By:  Grusendorf                                                   H.B. No. 3329



A BILL TO BE ENTITLED

AN ACT

relating to the issuance of bonds under the Higher Education 
Authority Act. 
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Subsection 53.49(a), Education Code, is amended 
to read as follows:
	(a)  In the same manner that a corporation may issue bonds 
under this chapter for an institution of higher education, a 
corporation created under Section 53.35(b) may issue bonds to 
finance or refinance educational facilities to be used by a school 
that:
		(1)  is located in a county with a population of more 
than 1,800,000;       
		(2)  is located within three miles of an area 
designated as an enterprise zone under Chapter 2303, Government 
Code;
		(3)  provides primary and secondary education to at 
least 1,000 students;   
		(4)  is:                                                               
			(A)  accredited by an organization approved by the 
Texas Education Agency for private school accreditation; or
			(B)  under construction or newly constructed and 
is seeking accreditation by a recognized accrediting body as 
defined Subsection 53.02(12); and
		(5)  is owned and operated by a corporation created 
under the Texas Non-Profit Corporation Act (Article 1391-1.01 et 
seq., Vernon's Texas Civil Statutes).
	SECTION 2.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect September 1, 2003.