85R6951 MK-D     By: Lozano H.B. No. 2362       A BILL TO BE ENTITLED   AN ACT   relating to creating a fund to provide grants to certain local   entities in areas of the state affected by decreased oil and gas   production for economic development and diversification projects.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter F, Chapter 401, Government Code, is   amended by adding Section 401.107 to read as follows:          Sec. 401.107.  FUND FOR AREAS ECONOMICALLY IMPACTED BY   DECREASED OIL AND GAS PRODUCTION. (a) In this section, "fund" means   the oil and gas downturn assistance fund.          (b)  The oil and gas downturn assistance fund is an account   in the general revenue fund created to provide grants for the   purpose of economic development and diversification in eligible   municipalities, counties, and school districts, as provided in   Subsection (e). The fund consists of excess general revenue   transferred to the fund as provided in Subsection (c).          (c)  If the total available general revenue available for a   state fiscal biennium at the end of the fiscal biennium exceeds the   amount of the total available general revenue stated in the   comptroller's biennial revenue estimate for that fiscal biennium,   the comptroller shall transfer any excess general revenue to the   credit of the fund.           (d)  The fund is administered by the governor. The governor   shall adopt rules necessary to administer the fund, including rules   relating to:                (1)  the grant application process; and                (2)  the method by which grants will be awarded if the   amount of grants for which eligible municipalities, counties, and   school districts have applied exceeds the available balance in the   fund.          (e)  A municipality, county, or school district is eligible   for a grant from the fund if, for the tax year in which the state   fiscal biennium for which a grant under this section is sought   begins, the appraised value of property for ad valorem tax purposes   in the municipality, county, or school district has decreased by 20   percent or more from the appraised value for the tax year in which   the preceding fiscal biennium began. For purposes of this section,   the appraised value of property is the taxable value of property   certified under Section 26.01, Tax Code.          SECTION 2.  This Act takes effect September 1, 2017.