Adopted Sections An agency may take final action on a section 30 days after a proposal has been published in the Texas Register. The section becomes effective 20 days after the agency files the correct document with the Texas Register, unless a later date is specified or unless a federal statute or regulation requires implementation of the action on shorter notice. If an agency adopts the section without any changes to the proposed text, only the preamble of the notice and statement of legal authority will be published. If an agency adopts the section with changes to the proposed text, the proposal will be republished with the changes. TITLE 4. AGRICULTURE Part I. Texas Department of Agriculture Chapter 29. Texas Agricultural Diversification Program Grant and Loan Program Rules 4 TAC sec.sec.29.1-29.13 The Texas Department of Agriculture (the department) adopts sec.sec.29.1-29.13, concerning rules for the administration of the Texas Agricultural Diversification Program (TADP) matching grants program. Sections 29.2-29.4 and 29.6-29.11 are adopted with changes, as published in the October 18, 1991, issue of the Texas Register (16 TexReg 5759). Sections 29.1, 29.5, 29.12 and 29. 13 are adopted without changes and will not be republished. The new sections are adopted to provide persons interested in seeking funding under the Texas Agricultural Diversification Act grant and loan programs with information regarding the categories of grants and/or loans available and the application process. The new sections provide a statement of purpose for the Texas Agricultural Diversification Act grant and loan programs, definitions of terms, categories of grants and/or loans provided under the program, criteria for all grants, and information regarding submission of pre-proposals and proposals under the grant programs. Section 29.2 is adopted with changes. The definition of commissioner has been added to clarify that the term when used in Chapter 29 refers to the commissioner of agriculture. Section 29.3 is adopted with changes in response to comments received and to make this section consistent with the provisions of the Texas Agricultural Diversification Act. The listing of a board representative to be appointed by the lieutenant governor as an ex officio nonvoting member was inadvertently omitted and has been added. The section was further amended to provide that annual reports to ex officio members are to be provided for both the Agricultural Diversification Program and the Rural Microenterprise Program. Other changes have been made throughout the new sections for purposes of clarification, to delete repetitive or unnecessary language, and to correct grammatical errors. Comments were received from two persons. As previously stated, one commenter noted the omission in sec.29.3 of the board representative to be appointed by the lieutenant governor and requested the addition of that member. That section has been amended to reflect that comment and request. Another commenter requested clarification as to whether the terms "institution" and "local nonprofit organization" as used in proposed sec.29.6(b) and sec.29.8(b) included a state agency. The department does not believe that the legislative intent was to include state agencies in the definitions of "institution" and/or "local nonprofit organization" as such an interpretation would, in effect, result in the transfer of funds from one state agency to another. The new sections are adopted under the Texas Agriculture Code, Chapter 44, which authorizes the commissioner of agriculture, with the assistance and approval of the Texas Agricultural Diversification Program board of directors, to create and implement agricultural diversification programs authorized under Chapter 44, including recommending additional criteria for the awarding of grants and loans authorized under Chapter 44. sec.29.2. Definitions. The following words and terms, when used in this chapter shall have the following meanings, unless the context clearly indicates otherwise. Act-The Texas Agricultural Diversification Act, Texas Agriculture Code, Chapter 44. Board-The board of directors of the Texas Agricultural Diversification Program. Business day-A day on which the department is open for business. The term shall not include Saturday, Sunday, or a holiday officially observed by the state. The department's normal business hours are 8 a.m. to 5 p. m. each business day. Commissioner-The commissioner of agriculture Department-The Texas Department of Agriculture. Nonprofit organization -A not for profit local, community, or regional organization that can demonstrate its non-profit status by providing one of the following: (A) a copy of the Internal Revenue Service ruling, indicating tax-exempt status; (B) a copy of the Texas Secretary of State charter indicating nonprofit status; or (C) documentation of its status as an educational institution recognized by the State of Texas. Small business incubator-A nonprofit development agency that provides concentrated business assistance services to new small agriculture enterprises. Sponsor-A nonprofit organization located in the State of Texas. sec.29.3. Board of Directors. (a) A board of directors is established for the Agricultural Diversification Program. The board is comprised of the commissioner of agriculture, the director of the Institute for International Agribusiness Studies at Prairie View A&M University, and four members appointed by the governor with the advice and consent of the senate. The governor shall appoint the chairman of the board. (b) The speaker of the house of representatives shall appoint one state representative as an ex officio nonvoting member of the board and the lieutenant governor shall appoint one state senator as an ex officio nonvoting member of the board. The commissioner shall provide annual reports to the ex officio members accounting for the receipt and use of all gifts and grants of money from the federal government, any local government, or any private corporation or other person for the Agricultural Diversification Program and the Rural Microenterprise Program. (c) Members of the board serve terms of two years expiring January 1 of each odd-numbered year. (d) The board members are entitled to actual and necessary expenses incurred in carrying out their official duties. (e) The board shall assist the commissioner in the creation and implementation of the Agricultural Diversification Program, including recommending additional criteria for the awarding of grants. (f) If a vacancy occurs on the board, the governor, the speaker, and/or the lieutenant governor shall appoint another individual to complete the term. sec.29.4. Criteria for all Grants. In evaluating applications for grants under the Act, the commissioner and the board shall consider: (1) the scientific and technical merit of the application; (2) the anticipated benefits arising from a grant to the applicant, including both potential job creation and commercial benefits to the agricultural industry; (3) the market value of the assets of the applicant; (4) the qualifications of the applicant; (5) the reasonableness of the applicant's proposed budget; (6) the extent and level of other funding sources for the applicant; (7) the funding commitments needed for continued development; and (8) the present involvement and support of local organizations, including educational organizations. sec.29.6. Research and Innovation Grant. (a) Purpose. The purpose of a research and innovation grant shall be to support research and innovation leading to organizational or marketing improvements in business based on agriculture or to the commercialization of new crops, new agricultural products, or new productions processes. (b) Eligibility. A recipient of a research and innovation grant must be a nonprofit sponsor organization affiliated with a small business in a project meeting the requirements of subsection (a) of this section. (c) Match. A recipient of a research and innovation grant must match the amount of state grant with an equal amount of other money (cash), with at least one- half of the matching money (cash) coming from the private sector. (d) Award process. The commissioner shall review and evaluate each research and innovation grant application submitted under this section and award the grants with the advice and consent of a majority of the board. (e) Amount. A research and innovation grant under this section may not exceed $30,000. sec.29.7. Business Assistance Grant. (a) Purpose. The purpose of a business assistance grant is to increase the capabilities of community and regional organizations to provide training and assistance to new and expanding businesses based on agriculture. (b) Eligibility. A recipient of a business assistance grant must be a nonprofit sponsor organization. (c) Match. A recipient of a business assistance grant must match the amount of the grant with an equal amount of other money (cash). (d) Award process. The commissioner shall review and evaluate each business assistance grant application submitted under this section and award the grants with the advice and consent of a majority of the board. (e) Amount. A business assistance grant may not exceed $30,000. sec.29.8. Small Business Incubator Grant. (a) Purpose. The purpose of a small business incubator grant is to provide seed money for self-financing small business incubators. These incubators shall provide business services to small enterprises that process or market agricultural crops in the state or that produce alternative agricultural crops in this state. (b) Eligibility. A recipient of a small business incubator grant must be a nonprofit sponsor organization. (c) Match. A recipient of a small business incubator grant must match the amount of grant with assets valued at $3. 00 for every $1.00 of the state grant. The grant must be used primarily for professional services. The match may be in the form of land, buildings, business assistance, and dedicated loan pools as well as cash contributions. (d) Award process. The commissioner shall review and evaluate each grant application submitted under this section and award the grants with the advice and consent of a majority of the board. (e) Amount. A small business incubator grant may not exceed $100,000. sec.29.9. Schedule of Grant Awards. (a) Technical review of the pre-proposals and full proposals for eligibility and satisfaction of the matching requirements will be made by staff of the department and evaluations of satisfaction of the criteria set forth in sec.29.4 of this title (relating to Criteria for All Grants) will be made by the board. (b) The schedule for applications and awarding of yearly grant awards will be determined by the department each year. (c) A typical grant award schedule is as follows: (l) Step 1: (A) posting of the solicitation in the Texas Register; (B) mail-out of pre-proposal to nonprofit organizations and others; (2) Step 2: (A) deadline for submission of pre-proposals to the department; (B) technical review by staff of the department; (C) distribution of pre-proposals to the board for evaluation; (3) Step 3: (A) completed evaluations from the board are due back to the department; (B) assessment of results and ranking of candidates by the board; (C) invitation to submit full proposals are mailed to top candidates selected by the board; (4) Step 4: (A) deadline for submission of full proposals to the department; (B) technical review by staff of the department; (C) distribution of full proposals to the board for evaluation; (5) Step 5: (A) completed evaluations