(a) An order or resolution of the board authorizing the issuance of obligations, including refunding obligations, may provide for the flow of funds and the establishment and maintenance of the interest and sinking fund, the reserve fund, and other funds.
(b) The order or resolution may:
(1) prohibit the issuance of additional obligations payable from the pledged revenues; or
(2) preserve the right of the board to issue additional obligations that are on a parity with or subordinate to the lien and pledge on the revenue being used to support the obligations being issued pursuant to the order or resolution.

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Terms Used In Texas Government Code 1232.118

  • Lien: A claim against real or personal property in satisfaction of a debt.

(c) The order or resolution may contain any other provision or covenant determined by the board.
(d) The board may make covenants with respect to the obligations, the pledged revenues, and the operation and maintenance of the buildings or equipment financed under this chapter.