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House Bill 440 |
House Author: Murphy et al. |
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Effective: 9-1-19 |
Senate Sponsor: Lucio |
House Bill 440 amends the Education Code, Election Code, and Government Code to limit the purposes for which a political subdivision may use the unspent proceeds of issued general obligation bonds and to set out the conditions under which such unspent proceeds may be used for purposes other than the specific purposes for which the bonds were authorized. The bill also prohibits a political subdivision from issuing general obligation bonds to purchase, improve, or construct one or more improvements to real property, to purchase one or more items of personal property, or to do both, if the weighted average maturity of the issue of bonds exceeds 120 percent of the reasonably expected weighted average economic life of the improvements and personal property financed with the issue of bonds.