1-1  By:  McDonald (Senate Sponsor - Shapiro)               H.B. No. 982
    1-2        (In the Senate - Received from the House May 15, 1995;
    1-3  May 16, 1995, read first time and referred to Committee on Health
    1-4  and Human Services; May 23, 1995, reported favorably by the
    1-5  following vote:  Yeas 5, Nays 0; May 23, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to the children's trust fund and the Children's Trust Fund
    1-9  of Texas Council operating fund.
   1-10        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-11        SECTION 1.  Section 74.003, Human Resources Code, is amended
   1-12  to read as follows:
   1-13        Sec. 74.003.  Powers and Duties.  (a)  The council shall:
   1-14              (1)  develop a state plan for expending funds for child
   1-15  abuse and neglect prevention programs that includes an annual <a>
   1-16  schedule of transfers of trust fund money to the operating fund
   1-17  <through 1996 to assure that there is no decline in the amount of
   1-18  grant money available in 1997>;
   1-19              (2)  develop eligibility criteria for applicants for
   1-20  grants to fund child abuse and neglect prevention programs;
   1-21              (3)  establish grant application procedures;
   1-22              (4)  establish funding priorities for child abuse and
   1-23  neglect prevention programs;
   1-24              (5)  establish guidelines relating to grant amounts;
   1-25              (6)  establish guidelines to ensure fair distribution
   1-26  of grants between rural and urban areas of the state;
   1-27              (7)  develop procedures for evaluating grant
   1-28  applications;
   1-29              (8)  review grant proposals submitted to the council
   1-30  and approve or deny those grants;
   1-31              (9)  monitor the expenditure of funds for child abuse
   1-32  and neglect prevention programs;
   1-33              (10)  submit an annual report to the governor and the
   1-34  legislature; and
   1-35              (11)  adopt rules and employ necessary staff to
   1-36  implement this chapter.
   1-37        (b)  The council may:
   1-38              (1)  apply for and receive funds made available by the
   1-39  federal or state government or by another public or private source,
   1-40  which funds may be designated and expended for administrative
   1-41  purposes and <or> for grants for child abuse and neglect prevention
   1-42  programs, and which may be deposited in either the trust fund or
   1-43  the operating fund, as appropriate; and
   1-44              (2)  solicit donations for child abuse prevention
   1-45  programs.
   1-46        SECTION 2.  Section 74.005, Human Resources Code, is amended
   1-47  to read as follows:
   1-48        Sec. 74.005.  Administrative AND OTHER Costs.
   1-49  (a)  Administrative costs during any fiscal year may not exceed an
   1-50  amount equal to 50 percent of the interest credited to <10 percent
   1-51  of the maximum amount of funds the council may transfer from> the
   1-52  trust fund during the preceding <a> fiscal year <under Section
   1-53  74.006(c) or under Section 74.007(b)>.
   1-54        (b)  Funds expended under a special project grant from a
   1-55  nongovernmental source or a governmental source <designated> for
   1-56  public education or public awareness may not be counted as
   1-57  administrative costs for the purposes of this section.
   1-58        SECTION 3.  Section 74.006, Human Resources Code, is amended
   1-59  by amending Subsection (c) and adding Subsection (d) to read as
   1-60  follows:
   1-61        (c)  The council may transfer money contained in the trust
   1-62  fund to the operating fund at any time.  However, during a fiscal
   1-63  year the council may not transfer more than the amount deposited to
   1-64  the credit of the fund from any source, including interest and the
   1-65  amount credited under Section 118.022, Local Government Code,
   1-66  during the preceding <more than 50 percent of the money that was
   1-67  contained in the trust fund on the first day of that> fiscal year.
   1-68  Money <The money> transferred to the operating fund that was
    2-1  originally deposited to the credit of the trust fund under Section
    2-2  118.022, Local Government Code, <under this subsection> may be used
    2-3  only for child abuse and neglect prevention programs.  The council
    2-4  may also transfer funds contained in the operating fund to the
    2-5  trust fund at any time.  <This subsection expires August 31, 1996.>
    2-6        (d)  Interest earned on money in the trust fund shall be
    2-7  deposited to the credit of the trust fund.
    2-8        SECTION 4.  Section 74.007(b), Human Resources Code, is
    2-9  amended to read as follows:
   2-10        (b)  <Beginning September 1, 1996, any interest earned on
   2-11  funds deposited in the trust fund shall be deposited in the
   2-12  operating fund.>  Administrative and other costs allowed in Section
   2-13  74.005 shall be taken from the operating fund.  <Any interest
   2-14  earned before September 1, 1996, shall remain in the trust fund.>
   2-15  The council may also transfer funds contained in the operating fund
   2-16  to the trust fund at any time.
   2-17        SECTION 5.  Section 74.010(b), Human Resources Code, is
   2-18  amended to read as follows:
   2-19        (b)  The council shall award grants that continue for one
   2-20  year.  The council may renew a grant not more than two times unless
   2-21  certain circumstances as determined by the council require an
   2-22  extension of the period.
   2-23        SECTION 6.  This Act takes effect September 1, 1995.
   2-24        SECTION 7.  The importance of this legislation and the
   2-25  crowded condition of the calendars in both houses create an
   2-26  emergency and an imperative public necessity that the
   2-27  constitutional rule requiring bills to be read on three several
   2-28  days in each house be suspended, and this rule is hereby suspended,
   2-29  and that this Act take effect and be in force according to its
   2-30  terms, and it is so enacted.
   2-31                               * * * * *