reglab/statecodes huggingface dataset:
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.014. Meetings; Administrative Procedure

Sec. 58.014.  MEETINGS;  ADMINISTRATIVE PROCEDURE.  (a)  The board shall hold regular and special meetings at times specified by the chairman.
(b)  A majority of the voting membership of the board constitutes a quorum.  The board shall act by adopting resolutions.  Except as otherwise provided by Sections 58.021(c) and 58.0211(a), the affirmative vote of a majority of the directors present is necessary to adopt a resolution.
(c)  The board shall develop and implement policies that provide the public with a reasonable opportunity to appear before the board and to speak on any issue under the jurisdiction of the board.
(d)  The board is subject to Chapter 551, Government Code, and Chapter 2001, Government Code.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.  Amended by Acts 1995, 74th Leg., ch. 419, Sec. 1.14, 1.15, eff. Sept. 1, 1995;  Acts 2001, 77th Leg., ch. 26, Sec. 6, eff. May 2, 2001.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.015. Administration

Sec. 58.015.  ADMINISTRATION.  (a)  The commissioner with the assistance of the board shall administer the Texas Agricultural Finance Authority.  The board shall reimburse the Department of Agriculture for expenses incurred as required by the business of the authority with the approval of the board.
(b)  The commissioner may, with the approval of the board, appoint, employ, contract with, and provide for the compensation of employees, consultants, and agents including engineers, attorneys, management consultants, financial advisors, indexing agents, placement agents, and other experts as the business of the authority may require.
(c)  The commissioner may, with the approval of the board, employ an administrator of the authority.  The administrator may attend all meetings and participate, but not vote, in all proceedings of the authority.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1.  Amended by Acts 1995, 74th Leg., ch. 419, Sec. 5.12, eff. Sept. 1, 1995.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.016. Fiscal Accounting of Administration

Sec. 58.016.  FISCAL ACCOUNTING OF ADMINISTRATION.  (a)  All funds acquired under this chapter may be used for administration of this chapter, except that funds representing the proceeds of bonds issued by the authority or pledged to the payment of the bonds of the authority shall be held and used as provided in the resolution or indenture authorizing the bonds.
(b)  On or before August 1 of each year, the administrator shall file with the board the proposed annual budgets for the young farmer loan guarantee program under Subchapter E, the farm and ranch finance program under Chapter 59, and the programs administered by the board under this chapter for the succeeding fiscal year.  If there is no administrator, the commissioner shall assume the duties of the administrator in connection with preparation of the budget.  The budget must set forth the general categories of expected expenditures out of revenues and income of the funds administered by the authority and the amount on account of each.  On or before September 1 of each year, the board shall consider the proposed annual budget and may approve it or amend it.   If for any reason the authority does not adopt an annual budget before September 2, no expenditures may be made from the funds until the board approves the annual budget.  The authority may adopt an amended annual budget for the current fiscal year.
(c)  The authority shall have an audit of its books and accounts for each fiscal year by a certified public accountant.  The cost of the audit is an expense of the authority.
(d)  On or before January 1 of each year, the authority shall prepare a report of its activities for the preceding fiscal year.  The report must set forth a complete operating and financial statement.
(e)  The board members, administrator, and staff of the authority may not be personally liable for bonds issued or contracts executed by the authority and shall be exculpated and fully indemnified in the documents relating to any bonds except in the case of fraudulent or wilful misconduct on the part of the individual seeking exculpation or indemnification.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.  Amended by Acts 1989, 71st Leg., ch. 584, Sec. 67, eff. Sept. 1, 1989;  Acts 1995, 74th Leg., ch. 419, Sec. 5.13, eff. Sept. 1, 1995;  Acts 1999, 76th Leg., ch. 1459, Sec. 9, eff. June 19, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 446 (S.B. 772), Sec. 1, eff. June 14, 2013.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.017. Performance Measures

