Enrolled Bill Summary

            Senate Bill 1759 amends the Government Code to allow public securities to be sold at public or private sales under terms determined by the governing body of the issuer to be in the issuer's best interest and provides that a resolution, order, or ordinance relating to an election on the issuance of a public security or the security's authorization is effective immediately upon its adoption or authorization at a meeting of the governing body and does not require a subsequent meeting. The bill allows an issuer to make certain deposits associated with advance refunding of bonds with a trust company or commercial bank that does not act as a depository for the issuer and that is named in the issuer's proceedings authorizing execution of an escrow agreement for the deposits. The bill also authorizes the governing body of an issuer to issue securities to finance payments on agreements involving interest rate locks, interest rate hedging agreements, or other credit agreements. The bill makes various other changes relating to public securities, including provisions concerning registrar records, the determination of certain amounts associated with refunding bonds, and the inclusion of certain hospital districts under the definition of "issuer" in provisions relating to the issuance of securities for certain public improvements.

            Senate Bill 1759 also prohibits an independent school district from issuing certain securities unless it complies with Education Code provisions relating to bond elections and lowers the population threshold from more than 1.2 million to more than 100,000 for a municipality to be exempted from provisions requiring voter approval for the sale of an unencumbered natural gas system.

            Finally, Senate Bill 1759 amends the Education Code to require the governing board of an institution of higher education to fix certain rentals, rates, charges, and fees in amounts necessary to pay costs associated with activities or services of the institution and to require the board, for billing and reporting purposes, to accumulate mandatory fees or charges as a separate facilities and services charge.