Tex. Spec. Dist. Local Laws Code Section 1109.159
Authority to Borrow Money; Security


(a)

The board may borrow money at a rate not to exceed the maximum annual percentage rate allowed by law for district obligations at the time the loan is made if the board declares that:

(1)

money is not available to meet authorized obligations of the district; and

(2)

an emergency exists.

(b)

To secure a loan, the board may pledge:

(1)

district revenue that is not pledged to pay the district’s bonded indebtedness;

(2)

a district tax to be imposed by the district in the next 12-month period that is not pledged to pay the principal of or interest on district bonds; or

(3)

a district bond that has been authorized but not sold.

(c)

A loan for which taxes or bonds are pledged must mature not later than the first anniversary of the date the loan is made. A loan for which district revenue is pledged must mature not later than the fifth anniversary of the date the loan is made.

(d)

The board may not spend money obtained from a loan under this section for any purpose other than:

(1)

the purpose for which the board declared an emergency; and

(2)

if district taxes or bonds are pledged to pay the loan, the purposes for which the taxes were imposed or the bonds were authorized.
Added by Acts 2013, 83rd Leg., R.S., Ch. 112 (S.B. 1026), Sec. 1.01, eff. April 1, 2015.

Source: Section 1109.159 — Authority to Borrow Money; Security, https://statutes.­capitol.­texas.­gov/Docs/SD/htm/SD.­1109.­htm#1109.­159 (accessed Apr. 29, 2024).

1109.001
Definitions
1109.002
Authority for Operation
1109.003
Essential Public Function
1109.004
District Territory
1109.051
Board Appointment
1109.052
Qualifications for Office
1109.053
Board Vacancy
1109.054
Nonattendance
1109.055
Officers
1109.056
Compensation
1109.057
District Administrator
1109.058
General Duties of District Administrator
1109.059
Assistant District Administrator
1109.060
Appointment and Removal of Staff and Employees
1109.061
Retirement Benefits
1109.062
Seal
1109.101
District Responsibility
1109.102
Restriction on County or Municipality Taxation
1109.103
Management, Control, and Administration
1109.104
Hospital or Hospital System
1109.105
Rules
1109.106
Purchasing and Accounting
1109.107
District Property, Facilities, and Equipment
1109.108
Eminent Domain
1109.109
Gifts and Endowments
1109.110
Construction Contracts
1109.111
Operating and Management Contracts
1109.112
Contracts with Governmental Entities for Care and Treatment
1109.113
Payment for Treatment
1109.114
Reimbursement for Services
1109.115
Authority to Sue and Be Sued
1109.151
Budget
1109.152
Notice
1109.153
Amendments to Budget
1109.154
Fiscal Year
1109.155
Annual Audit
1109.156
Financial Report
1109.157
Depository
1109.158
Investments
1109.159
Authority to Borrow Money
1109.201
General Obligation Bonds
1109.202
Tax to Pay General Obligation Bonds
1109.203
General Obligation Bond Election
1109.204
Execution of General Obligation Bonds
1109.205
Revenue Bonds
1109.206
Refunding Bonds
1109.207
Maturity of Bonds
1109.208
Execution of Bonds
1109.209
Bonds Exempt from Taxation
1109.251
Imposition of Ad Valorem Tax
1109.252
Tax Rate
1109.253
Tax Assessor-collector
1109.301
Dissolution
1109.302
Notice of Election
1109.303
Ballot
1109.304
Election Results
1109.305
Transfer or Administration of Assets
1109.306
Sale or Transfer of Assets and Liabilities
1109.307
Imposition of Tax and Return of Surplus Taxes
1109.308
Report

Accessed:
Apr. 29, 2024

§ 1109.159’s source at texas​.gov