Part 10.
TEXAS WATER DEVELOPMENT BOARD
Chapter 363.
FINANCIAL ASSISTANCE PROGRAMS
Subchapter E. ECONOMICALLY DISTRESSED AREAS PROGRAM
31 TAC §363.506
The Texas Water Development Board (the board) adopts amendments
to §363.506, concerning the Economically Distressed Areas Program (EDAP)
with minor changes to the proposed text as published in the March 3, 2000
issue of the
Texas Register
(25 TexReg 1849).
The following changes to the proposed text were made for clarification:
(1) in subsection (d), the phrase "desiring financial assistance" was replaced
with the phrase "requesting financial assistance"; and (2) in paragraph (d)(3),
the term "capacity buy-in" was replaced with the phrase "the amount necessary
to purchase capacity in the treatment plant and/or related facilities to which
the system will be connected." Language in paragraph (d)(6) was edited to
make the reference to capacity consistent with the foregoing clarification.
The amendments to §363.506(d) are adopted to clarify application requirements
and to provide criteria under which the board will consider providing financial
assistance to a qualified political subdivision that proposes to acquire and
operate a water supply or wastewater project completed through the self-help
efforts and initiatives of the residents receiving service from the project.
Subsection (d) provides the requirements for an application submitted under
the self-help program. The application must be submitted by a qualified political
subdivision and must include a facility plan which demonstrates that the conventional
costs of the proposed project will be reduced by a minimum of 40% through
the efforts of the residents that will benefit from the completed project.
The application must further demonstrate that the residents will bear at least
10% of the actual costs of the project and that the design and construction
of the project will be reviewed and inspected by the political subdivision
applying for assistance. An applicant must also meet the applicable board
requirements for acquisition of a system or treatment plant capacity.
These amendments to subsection (d) do not change the basic qualifying standards
for an applicant nor the technical requirements for a project receiving financial
assistance through EDAP; however, the board has determined that providing
all grant funding will encourage local service providers to acquire and operate
facilities resulting from the completion of small, locally important self-help
projects that can make water and wastewater services available to areas that
might not otherwise have them. Since many local service providers are reluctant
to extend services into new areas because of the capital costs and expense
of staff oversight necessary to administer smaller construction projects,
acquisition of a completed project with EDAP grant funding provides a viable
and attractive alternative.
By requiring a significant reduction of project costs (40%) through the
self help initiatives, the finite amount of funds available to the Economically
Distressed Areas Program can be leveraged to provide support to more projects.
Assumption of a nominal portion of the project costs (10%) is intended to
demonstrate and ensure the commitment of the residents who will benefit from
completion of a project.
No comments were received on the proposed amendments.
The amendments are adopted under the authority of the Texas Water
Code, §6.101 and §16.342, which provide the Texas Water Development
Board with the authority to adopt rules necessary to carry out the powers
and duties in the Water Code and other laws of the State including, specifically,
administration of the Economically Distressed Areas Program.
§363.506.Calculation of Financial Assistance.
(a)
The board's financial assistance will be determined by
the provisions of this section, including calculating:
(1)
capacity within the applicant's existing water or wastewater
plants and associated facilities which will be funded by the board to serve
the project area. The amount of financial assistance for existing system capacity
shall be based on the percentage of the system capacity necessary to serve
the project area. The percentage of system capacity for the project is then
multiplied by the historical plant cost to the utility. This amount will be
paid directly by the board in grant funds upon completion of construction
and acceptance of the project to the extent other funds and system revenues
are not sufficient to pay for such capacity; and
(2)
revenue available for payment of debt service. The
board will determine the revenue available for payment of debt service by
using the appropriate method specified in either subparagraph (A) or (B) of
this paragraph.
(A)
Upon the submission of evidence satisfactory to the executive
administrator that the rates, fees and charges to the average customer to
be served by the project will be the same as the rates, fees, and charges
that other families of similar income who are similarly situated pay for comparable
services, the revenue available for payment of debt service will be either:
(i)
the regional capital component benchmark multiplied by
the estimated number of LUEs of the area to be served at the end of construction
of the proposed project less other debt incurred by the provider utility attributable
to the overall project proposed in the application to the board; or
(ii)
for existing systems with a capital component of greater
than zero and which are extending service to an area to which the provider
utility has not previously provided service the capital component multiplied
by the estimated number of LUEs of the area to be served at the end of construction
of the proposed project less other debt incurred by the provider utility attributable
to the overall project proposed in the application to the board.