Sec. 58.017.  PERFORMANCE MEASURES.  The Board, in conjunction with the Legislative Budget Board and the Office of the Governor, shall develop a minimum of two performance measures that provide information on the benefits of the authority's loan programs.  The performance measures shall be included in the report required under Section 58.016(d) of this code or as a component of the measures incorporated into the General Appropriations Act.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 5.14, eff. Sept. 1, 1995.  Amended by Acts 1997, 75th Leg., ch. 1065, Sec. 1, eff. Sept. 1, 1997;  Acts 1997, 75th Leg., ch. 1122, Sec. 17, eff. Sept. 1, 1997;  Acts 2003, 78th Leg., ch. 785, Sec. 71, eff. Sept. 1, 2003.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0171. Review of Department Plans and Budget Request

Sec. 58.0171.  REVIEW OF DEPARTMENT PLANS AND BUDGET REQUEST.  The department shall provide the board with sufficient opportunity to review and comment on the finance program-related portions of the department strategic plan and the department biennial appropriation request, and any revision of a finance program-related portion of the plan or request, before submission to the legislature.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 5.15, eff. Sept. 1, 1995.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0172. Board Conflict of Interest

Sec. 58.0172.  BOARD CONFLICT OF INTEREST.  (a)  An officer, employee, or paid consultant of a Texas trade association in the field of agriculture may not be a member of the board.
(b)  A person who is the spouse of an officer, manager, or paid consultant of a Texas trade association in the field of agriculture may not be a member of the board.
(c)  For the purposes of this section, a Texas trade association is a nonprofit, cooperative, and voluntarily joined association of business or professional competitors in this state designed to assist its members and its industry or profession in dealing with mutual business or professional problems and in promoting their common interest.
(d)  A person may not serve as a member of the board or act as the general counsel to the board if the person is required to register as a lobbyist under Chapter 305, Government Code, because of the person's activities for compensation on behalf of a profession related to the operation of the board.
(e)  A lending institution is not ineligible to participate in the programs administered by the board solely because a member of the board is also an officer, director, or employee of the lending institution, provided that a board member shall recuse himself or herself from any action taken by the board on an application involving a lending institution by which the board member is employed or for which the board member serves as an officer or director.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 1.16, eff. Sept. 1, 1995.  Amended by Acts 1999, 76th Leg., ch. 1459, Sec. 10, eff. June 19, 1999.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0173. Removal of Board Member

Sec. 58.0173.  REMOVAL OF BOARD MEMBER.  (a)  It is a ground for removal from the board if a member:
(1)  does not have at the time of appointment the qualifications required by Section 58.012;
(2)  does not maintain during service on the board the qualifications required by Section 58.012;
(3)  violates a prohibition established by Section 58.0172;
(4)  cannot because of illness or disability discharge the member's duties for a substantial part of the term for which the member is appointed;  or
(5)  is absent from more than half of the regularly scheduled board meetings that the member is eligible to attend during a calendar year unless the absence is excused by majority vote of the board.
(b)  The validity of an action of the board is not affected by the fact that it is taken when a ground for removal of a board member exists.
(c)  Repealed by Acts 2009, 81st Leg., R.S., Ch. 506, Sec. 1.21(2), eff. September 1, 2009.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 1.16, eff. Sept. 1, 1995.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.21(2), eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0174. Standards of Conduct

Sec. 58.0174.  STANDARDS OF CONDUCT.  The commissioner or the commissioner's designee shall provide to members of the board, as often as necessary, information regarding their qualification for office under this chapter and their responsibilities under applicable laws relating to standards of conduct for state officers.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 1.16, eff. Sept. 1, 1995.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0175. Separation of Responsibilities

Sec. 58.0175.  SEPARATION OF RESPONSIBILITIES.  The board shall develop and implement policies that clearly separate the policymaking responsibilities of the board and the management responsibilities of the commissioner and the staff of the department.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 1.16, eff. Sept. 1, 1995.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0176. Board Member Training

Sec. 58.0176.  BOARD MEMBER TRAINING.  (a)  Before a member of the board may assume the member's duties, the member must complete at least one course of the training program established under this section.
(b)  A training program established under this section shall provide information to the member regarding:
(1)  the enabling legislation that created the board;
(2)  the programs operated by the board;
(3)  the role and functions of the board;
(4)  the rules of the board;
(5)  the current budget for funds the board administers;
(6)  the results of the most recent formal audit of the board;
(7)  the requirements of:
(A)  Chapter 551, Government Code;
(B)  Chapter 552, Government Code;  and
(C)  Chapter 2001, Government Code;
(8)  the requirements of the conflict of interest laws and other laws relating to public officials;  and
(9)  any applicable ethics policies adopted by the department or the Texas Ethics Commission.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 1.16, eff. Sept. 1, 1995.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.07, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter B. Administration › Section 58.0177. Appointed Member Preparation Program

