Bill Text: TX HB3899 | 2023-2024 | 88th Legislature | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the issuance of bonds by certain local government corporations.
Spectrum: Strong Partisan Bill (Republican 51-4)
Status: (Engrossed - Dead) 2023-05-26 - Returned from the House for further action [HB3899 Detail]
Download: Texas-2023-HB3899-Introduced.html
Bill Title: Relating to the issuance of bonds by certain local government corporations.
Spectrum: Strong Partisan Bill (Republican 51-4)
Status: (Engrossed - Dead) 2023-05-26 - Returned from the House for further action [HB3899 Detail]
Download: Texas-2023-HB3899-Introduced.html
88R8612 DRS-F | ||
By: Troxclair | H.B. No. 3899 |
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relating to the issuance of bonds by certain local government | ||
corporations. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 431.070(a), Transportation Code, is | ||
amended to read as follows: | ||
(a) Subject to Subchapter D-1, a [ |
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bonds and notes to carry out its purpose. | ||
SECTION 2. Section 431.101(b), Transportation Code, is | ||
amended to read as follows: | ||
(b) Except as provided by Subchapter D-1, a [ |
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government corporation has the powers of a corporation authorized | ||
for creation by the commission under this chapter. | ||
SECTION 3. Chapter 431, Transportation Code, is amended by | ||
adding Subchapter D-1 to read as follows: | ||
SUBCHAPTER D-1. ISSUANCE OF BONDS BY CERTAIN LOCAL GOVERNMENT | ||
CORPORATIONS CREATED BY MUNICIPALITIES OR COUNTIES | ||
Sec. 431.120. APPLICABILITY OF SUBCHAPTER. This subchapter | ||
applies to a local government corporation created by a municipality | ||
or county that has entered into an agreement with a municipality or | ||
county for the transfer of property tax revenue from the | ||
municipality or county to the corporation for a specific project. | ||
Sec. 431.121. BOND ELECTION REQUIRED. (a) A local | ||
government corporation may not issue bonds to be paid wholly or | ||
partly from ad valorem taxes approved by the voters of a | ||
municipality or county under Section 26.07, Tax Code, to pay for a | ||
specific project, unless the issuance is first approved by the | ||
voters of the municipality or county in an election. | ||
(b) An election held for purposes of this section must be | ||
conducted as provided by Section 1251.003, Government Code. | ||
(c) At an election ordered on the issuance of bonds under | ||
this section, the governing body of the municipality or county | ||
shall also submit the question of whether to impose a tax on | ||
property in the municipality or county to pay interest on the bonds | ||
and to provide a sinking fund to redeem the bonds. | ||
Sec. 431.122. FORM OF BALLOT. (a) The ballot proposition | ||
for a measure seeking voter approval for issuance of bonds under | ||
this subchapter must include: | ||
(1) a plain language description of the single | ||
specific purposes for which the bonds are to be authorized; | ||
(2) the total principal amount of the bonds to be | ||
authorized; and | ||
(3) that the principal of and interest on the bonds | ||
will be wholly or partly paid from property tax revenue. | ||
(b) Each single specific purpose for which bonds requiring | ||
voter approval are to be issued must be printed on the ballot as a | ||
separate proposition. A proposition may include as a specific | ||
purpose one or more structures or improvements serving the | ||
substantially same purpose and may include related improvements and | ||
equipment necessary to accomplish the specific purpose. | ||
SECTION 4. The change in law made by Subchapter D-1, Chapter | ||
431, Transportation Code, as added by this Act, applies only to a | ||
bond authorized to be issued on or after the effective date of this | ||
Act. | ||
SECTION 5. This Act takes effect September 1, 2023. |