from the board are due back to the department; (B) assessment of results and ranking of candidates by the board; (6) Step 6: (A) meeting of board and awarding of grants; (B) notification of awards are mailed to grantees. sec.29.10. Format for Pre-Proposal. (a) The pre-proposal is a shorter version of the full proposal in a form promulgated by the department and is used to provide an initial assessment of the project. (b) Any pre-proposal that is incomplete or received after the due date established by the department will be rejected by the department in technical review. (c) The pre-proposal must contain the following: (1) a TDA title page consisting of three sections: (A) a general information section; (B) a project budget; and (C) a breakdown of matching funds; (2) a summary of the project of no more than three single-spaced pages including: (A) a description of the project: (B) a statement of the project's purpose; (C) the program objective(s) it will address; (D) the potential economic impact to the Texas agricultural industry; (E) the list of project objectives; and (F) the plan for the dissemination of information regarding the project. (3) a resume on the principal investigator. sec.29.11. Format for Full Proposal. (a) The full proposal is more detailed and must contain background information, supporting letters and documentation on the matching funds, all in a form promulgated by the department. Any full proposal that is incomplete or received after the due date established by the department will be rejected by the department in technical review. (b) The full proposal must contain the following: (1) a TDA title page consisting of three sections; (A) a general information section: (B) a project budget; and (C) a breakdown of matching funds. (2) a summary of the project of no more than eight single-spaced pages which: (A) describes the project in detail and clearly states the purpose of the project; (B) identifies the program objective(s) the project will address; (C) describes the potential economic impact to the Texas agricultural industry; (D) lists the project's objectives; and (E) describes the plan for the dissemination of information regarding the project. (3) proof of the sponsor's nonprofit status in any of the following ways: (A) by providing a copy of Internal Revenue Service ruling indicating tax-exempt status; (B) by providing a copy of the sponsor's charter from the Texas Secretary of State, indicating nonprofit status; or (C) if a university, community college, or other educational institution, by providing a written statement explaining the sponsor's educational status as recognized by the state and signed by the principal investigator; (4) a work plan for the project listing the anticipated accomplishments and a timetable. (5) resumes of the principal investigator and key personnel involved on the project; (6) documentation of matching funds for cash or in-kind matches as follows: (A) for research and innovation grants, letters of commitment signed by an officer or other official of the applicant and private sector donor for the cash matches required under sec.29.6(c) of this title (relating to Research and Innovation Grant) as well as any additional in-kind matches; (B) for business assistance grants, letters of commitment signed by an officer or other official of the applicant for the cash match required under sec.29.7 of this title (relating to Business Assistance Grants) as well as any additional in-kind match; (C) for small business incubator grants, letters of commitment signed by an officer or other official of the applicant for the in-kind match required under sec.29.8 of this title (relating to Small Business Incubator Grants) as well as any cash match; (7) letters of support from local, state, and federal organizations. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114792 Dolores Alvarado Hibbs Chief Administrative Law Judge Texas Department of Agriculture Effective date: December 16, 1991 Proposal publication date: October 18, 1991 For further information, please call: (512) 463-7583 TITLE 7. BANKING AND SECURITIES Part VII. State Securities Board Chapter 105. Rules of Practice and Procedure 7 TAC sec.105.10 The State Securities Board adopts an amendment to sec.105.10, concerning assessment of costs of preparation of the record upon appeals of agency final decisions or orders. The section is adopted without changes to the proposed text as published in the August 9, 1991, issue of the Texas Register (16 TexReg 4321). A party involved in an administrative proceeding may be assessed the costs of preparation of the record of the agency proceeding that is required to be transmitted to the reviewing court in the event that the agency's decision is appealed. The section provides notice that a reviewing court may assess these costs against the appealing party. No comments were received regarding adoption of the amendment. The amendment is adopted under Texas Civil Statutes, Article 581, sec.28-1, which provide that the board may make or adopt rules or regulations governing registration statements, applications, notices, and reports, and in the adoption of rules and regulations, may classify securities, persons, and matters within its jurisdiction, and prescribe different requirements for different classes. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114775 Richard D. Latham Securities Commissioner State Securities Board Effective date: December 16, 1991 Proposal publication date: August 9, 1991 For further information, please call: (512) 474-2233 Chapter 109. Transactions Exempt from Registration 7 TAC sec.109.14 The State Securities Board adopts an amendment to sec.109.14, to create a new exemption by rule for transactions among persons in the oil and gas industry and to clarify when dealer registration requirements are applicable. The section is adopted with changes to the proposed text as published in the August 9, 1991, issue of the Texas Register (16 TexReg 4322). The changes include a revised description in subsection (d)(1)(A) of persons who may rely upon the exemption, the addition of a new subsection (d)(2) regarding offers not made indiscriminately, a revision of originally proposed subsection (d)(2) into a new subsection (d)(3) to pick up additional persons who will be considered to be an "agent for the owner," and needed clarifications to subsection (e) concerning agent registration. The section is needed in order to clarify that registration under the Securities Act is not required when participants in the oil, gas, and other mineral industries buy, sell, and/or trade certain interests among themselves. The section creates a new exemption by rule under the Act, Section 5.T, for the described transactions between the described persons. Several commenters suggested changes to subsection (d)(1)(A) which sets forth the description of persons who may rely upon the exemption. The board decided that the appropriate question ought to be whether or not one is engaged in the business of exploring for or producing oil, gas, or other minerals as an ongoing business or is engaged in the practice of a profession or related discipline. This approach is preferable to setting forth an income or revenue test. The agency agrees with the comment that a purchaser would be able to purchase with a view to resale as long as the view to resale contemplates sales only to other industry participants or pursuant to another exemption or a registration under the Act. One commenter thought that subsection (d)(l) might be viewed as being in conflict with subsection (e) since the section specifically includes auction situations. The agency revised subsection (e) to make it more clear that dealer registration is required any time a sale is actually made to a person that does not meet the description in subsection (d)(l)(A). Also, as to offers, the reasonable belief test set forth in subsection (d)(l) would apply and mitigates, to some extent, the commenter's concern. Several commenters suggested that the list of persons required to be registered be revised to exclude other persons who could appropriately be viewed as agents for the owner. Under subsection (d) (3) and (e), this has been done. One commenter suggested that an inadvertent offer to one not meeting the description in subsection (d)(l)(A) should not vitiate the exemption. The Agency agrees and accordingly added new subsection (d) (2). Stubbeman, McRae, Sealy, Laughlin & Browder, Inc., Attorneys at Law, Chevron U.S.A., Inc., Fina Oil and Chemical Company, Texaco Inc., Vinson & Elkins, Attorneys at Law, and Kunzman & Bollinger, Inc., Attorneys at Law commented in favor of the adoption. The agency disagrees with the comment suggesting that a revision to provide that the reasonable belief test would be met if a document were signed by an offeree to the effect that such offeree met the description in subsection (d)(l) (A), and the document was received by the owner or owner's agent. The agency takes the position that to add such a provision might, in effect, invite offerees to sign such documents when all of the parties know such documents to be false. Also, other exemptions under the Act do not spell out what will suffice to meet the test and there appears to be no compelling reason to do so in this section. However, the agency added subsection (d)(2) which clarifies that an offer to a person who did not meet the criteria in paragraph (l)(A)-(C) will not cause the exemption to be lost if such offer was not made indiscriminately. The amendment is adopted under Texas Civil Statutes, Article 581, sec.28-1 and sec.5.T, which provide that the board may make or adopt rules or regulations governing registration statements, applications, notices, and reports, and in the adoption of rules and regulations, may classify securities, persons, and matters within its jurisdiction, and prescribe different requirements for different classes and create new exemptions by rule. sec.109.14. Oil, Gas, and Other Mineral Interests. (a)-(c) (No change.) (d) Exemption for transactions among persons in the oil and gas industry. (1) In addition to offers and sales made pursuant to the Act, sec.5.Q, the State Securities Board, pursuant to the Act, sec.5.T, exempts from the securities registration requirements of the Act, sec.7, and the dealer and agent registration requirements of the Act, sec.12 and sec.18, the offer and sale of any interest in or under an oil, gas or mining lease, fee or title, or payments out of production in or under such leases, fees, or titles or contracts relating thereto by the owner or an agent for the owner when such offer or sale is made to persons and/or companies each of whom the owner or owner's agent shall have reasonable cause to believe and does believe meets the following criteria: (A) is engaged in the business of exploring for or producing oil, gas, or other minerals as an ongoing business or is engaged in the practice of a profession, or discipline, which is directly related to the exploration for, production of, refining of or marketing of oil, gas or other minerals such as the interest being sold; or (B) is a landman, drilling company, well service company, production company, refining company, geologist, geophysicist, petroleum engineer, earth scientist; or (C) is an executive officer of a company whose primary plan of business involves either subparagraphs (A) or (B) of this paragraph. (2) The offer to a person who did not meet the criteria set forth in paragraph (l)(A)-(C) of this subsection will not cause the exemption to be lost if such offer was not made indiscriminately. (3) For purposes of this rule, an "agent for the owner" includes the following: (A) officers, directors, and employees who are actively engaged in the day-to- day activities of the owner; (B) independent landmen, engineers, geologists, and consultants who have a contractual working relationship with the owner; (C) persons who meet the dealer registration requirements of the Securities Act, sec.12; and (D) persons who represent the owner in transactions exclusively with persons described in paragraph (l)(A)-(C) of this subsection. (4) This exemption includes sales at auction. (e) Any person who acts as an agent of an owner or a purchaser in connection with a sale of an interest described in subsection (d) of this section to a person who does not meet the criteria set forth in paragraph (l)(A)-(C) of this section, will not be exempt from the dealer registration requirements of the Act, sec.12, unless another exemption is available. