By: Strama H.B. No. 4459
A BILL TO BE ENTITLED
AN ACT
relating to economic development and employment opportunities in
the renewable energy or energy efficiency industries.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 481.078, Government Code, is amended by
adding Subsection (l) to read as follows:
(l) The fund may be used to make one or more grants to the
Texas Workforce Commission to implement the commission's powers and
duties relating to a green job skills training program. Subsections
(e-1), (f), (g), (h), (i), and (j) do not apply to a grant under this
subsection.
SECTION 2. Subtitle F, Title 4, Government Code, is amended
by adding Chapter 490D to read as follows:
CHAPTER 490D. GREEN JOB SKILLS DEVELOPMENT FUND AND TRAINING
PROGRAM
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 490D.001. PURPOSE. The purpose of this chapter is to:
(1) promote green industry employment opportunities,
including through the establishment of training programs to enhance
green job skills;
(2) foster regional collaboration for the development
of green industry employment opportunities;
(3) assist in the development of a highly skilled and
productive workforce in the green industry; and
(4) assist workers with obtaining education, skills
training, and labor market information to enhance their
employability, earnings, and standard of living.
Sec. 490D.002. DEFINITIONS. In this chapter:
(1) "Commission" means the Texas Workforce
Commission.
(2) "Development fund" means the Texas green job
skills development fund.
(3) "Green job" means a job in the field of renewable
energy or energy efficiency, including a job relating to:
(A) energy-efficient building, construction, and
retrofitting;
(B) renewable electric power;
(C) biofuels;
(D) deconstruction and reuse of materials;
(E) energy efficiency assessments;
(F) manufacturing of sustainable products; and
(G) manufacturing using sustainable processes
and materials.
[Sections 490D.003-490D.020 reserved for expansion]
SUBCHAPTER B. GREEN JOB SKILLS DEVELOPMENT FUND
Sec. 490D.021. TEXAS GREEN JOB SKILLS DEVELOPMENT FUND. (a)
The Texas green job skills development fund is an account in the
general revenue fund. The account is composed of:
(1) legislative appropriations;
(2) money received from the Texas enterprise fund
under Section 481.078;
(3) gifts, grants, donations, and matching funds
received under Subsection (b); and
(4) other money required by law to be deposited in the
account.
(b) The commission may solicit and accept gifts, grants, and
donations of money from the federal government, local governments,
private corporations, or other persons to be used for the purposes
of this subchapter.
(c) Income from money in the account shall be credited to
the account.
(d) Money in the development fund may be used only for the
purposes of this chapter.
[Sections 490D.022-490D.030 reserved for expansion]
SUBCHAPTER C. GREEN JOB SKILLS GRANT PROGRAM
Sec. 490D.031. ESTABLISHMENT OF GREEN JOB SKILLS GRANT
PROGRAM. The commission shall establish a green job skills grant
program, funded by the development fund under Section 490D.021,
through which the commission may award grants for the
implementation, expansion, and operation of green job skills
training programs.
Sec. 490D.032. GRANT PROGRAM REQUIREMENTS. (a) A training
program funded through a grant awarded under this subchapter must:
(1) be hosted by a regional partnership that includes
at least:
(A) one university, college, or technical
school;
(B) one chamber of commerce, local workforce
agency, local employer, or other public or private participating
entity; and
(C) one economic development authority;
(2) assist an eligible individual in obtaining
education, skills training, and labor market information to enhance
the individual's employability in green industries; and
(3) assist in the development of a highly skilled and
productive workforce in green industries.
(b) A training program awarded a grant under this subchapter
shall target a population of eligible individuals for training that
includes:
(1) workers in high-demand green industries who are in
or preparing for high-wage occupations;
(2) workers in declining industries who may be
retrained for high-wage occupations in a high-demand green
industry;
(3) agriculture, timber, or energy sector workers who
may be retrained for high-wage occupations in a high-demand green
industry;
(4) veterans or past or present members of the armed
forces of the United States, including the state military forces,
or a reserve component of the armed forces or the national guard;
(5) unemployed workers; or
(6) individuals determined by the commission to be
disadvantaged and in need of training to obtain employment.
(c) A training program may receive funding under this
chapter for a period not to exceed three years.
Sec. 490D.033. APPLICATION. (a) A regional partnership,
as described by Section 490D.032, may apply for a grant under this
subchapter in the manner prescribed by the commission.
(b) The grant application must require the applicant to
provide to the commission the applicant's plan to continue to
operate the training program after the grant expires.
