TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 5. TEXAS VETERANS LAND BOARD

Chapter 175. GENERAL RULES OF THE VETERANS LAND BOARD

Subchapter A. GENERAL RULES AND CONTRACTING FINANCING

40 TAC §175.2

The Veterans Land Board of the State of Texas (the "Board") adopts the amendment to Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §175.2 relating to Loan Eligibility Requirements of the General Rules of the Veteran Land Board, without changes to the text as published in the April 11, 2003, issue of the Texas Register (28 TexReg 3035). This amendment changes the definition of "surviving spouse" in §175.2(a)(5) to match the federal definition. This amendment also changes §175.2(c)(2) so that the surviving spouse of a veteran is eligible, if the veteran died as a result of a service-connected cause and would have been otherwise eligible, but did not enter military service from Texas.

Sections 161.001(b) and 162.001(b) of the Texas Natural Resources Code authorize the Board to change the definition of Veteran if it is in the best interest of the programs. The Board finds that over 70 percent of the housing loans are made with a guarantee by the USDVA. The Board finds that it serves the best interest of the programs if a surviving spouse that is eligible for federal housing benefits is also eligible for the Board programs. The amendment to §175.2(a)(5) will incorporate the federal definition and modifications of the term "surviving spouse," including any future changes. The Board also finds that the present rule does not extend the benefits of the loan programs to the surviving spouse of a Veteran that would have been eligible for a loan, who has died as a result of a service-connected cause, but did not enter the service with Texas as his home of record. The amendments to §175.2(c)(2) will change the eligibility of a surviving spouse to include the surviving spouse of a Veteran who died as a result of a service-connected cause and who was a legal resident of Texas at the time of his or her death. (§177.5(b) of Title 40, Part 5, Chapter 177 of the Texas Administrative Code automatically incorporates by reference the changes in this amendment.)

The board withdrew a prior proposed amendment to §175.2(a)(5) to include both of these changes to §175.2 in one proposed amendment.

No comments were received regarding the proposed amendment.

The amendment to this section is adopted under the Natural Resources Code, Title 7, Chapter 161, §§161.001, 161.061, 161.063, 161.218, 161.222, 161.233, and 161.283, 161.503, 162.001, and Chapter 162, §§162.001, 162.003, and 162.011. These sections authorize the Board to adopt rules that it considers necessary and advisable for the Land Program and for the Veterans Housing Assistance Program.

The adopted amendment affects §161.001 and §162.001 of the Natural Resources 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 May 20, 2003.

TRD-200303122

Larry L. Laine

Chief Clerk, Deputy Commissioner

Texas Veterans Land Board

Effective date: June 9, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 305-9129


40 TAC §175.4

The Veterans Land Board of the State of Texas (the "Board") adopts the amendment to Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §175.4 relating to Land Description of the General Rules of the Veteran Land Board, with non-substantives changes to the text as published in the April 11, 2003, issue of the Texas Register (28 TexReg 3037). This amendment allows the Chairman to accept a survey or field notes, provided a title insurance company will delete the survey exception in its policy based on that survey. The amendment also provides that any survey or field notes presented to the board includes a license by the surveyor to the Board and the veteran purchaser for future use.

Section 161.061 of the Texas Natural Resources Code authorizes the Board to formulate policies and rules necessary and not in conflict with the law to ensure the proper administration of the program. The Board finds that its current requirements for a survey may exceed the requirements for a title company to insure a survey. The amendment to §175.4 will allow the chairman to accept a field note description or survey and waive any requirement in the rule if a title company will delete the survey exception in its policy. In addition, the Board notes that some surveyors may claim a copyright in a survey or field notes prepared for a transaction involving the Board. The Board may use the survey or field notes in future transactions, and therefore provides for a license from the surveyor. The Board has made a non-substantive change to §175.4(c) by deleting the word "shall" and making other appropriate grammatical changes. The amendment to §175.4 includes a requirement for that license.

No comments were received regarding the proposed amendment.

The amendment to this section is adopted under the Natural Resources Code, Title 7, Chapter 161, §§161.001, 161.061, 161.063, 161.214, 161.218, 161.222, 161.233, and 161.283. These sections authorize the Board to adopt rules that it considers necessary and advisable for the Land Program.

The change affects §161.061 and §161.214 of the Texas Natural Resources Code.

§175.4.Land Description.

