Part 1.
OFFICE OF THE GOVERNOR
Chapter 5.
BUDGET AND PLANNING OFFICE
Subchapter A. FEDERAL AND INTERGOVERNMENTAL COORDINATION
3.
STATE PLANNING ASSISTANCE GRANTS
1 TAC §§5.81 - 5.90
The Office of the Governor proposes amendments to §§5.81
- 5.83 and new §§5.84 - 5.90 containing provisions required by amendments
enacted by the 76th Texas Legislature (1999). The revisions clarify existing
provisions and add new reporting and compliance requirements for regional
councils in the areas of financial management, travel, nepotism, lobbying
and procurement.
Tom Adams, the State Single Point of Contact in the Governor's Budget and
Planning Office, has determined that for each year of the first five years
the rules are in effect regional councils may incur additional costs as a
result of enforcing the rules. These costs would result from additional reporting
requirements imposed by the new rules. However, these costs are expected to
be offset by providing consistency in state oversight that presently is fragmented
and sometimes duplicative.
Mr. Adams has also determined that for each year of the first five years
the rules as proposed are in effect, the public is expected to benefit as
a result of increased accountability of public expenditures and operational
efficiency through the use of consistent procedures and definitions. There
will be no effect on small businesses. There is no anticipated economic cost
to persons who are required to comply with the sections as proposed.
Comments on the proposal may be submitted in writing to Tom Adams, Governor's
Budget and Planning Office, P.O. Box 12428, Austin, Texas, 78711-2428 or may
be sent by e-mail to tadams@governor.state.tx.us.
The new rules and amendments are proposed pursuant to the authority
contained in §391.009 and §391.0095, Local Government Code, as amended,
which direct the governor to issue rules relating to the operation and oversight
of regional planning commission.
The Local Government Code, Chapter 391 is affected by this proposal.
§5.81.Definitions.
The following words and terms, when used in these sections, shall have
the following meanings, unless the context clearly indicates otherwise.
(1)
Automobile allowance-a monthly or other
periodic stipend to defray the costs of operating a motor vehicle, which does
not require mileage or other documentation.
(2)
[
(3)
[
(4)
[
(A)
assessing the needs and resources of an area;
(B)
formulating goals, objectives, policies, and standards
to guide its long-range physical, economic, and human resources development;
and
(C)
preparing plans and programs, [
(i)
identify alternative courses of action and the
spatial
[
(ii)
specify the appropriate ordering in time of such activities;
(iii)
take into account other relevant factors affecting the
achievement of the desired development of the area;
(iv)
provide an overall framework and guide for the preparation
of function and project development plans;
(v)
make recommendations for long-range programming and financing
of capital projects and facilities which are of mutual concern to two or more
member governments; and
(vi)
make such other recommendations as may be deemed appropriate.
(vii)
A regional planning commission is in
compliance with the requirement that it undertake a comprehensive development
planning process if it has an on-going process to coordinate its various functional
planning efforts and periodically completes and updates strategic and program
plans required by its governing body or by state and federal programs in which
the regional planning commission participates.
(5)
[
(6)
[
(7)
Indirect costs--Costs that are incurred
for a common or joint purpose benefiting more than one cost objective, that
are not readily assignable to the cost objectives specifically benefited without
effort disproportionate to the results. The governor shall use the federal
Office of Management and Budget Circulars A-87 and A-122 or any rules relating
to the determination of indirect costs adopted under Chapter 783, Government
Code, in administering indirect cost recovery provisions of these rules.
(8)
Officially sanctioned conference
or meeting--A conference or meeting conducted or attended as a part of a regional
planning commission's official business.
(9)
Pass-through funds--Funds, including
subgrants or subcontracts, that are received by a regional planning commission
from the federal or state government or other grantor for which the regional
planning commission serves merely as a cash conduit and has no administrative
or financial involvement in the program, such as contractor selection, contract
provisions, contract methodology payment, or contractor oversight and monitoring.
(10)
Performance report--An analysis
of progress made toward achieving goals and objectives set internally or by
outside contract or other agreement.
(11)
Productivity report--An analysis
of the efficiency with which activities are carried out or goals and objectives
are met. This analysis provides information on how well the organization used
its resources to produce selected goods and services.
(12)
[
§5.82.General Regulations.
