reglab/statecodes huggingface dataset:
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.102. Projects Related to Certain Job Training

Sec. 501.102.  PROJECTS RELATED TO CERTAIN JOB TRAINING.  In this subtitle, "project" includes job training required or suitable for the promotion of development and expansion of business enterprises and other enterprises described by this subtitle, as provided by Section 501.162.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.103. Certain Infrastructure Improvement Projects

Sec. 501.103.  CERTAIN INFRASTRUCTURE IMPROVEMENT PROJECTS.  In this subtitle, "project" includes expenditures that are found by the board of directors to be required or suitable for infrastructure necessary to promote or develop new or expanded business enterprises, limited to:
(1)  streets and roads, rail spurs, water and sewer utilities, electric utilities, or gas utilities, drainage, site improvements, and related improvements;
(2)  telecommunications and Internet improvements; or
(3)  beach remediation along the Gulf of Mexico.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.104. Projects Related to Certain Military Bases or Missions

Sec. 501.104.  PROJECTS RELATED TO CERTAIN MILITARY BASES OR MISSIONS.  In this subtitle, "project" includes the infrastructure, improvements, land acquisition, buildings, or expenditures that:
(1)  are for the creation or retention of primary jobs or jobs that are included in North American Industry Classification System (NAICS) sector number 926120, Regulation and Administration of Transportation Programs, for the corresponding index entry for Coast Guard (except the Coast Guard Academy); and
(2)  are found by the board of directors to be required or suitable for:
(A)  promoting or supporting a military base in active use to prevent the possible future closure or realignment of the base;
(B)  attracting new military missions to a military base in active use; or
(C)  redeveloping a military base that has been closed or realigned, including a military base closed or realigned according to the recommendation of the Defense Base Closure and Realignment Commission under the Defense Base Closure and Realignment Act of 1990 (10 U.S.C. Section 2687 note).
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.105. Career Center Projects Outside of Junior College District

Sec. 501.105.  CAREER CENTER PROJECTS OUTSIDE OF JUNIOR COLLEGE DISTRICT.  In this subtitle, "project" includes the land, buildings, equipment, facilities, improvements, and expenditures found by the board of directors to be required or suitable for use for a career center, if the area to be benefited by the career center is not located in the taxing jurisdiction of a junior college district.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.106. Airport Facilities or Other Projects by Corporations Authorized by Certain Border Municipalities

Sec. 501.106.  AIRPORT FACILITIES OR OTHER PROJECTS BY CORPORATIONS AUTHORIZED BY CERTAIN BORDER MUNICIPALITIES.  (a)  This section applies only to a corporation authorized to be created by a municipality, any part of which is located within 25 miles of an international border.
(b)  For a corporation to which this section applies, in this subtitle, "project" includes the land, buildings, facilities, infrastructure, and improvements that:
(1)  the corporation's board of directors finds are required or suitable for the development or promotion of new or expanded business enterprises through transportation facilities including airports, hangars, railports, rail switching facilities, maintenance and repair facilities, cargo facilities, marine ports, inland ports, mass commuting facilities, parking facilities, and related infrastructure located on or adjacent to an airport or railport facility; or
(2)  are undertaken by the corporation if the municipality that authorized the creation of the corporation has, at the time the corporation approves the project as provided by this subtitle:
(A)  a population of less than 50,000; or
(B)  an average rate of unemployment that is greater than the state average rate of unemployment during the most recent 12-month period for which data is available that precedes the date the project is approved.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 795 (H.B. 2772), Sec. 1, eff. June 17, 2015.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter C. Authorized Projects › Section 501.107. Infrastructure Projects by Corporations Authorized by Municipalities in Certain Border Counties

