| (a) Release of funds for planning, design and permits.
Prior to the release of funds for planning, design, and permits, the
rural political subdivision shall submit for approval to the executive
administrator the following documents:
(1) a statement as to sufficiency of funds to complete
the activity;
(2) certified copies of each contract under which revenues
for repayment of the rural political subdivision's debt will accrue;
(3) executed consultant contracts relating to services
provided for planning, design, and/or permits;
(4) unless funds are released under the pre-design
funding option, evidence that the requirements and regulations of
all identified local, state, and federal agencies having jurisdiction
have been met, including but not limited to permits and authorizations;
and
(5) other such instruments or documents as the board
or executive administrator may require.
(b) Pre-design funding. The funds needed for the total
estimated cost of the engineering, planning, and design cost if the
engineering feasibility report required under §363.13 of this
title (relating to Preliminary Engineering Feasibility Data) and the
environmental assessment required under §363.14 of this title
(relating to Environmental Assessment) have been approved, the cost
of issuance associated with the loan, and any associated capitalized
interest will be released to the loan recipient and the remaining
funds will be escrowed to the escrow agent until all applicable requirements
in subsections (a) and (c) of this section and §384.23 of this
title (relating to Pre-design Funding Option) have been met.
(c) Release of funds for building purposes. Prior to
the release of funds for building purposes, the rural political subdivision
shall submit for approval to the executive administrator the following
documents:
(1) a tabulation of all bids received and an explanation
for any rejected bids or otherwise disqualified bidders;
(2) one executed original copy of each construction
contract the effectiveness and validity of which is contingent upon
the receipt of board funds;
(3) evidence that the necessary acquisitions of land,
leases, easements and rights-of-way have been completed or that the
applicant has the legal authority necessary to complete the acquisitions;
(4) a statement as to sufficiency of funds to complete
the project;
(5) certified copies of each contract under which revenues
to the project will accrue;
(6) evidence that all requirements and regulations
of all identified local, state, and federal agencies having jurisdiction
have been met, including permits and authorizations; and
(7) other such instruments or documents as the board
or executive administrator may require.
(d) Water rights certification. Prior to release of
construction funds, the executive administrator shall make a written
finding that the applicant:
(1) has the necessary water rights authorizing the
applicant to appropriate and use the water that the project will provide,
if the applicant is proposing surface water development; or
(2) has the right to use water that the project will
provide, if the applicant is proposing groundwater development.
(e) Release of funds for projects constructed through
one or more construction contracts. For projects constructed through
one or more construction contracts, the executive administrator may
approve the release of funds for all or a portion of the estimated
project cost, provided all requirements of subsection (c) of this
section have been met for at least one of the construction contracts.
(f) Escrow of funds. The executive administrator may
require the escrow of an amount of project funding related to contracts
which have not met the requirements of subsection (c) of this section
at the time of loan closing.
(g) Release of funds in installments. Funds may be
released to rural political subdivisions in installments and pursuant
to the provisions of this section.
|
| Source Note: The provisions of this §365.43 adopted to be effective January 1, 2002, 26 TexReg 11031; amended to be effective July 30, 2012, 37 TexReg 5628; transferred effective February 15, 2020, as published in the January 24, 2020 issue of the Texas Register, 45 TexReg 593 |