(B)
If there is insufficient satisfactory evidence that there
are other families of similar income who are similarly situated paying the
same rates, then the revenue available for debt service will be either:
(i)
the regional payment benchmark multiplied by the regional
capital component benchmark of the same water or service providers used to
determine the regional payment benchmark multiplied by the estimated number
of LUEs in the project area at the end of construction of the project less
other debt incurred by the provider utility attributable to the overall project
proposed in the application to the board; or
(ii)
for existing systems with a capital component of greater
than zero and which are extending service to an area to which the provider
utility has not previously provided service the revenue available for payment
of debt service will be the payment rate of the provider utility multiplied
by the capital component of the provider utility multiplied by the estimated
number of LUEs in the project area at the end of construction of the project
less other debt incurred by the provider utility attributable to the overall
project proposed in the application to the board; and
(3)
for applications requesting an increase
in the amount of financial assistance previously provided by the board for
the project under this program, the amount of the increase for which repayment
will be required will be the greater of:
(A)
an amount equal to the amount of the loan of the financial
assistance provided by the board in its first commitment for the project divided
by the total amount of the financial assistance provided by the board in its
first commitment for the project multiplied by the amount of the additional
financial assistance request under consideration by the board; or
(B)
an amount equal to the amount of the loan that would have
resulted by applying the provisions of paragraph (2) of this subsection to
the total project area, less the amount of the loan portion of the financial
assistance provided by the board in its previous commitments for the project
under this subchapter.
(b)
In determining the amount and form of financial assistance
and the amount and form of repayment, the board also will consider sources
of funding available to the applicant from federal and private funds, and
from other state funds, as well as any other sources of funds to the applicant
if the economically distressed area to be served by the board's financial
assistance is within the boundary of the applicant, and the just, fair, and
reasonable charges for water and wastewater service as provided in the Texas
Water Code.
(c)
If the amount of financial assistance for which repayment
is not required exceeds 50% of the total amount of financial assistance requested
from the Economically Distressed Areas Program, including funds for system
capacity, plus the total interest on any amount of financial assistance that
must be repaid, the applicant will be asked to provide a finding from the
Texas Department of Health that a nuisance dangerous to the public health
and safety exists resulting from water supply and sanitation problems in the
area to be served by the proposed project.
(d)
In lieu of using the calculations or considerations provided
in subsections (a) and (b) of this section to determine the amount and form
of financial assistance, the board may provide financial assistance in the
form of a grant to an applicant requesting financial assistance to acquire
a proposed project that meets the requirements of this section. Prior to construction
of the proposed project, the applicant shall submit an application that includes:
(1)
a facility plan that meets the requirements of 31 TAC §355.73
and particularly includes an amount identified as total conventional project
costs which is the cost to construct the project without the labor of the
residents of the area;
(2)
sufficient evidence that the residents of the area
to be served by the proposed project will contribute labor to the construction
of the system or other cost savings such that the actual cost of the project
is 60% of the total conventional project costs;
(3)
information which establishes that the residents will
contribute funds in an amount not less than 10% of the total actual project
cost including the amount necessary to purchase capacity in the treatment
plant and/or related facilities to which the completed system will be connected;
(4)
a resolution from the eligible political subdivision
that it will prepare or review plans and specifications of the proposed system
to ensure service by the applicant;
(5)
a resolution from the eligible political subdivision
that it will inspect or provide for inspection of the system during construction
to ensure that it is constructed in accordance with plans and specifications;
and
(6)
information which adequately identifies an amount
necessary for the purchase of capacity in the treatment plant and/or related
facilities to which the system will be connected, if applicable.
This agency hereby certifies that the adoption has been
reviewed by legal counsel and found to be a valid exercise of the agency's
legal authority.
Filed with the Office of
the Secretary of State on April 20, 2000.
TRD-200002831
Suzanne Schwartz
General Counsel
Texas Water Development Board
Effective date: May 10, 2000
Proposal publication date: March 3, 2000
For further information, please call: (512) 463-7981
Chapter 517.
FINANCIAL ASSISTANCE
Subchapter A. CONSERVATION ASSISTANCE
31 TAC §517.11
The Texas State Soil and Water Conservation Board adopts
the amendment to 31 TAC §517.11 concerning audits of district records,
without changes, to the proposed text as published in the February 4, 2000,
issues of the
Texas Register
(25 TexReg 700)
and will not be republished.
The adopted amendment adds language to authorize the State Board the power
to withhold funds and setting filing requirements.
No comments were received regarding adopted of the amendment.
