1-1     By:  Patterson                                         S.B. No. 950

 1-2           (In the Senate - Filed March 5, 1997; March 6, 1997, read

 1-3     first time and referred to Committee on State Affairs;

 1-4     March 25, 1997, reported favorably by the following vote:  Yeas 11,

 1-5     Nays 0; March 25, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to assistance for certain airports.

 1-9           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-10           SECTION 1.  Subsection (b), Section 21.105, Transportation

1-11     Code, is amended to read as follows:

1-12           (b)  Before approving a loan or grant, the commission shall

1-13     require that:

1-14                 (1)  the airport or facility remain open to the public

1-15     [in the control of each political subdivision involved] for at

1-16     least 20 years, except for a grant made for the purpose of carrying

1-17     out routine airport maintenance;

1-18                 (2)  the grant recipient [political subdivision]

1-19     disclose the source of all funds for the project and the grant

1-20     recipient's [political subdivision's] ability to finance and

1-21     operate the project;

1-22                 (3)  at least 10 percent of the total project cost be

1-23     provided by sources other than the state; and

1-24                 (4)  the project be adequately planned.

1-25           SECTION 2.  Section 21.114, Transportation Code, is amended

1-26     to read as follows:

1-27           Sec. 21.114.  AGENT FOR FEDERAL FUNDS.  [(a)]  The department

1-28     is the agent of the state, [and of] each political subdivision of

1-29     the state, and each person eligible for federal grant funds for the

1-30     purpose of applying for, receiving, and disbursing federal funds

1-31     for the benefit of a general aviation, reliever, or nonprimary

1-32     commercial service airport under federal law[, including 49 U.S.C.

1-33     Sections 2201-2227].

1-34           [(b)  This section does not apply to a reliever airport.]

1-35           SECTION 3.  Section 22.018, Transportation Code, is amended

1-36     to read as follows:

1-37           Sec. 22.018.  DESIGNATION OF TEXAS DEPARTMENT OF

1-38     TRANSPORTATION AS AGENT IN CONTRACTING AND SUPERVISING.  (a)  A

1-39     local government or a person eligible for federal airport

1-40     improvement grant funds may designate the Texas Department of

1-41     Transportation as its agent in contracting for and supervising the

1-42     planning, acquiring, constructing, improving, equipping,

1-43     maintaining, or operating of an airport or air navigation facility.

1-44           (b)  A local government or a person eligible for federal

1-45     airport improvement grant funds may enter into an agreement with

1-46     the department prescribing the terms of the agency relationship in

1-47     accordance with the terms prescribed by the United States, if

1-48     federal money is involved, and in accordance with the laws of this

1-49     state.

1-50           (c)  The department, in acting as the agent of a local

1-51     government or other person under this section, shall make each

1-52     contract in accordance with the law governing the making of

1-53     contracts by or on behalf of the state.

1-54           SECTION 4.  Section 22.055, Transportation Code, is amended

1-55     to read as follows:

1-56           Sec. 22.055.  FEDERAL AND STATE AID; OTHER GRANTS AND LOANS.

1-57     (a)  A local government or other person, including a public entity,

1-58     may accept, give a receipt for, disburse, and spend money from

1-59     grants and loans for any of the purposes of this chapter.  A local

1-60     government or other person eligible for federal airport improvement

1-61     grant funds must accept and spend federal money under this section

1-62     on the terms prescribed by the United States and consistent with

1-63     state law.  A local government or other public entity must accept

1-64     and spend state money under this section on the terms prescribed by

 2-1     the state.  Unless the agency from which the money is received

 2-2     prescribes otherwise, the chief financial officer of the grant or

 2-3     loan recipient [local government] shall deposit the money in

 2-4     separate funds designated according to the purposes for which the

 2-5     money is made available and shall keep it in trust for those

 2-6     purposes.

 2-7           (b)  A local government or other person eligible for federal

 2-8     airport improvement grant funds may designate the Texas Department

 2-9     of Transportation as its agent to accept, give a receipt for, and

2-10     disburse money from grants and loans for any of the purposes of

2-11     this chapter.  The department shall accept and shall transfer or

2-12     spend federal money accepted under this section on the terms

2-13     prescribed by the United States.  The department shall deposit

2-14     money it receives under this subsection in the state treasury and,

2-15     unless the agency from which the money is received prescribes

2-16     otherwise, shall keep the money in separate funds designated

2-17     according to the purposes for which the money is made available,

2-18     and the state shall hold the money in trust for those purposes.

2-19           SECTION 5.  The importance of this legislation and the

2-20     crowded condition of the calendars in both houses create an

2-21     emergency and an imperative public necessity that the

2-22     constitutional rule requiring bills to be read on three several

2-23     days in each house be suspended, and this rule is hereby suspended,

2-24     and that this Act take effect and be in force from and after its

2-25     passage, and it is so enacted.

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