By McClendon                                          H.B. No. 2209
         76R6196 KEL-F                           
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the ability of a public housing authority to use a
 1-3     public facility corporation to promote development of residential
 1-4     housing and accomplish other public purposes.
 1-5           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1.  Subchapter D, Chapter 392, Local Government Code,
 1-7     is amended by adding Section 392.066 to read as follows:
 1-8           Sec. 392.066.  PUBLIC FACILITY CORPORATION.  (a)  An
 1-9     authority that creates a public facility corporation under the
1-10     Public Facility Corporation Act (Article 717s, Revised Statutes)
1-11     may, with or without consideration, enter into an agreement with,
1-12     make a contribution to, make an investment in, enter into a lease
1-13     or exchange with, or make a mortgage or loan to the corporation to:
1-14                 (1)  acquire, construct, rehabilitate, renovate,
1-15     repair, equip, furnish, or place in service a residential
1-16     development described by Section 394.004 or a housing project; or
1-17                 (2)  accomplish another public purpose authorized by
1-18     law.
1-19           (b)  An authority described by Subsection (a) may also, with
1-20     or without consideration:
1-21                 (1)  transfer, convey, pledge, or use money, personal
1-22     or real property, or any other right or benefit to which the
1-23     authority is entitled under state or federal law, to implement a
1-24     purpose described by Subsection (a); and
 2-1                 (2)  pledge a right or benefit described by Subdivision
 2-2     (1) to secure the payment of indebtedness issued by the public
 2-3     facility corporation created by the authority.
 2-4           (c)  An authority may exercise a power granted by Subsection
 2-5     (a) as necessary to implement programs designed to:
 2-6                 (1)  develop or diversify the economy of this state;
 2-7                 (2)  reduce unemployment or underemployment in this
 2-8     state;
 2-9                 (3)  develop or expand commerce in this state; or
2-10                 (4)  promote another public purpose.
2-11           (d)  The powers granted by this section do not affect the
2-12     powers of an authority granted under the Public Facility
2-13     Corporation Act (Article 717s, Revised Statutes).
2-14           SECTION 2.  The importance of this legislation and the
2-15     crowded condition of the calendars in both houses create an
2-16     emergency and an imperative public necessity that the
2-17     constitutional rule requiring bills to be read on three several
2-18     days in each house be suspended, and this rule is hereby suspended,
2-19     and that this Act take effect and be in force from and after its
2-20     passage, and it is so enacted.