1-1     By:  Barrientos, et al.                               S.B. No. 1810

 1-2           (In the Senate - Filed March 14, 1997; March 24, 1997, read

 1-3     first time and referred to Committee on Intergovernmental

 1-4     Relations; April 11, 1997, reported adversely, with favorable

 1-5     Committee Substitute by the following vote:  Yeas 11, Nays 0;

 1-6     April 11, 1997, sent to printer.)

 1-7     COMMITTEE SUBSTITUTE FOR S.B. No. 1810                By:  Galloway

 1-8                            A BILL TO BE ENTITLED

 1-9                                   AN ACT

1-10     relating to the creation, operation, and funding of the Texas

1-11     Youthworks Program.

1-12           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-13           SECTION 1.  Chapter 2306, Government Code, is amended by

1-14     adding Subchapter BB to read as follows:

1-15                  SUBCHAPTER BB.  TEXAS YOUTHWORKS PROGRAM

1-16           Sec. 2306.621.  DEFINITION.  In this subchapter, "sustainable

1-17     construction or rehabilitation" means long-lasting,

1-18     energy-efficient construction or rehabilitation that reduces the

1-19     energy costs of conventional construction or rehabilitation by not

1-20     less than 20 percent.

1-21           Sec. 2306.622.  TEXAS YOUTHWORKS PROGRAM.  (a)  The Texas

1-22     Youthworks Program is created in the department to:

1-23                 (1)  promote economic self-sufficiency of disadvantaged

1-24     or at-risk youth by providing the youth with opportunities to

1-25     acquire job skills while performing community service activities;

1-26     and

1-27                 (2)  create opportunities for communities to restore

1-28     abandoned properties and historic areas, enhance public places, and

1-29     increase the availability of affordable, energy-efficient housing

1-30     for individuals and families of low and very low income.

1-31           (b)  The department shall administer the program and may

1-32     employ personnel as necessary to administer the program.

1-33           Sec. 2306.623.  RULES.  The board shall adopt rules as

1-34     necessary to implement the program, including rules for auditing

1-35     and accountability.

1-36           Sec. 2306.624.  FUNDING.  (a)  The program is funded by

1-37     appropriations from the legislature and other available money

1-38     identified by the department or other state agencies.

1-39           (b)  The department may accept gifts, grants, and other

1-40     donations for operation of the program.

1-41           Sec. 2306.625.  GRANTS.  The director may award grants under

1-42     the program to eligible entities for projects that meet the

1-43     requirements of this subchapter.

1-44           Sec. 2306.626.  ELIGIBLE PARTICIPANTS.  (a)  To be eligible

1-45     to receive a grant, an entity must use the grant for a project that

1-46     provides services specified in Section 2306.627 to participants 16

1-47     years of age or older but younger than 24 years of age who are not

1-48     attending high school and have not received a high school diploma

1-49     or high school equivalency certificate or who are attending high

1-50     school or a program leading to a high school equivalency

1-51     certificate but are at risk of dropping out of high school or the

1-52     program.

1-53           (b)  In addition to the requirements of Subsection (a), a

1-54     participant must also be:

1-55                 (1)  a member of a household that receives public

1-56     assistance and earns not more than 80 percent of the area median

1-57     income;

1-58                 (2)  errant or homeless or a potential ward of the

1-59     Texas Department of Criminal Justice or Texas Youth Commission;

1-60                 (3)  referred by another state agency; or

1-61                 (4)  educationally disadvantaged, as defined by board

1-62     rule.

1-63           (c)  The department may authorize an entity to provide

1-64     services to a participant who does not meet the requirements of

 2-1     Subsections (a) and (b).

 2-2           Sec. 2306.627.  SERVICES TO PARTICIPANTS.  (a)  A project for

 2-3     which a grant is received under the program shall provide a

 2-4     participant in the project with:

 2-5                 (1)  integrated job and education training divided

 2-6     between:

 2-7                       (A)  practical, hands-on work experience at

 2-8     project sites; and

 2-9                       (B)  if the participant has not received a high

2-10     school diploma or high school equivalency certificate, academic and

2-11     project-based instruction designed to result in the attainment of a

2-12     high school diploma or high school equivalency certificate;

2-13                 (2)  direct access to counseling and support services,

2-14     including assessment and orientation services, life-skills

2-15     training, peer tutoring, gang prevention techniques, parenting and

2-16     child-care skills, and medical and legal screening and referrals;

2-17                 (3)  direct access to leadership training designed to

2-18     develop ethics, citizenship, personal responsibility, critical

2-19     thinking, and decision-making, problem-solving, and negotiation

2-20     skills;

2-21                 (4)  direct access to assistance in making the

2-22     transition from training to economic self-sufficiency, including

2-23     career counseling, job placement, personal finance, home buyer

2-24     education, and follow-up services;

2-25                 (5)  a training stipend in an amount determined by

2-26     board rule for a period not to exceed two years that is conditioned

2-27     on the participant's demonstrating improved job performance and

2-28     personal responsibility; and

2-29                 (6)  an opportunity to earn scholarship awards for

2-30     college tuition.