The amendment is adopted under Chapter 201.020 Agriculture Code
which provides the Texas State Soil and Water Conservation Board with the
authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002738
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 4, 2000
For further information, please call: (254) 773-2250
Subchapter A. EMPLOYEE TRAINING RULES
31 TAC §518.1, §518.2
The Texas State Soil and Water Conservation Board adopts
new §518.1 and new §518.2 without changes to the proposed text as
published in the February 11, 2000, issue of the
Texas Register
(25 TexReg 1040) and will not be republished.
This section establishes the training and education of its employees in
accordance with provisions of the Texas Government Code, §§656.044
- 656.049
No comments were received regarding adoption of this new rule.
The new rules are adopted under Chapter 201.020 Agriculture Code
which provides the Texas State Soil & Water Conservation Board with the
authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002737
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 11, 2000
For further information, please call: (254) 773-2250
Subchapter A. TECHNICAL ASSISTANCE PROGRAM
31 TAC §519.1, §519.7
The Texas State Soil and Water Conservation Board adopts
an amendment to 31 TAC §519.1 and §519.7 defining technical assistance
expenditures eligible for reimbursement and procedures for claiming reimbursement,
without changes, to the proposed text as published in the February 11, 2000,
issue of the
Texas Register
(25 TexReg 1041)
and will not be republished.
The adopted amendment broadens the definition of eligible expenses and
changes the procedures for payment to districts.
No comments were received regarding adoption of the amendments.
The amendments are adopted under Chapter 201.020 Agriculture
Code which provides the Texas State Soil and Water Conservation Board with
the authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002739
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 11, 2000
For further information, please call: (254) 773-2250
31 TAC §§519.9 - 519.11
The Texas State Soil and Water Conservation Board adopts
the repeal of 31 TAC §§519.9 - 519.11, defining technical assistance
expenditures eligible for reimbursement and procedures for claiming reimbursement,
without changes as published in the February 11, 2000, issue of the
The repeal of §§519.9 - 519.11 will allow the clarification of
eligible expenditures and procedures for claiming technical assistance funds.
No comments were received regarding adoption of the repeals.
The repeals are adopted under Chapter 201.020 Agriculture Code
which provides the Texas State Soil and Water Conservation Board with the
authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002740
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 11, 2000
For further information, please call: (254) 773-2250
31 TAC §§519.9 - 519.12
The Texas State Soil and Water Conservation Board adopts
new §§519.9 - 519.12, defining technical assistance expenditures
eligible for reimbursement and procedures for claiming reimbursement, without
changes, as published in the February 11, 2000, issue of the
Texas Register
(25 TexReg 1042) and will not be republished.
The new §§519.9 - 519.12 will better define technical assistance
expenditures eligibility for reimbursement and procedures for claiming reimbursement
and broaden the definition of eligible expenses and changes the procedures
for payments to districts.
No comments were received regarding adoption of these new rules.
The new rules are adopted under Chapter 201.020 Agriculture Code
which provides the Texas State Soil and Water Conservation Board with the
authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002741
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 11, 2000
For further information, please call: (254) 773-2250
Subchapter A. TECHNICAL ASSISTANCE PROGRAM FOR SOIL AND WATER CONSERVATION LAND IMPROVEMENT MEASURES
31 TAC §521.1, §521.7
The Texas State Soil and Water Conservation Board adopts
the amendment to 31 TAC §521.1 and §521.7, defining technical assistance
expenditures eligible for reimbursement and procedures for claiming reimbursement,
without changes to the proposed text as published in the February 11, 2000,
issue of the
Texas Register
(25 TexReg 1043)
and will not be republished.
The adopted amendments broadens the definition of eligible expenses and
changes the procedures for payments to districts.
No comments were received regarding adoption of the amendments.
The amendments are adopted under Chapter 201.020 Agriculture
Code which provides the Texas State Soil and Water Conservation Board with
the authority to adopt rules as necessary for the performance of its functions
under the Agriculture Code.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on April 18, 2000.
TRD-200002742
Robert G. Buckley
Executive Director
Texas State Soil and Water Conservation Board
Effective date: May 8, 2000
Proposal publication date: February 11, 2000
For further information, please call: (254) 773-2250
Part 17.
TEXAS STATE SOIL AND WATER CONSERVATION BOARD
Chapter 518.
GENERAL PROCEDURES
Chapter 519.
TECHNICAL ASSISTANCE
Chapter 521.
AGRICULTURAL WATER CONSERVATION