By Turner of Harris H.B. No. 2096
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 authorizing the issuance of revenue bonds by Regional Education
1-3 Service Centers.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Texas Education Code is amended by adding Section
1-6 11.331 to read as follows:
1-7 "Sec. 11.331 Revenue Bonds
1-8 (a) For the purpose of providing funds to acquire, purchase,
1-9 construct, improve, enlarge, and/or equip Regional Education
1-10 Service Centers, the Board of Directors of each such Service
1-11 Center, the Board of Directors of each such Service Center, shall
1-12 be authorized to issue its revenue bonds to be payable from and
1-13 secured by liens on and pledges of all or any part of any of the
1-14 revenues from any rentals, rates, charges, or other revenues that
1-15 it may receive from any source, in the manner hereinafter provided.
1-16 Said bonds may be additionally secured by mortgages and deeds of
1-17 trust on any real property on which any of the facilities of the
1-18 Regional Education Service Center are or will be located, or any
1-19 real or personal property incident or appurtenant to said
1-20 facilities, and the Board of Directors of each Regional Education
1-21 Service Center may authorize the execution and delivery of trust
1-22 indentures, mortgages, deeds of trust or other forms of
1-23 encumbrances to evidence same. Said bonds may be issued to mature
2-1 serially or otherwise not to exceed 50 years from their date. In
2-2 the authorization of any such bonds, each Board of Directors of
2-3 each Regional Education Service Center may provide for the
2-4 subsequent issuance of additional parity bonds, or subordinate lien
2-5 bonds, or other types of bonds, under such terms or conditions as
2-6 may be set forth in the resolution or order authorizing the
2-7 issuance of said bonds, all within the discretion of the Board of
2-8 Directors of each Regional Education Service Center. Said bonds,
2-9 and any interest coupons appertaining thereto, shall be negotiable
2-10 instruments (provided that such bonds may be issued registrable as
2-11 to principal alone or as to both principal and interest), and shall
2-12 be executed, and may be made redeemable prior to maturity, and may
2-13 be issued in such form, denominations, and manner, and under such
2-14 terms, conditions, and details, and may be sold in such manner, at
2-15 rates, as shall be determined and provided by the Board of
2-16 Directors of each Regional Education Service Center in the
2-17 resolution or order authorizing the issuance of said bonds. If so
2-18 permitted in the bond resolution or order, any required part of the
2-19 proceeds from the sale of the bonds may be used for paying interest
2-20 thereon during the period of the construction of any facilities to
2-21 be provided through the expenses of said facilities to the extent,
2-22 and for the period of time, specified in said bond resolution, and
2-23 also for the creation of reserves for the payment of the principal
2-24 of and interest on the bonds; and such moneys may be invested,
2-25 until needed, to the extent, and in the manner provided, in said
3-1 bond resolution order.
3-2 (b) The Board of Directors of each Regional Education
3-3 Service Center shall be authorized to pledge all or any part of any
3-4 of its revenues from any source to the payment of any bonds issued
3-5 hereunder, including the payment of principal, interest, and any
3-6 other amounts required or permitted in connection with said bonds.
3-7 (c) Any revenue bonds issued by any such Board of Directors
3-8 of a Regional Education Service Center under this section, and any
3-9 revenue bonds issued by any such Board of Directors of a Regional
3-10 Education Service Center under any other Texas statute and payable
3-11 from its revenues from any source and any other existing debt of
3-12 any kind may be refunded or otherwise refinanced by such governing
3-13 Board of Directors, and in such case all pertinent and appropriate
3-14 provisions of this section shall be fully applicable to such
3-15 refunding bonds. In refunding or otherwise refinancing any such
3-16 bonds or other debt the Board of Directors of a Regional Education
3-17 Service Center may, in the same authorizing proceedings, refund or
3-18 refinance bonds issued pursuant to this code and bonds issued
3-19 pursuant to any other such Texas statute and combine all said
3-20 refunding bonds and any other additional new bonds to be issued
3-21 pursuant hereto into one or more issues or series of bonds, and may
3-22 provide for the subsequent issuance of additional parity bonds, or
3-23 subordinate lien bonds, or other type of bonds. All refunding
3-24 bonds shall be issued and delivered under such terms and conditions
3-25 as may be set forth in the authorizing proceedings.
4-1 (d) All bonds issued pursuant to this section, and the
4-2 appropriate proceedings authorizing their issuance, shall be
4-3 submitted to the attorney general of Texas for examination. If he
4-4 finds that such bonds have been authorized in accordance with law
4-5 he shall approve them, and thereupon they shall be registered by
4-6 the comptroller of public accounts of Texas; and after such
4-7 approval and registration such bonds shall be incontestable in any
4-8 court, or other forum, for any reason, and shall be valid and
4-9 binding obligations in accordance with their terms for all
4-10 purposes.
4-11 (e) All bonds issued pursuant to this section shall be legal
4-12 and authorized investments for all banks, trust companies, building
4-13 and loan associations, savings and loan associations, small
4-14 business investment corporations, insurance companies of all kinds
4-15 and types, fiduciaries, trustees, and guardians, and for all
4-16 interest and sinking funds and other public funds of Texas and all
4-17 agencies, subdivisions, and instrumentalities thereof, including
4-18 all counties, cities, towns, villages, school districts, and all
4-19 other kinds and types of districts, public agencies and bodies
4-20 politic. Said bonds also shall be eligible and lawful security for
4-21 all deposits of public funds of Texas and all agencies,
4-22 subdivisions, and instrumentalities thereof, including all
4-23 counties, cities, towns, villages, school districts, and all other
4-24 kinds and types of districts, public agencies, and bodies politic,
4-25 to the extent of the market value of said bonds, when accompanied
5-1 by any unmatured interest coupons appurtenant thereto."
5-2 SECTION 2. Texas Education Code, Section 11.33(a)(7) is
5-3 amended to read as follows:
5-4 "School districts as participant members in the center
5-5 shall provide and pay to the proper center a proportionate amount
5-6 determined on the basis of the average daily student attendance for
5-7 the next preceding school year matching the amount provided by the
5-8 state. The matching funds provided by the participant districts,
5-9 including any donated or other local funds, may be used to pay for
5-10 costs of administration of or servicing by the center and to
5-11 purchase supplemental educational media. Except as provided in
5-12 Section 11.331, a <A> center shall not enter into obligations which
5-13 shall exceed funds available or reasonably anticipated as
5-14 receivable for the current school year."
5-15 SECTION 3. This Act takes effect on September 1, 1993.
5-16 SECTION 4. The importance of this legislation and the
5-17 crowded condition of the calendars in both houses create an
5-18 emergency and an imperative public necessity that the
5-19 constitutional rule requiring bills to be read on three several
5-20 days in each house be suspended, and this rule is hereby suspended.