Bill Text: TX SB2503 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to the use of money in the Texas infrastructure resiliency fund to finance projects related to natural disaster relief.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-23 - Referred to Water, Agriculture, & Rural Affairs [SB2503 Detail]
Download: Texas-2023-SB2503-Introduced.html
88R10893 KBB-D | ||
By: Alvarado | S.B. No. 2503 |
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relating to the use of money in the Texas infrastructure resiliency | ||
fund to finance projects related to natural disaster relief. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. The heading to Subchapter L, Chapter 16, Water | ||
Code, is amended to read as follows: | ||
SUBCHAPTER L. FLOOD PROJECT AND OTHER NATURAL DISASTER RELIEF | ||
PROJECT FUNDING | ||
SECTION 2. Section 16.451, Water Code, is amended by adding | ||
Subdivision (3-a) to read as follows: | ||
(3-a) "Natural disaster relief project" means a | ||
project to mitigate the effects of a natural disaster other than | ||
flooding. The term includes a project to prevent future damage from | ||
a natural disaster other than a flood. | ||
SECTION 3. Section 16.454, Water Code, is amended to read as | ||
follows: | ||
Sec. 16.454. NATURAL DISASTER RECOVERY [ |
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ACCOUNT. (a) The natural disaster recovery [ |
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account is an account in the resiliency fund. | ||
(b) To the extent allowed by federal law, the [ |
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may use the account only to provide money [ |
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Division of Emergency Management for the division to provide | ||
financing for projects related to damage caused by natural | ||
disasters [ |
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federal restrictions on the purposes for which the money may be | ||
spent may be used only for those purposes. Financing under this | ||
section includes making a: | ||
(1) grant to an eligible political subdivision to | ||
provide nonfederal matching funds to enable the subdivision to | ||
participate in a federal program for the participation in or | ||
development of: | ||
(A) a hazard mitigation project, under | ||
guidelines issued by the Federal Emergency Management Agency or the | ||
Texas Division of Emergency Management or the successor in function | ||
to those entities; | ||
(B) a public assistance project, under | ||
guidelines issued by the Federal Emergency Management Agency or the | ||
Texas Division of Emergency Management or the successor in function | ||
to those entities; or | ||
(C) assistance under guidelines issued by the | ||
Natural Resources Conservation Service, the United States Economic | ||
Development Administration, or the United States Department of | ||
Housing and Urban Development, or the successor in function to | ||
those entities; and | ||
(2) loan to an eligible political subdivision at or | ||
below market interest rates for the political subdivision's | ||
planning or design costs, permitting costs, construction costs, or | ||
other costs associated with state or federal regulatory activities | ||
with respect to a natural disaster relief project or flood project. | ||
(c) A grant or loan awarded under this section may not | ||
provide more than 75 percent of the portion of the cost of the | ||
project that is paid with money other than money from a federal | ||
program. | ||
(d) In collaboration with the Texas Division of Emergency | ||
Management, the board shall establish a point system for | ||
prioritizing natural disaster relief projects or flood projects | ||
other than public assistance grants for which money from the | ||
natural disaster recovery [ |
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The system must include a standard for the board to apply in | ||
determining whether a natural disaster relief project or flood | ||
project qualifies for funding at the time the application for | ||
funding is filed with the board. | ||
(e) The Texas Division of Emergency Management shall give | ||
the highest consideration in awarding points to a natural disaster | ||
relief project or flood project that will have a substantial | ||
effect, including a natural disaster relief project or flood | ||
project that: | ||
(1) is recommended or approved by the director of the | ||
Texas Division of Emergency Management or the successor in function | ||
to that entity; and | ||
(2) meets an emergency need in a county where the | ||
governor has declared a state of disaster. | ||
(f) After review and recommendation by the executive | ||
administrator and with input from the director of the Texas | ||
Division of Emergency Management or the successor in function to | ||
that entity, the Texas Division of Emergency Management may approve | ||
an application for financial assistance under this section only if | ||
the Texas Division of Emergency Management finds that: | ||
(1) the application and assistance applied for meet | ||
the requirements of this subchapter and Texas Division of Emergency | ||
Management rules; | ||
(2) the application demonstrates a sufficient level of | ||
cooperation among applicable political subdivisions and includes | ||
all of the political subdivisions substantially affected by the | ||
natural disaster relief project or flood project; and | ||
(3) the taxes or other revenue, or both the taxes and | ||
other revenue, pledged by the applicant, if applicable, will be | ||
sufficient to meet all the obligations assumed by the applicant. | ||
(g) Principal and interest payments on loans made under | ||
Subsection (b)(2) may be deferred for not more than 10 years or | ||
until construction of the natural disaster relief project or flood | ||
project is completed, whichever is the shorter period. | ||
(h) Money from the account may be awarded to several | ||
eligible political subdivisions for a single natural disaster | ||
relief project or flood project. | ||
(i) An eligible political subdivision that receives a grant | ||
for a natural disaster relief project or flood project also may | ||
receive a loan from the account. | ||
(j) This section expires September 1, 2031. The remaining | ||
balance of the account on that date is transferred to the flood plan | ||
implementation account. | ||
SECTION 4. This Act takes effect September 1, 2023. |