1-1 By: Rosson S.B. No. 537
1-2 (In the Senate - Filed Feburary 13, 1995; February 14, 1995,
1-3 read first time and referred to Committee on Finance;
1-4 April 11, 1995, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 8, Nays 0; April 11, 1995,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 537 By: Rosson
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the creation of a state match pool to provide the local
1-11 share requirement for a program offering federal matching funds.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Title 7, Government Code, is amended by adding
1-14 Chapter 743 to read as follows:
1-15 CHAPTER 743. MATCHING FUNDS FOR POLITICAL SUBDIVISIONS
1-16 Sec. 743.001. STATE MATCH POOL. The state match pool is an
1-17 account in the general revenue fund that may be used only to
1-18 provide funds for the local share requirement of a program offering
1-19 federal matching funds. The pool is administered by the budget and
1-20 planning division of the governor's office.
1-21 Sec. 743.002. APPLICATION FOR MATCH POOL FUNDS. A political
1-22 subdivision, or a public or private entity in a political
1-23 subdivision, seeking funds for the local share requirement of a
1-24 program offering federal matching funds may make an application to
1-25 the budget and planning division for funds from the state match
1-26 pool. The application must be made on a form prescribed by the
1-27 division.
1-28 Sec. 743.003. CRITERIA FOR MATCH POOL FUNDS. (a) The
1-29 budget and planning division shall grant an application if the
1-30 applicant demonstrates:
1-31 (1) the applicant intends to provide services that
1-32 serve a public purpose;
1-33 (2) federal matching funds are available for the
1-34 services the applicant intends to provide; and
1-35 (3) the applicant qualifies for hardship status, as
1-36 defined by rules adopted by the division.
1-37 (b) The rules adopted must provide that an applicant has
1-38 hardship status if the applicant shows:
1-39 (1) a critical need for the funding and services the
1-40 applicant proposes to provide;
1-41 (2) the political subdivision in which the applicant
1-42 intends to provide services is exercising a significant tax effort;
1-43 and
1-44 (3) two or more of the following conditions apply,
1-45 relative to the state as a whole, to the political subdivision in
1-46 which the applicant intends to provide services:
1-47 (A) high unemployment;
1-48 (B) high poverty;
1-49 (C) low per capita income; or
1-50 (D) low per capita tax yield.
1-51 (c) The budget and planning division may grant any amount
1-52 from the state match pool up to the amount requested.
1-53 Sec. 743.004. CONDITIONS OF GRANT. The budget and planning
1-54 division shall condition the award of money under this chapter on:
1-55 (1) the performance of a specific activity by the
1-56 recipient that serves a public purpose;
1-57 (2) regular reports by the recipient to the division
1-58 on its expenditures of the money in a form prescribed by the
1-59 division;
1-60 (3) to the extent money awarded under this chapter is
1-61 involved, subjecting the transactions of the recipient to audit by
1-62 the state auditor in accordance with Chapter 321; and
1-63 (4) any other conditions the division by rule may
1-64 adopt to ensure the proper expenditure of money awarded under this
1-65 chapter for a specific public purpose.
1-66 Sec. 743.005. LIMITATIONS ON AWARDING GRANTS. During any
1-67 state fiscal year the budget and planning division may not grant an
1-68 award of funds under this chapter for more than two applications
2-1 for funds by any political subdivision. During any state fiscal
2-2 year the budget and planning division may not grant an award of
2-3 funds under this chapter for more than one application for funds by
2-4 any public or private entity other than a political subdivision.
2-5 SECTION 2. This Act takes effect September 1, 1995.
2-6 SECTION 3. The importance of this legislation and the
2-7 crowded condition of the calendars in both houses create an
2-8 emergency and an imperative public necessity that the
2-9 constitutional rule requiring bills to be read on three several
2-10 days in each house be suspended, and this rule is hereby suspended.
2-11 * * * * *