Amend HB 2340 as follows:                                                    

(1)  On page 1, line 7, strike "Section 436.1531" and 	substitute "Sections 436.1531 and 436.1532".
	(2)  On page 3, between lines 1 and 2, insert:                                 
	Sec. 436.1532.  LOANS FOR COMMUNITIES POSITIVELY AFFECTED BY 
DEFENSE BASE RESTRUCTURING.  (a)  The commission may provide a 
loan of financial assistance to a defense community for an 
infrastructure project to accommodate new or expanded military 
missions assigned to a military facility located in, near, or 
adjacent to the defense community as a result of the United States 
Department of Defense base realignment process.  The loan shall be 
made from the Texas military value revolving loan account 
established under Section 436.156.
	(b)  On receiving an application for a loan under this 
section, the commission shall evaluate the infrastructure project 
to determine how the project will assist the defense community in 
accommodating the new or expanded military missions that are 
assigned to the military facility.
	(c)  If the commission determines that the project will 
assist the defense community in accommodating the new or expanded 
military missions that are assigned to the military facility, the 
commission shall:
		(1)  analyze the creditworthiness of the defense 
community to determine the defense community's ability to repay the 
loan; and
		(2)  evaluate the feasibility of the project to be 
financed to ensure that the defense community has pledged a source 
of revenue or taxes sufficient to repay the loan for the project.
	(d)  If the commission determines that the funds will be used 
to finance an infrastructure project to accommodate new or expanded 
military missions assigned to the military facility located in, 
near, or adjacent to the defense community and that the project is 
financially feasible, the commission may award a loan to the 
defense community for the project.  The commission shall enter into 
a written agreement with a defense community that is awarded a loan.  
The agreement must contain the terms and conditions of the loan, 
including the loan repayment requirements.
	(e)  The commission shall notify the Texas Public Finance 
Authority of the amount of the loan and the recipient of the loan 
and request the authority to issue general obligation bonds in an 
amount necessary to fund the loan.  The commission and the authority 
shall determine the amount and time of a bond issue to best provide 
funds for one or multiple loans.
	(f)  The commission shall administer the loans to ensure full 
repayment of the general obligation bonds issued to finance the 
project.
	(g)  A project financed with a loan under this section must 
be completed on or before the fifth anniversary of the date the loan 
is awarded.
	(h)  The amount of a loan under this section may not exceed 
the total cost of the project.
	(3)  On page 4, line 5, strike "or" and substitute "[or]".    
	(4)  On page 4, line 8, between "community" and the period, 
insert the following:

; or                                                                   
		(5)  a defense base development authority created under 
Chapter 379B, Local Government Code
	(5)  Add the following appropriately numbered SECTION to the 
bill and renumber the remaining SECTIONS of the bill as 
appropriate:
	SECTION 6.  Subchapter A, Chapter 486, Government Code, is 
amended by adding Section 486.010 to read as follows:
	Sec. 486.010.  DEFENSE-DEPENDENT COMMUNITY WITH MORE THAN 
ONE MILITARY FACILITY.  For purposes of the preference for 
adversely affected defense-dependent communities under Section 
486.002(b), a defense-dependent community that contains or is near 
more than one military facility is considered an adversely affected 
defense-dependent community if the local governmental entity is 
applying for a grant under this subchapter for a project relating to 
the military facility that is closed or whose operations are 
significantly reduced.