Texas 2009 - 81st Regular

Texas House Bill HB2546 Compare Versions

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1	1	H.B. No. 2546
2	2
3	3
4	4	AN ACT
5	5	relating to the continuation and functions of the Texas Military
6	6	Preparedness Commission.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 436.001, Government Code, is amended to
9	9	read as follows:
10	10	Sec. 436.001. DEFINITIONS [DEFINITION]. In this chapter:
11	11	(1) "Commission"[, "commission"] means the Texas
12	12	Military Preparedness Commission.
13	13	(2) "Office" means the Texas Economic Development and
14	14	Tourism Office in the office of the governor.
15	15	SECTION 2. Section 436.002, Government Code, is amended to
16	16	read as follows:
17	17	Sec. 436.002. COMMISSION. The commission is within the
18	18	office [of the governor] and shall report to the executive director
19	19	of the office [governor or the governor's designee].
20	20	SECTION 3. Section 436.051, Government Code, is amended by
21	21	adding Subsection (d) to read as follows:
22	22	(d) A person may not be a public member of the commission if
23	23	the person or the person's spouse:
24	24	(1) is employed by or participates in the management
25	25	of a business entity or other organization regulated by or
26	26	receiving money from the commission;
27	27	(2) owns or controls, directly or indirectly, more
28	28	than a 10 percent interest in a business entity or other
29	29	organization regulated by or receiving money from the commission;
30	30	or
31	31	(3) uses or receives a substantial amount of tangible
32	32	goods, services, or money from the commission other than
33	33	compensation or reimbursement authorized by law for commission
34	34	membership, attendance, or expenses.
35	35	SECTION 4. Section 436.056(a), Government Code, is amended
36	36	to read as follows:
37	37	(a) It is a ground for removal from the commission that a
38	38	public member:
39	39	(1) does not have at the time of taking office the
40	40	qualifications required by Section 436.051(b);
41	41	(2) does not maintain during service on the commission
42	42	the qualifications required by Section 436.051(b);
43	43	(3) is ineligible for membership under Section
44	44	436.051(d) or 436.055;
45	45	(4) cannot, because of illness or disability,
46	46	discharge the member's duties for a substantial part of the member's
47	47	term; or
48	48	(5) is absent from more than half of the regularly
49	49	scheduled commission meetings that the member is eligible to attend
50	50	during a calendar year without an excuse approved by a majority vote
51	51	of the commission.
52	52	SECTION 5. Subchapter B, Chapter 436, Government Code, is
53	53	amended by adding Section 436.0561 to read as follows:
54	54	Sec. 436.0561. TRAINING. (a) A person who is appointed to
55	55	and qualifies for office as a member of the commission may not vote,
56	56	deliberate, or be counted as a member in attendance at a meeting of
57	57	the commission until the person completes a training program that
58	58	complies with this section.
59	59	(b) The training program must provide the person with
60	60	information regarding:
61	61	(1) the legislation that created the commission;
62	62	(2) the programs, functions, rules, and budget of the
63	63	commission;
64	64	(3) the results of the most recent formal audit of the
65	65	commission;
66	66	(4) the requirements of laws relating to open
67	67	meetings, public information, administrative procedure, and
68	68	conflicts of interest; and
69	69	(5) any applicable ethics policies adopted by the
70	70	office, the commission, or the Texas Ethics Commission.
71	71	(c) A person appointed to the commission is entitled to
72	72	reimbursement, as provided by the General Appropriations Act, for
73	73	the travel expenses incurred in attending the training program
74	74	regardless of whether the attendance at the program occurs before
75	75	or after the person qualifies for office.
76	76	SECTION 6. The heading to Section 436.057, Government Code,
77	77	is amended to read as follows:
78	78	Sec. 436.057. DIRECTOR; STAFF.
79	79	SECTION 7. Section 436.057(c), Government Code, is amended
80	80	to read as follows:
81	81	(c) The governor shall determine the [director may hire]
82	82	staff for [within guidelines established by] the commission.
