81R25834 ALB-F
By: Farabee H.B. No. 781
Substitute the following for H.B. No. 781:
By: Sheffield C.S.H.B. No. 781
A BILL TO BE ENTITLED
AN ACT
relating to the Electra Hospital District.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1025.051, Special District Local Laws
Code, as effective April 1, 2009, is amended to conform to Section
1, Chapter 792, Acts of the 80th Legislature, Regular Session,
2007, to read as follows:
Sec. 1025.051. BOARD ELECTION; TERM. The district is
governed by a board of seven directors elected at large by place for
staggered three-year terms. A director's election shall be held
each year on the May uniform election date prescribed by Section
41.001, Election Code. [(a) The board consists of seven directors
elected from the district at large.
[(b) Directors serve staggered two-year terms unless
four-year terms are established under Section 285.081, Health and
Safety Code.]
SECTION 2. Subchapter D, Chapter 1025, Special District
Local Laws Code, as effective April 1, 2009, is amended by adding
Section 1025.161 to read as follows:
Sec. 1025.161. AUTHORITY TO BORROW MONEY; SECURITY. (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 3. Subchapter E, Chapter 1025, Special District
Local Laws Code, as effective April 1, 2009, is amended by adding
Sections 1025.209 and 1025.210 to read as follows:
Sec. 1025.209. ADDITIONAL MEANS OF SECURING REPAYMENT OF
BONDS. In addition to the authority to issue general obligation
bonds and revenue bonds under this subchapter, the board may
provide for the security and payment of district bonds from a pledge
of a combination of ad valorem taxes as authorized by Section
1025.202 and revenue and other sources authorized by Section
1025.206.
Sec. 1025.210. USE OF BOND PROCEEDS. The district may use
the proceeds of bonds issued under this subchapter to pay:
(1) any expense the board determines is reasonable and
necessary to issue, sell, and deliver the bonds;
(2) interest payments on the bonds during a period of
acquisition or construction of a project or facility to be provided
through the bonds, not to exceed five years;
(3) costs related to the operation and maintenance of
a project or facility to be provided through the bonds:
(A) during an estimated period of acquisition or
construction, not to exceed five years; and
(B) for one year after the project or facility is
acquired or constructed;
(4) costs related to the financing of the bond funds,
including debt service reserve and contingency funds;
(5) costs related to the bond issuance;
(6) costs related to the acquisition of land or
interests in land for a project or facility to be provided through
the bonds; and
(7) costs of construction of a project or facility to
be provided through the bonds, including the payment of related
professional services and expenses.
SECTION 4. (a) The members of the board of directors of the
Electra Hospital District serving on the effective date of this Act
shall draw lots to determine in which place each director serves.
The four directors whose terms expire in 2010 shall draw lots for
Places 4, 5, 6, and 7. The three directors whose terms expire in
2011 shall draw lots for Places 1, 2, and 3.
(b) The election of the board of directors to be held in May
2010 must be held, and the directors elected for Places 4 and 5 at
that election shall serve three-year terms. The directors elected
for Places 6 and 7 at that election shall serve two-year terms.
(c) The directors elected at the election to be held in May
2011, May 2012, and May 2013 shall serve three-year terms.
SECTION 5. 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.