By: West S.J.R. No. 30
SENATE JOINT RESOLUTION
1-1 proposing a constitutional amendment authorizing the legislature to
1-2 provide for the issuance of bonds to provide or guarantee surety
1-3 bonds for historically underutilized businesses.
1-4 BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Article XVI of the Texas Constitution is amended
1-6 by adding Section 73 to read as follows:
1-7 Sec. 73. (a) The legislature by law may establish a Texas
1-8 historically underutilized business bonding fund to be used without
1-9 further appropriation solely in futherance of a program established
1-10 by the legislature to provide surety bonds to historically
1-11 underutilized businesses or to guarantee surety bonds provided to
1-12 historically underutilized businesses, as defined by the
1-13 legislature. The fund shall contain a program account, an interest
1-14 and sinking account, and other accounts authorized by the
1-15 legislature. To carry out the program authorized by this
1-16 subsection, the legislature may issue up to $50 million of general
1-17 obligation bonds to provide funding for the fund. The fund is
1-18 composed of the proceeds of the bonds authorized by this
1-19 subsection, surety bond fees, guarantee fees, other amounts
1-20 received from the issuance or guarantee of surety bonds made under
1-21 this subsection, and any other amount the legislature requires to
1-22 be deposited in the fund.
1-23 (b) The legislature may require review and approval of the
2-1 issuance of bonds under this section, of the use of the bond
2-2 proceeds, or of the rules adopted by an agency to govern use of the
2-3 bond proceeds. Notwithstanding any other provision of this
2-4 constitution, any entity created or directed to conduct this review
2-5 and approval may include members or appointees of members of the
2-6 executive, legislative, and judicial departments of state
2-7 government.
2-8 (c) Bonds authorized under this section constitute a general
2-9 obligation of the state. While any of the bonds or interest on the
2-10 bonds is outstanding and unpaid, there is appropriated out of the
2-11 first money coming into the treasury in each fiscal year not
2-12 otherwise appropriated by this constitution the amount sufficient
2-13 to pay the principal of and interest on the bonds that mature or
2-14 become due during the fiscal year less any amount in any interest
2-15 and sinking account at the end of the preceding fiscal year that is
2-16 pledged to payment of the bonds or interest.
2-17 SECTION 2. This proposed amendment shall be submitted to the
2-18 voters at an election to be held November 7, 1995. The ballot
2-19 shall be printed to permit voting for or against the proposition:
2-20 "The constitutional amendment authorizing the legislature to
2-21 provide for the issuance of $50 million of general obligation bonds
2-22 for the recovery and further development of the state's economy,
2-23 with the goal of increasing job opportunities and other benefits
2-24 for Texas residents, through the state's provision and guarantee of
2-25 surety bonds to historically underutilized businesses."