Sec. 58.0177.  APPOINTED MEMBER PREPARATION PROGRAM.  The board shall provide each appointed member of the board financial training adequate to prepare the member for the responsibilities of board membership before the member may begin service.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 5.16, eff. Sept. 1, 1995.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter C. Purposes and Powers › Section 58.0211. Loan Limits

Sec. 58.0211.  LOAN LIMITS.  (a)  The authority may make, guarantee, insure, coinsure, or reinsure a loan up to the limits in this section and Section 58.021 for a single eligible business which already has an active loan if the action is approved by a two-thirds vote of the members present.
(b)  Repealed by Acts 2009, 81st Leg., R.S., Ch. 506, Sec. 1.21(3), eff. September 1, 2009.
(c)  The authority may not guarantee more than 90 percent of a loan to an eligible agricultural business made by a private lender.
Added by Acts 1995, 74th Leg., ch. 419, Sec. 5.18, eff. Sept. 1, 1995.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.21(3), eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter C. Purposes and Powers › Section 58.023. Programs Rules

Sec. 58.023.  PROGRAMS RULES.  (a)  The board shall adopt rules to establish criteria for determining which eligible agricultural businesses may participate in programs that may be established by the board.  The board's rules must state that the policy of the authority is to provide programs for providing financial assistance to eligible agricultural businesses that the board considers to present a reasonable risk and have a sufficient likelihood of repayment.  In establishing criteria for participation, the board shall give priority to eligible agricultural businesses that include producers of Texas agricultural products in the ownership of the businesses.  The board shall adopt collateral or security requirements to ensure the full repayment of that financial assistance and the solvency of any program implemented under this chapter.  The board shall approve any and all extensions of that financial assistance under this chapter, provided that the board may delegate this approval authority to the administrator or the commissioner.
(b)  The board shall also adopt rules to establish criteria for lenders that may participate in the programs that may be established by the board.
(c)  Eligible agricultural businesses or lenders participating in the authority's programs shall pay the costs of applying for, participating in, and administering and servicing the program, in amounts the board considers reasonable and necessary.  The board shall charge an administrative fee for guaranteeing a loan under Subchapter E that may not be less than one percent of the amount of the guaranteed loan.  		 Any costs not paid by the eligible agricultural businesses or lenders shall be paid from the funds of the authority, including those funds established from bond proceeds.
(d)  The board by rule shall adopt an agreement to be used between a lender and an approved applicant under which the authority makes a payment from the Texas agricultural fund for the purpose of providing a reduced interest rate on a loan guaranteed to a borrower.  The agreement must require the borrower to use the proceeds of the loan for the purposes of the program under which the payment is made.  The board shall adopt rules to implement this subsection.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.  Amended by Acts 1999, 76th Leg., ch. 1459, Sec. 12, eff. June 19, 1999;  Acts 2001, 77th Leg., ch. 26, Sec. 8, eff. May 2, 2001.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.08, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter C. Purposes and Powers › Section 58.024. Authority Exemption From Taxation

Sec. 58.024.  AUTHORITY EXEMPTION FROM TAXATION.  The property of the authority, its income, and operations are exempt from all taxes and assessments imposed by the state and all public agencies and political subdivisions on property acquired or used by the authority under this chapter.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter C. Purposes and Powers › Section 58.025. Public Hearings

Sec. 58.025.  PUBLIC HEARINGS.  The administrator, the commissioner, or an individual designated by the commissioner may conduct public hearings relating to issuance of the authority's bonds or the implementation of financial assistance, and the commissioner may act as the applicable elected representative for purposes of approving any bonds or financial assistance required to be approved, including any approval required under Section 147(f) of the Internal Revenue Code of 1986.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter C. Purposes and Powers › Section 58.026. Limitation of Liability for Certain Recreational Activities