Sec. 490D.034. ADDITIONAL CONSIDERATIONS IN AWARDING
GRANTS. In addition to the factors described by Sections 490D.032
and 490D.033, in determining whether to award a grant to an
applicant under this subchapter, the commission shall give
preference to a training program that provides certification to a
worker who receives green job skills training under the program.
Sec. 490D.035. STANDARDS. The commission by rule shall
adopt standards for a green job skills training program awarded a
grant under this subchapter.
SECTION 3. Section 386.051(b), Health and Safety Code, is
amended to read as follows:
(b) Under the plan, the commission and the comptroller shall
provide grants or other funding for:
(1) the diesel emissions reduction incentive program
established under Subchapter C, including for infrastructure
projects established under that subchapter;
(2) the motor vehicle purchase or lease incentive
program established under Subchapter D;
(3) the new technology research and development
program established under Chapter 387; [and]
(4) the clean school bus program established under
Chapter 390; and
(5) emissions management districts under Chapter 391.
SECTION 4. Section 386.252(c), Health and Safety Code, is
amended to read as follows:
(c) Money in the fund may be allocated to the clean school
bus program and emissions management districts only if:
(1) the money is available for that purpose after
money is allocated for the other purposes of the fund as required by
the state implementation plan; or
(2) the amount of money deposited to the credit of the
fund in a state fiscal year exceeds the amount the comptroller's
biennial revenue estimate shows as the comptroller's estimated
amount to be deposited to the credit of the fund in that year.
SECTION 5. Subtitle C, Title 5, Health and Safety Code, is
amended by adding Chapter 391 to read as follows:
CHAPTER 391. EMISSIONS MANAGEMENT PROJECT FINANCING THROUGH
CONTRACTUAL ASSESSMENTS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 391.001. DEFINITIONS. In this chapter:
(1) "Board" means a district's board of directors.
(2) "Director" means a board member.
(3) "District" means an emissions management district
created under this chapter.
(4) "Emissions management project" means:
(A) a renewable energy system; or
(B) an energy efficiency improvement.
(5) "Energy efficiency improvement" means an
installation or modification that is designed to reduce energy
consumption in a residential or commercial building, including:
(A) insulation in walls, roofs, floors, and
foundations and in heating and cooling distribution systems;
(B) storm windows and doors, multiglazed windows
and doors, heat-absorbing or heat-reflective glazed and coated
window and door systems, additional glazing, reductions in glass
area, and other window and door system modifications that reduce
energy consumption;
(C) automatic energy control systems;
(D) heating, ventilating, or air conditioning
and distribution system modifications or replacements in a building
or central plant;
(E) caulking and weather-stripping;
(F) replacement or modification of lighting
fixtures to increase the energy efficiency of the system;
(G) energy recovery systems; and
(H) systems to increase the use of natural
daylight for interior lighting.
(6) "Local government" mean a municipality or a
county.
(7) "Renewable energy system" means a fixture,
product, device, or interacting group of fixtures, products, or
devices that produces or uses energy from renewable resources and
is capable of being installed for use in a commercial or residential
building, including a system designed to generate electricity for
use in the building and to be installed on the customer's side of
the electric utility meter. The term includes:
(A) a photovoltaic generating system;
(B) a solar thermal system;
(C) a small wind generation system;
(D) a biomass energy system; and
(E) a geothermal energy system.
[Sections 391.002-391.050 reserved for expansion]
SUBCHAPTER B. CREATION OF DISTRICT
Sec. 391.051. ORDINANCE OR ORDER CREATING DISTRICT. (a) The
governing body of a local government by ordinance or order may
establish a district under this chapter.
(b) The ordinance or order establishing the district must
designate:
(1) the district's territory as a defined area inside
the local government's boundaries in which property owners are
eligible to participate in contractual assessment agreements with
the district, which area may include all or any portion of the area
inside the local government's boundaries;
(2) five individuals to be the initial directors;
(3) the kinds of emissions management projects
eligible for financing by the district; and
(4) the date and time of a hearing on the creation of
the district.
Sec. 391.052. NATURE OF DISTRICT. A district is a special
district and a political subdivision of the state.
[Sections 391.053-391.100 reserved for expansion]
SUBCHAPTER C. GOVERNANCE
Sec. 391.101. BOARD OF DIRECTORS. The district is governed
by the board of five directors appointed by the governing body of
the local government.
Sec. 391.102. TERMS. Directors serve staggered two-year
terms, with two or three directors' terms expiring June 1 of each
year.
Sec. 391.103. QUALIFICATIONS OF DIRECTOR. To be qualified
to serve as a director, a person must be at least 18 years old and be
a resident of the district.
