HBA-JLV H.B. 2329 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 2329 By: Solis, Jim Financial Institutions 3/22/2001 Introduced BACKGROUND AND PURPOSE It is common practice for local governments to hire outside legal counsel to approve bonding provisions to ensure bonds are in compliance with the law. Often, counsel retained for these purposes are from a large firm headquartered in different parts of the state from which the bonds are being issued. Requiring a local government to select legal counsel in the area in which the issuer is located could provide more opportunities for local businesses associated with bonding. House Bill 2329 requires a local government to select legal counsel located in the area in which the issuer is located. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. ANALYSIS House Bill 2329 amends the Government Code to require an issuer to select legal counsel located in the area in which the issuer is located for legal services needed in connection with public securities after the public securities have been issued. EFFECTIVE DATE September 1, 2001.