1-1  By:  Hernandez (Senate Sponsor - Barrientos)          H.J.R. No. 50
    1-2        (In the Senate - Received from the House March 22, 1995;
    1-3  March 23, 1995, read first time and referred to Committee on
    1-4  Finance; May 1, 1995, reported favorably, as amended, by the
    1-5  following vote:  Yeas 8, Nays 0; May 1, 1995, sent to printer.)
    1-6  COMMITTEE AMENDMENT NO. 1                           By:  Barrientos
    1-7  Amend H.J.R. No. 50 as follows:
    1-8        (1)  On page 1, line 11, amend SECTION 1, Subsection (a), by
    1-9  striking "$200" and substituting "$400" in its place.
   1-10        (2)  On page 2, line 19, amend SECTION 2, by striking "$200"
   1-11  and substituting "$400" in its place.
   1-12                        HOUSE JOINT RESOLUTION
   1-13  proposing a constitutional amendment providing for the issuance of
   1-14  general obligation bonds by the Texas Higher Education Coordinating
   1-15  Board.
   1-16        BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-17        SECTION 1.  Article III, Texas Constitution, is amended by
   1-18  adding Section 50b-4 to read as follows:
   1-19        Sec. 50b-4.  ADDITIONAL STUDENT LOANS.  (a)  The legislature
   1-20  by general law may authorize the Texas Higher Education
   1-21  Coordinating Board or its successor or successors to issue and sell
   1-22  general obligation bonds of the State of Texas in an amount not to
   1-23  exceed $200 million to finance educational loans to students.  The
   1-24  bonds are in addition to those bonds issued under Sections 50b,
   1-25  50b-1, 50b-2, and 50b-3, Article III, Texas Constitution.
   1-26        (b)  The bonds shall be executed in the form, on the terms,
   1-27  and in the denominations, bear interest, and be issued in
   1-28  installments as prescribed by the Texas Higher Education
   1-29  Coordinating Board or its successor or successors.
   1-30        (c)  The maximum net effective interest rate to be borne by
   1-31  bonds issued under this section must be set by law.
   1-32        (d)  The legislature may provide for the investment of bond
   1-33  proceeds and may establish and provide for the investment of an
   1-34  interest and sinking fund to pay the bonds.  Income from the
   1-35  investment shall be used for the purposes prescribed by the
   1-36  legislature.
   1-37        (e)  While any of the bonds issued under this section or
   1-38  interest on the bonds is outstanding and unpaid, there is
   1-39  appropriated out of the first money coming into the treasury in
   1-40  each fiscal year, not otherwise appropriated by this constitution,
   1-41  the amount sufficient to pay the principal of and interest on the
   1-42  bonds that mature or become due during the fiscal year, less any
   1-43  amount in an interest and sinking fund established under this
   1-44  section at the end of the preceding fiscal year that is pledged to
   1-45  the payment of the bonds or interest.
   1-46        (f)  Bonds issued under this section, after approval by the
   1-47  attorney general, registration by the comptroller of public
   1-48  accounts, and delivery to the purchasers, are incontestable.
   1-49        SECTION 2.  This proposed constitutional amendment shall be
   1-50  submitted to the voters at an election to be held on the earlier of
   1-51  the first date on which another election on a constitutional
   1-52  amendment proposed by the 74th Legislature, Regular Session, 1995,
   1-53  is held or November 7, 1995.  The ballot shall be printed to permit
   1-54  voting for or against the proposition:  "The constitutional
   1-55  amendment providing for the issuance of $200 million in general
   1-56  obligation bonds to finance educational loans to students."
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