Sec. 391.104. VACANCIES; QUORUM. (a) A board vacancy is
filled in the same manner as the original appointment.
(b) A vacant board position is not counted for the purposes
of establishing a quorum of the board.
Sec. 391.105. CONFLICTS OF INTEREST. Chapter 171, Local
Government Code, governs conflicts of interest for directors.
Sec. 391.106. COMPENSATION. (a) For purposes of this
section, "performs the duties of a director" means substantial
performance of the management of the district's business, including
participation in board and committee meetings and other activities
involving the substantive deliberation of district business and in
pertinent educational programs, but does not include routine or
ministerial activities such as the execution of documents or
self-preparation for meetings.
(b) A local government is authorized to compensate a
director when the director performs the duties of a director. The
local government shall compensate a director not more than $50 a day
for each day the director performs the duties of a director.
Sec. 391.107. DIRECTOR'S BOND AND OATH. (a) As soon as
practicable after a director is appointed, the director shall
execute a $10,000 bond payable to the district and conditioned on
the faithful performance of the director's duties.
(b) Each director's bond must be approved by the board, and
each director shall take the oath of office prescribed by the
constitution for public officers.
(c) The bond and oath shall be filed with the district and
retained in its records.
Sec. 391.108. OFFICERS. After directors are appointed and
have qualified by executing a bond and taking the oath, they shall
organize by electing a president, a vice president, a secretary,
and any other officers the board considers necessary.
Sec. 391.109. RULES. The board may adopt rules to
administer and operate the district.
[Sections 391.110-391.150 reserved for expansion]
SUBCHAPTER D. POWERS AND DUTIES
Sec. 391.151. GENERAL POWERS AND DUTIES. A district may:
(1) guarantee or otherwise secure loans for the
purchase and installation of an emissions management project;
(2) enter into contractual assessment agreements
under Section 391.152 to finance the purchase and installation of
an emissions management project;
(3) make other innovative arrangements to finance the
purchase and installation of an emissions management project;
(4) lease equipment and materials for an emissions
management project to a property owner;
(5) issue bonds to finance district purposes under
Subchapter E; and
(6) apply for grants or other funding under the Texas
emissions reduction plan under Chapter 386.
Sec. 391.152. CONTRACTUAL ASSESSMENT AGREEMENTS. (a) A
district may enter into a contractual assessment agreement with an
owner of property in the area designated by the local government in
an order or ordinance under Section 391.051 to finance the purchase
and installation of an emissions management project for the owner's
property.
(b) The board by rule shall establish the terms of an
agreement under this chapter, including:
(1) the term of the assessments; and
(2) the rate of interest on the assessments.
(c) A contract under this section may allow the property
owner to directly:
(1) purchase the equipment and materials for the
installation of a renewable energy system or an energy efficiency
improvement; and
(2) contract for the installation of a renewable
energy system or energy efficiency improvement.
Sec. 391.153. ASSESSMENT ROLL. After the district and a
property owner enter into a contractual assessment agreement, the
board shall levy the assessments against the property. The board
shall have an assessment roll prepared showing the assessments
against each property. The assessment roll shall be filed with the
secretary of the board or other officer who performs the function of
secretary and be open for public inspection.
Sec. 391.154. INTEREST ON ASSESSMENTS; LIEN. (a)
Assessments bear interest at a rate specified by the board that may
not exceed the interest rate permitted under Chapter 1204,
Government Code.
(b) Interest on an assessment between the effective date of
the contract and the date the first installment and any related
penalty is payable shall be added to the first installment. The
interest or penalties on all unpaid installments shall be added to
each subsequent installment until paid.
(c) An assessment and any interest and penalties on that
assessment is a lien against the property until paid.
(d) The owner of any property assessed may at any time pay
the entire assessment against any lot or parcel with interest
accrued to the date of the payment.
Sec. 391.155. SUPPLEMENTAL ASSESSMENTS. After notice and
hearing in the manner required for original assessments, the board
may make supplemental assessments to correct an omission or mistake
in an assessment:
(1) relating to the total cost of the improvement
project or services; or
(2) covering delinquencies or costs of collection.
Sec. 391.156. NO EMINENT DOMAIN. A district may not
exercise the power of eminent domain.
[Sections 391.157-391.200 reserved for expansion]
SUBCHAPTER E. BONDS
Sec. 391.201. GENERAL OBLIGATION AND REVENUE BONDS. For the
payment of all or part of the costs of financing the purchase and
installation of emissions management projects, the board may issue
bonds in one or more series payable from and secured by assessments,
Texas emissions reduction plan grants or other funding, revenues,
grants, gifts, contracts, leases, or any combination of those
funds. Bonds may be liens on all or part of the revenue derived from
improvements authorized under this chapter, including installment
payments of special assessments, or from any other source pledged
to the payment of the bonds.
