The bill, H.B. No. 205, amends the Local Government Code by adding Section 505.162, which authorizes Type B economic development corporations to undertake specific projects in response to disasters declared by the governor or the president of the United States. The newly defined "project" includes providing grants or loans to businesses affected by disasters for purposes such as temporary relocation or infrastructure repair, as well as initiatives aimed at strengthening the workforce and stabilizing the local economy.

Additionally, the bill stipulates that any project authorized under this section must receive approval from the governing body of the Type B corporation's authorizing municipality, be initiated within two years of the disaster declaration, and be adequately documented to ensure proper oversight. This legislative change aims to enhance the ability of local economic development entities to respond effectively to disasters and support affected businesses and communities. The act is set to take effect 91 days after the conclusion of the legislative session.

Statutes affected:
Introduced: ()