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