Enrolled Bill Summary

House Bill 3420 amends the Government Code to require the Texas Public Finance Authority to set aside 10 percent of the proceeds from each sale of general obligation bonds and notes issued for the financing of certain colonia projects and to use the amount set aside to provide financial assistance for colonia access roadway projects proposed by rural border counties. The bill requires the authority, as directed by the Texas Department of Transportation, to provide a grant from the set-aside on a priority basis to a rural border county that proposes to pave for the first time a road serving a border colonia located in that county. The bill authorizes the grant to be used to purchase any materials or lease any equipment as reasonably necessary to accomplish the goal of the project. It requires the materials to be used solely in connection with the project and the equipment to be used substantially in connection with the project throughout the lease period.