By Hilbert H.B. No. 2444
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the validation of governmental acts and contractual
1-3 proceedings by The Texas A&M University System.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Title 3, Higher Education Code, is amended by
1-6 adding Section 85.241 to read as follows:
1-7 Section 85.241. VALIDATION OF ACTS AND PROCEEDINGS REGARDING
1-8 CONSTRUCTION OF COGENERATION FACILITY.
1-9 (a) The governmental acts and proceedings of The Texas A&M
1-10 University System that occurred before January 1, 1995, relating to
1-11 the an agreement to develop and operate a cogeneration facility to
1-12 supply the campus of Texas A&M University with electrical energy
1-13 and capacity, steam, hot water, and chilled water, are validated on
1-14 the dates they occurred.
1-15 (b) The acts and proceedings of the board of regents of The
1-16 Texas A&M University System to enter into an agreement to develop
1-17 and operate a cogeneration facility to supply the campus of Texas
1-18 A&M University with electrical energy and capacity, steam, hot
1-19 water, and chilled water may not be held invalid because they were
1-20 not performed in accordance with the procedural or other
1-21 requirements of Chapter 61 of the Education Code, or another law.
1-22 These acts and proceedings leading to the construction or attempted
1-23 construction of a cogeneration plant and a hot and chilled cooling
2-1 unit are validated as of the dates on which they occurred.
2-2 (c) The acts and proceedings of the board of regents of The
2-3 Texas A&M University System to enter into an agreement to develop
2-4 and operate a cogeneration facility to supply the campus of Texas
2-5 A&M University with electrical energy and capacity, steam, hot
2-6 water, and chilled water may not be held invalid because they were
2-7 not performed in accordance with the procedural or other
2-8 requirements of Title 10, Chapter 2302 of the Government Code, or
2-9 another law. These acts and proceedings leading to the
2-10 construction or attempted construction of a cogeneration plant and
2-11 a hot and chilled cooling unit are validated as of the dates on
2-12 which they occurred.
2-13 (d) The acts and proceedings of the board of regents of The
2-14 Texas A&M University System to enter into an agreement to develop
2-15 and operate a cogeneration facility to supply the campus of Texas
2-16 A&M University with electrical energy and capacity, steam, hot
2-17 water, and chilled water may not be invalid because they were not
2-18 performed in accordance with the procedural or other requirements
2-19 of Chapter 85 of the Higher Education Code, or another law. These
2-20 acts and proceedings leading to the construction or attempted
2-21 construction of a cogeneration plant and a hot and chilled cooling
2-22 unit are validated as of the dates on which they occurred.
2-23 (e) The Development Agreement dated September 27, 1993, by
2-24 and between The Board of Regents of the Texas A&M University System
2-25 on behalf of Texas A&M University and Tenneco Power Generation
3-1 Company to develop and operate a cogeneration facility to supply
3-2 Texas A&M University with electrical energy and capacity, steam,
3-3 hot water, and chilled water is validated as of the date of such
3-4 contract. The development agreement shall not be held invalid by
3-5 reason of the fact that the acts or proceedings related to the
3-6 contracting may not have been in accordance with law.
3-7 (f) On the effective date of this subsection, Tenneco Power
3-8 Generation Company shall have the right to ask for specific
3-9 performance of the development agreement of September 27, 1993.
3-10 Should this right of specific performance be enforced, Tenneco and
3-11 The Texas A&M University System shall complete the development of
3-12 the project according to the terms of the development agreement.
3-13 (g) In the event that Tenneco Power Generation Company
3-14 elects not to request specific performance of the development
3-15 agreement, as compensation for work performed and expenses incurred
3-16 under the agreement, (i) The Texas A&M University System may issue
3-17 bonds as contemplated in the development agreement, in the amount
3-18 of $60.0 million to compensate Tenneco Power Generation Company, or
3-19 (ii) if The Texas A&M University does not issue the bonds, in
3-20 addition to amounts previously appropriated from the Available
3-21 University Fund Account (Fund Account No. 011) for the 1996-1997
3-22 biennium, the sum of $60.0 million is appropriated from that fund
3-23 to Tenneco Power Generation Company for payment. In either event,
3-24 Tenneco Power Generation Company shall be completely compensated by
3-25 August 31, 1995.
4-1 SECTION 2. The importance of this legislation and the
4-2 crowded condition of the calendars in both houses create an
4-3 emergency and an imperative public necessity that the
4-4 constitutional rule requiring bills to be read on three several
4-5 days in each house be suspended, and this rule is hereby suspended,
4-6 and that this Act take effect and be in force from and after its
4-7 passage, and it is so enacted.