S.B. No. 1509 AN ACT 1-1 relating to the establishment of colonia self-help centers in 1-2 certain counties. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Chapter 2306, Government Code, is amended by 1-5 adding Subchapter Z to read as follows: 1-6 SUBCHAPTER Z. COLONIA SELF-HELP CENTERS 1-7 Sec. 2306.581. DEFINITION. In this subchapter: 1-8 (1) "Colonia" means a geographic area located in a 1-9 county some part of which is within 150 miles of the international 1-10 border of this state and that: 1-11 (A) has a majority population composed of 1-12 individuals and families of low income and very low income, based 1-13 on the federal Office of Management and Budget poverty index, and 1-14 meets the qualifications of an economically distressed area under 1-15 Section 17.921, Water Code; or 1-16 (B) has the physical and economic 1-17 characteristics of a colonia, as determined by the department. 1-18 (2) "Community action agency" means a political 1-19 subdivision, combination of political subdivisions, or nonprofit 1-20 organization that qualifies as an eligible entity under 42 U.S.C. 1-21 Section 9902. 1-22 Sec. 2306.582. COLONIA SELF-HELP CENTERS: ESTABLISHMENT. 1-23 (a) The department shall establish colonia self-help centers in El 1-24 Paso, Hidalgo, Starr, and Webb counties, and in Cameron County to 2-1 serve Cameron and Willacy counties. If the department determines 2-2 it necessary and appropriate, the department may establish a 2-3 self-help center in any other county if the county is designated as 2-4 an economically distressed area under Chapter 17, Water Code, for 2-5 purposes of eligibility to receive funds from the Texas Water 2-6 Development Board. 2-7 (b) The department shall attempt to secure contributions, 2-8 services, facilities, or operating support from the commissioners 2-9 court of the county in which the self-help center is located to 2-10 support the operation of the self-help center. 2-11 Sec. 2306.583. SELF-HELP CENTERS: DESIGNATION. (a) The 2-12 department shall designate: 2-13 (1) a geographic area for the services provided by 2-14 each self-help center; and 2-15 (2) five colonias in each service area to receive 2-16 concentrated attention from that center. 2-17 (b) The department may change the designation of colonias 2-18 made under Subsection (a)(2). 2-19 Sec. 2306.584. COLONIA ADVISORY COMMITTEE. (a) The 2-20 department shall appoint not fewer than five persons who are 2-21 residents of colonias to serve on an advisory committee. The 2-22 members of the advisory committee shall be selected from lists of 2-23 candidates submitted to the department by local nonprofit 2-24 organizations and the commissioners court of a county in which a 2-25 self-help center is located. 2-26 (b) The department shall appoint one committee member to 2-27 represent each of the counties in which self-help centers are 3-1 located. Each committee member: 3-2 (1) must be a resident of a colonia in the county the 3-3 member represents; and 3-4 (2) may not be a board member, contractor, or employee 3-5 of or have any ownership interest in an entity that is awarded a 3-6 contract under this subchapter. 3-7 Sec. 2306.585. DUTIES OF COMMITTEE. (a) The committee 3-8 shall advise the department regarding: 3-9 (1) the needs of colonia residents; 3-10 (2) appropriate and effective programs that are 3-11 proposed or are operated through the self-help centers; and 3-12 (3) activities that may be undertaken through the 3-13 self-help centers to better serve the needs of colonia residents. 3-14 (b) The committee shall meet before the 30th day preceding 3-15 the date on which a contract is scheduled to be awarded for the 3-16 operation of a self-help center and may meet at other times. 3-17 Sec. 2306.586. SELF-HELP CENTER: PURPOSE AND SERVICES. 3-18 (a) The purpose of a self-help center is to assist individuals and 3-19 families of low income and very low income to finance, refinance, 3-20 construct, improve, or maintain a safe, suitable home in the 3-21 colonias' designated service area or in another area the department 3-22 has determined is suitable. 3-23 (b) A self-help center shall set a goal to improve the 3-24 living conditions of residents in the colonias designated under 3-25 Section 2306.583(a)(2) within a two-year period after a contract is 3-26 awarded under this subchapter. 