By Counts, et al.                                     H.J.R. No. 82
         77R7019 MCK-F                           
                                 A JOINT RESOLUTION
 1-1     proposing a constitutional amendment authorizing the Veterans' Land
 1-2     Board to issue additional general obligation bonds and to use
 1-3     certain assets in certain funds to provide for veterans homes and
 1-4     veterans cemeteries and to make certain payments on revenue bonds.
 1-5           BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-6           SECTION 1. Section 49-b, Article III, Texas Constitution, is
 1-7     amended by amending Subsections (r) and (s) and adding Subsection
 1-8     (w) to read as follows:
 1-9           (r)  Receipts of all kinds of the Veterans' Land Fund, the
1-10     Veterans' Housing Assistance Fund, or the Veterans' Housing
1-11     Assistance Fund II that the Board determines are not required for
1-12     the payment of principal of and interest on the general obligation
1-13     bonds benefiting those funds, including payments by the Board under
1-14     a bond enhancement agreement with respect to principal of or
1-15     interest on the bonds, may be used by the Board, to the extent not
1-16     inconsistent with the proceedings authorizing the bonds to:
1-17                 (1)  make temporary transfers to another of those funds
1-18     to avoid a temporary cash deficiency in that fund or make a
1-19     transfer to another of those funds for the purposes of that fund;
1-20                 (2)  pay the principal of and interest on general
1-21     obligation bonds issued to provide money for another of those funds
1-22     or make bond enhancement payments with respect to the bonds; or
1-23                 (3)  pay the principal of and interest on revenue bonds
1-24     of the Board or make bond enhancement payments with respect to the
 2-1     bonds [if the bonds are issued to provide funds to purchase lands
 2-2     and sell lands to veterans or make home mortgage loans to
 2-3     veterans].
 2-4           (s)  If the Board determines that assets from the Veterans'
 2-5     Land Fund, the Veterans' Housing Assistance Fund, or the Veterans'
 2-6     Housing Assistance Fund II are not required for the purposes of the
 2-7     fund, the Board may:
 2-8                 (1)  transfer the assets to another of those funds;
 2-9                 (2)  [or] use the assets to secure revenue bonds issued
2-10     by the Board; or
2-11                 (3)  use the assets to construct, acquire, own,
2-12     operate, maintain, enlarge, improve, furnish, or equip veterans
2-13     homes or veterans cemeteries [under this section].
2-14           (w)  In addition to the general obligation bonds authorized
2-15     to be issued and to be sold by the Veterans' Land Board by previous
2-16     constitutional amendments, the Veterans' Land Board may provide
2-17     for, issue, and sell general obligation bonds of the state to
2-18     provide home mortgage loans to veterans of the state.  The
2-19     principal amount of outstanding bonds authorized by this subsection
2-20     may not at any one time exceed $1 billion.  The bond proceeds shall
2-21     be deposited in or used to benefit and augment the Veterans'
2-22     Housing Assistance Fund II and shall be administered and invested
2-23     as provided by law.  Payments of principal and interest on the
2-24     bonds, including payments made under a bond enhancement agreement
2-25     with respect to principal of or interest on the bonds, shall be
2-26     made from the sources and in the manner provided by this section
2-27     for general obligation bonds issued for the benefit of the
 3-1     Veterans' Housing Assistance Fund II.
 3-2           SECTION 2. This proposed constitutional amendment shall be
 3-3     submitted to the voters at an election to be held November 6, 2001.
 3-4     The ballot shall be printed to permit voting for or against the
 3-5     proposition:  "The constitutional amendment authorizing the
 3-6     Veterans' Land Board to issue up to $1 billion in general
 3-7     obligation bonds payable from the general revenues of the state for
 3-8     veterans' housing assistance and to use assets in certain veterans'
 3-9     land and veterans' housing assistance funds to provide veterans
3-10     homes for the aged or infirm and veterans cemeteries and to make
3-11     principal, interest, and bond enhancement payments on revenue
3-12     bonds."