Texas 2013 - 83rd Regular

Texas House Bill HB1308 Compare Versions

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1	1	By: Darby H.B. No. 1308
2	2
3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to certain economic development programs administered by
7	7	the Department of Agriculture.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Section 12.027, Agriculture Code, is amended by
10	10	amending Subsections (b) and (d) and adding Subsection (g) to read
11	11	as follows:
12	12	(b) In administering the program, the department shall:
13	13	(1) promote economic growth in rural areas;
14	14	(2) identify potential opportunities for business in
15	15	rural areas and assist rural communities in maximizing those
16	16	opportunities;
17	17	(3) work with rural communities to identify economic
18	18	development needs and direct those communities to persons who can
19	19	address and assist in meeting those needs;
20	20	(4) encourage communication between organizations,
21	21	industries, and regions to improve economic and community
22	22	development services to rural areas;
23	23	(5) coordinate meetings with public and private
24	24	entities to distribute information beneficial to rural areas;
25	25	(6) enter into a memorandum of agreement to work
26	26	cooperatively with the Texas [Department of] Economic Development
27	27	and Tourism Office, the Texas AgriLife [Agricultural] Extension
28	28	Service, and other entities the department deems appropriate to
29	29	further program objectives; and
30	30	(7) perform any other functions necessary to carry out
31	31	the program.
32	32	(d) The department by rule may charge a membership fee to a
33	33	[each] participant in the program.
34	34	(g) In addition to the authority set forth in subsection
35	35	(a), the department may request, accept, and use any gift, grant,
36	36	loan, donation, aid, appropriation, guaranty, allocation, subsidy,
37	37	or contribution of any item of value to further an economic
38	38	development program in this state.
39	39	SECTION 2. Chapter 12, Agriculture Code, is amended by
40	40	adding Section 12.0272 to read as follows:
41	41	Sec. 12.0272. TEXAS ECONOMIC DEVELOPMENT FUND. (a) The
42	42	Texas economic development fund is a fund in the State Treasury.
43	43	The account consists of:
44	44	(1) all interest, income, revenue, and other assets
45	45	associated with economic development programs established using
46	46	money allocated and paid to the department under the August 15,
47	47	2011, allocation agreement between the department and the United
48	48	States Department of the Treasury, as amended, to implement the
49	49	State Small Business Credit Initiative Act of 2010 (12 U.S.C.
50	50	Section 5701 et seq.);
51	51	(2) all money, deposits, distributions, dividends,
52	52	earnings, gain, income, interest, proceeds, profits, program
53	53	income, rents, returns of capital, returns on investments,
54	54	royalties, revenue, or yields received or realized by the
55	55	department as a result of an investment made by or on behalf of the
56	56	department pursuant to the August 15, 2011, allocation agreement
57	57	between the department and the United States Department of the
58	58	Treasury, as amended;
59	59	(3) gifts, loans, donations, aid, appropriations,
60	60	guaranties, allocations, subsidies, grants, or contributions
61	61	received under Section 12.027(g);
62	62	(4) interest and income earned on the investment of
63	63	money in the fund; and
64	64	(5) other money required by law to be deposited in the
65	65	fund.
66	66	(b) Money in the Texas economic development fund may be
67	67	appropriated only to the department for the purpose of
68	68	administering, establishing, implementing, or maintaining an
69	69	economic development program under this section and is dedicated to
70	70	and may be used only for the administration, establishment,
71	71	implementation, or maintenance of one or more of the department's
72	72	economic development programs.
73	73	(c) The Texas Economic Development Fund is exempt from
74	74	Section 403.095, Government Code.
