| |
| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to creating a disadvantaged business assistance program to |
|
|
be operated by the Texas Department of Transportation. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Subchapter I, Chapter 201, Transportation Code, |
|
|
is amended by adding Section 201.7025 to read as follows: |
|
|
Sec. 201.7025. DISADVANTAGED BUSINESS ASSISTANCE PROGRAM. |
|
|
(a) The commission by rule may establish a program for assisting |
|
|
businesses that are identified as disadvantaged businesses under |
|
|
the program established under Section 201.702. |
|
|
(b) The department may establish, as an account in the state |
|
|
highway fund, a revolving fund to provide financing to foster and |
|
|
stimulate the development of the businesses. The revolving fund may |
|
|
be composed of financing application fees, loan repayments, |
|
|
guarantee fees, dividend income, donations, contributions, or |
|
|
money appropriated by the legislature for purposes for which the |
|
|
fund may be used, amounts received by the state from federal grants |
|
|
or other sources, and any other amounts received under this section |
|
|
and required by the department to be deposited in the revolving |
|
|
fund. Interest earned on the money in the revolving fund shall be |
|
|
credited to the revolving fund. |
|
|
(c) Money in the revolving fund established under this |
|
|
section may be used only to provide financing, including loans, to |
|
|
foster and stimulate the development of businesses that are |
|
|
identified as disadvantaged businesses under the program |
|
|
established under Section 201.702 and for the purposes of that |
|
|
program, particularly to help remove barriers to the participation |
|
|
of disadvantaged businesses in department contracts and to assist |
|
|
the development of those businesses so that they can compete |
|
|
successfully in the marketplace without program assistance. |
|
|
(d) Financing from the revolving fund established under |
|
|
this section must be on terms and conditions that the department |
|
|
determines to be reasonable, appropriate, and consistent with the |
|
|
purposes and objectives of this section and the disadvantaged |
|
|
business program established under Section 201.702. |
|
|
(e) The commission shall adopt rules governing the terms and |
|
|
conditions of the financing, specifically including requirements |
|
|
for appropriate security or collateral, equity interest, and the |
|
|
rights and remedies of the department in the event of a default on a |
|
|
loan. The rules must include a requirement that applicants report |
|
|
to the department on the use of money distributed from the fund. |
|
|
(f) A claim of the state for a payment owed to the state |
|
|
under this section by a person who has been provided financing under |
|
|
this section has priority over all other claims against the person. |
|
|
SECTION 2. This Act takes effect immediately if it receives |
|
|
a vote of two-thirds of all the members elected to each house, as |
|
|
provided by Section 39, Article III, Texas Constitution. If this |
|
|
Act does not receive the vote necessary for immediate effect, this |
|
|
Act takes effect September 1, 2013. |