Relating to the creation of the disaster response loan fund and the permissible uses of that fund; making an appropriation.
Impact
The bill amends Chapter 403 of the Government Code, creating a specific subchapter dedicated to the Disaster Response Loan Fund. According to the bill, the fund will consist of money appropriated by the legislature, repayments and interest earned on loans, as well as possible gifts and grants. An appropriation of $500 million from the unencumbered balance of the general revenue fund will initially capitalize the Disaster Response Loan Fund. This financial framework ensures that sufficient resources are available for rapid response in times of statewide emergencies caused by natural disasters.
Summary
House Bill 2812 is an act that establishes the Disaster Response Loan Fund to provide short-term loans to political subdivisions affected by disasters. This fund is intended to assist areas declared disaster zones by the governor, particularly those recognized by the Federal Emergency Management Agency (FEMA) as eligible for federal financial assistance. The fund is created outside the state treasury and will be administered by the comptroller, who will also provide the rules for loan distribution.
Contention
Discussion surrounding HB 2812 may center on the criteria and conditions of the loans. For instance, loans made from the fund must be at a specific interest rate and can only fund projects directly related to disaster relief and recovery. There could be points of contention regarding the potential impact on the communities' ability to manage their recovery and how the fund's established rules may influence the speed and accessibility of aid. Furthermore, the potential suspension of loan awards if the fund balance drops below a certain threshold raises concerns about maintaining ongoing support through long-term recovery efforts.
Relating to the allocation of certain constitutional transfers of money to the economic stabilization fund, the state highway fund, and the Grow Texas fund and to the permissible uses of money deposited to the Grow Texas fund.
Relating to the establishment of the Texas Energy Insurance Program and other funding mechanisms to support the construction and operation of electric generating facilities.
Relating to state and local government responses to a pandemic disaster, including the establishment of the Pandemic Disaster Legislative Oversight Committee.
Relating to the creation of a revolving loan program to fund the purchase by historically underutilized businesses of certain bonds required for public work contracts.
Relating to the creation of a revolving loan program to fund the purchase by historically underutilized businesses of certain bonds required for public work contracts.
Relating to the creation of the Texas state buildings preservation endowment fund, including the transfer to the fund of the unencumbered balances of certain other funds.
Relating to the transfer of the regulation of property tax professionals from the Texas Department of Licensing and Regulation to the comptroller of public accounts; providing civil and administrative penalties.
Relating to the abolishment of the Texas Council on Purchasing from People with Disabilities and the transfer of its functions to the Texas Workforce Commission.
Relating to the abolishment of the Texas Council on Purchasing from People with Disabilities and the transfer of its functions to the comptroller of public accounts.
Relating to a Pan American Games trust fund, an Olympic Games trust fund, a Major Events trust fund, a Motor Sports Racing trust fund, and an Events trust fund for sporting and non-sporting events, and to the abolishment of the special event trust fund.