3-27 (c) A self-help center may serve individuals and families of 4-1 low income and very low income by: 4-2 (1) providing assistance in obtaining loans or grants 4-3 to build a home; 4-4 (2) teaching construction skills necessary to repair 4-5 or build a home; 4-6 (3) providing model home plans; 4-7 (4) operating a program to rent or provide tools for 4-8 home construction and improvement for the benefit of property 4-9 owners in colonias who are building or repairing a residence or 4-10 installing necessary residential infrastructure; 4-11 (5) helping to obtain, construct, access, or improve 4-12 the service and utility infrastructure designed to service 4-13 residences in a colonia, including potable water, wastewater 4-14 disposal, drainage, streets, and utilities; 4-15 (6) surveying or platting residential property that an 4-16 individual purchased without the benefit of a legal survey, plat, 4-17 or record; 4-18 (7) providing credit and debt counseling related to 4-19 home purchase and finance; 4-20 (8) applying for grants and loans to provide housing 4-21 and other needed community improvements; 4-22 (9) providing other services that the self-help 4-23 center, with the approval of the department, determines are 4-24 necessary to assist colonia residents in improving their physical 4-25 living conditions, including help in obtaining suitable alternative 4-26 housing outside of a colonia's area; and 4-27 (10) providing assistance in obtaining loans or grants 5-1 to enable an individual or a family to acquire fee simple title to 5-2 property that originally was purchased under a contract for a deed, 5-3 contract for sale, or other executory contract. 5-4 (d) A self-help center may not provide grants, financing, or 5-5 mortgage loan services to purchase, build, rehabilitate, or finance 5-6 construction or improvements to a home in a colonia if water 5-7 service and suitable wastewater disposal are not available. 5-8 Sec. 2306.587. OPERATION OF SELF-HELP CENTER. (a) The 5-9 department shall contract for the operation of a self-help center 5-10 with a local nonprofit organization, local community action agency, 5-11 or local housing authority that has demonstrated the ability to 5-12 carry out the functions of a self-help center under this 5-13 subchapter. 5-14 (b) The department and the self-help centers may apply for 5-15 and receive public or private gifts or grants to enable the centers 5-16 to achieve their purpose. 5-17 Sec. 2306.588. DEPARTMENT LIAISON TO SELF-HELP CENTERS. 5-18 (a) The department shall designate appropriate staff in the 5-19 department to act as liaison to the self-help centers to assist the 5-20 centers in obtaining funding to enable the centers to carry out the 5-21 centers' programs. 5-22 (b) The department shall make a reasonable effort to secure 5-23 an adequate level of funding to provide the self-help centers with 5-24 funds for low-interest mortgage financing, grants for self-help 5-25 programs, a revolving loan fund for septic tanks, a tool-lending 5-26 program, and other activities the department determines are 5-27 necessary. 6-1 Sec. 2306.589. COLONIA SET-ASIDE FUND. (a) The department 6-2 shall establish a fund in the department designated as the colonia 6-3 set-aside fund. 6-4 (b) The department may use money in the colonia set-aside 6-5 fund for specific activities that assist colonias, including: 6-6 (1) the operation and activities of the self-help 6-7 centers established under this subchapter; or 6-8 (2) reimbursement of colonia advisory committee 6-9 members for their reasonable expenses in the manner provided by 6-10 Article 6252-33, Revised Statutes, or the General Appropriations 6-11 Act. 6-12 (c) The department may review and approve an application for 6-13 funding from the colonia set-aside fund that advances the policy 6-14 and goals of the state in addressing problems in the colonias. 6-15 SECTION 2. This Act takes effect September 1, 1995. 6-16 SECTION 3. The importance of this legislation and the 6-17 crowded condition of the calendars in both houses create an 6-18 emergency and an imperative public necessity that the 6-19 constitutional rule requiring bills to be read on three several 6-20 days in each house be suspended, and this rule is hereby suspended.