1-1 By: Hochberg (Senate Sponsor - Ellis) H.B. No. 2936
1-2 (In the Senate - Received from the House May 15, 1995;
1-3 May 18, 1995, read first time and referred to Committee on Economic
1-4 Development; May 22, 1995, reported favorably, as amended, by the
1-5 following vote: Yeas 9, Nays 0; May 22, 1995, sent to printer.)
1-6 COMMITTEE AMENDMENT NO. 1 By: Madla
1-7 Amend HB 2936 by inserting "owned by a county" after "improvements"
1-8 and before "that" on line 9, page 4.
1-9 A BILL TO BE ENTITLED
1-10 AN ACT
1-11 relating to financing of certain projects for certain counties.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Section 1, Chapter 656, Acts of the 68th
1-14 Legislature, Regular Session, 1983 (Article 717q, Vernon's Texas
1-15 Civil Statutes), is amended to read as follows:
1-16 Sec. 1. As used in this Act, the following terms shall mean:
1-17 (1) "Issuer" means (A) any incorporated city operating
1-18 under a home-rule charter adopted pursuant to Article XI, Section
1-19 5, of the Constitution of Texas having a population according to
1-20 the latest federal decennial census of 90,000 or more and having
1-21 outstanding long-term debt secured by the revenues of the public
1-22 utility for which the obligations are being issued which is rated
1-23 by a nationally recognized rating agency for municipal securities
1-24 in one of the four highest rating categories for long-term
1-25 obligations; (B) any conservation and reclamation district created
1-26 and organized as a river authority under and pursuant to Article
1-27 III, Section 52, or Article XVI, Section 59, of the Constitution of
1-28 Texas and by an act of the legislature of the State of Texas; (C)
1-29 any joint powers agency organized and operating pursuant to Chapter
1-30 166, Acts of the 63rd Legislature, Regular Session, 1973 (Article
1-31 1435a, Revised Statutes); (D) any metropolitan rapid transit
1-32 authority or regional transportation authority created, organized,
1-33 and operating pursuant to Chapter 141, Acts of the 63rd
1-34 Legislature, Regular Session, 1973 (Article 1118x, Revised
1-35 Statutes) or Chapter 683, Acts of the 66th Legislature, Regular
1-36 Session, 1979 (Article 1118y, Revised Statutes); (E) any
1-37 conservation and reclamation district organized or operating as a
1-38 navigation district under and pursuant to Article III, Section 52,
1-39 or Article XVI, Section 59, of the Constitution of Texas; (F) any
1-40 district organized or operating under and pursuant to Article XVI,
1-41 Section 59, of the Constitution of Texas which has all or part of
1-42 two or more incorporated cities within its boundaries; (G) agencies
1-43 of the State of Texas (including the governing boards of the state
1-44 institutions of higher education); (H) any hospital authority in a
1-45 county with a population of more than 2 million, according to the
1-46 most recent federal census, that was created or is operating under
1-47 Chapter 262, Health and Safety Code, or Chapter 264, Health and
1-48 Safety Code; <and> (I) any nonprofit corporation organized to
1-49 exercise the powers of a higher education authority under
1-50 Subsection (e), Section 53.47, Education Code; and (J) a county
1-51 having a population of 2 million or more according to the most
1-52 recent federal census with respect to eligible projects described
1-53 in Subdivisions (3)(A)(4) and (3)(A)(5) of this section.
1-54 (2) "Public utility" means properties and facilities
1-55 for (A) the conservation, storage, supply, treatment, or
1-56 transmission of water; (B) the treatment, collection, or disposal
1-57 of water-carried wastes or solid wastes; (C) the generation,
1-58 transmission, or distribution of electric power and energy; (D) the
1-59 acquisition, distribution, or storage of gas; (E) a "public
1-60 transportation system" as defined in Chapter 683, Acts of the 66th
1-61 Legislature, 1979 (Article 1118y, Revised Statutes); (F) an
1-62 "airport" as defined in the Municipal Airports Act (Article 46d-1
1-63 et seq., Revised Statutes); <or> (G) a port facility, including
1-64 facilities for the operation or development of ports and waterways
1-65 or in aid of navigation and navigation-related commerce in the
1-66 ports and on the waterways; or (H) a "project" as defined in
1-67 Chapter 304, Acts of the 50th Legislature, 1947 (Article 6795b-1,
1-68 Vernon's Texas Civil Statutes); and (I) <(H)> the carrying out of
2-1 any purpose or function for which the issuer may issue bonds.