Sec. 391.202. TERMS AND CONDITIONS OF BONDS. (a) Bonds may
be issued to mature serially or otherwise not more than 40 years
from their date of issue. Provision may be made for the subsequent
issuance of additional parity bonds or subordinate lien bonds under
terms or conditions that may be stated in the order or resolution
authorizing the issuance of the bonds.
(b) The bonds are negotiable instruments within the meaning
and for purposes of the Business & Commerce Code.
(c) The bonds may be issued registrable as to principal
alone or as to both principal and interest, shall be executed, may
be made redeemable before maturity, may be issued in the form,
denominations, and manner and under the terms, conditions, and
details, may be sold in the manner, at the price, and under the
terms, and shall bear interest at the rates as determined and
provided in the order or resolution authorizing the issuance of the
bonds.
(d) Bonds may bear interest and may be issued in accordance
with Chapters 1201, 1204, and 1371, Government Code, and
Subchapters A-C, Chapter 1207, Government Code.
(e) If provided by the bond order or resolution, the
proceeds from the sale of bonds may be used to pay interest on the
bonds during and after the period of the acquisition or
construction of any emissions management project to be provided
through the issuance of the bonds, to pay administrative and
operation expenses to create a reserve fund for the payment of the
principal of and interest on the bonds, and to create any other
funds. The proceeds of the bonds may be placed on time deposit or
invested, until needed, in securities in the manner provided by the
bond order or resolution.
Sec. 391.203. PLEDGES. (a) The board may pledge all or part
of the income or assessments from emissions management projects
financed under this chapter or from any other source to the payment
of the bonds, including the payment of principal, interest, and any
other amounts required or permitted in connection with the bonds.
The pledged income shall be set and collected in amounts that will
be at least sufficient, with any other pledged resources, to
provide for all payments of principal, interest, and any other
amounts required in connection with the bonds and, to the extent
required by the order or resolution authorizing the issuance of the
bonds, to provide for the payment of expenses in connection with the
bonds and to pay operation, maintenance, and other expenses in
connection with the emissions management projects authorized under
this chapter.
(b) Bonds may be additionally secured by a mortgage or deed
of trust on real property relating to the emissions management
projects authorized under this chapter owned or to be acquired by
the district and by chattel mortgages, liens, or security interests
on personal property appurtenant to that real property. The board
may authorize the execution of trust indentures, mortgages, deeds
of trust, or other forms of encumbrance to evidence the
indebtedness.
(c) The board may pledge to the payment of the bonds all or
any part of any grant, donation, revenues, or income received or to
be received from the United States government or any other public or
private source.
Sec. 391.204. REFUNDING BONDS. (a) Bonds issued under this
chapter may be refunded or otherwise refinanced by the issuance of
refunding bonds under terms or conditions determined by order or
resolution of the board. Refunding bonds may be issued in amounts
necessary to pay the principal of and interest and redemption
premium, if any, on bonds to be refunded, at maturity or on any
redemption date, and to provide for the payment of costs incurred in
connection with the refunding.
(b) The refunding bonds shall be issued in the manner
provided by this chapter for other bonds.
Sec. 391.205. APPROVAL BY ATTORNEY GENERAL; REGISTRATION.
(a) The district shall submit bonds and the appropriate proceedings
authorizing their issuance to the attorney general for examination.
(b) If the bonds recite that they are secured by a pledge of
assessments, revenues, or rentals from a contract or lease, the
district also shall submit to the attorney general a copy of the
pledge, contract, or lease and the proceedings relating to it.
(c) If the attorney general finds that the bonds have been
authorized and any assessment, contract, or lease has been made in
accordance with law, the attorney general shall approve the bonds
and the assessment, contract, or lease, and the bonds shall be
registered by the comptroller.
(d) After approval and registration, the bonds and any
assessment, contract, or lease relating to them are incontestable
in any court or other forum for any reason and are valid and binding
obligations for all purposes in accordance with their terms.
Sec. 391.206. AUTHORIZED INVESTMENTS; SECURITY. (a)
District bonds are legal and authorized investments for:
(1) banks, trust companies, and savings and loan
associations;
(2) insurance companies;
(3) fiduciaries, trustees, and guardians; and
(4) all interest and sinking funds and other public
funds of the state and agencies, subdivisions, and
instrumentalities of the state, including counties,
municipalities, towns, villages, school districts, and all other
kinds and types of districts, public agencies, and bodies politic.