Sec. 58.026.  LIMITATION OF LIABILITY FOR CERTAIN RECREATIONAL ACTIVITIES.  Nothing in this chapter shall affect the applicability of Chapter 75, Civil Practice and Remedies Code.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 13, eff. June 19, 1999.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.031. Issuance of General Obligation Bonds

Sec. 58.031.  ISSUANCE OF GENERAL OBLIGATION BONDS.  (a)  The board by resolution may periodically provide for the issuance of general obligation bonds as authorized by the Texas Constitution for the establishment of the Texas agricultural fund and the rural microenterprise development fund.
(b)  Before authorizing the issuance of any general obligation bonds, the board must determine that the issuance of revenue bonds is not an economically advisable alternative for carrying out the purposes of this chapter.
(c)  The authority may issue and sell general obligation bonds of the state for the purpose of providing money to establish a Texas agricultural fund.  The authority may issue the bonds in one or several installments.
(d)  Proceeds of the bonds issued under Subsection (c) of this section shall be deposited in the Texas agricultural fund and applied in accordance with the resolution authorizing the bonds:
(1)  to provide financial assistance to eligible agricultural businesses;
(2)  to pay costs of issuance of those bonds and the administration of any financial assistance program established with money in the Texas agricultural fund;  and
(3)  together with any other available funds, to pay the principal of or interest on or to discharge or redeem, in whole or in part, any outstanding bonds issued by the authority.
(e)  The authority may issue and sell general obligation bonds of the state for the purpose of providing money to establish a rural microenterprise development fund.  The authority may issue the bonds in one or several installments.
(f)  Proceeds of the bonds issued under Subsection (e) of this section shall be deposited in the rural microenterprise development fund, which is created in Section 44.013.
Added by Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Nov. 7, 1989.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 2, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.035. Refunding Bonds

Sec. 58.035.  REFUNDING BONDS.  The authority may issue, sell, and deliver bonds to refund all or any part of its outstanding bonds, including the payment of any redemption premium and interest accrued, under such terms, conditions, and details as determined by the board.  Bonds issued by the authority may be refunded in the manner provided by any other applicable statute, including Chapter 1207, Government Code. Bonds, the provision for the payment of all interest and applicable premiums on which and the principal of which has been made through the irrevocable deposit of money with the comptroller in accordance with the provisions of such an applicable statute, shall no longer be charged against the issuing authority of the authority, and on the making of such provision such issuing authority shall, to the extent of the principal amount of such bonds, be restored.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987;  Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Sept. 1, 1989.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 2.06, eff. Sept. 1, 1997;  Acts 2001, 77th Leg., ch. 1420, Sec. 8.203, eff. Sept. 1, 2001.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.036. Payment Enforceable by Mandamus

Sec. 58.036.  PAYMENT ENFORCEABLE BY MANDAMUS.  Payment of the bonds and performance by the authority or the commissioner of its or his functions and duties under this chapter and the Texas Constitution may be enforced in the state supreme court by mandamus or other appropriate proceeding.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987;  Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Sept. 1, 1989.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.037. Bonds as Investments

Sec. 58.037.  BONDS AS INVESTMENTS.  (a)  The bonds are legal and authorized investments for:
(1)  banks;
(2)  trust companies;
(3)  savings and loan associations;
(4)  insurance companies of all kinds and types;
(5)  fiduciaries;
(6)  trustees;
(7)  guardians;  and
(8)  sinking and other public funds of the state, municipalities, counties, school districts, and other political subdivisions of the state.
(b)  The bonds are eligible to secure the deposit of any public funds of the state, municipalities, counties, school districts, or other political subdivisions of the state, and the bonds shall be lawful and sufficient security for the deposits to the extent of their face value when accompanied by all unmatured coupons attached to the bonds.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987;  Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Sept. 1, 1989.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.038. Tax Status of Bonds

Sec. 58.038.  TAX STATUS OF BONDS.  The bonds issued by the authority, any transaction relating to the bonds, and any profits made in the sale of the bonds are free from taxation by the state or by any city, county, special district, or other political subdivision of the state;  provided that this section does not exempt the owner of any property financed under this chapter from any ad valorem, sales, use, excise, or other tax levied by the state or any political corporation of this state.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987;  Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Sept. 1, 1989.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.039. Review Board

