Texas § TN.317.110 - SECURITY FOR AND PAYMENT OF BONDS PAYABLE FROM REVENUE

§ TN.317.110. SECURITY FOR AND PAYMENT OF BONDS PAYABLE FROM REVENUE

SECURITY FOR AND PAYMENT OF BONDS PAYABLE FROM REVENUE. (a) Revenue bonds may be secured by a pledge of and paid from: (1) the net revenue derived from the operation or use of all or a designated part of a facility then in existence or to be improved, constructed, or acquired; (2) the revenue, proceeds, or payments that will accrue to or be received by the municipality under a lease-purchase contract or contract of sale relating to a facility; or (3) a combination of those sources. (b) While the principal of or interest on bonds is outstanding, the municipality shall: (1) impose and collect charges in an amount sufficient to pay: (A) maintenance and operation expenses of the facility the net revenue of which is pledged; (B) the interest on the bonds as it accrues; and (C) the principal of the bonds as the bonds mature; and (2) make any other payment prescribed by the ordinance or other proceeding authorizing or relating to the issuance of the bonds. Added by Acts 1999, 76th Leg., ch. 227, Sec. 24, eff. Sept. 1, 1999.