Texas § HS.383.031 - INVESTMENT AND USE OF PROCEEDS
Full text of Texas The Texas Constitution § HS.383.031 — INVESTMENT AND USE OF PROCEEDS, with citation guidance and answers to common questions.
§ HS.383.031. INVESTMENT AND USE OF PROCEEDS
INVESTMENT AND USE OF PROCEEDS. (a) The governing body may set aside amounts from the proceeds of the sale of bonds for payment into an interest and sinking fund and reserve funds and may provide for this in the resolution or a security agreement. All expenses of issuing and selling the bonds must be paid from the proceeds of the sale of the bonds. (b) Proceeds from the sale of bonds may be invested in: (1) direct or indirect obligations of the United States government or an agency of the United States government that mature in a manner specified by the resolution or a security agreement; or (2) certificates of deposit of a bank or trust company if the deposits are secured by obligations described by Subdivision (1). (c) A bank or trust company with trust powers may be designated as depository for proceeds of bonds or of lease or other contract revenue. The bank or trust company shall furnish indemnifying bonds or pledge securities as required by the issuer to secure the deposits. Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.
Source: official Texas text · Last verified 2026-08-27
Frequently Asked Questions About Texas § HS.383.031
What does The Texas Constitution § HS.383.031 cover?
Section HS.383.031 ("INVESTMENT AND USE OF PROCEEDS") is part of the The Texas Constitution, the codified statutory law of Texas. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Texas § HS.383.031?
A common citation format is "The Texas Constitution § HS.383.031" (Texas). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Texas law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Texas official source linked on this page or consult a licensed Texas attorney.
How does Texas § HS.383.031 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Texas can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Texas.