83	83	SECTION 8. Section 436.101, Government Code, is amended to
84	84	read as follows:
85	85	Sec. 436.101. POWERS AND DUTIES OF COMMISSION. The
86	86	commission shall:
87	87	(1) advise the governor and the legislature on
88	88	military issues and economic and industrial development related to
89	89	military issues;
90	90	(2) make recommendations regarding:
91	91	(A) the development of policies and plans to
92	92	support the long-term viability and prosperity of the military,
93	93	active and civilian, in this state, including promoting strategic
94	94	regional alliances that may extend over state lines; and
95	95	(B) the development of methods to assist
96	96	defense-dependent communities in the design and execution of
97	97	programs that enhance a community's relationship with military
98	98	installations and defense-related businesses;
99	99	(3) provide information to communities, the
100	100	legislature, the state's congressional delegation, and state
101	101	agencies regarding federal actions affecting military
102	102	installations and missions;
103	103	(4) serve as a clearinghouse for:
104	104	(A) defense economic adjustment and transition
105	105	information and activities along with the Texas Business and
106	106	Community Economic Development Clearinghouse; and
107	107	(B) information about:
108	108	(i) issues related to the operating costs,
109	109	missions, and strategic value of federal military installations
110	110	located in the state;
111	111	(ii) employment issues for communities that
112	112	depend on defense bases and in defense-related businesses; and
113	113	(iii) defense strategies and incentive
114	114	programs that other states are using to maintain, expand, and
115	115	attract new defense contractors;
116	116	(5) provide assistance to communities that have
117	117	experienced a defense-related closure or realignment;
118	118	(6) assist communities in the design and execution of
119	119	programs that enhance a community's relationship with military
120	120	installations and defense-related businesses, including regional
121	121	alliances that may extend over state lines;
122	122	(7) assist communities in the retention and recruiting
123	123	of defense-related businesses, including fostering strategic
124	124	regional alliances that may extend over state lines; [and]
125	125	(8) encourage economic development in this state by
126	126	fostering the development of industries related to defense affairs;
127	127	and
128	128	(9) advocate for the preservation and expansion of
129	129	missions of reservists at military installations in the state.
130	130	SECTION 9. Section 436.152(d), Government Code, is amended
131	131	to read as follows:
132	132	(d) The commission shall refer the defense community to the
133	133	appropriate state agency that has an existing program to provide
134	134	financing for each project identified in the community's military
135	135	value enhancement statement that adds military value to a military
136	136	facility. If there is no existing program to finance a project, the
137	137	office [commission] may provide a loan of financial assistance to
138	138	the defense community for the project.
139	139	SECTION 10. Sections 436.153(a) through (g), Government
140	140	Code, are amended to read as follows:
141	141	(a) The office [commission] may provide a loan of financial
142	142	assistance to a defense community for a project that will enhance
143	143	the military value of a military facility located in, near, or
144	144	adjacent to the defense community. The loan shall be made from the
145	145	Texas military value revolving loan account established under
146	146	Section 436.156.
147	147	(b) On receiving an application for a loan under this
148	148	section, the office [commission] shall confirm with the commission
149	149	that the project adds military value to the military facility.
150	150	(c) If the commission determines that a project will enhance
151	151	the military value of the military facility, the office
152	152	[commission] shall, in accordance with the criteria adopted by the
153	153	office [commission] under Section 436.154(a):
154	154	(1) analyze the creditworthiness of the defense
155	155	community to determine the defense community's ability to repay the
156	156	loan; and
157	157	(2) evaluate the feasibility of the project to be
158	158	financed to ensure that the defense community has pledged a source
159	159	of revenue or taxes sufficient to repay the loan for the project.
160	160	(d) If the commission confirms [determines] that the funds
161	161	will be used to enhance the military value of the military facility
162	162	based on the base realignment and closure criteria and the office
163	163	determines that the project is financially feasible, the executive
164	164	director of the office [commission] may award a loan to the defense
165	165	community for the project. The office [commission] shall enter
166	166	into a written agreement with a defense community that is awarded a
167	167	loan. The agreement must contain the terms and conditions of the
168	168	loan, including the loan repayment requirements.
169	169	(e) The office [commission] shall notify the Texas Public
170	170	Finance Authority of the amount of the loan and the recipient of the
171	171	loan and request the authority to issue general obligation bonds in
172	172	an amount necessary to fund the loan. The office [commission] and
173	173	the authority shall determine the amount and time of a bond issue to
174	174	best provide funds for one or multiple loans.
