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House Bill 467 |
House Author: Bailey et al. |
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Effective: 9-1-05 |
Senate Sponsor: Gallegos |
House Bill 467 amends provisions of the Water Code and the Local Government Code relating to the Economically Distressed Area Program (EDAP), which offers financial assistance to procure adequate drinking water and sewage systems. The bill expands the program by redefining "affected county" to include any county that had an economically distressed area with a median household income at or below 75 percent of the median state household income during the past year and extends the program to include economically distressed areas with subdivisions developed by June 1, 2005, rather than June 1, 1989.
The required content of a political subdivision's application to the Texas Water Development Board for assistance and the plan for providing water supply and sewer services is restructured to include an engineer's project plan, the households and area to be served, and certification that the existing infrastructure does not meet minimum state standards. Several previously required elements are removed. The focus of the application and plan also shifts to identifying areas that need and qualify for assistance rather than providing information on the customers' ability to pay for resulting services. The board must consider the availability to the area of financial assistance from alternative sources. House Bill 467 requires the applicant to adopt a water conservation program and sets out provisions relating to assessing the applicant's capability to run the proposed system. The bill requires the board in considering an application to consider whether there exist alternative funding sources. The bill also allows the board to evaluate whether an operating entity needs training if the entity requests additional funding or an amendment to the project plan or budget.
House Bill 467 allows the board, in addition to its current $25 million bond authority, to issue no more than $50 million in bonds during a fiscal year for certain financial assistance programs for the provision of water supply and sewer services.