Sec. 58.039.  REVIEW BOARD.  (a)  The bond review board is composed of:
(1)  the governor;
(2)  the lieutenant governor;
(3)  the speaker of the house of representatives; and
(4)  the comptroller of public accounts.
(b)  The governor is chairman of the review board.
(c)  Bonds may not be issued under this chapter, and proceeds of bonds under this chapter may not be used to finance a program unless the issuance or program, as applicable, has been reviewed and approved by the review board.
(d)  The review board may adopt rules governing application for review, the review process, and reporting requirements.
(e)  A member of the review board may not be held liable for damages resulting from the performance of the members' functions under this chapter.
Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1, eff. Oct. 20, 1987.  Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 2.07, eff. Sept. 1, 1997.
Added by Acts 1989, 71st Leg., ch. 1247, Sec. 1, eff. Sept. 1, 1989.
Reenacted and amended by Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 2.002, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.040. Considerations in Financing

Sec. 58.040.  CONSIDERATIONS IN FINANCING.  In determining whether to provide financing under this chapter, the board shall consider the likelihood of success of the applicant and the effect of the financing on job creation and retention in the state.  The board shall give preference to applicants who are Texas residents doing business in the state, and then to applicants who can demonstrate that the financed activities will take place predominantly in this state.
Added by Acts 1989, 71st Leg., ch. 455, Sec. 10, eff. Aug. 28, 1989.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter D. Bonds › Section 58.041. Issuance of Debt by Texas Public Finance Authority

Sec. 58.041.  ISSUANCE OF DEBT BY TEXAS PUBLIC FINANCE AUTHORITY.  (a)  In this section, "debt instrument" means a note, debenture, bond, or other evidence of indebtedness.
(b)  The Texas Public Finance Authority has the exclusive authority to act on behalf of the authority in issuing debt instruments authorized to be issued by the authority.  A reference in law to a debt instrument issued by the authority, in the context of a debt instrument issued on or after September 1, 2009, means a debt instrument issued by the Texas Public Finance Authority on behalf of the authority.
(c)  Notwithstanding Section 58.034(e), the authority shall pay all costs incurred by the Texas Public Finance Authority for issuing debt instruments on behalf of the authority and associated fees and expenses.
(d)  When the board authorizes the issuance of debt instruments to fund a loan, the authority shall notify the Texas Public Finance Authority of the amount of the loan and the recipient of the loan and request the Texas Public Finance Authority to issue debt instruments in an amount necessary to fund the loan.  The authority and the Texas Public Finance Authority shall determine the amount and time of a debt instrument issue to best provide funds for one or multiple loans.
(e)  The Texas Public Finance Authority, at the request of the authority, may issue debt instruments to provide money to the Texas agricultural fund.
(f)  The Texas Public Finance Authority may sell debt instruments in any manner it determines to be in the best interest of the authority, except that it may not sell a debt instrument that has not been approved by the attorney general and registered with the comptroller.
(g)  The board, in consultation with the Texas Public Finance Authority, shall adopt rules containing criteria for evaluating the creditworthiness of loan applicants and the financial feasibility of projects to be funded with debt instruments issued by the Texas Public Finance Authority on behalf of the authority.
(h)  The Texas Public Finance Authority may enter into a credit agreement for a debt instrument issued by the Texas Public Finance Authority on behalf of the authority for a period and on conditions approved by the Texas Public Finance Authority.
(i)  This subsection applies only in relation to general obligation debt instruments.  To the extent other sources of revenue available for payment of the authority's debts are insufficient and in accordance with the Texas Constitution, general revenue is to be appropriated to the Texas Public Finance Authority in an amount determined by the Texas Public Finance Authority to be necessary to pay the principal, premium if any, and interest on general obligation debt instruments issued by the Texas Public Finance Authority on behalf of the authority, and that amount shall be specified in the biennial appropriations acts.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.09, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.051. Definitions

