Tex.
Spec. Dist. Local Laws Code Section 3947.203
Borrowing Money; Obligations
(a)
The district may borrow money for a district purpose, including the acquisition or construction of improvement projects authorized by this chapter and the reimbursement of a person who develops or owns an improvement project authorized by this chapter, by issuing bonds, notes, time warrants, or other obligations, or by entering into a contract or other agreement payable wholly or partly from an assessment, a contract payment, a grant, revenue from a zone created under Chapter 311 (Tax Increment Financing Act) or 312 (Property Redevelopment and Tax Abatement Act), Tax Code, other district revenue, or a combination of these sources.(b)
An obligation described by Subsection (a):(1)
may bear interest at a rate determined by the board; and(2)
may include a term or condition as determined by the board.(c)
The board may issue an obligation under this section without an election.(d)
The district may issue, by public or private sale, bonds, notes, or other obligations payable wholly or partly from assessments in the manner provided by Subchapter J (General Obligation and Revenue Bonds), Chapter 375 (Municipal Management Districts in General), Local Government Code.(e)
If the improvements financed by an obligation will be conveyed to or operated and maintained by a municipality or retail utility provider pursuant to an agreement between the district and the municipality or retail utility provider entered into before the issuance of the obligation, the obligation may be issued in the manner provided by Subchapter A (Short Title), Chapter 372 (Improvement Districts in Municipalities and Counties), Local Government Code.
Source:
Section 3947.203 — Borrowing Money; Obligations, https://statutes.capitol.texas.gov/Docs/SD/htm/SD.3947.htm#3947.203 (accessed Jun. 5, 2024).