2-2 (3) "Eligible project" means:
2-3 (A) the acquisition or construction of and
2-4 improvements, additions, or extensions to a public utility, one or
2-5 more, including capital assets and facilities incident and related
2-6 to the operation, maintenance, and administration thereof, and,
2-7 with respect to properties and facilities for (1) the generation of
2-8 electric power and energy, fuel acquisition, or development or
2-9 facilities for the transportation thereof; (2) a public
2-10 transportation system, buildings, structures, terminals, rolling
2-11 stock, garages, shops, equipment, and other facilities (including
2-12 vehicle parking areas and facilities necessary or convenient for
2-13 the beneficial use and access of persons and vehicles to stations,
2-14 terminals, yards, cars, and buses or for the protection and
2-15 environmental enhancement of such facilities) for mass public
2-16 transportation; (3) a port facility, wharves, docks, warehouses,
2-17 grain elevators, other storage facilities, bunkering facilities,
2-18 port-related railroads and bridges, floating plants and facilities,
2-19 lightering facilities, cargo handling facilities, towing
2-20 facilities, and all other facilities or aids incident to or useful
2-21 in the operation of a port facility; (4) a causeway, bridge,
2-22 tunnel, turnpike, highway, or a combination of such facilities,
2-23 including all necessary overpasses, underpasses, interchanges,
2-24 entrance plazas, tollhouses, service stations, approaches,
2-25 fixtures, accessories, equipment, storage, administration, and
2-26 other necessary buildings, together with all property rights,
2-27 easements, and other interests acquired in connection therewith;
2-28 (5) any public improvements that serve the purpose of attracting
2-29 visitors and tourists to a county, including civic centers,
2-30 auditoriums, exhibition halls, coliseums, stadiums, and parking
2-31 areas; and (6) <(4)> a project for which there exist authorized but
2-32 unissued obligations approved by a majority of the voters of the
2-33 issuer, including obligations payable from ad valorem taxes; and
2-34 (B) a project for which an issuer is authorized
2-35 to issue revenue bonds secured, in whole or in part, by revenues
2-36 derived from or related to student loans.
2-37 (4) "Project costs" means all costs and expenses
2-38 incurred in relation to an eligible project, one or more, including
2-39 without limitation design, planning, engineering and legal costs,
2-40 acquisition costs of land, interests in land, right-of-way and
2-41 easements, construction costs, costs of machinery, equipment, and
2-42 other capital assets incident and related to the operation,
2-43 maintenance, and administration of an eligible project, and
2-44 financing costs, including interest during construction and
2-45 thereafter, underwriter's discount and/or fees, legal, financial,
2-46 and other professional services. Project costs attributable to an
2-47 eligible project and incurred prior to the issuance of any
2-48 obligations issued to finance an eligible project may be reimbursed
2-49 from the proceeds of sale of obligations.
2-50 (5) "Obligations" means notes, warrants, or other
2-51 special obligations authorized to be issued by an issuer under the
2-52 provisions of this Act and all "bonds" as defined in the Bond
2-53 Procedures Act of 1981 (Article 717k-6, Revised Statutes), which,
2-54 prior to the delivery thereof, have been rated by a nationally
2-55 recognized rating agency for municipal securities in either one of
2-56 the three highest rating categories for short term obligations or
2-57 one of the four highest rating categories for long term
2-58 obligations. It is provided, however, that the term "obligations"
2-59 does not mean or include any obligations payable from ad valorem
2-60 taxes, except as specifically permitted by this Act.
2-61 (6) "Credit agreement" means loan agreement, revolving
2-62 credit agreement, agreement establishing a line of credit, letter
2-63 of credit, reimbursement agreement, insurance contract, commitments
2-64 to purchase obligations, purchase or sale agreements, interest rate
2-65 swap agreement, or commitments or other contracts or agreements
2-66 authorized and approved by the governing body of an issuer either
2-67 in connection with the authorization, issuance, security, exchange,
2-68 payment, purchase, or redemption of obligations and/or interest
2-69 thereon, or as otherwise authorized by this Act.
2-70 (7) "Governing body" means the board, council,
3-1 commission, commissioners court, or other designated body (acting
3-2 either individually or jointly, when authorized by law) authorized
3-3 by law to issue bonds for or on behalf of an issuer.
3-4 SECTION 2. The importance of this legislation and the
3-5 crowded condition of the calendars in both houses create an
3-6 emergency and an imperative public necessity that the
3-7 constitutional rule requiring bills to be read on three several
3-8 days in each house be suspended, and this rule is hereby suspended.
3-9 * * * * *