According to a recent State Audit Report, TWDB implementation of the State Water Implementation Revenue Fund for Texas (SWIRFT) and its provision of project financing through the State Water Implementation Fund for Texas (SWIFT) program substantially complied with state law, administrative rules, and TWDB policies and procedures. For example, the Board:
- Developed and adopted administrative rules for the implementation of the SWIFT program in accordance with statutory requirements.
- Implemented a process to prioritize and review applications for financing through the SWIFT program in accordance with statute and Board requirements.
- Implemented a process to issue SWIRFT revenue bonds and fund approved projects in accordance with statute and other requirements.
The report also recommended improvement areas for future rounds of SWIFT program funding noting the TWDB should:
- Implement a process to document the information used in its financial model for making SWIFT program policy and funding decisions. The Board could not provide sufficient documentation to support its decision-making process during the implementation of the SWIFT program and the first round of SWIFT program funding.
- Improve documentation of its prioritization and technical reviews of applications for SWIFT program financing. The Board could not always provide sufficient documentation to support its prioritization and technical review processes for applications for SWIFT program financing.
- Strengthen its supervisory review and monitoring process, and ensure that it has a consistent methodology for reviewing SWIFT program applications and project funding. The Board did not have an adequate review and monitoring process or a consistent methodology to ensure that its SWIFT program application review and project funding processes were accurate and complete.
- Strengthen access controls to its project tracking system (the Texas Water Information System Enhancement, or TxWISE) and its accounting system (Micro Information Products, or MIP). The Board did not appropriately restrict user access to those systems.
