HBA-EDN H.J.R. 97 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.J.R. 97
By: Junell
Financial Institutions
3/22/2001
Introduced



BACKGROUND AND PURPOSE 

This resolution and its enabling legislation authorize the Texas Public
Finance Authority to issue and sell general obligation bonds, proceeds from
which would be used to pay for construction and repair projects
administered by certain state agencies.  As proposed, House Joint
Resolution 97 requires the submission to the voters of a constitutional
amendment authorizing the issuance of up to $10 million in general
obligation bonds for construction and repair projects. 

RULEMAKING AUTHORITY

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

ANALYSIS

House Joint Resolution 97 amends the Texas Constitution to provide that the
legislature by general law may authorize the Texas Public Finance Authority
(authority) to provide for, issue, and sell general obligation bonds of the
State of Texas (bonds) in an amount not to exceed $10 million.  The
resolution requires the bonds to be executed in the form, on the terms, and
in the denominations, bear interest, and be issued in installments as
prescribed by the authority.  The resolution requires that proceeds from
the sale of the bonds be deposited in a separate fund or account within the
state treasury and authorizes money in this fund to be used only to pay for
construction and repair projects administered by the General Services
Commission, the Texas Youth Commission, the Texas Department of Criminal
Justice, the Texas Department of Mental Health and Mental Retardation, and
the Texas Parks and Wildlife Department.  

The resolution sets forth provisions relating to the payment of principal
and interest on bonds and provides that bonds are incontestable and are
general obligations to the State of Texas.      

FOR ELECTION

This proposed constitutional amendment shall be submitted to the voters at
an election to be held November 6, 2001.