Texas 2023 - 88th Regular

Texas House Bill HB4808 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	By: Tepper H.B. No. 4808
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3	3
4	4	A BILL TO BE ENTITLED
5	5	AN ACT
6	6	relating to the issuance of certain anticipation notes and
7	7	certificates of obligation.
8	8	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	9	SECTION 1. Section 1431.002, Government Code, is amended by
10	10	adding Subsections (d) and (e) to read as follows:
11	11	(d) Except as provided by Subsection (e), the governing body
12	12	of an issuer may not authorize an anticipation note to pay a
13	13	contractual obligation to be incurred if:
14	14	(1) a bond proposition to authorize the issuance of
15	15	bonds for the same purpose was submitted to the voters during the
16	16	preceding five years and failed to be approved;
17	17	(2) the total amount of the anticipation note exceeds
18	18	five percent of the governing body's total outstanding bonded
19	19	indebtedness at the time of the issuance, including the amount of
20	20	principal and interest to be paid on the outstanding bonds until
21	21	maturity; or
22	22	(3) the municipal secretary or clerk or person with
23	23	similar authority receives a petition signed by at least five
24	24	percent of the registered voters of the issuer that protests the
25	25	issuance of the anticipation note before the later of the date
26	26	tentatively set for the adoption of the order or ordinance to
27	27	authorize the anticipation note or the date the order or ordinance
28	28	is adopted.
29	29	(e) The governing body of an issuer may authorize an
30	30	anticipation note that the governing body is otherwise prohibited
31	31	from authorizing under Subsection (d):
32	32	(1) in a case described by Section 271.056(1), (2), or
33	33	(3), Local Government Code; and
34	34	(2) to comply with a state or federal law, rule, or
35	35	regulation if the issuer has been officially notified of
36	36	noncompliance with the law, rule, or regulation.
37	37	SECTION 2. Section 1431.003(b), Government Code, is amended
38	38	to read as follows:
39	39	(b) Notwithstanding anything in this chapter to the
40	40	contrary and except as provided by Section 1431.002(d), the
41	41	governing body may exercise the authority granted to the governing
42	42	body of an issuer with regard to issuance of obligations under
43	43	Chapter 1371, except that the prohibition in that chapter on the
44	44	repayment of an obligation with ad valorem taxes does not apply to
45	45	an issuer exercising the authority granted by this section.
46	46	SECTION 3. Section 271.047(d), Local Government Code, is
47	47	amended to read as follows:
48	48	(d) Except as provided by this subsection, the governing
49	49	body of an issuer may not authorize a certificate to pay a
50	50	contractual obligation to be incurred if a bond proposition to
51	51	authorize the issuance of bonds for the same purpose was submitted
52	52	to the voters during the preceding five [three] years and failed to
53	53	be approved. A governing body may authorize a certificate that the
54	54	governing body is otherwise prohibited from authorizing under this
55	55	subsection:
56	56	(1) in a case described by Section 271.056(1), (2), or
57	57	(3) [Sections 271.056(1)-(3)]; and
58	58	(2) to comply with a state or federal law, rule, or
59	59	regulation if the political subdivision has been officially
60	60	notified of noncompliance with the law, rule, or regulation.
61	61	SECTION 4. The changes in law made by this Act apply only to
62	62	an anticipation note or certificate of obligation authorized to be
63	63	issued on or after the effective date of this Act. An anticipation
64	64	note or certificate of obligation authorized to be issued before
65	65	the effective date of this Act is governed by the law in effect
66	66	immediately before the effective date of this Act, and the former
67	67	law is continued in effect for that purpose.
68	68	SECTION 5. This Act takes effect September 1, 2023.