(a) Land selected to be purchased by the board must be described by a legally sufficient metes and bounds description. The property description must:

(1) contain a general description of the land, specifying the acreage contained, the original survey(s) or grant(s) with abstract number(s), survey number(s) and block designation, if applicable, and the county in which the tract is located (if the tract is divided by a county line, the appropriate abstract numbers and acreage on each side of the county line will be shown). The general description shall also contain the deed reference to the parent tract including grantor, grantee, date of instrument, and volume and page of recording. Additional references to other instruments in the chain of title may be referred to if appropriate;

(2) contain a specific description of the land, defining each side of the tract by course and distance or appropriate and complete curve data, identifying and describing monuments at each corner, and further identifying the land by calls for other natural and artificial objects on and along the boundaries and by calls for and reference to adjoining properties where appropriate;

(3) be tied to a corner of an original grant or survey if such corner is locatable and if the tie is not impractical to obtain. If it is impossible or impractical to tie to a corner of an original grant or survey the tract should tie to a locatable corner of the parent tract or any of the adjoinders;

(4) include a description, either by metes and bounds or center line, of the access easement from the tract to an existing public road of all tracts which do not abut a public road.

(b) If the tract selected is in a subdivision, a lot and block description of the tract may be substituted for the metes and bounds description. If a lot and block description is to be used, the board must be furnished a copy of the recorded subdivision plat. This plat must show the recording information and the required signatures of the governmental entity (commissioners court, city council, etc.) authorized to accept such subdivision plat. Easements as necessary for access to a public road from all tracts must be clearly shown on the subdivision plat together with appropriate language dedicating such easement to the public or to the owners of tracts in the subdivision. All the data required in subsection (a) of this section should be shown on the face of the plat, including courses and distances for all lot lines and areas for each lot. All plats accepted subsequent to the adoption of this section shall identify the size and type of monument set at each corner of every lot. If a lot is part of a subdivision already of record where monumentation is not shown, a survey plat shall be furnished indicating monuments set or found at all corners of the tract together with sufficient ties to locate the lot within the subdivision.

(c) All metes and bounds descriptions and survey plats shall bear the seal and original signature of the surveyor preparing the same. Any field notes or survey plat prepared for and used in any Veterans Land Board transaction includes a license from the surveyor to the board and the veteran purchaser to copy and use the field notes in that transaction and in any future transactions involving the surveyed property.

(d) Metes and bounds descriptions must be prepared from a survey of the property made on the ground. The survey should be made in such manner to be generally acceptable to title companies in the State of Texas for the purpose of deleting the survey exception clause.

(e) Each corner of the tract of land shall be marked by concrete or metal monuments or other durable monuments generally used in the area. A description of each monument set or found and its location, with witnesses as available, shall be incorporated into the metes and bounds description of the property.

(f) When a roadway or easement crosses a tract, it shall be described sufficiently to enable its location throughout the tract and its area to be determined.

(g) Property descriptions and subdivision plats will be examined by the board for acreage, closure, and sufficiency. The board's determination of these items will control.

(h) The surveyor should be instructed to do a proper boundary survey of the land to be conveyed according to the record boundaries of the tracts involved. Any encroachments by existing perimeter fences into the subject tract or into adjacent tracts should be shown together with the area of any lands lying between the record boundaries and the existing occupation. Any occupation on the ground not conforming to the record boundaries should be shown on a plat of survey and fully explained in an accompanying surveyors report.

(i) The chairman may waive any of the foregoing requirements and accept a survey deemed sufficient by the title company to permit deletion of the survey exception clause.

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 May 20, 2003.

TRD-200303123

Larry L. Laine

Chief Clerk, Deputy Commissioner

Texas Veterans Land Board

Effective date: June 9, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 305-9129


40 TAC §175.5

The Veterans Land Board of the State of Texas (the "Board") adopts the amendment to Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §175.5 relating to Appraisal of Land of the General Rules of the Veteran Land Board without changes to the text as published in the April 11, 2003, issue of the Texas Register (28 TexReg 3038). This amendment corrects a reference to another section.

Section 161.061 of the Tex. Nat. Res. Code authorizes the Board to adopt rules. Section 161.212 of the Texas Natural Resources Code requires an appraisal of the land. The Board finds that the reference in §175.5(a) to §175.6(c) is incorrect. A previous rule change now requires that the reference be updated to §175.6(d). This amendment changes the reference to the correct section.

No comments were received regarding the proposed amendment.

The amendment to this section is adopted under the Natural Resources Code, Title 7, Chapter 161, §§161.001, 161.061, 161.063, 161.218, 161.222, 161.233, and 161.283. These sections authorize the Board to adopt rules that it considers necessary and advisable for the Land Program.

The change affects §161.212 of the Texas Natural Resources 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 May 20, 2003.