175	175	(f) The office [commission] shall administer the loans to
176	176	ensure full repayment of the general obligation bonds issued to
177	177	finance the project.
178	178	(g) The office [commission] may provide a loan only for a
179	179	project that is included in the political subdivision's statement
180	180	under Section 397.002, Local Government Code, or to prepare a
181	181	comprehensive defense installation and community strategic impact
182	182	plan under Section 397.003, Local Government Code.
183	183	SECTION 11. Sections 436.1531(a), (c), (d), (e), and (f),
184	184	Government Code, as added by Chapter 396 (S.B. 1481), Acts of the
185	185	79th Legislature, Regular Session, 2005, are amended to read as
186	186	follows:
187	187	(a) The office [commission] may provide a loan of financial
188	188	assistance to a defense community for an economic development
189	189	project that minimizes the negative effects of a defense base
190	190	reduction on the defense community as a result of a United States
191	191	Department of Defense base realignment process that occurs during
192	192	2005 or later. The loan shall be made from the Texas military value
193	193	revolving loan account established under Section 436.156.
194	194	(c) If the commission determines that a project will reduce
195	195	the negative effects of a defense base reduction on the defense
196	196	community, the office [commission] shall:
197	197	(1) analyze the creditworthiness of the defense
198	198	community to determine the defense community's ability to repay the
199	199	loan; and
200	200	(2) evaluate the feasibility of the project to be
201	201	financed to ensure that the defense community has pledged a source
202	202	of revenue or taxes sufficient to repay the loan for the project.
203	203	(d) If the office [commission] determines that the funds
204	204	will be used to finance an economic development project that will
205	205	reduce the negative effects of a defense base reduction on the
206	206	defense community and that the project is financially feasible, the
207	207	office [commission] may award a loan to the defense community for
208	208	the project. The office [commission] shall enter into a written
209	209	agreement with a defense community that is awarded a loan. The
210	210	agreement must contain the terms and conditions of the loan,
211	211	including the loan repayment requirements.
212	212	(e) The office [commission] shall notify the Texas Public
213	213	Finance Authority of the amount of the loan and the recipient of the
214	214	loan and request the authority to issue general obligation bonds in
215	215	an amount necessary to fund the loan. The office [commission] and
216	216	the authority shall determine the amount and time of a bond issue to
217	217	best provide funds for one or multiple loans.
218	218	(f) The office [commission] shall administer the loans to
219	219	ensure full repayment of the general obligation bonds issued to
220	220	finance the project.
221	221	SECTION 12. Sections 436.1532(a), (c), (d), (e), and (f),
222	222	Government Code, as added by Chapter 396 (S.B. 1481), Acts of the
223	223	79th Legislature, Regular Session, 2005, are amended to read as
224	224	follows:
225	225	(a) The office [commission] may provide a loan of financial
226	226	assistance to a defense community for an infrastructure project to
227	227	accomodate new or expanded military missions assigned to a military
228	228	facility located in, near, or adjacent to the defense community as a
229	229	result of a United States Department of Defense base realignment
230	230	process that occurs during 2005 or later. The loan shall be made
231	231	from the Texas military value revolving loan account established
232	232	under Section 436.156.
233	233	(c) If the commission determines that the project will
234	234	assist the defense community in accommodating the new or expanded
235	235	military missions that are assigned to the military facility, the
236	236	office [commission] shall:
237	237	(1) analyze the creditworthiness of the defense
238	238	community to determine the defense community's ability to repay the
239	239	loan; and
240	240	(2) evaluate the feasibility of the project to be
241	241	financed to ensure that the defense community has pledged a source
242	242	of revenue or taxes sufficient to repay the loan for the project.
243	243	(d) If the commission determines that the funds will be used
244	244	to finance an infrastructure project to accommodate new or expanded
245	245	military missions assigned to the military facility located in,
246	246	near, or adjacent to the defense community and the office
247	247	determines that the project is financially feasible, the office
248	248	[commission] may award a loan to the defense community for the
249	249	project. The office [commission] shall enter into a written
250	250	agreement with a defense community that is awarded a loan. The
251	251	agreement must contain the terms and conditions of the loan,
252	252	including the loan repayment requirements.