(a)
The State of Texas will recognize one regional
planning
commission
[
(b)
A local government desiring to participate in a regional
planning commission
[
(c)
All applications from regional
planning commissions
[
(d)
Funding under the state planning assistance program will
be based on member counties and incorporated municipalities as of September
1 for the
fiscal
year in which funds are being sought. The population
of member cities in nonmember counties will be included in computing the amount
of state grant eligibility.
(e)
State aid can be expended for any legal activity of a regional
planning commission
[
(f)
Regional
planning commissions
[
(g)
For the purpose of calculating state aid, the United States
Census Bureau's most recent decennial census will be utilized.
(h)
A commission applying for state assistance
funds must have funds available annually from sources other than the state
or federal governments equal to or greater than one-half of the state financial
assistance for which the commission applies.
(i)
The applicant may count local cash funds
which will be collected during the applicant's entire fiscal year toward meeting
the requirement of subsection (h) of this section. Local funds carried forward
from a previous fiscal year, above the amount that was equal to one-half of
the state planning assistance funds for which the commission applied, may
be counted in subsequent fiscal years as funds available from sources other
than the state or federal government.
(j)
The nepotism provisions of Chapter 573,
Government Code, apply to a regional planning commission.
[(h)
The applicant may count local cash funds
which will be collected during the entire fiscal year of the applicant toward
the state grant. Unmatched local funds collected during the previous regional
council fiscal year may also be used as matching funds.]
§5.83.Financial Audit Requirements.
(a)
Not later than nine months after the close of each
regional planning commission's
[
[(1)
An identification of the expenditure
of the state planning assistance monies during the fiscal year being audited.
The audit should include, but not be limited to, such categories of expenditures
as salaries, fringe benefits, travel, consultants and contract services, match
for federal and state monies by program, rent, supplies, equipment, and other
costs.]
[(2)
An audit statement of indirect costs
which compares actual indirect cost allocations with the proposed indirect
cost allocation plan used to establish a provisional indirect cost rate.]
(b)
The annual audit will be commissioned
by the governing body of the regional planning commission unless the governor
notifies each affected regional planning commission in writing at least 60
days prior to the end of the regional planning commission's fiscal year for
which the audit would be performed that the Governor's Office intends to commission
the audit.
(c)
In lieu of commissioning the audit, the
Office of the Governor may require specific elements to be included in the
annual audit.
(d)
The governor will place primary reliance
upon state single audit coordinating agencies to review regional planning
commission audits. However, the governor may require planning commission audits
to be reviewed by Office of the Governor auditors or by a third party or parties.
(e)
The audit shall include:
(1)
the amount and source of funds received by the regional
planning commission;
(2)
the amount and source of funds expended by the regional
planning commission;
(3)
an explanation of any method used by the regional
planning commission to compute an expense of the regional planning commission,
including computation of any indirect cost of the regional planning commission;
and
(4)
a statement of indirect costs which compares actual
indirect cost allocations with the proposed indirect cost allocation plan
used to establish an indirect cost rate.
(f)
The Office of the Governor may, by rule,
establish standards and guidelines which regional planning commissions must
use in selecting independent auditors.
(g)
Audit costs may be charged to the State
Planning Assistance Grant.
[(b)
It will be the policy of the Office of
the Governor to receive applications for state planning assistance at least
30 days prior to the beginning of each state fiscal year. The Office of the
Governor, Budget and Planning, will award all of the regional council's state
planning assistance allocation upon receipt and approval of a completed grant
application and the regional council's audit for the previous fiscal year.
Absent an approved audit, the regional council will be eligible to receive
one-half of its allocation, with the remainder to be disbursed upon receipt
and approval of the required audit.]
§5.84.State Planning Assistance Application Package.
(a)
It is the policy of the Office of the Governor to receive
applications for state planning assistance at least 30 days prior to the beginning
of each state fiscal year. The Office of the Governor will award all of the
regional planning commission's state planning assistance allocation upon receipt
and approval of a completed grant application and the regional planning commission's
audit for the previous fiscal year. Absent an approved audit, the regional
planning commission will be eligible to receive one-half of its allocation,
with the remainder to be disbursed upon receipt and approval of the required
audit and compliance with contract provisions, applicable state law, rules
and appropriation act riders.
(b)
Copies of the State Planning Assistance Grant Application
Package may be obtained from the Office of the Governor, Budget and Planning,
P.O. Box 12428, Austin, Texas, 78711-2428.
