H.B. No. 4102
AN ACT
relating to the disaster contingency fund and relief for school
districts located in a disaster area.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 418.073(c), Government Code, as added by
Chapter 1250 (H.B. 2694), Acts of the 80th Legislature, Regular
Session, 2007, is amended to read as follows:
(c) A state or [agency,] local government[, or other
eligible] entity that participates in disaster preparation or
disaster recovery may request and receive funding from the disaster
contingency fund to pay for[:
[(1) extraordinary] costs incurred by the state or
local government entity in preparing for or recovering from
[implementing preventive measures taken before or during an
emergency; and
[(2) costs incurred in repairing damage suffered
during] a disaster [for which:
[(A) the presiding officer of a municipal or
county government has declared a local state of disaster for
affected areas within the jurisdiction of the municipality or
county; and
[(B) the governor has also declared a state of
disaster for the affected county or counties].
SECTION 2. Section 418.073, Government Code, is amended by
adding Subsections (f), (g), and (h) to read as follows:
(f) A state or local government entity or other eligible
entity that receives funding from the disaster contingency fund to
pay for costs associated with disaster recovery and that
subsequently receives reimbursement from the federal government,
an insurer, or another source for those same costs shall reimburse
the disaster contingency fund for the reimbursed amounts. In
developing rules and procedures under Subsection (d) the governor's
division of emergency management shall prescribe accounting and
other procedures necessary to efficiently and effectively
implement this subsection.
(g) Money in the disaster contingency fund may be used to
pay for a disaster risk financing instrument using a parametric
index based on affected population to leverage available funds and
receive proceeds greater than appropriated amounts to pay for
extraordinary expenses.
(h) Money in the disaster contingency fund may be used to
provide to a local government entity that is suffering financial
hardship as a result of a disaster declared under this chapter funds
for the purpose of providing local matching funds for Federal
Emergency Management Agency qualifying projects.
SECTION 3. Subchapter D, Chapter 41, Education Code, is
amended by adding Section 41.0931 to read as follows:
Sec. 41.0931. DISASTER REMEDIATION COSTS. (a) This
section applies only to a district all or part of which is located
in an area declared a disaster area by the governor under Chapter
418, Government Code, and that incurs disaster remediation costs as
a result of the disaster.
(b) Subject to Subsection (c), for the two-year period
following the date of the governor's initial proclamation or
executive order declaring a state of disaster, the total amount
required to be paid by a district for attendance credits under
Section 41.093 is reduced by the amount of any disaster remediation
costs that the district pays during that period and does not
anticipate recovering through insurance proceeds, federal disaster
relief payments, or another similar source of reimbursement.
(b-1) For purposes of determining the reduction under this
section to which a district is entitled for the 2009-2010 school
year, disaster remediation costs paid by the district after
September 1, 2008, are included if the costs meet all other
requirements imposed by this section. This subsection expires
September 1, 2010.
(c) To receive a reduction under this section, a district
must provide the commissioner with acceptable documentation of
disaster remediation costs paid by the district.
(d) The commissioner shall adopt rules necessary to
implement this section, including rules defining "disaster
remediation costs" for purposes of this section and specifying the
type of documentation required under Subsection (c).
(e) Notwithstanding any other provision of this section,
the commissioner may permit a district to use funds available to the
district as a result of a reduction under this section to pay the
costs of replacing a facility instead of repairing the facility.
The commissioner shall ensure that a district that elects to
replace a facility does not receive a reduction that exceeds the
lesser of:
(1) the amount that would be available to the district
if the facility were repaired; or
(2) the amount necessary to replace the facility.
SECTION 4. Subchapter A, Chapter 42, Education Code, is
amended by adding Section 42.0051 to read as follows:
Sec. 42.0051. AVERAGE DAILY ATTENDANCE FOR DISTRICTS IN
DISASTER AREA. (a) From funds specifically appropriated for the
purpose or other funds available to the commissioner for that
purpose, the commissioner shall adjust the average daily attendance
of a school district all or part of which is located in an area
declared a disaster area by the governor under Chapter 418,
Government Code, if the district experiences a decline in average
daily attendance that is reasonably attributable to the impact of
the disaster.
(b) The adjustment must be sufficient to ensure that the
district receives funding comparable to the funding that the
district would have received if the decline in average daily
attendance reasonably attributable to the impact of the disaster
had not occurred.
(c) The commissioner shall make the adjustment required by
this section for the two-year period following the date of the
governor's initial proclamation or executive order declaring the
state of disaster.
(d) Section 42.005(b)(2) does not apply to a district that
receives an adjustment under this section.
(e) A district that receives an adjustment under this
section may not receive any additional adjustment under Section
42.005(d) for the decline in average daily attendance on which the
adjustment under this section is based.
(f) For purposes of this title, a district's adjusted
average daily attendance under this section is considered to be the
district's average daily attendance as determined under Section
42.005.
SECTION 5. Subchapter E, Chapter 42, Education Code, is
amended by adding Sections 42.2523 and 42.2524 to read as follows:
Sec. 42.2523. ADJUSTMENT FOR PROPERTY VALUE AFFECTED BY
STATE OF DISASTER. (a) For purposes of Chapters 41 and 46 and this
chapter, the commissioner shall adjust the taxable value of
property of a school district all or part of which is located in an
area declared a disaster area by the governor under Chapter 418,
Government Code, as necessary to ensure that the district receives
funding based as soon as possible on property values as affected by
the disaster.
