Bill Text: TX SB494 | 2011-2012 | 82nd Legislature | Enrolled

Texas Senate Bill 494 (Prior Session Legislation)

Bill Title: Relating to the authority of certain local governmental entities to borrow money for a public hospital.

Sponsorship: Partisan Bill (Republican 2)

Status: (Passed) 2011-06-17 - Effective on 9/1/11 [SB494 Detail]

Download: Texas-2011-SB494-Enrolled.html



	S.B. No. 494




	AN ACT
	relating to the authority of certain local governmental entities to
	borrow money for a public hospital.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1. Subtitle F, Title 4, Health and Safety Code, is
	amended by adding Chapter 315 to read as follows:
	CHAPTER 315. AUTHORITY TO BORROW MONEY FOR PUBLIC HOSPITALS
	Sec. 315.001. DEFINITION. In this chapter, "local
	governmental entity" includes:
	(1) a hospital district created under general or
	special law;
	(2) a municipal hospital authority;
	(3) a county hospital authority;
	(4) a municipality; or
	(5) a county.
	Sec. 315.002. AUTHORITY TO BORROW MONEY FOR PUBLIC
	HOSPITAL; SECURITY. (a) A local governmental entity may borrow
	money for purposes of a hospital owned or operated by the entity at
	a rate not to exceed the maximum annual percentage rate allowed by
	the law at the time the loan is made for similar obligations of the
	entity.
	(b) To secure a loan under this section, a local
	governmental entity may pledge:
	(1) revenue from the hospital owned or operated by the
	entity that is not pledged to pay the entity's bonded indebtedness;
	or
	(2) tax revenue to be collected by the local
	governmental entity during the 12-month period following the date
	of the pledge that is not pledged to pay the principal of or
	interest on bonds.
	(c) A loan authorized by this section must mature:
	(1) not later than the first anniversary of the date
	the loan is made, if taxes are pledged to repay the loan; and
	(2) not later than the fifth anniversary of the date
	the loan is made, if hospital revenue is pledged to repay the loan.
	SECTION 2. This Act takes effect September 1, 2011.





	______________________________	______________________________
	President of the Senate	Speaker of the House

	I hereby certify that S.B. No. 494 passed the Senate on
	March 24, 2011, by the following vote: Yeas 31, Nays 0.


	______________________________
	Secretary of the Senate

	I hereby certify that S.B. No. 494 passed the House on
	May 23, 2011, by the following vote: Yeas 142, Nays 0, one
	present not voting.


	______________________________
	Chief Clerk of the House



	Approved:

	______________________________
	Date


	______________________________
	Governor