253	253	(e) The office [commission] shall notify the Texas Public
254	254	Finance Authority of the amount of the loan and the recipient of the
255	255	loan and request the authority to issue general obligation bonds in
256	256	an amount necessary to fund the loan. The office [commission] and
257	257	the authority shall determine the amount and time of a bond issue to
258	258	best provide funds for one or multiple loans.
259	259	(f) The office [commission] shall administer the loans to
260	260	ensure full repayment of the general obligation bonds issued to
261	261	finance the project.
262	262	SECTION 13. Section 436.154, Government Code, is amended to
263	263	read as follows:
264	264	Sec. 436.154. LOAN PROCESS. (a) The office [commission]
265	265	shall adopt rules, in consultation with the Texas Public Finance
266	266	Authority, that contain the criteria for evaluating the credit of a
267	267	loan applicant and the financial feasibility of a project. The
268	268	office [commission] shall also adopt a loan application form. The
269	269	application form may include:
270	270	(1) the name of the defense community and its
271	271	principal officers;
272	272	(2) the total cost of the project;
273	273	(3) the amount of state financial assistance
274	274	requested;
275	275	(4) the plan for repaying the loan; and
276	276	(5) any other information the office [commission]
277	277	requires to perform its duties and to protect the public interest.
278	278	(b) The office [commission] may not accept an application
279	279	for a loan from the Texas military value revolving loan account
280	280	unless the application is submitted in affidavit form by the
281	281	officials of the defense community. The office [board] shall
282	282	prescribe the affidavit form.
283	283	SECTION 14. Section 436.156(c), Government Code, is amended
284	284	to read as follows:
285	285	(c) The office [commission] shall deposit to the credit of
286	286	the account all loan payments made by a political subdivision for a
287	287	loan under Section 436.153, 436.1531, or 436.1532. The loan
288	288	payments shall be used to reimburse the general revenue fund for
289	289	money appropriated to pay the principal, premium if any, and
290	290	interest on the bonds issued under Section 436.158. If loan
291	291	payments exceed the amounts required for reimbursement, the excess
292	292	shall first be applied to reimburse the expenses of administering
293	293	the program and secondly deposited to the credit of the Texas
294	294	military value revolving loan account to fund subsequent loans.
295	295	SECTION 15. Section 436.158(b), Government Code, is amended
296	296	to read as follows:
297	297	(b) The proceeds of the bonds and notes shall be deposited
298	298	into the Texas military value revolving loan account or into other
299	299	separate funds as may be required to provide for payment of issuance
300	300	and administrative costs and may be used as authorized by Section
301	301	49-n, Article III, Texas Constitution, including:
302	302	(1) to fund loans approved [by the commission] under
303	303	Section 436.153, 436.1531, or 436.1532;
304	304	(2) to pay the costs of issuing and selling bonds and
305	305	notes; and
306	306	(3) to pay the costs of administering the bonds and
307	307	notes and the loan program, including the payment of fees and
308	308	expenses of advisors.
309	309	SECTION 16. Section 481.502(a), Government Code, is amended
310	310	to read as follows:
311	311	(a) The office[, in coordination with the Texas Strategic
312	312	Military Planning Commission,] shall assist defense communities in
313	313	obtaining financing for economic development projects that seek to
314	314	address future realignment or closure of a defense base that is in,
315	315	adjacent to, or near the defense community. The office [and the
316	316	commission] shall refer the defense community to:
317	317	(1) a local economic development corporation created
318	318	under the Development Corporation Act (Subtitle C1, Title 12, Local
319	319	Government Code) for possible financing; or
320	320	(2) an appropriate state agency that has an existing
321	321	program to provide financing for the project, including:
322	322	(A) the Texas Water Development Board; or
323	323	(B) the Texas Department of Transportation.
324	324	SECTION 17. Section 486.001, Government Code, is amended by
325	325	adding Subdivision (3-a) to read as follows:
326	326	(3-a) "Office" means the Texas Economic Development
327	327	and Tourism Office in the office of the governor.
328	328	SECTION 18. Section 486.002(a), Government Code, is amended
329	329	to read as follows:
330	330	(a) The commission shall administer this chapter, and the
331	331	office shall monitor the implementation of this chapter.