§5.85.Required Prior Approval of Salaries.
(a)
For each fiscal year, a regional planning commission shall
adopt a salary schedule for all classified positions and shall identify and
specify salaries for all positions exempted in accordance with subsection
(d) of this section.
(b)
The salary schedule adopted by the regional planning commission
may not exceed, for classified positions, the state salary schedule for classified
positions as prescribed by the general appropriations act adopted by the most
recent legislature. A regional planning commission may adopt a salary schedule
that is less than the state salary schedule.
(c)
A salary for a position classified under the regional planning
commission's salary schedule may not exceed the state salary that has been
approved by the state auditor's office for comparable work.
(d)
A position may only be exempted from the classification
salary schedule adopted by the regional planning commission if the exemption
and the salary paid for the exempt position is within the range determined
appropriate for state exempt positions by the state auditor.
(e)
Salaries charged to state grant funds, directly or indirectly,
will be considered reasonable to the extent that they are comparable to salaries
paid for similar positions in the labor market in which the employing planning
commission competes for the kinds of positions involved. Wage and salary comparability
will be determined from the State Auditor's state classification plan, positions
exempt from the state classification plan, biennial reports on state classification
and pay and reports on benefits as a percentage of salary, as well as the
U. S. Department of Labor's Employment Cost index and other appropriate sources,
including documentation provided by the regional planning commission.
(f)
A regional planning commission shall annually submit, as
approved by its governing board, its salary schedule, including the salaries
of all exempt positions, to the director of the Office of the Governor's Budget
and Planning Division not later than the 45th day before the date of the beginning
of the regional planning commission's fiscal year.
(1)
If, within 30 days of the submission, the Office of the
Governor has not responded in writing disapproving the schedule, the salaries
shall be deemed to have been accepted.
(2)
If the governor objects to a regional planning commission's
salary schedule, or a portion thereof, the regional planning commission shall
be so notified in writing within 30 days of receipt of the schedule, and the
portion of the schedule that the governor objects to may not go into effect
until revisions or explanations are given that are satisfactory to the governor
and the governor approves that portion of the schedule.
(3)
A disapproved portion of a salary schedule may not
be paid directly or indirectly from state-appropriated funds.
(4)
Actual salary rates paid to employees in either classified
or exempt positions may be adjusted from time to time during the commission's
fiscal year so long as the resultant actual salary rate does not exceed the
applicable maximum rate established in the schedule submitted in accordance
with this subsection.
(g)
This section does not apply to a regional planning commission
if the most populous county that is a member of the regional planning commission
has an actual average weekly wage that exceeds the state actual average weekly
wage by 20 percent or more for the previous year as determined by the Texas
Workforce Commission in its County Employment and Wage Information Report.
(1)
A regional planning commission exempted from the salary
provisions by this subsection shall annually file an exemption notice with
the director of the Office of the Governor, Budget and Planning Division.
(2)
The exemption notice shall contain supporting information
from the Texas Work Force Commission's County Employment and Wage Information
Report for the applicable period.
§5.86.Restrictions on Regional Planning Commission Costs.
(a)
In reimbursing regional planning commission personnel for
travel expenses, a regional planning commission may not expend funds for travel
in excess of the amount that may be expended for state personnel under the
general appropriations act or travel regulations adopted by the comptroller
for mileage, per diem, and lodging reimbursement. Regional planning commission
personnel eligible to receive reimbursement for actual expenses for meals
and lodging may not receive reimbursements at a higher rate than those allowed
for state personnel authorized to receive reimbursement for actual expenses.
(b)
A member of the governing body of a regional planning commission
may not be reimbursed from state-appropriated funds, including federal funds,
for official travel in an amount in excess of the rates set for travel by
state board and commission members.
(c)
If a hotel is unable or unwilling to provide a commission's
officers or employees a rate equivalent to the rate provided to state employees,
or if a negotiated conference rate for an officially sanctioned conference
or meeting exceeds the applicable state reimbursement rate for lodging, a
regional planning commission may reimburse for lodging expenses at the rates
of the expenses incurred.
(d)
A regional planning commission may not expend any funds
for the purchase of alcoholic beverages or entertainment.
(e)
A regional planning commission must comply with provisions
equivalent to those applied to local governments by Chapter 252, Local Government
Code, when purchasing goods or services.
