BILL ANALYSIS
Senate Research Center S.B. 794
79R6273 KEL-F By: Estes
AUTHOR'S/SPONSOR'S STATEMENT OF INTENT
S.B. 794 authorizes the issuance of tuition revenue bonds in an amount not to exceed $94 million by the University of North Texas. Fifty million dollars of the bonds will be used for a new College of Business Administration. The other $44 million will be used for the renovation of ten other buildings on campus, including the biology, chemistry, physics, information science, west campus, power plant, administration, research, and art and music buildings. The additional space is needed to keep up with the demand of growth for the University of North Texas.
RULEMAKING AUTHORITY
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Subchapter B, Chapter 55, Education Code, by adding Section 55.1755, as follows:
Sec. 55.175. UNIVERSITY OF NORTH TEXAS SYSTEM; ADDITIONAL BONDS. (a) Authorizes the board of regents (board) of the University of North Texas System, in addition to the other authority granted by this subchapter, to acquire, purchase, construct, improve, renovate, enlarge, or equip property, building, structures, or other facilities, including roads and related infrastructure, for the University of North Texas, to be financed by the issuance of certain bonds, in an aggregate principal amount not to exceed $94 million.
(b) Authorizes the board to pledge irrevocably to the payment of bonds authorized this section all or any part of the revenue funds of an institution, branch, or entity of the University of Texas System, including student tuition charges. Prohibits the amount of a pledge made under this subsection from being reduced or abrogated while the bonds for which the pledge is made, or bonds issues to refund those bonds, are outstanding.
(c) Authorizes the board, if insufficient funds are available to meet bond obligations under this section, to transfer funds among institutions, branches, and entities of the University of North Texas System.
SECTION 2. Effective date: upon passage or September 1, 2005.