Texas Transportation Code 201.115 – Borrowing Money
(a) The commission may authorize the department to borrow money from any source to carry out the functions of the department.
(b) A loan under this section may be in the form of an agreement, note, contract, or other form as determined by the commission and may contain any provisions the commission considers appropriate, except:
(1) the term of the loan may not exceed two years;
(2) the amount of the loan, combined with any amounts outstanding on other loans under this section, may not exceed an amount that is two times the average monthly revenue deposited to the state highway fund for the 12 months preceding the month of the loan; and
(3) the loan may not create general obligation of the state and is payable only as authorized by legislative appropriation.
Terms Used In Texas Transportation Code 201.115
- 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
- Contract: A legal written agreement that becomes binding when signed.
- Month: means a calendar month. See Texas Government Code 312.011
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
(c) If the department borrows money by the issuance of notes, the notes shall be considered a state security for purposes of Chapter 1231, Government Code.
(d) Notwithstanding § 222.001, money in the state highway fund may be used to repay a loan under this section, if appropriated by the legislature for that purpose.