S.B. No. 1089
AN ACT
1-1 relating to the farm and ranch loan security fund.
1-2 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-3 SECTION 1. Section 252.082, Agriculture Code, is amended to
1-4 read as follows:
1-5 Sec. 252.082. USE OF FUND INCOME <INTEREST AND SINKING
1-6 FUND>. <(a)> The commissioner shall use the income from the
1-7 <interest and sinking fund for> farm and ranch loan security fund
1-8 <bonds is created to be used exclusively> for the following
1-9 purposes:
1-10 (1) the grant programs under Sections 44.004, 44.005,
1-11 and 44.006 of this code, in an amount not to exceed $350,000
1-12 <paying the principal of farm and ranch loan security bonds as they
1-13 mature>;
1-14 (2) the produce recovery fund under Chapter 103 of
1-15 this code, in an amount not to exceed $237,000 <paying interest on
1-16 the bonds as it comes due>; <and>
1-17 (3) the farm and ranch finance program fund,
1-18 established by Article III, Section 49-f, of the Texas
1-19 Constitution, in an amount not to exceed $600,000;
1-20 (4) the Texas-Israel Semi-Arid Fund under Chapter 45
1-21 of this code, in an amount not to exceed $250,000;
1-22 (5) a program administered by the department to reduce
1-23 the use of pesticides in the production of agricultural crops, in
1-24 an amount not to exceed $400,000; and
2-1 (6) the program for the benefit of young farmers under
2-2 Chapter 253 of this code, in an amount not to exceed the income
2-3 balance from the farm and ranch loan security fund <paying exchange
2-4 and collection charges in connection with bonds>.
2-5 <(b) Except as otherwise provided by this subsection, the
2-6 comptroller of public accounts shall credit accrued interest
2-7 received in the sale of bonds and income from investments of the
2-8 loan security fund and the interest and sinking fund to the
2-9 interest and sinking fund. If the accrued interest and income in
2-10 any year exceeds the cost of paying principal and interest on farm
2-11 and ranch loan security bonds and any exchange and collection
2-12 charges, the comptroller shall transfer the amount in excess of
2-13 those payments to the credit of the farm and ranch security fund
2-14 for the purpose of financing payment adjustments.>
2-15 <(c) After all bonds have been paid, the comptroller shall
2-16 transfer the balance of the interest and sinking fund to the credit
2-17 of the farm and ranch loan security fund.>
2-18 SECTION 2. Section 252.083, Agriculture Code, is amended to
2-19 read as follows:
2-20 Sec. 252.083. Investment of Funds. <(a)> The commissioner
2-21 may invest the farm and ranch loan security fund as authorized by
2-22 Chapter 401, Acts of the 60th Legislature, Regular Session, 1967
2-23 (Article 6252-5a, Vernon's Texas Civil Statutes). In accordance
2-24 with that procedure, the commissioner may invest and direct the
2-25 investment of the farm and ranch loan security fund in any general
2-26 or special obligations of this state or any of its political
2-27 subdivisions, authorities, agencies, or political corporations or
3-1 in the general or special obligations of any other state or its
3-2 subdivisions, agencies, or authorities.
3-3 <(b) The commissioner may invest the interest and sinking
3-4 fund only in direct obligations of the United States, certificates
3-5 of deposit in Texas banks, or in obligations the principal and
3-6 interest of which are guaranteed by the United States.>
3-7 SECTION 3. The importance of this legislation and the
3-8 crowded condition of the calendars in both houses create an
3-9 emergency and an imperative public necessity that the
3-10 constitutional rule requiring bills to be read on three several
3-11 days in each house be suspended, and this rule is hereby suspended,
3-12 and that this Act take effect and be in force from and after its
3-13 passage, and it is so enacted.