By Lucio S.B. No. 1501
77R5751 QS-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the establishment of a colonia self-help program.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 15, Water Code, is amended by adding
1-5 Subchapter O to read as follows:
1-6 SUBCHAPTER O. COLONIA SELF-HELP PROGRAM
1-7 Sec. 15.901. DEFINITIONS. In this subchapter:
1-8 (1) "Account" means the colonia self-help account.
1-9 (2) "Colonia" means a geographic area that:
1-10 (A) is an economically distressed area as
1-11 defined by Section 17.921, Water Code; and
1-12 (B) is located in a county any part of which is
1-13 within 50 miles of an international border.
1-14 (3) "Program" means the colonia self-help program
1-15 established under this subchapter.
1-16 (4) "Self-help project" means a project in which the
1-17 people who will benefit from the project actively participate.
1-18 Sec. 15.902. CREATION OF ACCOUNT. (a) The colonia self-help
1-19 account is an account in the general revenue fund that may be
1-20 appropriated only for the purposes of this subchapter.
1-21 (b) The account consists of:
1-22 (1) money directly appropriated to the board;
1-23 (2) money transferred by the board from any and all
1-24 sources available; and
2-1 (3) interest earned on the investment of money in the
2-2 account.
2-3 Sec. 15.903. USE OF ACCOUNT. (a) The account may be used to
2-4 reimburse eligible nonprofit organizations engaged in self-help
2-5 water, wastewater, and platting projects in the colonias for
2-6 expenses incurred through:
2-7 (1) construction;
2-8 (2) facility planning;
2-9 (3) platting;
2-10 (4) surveying;
2-11 (5) engineering;
2-12 (6) purchasing necessary engineering and construction
2-13 equipment; and
2-14 (7) other appropriate activities, as determined by the
2-15 board.
2-16 (b) The board shall award grants under this subchapter
2-17 directly to the nonprofit organization that applies for the grant
2-18 to reimburse the organization for expenses incurred during a
2-19 self-help water or wastewater project.
2-20 Sec. 15.904. ELIGIBLE NONPROFIT ORGANIZATIONS. To be
2-21 eligible to receive a grant under this subchapter, an organization
2-22 must:
2-23 (1) qualify for an exemption from federal income taxes
2-24 under Section 501(c)(3), Internal Revenue Code of 1986, as amended;
2-25 (2) be working on the date of the grant application on
2-26 a self-help water or wastewater project in a colonia in
2-27 coordination with a local private or public water or wastewater
3-1 provider; and
3-2 (3) have a demonstrated record of managing
3-3 construction of self-help projects in the colonias.
3-4 Sec. 15.905. INITIAL APPLICATION FOR ASSISTANCE. (a) In an
3-5 initial application to the board for financial assistance, the
3-6 applicant shall include:
3-7 (1) the name of the nonprofit organization, the names
3-8 of the organization's principal officers, and verification of the
3-9 organization's 501(c)(3) status;
3-10 (2) a description of the water or wastewater project
3-11 and the aspect of the project for which the financial assistance
3-12 will be used;
3-13 (3) the anticipated participation in the project by
3-14 members of the community;
3-15 (4) the estimated total cost of both the project and
3-16 the aspect of the project for which financial assistance will be
3-17 used;
3-18 (5) the amount of state financial assistance
3-19 requested; and
3-20 (6) any other information the board requires.
3-21 (b) The board shall make a preliminary decision about a
3-22 grant award and notify the applicant not later than the 45th day
3-23 after the date an initial application for assistance is received.
3-24 Sec. 15.906. REPORT; AWARD OF GRANT. (a) To receive a
3-25 grant, a nonprofit organization that receives a favorable
3-26 preliminary decision on a grant request under this subchapter must
3-27 provide a written report to the board not later than the 30th day
4-1 after the date the project, or the aspect of the project for which
4-2 funding was requested, is completed.
4-3 (b) The report must include:
4-4 (1) the project budget;
4-5 (2) proof of the expenditures made to complete the
4-6 project or the aspect of the project for which funding was
4-7 requested; and
4-8 (3) adequate proof of compliance with applicable laws,
4-9 as determined by the board.
4-10 (c) On receipt of the report, and inspection of the project
4-11 determined necessary by the board, the board shall award a grant to
4-12 the nonprofit organization to reimburse the organization for its
4-13 expenditures.
4-14 Sec. 15.907. RULES. The board shall adopt rules necessary to
4-15 administer the program established under this subchapter.
4-16 Sec. 15.908. CO-ADMINISTRATION. The program shall be
4-17 co-administered by the office of the secretary of state until the
4-18 second anniversary of the date on which the program begins
4-19 operations under this subchapter.
4-20 SECTION 2. This Act takes effect immediately if it receives
4-21 a vote of two-thirds of all the members elected to each house, as
4-22 provided by Section 39, Article III, Texas Constitution. If this
4-23 Act does not receive the vote necessary for immediate effect, this
4-24 Act takes effect September 1, 2001.