Texas 2019 - 86th Regular

Texas House Bill HB13 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	By: Phelan, Larson, Longoria, Guerra, Zerwas, H.B. No. 13
2		-	et al.
	1	+	86R19629 SLB-F
	2	+	By: Phelan, Larson, Longoria, Guerra, Zerwas H.B. No. 13
	3	+	Substitute the following for H.B. No. 13:
	4	+	By: Farrar C.S.H.B. No. 13
3	5
4	6
5	7		A BILL TO BE ENTITLED
6	8		AN ACT
7	9		relating to flood planning, mitigation, and infrastructure
8	10		projects; making an appropriation.
9	11		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	12		SECTION 1. The heading to Section 15.405, Water Code, is
11	13		amended to read as follows:
12	14		Sec. 15.405. FLOOD CONTROL PLANNING CONTRACTS.
13	15		SECTION 2. Section 15.405, Water Code, is amended by
14	16		amending Subsections (a), (f), and (g) and adding Subsection (a-1)
15	17		to read as follows:
16	18		(a) In this section, "flood control planning" means any work
17	19		related to:
18	20		(1) planning for flood protection;
19	21		(2) preparing applications for and obtaining
20	22		regulatory approvals at the local, state, or federal level;
21	23		(3) activities associated with administrative or
22	24		legal proceedings by regulatory agencies; and
23	25		(4) preparing engineering plans and specifications to
24	26		provide structural or nonstructural flood mitigation and drainage.
25	27		(a-1) The board may enter into contracts with political
26	28		subdivisions to pay from the research and planning fund all or part
27	29		of the cost of [developing] flood control planning [plans] for the
28	30		political subdivision.
29	31		(f) The board shall adopt rules establishing criteria of
30	32		eligibility for flood control planning money that considers:
31	33		(1) the relative need of the political subdivision for
32	34		the money, giving greater importance to a county that has a median
33	35		household income that is not greater than 85 percent of the median
34	36		state household income;
35	37		(2) the legal authority of the political subdivision
36	38		to plan for and control flooding; and
37	39		(3) the effect of flood control planning by the
38	40		political subdivision on overall flood control in the state and
39	41		within the area in which the political subdivision is located.
40	42		(g) The board shall require that flood control planning
41	43		documents [plans] developed under contracts entered into under this
42	44		section be made available to the commission.
43	45		SECTION 3. Chapter 15, Water Code, is amended by adding
44	46		Subchapter I to read as follows:
45	47		SUBCHAPTER I. FLOOD INFRASTRUCTURE FUND
46	48		Sec. 15.531. DEFINITIONS. In this subchapter:
47	49		(1) "Eligible political subdivision" means a district
48	50		or authority created under Section 52, Article III, or Section 59,
49	51		Article XVI, Texas Constitution, a municipality, or a county.
50	52		(2) "Flood project" means a drainage, flood
51	53		mitigation, or flood control project, including:
52	54		(A) planning and design activities;
53	55		(B) work to obtain regulatory approval to provide
54		-	nonstructural and structural flood mitigation and drainage;
	56	+	nonstructural and structural flood mitigation and drainage; and
55	57		(C) construction of structural flood mitigation
56		-	and drainage infrastructure; and
57		-	(D) construction and implementation of
58		-	nonstructural projects, including projects that use nature-based
59		-	features to protect, mitigate, or reduce flood risk.
	58	+	and drainage infrastructure.
60	59		(3) "Infrastructure fund" means the flood
61	60		infrastructure fund.
62	61		(4) "Metropolitan statistical area" means an area so
63	62		designated by the United States Office of Management and Budget.
64	63		(5) "Political subdivision bonds" means bonds or other
65	64		obligations issued by a political subdivision to fund a project and
66	65		purchased by the board from money in the infrastructure fund.
