(1).          (e)  The comptroller may require an applicant to submit   information required to complete the report on a form prescribed by   the comptroller.          Sec. 403.620.  CONFLICT OF INTEREST. A person may not,   directly or indirectly, represent, advise, or provide a service to   both an applicant and a school district in connection with the same   application submitted or agreement entered into under this   subchapter.          Sec. 403.621.  TREATMENT OF PAYMENTS TO SCHOOL DISTRICTS. A   payment by an applicant to a school district under this subchapter   other than a payment of ad valorem taxes imposed by the district may   not be treated as tax revenue collected by the district for any   purpose under Chapter 48 or 49, Education Code.          Sec. 403.622.  CONFIDENTIALITY OF CERTAIN BUSINESS   INFORMATION. (a) Information provided to a school district or the   comptroller by an applicant under this subchapter that is a trade   secret, as defined by Section 134A.002, Civil Practice and Remedies   Code, is confidential and not subject to disclosure under Chapter   552.          (b)  Payroll records reported under Section 403.617(c)(1)(A)   or (B) by an applicant to the comptroller are confidential and not   subject to disclosure under Chapter 552.          Sec. 403.623.  INTERNET POSTING OF INFORMATION. (a)   Subject to Section 403.622, the comptroller shall post on the   comptroller's Internet website the following information received   by the comptroller:                (1)  each application submitted under this subchapter;                (2)  each map and economic benefit statement required   to be submitted with an application under this subchapter;                (3)  each amendment to an application made under this   subchapter;                (4)  each agreement entered into under this subchapter;   and                (5)  each biennial compliance report submitted as   required under this subchapter.          (b)  Except as provided by Subsection (c), the comptroller   shall post the information described by Subsection (a) as soon as   practicable after the date the comptroller receives the   information.          (c)  The comptroller shall post the information described by   Subsections (a)(1), (2), and (3) not later then the 10th business   day after the date the comptroller receives the information.          (d)  The comptroller shall continue to post the information   required by this section until the date the agreement to which the   information relates expires.          Sec. 403.624.  RULES AND FORMS. (a) The comptroller shall   adopt rules necessary to implement and administer this subchapter,   including rules for:                (1)  determining whether an applicant meets the jobs   and investment requirements prescribed by Section 403.604; and                (2)  authorizing an applicant or school district to   submit any form or information required by this subchapter   electronically.          (b)  The comptroller shall adopt forms necessary to   implement and administer this subchapter, including the forms to be   used by:                (1)  an applicant under Section 403.606;                (2)  an applicant under Section 403.617; and                (3)  a school district under Section 403.618.          (c)  The comptroller shall provide without charge one copy of   the rules and forms adopted under this section to any person who   states that the person intends to submit an application to a school   district under this subchapter to limit the taxable value of   eligible property used as part of an eligible project.          SECTION 2.  Section 48.2551(a), Education Code, is amended   to read as follows:          (a)  In this section:                (1)  "DPV" is the taxable value of property in the   school district, as determined by the agency by rule, using locally   determined property values adjusted in accordance with Section   403.302(d), Government Code;                (2)  "E" is the expiration of the exclusion of   appraised property value for the preceding tax year that is   recognized as taxable property value for the current tax year,   which is the sum of the following:                      (A)  property value that is no longer subject to a   limitation on appraised value under former Subchapter B or C,   Chapter 313, Tax Code, or a limitation on taxable value under   Subchapter T, Chapter 403, Government Code; and                      (B)  property value under Section 311.013(n), Tax   Code, that is no longer excluded from the calculation of "DPV" from   the preceding year because of refinancing or renewal after   September 1, 2019;                (3)  "MCR" is the district's maximum compressed rate,   which is the tax rate for the current tax year per $100 of valuation   of taxable property at which the district must levy a maintenance   and operations tax to receive the full amount of the tier one   allotment to which the district is entitled under this chapter;                (4)  "PYDPV" is the district's value of "DPV" for the   preceding tax year; and                (5)  "PYMCR" is the district's value of "MCR" for the   preceding tax year.          SECTION 3.  Section 48.256, Education Code, is amended by   amending Subsections (d) and (e) and adding Subsection (d-1) to   read as follows:          (d)  This subsection applies to a school district in which   the board of trustees entered into a written agreement with a   property owner [under Section 313.027, Tax Code,] for the   implementation of a limitation on taxable [appraised] value under   Subchapter T, Chapter 403, Government [B or C, Chapter 313, Tax]   Code. For purposes of determining "DPV" under Subsection (a) for a   school district to which this subsection applies, the commissioner   shall exclude a portion of the market value of property not   otherwise fully taxable by the district under Subchapter T, Chapter   403, Government [B or C, Chapter 313, Tax] Code[, before the   expiration of the subchapter]. The comptroller shall provide   information to the agency necessary for this subsection.          (d-1)  Subsection (d) applies to an agreement for the   implementation of a limitation on appraised value under former   Subchapter B or C, Chapter 313, Tax Code, that was in effect on   January 1, 2023, in the same manner as that subsection applies to an   agreement described by that subsection. If the agreement for the   limitation on appraised value requires a [A] revenue protection   payment to the school district, the payment [required as part of an   agreement for a limitation on appraised value] shall be based on the   district's taxable value of property for the preceding tax year.          (e)  Subsection (d-1) [(d)] does not apply to property that   was the subject of an application under former Subchapter B or C,   Chapter 313, Tax Code, made after May 1, 2009, that the comptroller   recommended should be disapproved.          SECTION 4.  Section 2303.507, Government Code, is amended to   read as follows:          Sec. 2303.507.  TAX INCREMENT FINANCING AND   ABATEMENT;  LIMITATIONS ON APPRAISED AND TAXABLE   VALUE.  Designation of an area as an enterprise zone is also   designation of the area as a reinvestment zone for:                (1)  tax increment financing under Chapter 311, Tax   Code;                (2)  tax abatement under Chapter 312, Tax Code; [and]                (3)  limitations on appraised value under former   Subchapter B or C, Chapter 313, Tax Code; and                (4)  limitations on taxable value under Subchapter T,   Chapter 403, of this code.          SECTION 5.  Section 23.03, Tax Code, is amended to read as   follows:          Sec. 23.03.  COMPILATION OF LARGE PROPERTIES AND PROPERTIES   SUBJECT TO LIMITATION ON APPRAISED OR TAXABLE VALUE. Each year the   chief appraiser shall compile and send to the Texas [Department of]   Economic Development and Tourism Office a list of properties in the   appraisal district that in that tax year:                (1)  have a market value of $100 million or more; [or]                (2)  are subject to a limitation on appraised value   under former Subchapter B or C, Chapter 313; or                (3)  are subject to a limitation on taxable value under   Subchapter T, Chapter 403, Government Code.          SECTION 6.  Section 26.012(6), Tax Code, is amended to read   as follows:                (6)  "Current total value" means the total taxable   value of property listed on the appraisal roll for the current year,   including all appraisal roll supplements and corrections as of the   date of the calculation, less the taxable value of property   exempted for the current tax year for the first time under Section   11.31 or 11.315, except that:                      (A)  the current total value for a school district   excludes:                            (i)  the total value of homesteads that   qualify for a tax limitation as provided by Section 11.26; [and]                            (ii)  new property value of property that is   subject to an agreement entered into under former Subchapter B or C,   Chapter 313; and                            (iii)  new property value of property that   is subject to an agreement entered into under Subchapter T, Chapter   403, Government Code; and                      (B)  the current total value for a county,   municipality, or junior college district excludes the total value   of homesteads that qualify for a tax limitation provided by Section   11.261.          SECTION 7.  Section 171.602(f), Tax Code, is amended to read   as follows:          (f)  The comptroller may not issue a credit under this   section before the later of:                (1)  [September 1, 2018; or                [(2)]  the expiration of an agreement under former   Subchapter B or C, Chapter 313, regarding the clean energy project   for which the credit is issued; or                (2)  the expiration of an agreement under Subchapter T,   Chapter 403, Government Code, regarding the clean energy project   for which the credit is issued.          SECTION 8.  Section 312.0025(a), Tax Code, is amended to   read as follows:          (a)  Notwithstanding any other provision of this chapter to   the contrary, the governing body of a school district, in the manner   required for official action and for purposes of former Subchapter   B or C, Chapter 313, of this code or Subchapter T, Chapter 403,   Government Code, may designate an area entirely within the   territory of the school district as a reinvestment zone if the   governing body finds that, as a result of the designation and the   granting of a limitation on appraised value under former Subchapter   B or C, Chapter 313, of this code or the granting of a limitation on   taxable value under Subchapter T, Chapter 403, Government Code, for   property located in the reinvestment zone, the designation is   reasonably likely to:                (1)  contribute to the expansion of primary employment   in the reinvestment zone; or                (2)  attract major investment in the reinvestment zone   that would:                      (A)  be a benefit to property in the reinvestment   zone and to the school district; and                      (B)  contribute to the economic development of the   region of this state in which the school district is located.          SECTION 9.  This Act takes effect September 1, 2023.