Texas Administrative Code › Title 30 - ENVIRONMENTAL QUALITY › Part 1 - TEXAS COMMISSION ON ENVIRONMENTAL QUALITY › Chapter 293 - WATER DISTRICTS › Subchapter E - ISSUANCE OF BONDS › Section 293.46 - Construction Prior to Commission Approval

Current through Reg. 49, No. 28; July 12, 2024
The developer may proceed with financing or construction of
					 water, wastewater, drainage, and recreational facilities contemplated for
					 purchase by the district prior to commission approval of the bond issue
					 designed to finance the project under the following conditions.
(1) Prior to entering into construction
				  contracts for such facilities, the developer and district shall execute an
				  agreement setting out the terms of reimbursement, providing for the use of the
				  facilities by the district until reimbursement and providing that the
				  construction contract will be awarded and administered in accordance with
				  commission regulations and applicable statutes relating to districts. If the
				  district has not been created at the time of the execution of the construction
				  contracts, the developer and district shall execute an agreement as described
				  in the preceding sentence within 60 days after confirmation of the district.
				  The contract shall not bind the district to payment of costs above that
				  approved by the Commission. If such an agreement is not entered into within the
				  time period specified above, and such actions of the developer are not
				  subsequently ratified and approved by the district in a subsequent agreement
				  with the developer, the developer shall be denied interest costs.
(2) All construction plans, specifications,
				  and contract documents as set forth in §
										293.62
				  of this title (relating to Construction Related Documents To Be Submitted to
				  the Commission), change orders and supporting engineering data for construction
				  or installation of the facilities shall be submitted to the appropriate
				  commission field office in a timely manner, together with evidence that the
				  materials have been filed with and approved by the district and have been noted
				  in the district's minutes (if the district has not been created, the documents
				  shall be filed with the district within 30 days after creation).
(3) All construction plans and specifications
				  for proposed projects must be approved by all cities and agencies having
				  jurisdictional responsibilities over the district prior to construction
				  contract award by the developer. Unless all required state and local approvals
				  were obtained prior to contract award, a developer cannot be reimbursed for any
				  additional costs resulting from changes required by the city or agency having
				  jurisdictional responsibility after the construction contract is
				  awarded.
(4) The appropriate
				  commission field office shall be notified of the bid opening at least five days
				  prior to the opening.
(5) Contract
				  advertising and award and construction and installation of facilities shall be
				  accomplished in the manner required by the general law for districts and in
				  conformity with commission rules. If substantial compliance with statutory
				  requirements is not achieved, reimbursement to a developer may be limited to
				  the final construction contract amount, or a lesser amount, if more reflective
				  of the actual value of such facilities as may be determined by the commission,
				  without developer interest.
(6) The
				  filing of the materials provided herein or construction inspections by the
				  commission shall not constitute approval of the project in any manner. A person
				  proceeding with construction of a project prior to its formal approval by the
				  commission shall do so with no assurance that public funds will be authorized
				  for acquiring the facilities. Construction which is not in the best interests
				  of the district, and improper or ineligible expenditures, will be disallowed
				  for district purchase.
(7) The
				  commission will not approve payment on completion-type construction contracts
				  unless alternate bids are received on monthly pay-type construction contracts,
				  and then only if it is clearly indicated that it is to the district's financial
				  advantage to assume the payment on completion-type construction
				  contracts.
(8) Commission
				  representatives shall have the right to inspect the facilities construction at
				  any time and without notice while construction activities are being carried on.
				  The appropriate commission field office shall be notified of the date and time
				  of the final inspection for each construction contract at least five days prior
				  to the inspection.