(f)
A regional planning commission may not spend more than
15 percent of its total expenditures on indirect costs. For the purposes of
this subsection, the regional planning commission's capital expenditures and
any subcontracts, pass-throughs, or subgrants may not be considered in determining
total expenditures. In this subsection, "pass-through funds" means funds,
including subgrants or subcontracts, that are received by a regional planning
commission from the federal or state government or other grantor for which
the regional planning commission serves merely as a cash conduit and has no
administrative or financial involvement in the program, such as contractor
selection, contract provisions, contract methodology payment, or contractor
oversight and monitoring.
(1)
The executive director or chief financial officer of each
regional planning commission shall annually, based upon audited financial
data, certify to the director of the Office of the Governor's Budget and Planning
Division and to each awarding agency that its indirect costs for the preceding
year have not exceeded 15 percent of total expenditures, as defined in this
subsection.
(2)
If indirect costs exceed 15 percent as defined in
this subsection, the regional planning commission will credit each affected
awarding agency by reducing indirect charges on a pro rata basis to such affected
agencies in the subsequent fiscal year.
(3)
In the case of one-time grants or failure to reduce
indirect charges as required by paragraph (2) of this subsection, the regional
planning commission will rebate overcharges of indirect costs on a pro rata
basis to the affected awarding agency or agencies.
(g)
A regional planning commission may not expend funds for
an automobile allowance for a member of the governing body of the regional
planning commission if the member holds another state, county, or municipal
office.
§5.87.Reports.
(a)
Each regional planning commission shall provide annually
to the director of the Office of the Governor's Budget and Planning Division,
not later than 90 days following the end of the regional planning commission's
fiscal year:
(1)
a report of the regional planning commission's productivity
and performance during the annual reporting period, based upon the annual
work program required by §5.90 of this title (relating to Annual Work
Program);
(2)
a projection of the regional planning commission's
productivity and performance during the next annual reporting period based
upon the annual work program required by §5.90 of this title; and
(3)
a report of any assets disposed of by the regional
planning commission.
(b)
A regional planning commission shall send to the governor,
the state auditor, the comptroller, and the Legislative Budget Board a copy
of each report or audit required under these rules. If the governor determines
that there is a question about the appropriateness of an expenditure or other
action of a regional planning commission, the governor shall report the expenditure
or other action to the state auditor for review.
(c)
An entity required to file an audit or a report under these
rules shall file the initial audit or report not later than September 1, 2000.
(d)
A regional planning commission shall submit any other report
or audit required by the governor.
§5.88.Sanctions.
If a regional planning commission fails to submit a report or audit
required under this section or is determined by the governor to have failed
to comply with a rule, requirement, or guideline adopted under §391.009,
Local Government Code, the governor may, until the failure is corrected:
(1)
withhold any appropriated funds of the regional planning
commission; or
(2)
appoint a receiver to operate or oversee the regional
planning commission.
§5.89.Lobbying.
An employee of a regional planning commission when using state-appropriated
funds, including federal funds, is subject to the same rules regarding lobbying
and other advocacy activities contained in Chapter 556, Government Code, as
an employee of any state agency.
§5.90.Annual Work Program.
Each regional planning commission shall annually prepare a work program
which encompasses the commission's major programs and activities for the next
fiscal year. The work program may be a separate planning document, or may
be included as a part of another document, such as the annual budget and work
program, comprehensive economic development strategy and work program, annual
operational plan or other, similar document.
(1)
The work program must delineate goals, objectives and performance
measures in sufficient detail to provide a basis for projecting performance
and productivity for the next fiscal year and for evaluating whether or to
what degree goals and objectives were met in the previous fiscal year.
(2)
The work program must be submitted to the director
of the Office of the Governor's Budget and Planning Division within 90 days
following the close of the regional planning commission's previous fiscal
year. Submission of the work program with the elements required in paragraph
(1) of this section constitutes compliance with the requirements of productivity
and performance reporting required by §5.87(a)(1) and (2) of this title
(relating to Reports).
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State, on March 7, 2000.
TRD-200001717
Claudia Nadig
Assistant General Counsel
Office of the Governor
Earliest possible date of adoption: April 16, 2000
For further information, please call: (512) 463-1788
1 TAC §5.84, §5.85
(Editor's note: The text of the following sections proposed for
repeal will not be published. The sections may be examined in the offices
of the Office of the Governor or in the Texas Register office, Room 245, James
Earl Rudder Building, 1019 Brazos Street, Austin.)
