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A BILL TO BE ENTITLED
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AN ACT
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relating to approval of the issuance of Tax and Revenue |
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Anticipation Notes. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 404.121(4), Government Code, is amended |
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to read as follows: |
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(4) "Tax and revenue anticipation notes" and "notes" mean |
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notes issued under this section, including any commercial paper |
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notes and any obligations under credit agreements entered into by |
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the comptroller in connection with the issuance of the notes. |
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SECTION 2. Section 404.124, Government Code, is amended by |
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amending Subsections (b) and (b-1) and adding Subsection (b-2) to |
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read as follows: |
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(b) Based on the forecast and testimony provided at the |
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hearing required by Subsection (a), the committee may approve the |
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issuance of notes, subject to Subsections (b-1), (b-2) and (c), and |
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the maximum outstanding balance of notes in any fiscal year. The |
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outstanding balance may not exceed the maximum temporary cash |
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shortfall forecast by the comptroller for any period in the fiscal |
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year. The comptroller may not issue notes in excess of the amount |
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approved. |
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(b-1) Except as provided in Subsection (b-2), the [The] |
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committee's approval of the issuance of notes granted under |
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Subsection (b) expires on the 91st day after the date the hearing |
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conducted under Subsection (a) concludes. The comptroller may not |
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issue notes on or after the 91st day unless the comptroller submits |
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another general revenue cash flow shortfall forecast to the |
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committee and the committee subsequently grants approval for the |
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issuance of the notes in accordance with the procedure required by |
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Subsections (a) and (b). Each subsequent approval expires on the |
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91st [61st] day after the date the hearing on which the approval was |
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based concludes. |
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(b-2) The committee's approval of the issuance of |
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commercial paper notes expires on the last day of the fiscal year |
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for which the tax and revenue anticipation notes are approved, |
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providing for the issuance and rollover of commercial paper notes |
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during that fiscal year. All commercial paper notes must mature and |
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be paid in full in accordance with Section 404.123(d). |
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SECTION 3. 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, 2015. |