HB 2181

83(R) - 2013
Economic & Small Business Development

Vote Recommendation

  • Negative
  • Neutral
  • Neutral
  • Negative
  • Neutral


Phil Stephenson

Bill Caption

Relating to authorizing development corporations to finance projects to support primary job training facilities and programs at certain educational institutions.

Fiscal Notes

No significant fiscal implication to the State is anticipated. According to the Texas Municipal League, no fiscal impact to cities is anticipated. No significant administrative costs are anticipated for school districts voluntarily entering into agreements for job training programs funded in part or in whole by a development corporation.

Bill Analysis

Summary: HB 2181 would expand the current Type A and Type B economic development companies by allowing them to partner with junior college and public schools to create programs that train the workforce as well as allow them to purchase training equipment for these jobs. In order for this expansion to take place, the governing body of the location where the training will take place will have to vote on the measure. If the governing body determines not to vote, then 10% of the electorate who voted in the previous general election can petition the governing body to vote on the measure.

Analysis: HB 2181 expands government's scope by including additional projects that will require taxes. This also minimizes the free-market because it subsidizes workforce development instead of seeking to reduce barriers to entry and potential regulations that keep businesses from entering an area. Therefore, we oppose HB 2181.