1-1 By: Madla S.B. No. 1646
1-2 (In the Senate - Filed April 10, 1995; April 10, 1995, read
1-3 first time and referred to Committee on Economic Development;
1-4 April 28, 1995, reported adversely, with favorable Committee
1-5 Substitute by the following vote: Yeas 9, Nays 0; April 28, 1995,
1-6 sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1646 By: Madla
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to the ability of a public housing authority to sponsor a
1-11 public facility corporation.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Section 1.003, Public Facility Corporation Act
1-14 (Article 717s, Revised Statutes), is amended to read as follows:
1-15 Sec. 1.003. DEFINITIONS. In this article:
1-16 (1) "Board of directors" means the board of directors
1-17 of a corporation.
1-18 (2) "Bonds" means bonds, notes, interim certificates,
1-19 or other evidences of indebtedness of a corporation issued or
1-20 incurred under this article.
1-21 (3) "City" means any municipality existing under the
1-22 laws of this state.
1-23 (4) "Corporation" means any public facility
1-24 corporation created and existing under this article.
1-25 (5) "Cost of issuance" means all costs relating to the
1-26 issuance or incurrence of bonds by a corporation and the purchase
1-27 of sponsor obligations by a corporation. The term includes the
1-28 cost of financing charges and interest on the bonds; the cost of
1-29 financing, legal, accounting, financial advisory, and appraisal
1-30 fees, expenses, and disbursements; the cost of any policy or
1-31 policies of insurance; the cost of printing, engraving, and
1-32 reproduction services; the cost of the initial and acceptance fees
1-33 of any trustee, paying agent, bond registrar, and authenticating
1-34 agent; the cost of any credit agreement; and reasonable sums to
1-35 reimburse the corporation for time spent by its agents or employees
1-36 with respect to the issuance, incurrence, or purchase.
1-37 (6) "County" means a political subdivision of this
1-38 state that is created pursuant to Article IX, Section 1, of the
1-39 Texas Constitution or a county created pursuant to other law.
1-40 (7) "Credit agreement" means any loan agreement,
1-41 revolving credit agreement, agreement establishing a line of
1-42 credit, letter of credit, reimbursement agreement, insurance
1-43 contract, commitments to purchase bonds or sponsor obligations,
1-44 purchase or sale agreements, or commitments or other contracts or
1-45 agreements authorized and approved by the board of directors of a
1-46 corporation in connection with the authorization, issuance,
1-47 incurrence, sale, security, exchange, payment, purchase, or
1-48 redemption of bonds or interest on bonds.
1-49 (8) "Director" means any member of a board of
1-50 directors.
1-51 (9) "Housing authority" means a public corporation
1-52 that is created under Chapter 392, Local Government Code.
1-53 (10) "Public facility" means any real, personal, or
1-54 mixed property, or any interest in property owned or to be owned by
1-55 a sponsor, devoted or to be devoted to public use, and authorized
1-56 to be financed, refinanced, or provided by sponsor obligations.
1-57 (11) <(10)> "Resolution" means any resolution, order,
1-58 ordinance, or other official action by the governing body of a
1-59 sponsor.
1-60 (12) <(11)> "School district" means a political
1-61 subdivision of this state that is created pursuant to Article VII,
1-62 Section 3, of the Texas Constitution.
1-63 (13) <(12)> "Special district" means any district that
1-64 is created pursuant to Article III, Section 52, or Article XVI,
1-65 Section 59, of the Texas Constitution or is a hospital district or
1-66 authority or is a junior college as defined in Chapter 130,
1-67 Education Code.
1-68 (14) <(13)> "Sponsor" means any city, county, school
2-1 district, housing authority, or special district that causes a
2-2 corporation to be created to act in accordance with this article.
2-3 (15) <(14)> "Sponsor obligation" means any evidence of
2-4 indebtedness or obligation that a sponsor issues or incurs to
2-5 finance, refinance, or provide a public facility, including bonds,
2-6 notes, warrants, certificates of obligation, leases, and contracts
2-7 authorized by Part 4 of this article.
2-8 SECTION 2. Section 3.021, Public Facility Corporation Act
2-9 (Article 717s, Revised Statutes), is amended by adding Subsection
2-10 (j) to read as follows:
2-11 (j) A nonprofit corporation created by a housing authority
2-12 under the Texas Non-Profit Corporation Act (Article 1396-1.01 et
2-13 seq., Vernon's Texas Civil Statutes) is considered also to be a
2-14 corporation under this article and shall have the same rights and
2-15 powers necessary or convenient to accomplish a corporation's
2-16 purposes under this article.
2-17 SECTION 3. Section 4.044, Public Facility Corporation Act
2-18 (Article 717s, Revised Statutes), is amended by adding Subsection
2-19 (d) to read as follows:
2-20 (d) A corporation may issue or incur bonds to refund
2-21 outstanding debt obligations of a nonprofit corporation created by
2-22 a housing authority under the Texas Non-Profit Corporation Act
2-23 (Article 1396-1.01 et seq., Vernon's Texas Civil Statutes).
2-24 SECTION 4. The importance of this legislation and the
2-25 crowded condition of the calendars in both houses create an
2-26 emergency and an imperative public necessity that the
2-27 constitutional rule requiring bills to be read on three several
2-28 days in each house be suspended, and this rule is hereby suspended,
2-29 and that this Act take effect and be in force from and after its
2-30 passage, and it is so enacted.
2-31 * * * * *