1-1 By: Ellis S.B. No. 1549
1-2 (In the Senate - Filed March 13, 1995; March 21, 1995, read
1-3 first time and referred to Committee on Finance; May 1, 1995,
1-4 reported favorably, as amended, by the following vote: Yeas 10,
1-5 Nays 0; May 1, 1995, sent to printer.)
1-6 COMMITTEE AMENDMENT NO. 1 By: Ellis
1-7 Amend S.B. No. 1549 by adding new SECTION 2 and renumbering
1-8 subsequent sections accordingly.
1-9 SECTION 2. Section 130.125, Education Code, is amended by
1-10 adding Subsection (f-1) to read as follows:
1-11 (f-1) The governing body of an "eligible issuer" may enter
1-12 into credit agreements as described in Subsection (d). As used in
1-13 this subsection, "eligible issuer" means an issuer that prior to
1-14 the effective date of this subsection (i) issued bonds which, prior
1-15 to or simultaneously with the delivery thereof, were rated by a
1-16 nationally recognized rating agency for municipal securities in one
1-17 of the four highest ranking categories for long-term obligations,
1-18 and (ii) reserved in the resolution or order authorizing issuance
1-19 of the bonds the right, in the event of a change in state law, to
1-20 substitute a credit agreement in lieu of cash and investments in a
1-21 reserve fund established pursuant to the resolution or order.
1-22 A BILL TO BE ENTITLED
1-23 AN ACT
1-24 relating to the issuance of revenue obligations by junior college
1-25 districts or regional college districts.
1-26 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-27 SECTION 1. Subdivision (5), Subsection (a), Section 130.125,
1-28 Education Code, is amended to read as follows:
1-29 (5) "Obligations" means notes, warrants, or other
1-30 special obligations authorized to be issued by an issuer under the
1-31 provisions of this section and all "bonds" as defined in the Bond
1-32 Procedures Act of 1981 (Article 717k-6, Vernon's Texas Civil
1-33 Statutes), which prior to the delivery thereof, have been rated by
1-34 a nationally recognized rating agency for municipal securities in
1-35 either one of the three highest ranking categories for short-term
1-36 obligations or one of the four highest ranking categories for
1-37 long-term obligations. It is provided, however, that the term
1-38 "obligations" does not mean or include any obligations payable from
1-39 ad valorem taxes.
1-40 SECTION 2. The importance of this legislation and the
1-41 crowded condition of the calendars in both houses create an
1-42 emergency and an imperative public necessity that the
1-43 constitutional rule requiring bills to be read on three several
1-44 days in each house be suspended, and this rule is hereby suspended,
1-45 and that this Act take effect and be in force from and after its
1-46 passage, and it is so enacted.
1-47 * * * * *