2023 Texas Statutes › Special District Local Laws Code › Title 5 - Transportation › Subtitle A - Navigation Districts and Port Authorities › Chapter 5012 - Sabine Pass Port Authority › Subchapter E. Bonds › Section 5012.0205. Resolution Provisions

Sec. 5012.0205.  RESOLUTION PROVISIONS.  (a)  A resolution authorizing bonds may contain provisions approved by the commission that are not inconsistent with this chapter, including provisions:
(1)  reserving the right to redeem the bonds or requiring the redemption of the bonds, at a time, in an amount, and at a price, not to exceed 105 percent of the principal amount of the bonds, plus accrued interest;
(2)  providing for the setting aside of sinking funds or reserve funds and the regulation and disposition of those funds;
(3)  securing the payment of the principal of and interest on the bonds and of the sinking fund or reserve fund payments associated with the bonds by pledging:
(A)  all or any part of the gross or net revenue subsequently received by the authority with respect to the property to be acquired or constructed with the bonds or the proceeds of the bonds; or
(B)  all or any part of the gross or net revenue subsequently received by the authority from any source;
(4)  securing the payment of the principal of and interest on the bonds by pledging taxes;
(5)  prescribing the purposes to which the bonds or any bonds subsequently issued, or the proceeds of the bonds, may be applied;
(6)  agreeing to set and collect rates and charges sufficient to produce revenue adequate to:
(A)  pay all expenses necessary to the operation, maintenance, and replacement of and additions to the authority's property;
(B)  pay the principal of, and the interest and premium, if any, on bonds issued under this chapter when the bonds become due and payable;
(C)  pay all sinking fund or reserve fund payments for those bonds out of those revenues as and when they become due and payable;
(D)  fulfill the terms of any agreements made with the holders of the bonds or with any person on their behalf; and
(E)  discharge all other lawful obligations of the authority as and when the obligations become due;
(7)  prescribing limitations on the issuance of additional bonds and subordinate lien bonds and on the agreements that may be made with the purchasers and successive holders of those bonds;
(8)  regarding the construction, extension, improvement, reconstruction, operation, maintenance, and repair of the authority's properties and the carrying of insurance on all or any part of those properties covering loss, damage, or loss of use and occupancy resulting from specified risks;
(9)  setting the procedure by which the authority may change the terms of a contract with the bondholders, the amount of bonds the holders of which must consent to that change, and the manner in which the consent may be given; and
(10)  providing for the execution and delivery by the authority to a bank or trust company authorized by law to accept trusts, or to the United States or any officer of the United States, of indentures and agreements for the benefit of the bondholders setting forth any of the agreements authorized by this chapter to be made with or for the benefit of the bondholders and any other provisions that are customary in such indentures or agreements.
(b)  A provision authorized by this section that is contained in a bond resolution is part of the contract between the authority and the bondholders.
Added by Acts 2019, 86th Leg., R.S., Ch. 468 (H.B. 4172), Sec. 1.01, eff. April 1, 2021.