Texas Water Code
§ 15.435 — BOND ENHANCEMENT AGREEMENTS
WA § 15.435Title 2. WATER ADMINISTRATION · Part C. WATER DEVELOPMENT · Ch. 15. TEXAS WATER ASSISTANCE PROGRAM · Art. G. STATE WATER IMPLEMENTATION FUND FOR TEXAS
Statute text
View on source(a)A bond enhancement agreement entered into under this section is an agreement for professional services. A bond enhancement agreement must contain terms that are consistent with Section 15.433(h), and the agreement, including the period covered by the agreement and all other terms and conditions of the agreement, must be approved by the board. An obligation to disburse money from the fund, or from a special account established by the board, in accordance with a bond enhancement agreement is a special obligation of the board payable solely from designated income and receipts of the fund or of the account, as determined by the board. An obligation to disburse money from the fund, or from a special account established by the board, in accordance with a bond enhancement agreement does not constitute indebtedness of the state.
(b)To facilitate the use of the fund for the purposes of this subchapter, the board may direct the trust company to enter into bond enhancement agreements to provide a source of revenue or security for the payment of the principal of and interest on general obligation bonds, including bonds issued under Section 49-d-9 or 49-d-11, Article III, Texas Constitution, or revenue bonds issued by the board to finance or refinance projects included in the state water plan if the proceeds of the sale of the bonds have been or will be deposited to the credit of:
(1)the state water implementation revenue fund for Texas;
(2)the water infrastructure fund;
(3)the rural water assistance fund;
(4)the Texas Water Development Fund II state participation account; or
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Legislative history
Acts 2019, 86th Leg., R.S., Ch. 886 (H.B. 3339), Sec. 3, eff. September 1, 2019. Acts 2021, 87th Leg., R.S., Ch. 68 (H.B. 1905), Sec. 1, eff. September 1, 2021. Acts 2025, 89th Leg., R.S., Ch. 494 (S.B. 1261), Sec. 2, eff. September 1, 2025.