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A BILL TO BE ENTITLED
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AN ACT
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relating to the definition of "closing" for purposes of certain |
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private activity bonds. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 1372.001(3), Government Code, is amended |
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to read as follows: |
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(3) "Closing" means the [issuance and] delivery of a |
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bond by an issuer in exchange for the required payment for the bond. |
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The term includes delivery of a bond in exchange for a partial |
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payment for the incremental funding of the bond in accordance with |
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the terms of the bond, provided that the partial payment is not less |
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than 10 percent of the required payment for the bond. The term does |
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not include a delivery of a bond if expenditure of the proceeds of |
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the bond is conditioned on obtaining credit enhancement in support |
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of the bond. |
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SECTION 2. This Act takes effect September 1, 2019. |