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A BILL TO BE ENTITLED
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AN ACT
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relating to local government approval of private activity bonds |
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issued by housing finance corporations. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter E, Chapter 394, Local Government |
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Code, is amended by adding Section 394.058 to read as follows: |
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Sec. 394.058. APPROVAL OF BONDS BY LOCAL GOVERNMENT. (a) |
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Notwithstanding Chapter 1372, Government Code, or any other law, a |
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private activity bond used to finance all or part of a residential |
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development under this chapter may not be issued unless the |
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issuance is approved by all local governments whose boundaries |
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contain the development. |
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(b) A local government whose boundaries contain a proposed |
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residential development with respect to which the issuance of a |
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private activity bond is sought: |
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(1) must consider any public comment made at a hearing |
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required by the Tax Equity and Fiscal Responsibility Act of 1982 |
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(TEFRA); and |
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(2) following the hearing, may refuse to approve the |
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issuance of a private activity bond for purposes of financing the |
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development. |
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SECTION 2. Section 394.9025(b), Local Government Code, is |
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repealed. |
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SECTION 3. This Act takes effect September 1, 2013. |