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114776 Richard D. Latham Securities Commissioner State Securities Board Effective date: December 16, 1991 Proposal publication date: September 9, 1991 For further information, please call: (512) 474-2233 TITLE 10. COMMUNITY DEVELOPMENT Part I. Texas Department of Housing and Community Affairs Chapter 9. Texas Community Development Program Subchapter A. Allocation of Program Funds 10 TAC sec.sec.9.2, 9.4-9.6, 9.8 The Texas Department of Housing and Community Affairs (the department) adopts new sec.sec.9.2, 9.4-9.6, and 9.8, concerning allocation of program funds. Section 9.8 is adopted with changes to the proposed text as published in the October 29, 1991, issue of the Texas Register (16 TexReg 6109). Sections 9.2 and 9.4-9.6 are adopted without changes and will not be republished. The new sections establish the standards and procedures by which the department allocates community development, planning/capacity building, emergency, and urgent need funds to eligible units of general local government. The administration of the Texas Community Development Program was transferred to the department from the Texas Department of Commerce on September 1, 1991, pursuant to Senate Bill 41, 72nd Legislature, Second Called Session. The new sections are the same as the rules that governed the Texas Community Development Program at the Texas Department of Commerce as of August 31, 1991. The new sections include application requirements, regional review committees, citizen participation requirements for applicants and contractors, and selection procedures and criteria. No comments were received regarding the new sections. The department has corrected sec.9.8(c)(3) by deleting the requirement that an alternate for a regional review committee must by a local elected official. The new sections are adopted under Texas Civil Statutes, Article 4413(501), sec.2.07, which provide the department with the authority to allocate community development block grant nonentitlement area funds to eligible counties and municipalities. sec.9.8. Regional Review Committees. (a) Composition. There is a regional review committee in each of the 24 state planning regions. Each committee consists of at least 12 members appointed by the governor. Composition of each regional committee reflects geographic diversity within the region, difference in population among eligible localities, and types of government (general law cities, home rule cities, and counties). The chairperson of the committee is also appointed by the governor. Members of the committee serve two-year terms. An individual may not serve as a member of a regional review committee while serving as a member of the State Community Development Review Committee. (b) Role. Each regional review committee reviews and scores all applications submitted from within its region under the Community Development Fund. Each regional review committee may review and comment on other Texas Community Development Program applications. Each regional review committee sends its scores and comments to the department. Regional review committees may elect to utilize staff of regional planning commissions to assist with project review responsibilities. (c) General requirements. In the performance of its responsibilities, each regional review committee shall comply with all federal and state laws and regulations relating to the administration of community development block grant nonentitlement area funds including, but not limited to, requirements of this subchapter, the scoring procedures specified in the current Regional Review Committee Guidebook, and the procedures established by the regional review committee under the Texas Community Development Program. (1) Meetings. Each meeting held by a regional review committee shall conform to the following requirements. (A) The regional review committee shall notify each eligible unit of general local government within the regional review committee's state planning region, in writing, of the date, time, and location of its organizational meeting at least five days prior to the meeting. The regional review committee shall notify each applicant within its region, in writing, of the date, time, and location of its scoring meeting at least five days prior to the meeting. The notices must be in the format specified by the department in the most recent Regional Review Committee Guidebook. The notices must also be published in a regional newspaper at least three days prior to the meeting. Articles published in such newspapers which satisfy the content and timing requirements of this subparagraph will be accepted by the department in lieu of publication of notices. (B) Each applicant shall be provided with the opportunity to make a presentation to the regional review committee at its scoring meeting. (C) The order of the presentations shall be randomly selected by the regional review committee. (D) All discussions, deliberations, and votes shall be made in public except for items which would be specifically exempted under the Texas Open Meetings Act. The scoring of applications must occur at the same meeting of the regional review committee at which the presentations by applicants are made. (E) A quorum of a simple majority of the current members of the regional review committee, rounded to the nearest whole number, shall be present. Any actions taken by a regional review committee in which a quorum was not present shall be voidable, provided however, that if a conflict of interest situation has required a regional review committee member to excuse himself, thus dropping the number of participating members below the simple majority requirement, a quorum shall have been considered present. (2) Conflicts of interest. No member of a regional review committee shall vote on an application if the member is on the governing body of the applicant. A county judge or county commissioner may not score an application from an incorporated city within the county, unless specifically authorized by the regional review committee. (3) Voting. Only appointed members of a regional review committee may vote on an action of the regional review committee. A regional review committee member may designate an alternate to participate in the member's absence. Each regional review committee shall retain all ballots or other voting records used by its members. Such records shall be maintained in an accessible location and be made available for inspection by the public for a period of one year. Each member of a regional review committee shall score each application individually and shall sign each of his or her ballots and other voting records or scoring sheets. The high and low scores are eliminated and the average of the remaining individual scores is the regional review committee's score on each scoring factor. Consensus scoring is not permitted. (4) Scoring procedures. Each regional review committee must submit its scoring procedures to the department for approval before the procedures are disseminated to all eligible applicants in its region. (d) Appeals. An applicant may appeal the actions of the regional review committee established in its state planning region by following the procedures set forth in this subsection. The department will withhold the running of computer scores on community development fund applications for five working days after the regional review committee's scoring meeting or until all regional appeals, if any, have been resolved, whichever is longer. A regional review committee must provide written notification of each appeal to all applicants in the region. An applicant that is adversely affected by the action of its regional review committee on an appeal, may appeal that action in accordance with the procedures specified in this subsection. (1) An applicant shall notify its regional review committee, in writing, of an alleged violation of regional review committee procedures committed by the regional review committee within five working days after the date of the regional review committee meeting which is the subject of the appeal. The applicant shall also send a copy of the appeal to the department. All appeals must be based on a specifically identified violation of regional review committee procedures. (2) Within 10 working days after the receipt of an appeal, the regional review committee shall notify all the applicants within its region that the regional review committee will reconvene to hear the appeal. If a quorum of the regional review committee agrees that the alleged procedural violation occurred, the regional review committee shall sustain the appeal, make appropriate adjustments to regional scores, and notify the department. If a quorum of the regional review committee votes to deny the appeal, the regional review committee shall provide all applicants in the region and the department with a written statement of the basis of its denial. (3) If the appeal is resolved, the department runs the computer scores and provides funding recommendations to the State Review Committee. (4) If the appeal is not resolved, the department prepares an appeal file for the State Review Committee. The file includes: (A) the appeal; (B) the response of the regional review committee; (C) department staff reports; and (D) comments of other interested parties. (5) The State Review Committee shall make one of the following recommendations to the executive director of the department: (A) sustain the appeal and suggest corrective actions; or (B) reject the appeal and sustain the regional scores. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on December 2, 1991. TRD-9114965 Anne O. Paddock Interim Assistant General Counsel Texas Department of Housing and Community Affairs Effective date: December 23, 1991 Proposal publication date: October 29, 1991 For further information, please call: (512) 320-9526 TITLE 13. CULTURAL RESOURCES Part I. Texas State Library and Archives Commission Chapter 1. Library Development Library Services and Construction Act Annual Program and Long Range Plan 13 TAC sec.1.21 The Texas State Library and Archives Commission adopts an amendment to sec.1. 21, without changes to the proposed text as published in the June 28, 1991, issue of the Texas Register (16 TexReg 3571). The amendment is adopted to comply with the Code of Federal Regulations, Title 34, Part 770, Subpart C, which relates to the Library Services and Construction Act, 20 United States Code 351 et seq. The amendment revises the Federal Library Services and Construction Act Long Range Plan and Annual Program to describe the types of financial assistance and services that will be provided to libraries and systems of libraries. No comments were received regarding adoption of the amendment. The amendment is adopted under the Government Code, Chapter 441, sec.009, which gives the Texas State Library and Archives Commission the authority to adopt a state plan for improving library services in Texas. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 22, 1991. TRD-9114739 Raymond Hitt Assistant State Librarian Texas State Library and Archives Commission Effective date: December 16, 1991 Proposal publication date: June 28, 1991 For further information, please call: (512) 463-5440 13 TAC sec.1.23, sec.1.31 The Texas State Library and Archives Commission adopts the repeal of sec.1. 23, and sec.1.31, without changes to the proposed text as published in the June 28, 1991, issue of the Texas Register (16 TexReg 3571). The repeals will remove redundant sections from the Texas Administrative Code. The guidelines contained in the repealed sections are now incorporated in sec.1.21 which is being adopted in this issue. No comments were received regarding adoption of the repeals. The repeals are adopted under the Government Code, Chapter 441, sec.009, which gives the Texas State Library and Archives Commission authority to adopt a state plan for improving library services in Texas. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 22, 1991. TRD-9114740 Raymond Hitt Assistant State Librarian Texas State Library and Archives Commission Effective date: December 16, 1991 Proposal publication date: June 28, 1991 For further information, please call: (512) 463-5440 Standards for Accreditation of a Major Resource System of Libraries in the Texas Library System 13 TAC sec.1.72 The Texas State Library and Archives Commission adopts an amendment to sec.1. 72, without changes to the proposed text as published in the June 28, 1991, issue of the Texas Register (16 TexReg 3572). Public libraries are required by the Library Systems Act to be "freely open." The amendment defines the library services for which a public library can or cannot collect money from a library user. The amendment specifies the services for which a public library can or cannot collect a fee, fine, or other charge form a library user. It also prohibits the provisions of library services for a charge on the library premises by individuals or organizations other than the library; renting books or audiovisuals is no longer permitted in the library by other organizations, such as Friends of the Library groups. The Texas State Library and Archives Commission checks compliance with the rule during its review of each library's Annual Report and system Membership Application. No comments were received regarding adoption of the amendment. The amendment is adopted under the Government Code, Chapter 441, sec.136, which gives the Texas State Library and Archives Commission the authority to adopt rules for the administration of the Library Systems Act. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 22, 1991. TRD-9114741 Raymond Hitt Assistant State Librarian Texas State Library and Archives Commission Effective date: December 16, 1991 Proposal publication date: June 28, 1991 For further information, please call: (512) 463-5440 TITLE 16. ECONOMIC REGULATION Part I. Railroad Commission of Texas Chapter 5. Transportation Division Subchapter B. Operating Certificates, Permits and Licenses 16 TAC sec.5.32 The Railroad Commission of Texas adopts an amendment to sec.5.32, concerning the transportation of bulk lime and bulk salt with changes to the version as published in the September 17, 1991, issue of the Texas Register (16 TexReg 5117). The amendment will allow a specialized motor carrier with a certificate authorizing the transportation of dry bulk commodities in hopper equipment to transport those commodities in pneumatically-unloaded hopper equipment. This will enable carriers to take advantage of equipment innovations and will provide the public with the option of having dry bulk commodities, that are transported in hopper equipment, unloaded by use of gravity or by air pressure. The amendment is adopted with changes in order to avoid confusion as to applicable equipment and to further clarify that the amendment is merely for the purpose of defining hopper equipment by configuration and not by unloading method. Furthermore, language has been added in order to make it clear that equipment restrictions in existing certificates will remain in force. No comments were received in support of the proposed amendment. Numerous comments were received in opposition to the amendment, including comments of Texas Tank Carriers Associations, Inc. Commenters primarily stated a concern that this amendment would allow expansion of authority by rule-making, and that it would adversely affect or even eliminate pertinent equipment restrictions in existing certificates. A few commenters expressed confusion about the scope of equipment and commodities referenced in the amendment. The commission does not agree that this rule-making will have the effect of granting new authority or expanding existing authority by rule-making, or that it will affect the validity of restrictions in existing certificates. The amendment as adopted merely reflects that the definition of hopper equipment is not dependent on the method of unloading that equipment. The amendment is restricted to hopper equipment only. Furthermore, in order to clear any confusion about the scope of equipment or equipment restrictions, the reference to dump unloading has been eliminated and language has been added which specifically addresses equipment restrictions in existing certificates. The amendment is adopted under the Texas Motor Carrier Act, Texas Civil Statutes, Article 911b, which authorizes the Railroad Commission on Texas to regulate motor carriers in all matters. sec.5.32. Specialized Motor Carriers of Dry Bulk Commodities. (a) All specialized motor carrier certificates which authorize the transportation of bulk lime or bulk salt include the authority to transport said commodities in pneumatic trailer equipment. (b) All specialized motor carrier certificates which authorize the transportation of dry bulk commodities in hopper equipment shall include pneumatically-unloading hopper equipment, rules otherwise restricted as to equipment. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114818 Martha V. Swanger Hearings Examiner, Gas Utilities/LP Gas Section Legal Division Railroad Commission of Texas Effective date: December 17, 1991 Proposal publication date: September 17, 1991 For further information, please call: (512) 463-7095 TITLE 19. EDUCATION Part II. Texas Education Agency Chapter 75. Curriculum Subchapter B. Essential Elements Prekindergarten-Grade Six 19 TAC sec.sec.75.21-75.29 The Texas Education Agency adopts the repeal of sec.sec.75.21-75.29 concerning curriculum, without changes to the proposed text as published in the October 25, 1991, issue of the Texas Register (16 TexReg 5957). The sections are being repealed and reproposed in a separate submission as a result of the five-year curriculum review process, preliminary discussions with the State Board of Education, and changes in content that were included in Proclamations 68, 1991, and 1992. Proclamation 1992 is scheduled to be presented to the board for approval in January 1992. Justification for the repeals will be the revision of curriculum essential elements to reflect content changes made in Textbook Proclamations 68, 1991, and 1992. The repeals will function by allowing school districts sufficient time to update curriculum guides and materials and to plan staff development programs for implementing new textbooks based on the reviewed essential elements, assist publishers in developing teacher editions with references to the revised essential elements, and assist textbook reviewers in reviewing coverage of the revised essential elements in the textbooks. No comments were received regarding adoption of the repeals. The repeals are adopted under the Texas Education Code, sec.21.101, which provides the State Board of Education with the authority to adopt rules designating the essential elements for a well-balanced curriculum for state school districts. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 21, 1991. TRD-9114988 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 25, 1991 For further information, please call: (512) 463-9701 19 TAC sec.sec.75.21-75.31 The following adoption submitted by the Texas Education Agency will be serialized in the December 10, 1991, issue of the Texas Register. The effective date of the adoption is December 23, 1991. Subchapter C. Essential Elements-Grade Seven-Eight 19 TAC sec.sec.75.41-75.44, 75.47-75.51 The Texas Education Agency adopts amendments to sec.sec.75.41-75.44 and 75. 47- 75.51, concerning the essential elements-grades seven-eight. Section 75.44 is adopted with changes to the proposed text as published in the October 18, 1991, issue of the Texas Register (16 TexReg 5778). Sections 75.41-75.43, and 75.47- 75.51 are adopted without changes and will not be republished. The sections are being amended as a result of the five-year curriculum review process, preliminary discussions with the State Board of Education, and changes in content that were included in Proclamations 68, 1991, and 1992. Proclamation 1992 is scheduled to be presented to the board for approval in January 1992. Justification for the amendments will be the revision of curriculum essential elements to reflect content changes made in Textbook Proclamations 68, 1991, and 1992. The amendments will function by allowing school districts sufficient time to update curriculum guides and materials and to plan staff development programs for implementing new textbooks based on the reviewed essential elements, assist publishers in developing teacher editions with references to the revised essential elements, and assist textbook reviewers in reviewing coverage of the revised essential elements in the textbooks. Comments were received regarding adoption of the new sections from the State Board of Education. The board directed the agency to implement the following changes as a result of these comments. Sections 75.44(d)(7) and (e)(7) were changed to require experience in identifying a problem and designing and conducting scientific investigations, as well as adding the concept of formulating hypotheses. Both sections 75.44(d)(10)(E) and (e)(10)(E) were changed to provide students the opportunity to "critique" hypotheses, theories, laws, and principles according to their strengths and weaknesses. The amendments are adopted under the Texas Education Code, sec.21.101, which provides the State Board of Education with the authority to adopt rules designating the essential elements for a well-balanced curriculum for state school districts. sec.75.44. Science. (a) Life science (one unit). Essential elements described in this subsection for life science shall be superseded by the essential elements described in subsection (c) of this section effective September 1994. Life science shall be a laboratory-oriented course and shall include the following essential elements. (1)-(11) (No change.) (b) Earth science (one unit). Essential elements described in this subsection for earth science shall be superseded by the essential elements described in subsection (f) of this section effective September 1995. Earth science shall be a laboratory-oriented course and shall include the following essential elements. (1)-(10) (No change.) (c) Life