By:  Madla                                            S.B. No. 1646
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the ability of a public housing authority to sponsor a
    1-2  public facility corporation.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Section 1.003, Public Facility Corporation Act
    1-5  (Article 717s, Revised Statutes), is amended to read as follows:
    1-6        Sec. 1.003.  DEFINITIONS.  In this article:
    1-7              (1)  "Board of directors" means the board of directors
    1-8  of a corporation.
    1-9              (2)  "Bonds" means bonds, notes, interim certificates,
   1-10  or other evidences of indebtedness of a corporation issued or
   1-11  incurred under this article.
   1-12              (3)  "City" means any municipality existing under the
   1-13  laws of this state.
   1-14              (4)  "Corporation" means any public facility
   1-15  corporation created and existing under this article.
   1-16              (5)  "Cost of issuance" means all costs relating to the
   1-17  issuance or incurrence of bonds by a corporation and the purchase
   1-18  of sponsor obligations by a corporation.  The term includes the
   1-19  cost of financing charges and interest on the bonds; the cost of
   1-20  financing, legal, accounting, financial advisory, and appraisal
   1-21  fees, expenses, and disbursements; the cost of any policy or
   1-22  policies of insurance; the cost of printing, engraving, and
   1-23  reproduction services; the cost of the initial and acceptance fees
   1-24  of any trustee, paying agent, bond registrar, and authenticating
    2-1  agent; the cost of any credit agreement; and reasonable sums to
    2-2  reimburse the corporation for time spent by its agents or employees
    2-3  with respect to the issuance, incurrence, or purchase.
    2-4              (6)  "County" means a political subdivision of this
    2-5  state that is created pursuant to Article IX, Section 1, of the
    2-6  Texas Constitution or a county created pursuant to other law.
    2-7              (7)  "Credit agreement" means any loan agreement,
    2-8  revolving credit agreement, agreement establishing a line of
    2-9  credit, letter of credit, reimbursement agreement, insurance
   2-10  contract, commitments to purchase bonds or sponsor obligations,
   2-11  purchase or sale agreements, or commitments or other contracts or
   2-12  agreements authorized and approved by the board of directors of a
   2-13  corporation in connection with the authorization, issuance,
   2-14  incurrence, sale, security, exchange, payment, purchase, or
   2-15  redemption of bonds or interest on bonds.
   2-16              (8)  "Director" means any member of a board of
   2-17  directors.
   2-18              (9)  "Housing authority" means a public corporation
   2-19  that is created under Chapter 392, Local Government Code.
   2-20              (10)  "Public facility" means any real, personal, or
   2-21  mixed property, or any interest in property owned or to be owned by
   2-22  a sponsor, devoted or to be devoted to public use, and authorized
   2-23  to be financed, refinanced, or provided by sponsor obligations.
   2-24              (11) <(10)>  "Resolution" means any resolution, order,
   2-25  ordinance, or other official action by the governing body of a
   2-26  sponsor.
   2-27              (12) <(11)>  "School district" means a political
    3-1  subdivision of this state that is created pursuant to Article VII,
    3-2  Section 3, of the Texas Constitution.
    3-3              (13) <(12)>  "Special district" means any district that
    3-4  is created pursuant to Article III, Section 52, or Article XVI,
    3-5  Section 59, of the Texas Constitution or is a hospital district or
    3-6  authority or is a junior college as defined in Chapter 130,
    3-7  Education Code.
    3-8              (14) <(13)>  "Sponsor" means any city, county, school
    3-9  district, housing authority, or special district that causes a
   3-10  corporation to be created to act in accordance with this article.
   3-11              (15) <(14)>  "Sponsor obligation" means any evidence of
   3-12  indebtedness or obligation that a sponsor issues or incurs to
   3-13  finance, refinance, or provide a public facility, including bonds,
   3-14  notes, warrants, certificates of obligation, leases, and contracts
   3-15  authorized by Part 4 of this article.
   3-16        SECTION 2.  Section 3.021, Public Facility Corporation Act
   3-17  (Article 717s, Revised Statutes), is amended by adding Subsection
   3-18  (j) to read as follows:
   3-19        (j)  A nonprofit corporation created by a housing authority
   3-20  under the Texas Non-Profit Corporation Act (Article 1396-1.01 et
   3-21  seq., Vernon's Texas Civil Statutes) is considered also to be a
   3-22  corporation under this article and shall have the same rights and
   3-23  powers necessary or convenient to accomplish a corporation's
   3-24  purposes under this article.
   3-25        SECTION 3.  Section 4.044, Public Facility Corporation Act
   3-26  (Article 717s, Revised Statutes), is amended by adding Subsection
   3-27  (d) to read as follows:
    4-1        (d)  A corporation may issue or incur bonds to refund
    4-2  outstanding debt obligations of a nonprofit corporation created by
    4-3  a housing authority under the Texas Non-Profit Corporation Act
    4-4  (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes).
    4-5        SECTION 4.  The importance of this legislation and the
    4-6  crowded condition of the calendars in both houses create an
    4-7  emergency and an imperative public necessity that the
    4-8  constitutional rule requiring bills to be read on three several
    4-9  days in each house be suspended, and this rule is hereby suspended,
   4-10  and that this Act take effect and be in force from and after its
   4-11  passage, and it is so enacted.