TITLE 40. SOCIAL SERVICES AND ASSISTANCE

PART 15. TEXAS VETERANS COMMISSION

CHAPTER 460. FUND FOR VETERANS' ASSISTANCE

SUBCHAPTER A. GENERAL PROVISIONS REGARDING THE FUND FOR VETERANS' ASSISTANCE PROGRAM

40 TAC §460.2

The Texas Veterans Commission (Commission) proposes amendments to Administrative Rules Chapter 460, Subchapter A, §460.2, Definitions.

PART I. PURPOSE AND BACKGROUND

The proposed amendments are made following a comprehensive review of the chapter. Staff determined the need to update the rule language to ensure the agency's administrative rules are current and accurately reflect the Commission policies and procedures. Additionally, the changes will provide the Commission with more flexibility in awarding grant funds under the Veterans' Assistance Grant Program.

PART II. EXPLANATION OF SECTIONS

SUBCHAPTER A. GENERAL PROVISIONS REGARDING THE FUND FOR VETERANS' ASSISTANCE GRANT PROGRAM

§460.2. Definitions.

Paragraph (5) deletes expenditure benchmarks from the definitions section and subsequent paragraphs are renumbered.

Paragraph (7) changes the name of the definition from "Performance Benchmarks" to "Performance Measures" and adds a definition for "Performance Measures."

PART III. IMPACT STATEMENTS

FISCAL NOTE

Coretta Briscoe, Chief Financial Officer of the Texas Veterans Commission, has determined for each year of the first five years the proposed rule amendment will be in effect, there will not be an increase in expenditures or revenue for state and local government as a result of administering the proposed rule.

COSTS TO REGULATED PERSONS

Ms. Briscoe has also determined there will not be anticipated economic costs to persons required to comply with the proposed rule.

LOCAL EMPLOYMENT IMPACT

Anna Baker, Director, Veterans Employment Services of the Texas Veterans Commission, has determined that there will not be a significant impact upon employment conditions in the state from the proposed rule.

SMALL BUSINESS, MICRO BUSINESS AND RURAL COMMUNITIES IMPACT

Megan Tamez, Veterans Entrepreneur Program of the Texas Veterans Commission, has determined that the proposed rule will not have an adverse economic effect on small businesses, micro businesses or rural communities as defined in Texas Government Code §2006.001. As a result, an Economic Impact Statement and Regulatory Flexibility Analysis is not required.

PUBLIC BENEFIT

Shawn Deabay, Deputy Executive Director of the Texas Veterans Commission, has determined that for each year of the first five years the proposed rule is in effect, the public benefit anticipated as a result of administering the amended rule will increase participation within each of the agency's three remaining advisory committees.

GOVERNMENT GROWTH IMPACT STATEMENTS

Mr. Deabay has also determined that for each year of the first five years that the proposed rule amendment is in effect, the following statements will apply:

(1) The proposed rule amendment will not create or eliminate a government program.

(2) Implementation of the proposed rule amendment will not require creation of new employee positions or elimination of existing employee positions.

(3) Implementation of the proposed rule amendment will not require an increase or decrease in future legislative appropriations to the agency.

(4) No fees will be created by the proposed rule amendment.

(5) The proposed rule amendment will not require new regulations.

(6) The proposed rule amendment has no effect on existing regulations.

(7) The proposed rule amendment has no effect on the number of individuals subject to the rule's applicability.

(8) The proposed rule amendment has no effect on this state's economy.

PART IV. COMMENTS

Comments on the proposed new rules may be submitted to Attention: General Counsel, Texas Veterans Commission, P.O. Box 12277, Austin, Texas 78711 or by fax to (512) 475-2395. Comments may also be submitted electronically to rulemaking@tvc.texas.gov. For comments submitted electronically, please include "Chapter 460, Subchapter A, §460.2, Definitions" in the subject line. The deadline for submission of comments is twenty days from the date of publication of the proposed new section in the Texas Register. Comments should be organized in a manner consistent with the organization of the rule under consideration.

PART V. STATUTORY AUTHORITY

The proposed amendments are authorized under Texas Government Code §434.010, granting the Commission the authority to establish rules, and Texas Government Code §434.017, granting the Commission the authority to establish rules governing the award of grants by the Commission.

No other statutes, articles, or codes are affected by this proposal.

§460.2.Definitions.

The following words and terms, when used in this chapter, shall have the following meanings, unless the context clearly indicates otherwise.

(1) Advisory Committee--The committee formed under §452.2(c) of this title (relating to Fund for Veterans' Assistance Advisory Committee).

(2) Agency--The Texas Veterans Commission.

(3) Commission--The members of the Texas Veterans Commission.

(4) Disallowed Cost--A questioned cost that the Agency has determined, violates the conditions of the Grant Agreement, or other law, regulation, or other document governing the expenditures of funds.

[(5) Expenditure Benchmark--The percent of the total grant award that must be expended and reported by designated timeframes within the grant period. The specific timeframes are:]

[(A) If 25% of the grant period has elapsed, at least 15% of the total award amount must have been expended;]

[(B) If 50% of the grant period has elapsed, at least 40% of the total award must have been expended; and]

[(C) If 75% of the grant period has elapsed, at least 70% of the total award must have been expended.]

(5) [(6)] Grantee--An organization that receives a grant award under this chapter.

(6) [(7)] Performance Measures [Benchmark]--The benchmarks the Texas Veterans Commission establishes and must be met within the grant period. These approved benchmarks will be included in the Fund for Veterans Assistance Request for Application. [The percent of each minimum required performance measure that must be met and reported by designated timeframes within the grant period. The specific timeframes are:]

[(A) If 25% of the grant period has elapsed, at least 15% of minimum required performance measure targets must have been met;]

[(B) If 50% of the grant period has elapsed, at least 40% of minimum required performance measure targets must have been met; and]

[(C) If 75% of the grant period has elapsed, at least 70% of minimum required performance measure targets must have been met.]

(7) [(8)] Questioned Cost--A cost that has been identified to be:

(A) an alleged violation of a provision of the Grant Agreement, law, regulation, or other agreement or document governing the expenditure of funds;

(B) a cost that is not supported by adequate documentation; or

(C) a cost that is unnecessary or unreasonable.

(8) [(9)] Received by the Agency--Documents may be sent electronically or by U.S. Mail, overnight delivery, hand delivery, or courier service.

(9) [(10)] Reimbursement Grant--The Texas Veterans Commission Fund for Veterans' Assistance awards grants on a cost reimbursement basis. Under the cost reimbursement method of funding, a Grantee is required to finance its operations, beyond any authorized initial costs or payments, with its own working capital with Grant payments made to reimburse the Grantee for actual cash disbursements supported by adequate documentation.

(10) [(11)] Units of Local Government--A county, municipality, special district, school district, junior college district, a local workforce development board created under §2308.253, Texas Government Code, or other legally constituted political subdivision of the state.

The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.

Filed with the Office of the Secretary of State on August 11, 2023.

TRD-202302956

Kathleen Cordova

General Counsel

Texas Veterans Commission

Earliest possible date of adoption: September 24, 2023

For further information, please call: (737) 320-4167