science (one unit). Essential elements for life science as described in this subsection shall be effective September 1994. Life science shall be a laboratory/field oriented course and shall include the following essential elements. (1) Manipulating laboratory materials and equipment. The student shall be provided opportunities to: (A) manipulate objects, organisms, and models; (B) use materials and instruments; (C) construct models; and (D) practice safe lab techniques. (2) Acquiring scientific data and information. The student shall be provided opportunities to: (A) observe properties and patterns of objects, organisms, models, phenomena, and events; and (B) estimate and measure life science processes and properties. (3) Sequencing, ordering, and classifying scientific data and information. The student shall be provided opportunities to: (A) arrange time, events, and activities in sequential order; and (B) classify life science processes and properties. (4) Communicating scientific data and information. The student shall be provided opportunities to: (A) identify and describe objects, organisms, events, and processes; (B) record data from graphs, tables, maps, and other visuals; and (C) describe technological advances. (5) Interpreting scientific data and information. The student shall be provided opportunities to: (A) interpret data about models, objects, organisms, actions, events, and processes; (B) interpret data from graphs, tables, maps, and other visuals; (C) form operational definitions of objects, organisms, actions, events, and processes based on observations and information; and (D) state relationships among objects, organisms, and events using operational definitions. (6) Inferring, forming generalized statements, and making predictions using scientific data and information. The student shall be provided opportunities to: (A) make inferences from data; (B) form and state generalizations about objects, organisms, events, processes, and phenomena; (C) predict outcomes based on scientific data and information; and (D) predict outcomes from trends in scientific data. (7) Identifying a problem, formulating a hypothesis, and designing and conducting a scientific investigation. The student shall be provided opportunities to: (A) use appropriate equipment and materials; (B) collect measurement data; (C) identify a problem; (D) formulate a hypothesis; (E) identify and manipulate the conditions of a life science investigation; (F) design and conduct life science investigations to test a hypothesis; (G) recognize and describe changes in objects, organisms, events, processes, phenomena over time; and (H) recognize factors that govern changes in objects, organisms, events, processes, phenomena over time. (8) Drawing conclusions about the processes and outcomes of a scientific investigation. The student shall be provided opportunities to: (A) draw conclusions about the processes of a life science investigation; (B) draw conclusions about the outcome of a life science investigation; and (C) use knowledge of theories, facts, and concepts to explain observations, processes, and outcomes in a life science investigation. (9) Relating and applying technology and scientific information to daily life. The student shall be provided opportunities to: (A) relate objects, scientific principles, and activities to daily life; (B) apply scientific knowledge to interpret consumer information obtained from tables, labels, and advertisements; (C) apply scientific information to assess the impact of science on society, technology, and the environment; (D) apply scientific knowledge to recognize the limitations of science relating to technological advances; (E) apply technology and scientific information to explain natural processes and phenomena; and (F) apply technology and scientific information to solve problems and make decisions. (d) Science I, Grade Seven (one unit). Essential elements for Science I as described in this subsection shall be effective September 1994. Science I shall be a developmentally appropriate laboratory/field oriented course coordinating instruction in biology, chemistry, physics, and earth/space science, and shall include the following essential elements. (1) Manipulating laboratory materials and equipment. The student shall be provided opportunities to: (A) manipulate objects, organisms, and models; (B) use materials and instruments; (C) construct models; and (D) practice safe lab techniques. (2) Acquiring scientific data and information. The student shall be provided opportunities to: (A) observe properties and patterns of objects, organisms, models, phenomena, and events; and (B) estimate and measure life, earth, and physical science processes and properties. (3) Sequencing, ordering, and classifying scientific data and information. The student shall be provided opportunities to: (A) arrange time, events, and activities in sequential order; (B) classify matter, forces, energy, organisms, actions, and events according to similarities and differences; and (C) design graphs, tables, maps, and other visuals. (4) Communicating scientific data and information. The student shall be provided opportunities to: (A) identify and describe objects, organisms, events, and processes; (B) read data from graphs, tables, maps, and other visuals; and (C) describe technological advances. (5) Interpreting scientific data and information. The student shall be provided opportunities to: (A) interpret data about models, objects, organisms, actions, events, and processes; (B) interpret data from graphs, tables, maps, and other visuals; (C) form operational definitions of objects, organisms, actions, events, and processes based on observations and information; and (D) state relationships among objects, organisms, and events using operational definitions. (6) Inferring, forming generalized statements, and making predictions using scientific data and information. The student shall be provided opportunities to: (A) make inferences from data; (B) form and state generalizations about objects, organisms, events, processes, and phenomena; (C) predict outcomes based on scientific data and information; and (D) predict outcomes from trends in scientific data. (7) Experience in identifying problems and designing and conducting scientific investigations. The student shall be provided opportunities to: (A) use appropriate equipment and materials; (B) collect and/or organize measured data; (C) formulate hypotheses, identify and manipulate the conditions of science investigations when appropriate; (D) recognize and describe changes in objects, organisms, events, processes, and phenomena over time; and (E) recognize and describe changes in objects, organisms, events, processes, and phenomena over time. (8) Drawing conclusions about the processes and outcomes of a scientific investigation. The student shall be provided opportunities to: (A) use knowledge of principles, facts, and concepts to explain observations, processes, and outcomes in a science investigation; and (B) recognize patterns that may form as a result of the collected and analyzed data. (9) Relating and applying technology and scientific information to daily life. The student shall be provided opportunities to: (A) relate objects, scientific principles, and activities to daily life; (B) interpret consumer information obtained from tables, labels, and advertisements; (C) assess the impact of science on society, technology, and the environment; (D) recognize the limitations of science relating to technological advances; (E) explain natural processes and phenomena; and (F) solve problems and make decisions. (10) The nature of science. The student shall be provided opportunities to: (A) use scientific methods; (B) discuss ethics in science; (C) measure and experiment; (D) solve problems; (E) formulate, discuss, critique, and review, hypotheses, theories, laws, and principles as to their strengths and weaknesses; and (F) practice safety. (11) Scientific advances. The student shall be provided opportunities to: (A) investigate scientists and their contributions; (B) apply technological innovations; and (C) evaluate science and technological career opportunities, including science teaching. (e) Science II, Grade Eight (one unit). Essential elements for Science II as described in this subsection shall be effective September 1995. Science II shall be a developmentally appropriate laboratory/field oriented course coordinating instruction in biology, chemistry, physics, and earth/space science, and shall include the following essential elements. (1) Manipulating laboratory skills and equipment. The student shall be provided opportunities to: (A) manipulate objects, organisms, and models; (B) use materials and instruments; (C) construct models; and (D) practice safe use and proper disposal of chemicals. (2) Acquiring scientific data and information through the senses. The student shall be provided opportunities to: (A) observe properties and patterns of objects, organisms, models, phenomena, and events; and (B) estimate and measure life, earth, and physical science processes and properties. (3) Sequencing, ordering, and classifying scientific data and information. The student shall be provided opportunities to: (A) arrange time, events, and activities in sequential order; (B) classify matter, forces, energy, organisms, actions, and events according to similarities and differences; and (C) design graphs, tables, maps, and other visuals. (4) Communicating scientific data and information. The student shall be provided opportunities to: (A) identify and describe objects, organisms, events, and processes; (B) read data from graphs, tables, maps, and other visuals; and (C) describe technological advances. (5) Interpreting scientific data and information. The student shall be provided opportunities to: (A) interpret data about models, objects, organisms, actions, events, and processes; (B) interpret data from graphs, tables, maps, and other visuals; (C) form operational definitions of objects, organisms, actions, events, and processes based on observations and information; and (D) state relationships among objects, organisms, and events using operational definitions. (6) Inferring, forming generalized statements, and making predictions using scientific data and information. The student shall be provided opportunities to: (A) make inferences from data; (B) form and state generalizations about objects, organisms, events, processes, and phenomena; (C) predict outcomes based on scientific data and information; and (D) predict outcomes from trends in scientific data. (7) Experience in identifying problems and designing and conducting scientific investigations. The student shall be provided opportunities to: (A) use appropriate equipment and materials; (B) collect and/or organize measured data; (C) formulate hypotheses, identify and manipulate the conditions of an investigation when appropriate; (D) recognize and describe changes in objects, organisms, events, processes, and phenomena over time; and (E) recognize factors that govern changes in objects, organisms, events, processes, and phenomena over time. (8) Drawing conclusions about the processes and outcomes of a scientific investigation. The student shall be provided opportunities to: (A) use knowledge of theories, facts, and concepts to explain observations, processes, and outcomes in an investigation; and (B) recognize patterns that may form as a result of the collected and analyzed data. (9) Relating and applying technology and scientific information to daily life. The student