SUBJECT:
Creation of a Segregated Account to receive and disperse proceeds received from the Texas Water Development Board (TWDB) under a grant awarded to the City of Houston.
RECOMMENDATION: The Houston Public Works Director recommends approval of an ordinance that authorizes the creation of a new “TWDB GRANT 2021B – LAKE HOUSTON” fund (Fund 4051); and authorizes the execution of segregated trust account agreements between the City and TWDB.
SPECIFIC EXPLANATION: The Texas Water Development Board (TWDB) is serving as administrator for funds appropriated by the 87th Texas Legislature to support continued silt removal throughout the San Jacinto River and Lake Houston.
The conditions of award require the City to place awarded grant proceeds into segregated trust accounts to be held separate from the general funds of the City. The creation of segregated accounts by local governments is authorized under Chapter 101.004, Texas Local Government Code. This practice is consistent with previous fiduciary arrangements between the City and TWDB for administration of loan proceeds and reduces the cost to the City by eliminating the need to hire a third-party escrow agent.
FISCAL NOTE: No Fiscal Note is required on grant items.
CIP FISCAL NOTE:
No significant Fiscal Operating Budget impact is anticipated as a result of this project.
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Carol Ellinger Haddock, P.E., Director
Houston Public Works