(a) A local government may make a payment under a risk retention group agreement from proceeds of taxes imposed by and revenues of the local government, including:
(1) ad valorem, sales and use, and hotel occupancy taxes;
(2) revenue derived by the local government from any system or other specified source; or
(3) any combination of taxes and revenue.
(b) A local government that does not have authority to impose ad valorem taxes for payment of contractual debts may make a payment under a risk retention group agreement from an annual appropriation of proceeds of ad valorem taxes the local government is authorized to impose.

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Terms Used In Texas Government Code 2259.063

  • Appropriation: The provision of funds, through an annual appropriations act or a permanent law, for federal agencies to make payments out of the Treasury for specified purposes. The formal federal spending process consists of two sequential steps: authorization