85R607 TSR-F By: Krause H.B. No. 135 A BILL TO BE ENTITLED AN ACT relating to reporting by political subdivisions regarding the receipt or expenditure of federal funds. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 140, Local Government Code, is amended by adding Section 140.012 to read as follows: Sec. 140.012. RECEIPT AND EXPENDITURE OF FEDERAL FUNDS. A political subdivision that receives or expends a federal grant or other federal funds that have not been appropriated by the legislature shall report to the Legislative Budget Board, the comptroller, and the governor not later than the 90th day of the political subdivision's fiscal year: (1) the total amount of federal funds received or expended in the previous fiscal year; and (2) the use or proposed use of those federal funds. SECTION 2. 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, 2017.