Bill Text: TX HB4 | 2013-2014 | 83rd Legislature | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Relating to the administration of the Texas Water Development Board and the funding of water projects by the board and other entities; authorizing the issuance of revenue bonds.

Spectrum: Slight Partisan Bill (Republican 51-17)

Status: (Passed) 2013-05-28 - See remarks for effective date [HB4 Detail]

Download: Texas-2013-HB4-Introduced.html

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83R3722 SMH-D
By: Ritter H.B. No. 4

A BILL TO BE ENTITLED
AN ACT
relating to the creation and funding of the state water
implementation fund for Texas to assist the Texas Water Development
Board in the funding of certain water-related projects.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 15, Water Code, is amended by adding
Subchapter G to read as follows:
SUBCHAPTER G. STATE WATER IMPLEMENTATION FUND FOR TEXAS
Sec. 15.431. DEFINITIONS. In this subchapter:
(1) "Advisory committee" means the State Water
Implementation Fund for Texas Advisory Committee.
(2) "Fund" means the state water implementation fund
for Texas.
Sec. 15.432. STATE WATER IMPLEMENTATION FUND FOR TEXAS.
(a) The state water implementation fund for Texas is a special fund
outside the state treasury to be administered without further
appropriation by the board under this subchapter and rules adopted
by the board under this subchapter.
(b) The fund consists of:
(1) money transferred or deposited to the credit of
the fund by law;
(2) the proceeds of any fee or tax imposed by this
state that the legislature by statute dedicates for deposit to the
credit of the fund;
(3) any other revenue that the legislature by statute
dedicates for deposit to the credit of the fund; and
(4) interest earned on the balance of the fund.
Sec. 15.433. USE OF FUND. (a) The board may use money in
the fund only to provide financing for:
(1) projects included in the state water plan that are
authorized under Subchapter Q or R of this chapter, Subchapter E,
Chapter 16, or Subchapter J or K, Chapter 17, including water
conservation or reuse projects designed to reduce the need for this
state or political subdivisions of this state to develop additional
water resources; or
(2) education projects developed or approved by the
board that are related to the development of water resources, the
conservation of existing water resources, or water reuse.
(b) Not less than 20 percent of the money from the fund used
by the board in any state fiscal biennium must be used to finance
projects described by Subsection (a) for water conservation or
reuse or education.
(c) The board shall undertake to use money from the fund in
an amount sufficient to provide adequate financing for projects
described by Subsection (a) in each regional water planning area in
this state. The board shall prioritize projects in each regional
water planning area for purposes of this subsection.
Sec. 15.434. TRANSFERS TO OTHER ACCOUNTS OR FUNDS. The
board may direct the comptroller to transfer amounts from the fund
to the credit of:
(1) the water infrastructure fund to be used for the
purposes provided by Section 15.433 related to projects included in
the state water plan that are authorized under Subchapter Q;
(2) the rural water assistance fund to be used for the
purposes provided by Section 15.433 related to projects included in
the state water plan that are authorized under Subchapter R;
(3) the Texas Water Development Fund II state
participation account to be used for the purposes provided by
Section 15.433 related to projects included in the state water plan
that are authorized under Subchapter E, Chapter 16;
(4) the agricultural water conservation fund to be
used for the purposes provided by Section 15.433 related to
projects included in the state water plan that are authorized under
Subchapter J, Chapter 17; or
(5) the Texas Water Development Fund II economically
distressed areas program account to be used for the purposes
provided by Section 15.433 related to projects included in the
state water plan that are authorized under Subchapter K, Chapter
17.
Sec. 15.435. ADVISORY COMMITTEE. (a) The State Water
Implementation Fund for Texas Advisory Committee is composed of
members appointed by the speaker of the house of representatives,
the lieutenant governor, and the governor.
(b) The advisory committee shall submit recommendations to
the board regarding the use of money in the fund for use by the board
in adopting rules under Section 15.436.
Sec. 15.436. RULES. (a) The board shall adopt rules
providing for the use of money in the fund consistent with this
subchapter, including rules:
(1) establishing standards for the eligibility of
water conservation and reuse and education projects for financing
under Sections 15.433(a) and (b); and
(2) specifying the manner for prioritizing projects
for purposes of Section 15.433(c).
(b) The board shall give appropriate consideration to the
recommendations of the advisory committee before adopting rules
under this section.
SECTION 2. Section 15.973(b), Water Code, is amended to
read as follows:
(b) The fund consists of:
(1) appropriations from the legislature;
