82R8855 DAK-F
By: Miles H.B. No. 2994
A BILL TO BE ENTITLED
AN ACT
relating to the creation, operation, and funding of the urban farm
microenterprise support program.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Title 3, Agriculture Code, is amended by adding
Chapter 44A to read as follows:
CHAPTER 44A. URBAN FARM MICROENTERPRISE SUPPORT PROGRAM
Sec. 44A.001. DEFINITIONS. In this chapter:
(1) "Board" means the board of directors of the Texas
Agricultural Finance Authority.
(2) "Microenterprise" means a small business in which
the owner operates the enterprise.
(3) "Urban area" means an area inside the boundaries
of a municipality with a population of 500,000 or more.
Sec. 44A.002. CREATION OF URBAN FARM MICROENTERPRISE
SUPPORT PROGRAM. The board shall create an urban farm
microenterprise support program to provide financial assistance to
microenterprises in urban areas that are primarily engaged in:
(1) research into processes and technology related to
agricultural production in an urban setting;
(2) the production or development of tools or
processes for agriculture in a manner suited for an urban setting;
or
(3) agricultural activities in a manner suited for an
urban setting.
Sec. 44A.003. URBAN FARM MICROENTERPRISE SUPPORT PROGRAM
LOANS. (a) The board shall administer a loan program supporting
established and proposed urban farm microenterprises in urban areas
by providing loans to expand, modernize, or otherwise improve the
established microenterprises and to begin operation of proposed
microenterprises.
(b) An applicant applying on behalf of a proposed
microenterprise may receive a loan of up to $25,000 to begin
operation of the microenterprise.
(c) An applicant applying on behalf of an established
microenterprise may receive a loan of up to $50,000 to expand,
modernize, or otherwise improve an established operation.
(d) The board may reserve a portion of the total fund for use
in cooperative loan programs established with the participation of
other public or private lenders.
Sec. 44A.004. MONEY FOR LOANS. The board may accept gifts
and grants of money from the federal government, local governments,
or private corporations or other persons for use in making loans
under the urban farm microenterprise support program. The
legislature may appropriate money for loans under the program.
Sec. 44A.005. URBAN FARM MICROENTERPRISE DEVELOPMENT FUND.
The urban farm microenterprise development fund is a fund in the
comptroller's office. The following shall be deposited to the
credit of the fund:
(1) money appropriated to the board for use for the
urban farm microenterprise support program, including for making
loans under the program;
(2) other amounts received by the state for loans made
under the program;
(3) money received in repayment of loans made under
this chapter; and
(4) other money received by the board for the program
and required by the board to be deposited in the fund.
SECTION 2. This Act takes effect September 1, 2011.