81R4363 CAS-D By: Turner of Tarrant H.B. No. 1017 A BILL TO BE ENTITLED AN ACT relating to grants to certain school districts and countywide public school transportation systems to be used to pay costs in purchasing school buses capable of using natural gas or propane as fuel. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 34, Education Code, is amended by adding Section 34.0051 to read as follows: Sec. 34.0051. GRANT PROGRAM FOR PURCHASE OF BUSES USING NATURAL GAS OR PROPANE FUEL. (a) The commissioner by rule shall establish a program under which the commissioner may award to school districts and to countywide public school transportation systems grants to be used to pay costs in purchasing school buses capable of using natural gas or propane as fuel to replace school buses that use diesel fuel. (b) The program established under Subsection (a) must provide for: (1) awarding a grant only to a school district or countywide transportation system located in whole or in part in an area designated as a nonattainment area under Section 107(d) of the federal Clean Air Act (42 U.S.C. Section 7407(d)); (2) ensuring that grant money is used by a district or countywide transportation system only in purchasing a school bus capable of using natural gas or propane as fuel to replace a school bus that uses diesel fuel; and (3) limiting the amount of the grant to an amount that is the lesser of: (A) $40,000; and (B) the difference, as determined under commissioner rule, between the average cost of a school bus capable of using natural gas or propane as fuel and a substantially similar school bus that uses diesel fuel. (c) Subsection (b)(2) includes the purchase of a school bus in the manner provided by Section 34.005 or 45.001(a)(1)(D). (d) A grant awarded under this section is in addition to a transportation allotment under Section 42.155. (e) A grant awarded under this section shall be paid for with funds appropriated to the agency that may be used for that purpose. 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, 2009.