Tex. Labor Code Section 203.255
Bond Proceeds

(a)

The proceeds of bonds issued by the authority under this subchapter may be deposited with a trustee selected by the authority and the commission or held by the comptroller in a dedicated trust fund outside the state treasury in the custody of the comptroller.

(b)

Bond proceeds, including investment income, shall be held in trust for the exclusive use and benefit of the commission. The commission may use the proceeds to:

(1)

repay the principal and interest of previous advances from the federal trust fund;

(2)

pay unemployment benefits by depositing the proceeds in the unemployment compensation fund, as defined in Subchapter B;

(3)

pay the costs of issuing the bonds;

(4)

provide a bond reserve; and

(5)

pay capitalized interest on the bonds for the period determined necessary by the commission, not to exceed two years.

(c)

Any excess money remaining after the purposes for which the bonds were issued is satisfied may be used to purchase or redeem outstanding bonds.

(d)

If there are no outstanding bonds or bond interest to be paid, the remaining proceeds shall be transferred to the unemployment compensation fund.
Added by Acts 2003, 78th Leg., ch. 317, Sec. 5, eff. June 18, 2003; Acts 2003, 78th Leg., ch. 817, Sec. 6.05, eff. June 20, 2003.

Source: Section 203.255 — Bond Proceeds, https://statutes.­capitol.­texas.­gov/Docs/LA/htm/LA.­203.­htm#203.­255 (accessed Jun. 5, 2024).

203.001
Definitions 203.002
Duties of Comptroller 203.003
Comptroller’s Bond Liability 203.004
Deposit of Funds 203.005
Application of Other Law 203.021
Unemployment Compensation Fund 203.022
Composition and Use of Clearing Account 203.023
Requisitions from Federal Trust Fund 203.024
Deposits 203.025
Use of Requisitioned Money 203.026
Accounts from Which Benefits and Refunds Are Paid 203.027
Unexpended Balance of Benefit Account 203.028
Solvency of Compensation Fund 203.029
Refund of Contributions to Federal Instrumentality 203.030
Reimbursement from or to Compensation Fund Under Reciprocal Arrangement 203.031
Nonliability of State 203.032
Management of Compensation Fund on Discontinuance of Federal Trust Fund 203.101
Limit on Application for Advance 203.102
Obligation Trust Fund 203.104
Limitation on Transfer from Obligation Trust Fund to Compensation Fund 203.105
Unemployment Obligation Assessment 203.151
Administration Fund 203.152
Use of Administration Fund 203.154
Reimbursement of Administration Fund 203.201
Special Administration Fund 203.202
Use of Special Administration Fund 203.203
Refund of Penalties 203.251
Findings and Purpose 203.252
Definitions 203.253
Request for Bond Issuance 203.254
Issuance of Bonds by Authority 203.255
Bond Proceeds 203.256
Repayment of Commission’s Financial Obligations 203.257
Bond Payments 203.258
Excess Revenue Collections and Investment Earnings 203.259
State Debt Not Created 203.260
State Not to Impair Bond Obligations 203.261
Exemption from Taxation 203.262
No Personal Liability
Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 203.255’s source at texas​.gov