Amend CSHB 2564 (house committee printing) by striking all below the enacting clause and substituting the following:

SECTION 1.  Section 436.205, Government Code, is amended to read as follows:

Sec. 436.205.  [PANEL:] EVALUATION OF APPLICATION. [(a) The commission shall establish a defense economic adjustment assistance panel composed of at least three and not more than five professional full-time employees of the office of the governor appointed by the director of the commission.

[(b)] The commission [panel] shall evaluate each grant application and assign the applicant a score based on:

(1)  the significance of the adverse or positive effect within the local governmental entity; and

(2)  any other criteria established by the commission.

SECTION 2.  Section 436.206, Government Code, is amended to read as follows:

Sec. 436.206.  MAKING OF GRANT. [The panel shall submit its scores to the commission.] The commission shall use the scores assigned under Section 436.205 to determine whether to make a grant to an applicant. The commission may not make a grant unless the legislature has appropriated the money for the grant.

SECTION 3.  Section 436.001(6), Government Code, is repealed.

SECTION 4.  This Act takes effect September 1, 2025.