Tex. Health & Safety Code Section 265.0177
Authority to Borrow Money


(a)

After approval by resolution of the commissioners court of the county and the governing body of the municipality that appointed the board, the board of managers may, on behalf of the hospital, borrow money from a federally insured lending institution for a purpose described by Section 265.0179 (Permissible Uses of Loan Proceeds). The board may execute a loan agreement or promissory note as evidence of the obligation to repay the loan.

(b)

The board of managers may borrow money in an amount it considers advisable, subject to a rate of interest, security, and other terms it considers advisable. The loan shall mature not later than the 30th anniversary of the date on which the loan is made.

(c)

Before entering into a loan under this section, the board of managers must determine that there will be sufficient money available from revenues generated by the hospital to pay the loan when the loan becomes due.

(d)

The commissioners court of the county and the governing body of the municipality that appointed the board of managers must approve the terms of a loan agreement by written resolution.

(e)

Chapter 1202 (Examination and Registration of Public Securities), Government Code, does not apply to a promissory note or any other instrument evidencing a loan under this section.
Added by Acts 2003, 78th Leg., ch. 719, Sec. 1, eff. June 20, 2003.

Source: Section 265.0177 — Authority to Borrow Money, https://statutes.­capitol.­texas.­gov/Docs/HS/htm/HS.­265.­htm#265.­0177 (accessed Jun. 5, 2024).

265.002
County and Any Two or More Municipalities
265.011
Establishment of Hospital by Commissioners Court and Municipal Governing Body
265.012
Financing
265.013
Board of Managers
265.014
Chairman
265.015
Contracts
265.016
Financial Statement
265.017
Issuance of Revenue Bonds
265.018
Hospital Property
265.019
Use of Earnings or Assets for Private Purposes Prohibited
265.020
Applicability
265.021
Ownership and Control Designated
265.022
Board of Managers of Hospital Controlled by County
265.023
Board of Managers of Hospital Controlled by Municipality
265.024
Terms
265.025
Tax
265.026
Tuberculosis Control
265.031
Creation of Board
265.032
Appointment of Board
265.033
Officers
265.034
Authority of Board
265.035
Suits
265.036
Compensation
265.037
Hospital Facilities
265.038
Contracts for Hospital Services
265.039
Funds
265.040
Authority to Issue Revenue Bonds
265.041
Terms of Bonds
265.042
Pledge of Security
265.043
Sale and Use of Proceeds
265.044
Parity and Subordinate Lien Bonds
265.045
Notice
265.046
Refunding Bonds
265.047
Examination, Approval, and Registration of Bonds
265.048
Legal Investments
265.049
Charges for Services and Facilities
265.050
Depository
265.051
Investment of Funds
265.052
Eminent Domain
265.071
Official Action
265.072
Petition and Election
265.0171
Repayment of Bonds
265.0172
Additional Security for Bonds
265.0173
Maturity
265.0174
Bonds Not Payable from Taxes
265.0175
Sale of Bonds
265.0176
Refunding Bonds
265.0177
Authority to Borrow Money
265.0178
Pledge of Security
265.0179
Permissible Uses of Loan Proceeds
265.0181
Transfer of Property

Accessed:
Jun. 5, 2024

§ 265.0177’s source at texas​.gov