By Lucio S.B. No. 1508 77R3701 KKA-D A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the public education facilities assistance fund. 1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-4 SECTION 1. Subtitle I, Title 2, Education Code, is amended 1-5 by adding Chapter 47 to read as follows: 1-6 CHAPTER 47. PUBLIC EDUCATION FACILITIES ASSISTANCE FUND 1-7 Sec. 47.001. DEFINITIONS. In this chapter: 1-8 (1) "Fund" means the public education facilities 1-9 assistance fund created under Section 3a, Article VII, Texas 1-10 Constitution. 1-11 (2) "Instructional facility" has the meaning assigned 1-12 by Section 46.001. 1-13 Sec. 47.002. FUND. (a) The fund consists of amounts 1-14 transferred under Section 3a, Article VII, Texas Constitution, 1-15 gifts or grants accepted by the commissioner under Subsection (d), 1-16 and interest, dividends, and other income earned from the 1-17 investment of the fund. 1-18 (b) Distributions from the fund may be made without 1-19 appropriation in the manner provided by this chapter and Section 1-20 3a, Article VII, Texas Constitution, and may be used only for the 1-21 purposes stated in that section. 1-22 (c) The commissioner shall administer the fund and shall 1-23 provide for investment of the fund in the same manner as the 1-24 permanent school fund. The commissioner may pay reasonable 2-1 administrative expenses from the income of the fund, not to exceed 2-2 an amount authorized by the General Appropriations Act. 2-3 (d) The commissioner shall solicit and may accept gifts or 2-4 grants from any public or private source for the fund. 2-5 Sec. 47.003. FINANCIAL ASSISTANCE. (a) The commissioner by 2-6 rule shall establish a grant program to assist school districts in 2-7 the acquisition of land, improvements to land, and capital 2-8 equipment for instructional purposes. Grants may be provided for: 2-9 (1) the purchase and equipment of instructional 2-10 facilities that complied with the requirements of Subchapter A, 2-11 Chapter 46, but did not receive state assistance under that 2-12 subchapter; 2-13 (2) small improvements to instructional facilities for 2-14 which the issuance of debt that could qualify for state assistance 2-15 under Subchapter A, Chapter 46, is impracticable; 2-16 (3) renovation or replacement of an instructional 2-17 facility due to fire, natural disaster, or other unanticipated 2-18 occurrence; 2-19 (4) costs of temporary facilities made necessary by 2-20 loss of an instructional facility due to fire, natural disaster, or 2-21 other unanticipated occurrence; and 2-22 (5) other significant instructional facilities needs, 2-23 as determined by commissioner rule. 2-24 (b) The commissioner, in determining the amount and award of 2-25 a grant under this section, shall consider: 2-26 (1) the property wealth per student of the school 2-27 district; 3-1 (2) the condition of the district's instructional 3-2 facilities; 3-3 (3) the rate of growth of the district during the 3-4 preceding five school years; and 3-5 (4) if applicable, the availability of insurance or 3-6 other funds to apply to instructional facilities lost or damaged by 3-7 fire, natural disaster, or other unanticipated occurrence. 3-8 (c) The commissioner may require a local commitment of funds 3-9 as a condition of a grant under this section. 3-10 (d) The commissioner shall develop an application process 3-11 that allows qualifying school districts to apply for assistance for 3-12 the same project under both this section and Subchapter A, Chapter 3-13 46. 3-14 (e) From amounts available for distribution from the fund, 3-15 the comptroller shall distribute to school districts amounts from 3-16 the fund in accordance with grants awarded by the commissioner. 3-17 SECTION 2. (a) This Act takes effect on January 1, 2002, 3-18 but only if the constitutional amendment creating the public 3-19 education facilities assistance fund is approved by the voters. If 3-20 that amendment is not approved by the voters, this Act has no 3-21 effect. 3-22 (b) If this Act takes effect under Subsection (a) of this 3-23 section, the commissioner of education shall adopt the rules 3-24 required by Section 47.003, Education Code, as added by this Act, 3-25 not later than September 1, 2002.