1-1 By: Wentworth S.B. No. 1171
1-2 (In the Senate - Filed March 10, 1999; March 11, 1999, read
1-3 first time and referred to Committee on Natural Resources;
1-4 April 15, 1999, reported favorably by the following vote: Yeas 5,
1-5 Nays 0; April 15, 1999, sent to printer.)
1-6 A BILL TO BE ENTITLED
1-7 AN ACT
1-8 relating to the power and authority of the Upper Guadalupe River
1-9 Authority to borrow money for corporate purposes.
1-10 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11 SECTION 1. Section 10(c), Chapter 5, page 1062, Special
1-12 Laws, Acts of the 46th Legislature, 1939 (Article 8280-124,
1-13 Vernon's Texas Civil Statutes), is amended to read as follows:
1-14 Sec. 10(c). (a) The Upper Guadalupe River Authority may
1-15 borrow money for any corporate purpose or combination of corporate
1-16 purposes pursuant to the methods and procedures specifically
1-17 provided by this chapter or by general law.
1-18 (b) The board of directors, without the necessity of an
1-19 election, may borrow money on negotiable notes of the Authority to
1-20 be paid solely from the revenues of the Authority derived from the
1-21 ownership of all or any designated part of the Authority's works,
1-22 plant, improvements, facilities, equipment, or water rights after
1-23 deduction of the reasonable cost of maintaining and operating the
1-24 facilities.
1-25 (c) [A note issued under this section may not exceed $1
1-26 million.]
1-27 [(d)] The notes may mature over a term of not more than 40
1-28 [20] years and bear interest at a rate of not more than 10 percent.
1-29 (d) [(e)] The notes may be first or subordinate lien notes
1-30 within the discretion of the board of directors, but no obligation
1-31 may ever be a charge on the property of the Authority or on the
1-32 taxes levied or collected by the Authority, but shall be a charge
1-33 on the revenues pledged for the payment of the obligation. No part
1-34 of the obligation may ever be paid from the taxes levied or
1-35 collected by the Authority.
1-36 (e) [(f)] As the Authority is a special water authority,
1-37 Section 49.153, Water Code, does not apply to any revenue note
1-38 issued by the Authority.
1-39 SECTION 2. (a) The proper and legal notice of the intention
1-40 to introduce this Act, setting forth the general substance of this
1-41 Act, has been published as provided by law, and the notice and a
1-42 copy of this Act have been furnished to all persons, agencies,
1-43 officials, or entities to which they are required to be furnished
1-44 by the constitution and other laws of this state, including the
1-45 governor, who has submitted the notice and Act to the Texas Natural
1-46 Resource Conservation Commission.
1-47 (b) The Texas Natural Resource Conservation Commission has
1-48 filed its recommendations relating to this Act with the governor,
1-49 lieutenant governor, and speaker of the house of representatives
1-50 within the required time.
1-51 (c) All requirements of the constitution and laws of this
1-52 state and the rules and procedures of the legislature with respect
1-53 to the notice, introduction, and passage of this Act are fulfilled
1-54 and accomplished.
1-55 * * * * *