(a) This section applies only to meeting space needs of one or more state agencies in a county in which the state leases 50,000 square feet or more of space.
(b) The commission may meet space needs of one or more state agencies that are being met through leased space by purchasing or constructing one or more buildings under this section. The purchase or construction of a building may include the purchase of the building’s grounds and related improvements. The purchase or construction of a building under this section must be:
(1) financed through bonds issued by the Texas Public Finance Authority; and
(2) approved by the legislature if it is in session or by the Legislative Budget Board if the legislature is not in session.

(c) The commission may purchase or construct a building under this section only if the commission determines that the projected annual total space occupancy costs of the purchased or constructed space will not exceed, over the term of the bonded indebtedness, the projected annual total space occupancy costs of meeting the same space needs through leased space.
(d) If the commission makes the necessary determination under Subsection (c) and the purchase or construction is approved under Subsection (b), the Texas Public Finance Authority shall issue and sell bonds to finance the purchase or construction under Chapter 1232, and the commission may purchase or construct the building under that chapter and other applicable law.
(e) The limitation prescribed by § 1232.102 relating to the location of a building for which bonds may be issued and sold does not apply to financing the purchase or construction of a building under this section.
(f) A person from whom real property or an existing building or other improvement is purchased under this section shall provide to the commission the name and the last known address of each person who:
(1) owns record legal title to the real property or building or other improvement; or
(2) owns a beneficial interest in the real property or building or other improvement through a trust, nominee, agent, or other legal entity.
(g) If a state agency vacates leased space to move into space in a building purchased or constructed under this section or if the leased space itself is purchased under this section, the money specifically appropriated by the legislature or the money available to and budgeted by the agency for lease payments for the leased space for the remainder of the biennium may be used only for rental or installment payments for the purchased or constructed space under § 1232.116(b) and for the payment of operating expenses for the purchased or constructed space that are incurred by the commission. The comptroller may adopt rules for the administration of this subsection.
(h) In this section, “total space occupancy costs” include:
(1) for leased space, the direct cost of the lease payments for the space;
(2) for purchased or constructed space, the direct cost of rental or installment payments for the space under § 1232.116(b);
(3) the cost of necessary renovations;
(4) operating costs, including janitorial and utility costs; and
(5) for purchased or constructed space, the cost of maintaining a cash replacement reserve sufficient to service structural maintenance requirements reflecting the expected performance life of the major capital expense items of the building for the term of the bonded indebtedness.