PART 5. OFFICE OF THE GOVERNOR, ECONOMIC DEVELOPMENT AND TOURISM OFFICE
CHAPTER 174. ECONOMIC DEVELOPMENT ADVISORY COMMITTEES
The Office of the Governor, Texas Economic Development and Tourism Office ("Office") proposes new 10 TAC §174.1, §174.2, concerning Economic Development Advisory Committees.
EXPLANATION AND JUSTIFICATION OF THE RULES
The Office is authorized by section 481.0211, Texas Government Code, to establish by rule advisory committees to make recommendations to the Office on programs, rules, and policies administered by the Office. This rulemaking establishes provisions for the governance of all advisory committees created under this new chapter, as well as the specific purposes and composition of a new economic development advisory committee.
SECTION BY SECTION SUMMARY
Proposed rule §174.1 would establish provisions of general applicability to all advisory committees created under new chapter 174. The proposed rule sets forth the purpose of the chapter, duration of advisory committees, appointment authority, procedure for selection of chair of advisory committees, maximum number of members, term length, quorum requirements, qualifications, conflict of interest standards, training requirements, and meeting attendance requirements. The proposed rule further sets forth the responsibilities of the Office with respect to advisory committees and that advisory committee members will serve without compensation and will not be reimbursed for expenses unless otherwise authorized by law.
Proposed rule §174.2 would create the International Business Advisory Committee and establishes the purposes, composition, and qualifications of the committee's members. The proposed rule would also establish how the Office will determine which countries are Countries of Interest for the development and promotion of business relationships between Texas and such countries.
FISCAL NOTE
Adriana Cruz, Executive Director of the Office, has determined that the first five-year period the proposed rules are in effect, there will be no additional estimated cost, reduction of costs, or loss or increase in revenue to the state or local governments as a result of enforcing or administering the rules. Additionally, Ms. Cruz has determined that enforcing or administering the rules does not have foreseeable implications relating to the costs or revenues of state or local government.
PUBLIC BENEFIT
Ms. Cruz has determined for the first five-year period the proposed rules are in effect, the public benefit will be clarity and consistency in the creation of and operation of the Office's advisory committees, as well as a benefit to Texas in identifying countries with which the Office can enhance business and economic development relationships.
PROBABLE ECONOMIC COSTS
Ms. Cruz has determined for the first five-year period the proposed rules are in effect, there will be no additional economic costs to persons required to comply with the proposed rules.
REGULATORY FLEXIBILITY ANALYSIS FOR SMALL AND MICRO-BUSINESSES AND RURAL COMMUNITIES.
Ms. Cruz has determined that the proposed rules will have no adverse economic effect on small businesses, micro-businesses, or rural communities; therefore, a regulatory flexibility analysis under §2006.002, Texas Government Code, is not required.
LOCAL EMPLOYMENT IMPACT STATEMENT
Ms. Cruz has determined the proposed rulemaking does not have an impact on local economy; therefore, no local employment impact statement under §2001.022, Texas Government Code, is required.
GOVERNMENT GROWTH IMPACT STATEMENT
Ms. Cruz has determined that during each year of the first five years in which the proposed rules are in effect, the rules:
1) will not create or eliminate a government program;
2) will not require the creation of new employee positions or the elimination of existing employee positions;
3) will not require an increase or decrease in future legislative appropriations to the OOG;
4) will not require an increase or decrease in fees paid to the OOG;
5) will create new regulations;
6) will not expand certain existing regulations, limit certain existing regulations, or repeal existing regulations;
7) will increase the number of individuals subject to the applicability of the rules; and
8) will positively affect the Texas economy.
TAKINGS IMPACT ASSESSMENT
Ms. Cruz has determined that there are no private real property interests affected by the proposed rules; therefore, the Office is not required to prepare a takings impact assessment pursuant to §2007.043, Texas Government Code.
REQUEST FOR PUBLIC COMMENTS
Comments on the proposed rules may be submitted to Terry Zrubek, Office of the Governor, by email to terry.zrubek@gov.texas.gov with the subject line "Economic Development Advisory Committee Rules." The deadline for receipt of comments is 5:00 p.m., Central Time, on December 2, 2024, which is at least 30 days from the date of publication in the Texas Register.
STATUTORY AUTHORITY
Section 481.0211, Texas Government Code, authorizes the Office to adopt rules relating to the establishment of advisory committees to make recommendations to the Office on programs, rules, and policies administered by the Office.