75	75	SECTION 3. Sections 12.040(d), (g), and (i), Agriculture
76	76	Code, are amended to read as follows:
77	77	(d) To be eligible to be a Texas certified retirement
78	78	community, a community shall:
79	79	(1) through a board or panel that serves as the
80	80	community's official program sponsor:
81	81	(A) complete a retiree desirability assessment,
82	82	as developed by the department, to include facts regarding crime
83	83	statistics, tax information, recreational opportunities, housing
84	84	availability, and other appropriate factors, including criteria
85	85	listed in Subsection (e); and
86	86	(B) work to gain the support of churches, clubs,
87	87	businesses, media, and other entities, as necessary for the success
88	88	of the program in the community;
89	89	(2) identify emergency medical services and a hospital
90	90	within a 75-mile radius of the community; and
91	91	(3) submit to the department:
92	92	(A) a [an application] fee in an amount equal to
93	93	the greater of:
94	94	(i) $5,000; or
95	95	(ii) $0.25 multiplied by the population of
96	96	the community, as determined by the most recent census;
97	97	(B) a marketing plan detailing the mission as
98	98	applied to the community, the target market, the competition, an
99	99	analysis of the community's strengths, weaknesses, opportunities
100	100	and dangers, and the strategies the community will employ to attain
101	101	the goals of the program; and
102	102	(C) a long-term plan outlining the steps the
103	103	community will undertake to maintain its desirability as a
104	104	destination for retirees, including an outline of plans to correct
105	105	any facility and service deficiencies identified in the retiree
106	106	desirability assessment required by Subdivision (1)(A).
107	107	(g) If the department finds that a community successfully
108	108	meets the requirements of a Texas certified retirement community,
109	109	not later than the 90th day after the application is submitted and
110	110	approved, the department shall provide [the following] assistance
111	111	to the community as determined by department rule[:
112	112	[(1) assistance in the training of local staff and
113	113	volunteers;
114	114	[(2) ongoing oversight and guidance in marketing, plus
115	115	updates on retirement trends;
116	116	[(3) inclusion in the state's national advertising and
117	117	public relations campaigns and travel show promotions, including a
118	118	prominent feature on the department's Internet website, to be
119	119	coordinated with the Internet websites of other agencies, as
120	120	appropriate;
121	121	[(4) eligibility for state financial assistance for
122	122	brochures, support material, and advertising; and
123	123	[(5) an evaluation and progress assessment on
124	124	maintaining and improving the community's desirability as a home
125	125	for retirees].
126	126	(i) The Texas certified retirement community program
127	127	account is an account in the general revenue fund. The account is
128	128	composed of fees collected under Subsection (d). Money in the
129	129	account may be appropriated to the department only for the purposes
130	130	of this section, including the payment of administrative and
131	131	personnel costs of the department associated with administering the
132	132	program. The account is exempt from the application of Section
133	133	403.095, Government Code.
134	134	SECTION 4. Section 44.007(a), Agriculture Code, is amended
135	135	to read as follows:
136	136	(a) The board shall establish an interest rate reduction
137	137	program to foster the:
138	138	(1) creation and expansion of enterprises based on
139	139	agriculture in this state; or
140	140	(2) development or expansion of businesses in rural
141	141	areas of this state.
142	142	SECTION 5. Sections 58.016(b) and (d), Agriculture Code,
143	143	are amended to read as follows:
144	144	(b) On or before August 1 of each year, the administrator
145	145	shall file with the board the proposed annual budgets for the young
146	146	farmer loan guarantee program under Subchapter E, the farm and
147	147	ranch finance program under Chapter 59, and the programs
148	148	administered by the board under this chapter for the succeeding
149	149	fiscal year. If there is no administrator, the commissioner shall
150	150	assume the duties of the administrator in connection with
151	151	preparation of the budget. The budget must set forth the general
152	152	categories of expected expenditures out of revenues and income of
153	153	the funds administered by the authority and the amount on account of
154	154	each. On or before September 1 of each year, the board shall
155	155	consider the proposed annual budget and may approve it or amend it.
156	156	[Copies of the annual budget certified by the chairman of the board
157	157	shall be promptly filed with the governor and the legislature. The
158	158	annual budget is not effective until it is filed.] If for any
159	159	reason the authority does not adopt an annual budget before
160	160	September 2, no expenditures may be made from the funds until the
161	161	board approves the annual budget. The authority may adopt an
162	162	amended annual budget for the current fiscal year[, but the amended
163	163	annual budget may not supersede a prior budget until it is filed
164	164	with the governor and the legislature].
165	165	(d) On or before January 1 of each year, the authority shall
166	166	prepare a report of its activities for the preceding fiscal year.
167	167	The report must set forth a complete operating and financial
168	168	statement. [The authority shall file copies of the report with the
169	169	governor and the legislature as soon as practicable.]
