SRC-AAA S.B. 592 75(R) BILL ANALYSIS Senate Research Center S.B. 592 By: Gallegos Finance 3-13-97 As Filed DIGEST Currently, a 147,000 square foot classroom building is scheduled to be completed in May 1997 and will complete phase 1 of the University of Houston-Downtown facilities expansion. This bill authorizes the University of Houston System to issue $8.2 million in tuition revenue bonds on behalf of the University of Houston-Downtown to finance phase II of the campus master plan. PURPOSE As proposed, S.B. 592 authorizes the University of Houston System to issue $8.2 million in tuition revenue bonds on behalf of the University of Houston-Downtown to finance phase II of the campus master plan. RULEMAKING AUTHORITY This bill does not grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Chapter 55B, Education Code, by adding Section 55.1719, as follows: Sec. 55.719. THE UNIVERSITY OF HOUSTON SYSTEM. Authorizes the board of regents of the University of Houston System (board) to take certain actions for the University of Houston-Downtown to be financed by the issuance of bonds in accordance with this chapter and with a system wide revenue financing program adopted by the board, in an amount not to exceed $8.2 million. Authorizes the board to pledge certain items for the payment of the bonds. Prohibits the amount of a pledge from being reduced or abrogated. Authorizes the board to transfer funds among certain entities of the University of Houston-Downtown to ensure equitable and efficient allocation of available resources for those entities. SECTION 2. Effective date: September 1, 1997. SECTION 3. Emergency clause.