Sec. 501.107.  INFRASTRUCTURE PROJECTS BY CORPORATIONS AUTHORIZED BY MUNICIPALITIES IN CERTAIN BORDER COUNTIES.  (a)  This section applies only to a corporation that:
(1)  is authorized to be created by a municipality wholly or partly located in a county that:
(A)  is bordered by the Rio Grande;
(B)  has a population of at least 500,000; and
(C)  has wholly or partly within its boundaries at least four municipalities each of which has a population of at least 25,000; and
(2)  does not support a project, as defined by this subchapter, with sales and use tax revenue collected under Chapter 504 or 505.
(b)  For a corporation to which this section applies, in this subtitle, "project" includes expenditures found by the board of directors to be required or suitable for infrastructure necessary to promote or develop new or expanded business enterprises, including airports, ports, and sewer or solid waste disposal facilities.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.151. Authority to Finance Project

Sec. 501.151.  AUTHORITY TO FINANCE PROJECT.  A corporation is a constituted authority for the purpose of financing one or more projects.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.152. Definition of Cost With Respect to Project

Sec. 501.152.  DEFINITION OF COST WITH RESPECT TO PROJECT.  In this subtitle, "cost," with respect to a project, means the cost of the acquisition, cleanup, construction, reconstruction, improvement, or expansion of a project, including:
(1)  the cost of acquiring all land, rights-of-way, property rights, easements, and interests;
(2)  the cost of all machinery and equipment;
(3)  financing charges;
(4)  the cost of inventory, raw materials, and other supplies;
(5)  research and development costs;
(6)  interest accruing before and during construction and until the first anniversary of the date the construction is completed, regardless of whether capitalized;
(7)  necessary reserve funds;
(8)  the cost of estimates, including estimates of cost and revenue;
(9)  the cost of engineering or legal services;
(10)  the cost of plans, specifications, or surveys;
(11)  other expenses necessary or incident to determining the feasibility and practicability of acquiring, cleaning, constructing, reconstructing, improving, and expanding the project;
(12)  administrative expenses; and
(13)  other expenditures necessary or incident to:
(A)  acquiring, cleaning, constructing, reconstructing, improving, and expanding the project;
(B)  placing the project in operation; and
(C)  financing or refinancing the project, including refunding any outstanding obligations, mortgages, or advances issued, made, or given by a person for a cost described by this section.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.153. Lease or Sale of Project

Sec. 501.153.  LEASE OR SALE OF PROJECT.  (a)  A corporation may:
(1)  lease all or any part of a project to a user, for the rental and on the terms that the corporation's board of directors considers advisable and not in conflict with this subtitle; or
(2)  sell, by installment payments or otherwise, and convey all or any part of a project to a user for the purchase price and on the terms the corporation's board of directors considers advisable and not in conflict with this subtitle.
(b)  A corporation may grant a lessee an option to purchase all or any part of a project when all bonds of the corporation delivered to provide those facilities have been paid or provision has been made for the bonds' final payment. This subsection is procedurally exclusive for authority to convey or grant an option to purchase all or part of a project, and reference to another law is not required.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.154. Conveyance of Property to Institution of Higher Education

Sec. 501.154.  CONVEYANCE OF PROPERTY TO INSTITUTION OF HIGHER EDUCATION.  With respect to a project, a corporation may donate, exchange, convey, sell, or lease land, improvements, or any other interest in real property, fixtures, furnishings, equipment, or personal property to an institution of higher education for a legal purpose of the institution, on the terms the corporation's board of directors considers advisable and not in conflict with this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.155. Loan to Finance Project

Sec. 501.155.  LOAN TO FINANCE PROJECT.  (a)  A corporation may make a secured or unsecured loan to a user for the purpose of providing temporary or permanent financing or refinancing of all or part of the cost of a project, including the refunding of an outstanding obligation, mortgage, or advance issued, made, or given by a person for the cost of a project.
(b)  For a loan made under this section, a corporation may charge and collect interest on the terms the corporation's board of directors considers advisable and not in conflict with this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.156. Agreement Must Benefit Corporation

Sec. 501.156.  AGREEMENT MUST BENEFIT CORPORATION.  An agreement relating to a project must be for the benefit of the corporation.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.157. Default on Agreement; Enforcement

