Bill not drafted by TLC or Senate E&E.

      Line and page numbers may not match official copy.

         By:  Gallegos                                 S.B. No. 592

                                A BILL TO BE ENTITLED

                                       AN ACT

 1-1     relating to authorizing the issuance of revenue bonds for the

 1-2     University of Houston-Downtown.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Subchapter B, Chapter 55, Education Code, is

 1-5     amended by adding Section 55.1719:

 1-6           Sec. 55.719.  THE UNIVERSITY OF HOUSTON SYSTEM.  (a)  In

 1-7     addition to the authority granted by Sections 55.13, 55.14, 55.17,

 1-8     55.171, 55.1715 and 55.19 of this code, the board of regents of the

 1-9     University of Houston System may acquire, purchase, construct,

1-10     improve, renovate, enlarge, or equip property, buildings,

1-11     structures, facilities, roads, or related infrastructure for the

1-12     University of Houston-Downtown to be financed by the issuance of

1-13     bonds in accordance with this subchapter and in accordance with a

1-14     systemwide revenue financing program adopted by the board in an

1-15     aggregate principal amount not to exceed $8.2 million.

1-16           (b)  The board may pledge irrevocably to the payment of those

1-17     bonds all or any part of the revenue funds of an institution,

1-18     branch, or entity of the University of Houston System, including

1-19     student tuition charges required or authorized by law to be imposed

1-20     on students enrolled at an institution, branch or entity of the

1-21     University of Houston System.  The amount of a pledge made under

1-22     this subsection may not be reduced or abrogated while the bonds for

1-23     which the pledge is made, or bonds issued to refund those bonds,

 2-1     are outstanding.

 2-2           (c)  If sufficient funds are not available to the board to

 2-3     meet its obligations under this section, the board may transfer

 2-4     funds among institutions, branches, and entities of the University

 2-5     of Houston System to ensure the most equitable and efficient

 2-6     allocation of available resources for each institution, branch, or

 2-7     entity to carry out its duties and purposes.

 2-8           SECTION 2.  This Act takes effect September 1, 1997.

 2-9           SECTION 3.  The importance of this legislation and the

2-10     crowded condition of the calendars in both houses create an

2-11     emergency and an imperative public necessity that the

2-12     constitutional rule requiring bills to be read on three several

2-13     days in each house be suspended, and this rule is hereby suspended.