2-31           (b)  A stipend provided under Subsection (a)(5) does not

2-32     count as income for purposes of determining the eligibility of the

2-33     participant or the participant's household for any form of public

2-34     assistance.

2-35           Sec. 2306.628.  COMMUNITY BENEFIT.  A project for which a

2-36     grant is received under the program shall provide at least one of

2-37     the following services to a community in which the project is

2-38     located:

2-39                 (1)  acquisition, rehabilitation, or construction of

2-40     energy-efficient, affordable housing for elderly individuals,

2-41     veterans of the United States armed forces, former participants in

2-42     the Peace Corps, VISTA, or AmeriCorps program, or individuals and

2-43     families of low and very low income;

2-44                 (2)  transitional housing for individuals who are

2-45     homeless or who have mental or physical disabilities; or

2-46                 (3)  sustainable construction or rehabilitation in

2-47     low-income neighborhoods of historic properties, community

2-48     facilities, cultural districts, or parks owned by public or

2-49     nonprofit agencies.

2-50           Sec. 2306.629.  ADVISORY BOARD; PARTICIPANT COUNCIL.  An

2-51     entity that is awarded a grant for a project under the program

2-52     shall establish:

2-53                 (1)  an advisory board for the project that includes

2-54     senior staff of the entity operating the project, area employers,

2-55     industrial leaders, and participants in the project; and

2-56                 (2)  a participant council to provide comments and

2-57     suggestions regarding project policies.

2-58           Sec. 2306.630.  GRANT APPLICATION.  (a)  Subject to

2-59     Subsection (b), the following entities may apply to receive a grant

2-60     for an eligible project under this subchapter:

2-61                 (1)  a private, nonprofit, tax-exempt organization

2-62     listed in Section 501(c)(3), Internal Revenue Code of 1986 (26

2-63     U.S.C. Section 501(c)(3));

2-64                 (2)  a public agency that operates a community-based

2-65     youth employment training program;

2-66                 (3)  a community housing development organization

2-67     certified by the state;

2-68                 (4)  an educational facility approved by the Texas

2-69     Youth Commission;

 3-1                 (5)  a corps-based community service organization;

 3-2                 (6)  an open-enrollment charter school approved by the

 3-3     Texas Education Agency; or

 3-4                 (7)  another entity authorized by board rule.

 3-5           (b)  To be eligible to receive a grant, an applicant must

 3-6     demonstrate that the applicant has at least three years of

 3-7     successful experience operating programs that benefit disadvantaged

 3-8     or at-risk youth.

 3-9           (c)  A grant application for a proposed project must be filed

3-10     with the department in a form prescribed by the director.  An

3-11     application must include:

3-12                 (1)  a statement of the amount of money requested;

3-13                 (2)  a description of the proposed project;

3-14                 (3)  a description of the applicant's qualifications,

3-15     including the applicant's experience with youth, law enforcement

3-16     agencies, and educational and community groups;

3-17                 (4)  if applicable, a list of proposed sites for

3-18     construction or rehabilitation of housing or other buildings;

3-19                 (5)  if applicable, a description of proposed

3-20     sustainable construction or rehabilitation activities, including an

3-21     implementation schedule;

3-22                 (6)  a description of the applicant's proposed

3-23     procedures for recruiting and selecting participants in the

3-24     project;

3-25                 (7)  a proposed budget, including procedures for

3-26     auditing and accountability;

3-27                 (8)  if applicable, a description of proposed financing

3-28     for property acquisition, rehabilitation, or construction;

3-29                 (9)  a list of relevant contracts or other arrangements

3-30     between the applicant and public agencies that will facilitate

3-31     implementation of the project;

3-32                 (10)  a list of prospective donations, grants, or

3-33     in-kind contributions for the project that will supplement money

3-34     received through the grant; and

3-35                 (11)  a certification of the applicant's compliance

3-36     with:

3-37                       (A)  state and federal fair housing laws;

3-38                       (B)  the Civil Rights Act of 1964 (42 U.S.C.

