SRC-VRA C.S.S.B. 446 78(R)BILL ANALYSIS


Senate Research Center
78R7945 MCK-DC.S.S.B. 446
By: Madla
Intergovernmental Relations
3/5/2003
Committee Report (Substituted)


DIGEST AND PURPOSE 

The Office of Rural Community Affairs provides grant writing and grant
compliance assistance to rural communities, hospitals, schools, or health
care providers who are attempting to find funding for a variety of
projects.  During the 77th Legislature, the Rural Foundation was created
as a non-profit foundation because some grants prohibit a governmental
entity from receiving grant money.  However, due to a drafting error it
was unclear whether the foundation could apply for and administer grants
relating only to health care entities or for other entities as the bill
intended.  The  attorney general has ruled that the foundation is
currently authorized only to work with health care grants.  C.S.S.B. 446
would clarify that the Rural Foundation may apply for grants for economic
development programs in rural areas of the state. 

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 110.001, Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, to
require the Office of Rural Community Affairs rather than the Center for
Rural Health Initiatives, to establish the Rural Foundation.  Makes a
conforming change. 

SECTION 2.  Amends Sections 110.002(a) and (c), Health and Safety Code, as
added by Chapter 1221, Acts of the 77th Legislature, Regular Session,
2001, as follows:   

(a) Requires the Rural Foundation to raise money from foundations,
governmental entities, and other sources to finance health, community, and
economic development programs in the rural areas of the state.  

  (c)  Makes a conforming change.

SECTION 3.  Amends Section 110.003(a), Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, to make
conforming changes. 

SECTION 4.  Amends Section 110.004(b), Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, is
amended to provide that a person who is an officer, employee, or paid
consultant of a Texas trade association that is in the field of health
care or that contracts with the foundation may not be a member of the
board of directors of the Rural Foundation and may not be a foundation
employee employed in a "bona fide executive, administrative, or
professional capacity." Makes a conforming change. 

SECTION 5.  Amends Section 110.005(c), Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, to make
a conforming change. 

SECTION 6.  Amends Section 110.010, Health and Safety Code, as added by
Chapter 1221, Acts of  the 77th Legislature, Regular Session, 2001, to
make conforming changes. 

SECTION 7.  Amends Section 110.011(a), Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, to make
a conforming change. 

SECTION 8.  Amends Section 110.012, Health and Safety Code, as added by
Chapter 1221, Acts of the 77th Legislature, Regular Session, 2001, to make
conforming changes. 

SECTION 9.  Effective date:  September 1, 2003.
  
   



SUMMARY OF COMMITTEE CHANGES

SECTION 2.  Differs from the As Filed version by adding "community" to the
list of development programs in Section 110.002 (a), Health and Safety
Code,  that the Rural Foundation is required to finance in the rural areas
of the state.