TITLE 10. COMMUNITY DEVELOPMENT

PART 8. TEXAS SPACE COMMISSION

CHAPTER 321. GRANTS

10 TAC §321.1 - 321.16

The Texas Space Commission ("Commission") adopts without changes new 10 TAC §§321.1 - 321.16, relating to Grants. The Commission adopts new §321.1, concerning Definitions, §321.2, concerning Authority, §321.3, concerning Applicability, §321.4, concerning Funding; Availability of Funds, §321.5, concerning Notices, §321.6, concerning Eligible Recipients; Eligible Activities, §321.7, concerning Established Presence in the State, §321.8, concerning Application Process Generally, §321.9, concerning Application Requirements, §321.10, concerning Grant Evaluation, §321.11, concerning Amount of Grant Award; Payment Procedures, §321.12, concerning Reporting, §321.13, concerning Records Retention, §321.14, concerning Requests for Records; Audit, §321.15, concerning Noncompliance; Failure to Perform, and §321.16, concerning Direct Award (49 TexReg 8448). These rules will not be republished.

REASONED JUSTIFICATION

House Bill 3447 (88-R) directed the Board of Directors ("Board") of the Commission to adopt rules regarding the procedure for awarding grants to an applicant under Chapter 482, Texas Government Code. In accordance with that directive, the Board unanimously voted to adopt the grant-making procedures detailed in this rulemaking.

Adopted new §321.1 establishes definitions the Commission and Board will utilize in its grant making process.

Adopted new §321.2 describes the authority under which the Commission may award grants.

Adopted new §321.3 describes the purposes for which grants may be awarded.

Adopted new §321.4 describes the sources of funding for grants and establishes that all grants are subject to the availability of funds and approval by the Commission. The rule also establishes that neither the rules in Title 10, Chapter 321, Texas Administrative Code, nor any grant agreement the Commission may enter with a grantee creates in a grantee any entitlement or right to grant funds.

Adopted new §321.5 establishes notice requirements, allowing for electronic notice.

Adopted new §321.6 establishes eligibility requirements related to eligible recipients and eligible activities.

Adopted new §321.7 requires grant recipients to be engaged in business in Texas.

Adopted new §321.8 establishes process requirements for grant applicants, including electronic submission.

Adopted new §321.9 establishes requirements for grant applications, including acceptable signatures.

Adopted new §321.10 establishes grant review process for the Board to consider an application.

Adopted new §321.11 establishes the Board as the sole entity permitted to set the grant award amount and establishes that the Commission is not required to fund any grant at the amount the grant applicant requests.

Adopted new §321.12 requires grant recipients to submit periodic reports and documentation in accordance with the grant agreement. This section also authorizes the Commission, upon reasonable notice, to request any additional information necessary to show that grant funds are being used for the intended purpose and that the grant recipient has complied with the grant agreement.

Adopted new §321.13 requires grant recipients to maintain all records regarding the grant project and provides records retention requirements.

Adopted new §321.14 describes requirements for providing records, documentation, or other information required by the Commission and authorizes the Commission, upon reasonable notice, to audit the activities of a grantee as necessary to ensure that grant funds are used for the intended purpose of the reimbursement award and that the grantee has complied with the terms, conditions, and requirements of the reimbursement award.

Adopted new §321.15 describes the process for addressing a grantee's noncompliance with any term or condition of a reimbursement award or any applicable laws, rules, regulations, or guidance relating to the reimbursement award, and the remedies that could result from such noncompliance.

Adopted new §321.16 establishes the circumstances under which a grant may be directly awarded.

SUMMARY OF COMMENTS AND AGENCY RESPONSES

The Commission did not receive any comments in response to the proposed rulemaking.

STATUTORY AUTHORITY.

Section 482.501, Texas Government Code, directs the Commission to adopt rules regarding the procedure for awarding grants to an applicant under this chapter.

CROSS REFERENCE TO STATUTE

Chapter 482, Texas Government Code. No other statutes, articles, or codes are affected by the adopted rules.

The agency certifies that legal counsel has reviewed the adoption and found it to be a valid exercise of the agency's legal authority.

Filed with the Office of the Secretary of State on November 18, 2024.

TRD-202405603

Norman Garza

Executive Directors

Texas Space Commission

Effective date: December 8, 2024

Proposal publication date: October 18, 2024

For further information, please call: (512) 463-8575