332	332	SECTION 19. Section 486.003(a), Government Code, is amended
333	333	to read as follows:
334	334	(a) A local governmental entity is eligible for a grant
335	335	under this chapter if it is:
336	336	(1) a municipality or county that is a defense
337	337	community;
338	338	(2) a regional planning commission that has a defense
339	339	community within its boundaries;
340	340	(3) a public junior college district all or part of
341	341	which is located in a defense community;
342	342	(4) a campus or extension center for education
343	343	purposes of the Texas State Technical College System located in a
344	344	defense community; [or]
345	345	(5) a defense base development authority created under
346	346	Chapter 379B, Local Government Code; or
347	347	(6) a political subdivision having the power of a
348	348	defense base development authority created under Chapter 379B,
349	349	Local Government Code.
350	350	SECTION 20. Section 486.007, Government Code, is amended to
351	351	read as follows:
352	352	Sec. 486.007. APPLICATION FOR GRANT. (a) A local
353	353	governmental entity may apply for a grant under this chapter to the
354	354	commission on a form prescribed by the commission. The commission
355	355	shall establish periodic application cycles to enable the panel and
356	356	commission to evaluate groups of applicants in relation to each
357	357	other.
358	358	(b) The office may assist a local governmental entity in
359	359	applying for a grant under this chapter.
360	360	SECTION 21. Section 486.008, Government Code, is amended to
361	361	read as follows:
362	362	Sec. 486.008. EVALUATION OF APPLICATION. The panel shall
363	363	evaluate each application and assign the applicant a score based
364	364	on:
365	365	(1) the significance of the adverse or positive effect
366	366	within the local governmental entity, including the number of jobs
367	367	lost or gained in relation to the workforce in the local
368	368	governmental entity's jurisdiction and the effect on the area's
369	369	economy and tax revenue;
370	370	(2) the extent to which the local governmental entity
371	371	has used its existing resources to promote local economic
372	372	development;
373	373	(3) the amount of any grant that the local
374	374	governmental entity has previously received under this chapter;
375	375	(4) the anticipated number of jobs to be created or
376	376	retained in relation to the amount of the grant sought; and
377	377	(5) the extent to which the grant will affect the
378	378	region in which the local governmental entity is located.
379	379	SECTION 22. The following laws are repealed:
380	380	(1) Section 436.003, Government Code;
381	381	(2) Section 436.057(b), Government Code;
382	382	(3) Section 436.1531, Government Code, as added by
383	383	Chapter 1160 (H.B. 3302), Acts of the 79th Legislature, Regular
384	384	Session, 2005;
385	385	(4) Section 436.1531, Government Code, as added by
386	386	Chapter 1280 (H.B. 2340), Acts of the 79th Legislature, Regular
387	387	Session, 2005;
388	388	(5) Section 436.1532, Government Code, as added by
389	389	Chapter 1280 (H.B. 2340), Acts of the 79th Legislature, Regular
390	390	Session, 2005; and
391	391	(6) Section 481.501(3), Government Code.
392	392	SECTION 23. Sections 436.051(d) and 436.0561, Government
393	393	Code, as added by this Act, and the change in law made by this Act to
394	394	Section 436.056(a)(3), Government Code, apply only to a person
395	395	appointed or reappointed to the Texas Military Preparedness
396	396	Commission on or after the effective date of this Act.
397	397	SECTION 24. A rule, policy, procedure, or decision of the
398	398	Texas Military Preparedness Commission with respect to functions
399	399	that are transferred to the Texas Economic Development and Tourism
400	400	Office continues in effect as a rule, policy, procedure, or
401	401	decision of the Texas Economic Development and Tourism Office until
402	402	superseded by an act of that office.
403	403	SECTION 25. This Act takes effect September 1, 2009.
404	404	______________________________ ______________________________
405	405	President of the Senate Speaker of the House
406	406	I certify that H.B. No. 2546 was passed by the House on April
407	407	22, 2009, by the following vote: Yeas 146, Nays 0, 1 present, not
408	408	voting.
409	409	______________________________
410	410	Chief Clerk of the House
411	411	I certify that H.B. No. 2546 was passed by the Senate on May
412	412	7, 2009, by the following vote: Yeas 31, Nays 0.
413	413	______________________________
414	414	Secretary of the Senate
415	415	APPROVED: _____________________
416	416	Date
417	417	_____________________
418	418	Governor