Sec. 501.157.  DEFAULT ON AGREEMENT; ENFORCEMENT.  An agreement relating to a project must provide that if a default occurs in the payment of the principal of or the interest or premium on the bonds or in the performance of any agreement contained in a proceeding, mortgage, or instrument, the payment or performance may be enforced by:
(1)  mandamus; or
(2)  the appointment of a receiver in equity with the power to:
(A)  charge and collect rents, purchase price payments, and loan payments; and
(B)  apply the revenue from the project in accordance with the resolution, mortgage, or instrument.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.158. Performance Agreements

Sec. 501.158.  PERFORMANCE AGREEMENTS.  (a)  A corporation may not provide a direct incentive to or make an expenditure on behalf of a business enterprise under a project as defined by Subchapter C of this chapter or by Subchapter D, Chapter 505, unless the corporation enters into a performance agreement with the business enterprise.
(b)  A performance agreement between a corporation and business enterprise must:
(1)  provide, at a minimum, for a schedule of additional payroll or jobs to be created or retained and capital investment to be made as consideration for any direct incentives provided or expenditures made by the corporation under the agreement; and
(2)  specify the terms under which repayment must be made if the business enterprise does not meet the performance requirements specified in the agreement.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.159. Powers Concerning Projects; Jurisdiction

Sec. 501.159.  POWERS CONCERNING PROJECTS; JURISDICTION.  (a)  A corporation may acquire, by construction, devise, purchase, gift, lease, or otherwise, or any one or more of those methods and may construct, improve, maintain, equip, and furnish one or more projects undertaken by another corporation or located within this state, including within the coastal waters of this state, and within or partially within the limits of the authorizing unit of the corporation or within the limits of another unit, if the governing body of the other corporation or the unit requests the corporation to exercise its powers within that unit.
(b)  A corporation may recover the costs of an investment under Subsection (a) from a unit or another corporation under a contract with a limited or unlimited duration.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.160. Owning or Operating Project as Business

Sec. 501.160.  OWNING OR OPERATING PROJECT AS BUSINESS.  (a)  Except as provided by Subsection (d), a corporation may not own or operate a project as a business other than:
(1)  as a lessor, seller, or lender; or
(2)  according to the requirements of any trust agreement securing the credit transaction.
(b)  The user under a lease, sale, or loan agreement relating to a project is considered the owner of the project for purposes of ad valorem taxes, sales and use taxes, or any other taxes imposed by this state or a political subdivision of this state.
(c)  Purchasing and holding a mortgage, deed of trust, or other security interest or contracting for the servicing of a mortgage, deed of trust, or other security interest is not considered the operation of a project.
(d)  A corporation has all the powers necessary to own and operate a project as a business if:
(1)  the project is a military installation or military facility that has been closed or realigned, including a military installation or facility closed or realigned under the Defense Base Closure and Realignment Act of 1990 (10 U.S.C. Section 2687 note), as amended; or
(2)  the project is authorized under Section 501.106.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2015, 84th Leg., R.S., Ch. 795 (H.B. 2772), Sec. 2, eff. June 17, 2015.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.161. Certain Economic Incentives Prohibited

Sec. 501.161.  CERTAIN ECONOMIC INCENTIVES PROHIBITED.  (a)  In this section, "related party" means a person who owns at least 80 percent of the business enterprise to which the sales and use tax would be rebated as part of an economic incentive.
(b)  Notwithstanding any other provision of this subtitle, a corporation may not offer to provide an economic incentive for a business enterprise whose business consists primarily of purchasing taxable items using a resale certificate and then reselling those items to a related party.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.162. Use of Tax Revenue for Job Training

