By: Parker H.B. No. 2851
A BILL TO BE ENTITLED
AN ACT
relating to the immunities of a non-profit corporation created for
the purpose of aiding open-enrollment charter schools in providing
educational facilities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 53.351, Education Code, is amended to
read as follows:
Sec. 53.351. BONDS FOR OPEN-ENROLLMENT CHARTER SCHOOL
FACILITIES. (a) The Texas Public Finance Authority shall
establish a nonprofit corporation to act on behalf of the state, as
its duly constituted authority and instrumentality, to issue
revenue bonds for authorized open-enrollment charter schools for
the acquisition, construction, repair, or renovation of
educational facilities of those schools.
(b) The Texas Public Finance Authority shall appoint the
directors of the corporation in consultation with the commissioner
of education and subject to the approval of the Governor. Directors
serve without compensation but are entitled to reimbursement for
travel expenses incurred in attending board meetings. The board
shall meet at least once a year.
(c) The corporation has all powers granted under the Texas
Non-Profit Corporation Act (Article 1396-1.01 et seq., Vernon's
Texas Civil Statutes), or granted to a nonprofit corporation under
the Business Organizations Code, for the purpose of aiding
authorized open-enrollment charter schools in providing
educational facilities. In addition, Sections 53.131, 53.15,
53.31, 53.32, 53.331, 53.34, 53.35, 53.38, 53.40, and 53.41 apply
to and govern the corporation and its procedures and bonds. The
corporation may exercise the powers granted to the governing body
of an issuer with regard to the issuance of obligations and the
execution of credit agreements under Chapter 1371, Government Code.
(c-1) A director, officer, or employee, of the corporation
or of the Texas Public Finance Authority, acting on behalf of the
corporation is not personally liable:
(1) for damage, loss, or injury resulting from the
performance of the person's duties under this chapter; or
(2) on any commitment or agreement executed on behalf
of the corporation under this chapter.
(d) The corporation shall adopt rules governing the
issuance of bonds under this section.
(e) The comptroller shall establish a fund dedicated to the
credit enhancement of bonds issued by any issuer under this
subchapter for any open-enrollment charter school. The fund may
receive donations. The corporation may also use the money held
under this subsection to provide loan
s or other credit support for
the obligations of any open-enrollment charter school issued by any
issuer in any manner not inconsistent with the Texas Non-Profit
Corporation Act (Article 1396-1.01, Vernon's Texas Civil
Statutes), or the provisions of the Business Organizations Code
governing nonprofit corporations. The obligation of the fund is
limited to an amount equal to the balance of the fund.
(f) Except as provided by Subsection (f-1), a revenue bond
issued under this section is not a debt of the state or any state
agency, political corporation, or political subdivision of the
state and is not a pledge of the faith and credit of any of these
entities. A revenue bond is payable solely from the revenue of the
authorized open-enrollment charter school on whose behalf the bond
is issued. A revenue bond issued under this section must contain on
its face a statement to the effect that:
(1) neither the state nor a state agency, political
corporation, or political subdivision of the state is obligated to
pay the principal of or interest on the bond; and
(2) neither the faith and credit nor the taxing power
of the state or any state agency, political corporation, or
political subdivision of the state is pledged to the payment of the
principal of or interest on the bond.
(f-1) Subsection (f) does not apply to a revenue bond issued
under this section for a charter district if the bond is approved
for guarantee by the permanent school fund under Subchapter C,
Chapter 45.
(g) An educational facility financed in whole or in part
under this section is exempt from taxation if the facility:
(1) is owned by an authorized open-enrollment charter
school;
(2) is held for the exclusive benefit of the school;
and
(3) is held for the exclusive use of the students,
faculty, and staff members of the school.
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, 2015.