By Armbrister                                          S.B. No. 219
       74R2183 JJT-F
                                 A BILL TO BE ENTITLED
    1-1                                AN ACT
    1-2  relating to community assistance and economic development program
    1-3  activities of certain river authorities; validating certain actions
    1-4  and instruments of the river authorities.
    1-5        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-6        SECTION 1.  Section 3, Chapter 245, Acts of the 67th
    1-7  Legislature, Regular Session, 1981 (Article 717p, Vernon's Texas
    1-8  Civil Statutes), as added by Section 2, Chapter 1140, Acts of the
    1-9  71st Legislature, Regular Session, 1989, is amended to read as
   1-10  follows:
   1-11        Sec. 3.  (a)  Any river authority which is engaged in the
   1-12  distribution and sale of electric energy to the public may sponsor
   1-13  and participate in an economic development program intended to
   1-14  strengthen the economic base and further the economic development
   1-15  of the state.  The program may be within or outside the areas the
   1-16  authority serves.
   1-17        (b)  Each program must be established by formal action of the
   1-18  governing body of the river authority.  The governing body of the
   1-19  river authority shall:
   1-20              (1)  establish the goals of the program;
   1-21              (2)  impose requirements on persons participating in
   1-22  and receiving the benefits of the program; and
   1-23              (3)  provide restrictions, procedures, and budget
   1-24  limits the governing body determines are necessary to ensure that
    2-1  the governmental purposes of this section and the program are
    2-2  achieved.
    2-3        (c)  A program under this section may involve grants or loans
    2-4  of money, services, or equipment to a person engaged in an economic
    2-5  development activity, including a public fire-fighting
    2-6  organization, governmental body, nonprofit corporation, local or
    2-7  regional development council, or other nonprofit or noncommercial
    2-8  organization.  The river authority may provide assistance to a
    2-9  for-profit entity if the assistance is necessary or appropriate to
   2-10  carry out an economic development program consistent with the
   2-11  purposes of this section.
   2-12        (d)  The river authority may employ staff and expend its
   2-13  resources to further an economic development program except the
   2-14  river authority may not use money received from an ad valorem tax
   2-15  or a general appropriation to further a program.  The river
   2-16  authority may apply for and receive money, grants, or other
   2-17  assistance from any source to carry out an economic development
   2-18  program under this section.
   2-19        (e)  The river authority and any other public or private
   2-20  person may enter an agreement with respect to an economic
   2-21  development program.
   2-22        (f)  A river authority that provides scholarships, grants,
   2-23  loans, or financial assistance to a public fire-fighting
   2-24  organization shall adopt guidelines for the determination of:
   2-25              (1)  eligibility for the assistance;
   2-26              (2)  the amount of loans, grants, or other assistance
   2-27  the river authority may make available to a fire-fighting
    3-1  organization; and
    3-2              (3)  the types of equipment, education, or training for
    3-3  which the assistance may be used.
    3-4        (g)  A determination by the governing body of the river
    3-5  authority that a program is intended and expected to carry out the
    3-6  program's stated purposes is conclusive with respect to whether the
    3-7  purposes of this section are satisfied.
    3-8        (h)  In this section, an economic development program
    3-9  includes a community assistance program, privatization program, or
   3-10  any other program designed to:
   3-11              (1)  encourage economic diversification;
   3-12              (2)  maintain or expand employment;
   3-13              (3)  train persons;
   3-14              (4)  eliminate conditions detrimental to the public
   3-15  health, safety, or welfare;
   3-16              (5)  improve the quality or quantity of services
   3-17  essential for the development of viable communities and economic
   3-18  growth, including services related to:
   3-19                    (A)  education;
   3-20                    (B)  transportation;
   3-21                    (C)  public safety;
   3-22                    (D)  recreation; or
   3-23                    (E)  health care; or
   3-24              (6)  contribute to the health and development of a
   3-25  community to improve the attractiveness of the community to public
   3-26  and private enterprises <employ staff and expend resources to
   3-27  encourage economic development>.
    4-1        SECTION 2.  The legislature finds that the economic
    4-2  development programs authorized by Section 3, Chapter 245, Acts of
    4-3  the 67th Legislature, Regular Session, 1981 (Article 717p, Vernon's
    4-4  Texas Civil Statutes), as amended by this Act, are a specific
    4-5  public purpose and governmental function of the specified river
    4-6  authorities in accordance with:
    4-7              (1)  Section 52-a, Article III, Texas Constitution; and
    4-8              (2)  to the extent that the programs provide assistance
    4-9  to public fire-fighting organizations, Section 51-a-1, Article III,
   4-10  Texas Constitution.
   4-11        SECTION 3.  All proceedings, governmental acts, resolutions,
   4-12  orders, bonds, contracts, and instruments relating to economic
   4-13  development programs, as defined by Section 3, Chapter 245, Acts of
   4-14  the 67th Legislature, Regular Session, 1981 (Article 717p, Vernon's
   4-15  Texas Civil Statutes), as amended by this Act, of a river authority
   4-16  engaged in the distribution and sale of electric energy to the
   4-17  public that were adopted, approved, executed, issued, or ratified
   4-18  by the river authority before the effective date of this Act are
   4-19  validated, ratified, approved, and confirmed.
   4-20        SECTION 4.  The importance of this legislation and the
   4-21  crowded condition of the calendars in both houses create an
   4-22  emergency and an imperative public necessity that the
   4-23  constitutional rule requiring bills to be read on three several
   4-24  days in each house be suspended, and this rule is hereby suspended,
   4-25  and that this Act take effect and be in force from and after its
   4-26  passage, and it is so enacted.