HB 1400 Engrossed

Relating to creation of the groundwater science, research, and innovation fund to be administered by the Texas Water Development Board. 

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A BILL TO BE ENTITLED

 

AN ACT

 

relating to creation of the groundwater science, research, and

 

innovation fund to be administered by the Texas Water Development

 

Board.

 

       BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 

       SECTION 1.  Chapter 15, Water Code, is amended by adding

 

Subchapter F-1 to read as follows:

 

SUBCHAPTER F-1. GROUNDWATER SCIENCE, RESEARCH, AND INNOVATION FUND

 

       Sec. 15.421.  DEFINITIONS. In this subchapter:

 

             (1)  “District” means a groundwater conservation

 

district created under Section 52, Article III, or Section 59,

 

Article XVI, Texas Constitution, that has the authority to regulate

 

the spacing of wells producing from groundwater reservoirs in the

 

district and regulate the production from those wells.

 

             (2)  “Fund” means the groundwater science, research,

 

and innovation fund.

 

       Sec. 15.422.  GROUNDWATER SCIENCE, RESEARCH, AND INNOVATION

 

FUND.  (a)  The groundwater science, research, and innovation fund

 

is a special fund in the state treasury to be administered by the

 

board under this subchapter and rules adopted by the board under

 

this subchapter.

 

       (b)  The fund consists of:

 

             (1)  money appropriated for transfer or deposit to the

 

credit of the fund;

 

             (2)  money the board transfers to the fund from any

 

available source;

 

             (3)  depository interest allocable to the fund and

 

other investment returns on money in the fund;

 

             (4)  money from gifts, grants, or donations to the

 

fund; and

 

             (5)  any other fees or sources of revenue that the

 

legislature may dedicate for deposit to the fund.

 

       Sec. 15.423.  USE OF FUND. (a)  The board may use the fund

 

only to provide financial assistance in the form of grants to

 

finance district programs and projects that will further

 

groundwater science, research, and innovation in this state,

 

including local research, data, modeling, and innovative programs

 

and projects designed to:

 

             (1)  improve understanding of local groundwater

 

conditions;

 

             (2)  develop or improve groundwater models relied on

 

for planning and decision-making;

 

             (3)  improve groundwater use efficiency and increase

 

water conservation efforts;

 

             (4)  increase groundwater recharge; or

 

             (5)  protect groundwater quality.

 

       (b)  The fund may be used for any purpose described by

 

Subsection (a) under criteria developed by the board.

 

       Sec. 15.424.  FINANCIAL ASSISTANCE. The board shall adopt

 

rules necessary to administer this subchapter, including rules

 

establishing procedures for the application for and award of

 

financial assistance, the distribution of financial assistance,

 

and the administration of financial assistance and the fund.

 

       Sec. 15.425.  EVALUATION OF APPLICATION.  (a)  When

 

evaluating an application for financial assistance from a district,

 

the board shall consider:

 

             (1)  the expected benefit of the program or project in

 

informing the management, planning, or decision-making of the

 

district;

 

             (2)  whether the program or project meets any science,

 

data, and modeling objectives of the board;

 

             (3)  the extent to which the program’s or project’s

 

outcome may benefit the state and regional water planning processes

 

under Sections 16.051 and 16.053; and

 

             (4)  the district’s need for financial assistance based

 

on the district’s available revenue or other sources of financial

 

assistance available to the district.

 

       (b)  The board by resolution may approve an application if,

 

after considering the factors listed in Subsection (a) and other

 

relevant factors, the board finds that the public interest is

 

served by state assistance for the program or project and the

 

district has met the matching funds requirement under Section

 

15.426.

 

       (c)  The board shall ensure that a district that receives

 

financial assistance for a program or project provides the board

 

with all data, science, and other research findings gathered

 

through the implementation of the program or project for which the

 

district received financial assistance.

 

       (d)  The board shall ensure that at least 35 percent of the

 

money transferred from the fund is used to fund programs or projects

 

by districts with:

 

             (1)  populations of not more than 100,000; and

 

             (2)  annual revenues of not more than $250,000, as

 

determined at the close of the previous fiscal year.

 

       Sec. 15.426.  MATCHING FUNDS REQUIRED. (a)  Subject to

 

Subsection (b), the board by rule may require a district that is the

 

recipient of a grant using money from the fund to provide matching

 

funds, which may include direct expenditures or in-kind services

 

related to the program or project, in an amount equal to 25 percent

 

of the amount of the grant.

 

       (b)  The board may not require a district that is the

 

recipient of a grant to provide matching funds under Subsection (a)

 

for money from the fund used to finance a program or project

 

conducted in partnership with an institution of higher education,

 

as defined by Section 61.003, Education Code.

 

       SECTION 2.  This Act takes effect September 1, 2025. 

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