Tex. Transp. Code Section 366.115
Bond Indenture


(a)

Bonds issued under this chapter may be secured by a bond indenture between the authority and a corporate trustee that is a trust company or a bank that has the powers of a trust company.

(b)

A bond indenture may pledge or assign the tolls and other revenue to be received but may not convey or mortgage any part of a turnpike project or system.

(c)

A bond indenture may:

(1)

set forth the rights and remedies of the bondholders and the trustee;

(2)

restrict the individual right of action by bondholders as is customary in trust agreements or indentures of trust securing corporate bonds and debentures; and

(3)

contain provisions the authority determines reasonable and proper for the security of the bondholders, including covenants:

(A)

establishing the authority’s duties relating to:
(i)
the acquisition of property;
(ii)
the construction, maintenance, operation, and repair of and insurance for a turnpike project or system; and
(iii)
custody, safeguarding, and application of money;

(B)

prescribing events that constitute default;

(C)

prescribing terms on which any or all of the bonds become or may be declared due before maturity; and

(D)

relating to the rights, powers, liabilities, or duties that arise on the breach of an authority’s duty.

(d)

The expenses incurred in carrying out a trust agreement may be treated as part of the cost of operating the turnpike project.

(e)

In addition to all other rights by mandamus or other court proceeding, an owner or trustee of a bond issued under this chapter may enforce the owner’s rights against an issuing authority, the authority’s employees, the authority’s board, or an agent or employee of the authority’s board and is entitled to:

(1)

require the authority and the board to impose and collect tolls, charges, and other revenue sufficient to carry out any agreement contained in the bond proceedings; and

(2)

apply for and obtain the appointment of a receiver for the turnpike project or system.
Added by Acts 1997, 75th Leg., ch. 1171, Sec. 7.24, eff. Sept. 1, 1997.

Source: Section 366.115 — Bond Indenture, https://statutes.­capitol.­texas.­gov/Docs/TN/htm/TN.­366.­htm#366.­115 (accessed Mar. 23, 2024).

366.001
Short Title
366.002
Purposes
366.003
Definitions
366.004
Construction Costs Defined
366.031
Creation and Expansion of a Regional Tollway Authority
366.032
Nature of Regional Tollway Authority
366.033
General Powers
366.034
Establishment of Turnpike Systems
366.036
Transfer of Turnpike Project or System
366.037
Other Highway Projects
366.038
Tolling Services
366.071
Expenditures for Feasibility Studies
366.072
Feasibility Study Fund
366.073
Feasibility Study by Municipality, County, Other Local Governmental Entity, or Private Group
366.111
Turnpike Revenue Bonds
366.112
Interim Bonds
366.113
Payment of Bonds
366.114
Effect of Lien
366.115
Bond Indenture
366.116
Approval of Bonds by Attorney General
366.117
Furnishing of Indemnifying Bonds or Pledges of Securities
366.118
Applicability of Other Law
366.161
Turnpike Projects Extending into Other Counties
366.162
Powers and Procedures of Authority in Acquiring Property
366.163
Acquisition of Property
366.164
Right of Entry
366.165
Condemnation of Real Property
366.166
Declaration of Taking
366.167
Possession of Property
366.168
Severance of Real Property
366.169
Acquisition of Rights in Public Real Property
366.170
Compensation for and Restoration of Public Property
366.171
Public Utility Facilities
366.172
Lease, Sale, or Conveyance of Turnpike Project
366.173
Revenue
366.174
Authority Revolving Fund
366.175
Use of Surplus Revenue
366.176
Exemption from Taxation or Assessment
366.177
Actions Affecting Existing Roads
366.178
Failure or Refusal to Pay Toll
366.179
Use and Return of Transponders
366.180
Controlled Access to Turnpike Projects
366.181
Promotion of Toll Roads
366.182
Operation of Turnpike Project
366.183
Audit
366.184
Disadvantaged Businesses
366.185
Engineering, Design, and Construction Services
366.251
Board of Directors
366.252
Conflict of Interest
366.253
Surety Bonds
366.254
Removal of Director
366.255
Compensation of Director
366.256
Evidence of Authority Actions
366.257
Public Access
366.258
Indemnification
366.259
Purchase of Liability Insurance
366.260
Certain Contracts and Sales Prohibited
366.261
Strategic Plans and Annual Reports
366.262
Meetings by Telephone Conference Call
366.301
Department Contributions to Turnpike Projects
366.302
Agreements to Construct, Maintain, and Operate Turnpike Projects
366.303
Agreements Between Authority and Local Governmental Entities
366.304
Additional Agreements of Authority
366.0311
Advisory Committee for Projects Located Outside Authority
366.401
Comprehensive Development Agreements
366.402
Process for Entering into Comprehensive Development Agreements
366.403
Confidentiality of Information
366.404
Performance and Payment Security
366.405
Ownership of Turnpike Projects
366.406
Liability for Private Obligations
366.407
Terms of Private Participation
366.408
Rules, Procedures, and Guidelines Governing Selection and Negotiating Process
366.409
Use of Contract Payments
366.2575
Board Vote on County Request

Accessed:
Mar. 23, 2024

§ 366.115’s source at texas​.gov