HBA-MPA S.B. 1622 76(R)    BILL ANALYSIS


Office of House Bill AnalysisS.B. 1622
By: Lucio
Urban Affairs
5/9/1999
Engrossed



BACKGROUND AND PURPOSE 

Currently, under Texas law, a housing trust fund exists.  S.B. 1622 revises
certain provisions regarding the housing trust fund. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 2306.201, Government Code, to provide that the
housing trust fund (fund) be placed with the Texas Treasury Safekeeping
Trust Company or with a depository selected in conformance with the terms
of a bond indenture.  Provides that the fund consists of proceeds of
general obligation bonds issued as provided by the governing board of the
Texas Department of Housing and Community Affairs (board) under Section
2306.352 (Texas Housing Bonds), among other sources. 

SECTION 2. Amends Section 2306.202(b), Government Code, to provide that use
of the fund is limited to providing payment for costs associated with
general obligation bonds issued as provided by the board under Section
2306.352. 

SECTION 3. Amends Section 2306.352(a), Government Code, to make a
conforming change. 

SECTION 4. Amends Section 2306.471, Government Code, to prohibit the net
effective interest rate on general obligation bonds issued under this
section from exceeding the maximum rate allowable under Article 717k-2
(Public Securities; Issuance by Public Agencies; Interest Rate), V.T.C.S.
Makes conforming changes. 

SECTION 5. Effective date: January 1, 2000, if the constitutional amendment
proposed by S.J.R. 35, 76th Legislature, Regular Session, 1999, is approved
by the voters.  Provides that this Act has no effect if that amendment is
not approved by the voters. 

SECTION 6.  Provides that this Act takes effect only if a specific
appropriation for the implementation of this Act is provided by H.B. 1
(General Appropriations Act), Acts of the 76th Legislature, Regular
Session, 1999, and that if no such appropriation is provided this Act has
no effect. 

SECTION 7.  Emergency clause.