170	170	SECTION 6. Section 58.022, Agriculture Code, is amended to
171	171	read as follows:
172	172	Sec. 58.022. POWERS OF AUTHORITY. The authority has all
173	173	powers necessary to accomplish the purposes and programs of the
174	174	authority, including the power:
175	175	(1) to adopt and enforce bylaws, rules, and procedures
176	176	and perform all functions necessary for the board to carry out this
177	177	chapter;
178	178	(2) to sue and be sued, complain, and defend, in its
179	179	own name;
180	180	(3) to adopt and use an official seal and alter it when
181	181	considered advisable;
182	182	(4) to acquire, hold, invest, use, pledge, and dispose
183	183	of its revenues, income, receipts, funds, and money from every
184	184	source and to select one or more depositories, inside or outside the
185	185	state, subject to this chapter, any resolution, bylaws, or in any
186	186	indenture pursuant to which the funds are held;
187	187	(5) to establish, charge, and collect fees, charges,
188	188	and penalties in connection with the programs, services, and
189	189	activities provided by the authority in accordance with this
190	190	chapter;
191	191	(6) to issue its bonds, to provide for and secure the
192	192	payment of the bonds, and provide for the rights of the owners of
193	193	the bonds, in the manner and to the extent permitted by this
194	194	chapter, and to purchase, hold, cancel, or resell or otherwise
195	195	dispose of its bonds, subject to any restrictions in any resolution
196	196	authorizing the issuance of its bonds;
197	197	(7) to procure insurance and pay premiums on insurance
198	198	of any type, in amounts, and from insurers as the board considers
199	199	necessary and advisable to accomplish any of its purposes;
200	200	(8) to make, enter into, and enforce contracts,
201	201	agreements, including management agreements, for the management of
202	202	any of the authority's property, leases, indentures, mortgages,
203	203	deeds of trust, security agreements, pledge agreements, credit
204	204	agreements, and other instruments with any person, including any
205	205	lender and any federal, state, or local governmental agency, and to
206	206	take other actions as may accomplish any of its purposes;
207	207	(9) to own, rent, lease, or otherwise acquire, accept,
208	208	or hold real, personal, or mixed property, or any interest in
209	209	property in performing its duties and exercising its powers under
210	210	this chapter, by purchase, exchange, gift, assignment, transfer,
211	211	foreclosure, mortgage, sale, lease, or otherwise and to hold,
212	212	manage, operate, or improve real, personal, or mixed property,
213	213	wherever situated;
214	214	(10) to sell, lease, encumber, mortgage, exchange,
215	215	donate, convey, or otherwise dispose of any or all of its properties
216	216	or any interest in its properties, deed of trust or mortgage lien
217	217	interest owned by it or under its control, custody, or in its
218	218	possession, and release or relinquish any right, title, claim,
219	219	lien, interest, easement, or demand however acquired, including any
220	220	equity or right of redemption in property foreclosed by it, and to
221	221	do any of the foregoing by public or private sale, with or without
222	222	public bidding, notwithstanding any other law; and to lease or rent
223	223	any improvements, lands, or facilities from any person to effect
224	224	the purposes of this chapter;
225	225	(11) to request, accept, and use gifts, loans,
226	226	donations, aid, appropriations, guaranties, allocations,
227	227	subsidies, grants, or contributions of any item of value for the
228	228	furtherance of any of its purposes;
229	229	(12) to make secured or unsecured loans for the
230	230	purpose of providing temporary or permanent financing or
231	231	refinancing for eligible agricultural businesses for the purposes
232	232	authorized by this chapter, including the refunding of outstanding
233	233	obligations, mortgages, or advances issued for those purposes, and
234	234	charge and collect interest on those loans for such loan payments
235	235	and on such terms and conditions as the board may consider advisable
236	236	and not in conflict with this chapter;
237	237	(13) to secure the payment by the state or the
238	238	authority on guarantees and to pay claims from money in the
239	239	authority's funds pursuant to the loan guarantee and insurance
240	240	programs implemented by the authority;
241	241	(14) to purchase or acquire, sell, discount, assign,
242	242	negotiate, and otherwise dispose of notes, debentures, bonds, or
243	243	other evidences of indebtedness of eligible agricultural
244	244	businesses, whether unsecured or secured, as the board may
245	245	determine, or portions or portfolios of or participations in those
246	246	evidences of indebtedness, and sell and guarantee securities,
247	247	whether taxable or tax exempt under federal law in primary and
248	248	secondary markets in furtherance of any of the authority's
249	249	purposes; and
250	250	(15) to exercise all powers given to a corporation
251	251	under Chapter 22, Business Organizations Code [the Texas Non-Profit
252	252	Corporation Act (Article 1396-1.01 et seq., Vernon's Texas Civil
253	253	Statutes)], to the extent not inconsistent with this chapter.
