1-1     By:  Truan                                              S.B. No. 77
 1-2           (In the Senate - Filed December 2, 1998; January 26, 1999,
 1-3     read first time and referred to Special Committee on Border
 1-4     Affairs; March 15, 1999, reported favorably by the following vote:
 1-5     Yeas 4, Nays 0; March 15, 1999, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the making of international cooperation agreements by
 1-9     state agencies and political subdivisions; authorizing the issuance
1-10     of bonds.
1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-12           SECTION 1.  Title 7, Government Code, is amended by adding
1-13     Chapter 792 to read as follows:
1-14             CHAPTER 792.  INTERNATIONAL COOPERATION AGREEMENTS
1-15           Sec. 792.001.  DEFINITIONS.  In this chapter:
1-16                 (1)  "Political subdivision" has the meaning assigned
1-17     by Section 791.003.
1-18                 (2)  "State agency" has the meaning assigned by Section
1-19     783.003.
1-20           Sec. 792.002.  AGREEMENTS WITH MEXICO.  A state agency or a
1-21     political subdivision may, to the extent permitted under federal
1-22     law, enter into an agreement under this chapter with:
1-23                 (1)  the United Mexican States or a political
1-24     subdivision of the United Mexican States;
1-25                 (2)  an agency of the United States; or
1-26                 (3)  an agency or entity that is created under a treaty
1-27     or executive agreement between the United States and the United
1-28     Mexican States.
1-29           Sec. 792.003.  SCOPE OF AGREEMENT.  A state agency or a
1-30     political subdivision may enter into an agreement under this
1-31     chapter only if the agreement is for the accomplishment of a
1-32     function that the agency or political subdivision is authorized to
1-33     perform under other law.
1-34           Sec. 792.004.  TERMS.  (a)  Under an agreement authorized by
1-35     this chapter, a political subdivision or a state agency may:
1-36                 (1)  acquire or dispose of in any manner available to
1-37     the state agency or political subdivision under other law an
1-38     interest in real property in this state or the United Mexican
1-39     States;
1-40                 (2)  use any funds of the state agency or political
1-41     subdivision that are not otherwise dedicated by law for another
1-42     purpose to accomplish the purposes of the agreement;
1-43                 (3)  use any equipment, facilities, or other property
1-44     of the state agency or political subdivision to carry out the
1-45     agreement; or
1-46                 (4)  agree to any other terms that are not prohibited
1-47     under state or federal law.
1-48           (b)  An agreement made under this chapter may not provide for
1-49     the liability of this state or a political subdivision on a bond or
1-50     other obligation issued by the United Mexican States or a political
1-51     subdivision of the United Mexican States.
1-52           Sec. 792.005.  BONDS.  (a)  A state agency described by
1-53     Subsection (b) or a political subdivision may issue bonds or other
1-54     evidence of indebtedness to provide financing for an agreement
1-55     under this chapter to the same extent and in the same manner that
1-56     the agency or political subdivision is authorized to issue the
1-57     bonds or other evidence of indebtedness to perform the activity on
1-58     its own behalf.
1-59           (b)  Only the following state agencies may issue bonds under
1-60     this section:
1-61                 (1)  the Department of Agriculture;
1-62                 (2)  the Texas Department of Economic Development;
1-63                 (3)  the Texas Department of Housing and Community
1-64     Affairs;
 2-1                 (4)  the Texas Public Finance Authority;
 2-2                 (5)  the Texas Turnpike Authority; or
 2-3                 (6)  the Texas Water Development Board.
 2-4           Sec. 792.006.  APPROVAL OF GOVERNOR AND LEGISLATIVE BUDGET
 2-5     BOARD.  An agreement made by a state agency under this chapter that
 2-6     involves the use of money appropriated from the state treasury is
 2-7     not valid unless it is approved by the governor and the Legislative
 2-8     Budget Board.
 2-9           SECTION 2.  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,
2-14     and that this Act take effect and be in force from and after its
2-15     passage, and it is so enacted.
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