Texas Local Government Code 293.051 – Revenue Bonds
(a) The authority may issue negotiable revenue bonds to provide funds to carry out its purposes.
(b) The bonds must:
(1) be authorized by a board resolution;
(2) be authorized by an election that is:
(A) called by a resolution of the board;
(B) held throughout the authority; and
(C) called, held, and publicized in the manner provided by Chapter 1251, Government Code;
(3) be signed by the board president or vice-president and countersigned by the board secretary, either by actual or printed facsimile signature;
(4) include the authority seal;
(5) mature serially or otherwise in 40 years or less;
(6) be payable from and secured by a pledge of net revenues from ownership or operation of authority property; and
(7) be sold at a price and under terms that the board considers the most advantageous and the most reasonably obtainable.
Terms Used In Texas Local Government Code 293.051
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Personal property: All property that is not real property.
- Property: means real and personal property. See Texas Government Code 311.005
- Signature: includes the mark of a person unable to write, and "subscribe" includes the making of such a mark. See Texas Government Code 312.011
- Signed: includes any symbol executed or adopted by a person with present intention to authenticate a writing. See Texas Government Code 311.005
(c) The bonds may:
(1) be secured, in addition to the security prescribed in Subsection (b)(6), by a mortgage or deed of trust on authority real or personal property;
(2) bear interest at a rate not to exceed the interest rate prescribed by Chapter 1204, Government Code;
(3) be made callable before maturity at the times and prices prescribed in the bond resolution; and
(4) be made registrable as to principal, interest, or both.