3-39     Section 2000a et seq.);

3-40                       (C)  the Americans with Disabilities Act of 1990

3-41     (42 U.S.C. Section 12101 et seq.);

3-42                       (D)  the federal Rehabilitation Act of 1973 (29

3-43     U.S.C. Section 701 et seq.); and

3-44                       (E)  the Age Discrimination in Employment Act of

3-45     1967 (29 U.S.C. Section 621 et seq.).

3-46           (d)  In awarding a grant under the program, the director:

3-47                 (1)  may give preference to an applicant who has

3-48     experience in providing the services proposed to be provided under

3-49     the project; and

3-50                 (2)  shall give preference to an applicant who can

3-51     document the existence of matching contributions from other sources

3-52     and support from local organizations, community leaders, and

3-53     elected officials.

3-54           Sec. 2306.631.  OTHER FUNDING SOURCES REQUIRED.  The

3-55     department may not provide more than 75 percent of the money

3-56     budgeted for a project.

3-57           Sec. 2306.632.  LIMIT ON ADMINISTRATIVE EXPENSE.  Not more

3-58     than 15 percent of the money awarded under the program for a

3-59     project may be used for administrative costs associated with the

3-60     project.

3-61           Sec. 2306.633.  ANNUAL REPORT.  (a)  The director shall

3-62     report to the governor and the legislature at the end of each

3-63     fiscal year on the status of the program.

3-64           (b)  The annual report must include for that fiscal year:

3-65                 (1)  the number of grants awarded;

3-66                 (2)  the total amount of grants awarded;

3-67                 (3)  the geographical distribution of grants awarded;

3-68                 (4)  the number of youth and other persons

3-69     participating in projects funded by grants;

 4-1                 (5)  the number of youth and other persons who secured

 4-2     permanent jobs at the conclusion of participation in projects

 4-3     funded by grants; and

 4-4                 (6)  the number of housing units constructed or

 4-5     rehabilitated through projects funded by grants.

 4-6           SECTION 2.  (a)  A work group is established to assist the

 4-7     Texas Department of Housing and Community Affairs in implementing

 4-8     and promoting the Texas Youthworks Program created by Section

 4-9     2306.622, Government Code, as added by this Act.  Specifically, the

4-10     work group shall:

4-11                 (1)  identify all available state and federal sources

4-12     of funding for the program; and

4-13                 (2)  identify appropriate state programs, services, or

4-14     activities that could be delivered by referring eligible

4-15     individuals to the program.

4-16           (b)  The work group is composed of the chief administrative

4-17     officer, or a person designated by that officer, of each of the

4-18     following agencies:

4-19                 (1)  the Texas Department of Housing and Community

4-20     Affairs;

4-21                 (2)  the Texas Workforce Commission;

4-22                 (3)  the Texas Youth Commission;

4-23                 (4)  the Texas Education Agency;

4-24                 (5)  the Texas Juvenile Probation Commission;

4-25                 (6)  the community justice assistance division of the

4-26     Texas Department of Criminal Justice; and

4-27                 (7)  any other state agency that chooses to participate

4-28     in the work group's activities.

4-29           (c)  A member of the work group designated by a chief

4-30     administrative officer serves at the will of the designating

4-31     officer.

4-32           (d)  The members of the work group shall elect a presiding

4-33     officer and any other necessary officers for the work group.

4-34           (e)  The work group shall meet at the call of the presiding

4-35     officer.

4-36           (f)  A member of the work group receives no compensation for

4-37     serving on the work group.

4-38           (g)  The work group is not subject to Article 6252-33,

4-39     Revised Statutes.

4-40           (h)  The work group shall be formed and shall hold its first

4-41     meeting not later than November 1, 1997.

4-42           (i)  Not later than November 15, 1998, the work group shall:

4-43                 (1)  complete the tasks specified in Subsection (a)  of

4-44     this section; and

4-45                 (2)  submit a report to the legislature containing the

4-46     work group's findings and recommendations for funding and utilizing

4-47     the program.

4-48           (j)  The work group dissolves and this section expires

4-49     September 1, 1999.

4-50           SECTION 3.  If, before implementing any provision of this

4-51     Act, a state agency determines that a waiver or authorization from

4-52     a federal agency is necessary for implementation, the state agency

4-53     shall request the waiver or authorization and may delay

4-54     implementing that provision until the waiver or authorization is

4-55     granted.

4-56           SECTION 4.  This Act takes effect September 1, 1997.

4-57           SECTION 5.  The importance of this legislation and the

4-58     crowded condition of the calendars in both houses create an

4-59     emergency and an imperative public necessity that the

4-60     constitutional rule requiring bills to be read on three several

4-61     days in each house be suspended, and this rule is hereby suspended.

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