shall be provided opportunities to: (A) relate objects, scientific principles, and activities to daily life; (B) interpret consumer information obtained from tables, labels, and advertisements; (C) assess the impact of science on society, technology, and the environment; (D) recognize the limitations of science relating to technological advances; (E) explain natural processes and phenomena; and (F) solve problems and make decisions. (10) The nature of science. The student shall be provided opportunities to: (A) use scientific methods; (B) discuss ethics in science; (C) measure and experiment; (D) solve problems; (E) formulate, discuss, critique, and review theories, laws, and principles as to their strengths and weaknesses; and (F) practice safety. (11) Scientific advances. The student shall be provided opportunities to: (A) investigate scientists and their contributions; (B) apply technological innovations; and (C) evaluate science and technological career opportunities, including science teaching. (f) Earth science (one unit). Essential elements for earth science as described in this subsection shall be effective September 1995. Earth science shall be a laboratory/field oriented course and shall include the following essential elements. (1) Manipulating laboratory skills and equipment. The student shall be provided opportunities to: (A) manipulate objects, organisms, and models; (B) use materials and instruments; (C) construct models; and (D) practice safe use and proper disposal of chemicals. (2) Acquiring scientific data and information through the senses. The student shall be provided opportunities to: (A) observe properties and patterns of objects, organisms, models, phenomena, and events; and (B) estimate and measure earth science processes and properties. (3) Sequencing, ordering, and classifying scientific data and information. The student shall be provided opportunities to: (A) arrange time, events, and activities in sequential order; (B) classify matter, forces, energy, organisms, actions, and events according to similarities and differences; and (C) design graphs, tables, maps, and other visuals. (4) Communicating scientific data and information. The student shall be provided opportunities to: (A) identify and describe objects, organisms, events, and processes; (B) read data from graphs, tables, maps, and other visuals; and (C) describe technological advances. (5) Interpreting scientific data and information. The student shall be provided opportunities to: (A) interpret data about models, objects, organisms, actions, events, and processes; (B) interpret data from graphs, tables, maps, and other visuals; (C) form operational definitions of objects, organisms, actions, events, and processes based on observations and information; and (D) state relationships among objects, organisms, and events using operational definitions. (6) Inferring, forming generalized statements, and making predictions using scientific data and information. The student shall be provided opportunities to: (A) make inferences from data; (B) form and state generalizations about objects, organisms, events, processes, and phenomena; (C) predict outcomes based on scientific data and information; and (D) predict outcomes from trends in scientific data. (7) Identifying a problem and designing and conducting a scientific investigation. The student shall be provided opportunities to: (A) use appropriate equipment and materials; (B) collect and/or organize measured data; (C) identify and manipulate the conditions of an earth science investigation; (D) recognize and describe changes in objects, organisms, events, processes, and phenomena over time; and (E) recognize factors that govern changes in objects, organisms, events, processes, and phenomena over time. (8) Drawing conclusions about the processes and outcomes of a scientific investigation. The student shall be provided opportunities to: (A) use knowledge of theories, facts, and concepts to explain observations, processes, and outcomes in an earth science investigation; and (B) recognize patterns that may form as a result of the collected and analyzed data. (9) Relating and applying technology and scientific information to daily life. The student shall be provided opportunities to: (A) relate objects, scientific principles, and activities to daily life; (B) interpret consumer information obtained from tables, labels, and advertisements; (C) assess the impact of science on society, technology, and the environment; (D) recognize the limitations of science relating to technological advances; (E) explain natural processes and phenomena; and (F) solve problems and make decisions. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 22, 1991. TRD-9114989 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 18, 1991 For further information, please call: (512) 463-9701 19 TAC sec.75.52 The Texas Education Agency adopts new sec.75.52 concerning essential elements grade seven-eight, without changes to the proposed text as published in the October 11, 1991, issue of the Texas Register (16 TexReg 5643). The new section is the result of the five-year curriculum review process, preliminary discussions with the State Board of Education, and changes in content that were included in Proclamations 68, 1991 and 1992. Proclamation 1992 is scheduled to be presented to the board for approval in January 1992. Justification for the section will be the revision of curriculum essential elements to reflect content changes made in Textbook Proclamations 68, 1991 and 1992. The new section will function by allowing school districts sufficient time to update curriculum guides and materials and to plan staff development programs for implementing new textbooks based on the reviewed essential elements, assist publishers in developing teacher editions with references to the revised essential elements, and assist textbook reviewers in reviewing coverage of the revised essential elements in the textbooks. No comments were received regarding adoption of the new section. The new section is adopted under the Education Code, sec.21.101, which provides the State Board of Education with the authority to adopt rules designating the essential elements for a well-balanced curriculum for state school districts. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 27, 1991. TRD-9114986 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 11, 1991 For further information, please call: (512) 463-9701 Chapter 141. Teacher Certification Subchapter A. Certification of Teachers in General 19 TAC sec.141.2, sec.141.3 The Texas Education Agency (TEA) adopts amendments sec.141.2 and sec.141.3, concerning certification of teachers in general, without changes to the proposed text as published in the October 29, 1991, issue of the Texas Register (16 TexReg 6120). The 72nd Legislature, Regular Session, repealed the Texas Education Code, sec.13.044, which provided the statutory authority for rules requiring the United States citizenship for teacher certification. The referenced amendments rescind all references to the citizenship requirement. Justification for the amendments will be the compliance with legislation passed by the 72nd Legislature, Regular Session, regarding citizenship requirements for teacher certification. The amendments will function by eliminating all references to the citizenship requirement for individuals who wish to obtain teacher certification. No comments were received regarding adoption of the amendments. The amendments are adopted under the Texas Education Code, sec.11.26(c)(5), which provides the State Board of Education with the authority to adopt rules consistent with Chapter 13 of this code for certification of teachers, administrators, and other professional personnel customarily employed in public schools. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 14, 1991. TRD-9114983 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 29, 1991 For further information, please call: (512) 463-9701 Subchapter C. Texas Certificates for Aliens 19 TAC sec.141.41, sec.141.43 The Texas Education Agency (TEA) adopts amendments sec.141.41 and sec.141.43, concerning Texas certificates for aliens, without changes to the proposed text as published in the October 29, 1991, issue of the Texas Register (16 TexReg 6120). The 72nd Legislature, Regular Session, repealed the Texas Education Code, sec.13.044, which provide the statutory authority for rules requiring United States citizenship for teacher certification. The amendments rescind all references to the citizenship requirement. Justification for the amendments will be the compliance with legislation passed by the 72nd Legislature, Regular Session, regarding citizenship requirements for teach certification. The amendments will function by eliminating all references to the citizenship requirement for individuals who wish to obtain teacher certification. No comments were received regarding adoption of the amendments. The amendments are adopted under the Texas Education Code, sec.11.26(c)(5), which provides the State Board of Education with the authority to adopt rules consistent with Chapter 13 of this code for certification of teachers, administrators, and other professional personnel customarily employed in public schools. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 11, 1991. TRD-9114984 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 29, 1991 For further information, please call: (512) 463-9701 19 TAC sec.141.42 The Texas Education Agency (TEA) adopts the repeal of sec.141.42 concerning Texas certificate for aliens, without changes to the proposed text as published in the October 29, 1991, issue of the Texas Register (16 TexReg 6121). The 72nd Legislature, Regular Session, repealed the Texas Education Code, sec.13. 044, which provide the statutory authority for rules requiring United States citizenship for teacher certification. The repeal rescinds all references to the citizenship requirement. Justification for the repeal will be the compliance with legislation passed by the 72nd Legislature, Regular Session, regarding citizenship requirements for teacher certification. The repeal will function by eliminating all references to the citizenship requirement for individuals who wish to obtain teacher certification. No comments were received regarding adoption of the repeal. The repeal is adopted under the Texas Education Code, sec.11.26(c)(5), which provides the State Board of Education with the authority to adopt rules consistent with Chapter 13 of this code for certification of teachers, administrators, and other professional personnel customarily employed in public schools. