(a) Definition. The Texas preservation trust fund (hereinafter referred to as trust fund or fund) is a fund in the state treasury, created by enactment of Senate Bill 294 by the 71st Texas Legislature (1989), which amended the Texas Government Code, Chapter 442, by adding §442.015. The trust fund shall consist of transfers made to the fund, including state and federal legislative appropriations, grants, donations, proceeds of sales, loan repayments, interest income earned by the fund, and any other monies received. Funds may be received from federal, state, or local government sources, organizations, charitable trusts and foundations, private individuals, business or corporate entities, estates, or any other source.
(b) Purpose. The purpose of the Texas preservation trust fund is to serve as a source of funding for the Texas Historical Commission (Commission) to provide financial assistance to qualified applicants for the acquisition, survey, restoration, preservation, or for planning and educational activities leading to the preservation, of historic properties and associated collections in the State of Texas.
(c) Types of assistance. Commission shall provide financial assistance in the form of grants or loans. Grant recipients shall be required to follow the terms and conditions of the Preservation Trust Fund Grants and other terms and conditions imposed by Commission at the time of the grant award. Loans shall have a term not to exceed five years at an interest rate at the prime interest rate at the time the loan is made.
(d) Allowable use of trust fund monies. In all cases when no specification is made, or the specified amount is less than $5,000 the proceeds and/or interest on such gifts or monies shall be unencumbered and shall accrue to the benefit of the entire fund. Money deposited to the fund for specific projects shall only be used for the projects specified provided that the specific project has received approval of the Commission, there is or will be a dedicated account within the Trust Fund for that project, and all other requirements herein are met. Money deposited to specified projects in amounts of $5,000 or greater shall retain all proceeds or interest earned for that specified project unless the donor stipulates that all proceeds or interest earned shall be unencumbered and accrue to the benefit of the entire fund.
(e) Organization. The Texas preservation trust fund shall be administered by the Commission through its Executive Committee. The trust fund advisory board, and commission staff shall provide support and input as needed.
(f) All actions of the Executive Committee are subject to ratification by the full Texas Historical Commission with the exception of emergency grants. Duties of the Executive Committee are:
  (1) to approve all policies and guidelines for the administration of the fund or any of its associated boards and committees;
  (2) to approve the acceptance of grants or other donations of money, property, and/or services from any source. Money received shall be deposited to the credit of the Texas preservation trust fund;
  (3) to provide final approval of all trust fund allocations based on advisory board and commission staff recommendations.
(g) The Commission, after considering the recommendations of its Executive Committee, shall appoint a Texas Preservation Trust Fund Advisory Board (herein referred to as advisory board) composed of:
  (1) one representative of a bank or savings and loan association;
  (2) one attorney with a recognized background in historic preservation;
  (3) two architects with substantial experience in historic preservation;
  (4) two archeologists with substantial experience in Texas archeology;
  (5) one real estate professional with experience in historic preservation;
  (6) two persons with demonstrated commitment to historic preservation; and
  (7) two directors of nonprofit historic preservation organizations.
(h) Members of the advisory board shall serve a two-year term expiring on February 1 of each odd-numbered year. Advisory board members may be reappointed. Advisory board members will continue to serve until a new appointment is made or until reappointed. A member of the advisory board is not entitled to compensation for their service. The advisory board shall meet annually in the fall of each year or at other times as determined by the commission or Executive Director. Duties of the advisory board are:
  (1) to make recommendations to the Commission through the Executive Committee on all trust fund project allocations with the exception of emergency grants;
  (2) to consult with and advise the Executive Committee and Commission staff on matters relating to more efficient utilization or enhancement of the trust fund in order to further the cause of historic preservation throughout Texas; and
  (3) to provide advice and guidance in their respective area of expertise.
  (4) Code of conduct--The Commission Code of Conduct shall apply to members of the advisory board.
  (5) Vacancies--Any vacancy on the advisory board may be filled at any time in the same manner as the incumbent member was appointed.
(i) Texas preservation trust fund staff. The executive director of the Texas Historical Commission shall organize and supervise the staff for the Texas preservation trust fund.
(j) Eligible property or projects. To be considered eligible for grant assistance, a property or project must:
  (1) be included in the National Register of Historic Places; or
  (2) be designated as a Recorded Texas Historic Landmark; or
  (3) be designated as a State Archeological Landmark (also known as a State Antiquities Landmark); or
  (4) be determined by the commission to qualify as an eligible property under criteria for inclusion in the National Register of Historic Places or for designation as a Recorded Texas Historic Landmark or a State Archeological Landmark (also known as a State Antiquities Landmark);
  (5) be determined by the commission to qualify as a heritage education grant per subsection (o)(4) of this section; or
  (6) be determined by the commission to qualify as an eligible curation management project per subsection (o)(5) of this section; or
  (7) be determined by the commission to qualify as an emergency grant project per subsection (o)(6) of this section; or
  (8) be determined by the commission to qualify as a planning grant project per subsection (o)(3) of this section.
(k) Eligible Applicants: Any public or private entity that is the owner, manager, lessee, maintainer, potential purchaser of an eligible property, or any public or private entity whose purpose includes historic preservation is eligible for fund assistance. If applicant is not the owner of the eligible property, written approval must be submitted by the owner at time of application agreeing to follow all rules and conditions of the commission required for receipt of funds.
(l) Submission of initial grant applications.
  (1) Initial grant application schedules and deadlines will be set by the commission. Application forms are to be received by the commission at its offices by these deadlines.
  (2) Applicants must complete the initial grant application form and include all required documentation as stated in the grant application instruction packet.
  (3) Initial grant applications that are incomplete and/or received after the application deadline are ineligible for review.
(m) Submission of project proposals.
  (1) Once initial grant applications are selected to proceed to the project proposal stage, commission staff will confer with applicants to review the instruction manual for preparation of the project proposal.
  (2) Project proposal schedule and deadlines will be set by the commission. Project proposals are to be received by the commission at its offices by these deadlines.
  (3) To remain eligible for potential funding, project proposals must complete the application form and include all required attachments as stated in the instruction manual.
  (4) Project proposals that are incomplete and/or received after the proposal deadline are ineligible for funding.
  (5) Project proposals with budgets showing a high percentage of administrative costs will be considered to be less competitive than applications having little or no administrative costs.
  (6) In kind match request: although not normally allowed, in exceptional cases an applicant may make a written request for up to one-half of the total required match to be provided in-kind by donated materials and labor. The in kind match form must be included with the project proposal for consideration by the commission.
(n) Grant awards.
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