Sec. 58.051.  DEFINITIONS.  In this subchapter:
(1)  "Commercial lender" means a commercial lending institution chartered by the state or federal government, including a savings and loan association, a credit union, or a Farm Credit System institution.
(2)  "Eligible applicant" means a person applying for a loan guarantee under this subchapter who  complies with the application procedures prescribed by this subchapter.
(3)  "Plan" means the documentation submitted to the lender in support of the application.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.11, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.052. Agricultural Loan Guarantee Program

Sec. 58.052.  AGRICULTURAL LOAN GUARANTEE PROGRAM.  (a)  The board shall administer a loan guarantee program that benefits eligible applicants who desire to establish or enhance a farming or ranching operation or an agriculture-related business.
(b)  The board, either directly or through authority delegated to the commissioner, may grant to an eligible applicant a guarantee of a loan made by a commercial lender for the purposes prescribed by this subchapter.  The board by rule shall establish tiered loan guarantee limits.  To be eligible to be guaranteed under this subchapter, a loan with a term of more than one year must have a fixed interest rate.
(c)  The amount that may be used to guarantee loans under this subchapter may not exceed three times the amount contained in the Texas agricultural fund.
(d)  A loan guarantee recipient may use proceeds from the loan for working capital for operating a farm or ranch, including the lease of facilities and the purchase of machinery and equipment, or for any agriculture-related business purpose, including the purchase of real estate, as identified in the plan.  A loan guarantee is voidable by the board if the recipient uses loan proceeds for any purposes other than those identified in the plan.  The board shall include this restriction as a condition in each loan guarantee instrument executed under this subchapter.
(e)  The board shall adopt an agreement, to be used between a commercial lender and an approved eligible applicant, under which the program provides a payment from money in the Texas agricultural fund for the purpose of providing a reduced interest rate on a loan guaranteed to a borrower under this subchapter.  The board shall adopt rules to implement this subsection.  The maximum rate reduction under this subsection per year for each borrower may not exceed three percentage points or an amount that results in $10,000 in interest savings for the borrower for the year.
(f)  The board by rule shall establish a certified lender program under which the board may certify commercial lenders to participate in the agricultural loan guarantee program in order to expedite the processing of loan guarantee applications by the board.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.12, eff. September 1, 2009.
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.13, eff. September 1, 2009.
Acts 2015, 84th Leg., R.S., Ch. 868 (H.B. 2350), Sec. 1, eff. September 1, 2015.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.053. Application for Loan Guarantee

Sec. 58.053.  APPLICATION FOR LOAN GUARANTEE.  (a)  An eligible applicant's documentation shall include the following for the board's review:
(1)  the plan, as submitted to the lender, for the applicant's proposed farm or ranch operation or agriculture-related business to be financed that includes a budget for the proposed operation;
(2)  a completed application for a loan from a commercial lender on which an eligible applicant has indicated how the loan proceeds will be used to implement the applicant's plan; and
(3)  the signed statement of a loan officer of the commercial lender that a loan guarantee is requested for approval of the loan application.
(b)  The board may charge a reasonable application fee for processing an application filed under this section.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
Amended by:
Acts 2013, 83rd Leg., R.S., Ch. 1197 (S.B. 1214), Sec. 6, eff. June 14, 2013.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.054. Board Consideration of Loan Guarantee Application

Sec. 58.054.  BOARD CONSIDERATION OF LOAN GUARANTEE APPLICATION.  After reviewing the material submitted under Section 58.053, the board shall consider the following factors in deciding whether to approve an application for a loan guarantee:
(1)  the anticipated benefits from granting a loan guarantee to the applicant, including both potential job creation and commercial benefits to the agricultural industry;
(2)  the applicant's qualifications;
(3)  the feasibility of the applicant's plan;  and
(4)  other repayment sources available to the applicant.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.055. Default

Sec. 58.055.  DEFAULT.  If the recipient of a loan guarantee defaults on a loan that is guaranteed under this subchapter and the authority is required to honor its guarantee, the authority, through its representative, may bring suit against the defaulting party.  Any suit brought by the authority under this section may have venue in Travis County.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter E. Agricultural Loan Guarantee Program › Section 58.056. Money for Loan Guarantee Program

