By: Gattis H.B. No. 1211
A BILL TO BE ENTITLED
relating to the use of proceeds of political subdivision bonds
approved at an election.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 1251.001-1251.006, Government Code,
are designated as Subchapter A, Chapter 1251, Government Code, and
a heading for Subchapter A is added to read as follows:
SUBCHAPTER A. BOND ELECTION REQUIREMENTS
SECTION 2. Chapter 1251, Government Code, is amended by
adding Subchapter B to read as follows:
SUBCHAPTER B. CONSEQUENCES OF BOND ELECTION
Sec. 1251.051. USE OF PROCEEDS. A county, municipality, or
other political subdivision of this state may use the proceeds of
bonds, the issuance of which is approved at an election, only for
the purpose or purposes stated in the proposition approved at the
SECTION 3. Section 1251.051, Government Code, as added by
this Act, applies only to the proceeds of bonds obligated and used
on or after September 1, 2005. Bond proceeds obligated or used
before September 1, 2005, are governed by the law in effect at the
time the proceeds were obligated or used, and the former law is
continued in effect for that purpose.
SECTION 4. This Act takes effect September 1, 2005.