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Texas Special District Local Laws Code

§ 1005.160 — AUTHORITY TO BORROW MONEY; SECURITY

SD § 1005.160Title 3. HEALTH · Part A. HOSPITAL DISTRICTS · Ch. 1005. BAYLOR COUNTY HOSPITAL DISTRICT · Art. D. GENERAL FINANCIAL PROVISIONS

Statute text

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(a)The board may borrow money if the board declares that there is an emergency because money is not available to meet authorized obligations of the district.
(b)To secure a loan, the board may pledge:
(1)district revenues that are not pledged to pay any bonded indebtedness of the district;
(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)If a tax or bond is pledged to pay the loan, the loan shall mature not later than the first anniversary of the date the loan is made. If revenues of the district are pledged for payment of the loan, the loan shall mature not later than the fifth anniversary of the date the loan is made.

Legislative history

Added by Acts 2005, 79th Leg., Ch. 729 (H.B. 2019), Sec. 1.01, eff. April 1, 2007.

Source: Texas Special District Local Laws Code § 1005.160 from the Texas Constitution and Statutes (Texas Legislature) (public record). DecisionDepot is for informational use only and is not legal advice — verify against the official source before relying on this text.