1-1     By:  Haywood                                          S.B. No. 1449
 1-2           (In the Senate - Filed March 8, 2001; March 13, 2001, read
 1-3     first time and referred to Committee on Veteran Affairs and
 1-4     Military Installations; March 29, 2001, reported favorably by the
 1-5     following vote:  Yeas 4, Nays 0; March 29, 2001, sent to printer.)
 1-6                            A BILL TO BE ENTITLED
 1-7                                   AN ACT
 1-8     relating to the execution of bonds and the sale of loans by the
 1-9     Veterans' Land Board.
1-10           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-11           SECTION 1.  Subsection (b), Section 161.116, Natural
1-12     Resources Code, is amended to read as follows:
1-13           (b)  The bonds shall be signed and executed as the board
1-14     provides in the resolution or order authorizing the issuance of [by
1-15     the chairman and the executive secretary of the board and the seal
1-16     of the board shall be impressed on the bonds.  In addition, the
1-17     bonds shall be signed by the governor and attested by the Secretary
1-18     of State with the state seal impressed on] the bonds.
1-19           SECTION 2.  Section 162.005, Natural Resources Code, is
1-20     amended to read as follows:
1-21           Sec. 162.005.  SALE OF LOANS.  (a)  Notwithstanding any other
1-22     provision of this chapter, the board may sell at public or private
1-23     sale, with or without public bidding, any or all of the loans in
1-24     the fund.  Proceeds from the sale shall be deposited in the fund
1-25     and otherwise applied in the manner provided by this chapter,
1-26     except that at the direction of the board the sale proceeds may be
1-27     used by the board, together with other available money, to
1-28     discharge, pay, or redeem, in whole or in part, outstanding bonds
1-29     issued by the board under this chapter.
1-30           (b)  In the resolution of the board that authorizes the sale
1-31     of any or all of the loans in the fund, the board may also
1-32     authorize one or more designated officers or employees of the board
1-33     to act on the board's behalf in:
1-34                 (1)  conducting the sale of the loans; and
1-35                 (2)  determining:
1-36                       (A)  the purchaser of the loans; and
1-37                       (B)  the terms of the purchase agreement.
1-38           (c)  A resolution that authorizes an officer or employee of
1-39     the board to act on the board's behalf as provided by Subsection
1-40     (b) must establish the maximum principal amount of the loans to be
1-41     sold and the minimum sales price of the loans to be sold, expressed
1-42     as a percentage of the principal amount of the loans.
1-43           SECTION 3.  Subsection (b), Section 162.036, Natural
1-44     Resources Code, is amended to read as follows:
1-45           (b)  The bonds shall be signed and executed as the board
1-46     provides in the resolution or order authorizing the issuance of [by
1-47     the chairman and the executive secretary of the board and the seal
1-48     of the board shall be impressed on the bonds.  In addition, the
1-49     bonds shall be signed by the governor and attested by the secretary
1-50     of state with the state seal impressed on] the bonds.
1-51           SECTION 4.  This Act takes effect September 1, 2001.
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