81R29705 ALB-F
By: Guillen H.B. No. 4704
A BILL TO BE ENTITLED
AN ACT
relating to the Starr County Hospital District.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 118, Acts of the 63rd Legislature,
Regular Session, 1973, is amended by adding Section 5B to read as
follows:
Sec. 5B. (a) The board may borrow money at a rate not to
exceed the maximum annual percentage rate allowed by law for
district obligations at the time the loan is made.
(b) To secure a loan, the board may pledge:
(1) district revenue that is not pledged to pay the
district's bonded indebtedness;
(2) a district tax to be imposed by the district during
the 12-month period following the date of the pledge that is not
pledged to pay the principal of or interest on district bonds; or
(3) a district bond that has been authorized but not
sold.
(c) A loan for which taxes or bonds are pledged must mature
not later than the first anniversary of the date the loan is made. A
loan for which district revenue is pledged must mature not later
than the fifth anniversary of the date the loan is made.
SECTION 2. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.