Sec. 501.162.  USE OF TAX REVENUE FOR JOB TRAINING.  A corporation may spend tax revenue received under this subtitle for job training offered through a business enterprise only if the business enterprise has committed in writing to:
(1)  create new jobs that pay wages that are at least equal to the prevailing wage for the applicable occupation in the local labor market area; or
(2)  increase its payroll to pay wages that are at least equal to the prevailing wage for the applicable occupation in the local labor market area.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter D. Corporate Powers and Limitations Relating to Projects › Section 501.163. Use of Tax Revenue for Job-Related Skills Training by Certain Corporations

Sec. 501.163.  USE OF TAX REVENUE FOR JOB-RELATED SKILLS TRAINING BY CERTAIN CORPORATIONS.  (a)  This section applies only to a corporation the creation of which was authorized by a municipality that:
(1)  has a population of 10,000 or more;
(2)  is located in a county that borders:
(A)  the Gulf of Mexico or the Gulf Intracoastal Waterway; or
(B)  the United Mexican States and in which four municipalities with a population of 70,000 or more are located; and
(3)  has, or is included in a metropolitan statistical area of this state that has, an unemployment rate that averaged at least two percent above the state average for the most recent two consecutive years for which statistics are available.
(b)  A corporation may spend tax revenue received under this subtitle for job training that consists of:
(1)  providing job-related life skills sufficient to enable an unemployed individual to obtain employment; and
(2)  providing job training skills sufficient to enable an unemployed individual to obtain employment.
(c)  A corporation to which this section applies may contract with any person to provide the job training authorized under this section.
Added by Acts 2013, 83rd Leg., R.S., Ch. 1283 (H.B. 1967), Sec. 1, eff. June 14, 2013.
Amended by:
Acts 2017, 85th Leg., R.S., Ch. 648 (S.B. 1748), Sec. 1, eff. June 12, 2017.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.201. Authority to Issue Bonds

Sec. 501.201.  AUTHORITY TO ISSUE BONDS.  (a)  A corporation may issue bonds to defray all or part of the cost of a project, regardless of whether the bonds are wholly or partly exempt from federal income taxation.
(b)  Except as limited by this subtitle or rules and guidelines of the economic development office, a corporation has full authority with respect to bonds.
(c)  Except as otherwise provided by this subtitle, a corporation may issue bonds under this subtitle without obtaining the consent or approval of any department, division, or agency of this state, other than the attorney general under Chapter 1202, Government Code.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.202. Terms

Sec. 501.202.  TERMS.  Bonds issued by a corporation must be dated and must mature in not more than 40 years.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.203. Securities Commissioner Permit to Sell Securities Required

Sec. 501.203.  SECURITIES COMMISSIONER PERMIT TO SELL SECURITIES REQUIRED.  A corporation may not sell or offer for sale bonds or other securities until the securities commissioner grants a permit authorizing the corporation to offer and sell the bonds or other securities under the registration provisions of The Securities Act (Title 12, Government Code), except as exempted from registration by rule or order of the State Securities Board.  Appeal from an adverse decision of the securities commissioner or the State Securities Board is under the administrative procedure law, Chapter 2001, Government Code.  The substantial evidence rule applies in an appeal under this subsection.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
Amended by:
Acts 2019, 86th Leg., R.S., Ch. 491 (H.B. 4171), Sec. 2.37, eff. January 1, 2022.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.204. Authorizing Unit's Approval of Bonds

Sec. 501.204.  AUTHORIZING UNIT'S APPROVAL OF BONDS.  (a)  A corporation may not deliver bonds, including refunding bonds, unless the governing body of the corporation's authorizing unit adopts a resolution, not earlier than the 60th day before the date the bonds are delivered, specifically approving the corporation's resolution providing for the issuance of the bonds.
(b)  If the corporation is authorized to be created by a county alliance, the resolution required by Subsection (a) must be adopted by the commissioners courts of at least three-fifths of the members of the county alliance.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.205. Bond Counsel and Financial Advisors

Sec. 501.205.  BOND COUNSEL AND FINANCIAL ADVISORS.  Bond counsel and financial advisors participating in a bond issue must be mutually acceptable to the corporation and the user.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.206. Money Used to Pay Bonds

