Texas 2013 - 83rd Regular

Texas House Bill HB2176 Compare Versions

The same version is selected twice. Please select two different versions to compare.

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	83R6637 TJB-D
2	2	By: Kolkhorst H.B. No. 2176
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to procedures and requirements for the issuance of
8	8	certificates of obligation.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Section 271.047, Local Government Code, is
11	11	amended by adding Subsection (d) to read as follows:
12	12	(d) Except in a case of grave public necessity to meet an
13	13	unusual and unforeseen condition, the governing body of an issuer
14	14	may not authorize a certificate to pay a contractual obligation to
15	15	be incurred if a bond proposition to authorize the issuance of bonds
16	16	for the same purpose was submitted to the voters during the
17	17	preceding three years and failed to be approved.
18	18	SECTION 2. Section 271.049, Local Government Code, is
19	19	amended to read as follows:
20	20	Sec. 271.049. NOTICE OF INTENTION TO ISSUE CERTIFICATES;
21	21	PETITION AND ELECTION. (a) Regardless of the sources of payment of
22	22	certificates, certificates may not be issued unless the issuer
23	23	publishes notice of its intention to issue the certificates. The
24	24	notice must be published:
25	25	(1) once a week for two consecutive weeks in a
26	26	newspaper, as defined by Subchapter C, Chapter 2051, Government
27	27	Code, that is of general circulation in the area of the issuer, with
28	28	the date of the first publication to be before the 45th [30th] day
29	29	before the date tentatively set for the passage of the order or
30	30	ordinance authorizing the issuance of the certificates; and
31	31	(2) continuously on the issuer's Internet website for
32	32	at least 45 days before the date tentatively set for the passage of
33	33	the order or ordinance authorizing the issuance of the
34	34	certificates.
35	35	(b) The notice must state:
36	36	(1) the time and place tentatively set for the passage
37	37	of the order or ordinance authorizing the issuance of the
38	38	certificates;
39	39	(2) the [maximum amount and] purpose of the
40	40	certificates to be authorized; [and]
41	41	(3) the manner in which the certificates will be paid
42	42	for, whether by taxes, revenues, or a combination of the two;
43	43	(4) the following, stated as a total amount and as a
44	44	per capita amount:
45	45	(A) the then-current principal of all
46	46	outstanding debt obligations of the issuer;
47	47	(B) the then-current combined principal and
48	48	interest required to pay all outstanding debt obligations of the
49	49	issuer on time and in full;
50	50	(C) the principal of the certificates to be
51	51	authorized; and
52	52	(D) the estimated combined principal and
53	53	interest required to pay the certificates to be authorized on time
54	54	and in full;
55	55	(5) the estimated rate of interest for the
56	56	certificates to be authorized;
57	57	(6) the maturity date of the certificates to be
58	58	authorized; and
59	59	(7) the process by which a petition may be submitted
60	60	requesting an election on the issuance of the certificates, in the
61	61	following form:
62	62	"Five percent of the total number of voters of (name of
63	63	issuer) that voted in the most recent gubernatorial general
64	64	election may petition to require an election to be held authorizing
65	65	the issuance of certificates of obligation by delivering a signed
66	66	petition to the (insert "secretary or clerk" if the issuer is a
67	67	municipality, or "county clerk" if the issuer is a county) of (name
68	68	of issuer) before the date the governing body has set for the
69	69	authorization of the certificates of obligation. Information about
70	70	the requirements of the petition may be obtained from the (insert
71	71	"secretary or clerk" if the issuer is a municipality, or "county
72	72	clerk" if the issuer is a county) of (name of issuer)."[.]
73	73	(c) If before the date tentatively set for the authorization
74	74	of the issuance of the certificates or if before the authorization,
75	75	the municipal secretary or clerk if the issuer is a municipality, or
76	76	the county clerk if the issuer is a county, receives a petition
77	77	signed by a number of qualified voters of the issuer equal to five
78	78	percent or more of the number of votes cast in the municipality or
79	79	county, as applicable, in the most recent gubernatorial general
80	80	election [at least five percent of the qualified voters of the
81	81	issuer] protesting the issuance of the certificates, the issuer may
82	82	not authorize the issuance of the certificates unless the issuance
83	83	is approved at an election ordered, held, and conducted in the
84	84	manner provided for bond elections under Chapter 1251, Government
85	85	Code.
86	86	(d) This section does not apply to certificates issued for
87	87	the purposes described by Sections 271.056(1)-(3)
88	88	[271.056(1)-(4)].
89	89	(e) An issuer shall maintain an Internet website to comply
90	90	with this section.
91	91	(f) In this section, "debt obligation" means an issued
92	92	public security, as defined by Section 1201.002, Government Code.
93	93	SECTION 3. The changes in law made by this Act to Section
94	94	271.049, Local Government Code, apply only to a certificate of
95	95	obligation for which the first notice of intention to issue the
96	96	certificate is made on or after the effective date of this Act. A
97	97	certificate of obligation for which the first notice of intention
98	98	to issue the certificate is made before the effective date of this
99	99	Act is governed by the law in effect when the notice of intention is
100	100	made, and the former law is continued in effect for that purpose.
101	101	SECTION 4. This Act takes effect September 1, 2013.