Amend CSHB 2730 (house committee report) by adding the 
following appropriately numbered article to the bill and 
renumbering subsequent articles of the bill accordingly:

ARTICLE ____.  GRANTS FOR HOMELAND SECURITY AND BORDER SECURITY 
PURPOSES
	SECTION ____.01.  Subchapter A, Chapter 411, Government 
Code, is amended by adding Section 411.0133 to read as follows:
	Sec. 411.0133.  HOMELAND SECURITY AND BORDER SECURITY 
GRANTS.  (a)  Notwithstanding any other law, including Section 
772.006, the department is the only entity of state government that 
may select the recipient of state or federal funds granted by the 
state for homeland security or border security purposes.
	(b)  Another state entity with state or federal funds to be 
granted for homeland security or border security purposes shall:
		(1)  remit the funds to the department, which shall 
administer the grant; or
		(2)  notify the department and award the grant to the 
person selected by the department.
	(c)  The department by rule shall adopt a formula for 
selecting the recipients of grants for homeland security and border 
security purposes. The formula must fully consider the needs of the 
communities or entities applying for the grants and must give 
emphasis to:
		(1)  the quality of homeland security or border 
security information collected by applicants;
		(2)  the number of suspects with authority in a 
criminal enterprise apprehended by the applicants; and
		(3)  the amount of illegal substances, contraband 
currency, and ammunition and number of firearms and stolen vehicles 
seized by the applicants.
	(d)  The department may not award a grant using a method 
other than the formula under Subsection (c).
	(e)  Not later than December 1 of each year, the department 
shall submit a report to the governor, lieutenant governor, speaker 
of the house of representatives, and members of the legislature 
regarding the department's activities under this section during the 
preceding state fiscal year.
	SECTION ____.02.  Sections 421.0025(b) and (c), Government 
Code, are amended to read as follows:
	(b)  The Border Security Council shall develop and recommend 
to the Department of Public Safety of the State of Texas [office of 
the governor] performance standards, reporting requirements, audit 
methods, and other procedures to ensure that funds allocated by the 
department [office of the governor] for purposes related to 
security at or near this state's international border are used 
properly and that the recipients of the funds are accountable for 
the proper use of the funds.
	(c)  The Border Security Council shall advise the Department 
of Public Safety of the State of Texas [office of the governor] 
regarding the allocation of funds by the department [office] for 
purposes related to security at or near this state's international 
border.  Recommendations relating to the allocation of those funds 
must be made by a majority of the members of the council.
	SECTION ____.03.  The heading to Subchapter D, Chapter 421, 
Government Code, is amended to read as follows:

SUBCHAPTER D.  COOPERATION AND ASSISTANCE[; FUNDING]
	SECTION ____.04.  Section 421.072, Government Code, is 
repealed.             
	SECTION ____.05.  This article takes effect September 1, 
2009.