Sec. 501.206.  MONEY USED TO PAY BONDS.  The principal of and interest on bonds issued by a corporation are payable only from the money provided for that payment and from the revenue of the project or projects for which the bonds were authorized.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.207. Bonds Not Debt of State or Authorizing Unit

Sec. 501.207.  BONDS NOT DEBT OF STATE OR AUTHORIZING UNIT.  (a)  Bonds issued under this subtitle are not a debt or pledge of the faith and credit of this state, the authorizing unit of the corporation issuing the bonds, or any other political corporation, subdivision, or agency of this state.
(b)  The revenue bonds issued under this subtitle must contain on their face a statement to the effect that:
(1)  neither this state, the authorizing unit of the corporation issuing the bonds, nor any other political corporation, subdivision, or agency of this state is obligated to pay the principal of or the interest on the bonds; and
(2)  neither the faith and credit nor the taxing power of this state, the authorizing unit of the corporation issuing the bonds, or any other political corporation, subdivision, or agency of this state is pledged to the payment of the principal of or the interest on the bonds.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.208. Bond Security; Default

Sec. 501.208.  BOND SECURITY; DEFAULT.  (a)  The principal of and interest on any bonds issued by a corporation shall be secured by a pledge of the revenues and receipts derived by the corporation from the lease or sale of the project financed by the bonds or from the loan made by the corporation with respect to the project financed or refinanced by the bonds.
(b)  As security for the payment of the principal of and interest on any bonds issued by a corporation and any agreements made in connection with the issuance of bonds, the corporation may:
(1)  mortgage and pledge any or all of the corporation's projects or any part of a project, including the project financed or refinanced and any enlargements of and additions to the project, owned before or acquired after the time of the mortgage or pledge; and
(2)  assign any mortgage and repledge any security conveyed to the corporation to secure any loan made by the corporation, and pledge the revenues and receipts from the assigned mortgage or security.
(c)  The resolution authorizing the issuance of bonds and any mortgage covering all or part of the project financed may include any agreement or provision that the board of directors considers advisable and not in conflict with this subtitle and that relates to:
(1)  the maintenance of the project covered by the bonds or mortgage;
(2)  the fixing and collection of rents;
(3)  purchase price payments;
(4)  loan payments;
(5)  the creation and maintenance of special funds from those revenues; or
(6)  the rights and remedies available in the event of a default.
(d)  A mortgage to secure bonds may also provide that, in the event of a default in the payment of the bonds or a violation of another agreement contained in the mortgage, the mortgage may be foreclosed and the mortgaged property may be sold in any manner permitted by law.  The mortgage may provide that a trustee under the mortgage or the holder of any of the bonds secured by the mortgage may purchase property at a foreclosure sale if the trustee or holder is the highest bidder.
(e)  A pledge, agreement, or mortgage made for the benefit or security of any of the corporation's bonds continues in effect until the principal of and interest on the bonds benefited or secured by the pledge, agreement, or mortgage have been fully paid.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.209. Trust Agreement

Sec. 501.209.  TRUST AGREEMENT.  (a)  Bonds issued under this subtitle may be secured by a trust agreement between the corporation and a trust company or bank having the powers of a trust company.  The trust company or bank may be located in or outside of this state.
(b)  The trust agreement may:
(1)  pledge or assign the lease, sale, or loan revenues to be received with respect to a project from a lessee, purchaser, or borrower for the payment of the principal of and interest and any premium on the bonds as the bonds become due and payable;
(2)  provide for the creation and maintenance of reserves for a purpose described by Subdivision (1);
(3)  state the rights and remedies of the bondholders and the trustee;
(4)  restrict the individual right of action by bondholders in a manner that is customary in trust agreements or trust indentures securing bonds and debentures of private corporations; and
(5)  include any additional provision that the corporation considers reasonable and proper for the security of the bondholders.
(c)  The trust agreement or a resolution approving the issuance of the bonds may provide for the protection and enforcement of the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including covenants providing the duties relating to:
(1)  the acquisition of property and the construction, improvement, maintenance, repair, operation, and insurance of the project in connection with which the bonds are authorized; and
(2)  the custody, protection, and application of all money.
(d)  A bank or trust company incorporated under the laws of this state that acts as depository of the bond proceeds or of revenues may furnish indemnifying bonds or pledge securities as required by the corporation.
(e)  All expenses incurred in carrying out the trust agreement may be treated as a part of the cost of operating the project.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.210. Financial Assurance or Responsibility Requirements for Certain Projects

