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Government Code - CHAPTER 2303 (a) To be designated as an enterprise zone an area must: (1) have a continuous boundary; (2) be at least one square mile but not larger than the greater of: (A) 10 square miles, excluding lakes, waterways, and transportation arteries; or Page 4 of 28 (B) an area, not to exceed 20 square miles, that is equal to five percent of the area, excluding lakes, waterways, and transportation arteries, of the municipality, county, or combination of municipalities or counties nominating the area as an enterprise zone; (3) be an area of pervasive poverty, unemployment, and economic distress; and (4) be nominated as an enterprise zone by an ordinance or order adopted by the nominating body. (b) The department may not designate an area as an enterprise zone if three enterprise zones are located in the jurisdiction of and were nominated as enterprise zones by the governing body of the municipality or county nominating the area as an enterprise zone. Added by Acts 1993, 73rd Leg., ch. 268, § 1, eff. Sept. 1, 1993. § 2303.102. Area of Pervasive Poverty, Unemployment, and Economic Distress (a) An area is an area of pervasive poverty, unemployment, and economic distress for the purposes of Section 2303.101 if: (1) the average rate of unemployment in the area during the most recent 12-month period for which data are available was at least one and one-half times the state average for that period; or (2) the area had a population loss of at least 12 percent during the most recent six-year period or at least four percent during the most recent three-year period; and (A) the area is a low-income poverty area; (B) the area is in a jurisdiction or pocket of poverty eligible for urban development action grants under federal law, according to the most recent certification available from the United States Department of Housing and Urban Development; (C) at least 70 percent of the residents or households of the area have an income that is less than 80 percent of the median income of the residents or households of the locality or state, whichever is less; or (D) the nominating body establishes to the satisfaction of the department that: (i) chronic abandonment or demolition of commercial or residential structures exists in the area; (ii) substantial tax arrearages for commercial or residential structures exist in the area; (iii) substantial losses of businesses or jobs have occurred in the area; ://www.capitol.state.tx.us/statutes/go/go230300.html 1/12/2002