(b) District bonds are eligible and lawful security for
deposits of counties, municipalities, towns, villages, school
districts, and all other kinds and types of districts, public
agencies, and bodies politic, to the extent of the market value of
the bonds, when accompanied by any unmatured interest coupons
appurtenant to the bonds.
Sec. 391.207. LOCAL GOVERNMENT APPROVAL. (a) A district
must obtain the approval of the governing body of the local
government in which it is located for bond issues for emissions
management projects.
(b) Except as provided by Section 391.253, a local
government is not obligated to pay any bonds, notes, or other
obligations of the district.
[Sections 391.208-391.250 reserved for expansion]
SUBCHAPTER F. DISSOLUTION
Sec. 391.251. DISSOLUTION BY BOARD VOTE. Except as limited
by Section 391.253, the board by majority vote may dissolve the
district at any time.
Sec. 391.252. DISSOLUTION BY LOCAL GOVERNMENT. (a) Except
as limited by Section 391.253, the governing body of a local
government that created the district, by a vote of not less than
two-thirds of its membership, may by official action dissolve the
district.
(b) On the adoption of the ordinance or order, the district
is dissolved, and the local government succeeds to the property and
assets of the district and assumes all bonds, debts, obligations,
and liabilities of the district.
Sec. 391.253. LIMITATION. A district may not be dissolved
by its board or by a local government if the district has any
outstanding bonded indebtedness until that bonded indebtedness has
been repaid or defeased in accordance with the order or resolution
authorizing the issuance of the bonds.
SECTION 6. Section 372.003(b), Local Government Code, is
amended to read as follows:
(b) A public improvement project may include:
(1) landscaping;
(2) erection of fountains, distinctive lighting, and
signs;
(3) acquiring, constructing, improving, widening,
narrowing, closing, or rerouting of sidewalks or of streets, any
other roadways, or their rights-of-way;
(4) construction or improvement of pedestrian malls;
(5) acquisition and installation of pieces of art;
(6) acquisition, construction, or improvement of
libraries;
(7) acquisition, construction, or improvement of
off-street parking facilities;
(8) acquisition, construction, improvement, or
rerouting of mass transportation facilities;
(9) acquisition, construction, or improvement of
water, wastewater, or drainage facilities or improvements;
(10) the establishment or improvement of parks;
(11) projects similar to those listed in Subdivisions
(1)-(10);
(12) acquisition, by purchase or otherwise, of real
property in connection with an authorized improvement;
(13) special supplemental services for improvement
and promotion of the district, including services relating to
advertising, promotion, health and sanitation, water and
wastewater, renewable energy and energy efficiency, public safety,
security, business recruitment, development, recreation, and
cultural enhancement; [and]
(14) payment of expenses incurred in the
establishment, administration, and operation of the district; and
(15) acquisition, installation, or improvement of
renewable energy and energy efficiency improvements.
SECTION 7. Section 375.112(a), Local Government Code, is
amended to read as follows:
(a) An improvement project or services provided by the
district may include the construction, acquisition, improvement,
relocation, operation, maintenance, or provision of:
(1) landscaping; lighting, banners, and signs;
streets and sidewalks; pedestrian skywalks, crosswalks, and
tunnels; seawalls; marinas; drainage and navigation improvements;
pedestrian malls; solid waste, water, sewer, and power facilities,
including electrical, gas, steam, cogeneration, and chilled water
facilities; renewable energy and energy efficiency improvements;
parks, plazas, lakes, rivers, bayous, ponds, and recreation and
scenic areas; historic areas; fountains; works of art; off-street
parking facilities, bus terminals, heliports, and mass transit
systems; and the cost of any demolition in connection with
providing any of the improvement projects;
(2) other improvements similar to those described in
Subdivision (1);
(3) the acquisition of real property or any interest
in real property in connection with an improvement, project, or
services authorized by this chapter, Chapter 54, Water Code, or
Chapter 365 or 441, Transportation Code;
(4) special supplemental services for advertising,
economic development, promoting the area in the district, health
and sanitation, public safety, maintenance, security, business
recruitment, development, elimination or relief of traffic
congestion, recreation, and cultural enhancement; and
(5) expenses incurred in the establishment,
administration, maintenance, and operation of the district or any
of its improvements, projects, or services.
SECTION 8. Subchapter Z, Chapter 39, Utilities Code, is
amended by adding Section 39.9155 to read as follows:
Sec. 39.9155. SOLAR GENERATION INCENTIVE PROGRAM. (a) It is
the goal of the legislature that electric utilities administer
incentive programs for residential, commercial, and industrial
customers to increase the amount of solar generation installed in
this state in a cost-effective, market-neutral, and
nondiscriminatory manner, with a goal of installing at least 3,000
megawatts of solar generation in this state by 2020, at least 1,000
megawatts of which must be distributed generation.