Sec. 58.056.  MONEY FOR LOAN GUARANTEE PROGRAM.  The authority may accept gifts and grants of money from the federal government, local governments, private corporations, or other persons for use in the agricultural loan guarantee program.  The legislature may appropriate money for the program.
Added by Acts 1999, 76th Leg., ch. 1459, Sec. 14, eff. June 19, 1999.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.14, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter F. Young Farmer Interest Rate Reduction Program › Section 58.071. Definitions

Sec. 58.071.  DEFINITIONS.  In this subchapter:
(1)  "Eligible lending institution" means a financial institution that makes commercial loans, is either a depository of state funds or an institution of the Farm Credit System headquartered in this state, and agrees to participate in the young farmer interest rate reduction program and to provide collateral equal to the amount of linked deposits placed with it.
(2)  "Linked deposit" means a time deposit governed by a written deposit agreement between the state and an eligible lending institution that provides:
(A)  that the eligible lending institution pay interest on the deposit at a rate that is not less than the greater of:
(i)  the current market rate of a United States treasury bill or note of comparable maturity minus three percent; or
(ii)  0.5 percent;
(B)  that the state not withdraw any part of the deposit before the expiration of a period set by a written advance notice of the intention to withdraw; and
(C)  that the eligible lending institution agree to lend the value of the deposit to an eligible borrower at a maximum rate that is the linked deposit rate plus a maximum of four percent.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.16, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter F. Young Farmer Interest Rate Reduction Program › Section 58.073. Compliance

Sec. 58.073.  COMPLIANCE.  (a)  On accepting a linked deposit, an eligible lending institution must loan money to eligible applicants in accordance with the deposit agreement and this subchapter.  The eligible lending institution shall forward a compliance report to the board.
(b)  The board shall monitor compliance with this subchapter and inform the comptroller of noncompliance on the part of an eligible lending institution.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.16, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter F. Young Farmer Interest Rate Reduction Program › Section 58.074. State Liability Prohibited

Sec. 58.074.  STATE LIABILITY PROHIBITED.  The state is not liable to an eligible lending institution for payment of the principal, interest, or any late charges on a loan made under this subchapter.  A delay in payment or default on a loan by a borrower does not affect the validity of the deposit agreement.  Linked deposits are not an extension of the state's credit within the meaning of any state constitutional prohibition.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.16, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter F. Young Farmer Interest Rate Reduction Program › Section 58.075. Limitations in Program

Sec. 58.075.  LIMITATIONS IN PROGRAM.  (a)  The maximum amount of a loan under this subchapter is $500,000.
(b)  A loan granted under this subchapter may be used for any agriculture-related operating expense, including the purchase or lease of land or fixed assets acquisition or improvement, as identified in the application.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.16, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter G. Young Farmer Grant Program › Section 58.091. Grant Program

Sec. 58.091.  GRANT PROGRAM.  (a)  The authority shall administer a young farmer grant program.  A grant must be for the purpose of fostering the creation and expansion of agricultural businesses by young people in this state.
(b)  The board shall adopt rules governing the operation of the program and selection criteria for grant recipients.
(c)  The board shall select grant recipients.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.17, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter G. Young Farmer Grant Program › Section 58.092. Eligibility

Sec. 58.092.  ELIGIBILITY.  To be eligible to receive a grant under this subchapter, a person must:
(1)  be an agricultural producer who is at least 18 years of age but younger than 46 years of age; and
(2)  provide matching funds in the amount of not less than one dollar for each dollar of grant money received.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.17, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter G. Young Farmer Grant Program › Section 58.093. Amount of Grants

Sec. 58.093.  AMOUNT OF GRANTS.  A grant under the young farmer grant program may not be less than $5,000 or more than $20,000.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.17, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter G. Young Farmer Grant Program › Section 58.094. Applications

Sec. 58.094.  APPLICATIONS.  (a)  The authority shall accept grant applications during two application periods each year.
(b)  Applicants shall submit an application on a form approved by the board or the board's designee.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.17, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 58 - Agricultural Finance Authority › Subchapter G. Young Farmer Grant Program › Section 58.095. Funding

