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A BILL TO BE ENTITLED
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AN ACT
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relating to allowing an issuer of certificates of obligation to |
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delegate the authority to effect the sale of the certificates. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter C, Chapter 271, Local Government |
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Code, is amended by adding Section 271.0471 to read as follows: |
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Sec. 271.0471. DELEGATION OF AUTHORITY. (a) In connection |
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with the authorization of the issuance of certificates, the |
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governing body of an issuer may: |
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(1) authorize the maximum principal amount of |
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certificates that may be issued and the maximum rate of interest to |
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be borne by the certificates; |
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(2) recite the purposes for which the certificates are |
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to be issued; and |
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(3) delegate to any officer or employee of the issuer |
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the authority to effect the sale of the certificates. |
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(b) In exercising the authority delegated by the governing |
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body under Subsection (a)(3), the officer or employee may establish |
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the terms and other details related to the issuance and sale or |
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exchange of the certificates, including: |
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(1) the form and designation of the certificates; |
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(2) the principal amount of the certificates; |
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(3) the dates, price, interest rates, interest payment |
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dates, principal payment dates, and redemption features of the |
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certificates; and |
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(4) any other details relating to the issuance and |
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sale or exchange of the certificates as specified by the governing |
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body of the issuer in the proceedings authorizing the issuance of |
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the certificates. |
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(c) A finding or determination made by an officer or |
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employee acting under the authority delegated to the officer or |
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employee has the same force and effect as a finding or determination |
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made by the governing body of the issuer. |
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SECTION 2. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2007. |