81R9610 MTB-D
By: West S.B. No. 2064
A BILL TO BE ENTITLED
AN ACT
relating to the issuance of state and local government securities,
including the powers and duties of the Bond Review Board and the
issuance of private activity bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1231.062, Government Code, is amended by
amending Subsection (a) and adding Subsection (d) to read as
follows:
(a) Not later than December [October] 31 of each
even-numbered year, the board shall submit to the legislature a
statistical report relating to:
(1) state securities; and
(2) bonds and other debt obligations issued by local
governments.
(d) The board may enter into a contract for the procurement
of services related to the collection and maintenance of
information on the indebtedness of local governments necessary to
prepare the statistical report.
SECTION 2. Section 1231.063(c), Government Code, is amended
to read as follows:
(c) Not later than February 15 [December 1] of each year,
the board shall submit the annual study to:
(1) the governor;
(2) the comptroller;
(3) the presiding officer of each house of the
legislature; and
(4) the Senate Committee on Finance and House
Appropriations Committee.
SECTION 3. Section 1372.004, Government Code, is amended to
read as follows:
Sec. 1372.004. RULES. The board may adopt rules:
(1) necessary to accomplish the purposes of this
chapter; and
(2) to temporarily change the relative amounts of the
state ceiling allocated and reserved under this chapter in response
to an economic crisis or natural disaster.
SECTION 4. Section 1372.022, Government Code, is amended to
read as follows:
Sec. 1372.022. AVAILABILITY OF STATE CEILING TO ISSUERS.
(a) If the state ceiling is computed on the basis of $75 per capita
or a greater amount, before July [August] 15 of each year:
(1) 28.0 percent of the state ceiling is available
exclusively for reservations by issuers of qualified mortgage
bonds;
(2) 8 percent of the state ceiling is available
exclusively for reservations by issuers of state-voted issues;
(3) 2.0 percent of the state ceiling is available
exclusively for reservations by issuers of qualified small issue
bonds and enterprise zone facility bonds;
(4) 22.0 percent of the state ceiling is available
exclusively for reservations by issuers of qualified residential
rental project bonds;
(5) 10.5 percent of the state ceiling is available
exclusively for reservations by issuers of qualified student loan
bonds authorized by Section 53B.47 [53.47], Education Code, that
are nonprofit corporations able to issue a qualified scholarship
funding bond as defined by Section 150(d)(2), Internal Revenue Code
(26 U.S.C. Section 150(d)(2)); and
(6) 29.5 percent of the state ceiling is available
exclusively for reservations by any other issuer of bonds that
require an allocation.
(b) On and after July [August] 15 but before September 1,
that portion of the state ceiling available for reservations
becomes available for all applications for reservations in the
order determined by the board by lot, subject to Section 1372.0321.
On and after September 1, that portion of the state ceiling
available for reservations becomes available to any issuer for any
bonds that require an allocation, subject to the provisions of this
subchapter.
SECTION 5. Section 1372.0261, Government Code, is amended
by amending Subsection (c) and adding Subsections (e), (f), and (g)
to read as follows:
(c) If a housing finance corporation's utilization
percentage is less than 95 percent but at least 25 percent, the next
time the corporation becomes eligible for a reservation of the
state ceiling, the maximum amount of the state ceiling that may be
reserved for the corporation is equal to the amount for which the
corporation would otherwise be eligible under Section 1372.026
multiplied by the utilization percentage of the corporation's last
bond issue that used an allocation of the state ceiling.
(e) If a housing finance corporation's utilization
percentage is less than 25 percent, the next time the corporation
becomes eligible for a reservation of the state ceiling, the
maximum amount of the state ceiling that may be reserved for the
corporation is equal to the amount for which the corporation would
otherwise be eligible under Section 1372.026 multiplied by 25
percent.
(f) If, for any program year, less than 50 percent of the
amount set aside under Section 1372.026 is allocated, all
utilization percentages are reset to 100 percent.
(g) An issuer that has carryforward available from the
volume cap created by the Housing and Economic Recovery Act of 2008
(Pub. L. No. 110-289) is not restricted by project limits for the
volume cap. An issuer who uses the carryforward to issue qualified
mortgage bonds or mortgage credit certificates is not subject to
the utilization percentage calculation in determining the amount of
the issuer's reservation request.
SECTION 6. Section 1372.028(b), Government Code, is amended
to read as follows:
(b) An issuer may apply for a reservation for a program year
not earlier than October 5 of the preceding year. An issuer may not
submit an application for a program year after November 15
[December 1] of that year.
SECTION 7. Section 1372.035(a), Government Code, is amended
to read as follows:
(a) The board may not grant a reservation of a portion of the
state ceiling for a program year before January 2 or after November
15 [December 1] of that year.
SECTION 8. Section 1372.037(a), Government Code, is amended
to read as follows:
(a) Except as provided by Subsection (b), before July
[August] 15 the board may not grant for any single project a
reservation for that year that is greater than:
(1) $50 [$25] million, if the issuer is an issuer of
qualified mortgage bonds, other than the Texas Department of
Housing and Community Affairs or the Texas State Affordable Housing
Corporation;
(2) $50 million, if the issuer is an issuer of a
state-voted issue, other than the Texas Higher Education
Coordinating Board, or $75 million, if the issuer is the Texas
Higher Education Coordinating Board;
(3) the amount to which the Internal Revenue Code
limits issuers of qualified small issue bonds and enterprise zone
facility bonds, if the issuer is an issuer of those bonds;
(4) the lesser of $20 [$15] million or 15 percent of
the amount set aside for reservation by issuers of qualified
residential rental project bonds, if the issuer is an issuer of
those bonds;
(5) the amount as prescribed in Sections 1372.033(d),
(e), and (f), if the issuer is an issuer authorized by Section
53B.47 [53.47], Education Code, to issue qualified student loan
bonds; or
(6) $50 million, if the issuer is any other issuer of
bonds that require an allocation.
SECTION 9. Section 1372.042, Government Code, is amended by
adding Subsection (e) to read as follows:
(e) In addition to any other fees required by this chapter,
an issuer shall submit to the board a nonrefundable fee in the
amount of $500 before receiving a carryforward designation under
Subsection (c).
SECTION 10. Subchapter B, Chapter 1372, Government Code, is
amended by adding Section 1372.045 to read as follows:
Sec. 1372.045. ASSIGNMENT BY BOARD OF CERTAIN AMOUNTS OF
STATE CEILING. As an alternative to designation as carryforward
under Subchapter C, the board may assign to one or more issuers:
(1) the amount of the state ceiling that is not
reserved before December 15; and
(2) any amount of the state ceiling that:
(A) was reserved before December 15; and
(B) becomes available on or after that date
because of the cancellation of a reservation.
SECTION 11. Section 1372.0235, Government Code, is
repealed.
SECTION 12. 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.