Sec. 501.210.  FINANCIAL ASSURANCE OR RESPONSIBILITY REQUIREMENTS FOR CERTAIN PROJECTS.  (a)  The resolution or mortgage described by Section 501.208(c) may contain any agreement or provision for satisfying the financial assurance or responsibility requirements applicable to a project for which a permit is required under Chapter 361, Health and Safety Code, or Chapter 27, Water Code, including a requirement relating to construction, proper operation, liability coverage, emergency response capability, well plugging, closure, and post-closure care.
(b)  Evidence of the passage of a resolution by a governing body approving or agreeing to approve the issuance of bonds for the purpose of satisfying the financial assurance or responsibility requirements applicable to the project is an adequate demonstration that sufficient financial resources will be available to comply with all existing financial assurance or responsibility requirements.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.211. Use of Bond Proceeds

Sec. 501.211.  USE OF BOND PROCEEDS.  (a)  The proceeds of the bonds of each issue shall be:
(1)  used to pay or make a loan in the amount of all or part of the cost of the project or projects for which the bonds were authorized; and
(2)  disbursed in the manner and under any restrictions provided in the resolution authorizing the issuance of the bonds or in any trust agreement securing the bonds.
(b)  Bond proceeds may be used to:
(1)  pay all costs incurred in issuing the bonds;
(2)  pay interest on the bonds for any time determined by the board of directors of the corporation issuing the bonds; and
(3)  establish reserve funds and sinking funds for the bonds.
(c)  If the proceeds of the bonds of any series issued for a project exceed the cost of the project for which the bonds were issued, the surplus shall be:
(1)  deposited to the credit of the sinking fund for the bonds; or
(2)  used to purchase bonds in the open market.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.212. Interim Bonds

Sec. 501.212.  INTERIM BONDS.  (a)  Before the preparation of definitive bonds, the corporation may, under like restrictions, issue interim bonds that may be exchanged for definitive bonds when the definitive bonds are executed and available for delivery.
(b)  The corporation may issue interim bonds with or without coupons.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.213. Refunding Bonds

Sec. 501.213.  REFUNDING BONDS.  (a)  A corporation may provide by resolution for the issuance of refunding bonds:
(1)  to refund outstanding bonds issued under this subtitle for a project, including the payment of any redemption premium on the bonds and the interest accrued or to accrue to the date of redemption; and
(2)  if considered advisable by the corporation, additionally to finance improvements, extensions, or enlargements to the project for which the bonds being refunded were issued or for another project.
(b)  The provisions of this subtitle relating to other bonds govern the issuance, maturities, and other details of the refunding bonds, the rights of the holders of the refunding bonds, and the rights, duties, and obligations of the corporation with respect to the same to the extent those provisions may be applicable.
(c)  The corporation may issue the refunding bonds in exchange for outstanding bonds or may sell the refunding bonds and use the proceeds to redeem outstanding bonds.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter E. Corporate Powers and Limitations Relating to Bonds › Section 501.214. Sale or Exchange of Bonds

Sec. 501.214.  SALE OR EXCHANGE OF BONDS.  With respect to a project, a corporation may:
(1)  sell bonds; or
(2)  exchange bonds for property, labor, services, material, or equipment comprising a project or incidental to the acquisition of a project.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.251. State Standards for Project Eligibility