67	66		Sec. 15.532. FINDINGS. The legislature finds that:
68	67		(1) the creation of the infrastructure fund and the
69	68		administration of the fund by the board will encourage the
70	69		development of nonstructural and structural flood mitigation in the
71	70		state;
72	71		(2) the use of the infrastructure fund is in
73	72		furtherance of the public purpose of mitigating the effects of
74	73		flooding in the state; and
75	74		(3) the use of the infrastructure fund for the
76	75		purposes provided by this subchapter is for the benefit of both the
77	76		state and the political subdivisions to which the board makes
78	77		financial assistance available in accordance with this subchapter
79	78		and constitutes a program under Sections 49-d-3 and 52-a, Article
80	79		III, Texas Constitution.
81	80		Sec. 15.533. FLOOD INFRASTRUCTURE FUND. (a) The flood
82	81		infrastructure fund is a special fund in the state treasury outside
83	82		the general revenue fund.
84	83		(b) The infrastructure fund may be used by the board,
85	84		without further legislative appropriation, only as provided by this
86	85		subchapter.
87	86		(c) The infrastructure fund consists of:
88	87		(1) appropriations from the legislature for a purpose
89	88		of the infrastructure fund;
90	89		(2) proceeds of general obligation bonds issued for a
91	90		purpose of the infrastructure fund;
92	91		(3) any fees or other sources of revenue that the
93	92		legislature dedicates for deposit to the infrastructure fund;
94	93		(4) repayments of loans made from the infrastructure
95	94		fund;
96	95		(5) interest earned on money credited to the
97	96		infrastructure fund;
98	97		(6) depository interest allocable to the
99	98		infrastructure fund;
100	99		(7) money from gifts, grants, or donations to the
101	100		infrastructure fund;
102	101		(8) money from revenue bonds or other sources
103	102		designated by the board for deposit to the infrastructure fund; and
104	103		(9) proceeds from the sale of political subdivision
105	104		bonds or obligations held in the infrastructure fund and not
106	105		otherwise pledged to the discharge, repayment, or redemption of
107	106		revenue bonds or other bonds, the proceeds of which were placed in
108	107		the infrastructure fund.
109	108		Sec. 15.534. USE OF INFRASTRUCTURE FUND. (a) The board may
110	109		use the infrastructure fund only:
111	110		(1) to make a loan to an eligible political
112	111		subdivision at or below market interest rates for a flood project;
113	112		(2) to make a grant, low interest loan, or zero
114	113		interest loan to an eligible political subdivision for:
115	114		(A) a flood project to serve an area outside of a
116	115		metropolitan statistical area in order to ensure that the flood
117	116		project is implemented; or
118	117		(B) a flood project to serve an economically
119	118		distressed area;
120	119		(3) to make a loan at or below market interest rates
121	120		for planning and design costs, permitting costs, and other costs
122	121		associated with state or federal regulatory activities with respect
123	122		to a flood project;
124	123		(4) to make a grant to an eligible political
125	124		subdivision to provide matching funds to enable the eligible
126	125		political subdivision to participate in a federal program for a
127	126		flood project;
128	127		(5) as a source of revenue or security for the payment
129	128		of principal and interest on bonds issued by the board if the
130	129		proceeds of the sale of the bonds will be deposited in the
131	130		infrastructure fund; and
132	131		(6) to pay the necessary and reasonable expenses of
133	132		the board in administering the infrastructure fund.
134	133		(b) Principal and interest payments on loans made under
135	134		Subsection (a)(3) may be deferred for not more than 10 years or
136	135		until construction of the flood project is completed, whichever is
137	136		earlier.
