Texas Administrative Code › Title 31 - NATURAL RESOURCES AND CONSERVATION › Part 19 - TEXAS ALTERNATIVE FUELS COUNCIL › Chapter 655 - ADMINISTRATION › Subchapter A - COUNCIL PRACTICES › Section 655.100 - Grant and Loan Agreements

Current through Reg. 49, No. 28; July 12, 2024
Minimum terms and compliance with terms.
(1) Entities receiving grants or loans shall
				  be required to execute an agreement in the form prescribed by the council
				  setting out the terms and conditions of the grant or loan as approved by the
				  council. A true and complete copy of the application made by the recipient and
				  all additions or amendments thereto shall be attached to the agreement and made
				  a part thereof. Applicants are advised that the council must comply with the
				  Open Records Act, Texas Government Code, Chapter 552, and therefore that the
				  application and supporting documentation are subject to the Open Records
				  Act.
(2) Agreements shall be
				  executed by the chairman and by the chief executive officer of the recipient or
				  by such other officer authorized by the governing body of the entity to execute
				  the agreement. A certified copy of a resolution of the governing body of the
				  recipient consenting to the terms and conditions of the agreement and
				  authorizing the officer executing it to do so shall be attached to the
				  agreement.
(3) The agreement shall
				  contain at least the following terms and conditions, together with all such
				  other terms and conditions prescribed by the council:
(A) performance under the grant shall
				  strictly comply with the proposal submitted in the application, unless
				  specifically modified by the council;
(B) all equipment purchased through the grant
				  or loan shall be maintained and operated in compliance with manufacturer's
				  warranty requirements, state and federal laws, and in conformance with the SIP.
				  The recipient shall immediately report all citations by regulatory authorities
				  for violations of such provisions to the council;
(C) the recipient shall assume all liability
				  for the operation and maintenance of equipment purchased through the grant or
				  loan and indemnify the council and the State of Texas from all liability
				  arising therefrom, to the extent permitted by law;
(D) at the direction of the council, may
				  provide for funding of purchases or construction, in stages, conditioned on
				  delivery of equipment or completion and approval by the council or other
				  appropriate authority of specified stages of construction;
(E) provide that further funding may
				  terminate at the discretion of the council for the failure of the recipient to
				  comply with the requirement of the grant or loan;
(F) provide that the agreement may be
				  terminated by mutual agreement of the recipient and the council, and all
				  unexpended funds returned to the council, in the event of either impossibility,
				  including unavailability of equipment planned to be purchased with loan or
				  grant funds, or the commercial unfeasibility of project;
(G) bind the recipient to refund to the
				  council all funds expended by the recipient in violation of the terms of the
				  agreement, together with all administrative costs, attorneys fees, expenses,
				  and court costs incurred by the council; and
(H) grant to the council the right to demand
				  and receive reports of progress of the project at specified intervals, the
				  right to audit the recipient with respect to the project, and the right to
				  perform inspections of the project at reasonable times.