1-1                                   AN ACT
 1-2     relating to the establishment and operation of veterans cemeteries.
 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-4           SECTION 1. Section 164.001(a), Natural Resources Code, is
 1-5     amended to read as follows:
 1-6           (a)  The legislature declares that it is the policy of the
 1-7     state to provide financial assistance to veterans of the state in
 1-8     recognition of their service to this state and the United States
 1-9     and to honor veterans with a final resting place and with lasting
1-10     memorials that commemorate their service.
1-11           SECTION 2. Section 164.002(a), Natural Resources Code, is
1-12     amended by amending Subdivision (7) and adding Subdivision (8) to
1-13     read as follows:
1-14                 (7) "Veterans cemetery" means a burial ground operated
1-15     solely for the burial of veterans and their eligible relatives.
1-16                 (8)  "Veterans home" means a life care facility,
1-17     retirement home, retirement village, home for the aging, or other
1-18     facility that furnishes shelter, food, medical attention, nursing
1-19     services, medical services, social activities, or other personal
1-20     services or attention to veterans.
1-21           SECTION 3. Section 164.003, Natural Resources Code, is
1-22     amended to read as follows:
1-23           Sec. 164.003.  FINANCIAL ASSISTANCE PROGRAMS. The board may
1-24     establish one or more programs for providing financial assistance
 2-1     to veterans under this chapter.  A program may be limited to the
 2-2     purpose of purchasing land, selling land to veterans, making home
 2-3     mortgage loans to veterans, or providing one or more veterans homes
 2-4     or veterans cemeteries.  To the extent a financial assistance
 2-5     program is for the purpose of purchasing land or selling land to
 2-6     veterans, the program shall be administered, to the extent
 2-7     consistent with this chapter and otherwise deemed practicable and
 2-8     desirable by the board, in accordance with the board's Veterans'
 2-9     Land Program.  To the extent a financial assistance program is for
2-10     the purpose of making home mortgage loans to veterans, the program
2-11     shall be administered, to the extent consistent with this chapter
2-12     and otherwise deemed practicable and desirable by the board, in
2-13     accordance with the board's Veterans' Housing Assistance Program.
2-14           SECTION 4. Section 164.004, Natural Resources Code, is
2-15     amended to read as follows:
2-16           Sec. 164.004.  RULES. The board shall adopt rules providing
2-17     for the administration of its financial assistance programs
2-18     established under this chapter, including rules concerning:
2-19                 (1)  the purchasing of land and the selling of land to
2-20     veterans;
2-21                 (2)  the making of home mortgage loans to veterans;
2-22                 (3)  the use of insurance on land and homes as deemed
2-23     appropriate by the board, as further security for land sold or home
2-24     mortgage loans made;
2-25                 (4)  the criteria for approving lending institutions
2-26     participating in programs;
2-27                 (5)  the terms and conditions of a contract made with a
 3-1     lending institution;
 3-2                 (6)  the construction, acquisition, ownership,
 3-3     operation, maintenance, enlargement, improvement, or furnishing or
 3-4     equipping of veterans homes or veterans cemeteries; and
 3-5                 (7)  other matters as the board deems appropriate.
 3-6           SECTION 5. Section 164.005, Natural Resources Code, is
 3-7     amended by amending Subsections (c) and (e) and adding Subsections
 3-8     (f), (g), and (h) to read as follows:
 3-9           (c)  The board may enter into an agreement with any person
3-10     for the management or operation of all or part of a veterans home
3-11     or all or part of a veterans cemetery.  The board may delegate to
3-12     the manager the authority to manage the veterans home or veterans
3-13     cemetery [center] and to employ and discharge employees.
3-14           (e)  On terms and conditions acceptable to it, the board may
3-15     accept and administer gifts, grants, or donations for the support,
3-16     acquisition, construction, operation, enlargement, improvement,
3-17     furnishing, or equipping of veterans homes  or veterans cemeteries
3-18     and may enter into agreements with a nonprofit corporation for the
3-19     solicitation, receipt, and disbursement of the gifts, grants, or
3-20     donations.
3-21           (f)  The board, the chairman of the Texas Veterans
3-22     Commission, and two representatives of the veterans community
3-23     selected by the chairman of the Texas Veterans Commission shall:
3-24                 (1)  establish the guidelines for determining:
3-25                       (A)  the location and size of veterans
3-26     cemeteries; and
3-27                       (B)  the eligibility for burial in a veterans
 4-1     cemetery; and
 4-2                 (2)  select up to seven locations across the state for
 4-3     veterans cemeteries.
 4-4           (g)  In administering any of the board's financial assistance
 4-5     programs relating to veterans cemeteries, the board, or the board
 4-6     in conjunction with other state or federal agencies, may plan and
 4-7     design, operate, maintain, enlarge, or improve veterans cemeteries.
 4-8           (h)  Of the funds available in the veterans' land fund, the
 4-9     veterans' housing assistance fund, and the veterans' housing
4-10     assistance fund II that may be used for veterans cemeteries, the
4-11     board may spend not more than $7 million each fiscal year to plan
4-12     and design, operate, maintain, enlarge, or improve veterans
4-13     cemeteries.  The board may not use funds from the veterans' land
4-14     fund, the veterans' housing assistance fund, or the veterans'
4-15     housing assistance fund II to acquire land to be used for a
4-16     veterans cemetery.
4-17           SECTION 6. Section 164.011(b), Natural Resources Code, is
4-18     amended to read as follows:
4-19           (b)  The board may by resolution provide for the
4-20     establishment, maintenance, and investment of additional funds into
4-21     which the board may deposit revenues from any financial assistance
4-22     program under this chapter that are not pledged to bonds, including
4-23     any gifts, grants, or donations accepted by the board for the
4-24     support, acquisition, construction, operation, enlargement,
4-25     improvement, furnishing, or equipping of veterans homes or veterans
4-26     cemeteries.
4-27           SECTION 7.  This Act shall take effect on the date on which
 5-1     the constitutional amendment proposed by H.J.R. No. 82, 77th
 5-2     Legislature, Regular Session, 2001, or similar legislation takes
 5-3     effect.  If that amendment is not approved by the voters, this Act
 5-4     shall have no effect.  H.B. 310 will not require an appropriation
 5-5     from the general revenue fund.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 310 was passed by the House on April
         11, 2001, by a non-record vote; and that the House concurred in
         Senate amendments to H.B. No. 310 on May 24, 2001, by a non-record
         vote.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 310 was passed by the Senate, with
         amendments, on May 18, 2001, by a viva-voce vote.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  __________________________
                              Date
                    __________________________
                            Governor