Texas 2023 - 88th Regular

Texas Senate Bill SB2035 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New	Differences
1	1	S.B. No. 2035
2	2
3	3
4	4	AN ACT
5	5	relating to the issuance of certain anticipation notes and
6	6	certificates of obligation.
7	7	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
8	8	SECTION 1. Section 1431.002, Government Code, is amended by
9	9	adding Subsection (d) to read as follows:
10	10	(d) Except as provided by this subsection, the governing
11	11	body of an issuer may not authorize an anticipation note to pay a
12	12	contractual obligation to be incurred if a bond proposition to
13	13	authorize the issuance of bonds for the same purpose was submitted
14	14	to the voters during the preceding five years and failed to be
15	15	approved. The governing body of an issuer may authorize an
16	16	anticipation note that the governing body is otherwise prohibited
17	17	from authorizing under this subsection:
18	18	(1) in a case described by Section 271.056(1), (2), or
19	19	(3), Local Government Code;
20	20	(2) to finance the cleanup, mitigation, or remediation
21	21	of a natural disaster;
22	22	(3) to comply with a federal court order; and
23	23	(4) to comply with a state or federal law, rule, or
24	24	regulation if the issuer has been officially notified of
25	25	noncompliance with the law, rule, or regulation.
26	26	SECTION 2. Section 1431.003(b), Government Code, is amended
27	27	to read as follows:
28	28	(b) Notwithstanding anything in this chapter to the
29	29	contrary and except as provided by Section 1431.002(d), the
30	30	governing body may exercise the authority granted to the governing
31	31	body of an issuer with regard to issuance of obligations under
32	32	Chapter 1371, except that the prohibition in that chapter on the
33	33	repayment of an obligation with ad valorem taxes does not apply to
34	34	an issuer exercising the authority granted by this section.
35	35	SECTION 3. Section 271.047(d), Local Government Code, is
36	36	amended to read as follows:
37	37	(d) Except as provided by this subsection, the governing
38	38	body of an issuer may not authorize a certificate to pay a
39	39	contractual obligation to be incurred if a bond proposition to
40	40	authorize the issuance of bonds for the same purpose was submitted
41	41	to the voters during the preceding five [three] years and failed to
42	42	be approved. A governing body may authorize a certificate that the
43	43	governing body is otherwise prohibited from authorizing under this
44	44	subsection:
45	45	(1) in a case described by Section 271.056(1), (2), or
46	46	(3) [Sections 271.056(1)-(3)]; and
47	47	(2) to comply with a state or federal law, rule, or
48	48	regulation if the political subdivision has been officially
49	49	notified of noncompliance with the law, rule, or regulation.
50	50	SECTION 4. The changes in law made by this Act apply only to
51	51	an anticipation note or certificate of obligation authorized to be
52	52	issued on or after the effective date of this Act. An anticipation
53	53	note or certificate of obligation authorized to be issued before
54	54	the effective date of this Act is governed by the law in effect
55	55	immediately before the effective date of this Act, and the former
56	56	law is continued in effect for that purpose.
57	57	SECTION 5. This Act takes effect September 1, 2023.
58	58	______________________________ ______________________________
59	59	President of the Senate Speaker of the House
60	60	I hereby certify that S.B. No. 2035 passed the Senate on
61	61	April 26, 2023, by the following vote: Yeas 20, Nays 10,
62	62	one present not voting.
63	63	______________________________
64	64	Secretary of the Senate
65	65	I hereby certify that S.B. No. 2035 passed the House on
66	66	May 24, 2023, by the following vote: Yeas 102, Nays 42,
67	67	one present not voting.
68	68	______________________________
69	69	Chief Clerk of the House
70	70	Approved:
71	71	______________________________
72	72	Date
73	73	______________________________
74	74	Governor