Texas Water Code 17.968 – Sale of Political Subdivision Bonds by the Board; Use of Proceeds
(a) The board may sell or dispose of political subdivision bonds or other assets purchased with money in the fund to any person, including the Texas Water Resources Finance Authority, or to another fund administered by the board, including the state water implementation revenue fund for Texas, and the board, in such manner as it shall determine, may apply the proceeds of the sale of political subdivision bonds or other assets held by the board to:
(1) pay debt service on water financial assistance bonds issued under this subchapter; or
(2) provide financial assistance to political subdivisions for any one or more of the purposes authorized by § 49-d-8, Article III, Texas Constitution.
(a-1) A sale or disposition of political subdivision bonds or other assets may not cause general obligation bonds that are payable from the fund or from an account in the fund to no longer be self-supporting for purposes of § 49-j(b), Article III, Texas Constitution, as determined by the board.
Terms Used In Texas Water Code 17.968
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- 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.
- Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
(b) The board shall sell the political subdivision bonds at the price and under the terms that it determines to be reasonable.