87R2197 SRA-D
By: Alvarado S.B. No. 1451
A BILL TO BE ENTITLED
AN ACT
relating to the definition of "closing" for purposes of certain
private activity bonds.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1372.001(3), Government Code, is amended
to read as follows:
(3) "Closing" means the [issuance and] delivery of a
bond by an issuer in exchange for the required payment for the bond.
The term includes delivery of a bond in exchange for a partial
payment for the incremental funding of the bond in accordance with
the terms of the bond, provided that the partial payment is not less
than 10 percent of the required payment for the bond. The term does
not include a delivery of a bond if expenditure of the proceeds of
the bond is conditioned on obtaining credit enhancement in support
of the bond.
SECTION 2. This Act takes effect September 1, 2021.