Sec. 1075.156. AUTHORITY TO BORROW MONEY; SECURITY. (a) The board may borrow money from a federally insured lending institution or make other financial arrangements for district operating expenses or other authorized obligations.
(b) The board may borrow money in an amount and subject to a rate of interest and other terms the board finds appropriate.
(c) To secure a loan, the board may pledge:
(1) district revenue that is not pledged to pay the district's bonded indebtedness; or
(2) property acquired with borrowed money that is not pledged to pay the district's bonded indebtedness.
(d) A loan for which district revenue is pledged must mature not later than the fifth anniversary of the date the loan is made.
(e) The district must provide for the payment of all district debts and obligations before dissolution.
Added by Acts 2013, 83rd Leg., R.S., Ch. 112 (S.B. 1026), Sec. 1.01, eff. April 1, 2015.
Last modified: September 28, 2016