HBA-CCH H.B. 3097 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3097
By: Counts
State, Federal & International Relations
3/19/2001
Introduced



BACKGROUND AND PURPOSE 

A constitutional amendment filed this session to propose amendments to
provide that if the Veterans Land Board determines that any receipts and
assets of the veterans' land fund, veterans' housing assistance fund, or
veterans' housing assistance fund II are not necessary for the purposes of
those funds, those receipts and assets are to be pledged as security for
revenue bonds for the purpose of augmenting the funds and providing one or
more veterans homes.  Pledging these receipts and assets as security for
revenue bonds would possibly make it easier to obtain a bond rating from a
nationally recognized firm that may bring more investors and possibly lower
the cost of the funds.  House Bill 3097 implements statutory changes
recommended by the proposed constitutional amendment, provided that it is
approved by the voters. 

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. 

ANALYSIS

House Bill 3097 amends the Natural Resources Code to authorize the
Veterans' Land Board to pledge of and lien or mortgage, as security for
payment of revenue bonds, on receipts and assets of the veterans' land
fund, the veterans' housing assistance fund, and the veterans' housing
assistance fund II in order to augment the funds and provide one or more
veterans homes.   

EFFECTIVE DATE

This Act takes effect on the date on which the constitutional amendment
authorizing the Veterans' Land Board to issue general obligation bonds for
veterans' housing assistance takes effect.  If that amendment is not
approved by the voters, this Act has no effect.