Texas Government Code 1507.151 – Authority to Issue Bonds
(a) The governing body of a municipality by ordinance may issue bonds secured by and payable from ad valorem taxes to provide for the payment of all or part of the municipality’s current expenses for a fiscal year if:
(1) in that fiscal year the municipality has lost or is likely to lose an amount that is:
(A) more than $15 million; and
(B) more than 15 percent of the municipality’s budget for the fiscal year, not including the amount necessary for debt service; and
(2) the loss or potential loss is the result of a person who received municipal funds seeking or acceding to protection under Title 11, United States Code.
(b) A determination by the municipality’s governing body that a loss has occurred or is likely to occur, or of the amount of a loss or anticipated loss, is conclusive.
Terms Used In Texas Government Code 1507.151
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
- United States: includes a department, bureau, or other agency of the United States of America. See Texas Government Code 311.005
- Year: means 12 consecutive months. See Texas Government Code 311.005