Sec. 501.251.  STATE STANDARDS FOR PROJECT ELIGIBILITY.  The economic development office shall adopt rules providing minimum standards for project eligibility.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.252. State Standards and Guidelines for Lease, Sale, or Loan Agreements

Sec. 501.252.  STATE STANDARDS AND GUIDELINES FOR LEASE, SALE, OR LOAN AGREEMENTS.  (a)  The economic development office shall adopt rules:
(1)  providing minimum standards for lease, sale, and loan agreements entered into under this subtitle; and
(2)  providing guidelines with respect to the business experience, financial resources, and responsibilities of the lessee, purchaser, or borrower under a lease, sale, or loan agreement entered into under this subtitle.
(b)  The economic development office may adopt rules governing the terms of a loan made by a corporation to a bank or other lending institution the proceeds of which are reloaned as permanent or temporary financing of a project.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.253. Rules for Small Business Programs

Sec. 501.253.  RULES FOR SMALL BUSINESS PROGRAMS.  The economic development office shall adopt rules governing programs for small businesses receiving loans guaranteed wholly or partly by the United States Small Business Administration or another federal agency.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.254. Filing of Rules and Guidelines With Secretary of State

Sec. 501.254.  FILING OF RULES AND GUIDELINES WITH SECRETARY OF STATE.  Rules and guidelines adopted by the economic development office and amendments to the rules and guidelines take effect only after the filing of the rules and guidelines or amendments with the secretary of state.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.255. Approval of Lease, Sale, or Loan Agreement

Sec. 501.255.  APPROVAL OF LEASE, SALE, OR LOAN AGREEMENT.  (a)  A lease, sale, or loan agreement entered into under this subtitle must be approved by the economic development office.  The economic development office may not approve an agreement unless the office affirmatively finds that the project sought to be financed furthers the public purposes of this subtitle.
(b)  The corporation may appeal an adverse ruling or decision of the economic development office under Subsection (a) to a district court of Travis County.  The substantial evidence rule applies in an appeal under this subsection.
(c)  A corporation:
(1)  may enter into a lease, sale, or loan agreement under this subtitle without obtaining the consent or approval of any department, division, or agency of this state except as otherwise provided by this subtitle; and
(2)  has full authority with respect to a lease, sale, or loan agreement, except as limited by this subtitle or by rules and guidelines of the economic development office.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.256. Approval of Bonds by Economic Development Office

Sec. 501.256.  APPROVAL OF BONDS BY ECONOMIC DEVELOPMENT OFFICE.  (a)  A corporation may submit a transcript of proceedings in connection with the issuance of bonds to the economic development office and request that the office approve the bonds.  A corporation shall include a nonrefundable filing fee with the request.  The office shall set the amount of the fee at a reasonable amount that is not less than $500 or more than $25,000.
(b)  If the economic development office refuses to approve the bond issue solely on the basis of law, the corporation may seek a writ of mandamus from the Texas Supreme Court, and for this purpose the executive director of the economic development office is considered a state officer under Section 22.002, Government Code.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.257. Filing of Fee Schedule and Bond Procedures

Sec. 501.257.  FILING OF FEE SCHEDULE AND BOND PROCEDURES.  The economic development office by rule shall require a corporation to file fee schedules and bond procedures.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.
2023 Texas Statutes › Local Government Code › Title 12 - Planning and Development › Subtitle C1 - Additional Planning and Development Provisions Applying to More Than One Type of Local Government › Chapter 501 - Provisions Governing Development Corporations › Subchapter F. Administration by Economic Development Office › Section 501.258. Delegation of Authority

Sec. 501.258.  DELEGATION OF AUTHORITY.  The economic development office may delegate to the executive director of the office the authority to approve a lease, sale, or loan agreement made under this subtitle or bonds issued by a corporation or any documents submitted as provided in this subtitle.
Added by Acts 2007, 80th Leg., R.S., Ch. 885 (H.B. 2278), Sec. 3.01, eff. April 1, 2009.