(b) The commissioner may fund adjustments under this
section using funds specifically appropriated for the purpose or
other funds available to the commissioner for that purpose.
(c) Any additional funding to which a school district is
entitled as a result of the adjustment required by this section is
in addition to the amount of funding to which the district is
entitled under Section 42.2516(b).
(d) A decision of the commissioner under this section is
final and may not be appealed.
Sec. 42.2524. REIMBURSEMENT FOR DISASTER REMEDIATION
COSTS. (a) This section applies only to a school district all or
part of which is located in an area declared a disaster area by the
governor under Chapter 418, Government Code, and that incurs
disaster remediation costs as a result of the disaster.
(b) During the two-year period following the date of the
governor's initial proclamation or executive order declaring a
state of disaster, a district may apply to the commissioner for
reimbursement of disaster remediation costs that the district pays
during that period and does not anticipate recovering through
insurance proceeds, federal disaster relief payments, or another
similar source of reimbursement.
(b-1) A district may seek reimbursement of disaster
remediation costs paid by the district on or after September 1,
2008. This subsection expires September 1, 2011.
(c) The commissioner may provide reimbursement under this
section only if funds are available for that purpose as follows:
(1) reimbursement for a school district not required
to take action under Chapter 41 may be provided from:
(A) amounts appropriated for that purpose,
including amounts appropriated for those districts for that purpose
to the disaster contingency fund established under Section 418.073,
Government Code; or
(B) Foundation School Program funds available
for that purpose, based on a determination by the commissioner that
the amount appropriated for the Foundation School Program,
including the facilities component as provided by Chapter 46,
exceeds the amount to which districts are entitled under this
chapter and Chapter 46; and
(2) reimbursement for a school district required to
take action under Chapter 41 may be provided from funds described by
Subdivision (1)(B) if funds remain available after fully
reimbursing each school district described by Subdivision (1) for
its disaster remediation costs.
(d) If the amount of money available for purposes of
reimbursing school districts not required to take action under
Chapter 41 is not sufficient to fully reimburse each district's
disaster remediation costs, the commissioner shall reduce the
amount of assistance provided to each of those districts
proportionately. If the amount of money available for purposes of
reimbursing school districts required to take action under Chapter
41 is not sufficient to fully reimburse each district's disaster
remediation costs, the commissioner shall reduce the amount of
assistance provided to each of those districts proportionately.
(e) A district seeking reimbursement under this section
must provide the commissioner with adequate documentation of the
costs for which the district seeks reimbursement.
(f) A district required to take action under Chapter 41:
(1) may, at its discretion, receive assistance
provided under this section either as a payment of state aid under
this chapter or as a reduction in the total amount required to be
paid by the district for attendance credits under Section 41.093;
and
(2) may not obtain reimbursement under this section
for the payment of any disaster remediation costs that resulted in a
reduction under Section 41.0931 of the district's cost of
attendance credits.
(g) Amounts provided to a district under this section are in
addition to the amount to which the district is entitled under
Section 42.2516.
(h) The commissioner shall adopt rules necessary to
implement this section, including rules defining "disaster
remediation costs" for purposes of this section and specifying the
type of documentation required under Subsection (e).
(i) Notwithstanding any other provision of this section,
the commissioner may permit a district to use amounts provided to a
district under this section to pay the costs of replacing a facility
instead of repairing the facility. The commissioner shall ensure
that a district that elects to replace a facility does not receive
an amount under this section that exceeds the lesser of:
(1) the amount that would be provided to the district
if the facility were repaired; or
(2) the amount necessary to replace the facility.
(j) This section does not require the commissioner to
provide any requested reimbursement. A decision of the
commissioner regarding reimbursement is final and may not be
appealed.
SECTION 6. Section 44.0312, Education Code, is amended by
adding Subsection (c) to read as follows:
(c) Notwithstanding any other provision of this code, in the
event of a catastrophe, emergency, or natural disaster affecting a
school district, the board of trustees of the district may delegate
to the superintendent or designated person the authority to
contract for the replacement, construction, or repair of school
equipment or facilities under this subchapter if emergency
replacement, construction, or repair is necessary for the health
and safety of district students and staff.
SECTION 7. 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.
______________________________ ______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 4102 was passed by the House on April
30, 2009, by the following vote: Yeas 132, Nays 0, 1 present, not
voting; that the House refused to concur in Senate amendments to
H.B. No. 4102 on May 23, 2009, and requested the appointment of a
conference committee to consider the differences between the two
houses; and that the House adopted the conference committee report
on H.B. No. 4102 on May 31, 2009, by the following vote: Yeas 143,
Nays 0, 1 present, not voting.
______________________________
Chief Clerk of the House
I certify that H.B. No. 4102 was passed by the Senate, with
amendments, on May 21, 2009, by the following vote: Yeas 31, Nays
0; at the request of the House, the Senate appointed a conference
committee to consider the differences between the two houses; and
that the Senate adopted the conference committee report on H.B. No.
4102 on May 31, 2009, by the following vote: Yeas 31, Nays 0.
______________________________
Secretary of the Senate
APPROVED: __________________
Date
__________________
Governor