Texas 2025 - 89th Regular

Texas House Bill HB4657 Compare Versions

Version 1 (Old)

Version 2 (New)

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1	1		By: Barry H.B. No. 4657
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4	6		A BILL TO BE ENTITLED
5	7		AN ACT
6	8		relating to establishing the Local Government Water Redevelopment
7	9		Fund.
8	10		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	11		SECTION 1. Chapter 15, Water Code, is amended by adding
10	12		Subchapter C-2 to read as follows:
11	13		SUBCHAPTER C-2. LOCAL GOVERNMENT WATER REDEVELOPMENT FUND
12	14		Sec. 15.161. DEFINITIONS. In this subchapter:
13	15		(1) "Applicant" means a political subdivision that
14	16		imposes a sales tax or a use tax under Subtitle C, Title 3, Tax Code,
15	17		and applies to the Board for a disbursement of money from fund.
16	18		(2) "Fund" means the Local Government Water
17	19		Redevelopment Fund.
18	20		Sec. 15.162. FUND. (a) The fund is a special fund in the
19	21		state treasury administered by the board. The fund consists of:
20	22		(1) money appropriated for transfer or deposit to the
21	23		credit of the fund;
22	24		(2) depository interest allocable to the fund;
23	25		(3) money from gifts, grants, or donations to the
24	26		fund; and
25	27		(4) any other fees or sources of revenue that the
26	28		legislature may dedicate for deposit to the fund.
27	29		(b) The fund is exempt from the application of Section
28	30		403.095, Government Code.
29	31		(c) Money in the fund may be used only as provided by this
30	32		subchapter. The fund and any accounts established in the fund shall
31	33		be kept and maintained by or at the direction of the board.
32	34		(d) The board may use revenues from the fund to administer
33	35		the program.
34	36		Sec. 15.163. USE OF FUND. (a) The board shall disburse
35	37		funds for the repair and redevelopment of existing water
36	38		infrastructure located within the boundaries of an applicant.
37	39		(b) The board may approve disbursement of funds for the
38	40		repair and redevelopment of existing water structure to multiple
39	41		applicants for the same project.
40	42		(c) The board shall develop a procedure for applicants to
41	43		apply for funding and for the administration of the fund.
42	44		(d) The board may not disburse money to an applicant until
43	45		an application made to the board for a disbursement of funds from
44	46		the fund has been approved by the board.
45	47		(e) The board shall adopt rules necessary to administer the
46	48		fund.
47	49		Sec. 15.164. APPLICATIONS FOR DISBURSEMENT. (a) The
48	50		application period for funding opens after the comptroller's
49	51		disposition of sales tax proceeds under Section 151.801, Tax Code.
50	52		(b) In each fiscal year, an applicant is eligible to receive
51	53		an amount equal to up to the amount most recently deposited to the
52	54		fund under Section 151.801(g) multiplied by the quotient of:
53	55		(1) the applicant's share of the taxes collected by the
54	56		comptroller under Subtitle C, Title 3, Tax Code, in the
55	57		twelve-month period preceding the comptroller's most recent
56	58		deposit to the fund under Section 151.801(g); and
57	59		(2) the total amount of taxes collected the by
58	60		comptroller under Subtitle C, Title 3, Tax Code, in the
59	61		twelve-month period preceding the comptroller's most recent
60	62		deposit to the fund under Section 151.801(g).
61	63		(c) The board shall publish the amounts that each applicant
62	64		is eligible to receive from the fund under Subsection (b).
63	65		(d) The comptroller shall assist the board in publishing the
64	66		amounts required under Subsection (c).
65	67		SECTION 2. Section 151.801, Tax Code, is amended by
66	68		amending Subsection (a) and adding Subsection (g) to read as
67	69		follows:
68	70		(a) Except for the amounts allocated under Subsections (b),
69	71		(c), (c-2), (c-3), [and] (f), and (g), all proceeds from the
70	72		collection of the taxes imposed by this chapter shall be deposited
71	73		to the credit of the general revenue fund.
72	74		(g) After deposits under subsections (b), (c), (c-2),
73	75		(c-3), and (f), but before a deposit of taxes collected under this
74	76		chapter to the general revenue fund under Subsection (a), four
75	77		percent of all proceeds from the collection of the taxes imposed by
76	78		this chapter shall be deposited to the credit of the Local
77	79		Government Water Redevelopment Fund under Subchapter C-2, Chapter
78	80		15, Water Code.
79	81		SECTION 3. Not later than January 1, 2026, the Texas Water
80	82		Development Board shall adopt rules as required by this Act.
81	83		SECTION 4. This Act takes effect January 1, 2026, but only
82	84		if the constitutional amendment proposed by the 89th Legislature,
83	85		Regular Session, 2025, to create the Local Government Water
84	86		Redevelopment Fund to assist in financing the repair and
85	87		redevelopment of water infrastructure projects in this state is
86	88		approved by voters. If that amendment is not approved by voters,
87	89		this Act has no effect.