By:  Truan                                            S.B. No. 1442
         Line and page numbers may not match official copy.
         Bill not drafted by TLC or Senate E&E.
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the security provided for revenue bonds issued by the
 1-3     Veterans' Land Board.
 1-4     Be it enacted by the Legislature of the State of Texas:
 1-5           SECTION 1.  Section 164.009(a), Texas Natural Resources Code,
 1-6     is amended to read as follows:
 1-7           (a)  The bonds issued under this chapter shall be special
 1-8     obligations of the board.  As security for the payment of the
 1-9     bonds, the board may provide for a pledge of and lien or mortgage
1-10     on:
1-11           (1)  the receipts of all kinds of the veterans' land fund,
1-12     the veterans' housing assistance fund, and the veterans' housing
1-13     assistance fund II determined by the board, on the basis of facts,
1-14     circumstances, and expectations at the time of issuance of the
1-15     bonds, not to be required for the payment of principal of or
1-16     interest on the general obligation bonds issued [under Article III,
1-17     Sections 49-b, 49-b-1, and 49-b-2, of the Texas Constitution] by the
1-18     board to benefit the funds or to make payments with respect to
1-19     principal or interest under a bond enhancement agreement with
1-20     respect to the general obligation bonds if the bonds are issued to
1-21     provide funds to:
1-22           (A)  purchase land and sell land to veterans;
1-23           (B)  [or] [to] make home mortgage loans to veterans; or
 2-1           (C)  provide for one or more veterans homes or veterans
 2-2     cemeteries;
 2-3           (2)  the assets of the veterans' land fund, the veterans'
 2-4     housing assistance fund, or the veterans' housing assistance fund
 2-5     II determined by the board on the basis of facts, circumstances,
 2-6     and expectations at the time of issuance of the bonds not to be
 2-7     required for the purposes of the fund if the bonds are issued to
 2-8     provide funds to purchase land and sell land to veterans, [or] to
 2-9     make home mortgage loans to veterans, or provide one or more
2-10     veterans homes and veterans cemeteries;
2-11           (3)  the payments and repayments received by the board from
2-12     the board's financial assistance provided under this chapter;
2-13           (4)  other program revenues;
2-14           (5)  other available revenues of the board; and
2-15           (6)  one or more veterans homes and veterans cemeteries.
2-16           SECTION 2.  This Act shall take effect on the date on which
2-17     constitutional amendment proposed by S.J.R. No. 38, 77th
2-18     Legislature, Regular Session, 2001, takes effect.  If that
2-19     amendment is not approved by the voters, this Act shall have no
2-20     effect.