TRD-200303124

Larry L. Laine

Chief Clerk, Deputy Commissioner

Texas Veterans Land Board

Effective date: June 9, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 305-9129


40 TAC §175.18

Veterans Land Board of the State of Texas (the "Board") adopts the amendment to Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §175.18 relating to Resale of Forfeited Land of the General Rules of the Veteran Land Board, without changes to the text as published in the April 11, 2003, issue of the Texas Register (28 TexReg 3039). This amendment allows the Board to sell forfeited or foreclosed land under either a contract for sale or a note and deed of trust.

Section 161.319(a) of the Texas Natural Resources Code authorizes the Board to sell forfeited tracts under terms and conditions and at the time and in the manner prescribed by the board in its rules. Subchapter K of Chapter 161 of the Texas Natural Resources Code allows the board to finance land to Veterans secured by a mortgage, deed of trust, or other lien. The Board finds that it is in the best interest of the program if the Board can sell forfeited or foreclosed land under either financing method. The amendments to §175.18 will allow sales of forfeited or foreclosed tracts under either a contract for sale or a note and deed of trust.

No comments were received regarding the proposed amendment.

The amendment to this section is adopted under the Natural Resources Code, Title 7, Chapter 161, §§161.001, 161.061, 161.063, 161.218, 161.222, 161.233, 161.283, 161.319, 161.501, 161.503, and 161.513. These sections authorize the Board to adopt rules that it considers necessary and advisable for the Land Program.

The change affects §§161.319, 161.501, and 161.513 of the Texas Natural Resources 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 May 20, 2003.

TRD-200303125

Larry L. Laine

Chief Clerk, Deputy Commissioner

Texas Veterans Land Board

Effective date: June 9, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 305-9129


Chapter 177. VETERANS HOUSING ASSISTANCE PROGRAM

40 TAC §177.14

The Veterans Land Board of the State of Texas (the "Board") adopts the amendment to Title 40, Part 5, Chapter 177 of the Texas Administrative Code, §177.14 relating to Loan Amounts, of the Veterans Housing Assistance Program without changes to the text as published in the April 11, 2003, issue of the Texas Register (28 TexReg 3040). The adopted amendment allows the Board to set the maximum loan amount for a home improvement loan by resolution.

Section 162.003 of the Texas Natural Resources Code authorizes the Board to adopt rules to administer the Veterans Housing Assistance Program. Section 162.011 give the Board the authority to set the maximum principal amount of loans. The Board finds that the present limit for home improvement loans does not match lending practices prevalent in the residential mortgage lending industry. The adopted amendment to §177.14 will allow the board to increase the present limit for home improvement loans to match the lending industry and to make future changes by resolution.

No comments were received were the proposed amendment.

The amendment to this section is adopted under the Natural Resources Code, Title 7, Chapter 162, §§162.001, 162.003, and 162.011. These sections authorize the Board to adopt rules that it considers necessary and advisable for the Land Program.

The change affects §162.003 and §162.011 of the Texas Natural Resources 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 May 20, 2003.

TRD-200303126

Larry L. Laine

Chief Clerk, Deputy Commissioner

Texas Veterans Land Board

Effective date: June 9, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 305-9129


Part 19. TEXAS DEPARTMENT OF PROTECTIVE AND REGULATORY SERVICES

Chapter 702. GENERAL ADMINISTRATION

Subchapter E. MEMORANDUM OF UNDERSTANDING WITH OTHER STATE AGENCIES

40 TAC §702.421

The Texas Department of Protective and Regulatory Services (PRS) adopts new §702.421, without changes to the proposed text published in the April 11, 2003, issue of the Texas Register (28 TexReg 3043).

In the last legislative session, Senate Bill 367 amended the Human Resources Code by adding §22.037, which authorizes the development of a pilot program for community-based alternatives for persons with disabilities, and §22.038, which requires a Memorandum of Understanding (MOU) regarding the implementation of the pilot program. Each of the agencies involved, PRS, the Texas Department of Human Services (DHS) and the Texas Department of Mental Health and Mental Retardation (MHMR), are required to adopt the MOU. PRS has actively been involved in the development of the MOU. DHS and MHMR have adopted the MOU as a final rule. The justification for the section is to adopt by reference the rule containing the DHS MOU.

The new section will function by ensuring that the clients of each of the agencies involved in the MOU will know which services of the pilot program will be provided by each agency. It is anticipated that the interagency cooperation will result in better services to clients served jointly by the three agencies.

No comments were received regarding adoption of the section.

The new section is adopted under the Human Resources Code, §40.029, which authorizes the department to adopt rules that facilitate the implementation of departmental programs,

The new section implements the Human Resources Code, §22.037 and §22.038.

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 May 23, 2003.

TRD-200303200

C. Ed Davis

Deputy Director, Legal Services

Texas Department of Protective and Regulatory Services

Effective date: June 12, 2003

Proposal publication date: April 11, 2003

For further information, please call: (512) 438-3437