(b) The commission by rule shall:
(1) establish a solar generation incentive program, to
be implemented by electric utilities, municipally owned electric
utilities, and electric cooperatives;
(2) oversee the implementation of the program required
by Subdivision (1); and
(3) establish procedures to achieve the goal
established by Subsection (a).
(c) The rules adopted under Subsection (b) must include
provisions for:
(1) a solar generation cost recovery factor to ensure
timely and reasonable cost recovery for electric utility
expenditures under this section;
(2) recovery of the cost of electric utility programs
through nonbypassable fees of not less than $0.000636 per kilowatt
hour for residential, commercial, and industrial customers;
(3) awarding incentive rebates in the first year of
the program of not less than:
(A) $2.40 per watt for residential installation;
(B) $1.50 per watt for commercial installation;
or
(C) $1.10 per watt for industrial installation;
(4) reducing the rebate amounts by not less than seven
percent annually;
(5) eliminating the incentive provided by electric
utilities under this subsection on the date the goals established
by Subsection (a) are achieved; and
(6) allowing a utility to collect up to five percent of
the awarded incentives for administrative costs.
(d) Electric utilities may not provide incentives under
this section for solar generation that is installed after the 10th
anniversary of the date on which the commission by rule establishes
the program required by this section.
SECTION 9. Section 386.051(b), Health and Safety Code, is
amended to read as follows:
(b) Under the plan, the commission and the comptroller shall
provide grants or other funding for:
(1) the diesel emissions reduction incentive program
established under Subchapter C, including for infrastructure
projects established under that subchapter;
(2) the motor vehicle purchase or lease incentive
program established under Subchapter D;
(3) the new technology research and development
program established under Chapter 387; [end]
(4) the clean school bus program established under
Chapter 390; and
(5) the plug-in hybrid motor vehicle rebate program
established under Subchapter G.
SECTION 10. Section 386.252(a), Health and Safety Code, is
amended to read as follows:
(a) Money in the fund may be used only to implement and
administer programs established under the plan and shall be
allocated as follows:
(1) for the diesel emissions reduction incentive
program, 87.5 percent of the money in the fund, of which not more
than four percent may be used for the clean school bus program,
[and] not more than 10 percent may be used for on-road diesel
purchase or lease incentives, and a portion determined by the
commission may be used for light-duty plug-in hybrid motor vehicle
rebates;
(2) for the new technology research and development
program, 9.5 percent of the money in the fund, of which up to
$250,000 is allocated for administration, up to $200,000 is
allocated for a health effects study, $500,000 is to be deposited in
the state treasury to the credit of the clean air account created
under Section 382.0622 to supplement funding for air quality
planning activities in affected counties, not less than 20 percent
is to be allocated each year to support research related to air
quality for the Houston-Galveston-Brazoria and Dallas-Fort Worth
nonattainment areas by a nonprofit organization based in Houston of
which $216,000 each year shall be contracted to the Energy Systems
Laboratory at the Texas Engineering Experiment Station for the
development and annual calculation of creditable statewide
emissions reductions obtained through wind and other renewable
energy resources for the State Implementation Plan, and the balance
is to be allocated each year to a nonprofit organization or an
institution of higher education based in Houston to be used to
implement and administer the new technology research and
development program under a contract with the commission for the
purpose of identifying, testing, and evaluating new
emissions-reducing technologies with potential for
commercialization in this state and to facilitate their
certification or verification; and
(3) for administrative costs incurred by the
commission and the laboratory, three percent of the money in the
fund.
SECTION 11. Chapter 386, Health and Safety Code, is amended
by adding Subchapter G to read as follows:
SUBCHAPTER G. PLUG-IN HYBRID MOTOR VEHICLE REBATE PROGRAM
Sec. 386.301. DEFINITIONS. In this subchapter:
(1) "Light-duty motor vehicle" and "motor vehicle"
have the meanings assigned by Section 386.151.
(2) "Plug-in hybrid motor vehicle" means a vehicle
that:
(A) draws motive power from a battery that:
(i) has a capacity of at least four
kilowatt-hours; and
(ii) can be recharged from an external
source of electricity; and
(B) is a light-duty motor vehicle.
Sec. 386.302. COMMISSION DUTIES REGARDING PLUG-IN HYBRID
MOTOR VEHICLE REBATE PROGRAM. (a) The commission shall develop a
rebate program for plug-in hybrid motor vehicles and shall adopt
rules necessary to implement the program.
