Tex. Gov't Code § 1501.262 · Subchapter F. ALTERNATIVE WATER SUPPLY FINANCING PROCEDURE FOR MUNICIPALITIES WITH POPULATION OF MORE THAN 275,000
DEPOSIT AND USE OF BOND PROCEEDS.
Text — Current through the 89th 2nd Called Legislative Session, 2025
(a) The governing body of the municipality:
(1) shall provide for the deposit of money to the credit of the interest and sinking fund, the reserve fund, and other funds as prescribed by the ordinance authorizing the bonds; and
(2) may provide for all or part of the bond proceeds to be deposited to the credit of those funds as necessary to pay interest during construction and for an additional period not to exceed two years.
(b) The municipality shall deposit the bond proceeds to the credit of a fund to be used solely to pay:
(1) the cost of issuing and selling the bonds;
(2) the construction cost of any part of the water supply project that the contract between the municipality and the river authority obligates the municipality to provide; and
(3) the construction cost of any part of the facilities to be constructed, owned, and operated by the municipality as provided by Section 1501.253.
(c) Before the use of the bond proceeds for construction or during the period of construction, the municipality may:
(1) invest the proceeds in bonds or other direct obligations of the United States; and
(2) sell the investments as directed by the governing body for construction purposes when necessary.
Notes and commentary — not statutory text
History
Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999.
Source of truth
- Edition
- Current through the 89th 2nd Called Legislative Session, 2025
- Official file
- https://statutes.capitol.texas.gov/Docs/GV/htm/GV.1501.htm
- Text hash
- sha256 6c9de91f51111651d0c1f35c7d5a15dca8ef61e23676986c0b9bbd64a757bc16
- Composed by
- compose_tx.py 2026-10-05: the Legislative Council's chapter files read in document order; verify_tx.py's independent reading (lxml DOM walk) agrees character for character
This section cites
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