(2) any other fees or sources of revenue that the
legislature may dedicate for deposit to the fund;
(3) repayments of loans made from the fund;
(4) interest earned on money credited to the fund;
(5) depository interest allocable to the fund;
(6) money from gifts, grants, or donations to the
fund;
(7) money from revenue bonds or other sources
designated by the board; [and]
(8) proceeds from the sale of political subdivision
bonds or obligations held in the fund and not otherwise pledged to
the discharge, repayment, or redemption of revenue bonds or other
bonds, the proceeds of which were placed in the fund; and
(9) money transferred from the state water
implementation fund for Texas as authorized by Section 15.434.
SECTION 3. Section 15.993, Water Code, is amended to read as
follows:
Sec. 15.993. FUND. The rural water assistance fund is a
special fund in the state treasury. The fund consists of:
(1) money directly appropriated to the board for a
purpose of the fund;
(2) repayment of principal and interest from loans
made from the fund not otherwise needed as a source of revenue
pursuant to Section 17.9615(b);
(3) money transferred by the board from any sources
available;
(4) interest earned on the investment of money in the
fund and depository interest allocable to the fund;
(5) money transferred to the fund from the water
assistance fund in accordance with Section 15.011(b), including
proceeds from the sale of political subdivision bonds by the board
to the Texas Water Resources Finance Authority that are deposited
in the water assistance fund as provided by Section 17.0871;
(6) money from gifts, grants, or donations to the
fund;
(6-a) money transferred from the state water
implementation fund for Texas as authorized by Section 15.434; and
(7) any other fees or sources of revenue that the
legislature may dedicate for deposit to the fund.
SECTION 4. Section 17.895, Water Code, is amended to read as
follows:
Sec. 17.895. SOURCES OF ASSETS. The fund is composed of:
(1) money and assets, including bond proceeds,
attributable to the bonds;
(2) investment income earned on money on deposit in
the fund and depository interest earned on money on deposit in the
state treasury;
(3) money appropriated by the legislature;
(4) repayments of principal and interest on loans made
under this subchapter;
(5) administrative fees charged by the board under the
bond program;
(5-a) money transferred from the state water
implementation fund for Texas as authorized by Section 15.434; and
(6) any other funds, regardless of their source, that
the board directs be deposited to the credit of the fund.
SECTION 5. Section 17.957(b), Water Code, is amended to
read as follows:
(b) The state participation account is composed of:
(1) money and assets attributable to water financial
assistance bonds designated by the board as issued for projects
described in Section 16.131;
(2) money from the sale, transfer, or lease of a
project described in Subdivision (1) that was acquired,
constructed, reconstructed, developed, or enlarged with money from
the state participation account;
(3) payments received under a bond enhancement
agreement with respect to water financial assistance bonds
designated by the board as issued for projects described in Section
16.131;
(4) investment income earned on money on deposit in
the state participation account;
(4-a) money transferred from the state water
implementation fund for Texas as authorized by Section 15.434; and
(5) any other funds, regardless of their source, that
the board directs be deposited to the credit of the state
participation account.
SECTION 6. Section 17.958(b), Water Code, is amended to
read as follows:
(b) The economically distressed areas program account is
composed of:
(1) money and assets attributable to water financial
assistance bonds designated by the board as issued for projects
described in Subchapter K;
(2) money provided by the federal government, the
state, political subdivisions, and private entities for the purpose
of paying debt service on water financial assistance bonds issued
for purposes provided by Subchapter K;
(3) payments received under a bond enhancement
agreement with respect to water financial assistance bonds
designated by the board as issued for purposes provided by
Subchapter K;
(4) investment income earned on money on deposit in
the economically distressed areas program account;
(4-a) money transferred from the state water
implementation fund for Texas as authorized by Section 15.434; and
(5) any other funds, regardless of their source, that
the board directs be deposited to the credit of the economically
distressed areas program account.
SECTION 7. As soon as practicable after the effective date
of this Act, the speaker of the house of representatives, the
lieutenant governor, and the governor shall appoint the initial
members of the State Water Implementation Fund for Texas Advisory
Committee created under Section 15.435, Water Code, as added by
this Act.
SECTION 8. Not later than December 1, 2013, the Texas Water
Development Board shall adopt rules under Section 15.436, Water
Code, as added by this Act.
SECTION 9. This Act takes effect September 1, 2013.