2021S0136-1 03/02/21

By: Johnson, Springer S.B. No. 2091

A BILL TO BE ENTITLED

AN ACT

relating to the issuance of public securities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 1201.022, Government Code, is amended by adding Subsections (c) and (d) to read as follows:

(c) In a proceeding authorizing the issuance of a public security, the issuer may exercise authority provided by Section 1371.053.

(d) Before a public security may be delivered under the authority provided by Subsection (c), the security must be rated by a nationally recognized rating agency for public securities in one of the three highest rating categories for a short-term debt instrument or one of the four highest rating categories for a long-term debt instrument.

SECTION 2. Section 1202.003, Government Code, is amended by adding Subsections (d) and (e) to read as follows:

(d) A document submitted by an issuer as part of a record of proceedings may be executed by:

(1) manual signature;

(2) electronic signature; or

(3) both manual and electronic signatures.

(e) In this section, "electronic signature" has the meaning assigned by Section 322.002, Business & Commerce Code.

SECTION 3. The changes in law made by this Act apply only to a public security issued on or after the effective date of this Act.

SECTION 4. 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, 2021.