79R4624 KEL-D

By:  Janek                                                        S.B. No. 1041



A BILL TO BE ENTITLED

AN ACT

relating to authorizing the issuance of revenue bonds by The 
University of Texas System for an adult stem cell research center at 
the Texas Medical Center.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.   Subchapter B, Chapter 55, Education Code, is 
amended by adding Section 55.1752 to read as follows:
	Sec. 55.1752.  THE UNIVERSITY OF TEXAS SYSTEM; ADDITIONAL 
BONDS.  (a)  In addition to the other authority granted by this 
subchapter, the board of regents of The University of Texas System 
may acquire, purchase, construct, improve, renovate, enlarge, or 
equip property, buildings, structures, facilities, roads, or 
related infrastructure for The University of Texas Health Science 
Center at Houston to establish an adult stem cell research center at 
the Texas Medical Center to conduct stem cell and related 
biomedical research in collaboration with other participating 
institutions and entities, to be financed by the issuance of bonds 
in accordance with this subchapter, including bonds issued in 
accordance with a systemwide revenue financing program and secured 
as provided by that program in an aggregate principal amount not to 
exceed $41.1 million.
	(b)  The board may pledge irrevocably to the payment of the 
bonds authorized by 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.  The amount of a 
pledge made under this subsection may not be reduced or abrogated 
while the bonds for which the pledge is made, or bonds issued to 
refund those bonds, are outstanding.
	(c)  If sufficient funds are not available to the board to 
meet its obligations under this section, the board may transfer 
funds among institutions, branches, and entities of The University 
of Texas System to ensure the most equitable and efficient 
allocation of available resources for each institution, branch, or 
entity to carry out its duties and purposes.
	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, 2005.