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 14, 1991. TRD-9114985 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: October 29, 1991 For further information, please call: (512) 463-9701 Chapter 175. Proprietary Schools and Veterans Education Subchapter B. Commercial Driver Training School 19 TAC sec.175.15 The Texas Education Agency (TEA) adopts an amendment to sec.175.15 concerning commercial driver training schools, with changes to the proposed text as published in the July 12, 1991, issue of the Texas Register (16 TexReg 3825). The proposed text referenced sec.185.15, however, at the request of the Texas Register the former Chapter 185, Proprietary Schools and Veterans Education, has been redesignated as Chapter 175. Therefore, the section is being adopted with the new designation. The amendment is based on the following findings of the agency. The agency has previously permitted commercial driver training schools to enroll students into driver education programs on any unit of instruction in the course (open enrollment), rather than requiring all enrolling students to proceed in a group from the first to the last unit of instruction (closed enrollment). As a result of the open enrollment practices, the agency found that may schools were utilizing superficial and haphazard methods of teaching in order to accommodate the open enrollment. Commercial driving schools have attempted to justify the use of open enrollment based on reasons unrelated to sound education, such as the need for convenient and flexible scheduling, competition with the public sector, more regular income to the schools, and staffing needs. In consultation with educational experts, agency staff, agencies, the agency found that open enrollment in driver education is educationally unsound. It fails to provide group cohesiveness that will promote positive attitude formation, encourages disorderly instruction, does not allow for identification of individual students needs, and decreases the quality and content of the program. The reasons offered in support of open enrollment are insubstantial in comparison to concerns for the safety and welfare of the students as well as the citizens of the State of Texas. Rules requiring closed enrollment with uniform beginning and ending dates will standardize instructional practices, provide a classroom environment more conducive to the effective and consistent education of teenage drivers, and ultimately produce safer drivers in Texas. This amendment was proposed for permanent adoption on July 12, 1991. Justification for the amendment will be preventing random starting dates for drivers' education classes since it has been determined that this practice is contradictory to the fundamental principals of curriculum organization and sequence, instructional delivery, and student learning. The amendment will function by implementing policies that encourage student group cohesiveness and promote positive attitude formation, discourage disorderly instruction, allow for the identification of individual student needs, and increase the quality and content of drivers' education programs. Comments were received regarding the amendment by the Driver Training School Advisory Commission. The Driving School Association commented against the uniform start date, stating that the driving school rule committee and the Proprietary School Advisory Commission had advised against the proposed rule; a membership poll had been taken by the association that indicated two-thirds of the schools supported an open enrollment; the Curriculum Guide approved by the Texas Education Agency did not mandate sequence of instruction or a closed enrollment; and that may public schools teach the classroom phase of driver education instruction during the fall or spring semester and do not begin in-car training until after a delay of eight or nine months. Austin Driving School commented against the proposed rule stating that an option should be available regarding enrollment. Safeway Driving School commented against the proposed rule and presented an alternative to the proposed rule which would permit an every Monday start date with two classrooms and two certified instructors. Fort Bend Driving School commented against the proposed rule. One individual commented in support of the proposed rule. The Driver Training School Advisory Commission made no motion to advise the State Board of Education, but all comments to the commission were forwarded to the commissioner and the board. In addition, comments were also received by the State Board of Education from the Driving School association of Texas. The commenter stated that the amendment was unnecessarily inconvenient for students and their parents. In addition, the commenter stated that current practices of commerical driving schools provide sufficient quality of instruction and flexibility for students and their parents. Some driving school owners have stated that this amendment will require additional staffing to generate the same revenue in the summer months and give a competitive edge to public schools. The agency's position regarding the comments is that the amendment is not unnecessarily inconvenient considering the importance of good quality instruction when teaching teenagers to drive automobiles. The agency does not agree that current practices provide sufficient quality instruction. Quite the contrary, current practices allow haphazard instruction; fail to encourage group cohesiveness; permit a superficial level of instruction; and are difficult to manage. For example, current practices would permit a student to receive instruction in highway driving prior to basic instruction in driving an automobile. Further, any alleged inconvenience or flexibility would be brief since the course is never longer than 32 hours in length. As for generating the same amount of revenue in the same time period and competition with the public schools, the agency has determined that there will not be any anticipated cost to comply with this rule since the rule requires restructuring of scheduling and not the addition of staff, and would only affect the timing of the schools' receipt of revenue. As to concerns that public schools would obtain a competitive advantage, staff have noted that public schools teach a uniform start date with a closed enrollment. In conclusion, the agency believes that the more organized approach of uniform start dates in the driver education classroom will enhance and increase the quality of the instructional delivery and allow for in-depth application of the fundamental principals of education and curriculum organization. The statement in section (a) (2)(C) regarding a student enrollment executed prior to the effective date of this rule was deleted since it is no longer applicable. The amendment is adopted under Texas Civil Statutes, Article 4413(29c), which provides the Texas Education Agency with the authority to adopt rules relating to commercial driver training schools. sec.175.15. Programs of Instruction. (a) (No change.) (1) (No change.) (A)-(L) (No change.) (2) Teenage driver education. (A)-(B) (No change.) (C) Commercial driver training schools, who desire to instruct persons ages 14 to 18 years, shall provide classes with uniform beginning and ending dates. Students shall be enrolled prior to the seventh hour of classroom instruction. (i)-(iv) (No change.) (D)-(H) (No change.) (3) (No change.) (b) (No change.) This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 14, 1991. TRD-9114987 Criss Cloudt Director, Planning Coordination Texas Education Agency Effective date: December 23, 1991 Proposal publication date: July 12, 1991 For further information, please call: (512) 463-9701 TITLE 28. INSURANCE Part II. Texas Workers' Compensation Commission Chapter 110. General Provisions-Required Notices of Coverage Subchapter B. Employer Notices 28 TAC sec.110.103 The Texas Workers' Compensation Commission adopts an amendment to sec.110. 103, concerning notice of non-coverage to the commission without changes to the proposed text as published in the June 18, 1991, issue of the Texas Register (16 TexReg 3302). The amendment is necessary to reconcile two provisions of the Texas Workers' Compensation Act (the Act), sec.3.10 and sec.3. 22(a). The amendment to subsection (a) of the existing section makes clear that the annual notice of non-coverage does not have to be filed by the employers who hire only employees who are exempt from the Act, under sec.3.10. In summary, such exempt employees are those covered for work-related injuries under federal law, domestic or casual workers whose employment is incidental to a personal residence, and certain farm or ranch employees not covered pursuant to the Act, sec.3.07. The amendment is subsection (c) of the existing section instruct employers to file the notice with the commission in 1991, and with the State Board of Insurance by May 15th of each subsequent year. No comments were received regarding adoption of the amendment. The amendment is adopted in accordance with the Texas Workers' Compensation Act, Article 8308, sec.2.09(a), which provides the Texas Workers' Compensation Commission with the authority to adopt rules as necessary for the implementation and enforcement of this Act, and sec.3.22(a) which authorizes the commission to require the employer to provide reasonable information about its business on the notice of noncoverage. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114765 Susan M. Kelley General Counsel Texas Workers' Compensation Commission Effective date: December 16, 1991 Proposal publication date: June 18, 1991 For further information, please call: (512) 440-3972 Chapter 147. Dispute Resolution-Agreements, Settlements, Commutation 28 TAC sec.147.10 The Texas Workers' Compensation Commission adopts new sec.147.10, without changes to the proposed text as published in the October 8, 1991, issue of the Texas Register (16 TexReg 5561). New sec.147.10 is necessary to set forth the procedures for commuting impairment income benefits. Section 147.10 allows an employee to request a lump sum payment of impairment income benefits when the employee has returned to work for at least three months, earning at least 80% of his or her average weekly wage. The new section lists the information that the employee must provide when he or she requests the lump sum. The request must be made on a commission prescribed form; this form must include a warning to the employee that getting the lump sum payment will prevent him or her from getting further income benefits for the injury. The section requires the employee to file the request with the commission field office managing the claim and to send the request to the insurance carrier, which must approve or deny the request in writing no later than 14 days after receipt of the request. If the request is approved, the carrier must pay the commuted impairment income benefits, but if the carrier must file a copy of the approval or denial notice with the commission field office managing the claim. The section provides that an employee can request a benefit review conference if the carrier denies the lump sum payment; the request for the benefit review conference must be made as provided by sec.141.1 of this title (relating to Requesting and Setting a Benefit Review Conference). Concerning proposed sec.147.10, one commenter suggested that the section should be amended to authorize the carrier to discount commuted benefits for present payment at the rate provided for in the Act, sec.1.04. The commission disagrees with the suggestion, noting that sec.1.04 authorizes the commission to set the discount rate for any interest or discount "provided for" in the Act and that the Act does not expressly provide for discounting lump sums of impairment income benefits (compare with Texas Civil Statutes, Article 8308-4.321 which does not expressly allow for discounting of accelerated benefits). The Texas Association of Business commented against the proposed section. No comments specifically in favor of the proposed section were received. The new section is adopted under Texas Civil Statutes, Article 8308, sec.2. 09(a), which authorizes the commission to adopt rules necessary for the implementation and enforcement of the Texas Workers' Compensation Act. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114766 Susan M. Kelley General Counsel Texas Workers' Compensation Commission Effective date: December 16, 1991 Proposal publication date: October 8, 1991 For further information, please call: (512) 440-3972 TITLE 31. NATURAL RESOURCES Part XV. Texas Low-Level Radioactive Waste Disposal Authority Chapter 449. General Provisions Subchapter A. Administrative 31 TAC sec.449.2, sec.449.7 The Texas Low-Level Radioactive Waste Disposal Authority adopts amendments to sec.449.2 and sec.449.7, without changes to the proposed text as published in the October 11, 1991, issue of the Texas Register (16 TexReg 5717). The amendments will promote better public knowledge of where the authority may be contacted and increases the availability of agency documents. The amended sections update the address of the Authority and eliminates existing procedures for handling confidential information since different procedures are already covered in the Texas Open Records Act, Texas Civil Statutes, Article 6252-17a. No comments were received regarding adoption of the amendments. The amendments are adopted under the Health and Safety Code, sec.402.054, which provides the Texas Low-Level Radioactive Waste Disposal Authority with the authority to adopt rules, standards, and orders necessary to properly carry out the Texas Low-Level Radioactive Waste Disposal Authority Act and to protect the public health and safety and the environment from activities of the authority. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 27, 1991. TRD-9114893 Lee H. Mathews Deputy General Manager and General Counsel Texas Low-Level Radioactive Waste Disposal Authority Effective date: December 18, 1991 Proposal publication date: October 11, 1991 For further information, please call: (512) 451-5292 Subchapter C. Site Selection Hearings 31 TAC sec.sec.449.31-449.35 The Texas Low-Level Radioactive Waste Disposal Authority adopts amendments to sec.sec.449.31-449.33, 449.35, without changes to the proposed text as published in the October 11, 1991, issue of the Texas Register (16 TexReg 5718). The amended sections will increase the public's awareness of the recent recodification of the authority statute. The amended sections now reference citations to the Health and Safety Code which recodified Texas Civil Statutes, Article 4590f-1. No comments were received regarding adoption of the amendments. The amendments are adopted under the Health and Safety Code, sec.402.054, which provides the Texas Low-Level Radioactive Waste Disposal Authority with the authority to adopt rules, standards, and orders necessary to properly carry out the Texas Low-Level Radioactive Waste Disposal Authority Act and to protect the public health and safety and the environment from activities of the authority. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 27, 1991. TRD-9114894 Lee H. Mathews Deputy General Manager and General Counsel Texas Low-Level Radioactive Waste Disposal Authority Effective date: December 18, 1991 Proposal publication date: October 11, 1991 For further information, please call: (512) 451-5292 Chapter 450. Planning and Implementation Fees 31 TAC sec.sec.450.1-450.4 The Texas Low-Level Radioactive Waste Disposal Authority adopts new sec.sec.450. 1-450.4, without changes to the proposed text as published in the October 11, 1991, issue of the Texas Register (16 TexReg 5718). The new sections are needed to implement planning and implementation fees required by Chapter 402, Health and Safety Code. The new sections assess planning and implementation fees for state fiscal years 1992-1993, specify the low-level radioactive waste generators who must pay the fees, and provide for the collection and deposit of fees in the state treasury. Several commenters, including members of the Hudspeth County Commissioners Court, expressed concern that collection of planning and implementation fees will reduce the amount of expenses that will ultimately be recovered through waste disposal fees and thus tend to reduce the amount of money available for impact assistance to local communities. The Hudspeth County Commissioners Court requested a delay in adopting the rules until an attorney general's opinion could be obtained as to whether the law can be interpreted to allow, through rulemaking, that a portion of the fees be set aside for impact assistance. The board acknowledges that impact assistance will be reduced when planning and implementation fees are collected, but believes that it is without statutory authority to set aside a portion of the fees. The board believes that the law compels immediate implementation of the fee rules; however, the board will seek an attorney general's opinion in accordance with the Commissioners Court's request. Another commenter suggested adding to the rules language stating that any compact participation fees received from other states joining a waste compact with Texas be used to defray construction and operation expenses of the Texas disposal site and that waste disposal fees charged to users of the site be computed net of such compact participation fees. The board believes that it is not authorized to include in the rulemaking the final disposition of fees received from compacting states. That matter will be determined by the terms of a compact if and when it is negotiated. The board further believes that it is without statutory authority to modify waste disposal fees since only planning and implementation fees are subject to this rulemaking. The new sections are adopted under the Health and Safety Code, sec.402.054, which provides the Texas Low-Level Radioactive Waste Disposal Authority with the authority to adopt rules, standards, and orders necessary to properly carry out the Texas Low-Level Radioactive Waste Disposal Authority Act and to protect the public health and safety and the environment from activities of the authority. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 27, 1991. TRD-9114895 Lee H. Mathews Deputy General Manager and General Counsel Texas Low-Level Radioactive Waste Disposal Authority Effective date: December 18, 1991 Proposal publication date: October 11, 1991 For further information, please call: (512) 451-5292 TITLE 40. SOCIAL SERVICES AND ASSISTANCE Part VI. Texas Commission for the Deaf and Hearing Impaired Chapter 181. General Rules of Practice and Procedures Subchapter F. Fees 40 TAC sec.181.820, sec.181.830 The Texas Commission for the Deaf and Hearing Impaired adopts amendments to sec.181.820 and sec.181.830 concerning fees, without changes to the proposed text as published in the October 25, 1991, issue of the Texas Register (16 TexReg 6043). The result of enforcing the sections will be more interpreters for the deaf and hearing impaired will be available since the pay scale will be higher than in previous years. It will set guidelines for reimbursement rates paid to contractors for interpreter rates. It will also establish guidelines for recommended rates to be paid to contractors by other government agencies. Comments were in favor of the flat rate of pay for interpreter services. Commenting in favor of the amendment were Sign Shares, Inc; Travis County Services for the Deaf; Deaf Action Center; and Austin Interpreters for the Deaf. The amendments are adopted under the Human Resources Code, Chapter 81, sec.81. 006(a)6, which provides the Texas Commission for the Deaf and Hearing Impaired with the authority to annually review the schedule of fees recommended by the commission for the payment of interpreters and, as a result of the finds, adopt by rule a schedule of reasonable fees to be paid to interpreters with varied levels of skills. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 26, 1991. TRD-9114885 Larry Evans Executive Director Texas Commission for the Deaf and Hearing Impaired Effective date: January 1, 1992 Proposal publication date: October 25, 1991 For further information, please call: (512) 444-3323 TITLE 43. TRANSPORTATION Part I. Texas Department of Transportation Chapter 9. Division of Construction and Contract Administration Emergency Contract Procedures 43 TAC sec.sec.9.20-9.22 The Texas Department of Transportation adopts new sec. sec.9.20-9.22, concerning emergency contact procedures, without changes to the proposed text as published in the October 18, 1991, issue of the Texas Register (16 TexReg 5819). Texas Civil Statutes, Article 6674h-2 authorize the department to award a highway improvement contract in accordance with administrative rules promulgated by the Texas Transportation Commission. The new sections authorize the department to implement procedures designed to expedite the award of highway improvement contracts to meet emergency conditions in which essential corrective or preventive action would be unreasonably hampered or delayed by compliance with other laws. The new sections establish contract procedures relating to the certification of the emergency, contractor eligibility, notification of prospective bidders, bidding requirements, letting procedures, contract form and content, and reports to the commission. No comments were received regarding adoption of the new sections. The new sections are adopted under Texas Civil Statutes, Articles 6666 and 6674h-2, which provide the Texas Transportation Commission with the authority to establish rules and regulations for the conduct of the work of the Texas Department of Transportation; and specifically to establish rules for the expedited award of highway improvement contracts to meet emergency conditions in which essential corrective or preventive action would be unreasonably hampered or delayed by compliance with other laws. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114752 Diane L. Northam Legal Administrative Assistant Texas Department of Transportation Effective date: December 16, 1991 Proposal publication date: October 18, 1991 For further information, please call: (512) 463-8630 Chapter 17. Division of Motor Vehicle Titles and Registration Dealers and Manufacturers Vehicle License Plates 43 TAC sec.17.69 The Texas Department of Transportation adopts an amendment to sec.17.69, without changes to the proposed text as published in the October 11, 1991, issue of the Texas Register (16 TexReg 5728). The amendment is necessary to comply with the legislative intent expressed in sec.4 of Senate Bill 352, 72nd Legislature, Regular Session, 1991, and reinforced in the current session, which urged and made further provision for enhancing revenue for the department to gain that revenue at the earliest possible date to expedite the state's recovery from the current fiscal crisis, and to assist the business community in expediting its recovery from current depressed market conditions. This amendment allows a motor vehicle dealer's display area to be located on a right-of-way provided the governing body having jurisdiction of the area consents to such use or the area is leased under Texas Civil Statutes, Article 6673a-3. No comments were received regarding adoption of the amendment. The amendment is adopted under Texas Civil Statutes, Article 6666 and 6686, which provide the Texas Transportation Commission with the authority to establish rules for the conduct of the work of the Texas Department of Transportation; and specifically for the orderly administration of statutory provisions relating to dealers and manufacturers. This agency hereby certifies that the rule as adopted has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority. Issued in Austin, Texas, on November 25, 1991. TRD-9114767 Diane L. Northam Legal Administrative Assistant Texas Department of Transportation Effective date: December 16, 1991 Proposal publication date: October 11, 1991 For further information, please call: (512) 463-8630