(b) The program shall authorize statewide rebates for the
purchase of new plug-in hybrid motor vehicles for a purchaser who
agrees to register the vehicle in this state and operate the vehicle
in this state for not less than 75 percent of the vehicle's annual
mileage.
(c) Only one rebate may be provided for each new plug-in
hybrid motor vehicle.
Sec. 386.303. PLUG-IN HYBRID MOTOR VEHICLE REBATE. A new
plug-in hybrid motor vehicle is eligible for a $4,000 rebate.
Sec. 386.304. MODIFICATION OF REBATE. After evaluating new
technologies, the commission may change the rebate established by
Section 386.303 to improve the ability of the program to achieve its
goals, including a phaseout of the rebate based on the level of
market saturation of each vehicle, consistent with federal
regulations governing the phaseout, if any, of incentives for
hybrid vehicles.
Sec. 386.305. MANUFACTURER'S REPORT. Not later than July 1
of each year and before the beginning of the manufacturer's vehicle
model year, a manufacturer of motor vehicles shall provide to the
commission a list of the new plug-in hybrid motor vehicle models
that the manufacturer intends to sell in this state during that
model year. The manufacturer may supplement the list provided to
the commission under this section as necessary to include
additional new plug-in hybrid motor vehicle models the manufacturer
intends to sell in this state during the model year.
Sec. 386.306. LIST OF ELIGIBLE VEHICLES. (a) On August 1 of
each year, the commission shall publish a list of the new model
plug-in hybrid motor vehicles as listed for the commission under
Section 386.305. The commission shall publish and supplement that
list as necessary to include additional new plug-in hybrid motor
vehicle models listed in a supplement to the original list provided
by a manufacturer under Section 386.305.
(b) The commission shall distribute the list of eligible
plug-in hybrid motor vehicles to all new motor vehicle dealers in
this state.
Sec. 386.307. COMMISSION TO ACCOUNT FOR REBATES. (a) The
commission by rule shall develop a method to administer and account
for the plug-in hybrid motor vehicle rebates authorized by this
subchapter and to pay rebates to the purchaser of a new plug-in
hybrid motor vehicle on application of the purchaser as provided by
this subchapter.
(b) The commission shall develop and publish forms and
instructions for the purchaser of a new plug-in hybrid motor
vehicle to use in applying to the commission for a rebate under this
subchapter. The commission shall make the forms available to new
motor vehicle dealers. Dealers shall make the forms available to
their prospective purchasers.
(c) In addition to other forms developed and published under
this section, the commission shall develop and publish a
verification form by which, with information provided by the
dealer, the commission can verify the sale of a vehicle covered by
this subchapter. The verification form must include at least the
name of the purchaser, the vehicle identification number of the
vehicle involved, the date of the purchase, and the name of the new
motor vehicle dealer involved in the transaction. At the time of
sale of a vehicle eligible for a rebate under this subchapter, the
dealer shall complete the verification form supplied to the dealer
by the commission. The purchaser must include the completed
verification form as part of the purchaser's application for a
rebate. The dealer shall maintain a copy of the completed
verification form for at least two years from the date of the
transaction.
Sec. 386.308. SUSPENSION OF REBATES. (a) The commission
shall keep a record of plug-in hybrid motor vehicle rebate
applications and payments.
(b) If the balance of the money in the fund available for
plug-in hybrid motor vehicle rebates falls below 15 percent of the
total amount allocated for the rebates during a fiscal year, the
commission may suspend the rebates until the date the commission
can certify that the balance available in the fund for rebates is an
amount adequate to resume the rebates or until the beginning of the
next fiscal year, whichever is earlier. If the commission suspends
the rebates, the commission shall immediately notify all new motor
vehicle dealers that the rebates have been suspended.
(c) The commission shall establish a toll-free telephone
number available to motor vehicle dealers to call to verify that
rebates are available. The commission may provide for issuing
verification numbers over the telephone.
(d) Reliance by a dealer on information provided by the
commission is a complete defense to an action involving or based on
eligibility of a vehicle for a rebate or availability of vehicles
eligible for a rebate.
SECTION 12. Section 490.102, Government Code, is
amended to read as follows:
Sec. 490.102. ALLOCATION OF FUND. (a) Money appropriated to
the fund by the legislature, less amounts necessary to administer
the fund under Section 490.055, shall be allocated as follows:
(1) 50 percent of the money for incentives for
collaboration between certain entities as provided by Subchapter D;
(2) 16.67 percent of the money for research award
matching as provided by Subchapter E.