138	137		Sec. 15.535. APPLICATION REQUIREMENTS. (a) Except as
139	138		provided by Subsection (c), an eligible political subdivision
140	139		applying for financial assistance under this subchapter for a
141	140		proposed flood project must demonstrate in the application that:
142	141		(1) the eligible political subdivision has acted
143	142		cooperatively with other political subdivisions to address flood
144	143		control needs in the area in which the eligible political
145	144		subdivisions are located;
146	145		(2) all eligible political subdivisions substantially
147	146		affected by the proposed flood project have participated in the
148	147		process of developing the proposed flood project;
149	148		(3) the eligible political subdivisions, separately
150	149		or in cooperation, have held public meetings to accept comment on
151	150		proposed flood projects from interested parties; and
152	151		(4) the technical requirements for the proposed flood
153	152		project have been completed and compared against any other
154	153		potential flood projects in the same area.
155	154		(b) The application must include an analysis of whether the
156	155		proposed flood project could use floodwater capture techniques for
157	156		water supply purposes, including floodwater harvesting, detention
158	157		or retention basins, or other methods of capturing storm flow or
159	158		unappropriated flood flow.
160	159		(c) An eligible political subdivision applying for
161	160		assistance under Section 15.534(a)(3) is not required to make the
162	161		demonstration described by Subsection (a)(4) of this section.
163	162		Sec. 15.536. APPROVAL OF APPLICATIONS. On review and
164	163		recommendation by the executive administrator, the board may
165	164		approve an application only if the board finds that:
166	165		(1) the application and the assistance applied for
167	166		meet the requirements of this subchapter and board rules;
168	167		(2) the application demonstrates a sufficient level of
169	168		cooperation among eligible political subdivisions and includes all
170	169		of the eligible political subdivisions substantially affected by
171	170		the flood project; and
172	171		(3) the taxes or other revenue, or both the taxes and
173	172		other revenue, pledged by the applicant will be sufficient to meet
174	173		all the obligations assumed by the eligible political subdivision.
175	174		Sec. 15.537. APPLICABLE LAW. Subchapter E, Chapter 17,
176	175		applies to financial assistance made available from the
177	176		infrastructure fund, except that the board may execute contracts as
178	177		necessary to evidence grant agreements.
179	178		Sec. 15.538. RULES. The board shall adopt rules necessary
180	179		to carry out this subchapter, including rules:
181	180		(1) that establish procedures for an application for
182	181		and for the award of financial assistance;
183	182		(2) for the investment of money; and
184	183		(3) for the administration of the infrastructure fund.
185	184		Sec. 15.539. SALE OF POLITICAL SUBDIVISION BONDS. (a) The
186	185		board may sell or dispose of political subdivision bonds at the
187	186		price and under the terms that the board determines to be
188	187		reasonable.
189	188		(b) The board may sell political subdivision bonds without
190	189		making a previous offer to the eligible political subdivision that
191	190		issued the bonds and without advertising, soliciting, or receiving
192	191		bids for sale.
193	192		(c) Notwithstanding other provisions of this chapter, the
194	193		board may sell to the Texas Water Resources Finance Authority any
195	194		political subdivision bonds purchased with money in the
196	195		infrastructure fund and may apply the proceeds of a sale in the
197	196		manner provided by this section.
198	197		(d) Proceeds from the sale of political subdivision bonds
199	198		under this section shall be deposited in the infrastructure fund
200	199		for use as provided by Section 15.534.
201	200		(e) As part of a sales agreement with the Texas Water
202	201		Resources Finance Authority, the board by contract may agree to
203	202		perform the functions required to ensure that the eligible
204	203		political subdivision pays the debt service on political
205	204		subdivision bonds sold and observes the conditions and requirements
206	205		stated in those bonds.
207	206		(f) The board may exercise any powers necessary to carry out
208	207		the authority granted by this section, including the authority to
209	208		contract with any person to accomplish the purposes of this
210	209		section.
211	210		Sec. 15.540. INFORMATION CLEARINGHOUSE. The board shall
212	211		act as a clearinghouse for information about state and federal
213	212		flood planning, mitigation, and control programs that may serve as
214	213		a source of funding for flood projects.
