TITLE 31.NATURAL RESOURCES AND CONSERVATION

Part 10. TEXAS WATER DEVELOPMENT BOARD

Chapter 370. COLONIA PLUMBING LOAN PROGRAM

The Texas Water Development Board (Board) adopts amendments to 31 TAC §§370.2, 370.27, 370.31, and 370.41, and the repeal of 31 TAC §370.43 and §370.61 concerning the Colonia Plumbing Loan Program (CPLP) without change to the proposed text as published in the March 24, 2000, issue of the Texas Register (25 TexReg 2549) and will not be republished. The changes will make nonsubstantive technical corrections, clarify Board requirements, and repeal unnecessary provisions.

Section 370.2 (Definition of Terms) is amended to delete an unnecessary definition of "HUD §8 income limits" and to correct an error in a citation reference to a Board rule for water conservation plans. Section 370.27 (Loans) is amended to conform to the proposed repeal of §370.61 (Audit) and to clarify that the final accounting review of the borrower's loan is the duty of the executive administrator or his designated representative. Section 370.31 (Local Program Operating Procedure) and §370.41 (Required Information) are amended to better reflect the current administrative structure of the Board by deleting references to the director of the Economically Distressed Areas Program. Section 370.41 (Required Information) is also amended to clarify that the required CPLP application information includes two separate plans: the applicant's water conservation plan and its drought contingency plan. Section 370.41 is also amended to make a conforming change to the proposed repeal of §370.43 (Priority System).

Section 370.43 (Priority System) is repealed due to the fact that the CPLP program has not yet, nor does it anticipate, receiving applications in the numbers that would require priority ranking for funding. Since the inception of the program in 1991, only a handful of applicants have sought CPLP funds. Section 370.61 (Audit) is repealed because it imposes a requirement on recipient political subdivisions to have an independent audit performed by a certified public accountant at the closeout of a CPLP loan. Staff has determined that other provisions of Board rules and state law protect the CPLP funds from the risks intended to be guarded against by the audit currently required by §370.61. It is therefore an unnecessary duplicitous burden on CPLP borrower entities to have an independent audit performed upon loan closeout.

One comment was received from the United States Environmental Protection Agency and concurred with the amendments as being consistent with the approved Operating Agreement.

Subchapter A. INTRODUCTORY PROVISIONS

31 TAC §370.2

The amendment is adopted under the authority of the Texas Water Code, §6.101 and §15.737.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 18, 2000.

TRD-200003470

Suzanne Schwartz

General Counsel

Texas Water Development Board

Effective date: June 7, 2000

Proposal publication date: March 24, 2000

For further information, please call: (512) 463-7981


Subchapter B. POLICY DECLARATIONS

31 TAC §370.27, §370.31

The amendments are adopted under the authority of the Texas Water Code, §6.101 and §15.737.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 18, 2000.

TRD-200003471

Suzanne Schwartz

General Counsel

Texas Water Development Board

Effective date: June 7, 2000

Proposal publication date: March 24, 2000

For further information, please call: (512) 463-7981


Subchapter C. APPLICATIONS TO THE BOARD

31 TAC §370.41

The amendment is adopted under the authority of the Texas Water Code, §6.101 and §15.737.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 18, 2000.

TRD-200003472

Suzanne Schwartz

General Counsel

Texas Water Development Board

Effective date: June 7, 2000

Proposal publication date: March 24, 2000

For further information, please call: (512) 463-7981


31 TAC §370.43

The repeal is adopted under the authority of the Texas Water Code, §6.101 and §15.737.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 18, 2000.

TRD-200003473

Suzanne Schwartz

General Counsel

Texas Water Development Board

Effective date: June 7, 2000

Proposal publication date: March 24, 2000

For further information, please call: (512) 463-7981


Subchapter E. CLOSE-OUT PROCEDURES

31 TAC §370.61

The repeal is adopted under the authority of the Texas Water Code, §6.101 and §15.737.

This agency hereby certifies that the adoption has been reviewed by legal counsel and found to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on May 18, 2000.

TRD-200003474

Suzanne Schwartz

General Counsel

Texas Water Development Board

Effective date: June 7, 2000

Proposal publication date: March 24, 2000

For further information, please call: (512) 463-7981