(3) 33.33 percent of the money for acquisition of
research superiority as provided by Subchapter F. No less than 70
percent of the funding allocated to research superiority should be
dedicated to the area of clean energy.
(b) The governor may reallocate money from one component of
the fund to another component subject to the prior approval of the
lieutenant governor and speaker of the house of representatives.
SECTION 13. Chapter 61, Education Code, is amended by
adding Subchapter FF to read as follows:
SUBCHAPTER FF. TEXAS COMPETITIVE KNOWLEDGE FUNDING
Sec. 61.9771. DEFINITIONS. In this subchapter:
(1) "Eligible institution" means an institution of higher
education designed as a research university or emerging research
university under the board's accountability system.
Sec. 61.9772. PURPOSE. The purpose of this subchapter is to
provide funding to research universities and emerging research
universities for the recruitment and retention of highly qualified
faculty and the enhancement of research productivity at those
universities.
Sec. 61.9773. FUNDING. (a) For each state fiscal year, the
board shall distribute any funds appropriated by the legislature
for the purposes of this subchapter, and any other funds made
available for the purposes of this subchapter, to eligible
institutions as follows:
(1) 80 percent to be distributed among eligible
institutions based on the average amount of total research funds
expended by each institution annually during the three most recent
state fiscal years, according to the following rates:
(A) $1 million for every $10 million of the
average annual amount of those research funds expended by the
institution in areas other than renewable energy or energy storage,
if the average annual amount of total research funds expended by the
institution is $50 million or more; and
(B) $4 million for every $10 million of the
average annual amount of those research funds expended by the
institution in the areas of renewable energy and energy storage, if
the average annual amount of total research funds expended by the
institution is $50 million or more; and
(2) 10 percent to be distributed among eligible
institutions in proportion to the average number of degrees awarded
by each institution annually during the two most recent state
fiscal years; and
(3) 10 percent to be distributed among eligible
institutions in proportion to the percentage increase, if any, in
the average number of degrees awarded by each institution annually
in the two most recent fiscal years from the average number of
degrees awarded by that institution annually in the two fiscal
years immediately preceding those fiscal years.
(c) For purposes of Subsection (a)(1), "Energy Storage"
means any device or facility capable of storing electricity that
was either taken off of the grid or recently generated for the
purpose of future use or distribution.
(d) For the purposes of Subsection (a)(1), "Renewable
Energy" means energy generated using technology that relies on an
energy source that is naturally regenerated over a short time and
derived directly from the sun, indirectly form the sun, or from
moving water or other natural movements and mechanisms of the
environment. Renewable energy technologies include those that rely
on energy derived directly from the sun, on wind, geothermal,
hydroelectric, wave, or tidal energy, or on biomass or
biomass-based waste products, including landfill gas. For the
purposes of this section, any energy derived from fossil fuels used
in the generation process must be less than 25% of the total energy
generated by that process.
(e) For purposes of Subsection (a)(1), the amount of
restricted research funds expended by an eligible institution in a
state fiscal year is the amount of those funds as reported to the
board by the institution for that fiscal year, subject to any
adjustment by the board in accordance with the standards and
accounting methods the board prescribes for purposes of this
section. If the funds available for distribution for a state fiscal
year under Subsection (a)(1) are not sufficient to provide the
amount specified by Subsection (a)(1) for each eligible institution
or exceed the amount sufficient for that purpose, the available
amount shall be distributed in proportion to the total amount to
which each institution is otherwise entitled under Subsection
(a)(1).
SECTION 14. The Texas Workforce Commission shall adopt
rules for the program under Subchapter C, Chapter 490D, Government
Code, as added by this Act, not later than March 1, 2010.
SECTION 15. Implementation of the program under Subchapter
C, Chapter 490D, Government Code, as added by this Act, is
contingent on appropriation of funding by the legislature.
SECTION 16. As soon as practicable after the effective date
of this Act, but not later than January 1, 2010, the Public Utility
Commission of Texas shall adopt rules establishing the solar
generation incentive program required by Section 39.9155,
Utilities Code, as added by this Act.
SECTION 17. Not later than January 1, 2010, the Texas
Commission on Environmental Quality shall adopt rules under
Subchapter G, Chapter 386, Health and Safety Code, as added by this
Act.
SECTION 18. This Act takes effect September 1, 2009.
SECTION 19. The Texas Higher Education Coordinating Board
shall adopt rules relating to the administration of Subchapter FF,
Chapter 61, Education Code, as added by this Act, as soon as
practicable after the effective date of this Act.
SECTION 20. This act takes effect September 1, 2009.