215	214		Sec. 15.541. LIABILITY. Participation in cooperative flood
216	215		planning to obtain money under this subchapter does not subject an
217	216		eligible political subdivision to civil liability in regard to a
218	217		flood project.
219	218		SECTION 4. Subchapter C, Chapter 16, Water Code, is amended
220	219		by adding Sections 16.061 and 16.062 to read as follows:
221	220		Sec. 16.061. STATE FLOOD PLAN. Not later than September 1,
222	221		2024, and before the end of each successive five-year period after
223	222		that date, the board shall prepare and adopt a comprehensive state
224	223		flood plan that incorporates the regional flood plans approved by
225	224		the board.
226	225		Sec. 16.062. TEN-YEAR DAM REPAIR AND MAINTENANCE PLAN. The
227	226		state soil and water conservation board shall prepare and adopt a
228	227		plan describing the repair and maintenance needs of flood control
229	228		dams as provided by rule and prepare and adopt a new plan before the
230	229		end of the 10th year following the adoption of a plan.
231		-	SECTION 5. Subchapter H, Chapter 49, Water Code, is amended
232		-	by adding Section 49.239 to read as follows:
233		-	Sec. 49.239. COOPERATIVE FLOOD CONTROL. A district,
234		-	including a river authority, may participate in cooperative flood
235		-	control planning for the purpose of obtaining financial assistance
236		-	as an eligible political subdivision for a flood control project
237		-	under Subchapter I, Chapter 15.
238		-	SECTION 6. (a) The amount of $3.26 billion is appropriated
	230	+	SECTION 5. Title 5, Water Code, is amended by designating
	231	+	Chapter 152 as Subtitle A and adding a subtitle heading to read as
	232	+	follows:
	233	+	SUBTITLE A. RIVER AUTHORITIES
	234	+	SECTION 6. Subtitle A, Title 5, Water Code, as added by this
	235	+	Act, is amended by adding Chapter 150 to read as follows:
	236	+	CHAPTER 150. PROVISIONS GENERALLY APPLICABLE TO RIVER AUTHORITIES
	237	+	Sec. 150.0101. DEFINITIONS. In this chapter:
	238	+	(1) "Director" means a member of the board of
	239	+	directors of a river authority.
	240	+	(2) "River authority" means a district created under
	241	+	the authority of Section 59, Article XVI, Texas Constitution, as a
	242	+	regional water management entity to provide water development and
	243	+	planning services and other services to a river basin or portion of
	244	+	a river basin.
	245	+	Sec. 150.0102. PARTICIPATION IN COOPERATIVE FLOOD
	246	+	PLANNING. A river authority may participate in cooperative flood
	247	+	planning to obtain money from the flood infrastructure fund under
	248	+	Subchapter I, Chapter 15, Water Code, including:
	249	+	(1) providing administrative or technical support;
	250	+	and
	251	+	(2) participation by a director, general manager, or
	252	+	other river authority staff in the cooperative flood planning
	253	+	process.
	254	+	SECTION 7. (a) The amount of $3.26 billion is appropriated
239	255		out of the economic stabilization fund to the flood infrastructure
240	256		fund for purposes of implementing Subchapter I, Chapter 15, Water
241	257		Code, as added by this Act.
242	258		(b) This section takes effect only if this Act is approved
243	259		by a vote of two-thirds of the members present in each house of the
244	260		legislature, as provided by Section 49-g(m), Article III, Texas
245	261		Constitution.
246		-	SECTION 7. This Act takes effect January 1, 2020, but only
	262	+	SECTION 8. This Act takes effect January 1, 2020, but only
247	263		if the constitutional amendment proposed by the 86th Legislature,
248	264		Regular Session, 2019, authorizing the legislature to provide for
249	265		the creation of the flood infrastructure fund to assist in the
250	266		financing of drainage, flood mitigation, and flood control projects
251	267		is approved by the voters. If that amendment is not approved by the
252	268		voters, this Act has no effect.