Sec. 58.095.  FUNDING.  The source of funds for the young farmer grant program is the Texas agricultural fund.
Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B. 1016), Sec. 1.17, eff. September 1, 2009.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter A. General Provisions › Section 59.001. Definitions

Sec. 59.001.  DEFINITIONS.  In this chapter:
(1)  "Authority" means the Texas Agricultural Finance Authority created by Chapter 58 of this code.
(2)  "Board" means the board of directors of the authority.
(3)  "Bond" means a general obligation bond, certificate, note, or other obligation issued or incurred by the authority under this chapter as provided by Article III, Section 49-f, of the Texas Constitution.
(4)  "Commissioner" means the commissioner of agriculture.
(5)  "Fund" means the farm and ranch finance program fund.
(6)  "Program" means the farm and ranch finance program.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 3, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter A. General Provisions › Section 59.002. Duties

Sec. 59.002.  DUTIES.  (a)  The authority shall administer the program.
(b)  The board shall administer the fund.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 4, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter A. General Provisions › Section 59.003. Limited Immunity From Suit or Liability

Sec. 59.003.  LIMITED IMMUNITY FROM SUIT OR LIABILITY.  A member of the board may be sued and held personally liable for damages that result from an official act or omission only if the act or omission is corrupt or malicious.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 5, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter B. Bonds › Section 59.011. Bonds

Sec. 59.011.  BONDS.  (a)  The board may provide by order or resolution for the issuance and sale of negotiable bonds authorized by Article III, Section 49-f, of the Texas Constitution.  The proceeds from the sale of the bonds constitute the fund.
(b)  Subchapter D, Chapter 58, as it relates to the issuance, sale, and refunding of bonds, applies to the board's issuance, sale, and refunding of bonds under this chapter to finance the fund.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 6, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter B. Bonds › Section 59.012. Disposition of Bond Proceeds

Sec. 59.012.  DISPOSITION OF BOND PROCEEDS.
Text of subsec. (a) as amended by Acts 1995, 74th Leg., ch. 858, Sec. 1
(a)  Except as provided by Subsection (b) of this section, proceeds from the sale of the bonds, other than refunding bonds, shall be deposited in the state treasury to the credit of the fund.
Text of subsec. (a) as amended by Acts 1995, 74th Leg., ch. 1014, Sec. 7
(a)  Except as provided by Subsections (b), (c), and (d) of this section, proceeds from the sale of the bonds, other than refunding bonds, shall be deposited in the state treasury to the credit of the fund.
(b)  The board may provide for transferring to the interest and sinking account from the proceeds of the sale of bonds or from the available money in the fund directly an amount that, together with the accrued interest received, is sufficient to pay interest becoming due during the fiscal year in which the bonds are sold and to establish appropriate reserves.
(c)  The board may provide from the proceeds of the sale of bonds or from available money in the fund an amount that is reasonable and necessary to cover the costs of administering the program.
(d)  The board shall deposit the proceeds from the sale of bonds, as authorized by the Texas Constitution, into the Texas agricultural fund, to be administered as provided by Chapter 58 of this code.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 858, Sec. 1, eff. Sept. 1, 1995;  Acts 1995, 74th Leg., ch. 1014, Sec. 7, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter B. Bonds › Section 59.013. Payment of Principal and Interest

Sec. 59.013.  PAYMENT OF PRINCIPAL AND INTEREST.  The board shall arrange for payment of the principal of bonds as they mature and the interest on the bonds as it becomes payable.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.  Amended by Acts 1995, 74th Leg., ch. 1014, Sec. 8, eff. Jan. 1, 1996.
2023 Texas Statutes › Agriculture Code › Title 4 - Agricultural Organizations › Chapter 59 - Farm and Ranch Finance Program › Subchapter B. Bonds › Section 59.014. Approval by Attorney General

Sec. 59.014.  APPROVAL BY ATTORNEY GENERAL.  Before the bonds are delivered to the purchasers, the attorney general shall examine the record relating to the bonds.  If the record demonstrates that the bonds have been issued in accordance with the Texas Constitution and this chapter, the attorney general shall approve the bonds.
Added by Acts 1993, 73rd Leg., ch. 542, Sec. 1, eff. Sept. 1, 1993.