The Office of the Governor proposes to repeal §5.84,
concerning State Planning Assistance Application Package and §5.85, concerning
Copies and combine the provisions of those two sections into a new §5.84,
concerning State Planning Assistance Application Package.
Tom Adams, the State Single Point of Contact in the Governor's Budget and
Planning Office, has determined that for each year of the first five years
the repeal is in effect regional councils will incur no additional costs as
a result of repealing these sections.
Mr. Adams has also determined that for each year of the first five years
the repeal as proposed is in effect, there will be no significant impact on
the public. There will be no effect on small business. There is no anticipated
economic cost to persons as a result of repealing these sections.
Comments on the proposal may be submitted in writing to Tom Adams, Governor's
Budget and Planning Office, P.O. Box 12428, Austin, Texas, 78711-2428 or may
be sent by e-mail to tadams@governor.state.tx.us.
The repeal is proposed pursuant to the authority contained in §391.009
and §391.0095, Local Government Code, as amended, which direct the governor
to issue rules relating to the operation and oversight of regional planning
commission.
No statutes are affected by this proposed repeal.
§5.84.State Planning Assistance Application Package.
§5.85.Copies.
This agency hereby certifies that the proposal has been
reviewed by legal counsel and found to be within the agency's legal authority
to adopt.
Filed with the Office of
the Secretary of State, on March 7, 2000.
TRD-200001718
Claudia Nadig
Assistant General Counsel
Office of the Governor
Earliest possible date of adoption: April 16, 2000
For further information, please call: (512) 463-1788
1.
INTRODUCTION AND GENERAL PROVISIONS OF THE TEXAS REVIEW AND COMMENT SYSTEM
(1)
] City--Any incorporated
city, town, or village in the State of Texas.
(2)
] Commission--A regional
planning commission, council of governments,
development council
or similar regional planning agency created under this Act.
(3)
] Comprehensive development
planning process--The process of:
therefore,
] which:
spacial
] and functional relationships among the activities
to be carried out thereunder;
(4)
] General purpose
governmental unit--A county or incorporated municipality.
(5)
] Governmental unit--Any
county, city, town, village, authority, district or other political subdivision
of the state.
(6)
] Region, area, or regional--A
geographic area consisting of a county or two or more adjoining counties which
have common problems of transportation, water supply, drainage or land use;
similar, common, or interrelated forms of urban development or concentration;
or special problems of agriculture, forestry, conservation, or other matters;
or any combination thereof. It is the intention of these provisions to permit
the greatest possible flexibility among the various participating governmental
units to organize and establish commissions most suitable to the nature of
the area problems as they see them.
council
] organized under
Chapter 391, Local
Government Code
[
Texas Civil Statutes, Article 1011m, as amended,
] in each state planning region or subregion. Only the regional
planning commission
[
council
] will be eligible for a state
planning assistance grant.
council
] must join the regional
planning commission
[
council
] serving the state planning
region in which that local government is located.
councils
] for financial assistance
programs covered
by the Texas Review and Comment System
shall be submitted to the Office
of the Governor[
,
] for review and comment prior
to
the
submission to any federal, state, or other agency.
council
] as defined in
§391.005,
Local Government Code
[
Texas Civil Statutes, Article 1011m, §4
]. State funds may be utilized as local matching funds
for
[
in
] any other state or federal program approved in the
commission's
[
comprehensive
] work program
. In no case may
[
with the exemption that
] state aid [
may not
] be used to pay
entertainment expenses
or other prohibited costs
[
such as
food or beverage
].
councils
] may apply for state assistance funds at any time during the first
11
[
10
] months of the state fiscal year which begins September
1.
council of government's
]
fiscal year,
each regional planning commission shall submit to
the Office of the Governor [
requires
] a complete financial audit
prepared
by a certified public accountant, in accordance with generally
accepted financial auditing procedures
and the provisions of OMB Circular
A-133 and the State Single Audit Circular, if applicable
. [
(Reference
should be made to Texas Government Code, Chapter 391, §391.012(2)). This
audit must specifically address the following:
]
Subchapter B. STATE AND LOCAL REVIEW OF FEDERAL AND STATE ASSISTANCE APPLICATIONS