1-1 By: Bailey (Senate Sponsor - Lindsay) H.B. No. 1043
1-2 (In the Senate - Received from the House May 13, 1997;
1-3 May 13, 1997, read first time and referred to Committee on
1-4 Education; May 18, 1997, reported favorably by the following vote:
1-5 Yeas 10, Nays 0; May 18, 1997, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to the issuance of bonds under the Higher Education
1-9 Authority Act.
1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11 SECTION 1. Section 53.02, Education Code, is amended by
1-12 adding Subdivision (12) to read as follows:
1-13 (12) "Accredited primary or secondary school" means a
1-14 primary or secondary school, including a preschool, that is
1-15 accredited by an accreditation body that is a member of the Texas
1-16 Private School Accreditation Commission.
1-17 SECTION 2. Section 53.34(b), Education Code, is amended to
1-18 read as follows:
1-19 (b) The bonds shall be payable from and secured by a pledge
1-20 of all or any part of the gross or net revenue to be derived from
1-21 the operation of the facility or facilities and any other revenue
1-22 or assets pledged for the purpose [resulting from the ownership of
1-23 the educational facilities properties]. The bonds may be
1-24 additionally secured by a mortgage or deed of trust on real
1-25 property of the authority or by a chattel mortgage on its personal
1-26 property, or by both.
1-27 SECTION 3. Section 53.48, Education Code, is amended to read
1-28 as follows:
1-29 Sec. 53.48. BONDS FOR ACCREDITED [CERTAIN MILITARY-RELATED]
1-30 PRIMARY OR SECONDARY SCHOOLS. [(a)] In the same manner that a
1-31 corporation may issue bonds under this chapter for an institution
1-32 of higher education, a corporation created under Section 53.35(b)
1-33 may issue bonds to finance or refinance educational facilities or
1-34 housing facilities to be used by an accredited [a military-related]
1-35 primary or secondary school [that is:]
1-36 [(1) located in a county:]
1-37 [(A) with a population of more than 120,000 and
1-38 bordered by the Brazos River; or]
1-39 [(B) bordering the Rio Grande and the Gulf of
1-40 Mexico; and]
1-41 [(2) owned and operated by a nonprofit corporation
1-42 that is exempt from taxation under Section 501(a), Internal Revenue
1-43 Code, by being listed under Section 501(c)(3), Internal Revenue
1-44 Code].
1-45 [(b) In this section, "military-related primary or secondary
1-46 school" includes a primary or secondary school that formerly
1-47 offered military instruction for a period of at least 60 years.]
1-48 SECTION 4. This Act does not affect the validity of bonds
1-49 issued under Section 53.48, Education Code, as that section existed
1-50 before amendment by this Act, to finance or refinance educational
1-51 facilities or housing facilities to be used by a military-related
1-52 primary or secondary school.
1-53 SECTION 5. The importance of this legislation and the
1-54 crowded condition of the calendars in both houses create an
1-55 emergency and an imperative public necessity that the
1-56 constitutional rule requiring bills to be read on three several
1-57 days in each house be suspended, and this rule is hereby suspended,
1-58 and that this Act take effect and be in force from and after its
1-59 passage, and it is so enacted.
1-60 * * * * *