CROSS REFERENCE TO STATUTE
No other statutes, articles, or codes are affected by the proposed rules.
§174.1.Establishment of Advisory Committees.
(a) This chapter governs the creation and operation of advisory committees, except as otherwise provided by law or rule in this chapter. The purpose of an advisory committee is to make recommendations to the Economic Development and Tourism Office in the Office of the Governor (Office) on programs, rules, and policies administered by the Office. An advisory committee's sole role is to advise the Office. An advisory committee has no executive or administrative powers or duties with respect to the operation of the Office.
(b) The Office shall establish advisory committees by rule in this chapter. An advisory committee is abolished on the fourth anniversary of the date of its creation unless the Office designates a different expiration date for an advisory committee, or an advisory committee has a specific duration prescribed by law.
(c) The Chief of Staff of the Office of the Governor or designee will appoint members to an advisory committee based on advice and input from the Executive Director and staff of the Office. The appointees serve at the pleasure of the Chief of Staff of the Office of the Governor.
(d) Each advisory committee will select from its members a chair to serve as a presiding officer, a vice-chair, and any other officers the members determine are necessary to achieve the purposes of the advisory committee.
(e) An advisory committee must be composed of a reasonable number of members not to exceed twenty-four members. A quorum of an advisory committee consists of a majority of the number of members fixed by rule in this chapter. An advisory committee may act only by majority vote of the members present and voting at the meeting.
(f) Advisory committee members:
(1) shall serve two-year staggered terms;
(2) must have knowledge about and interests in the specific purpose and tasks of an advisory committee established under this chapter;
(3) are subject to the conflict-of-interest provisions established under chapter 481, Texas Government Code;
(4) must complete training regarding the Open Meetings Act, chapter 551, Texas Government Code, and the Public Information Act, chapter 552, Texas Government Code; and
(5) automatically vacate the positions to which they were appointed if they miss three or more consecutive advisory committee meetings, and the Chief of Staff or designee will appoint a new member to fill the remainder of the unexpired term created by the vacancy.
(g) For each advisory committee established under this chapter, the Executive Director of the Office will designate a division of the Office that will be responsible for providing necessary administrative support essential to the functions of the advisory committee.
(h) Advisory committee meetings shall:
(1) relate to the business in an agenda and occur on the date, time, and place established by the division designated under subsection (g) of this section; and
(2) be held at least annually.
(i) For each advisory committee created under this chapter, the Office shall adopt rules that address the purpose and role of the advisory committee. The rules may address additional items, including membership qualifications, terms of service, operating procedures, and other standards to ensure the effectiveness of an advisory committee appointed under this chapter.
(j) Office staff shall maintain minutes of each advisory committee meeting and distribute copies of approved minutes and other advisory committee documents to advisory committee members.
(k) Office staff shall report an advisory committee's recommendations to the Executive Director or designee. The presiding officer of an advisory committee or designee may present the committee's recommendations to the Executive Director of the Office.
(l) Members of an advisory committee will serve without compensation and shall not be reimbursed for expenses unless reimbursement is authorized by law and approved by the Executive Director.
(m) The Office shall monitor the activities, work, usefulness, costs, Office staff time used to support, and composition of advisory committees.
§174.2.International Business Advisory Committee.
(a) The Texas International Business Advisory Committee (IBAC) is established to assist the Office with the international trade relations and economic development in specific countries to benefit the State of Texas. The IBAC shall assist the Office, provide information, referrals, and recommendations to the Office to spur foreign trade and foreign direct investment to the State.
(b) The IBAC shall be composed of no more than fifteen members, the presence of eight of whom constitutes a quorum. The Chief of Staff of the Office of the Governor will select IBAC members on basis of high-level business and government contact in a Country of Interest, business relationships in a Country of Interest, or specialized knowledge about or substantial experience with interacting with a Country of Interest.
(c) For purposes of subsection (b) of this section, the Office will identify Countries of Interest through trade statistics and foreign direct investment figures and will communicate the Countries of Interest to the Chief of Staff of the Office of the Governor and IBAC members.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on October 18, 2024.
TRD-202404910
Adriana Cruz
Executive Director
Office of the Governor, Economic Development and Tourism Office
Earliest possible date of adoption: December 1, 2024
For further information, please call: (512) 936-0100