254	254	SECTION 7. Section 58.053(a), Agriculture Code, is amended
255	255	to read as follows:
256	256	(a) An eligible applicant's documentation shall include the
257	257	following for the board's review:
258	258	(1) the plan, as submitted to the lender, for the
259	259	applicant's proposed farm or ranch operation or
260	260	agriculture-related business to be financed that includes a budget
261	261	for the proposed operation;
262	262	(2) a completed application for a loan from a
263	263	commercial lender on which an eligible applicant has indicated how
264	264	the loan proceeds will be used to implement the applicant's plan;
265	265	and
266	266	(3) the signed statement of a loan officer of the
267	267	commercial lender that a loan guarantee is requested [required] for
268	268	approval of the loan application.
269	269	SECTION 8. Section 487.051(a), Government Code, is amended
270	270	to read as follows:
271	271	(a) The office shall:
272	272	(1) assist rural communities in the key areas of
273	273	economic development, community development, rural health, and
274	274	rural housing;
275	275	(2) serve as a clearinghouse for information and
276	276	resources on all state and federal programs affecting rural
277	277	communities;
278	278	(3) in consultation with rural community leaders,
279	279	locally elected officials, state elected and appointed officials,
280	280	academic and industry experts, and the interagency work group
281	281	created under this chapter, identify and prioritize policy issues
282	282	and concerns affecting rural communities in the state;
283	283	(4) make recommendations to the legislature to address
284	284	the concerns affecting rural communities identified under
285	285	Subdivision (3);
286	286	(5) monitor developments that have a substantial
287	287	effect on rural Texas communities, especially actions of state
288	288	government[, and compile an annual report describing and evaluating
289	289	the condition of rural communities];
290	290	(6) administer the federal community development
291	291	block grant nonentitlement program;
292	292	(7) administer programs supporting rural health care
293	293	as provided by this chapter;
294	294	(8) perform research to determine the most beneficial
295	295	and cost-effective ways to improve the welfare of rural
296	296	communities;
297	297	(9) ensure that the office qualifies as the state's
298	298	office of rural health for the purpose of receiving grants from the
299	299	Office of Rural Health Policy of the United States Department of
300	300	Health and Human Services under 42 U.S.C. Section 254r;
301	301	(10) manage the state's Medicare rural hospital
302	302	flexibility program under 42 U.S.C. Section 1395i-4;
303	303	(11) seek state and federal money available for
304	304	economic development in rural areas for programs under this
305	305	chapter;
306	306	(12) in conjunction with other offices and divisions
307	307	of the Department of Agriculture, regularly cross-train office
308	308	employees with other employees of the Department of Agriculture
309	309	regarding the programs administered and services provided to rural
310	310	communities; and
311	311	(13) work with interested persons to assist volunteer
312	312	fire departments and emergency services districts in rural areas.
313	313	SECTION 9. Section 487.804(b), Government Code, is amended
314	314	to read as follows:
315	315	(b) Not later than January 1 of each even-numbered year, the
316	316	commissioner shall submit to the legislature a report of the
317	317	findings of the advisory council and the activities of the Texas
318	318	Rural Foundation.
319	319	SECTION 10. The heading to Section 502.404, Transportation
320	320	Code, is amended to read as follows:
321	321	Sec. 502.404. VOLUNTARY ASSESSMENT FOR TEXAS AGRICULTURAL
322	322	FINANCE AUTHORITY [YOUNG FARMER LOAN GUARANTEES].
323	323	SECTION 11. The following provisions are repealed:
324	324	(1) Section 12.040(f), Agriculture Code;
325	325	(2) Section 487.056, Government Code; and
326	326	(3) Section 487.653, Government Code.
327	327	SECTION 12. Not later than the 60th day after the effective
328	328	date of this Act, the commissioner of agriculture shall appoint a
329	329	member of the board of directors of the Texas Agricultural Finance
330	330	Authority under Section 58.012(a)(4), Agriculture Code, as amended
331	331	by this Act.
332	332	SECTION 13. This Act takes effect immediately if it
333	333	receives a vote of two-thirds of all the members elected to each
334	334	house, as provided by Section 39, Article III, Texas Constitution.
335	335	If this Act does not receive the vote necessary for immediate
336	336	effect, this Act takes effect September 1, 2013.