Texas Local Government Code 501.007 – Lending Credit or Granting Public Money
Current as of: 2024 | Check for updates
|
Other versions
(a) Except as provided by Subsection (b), a unit may not lend its credit or grant public money or another thing of value in aid of a corporation.
(b) A municipality may grant public money to a corporation under a contract authorized by § 380.002.
Terms Used In Texas Local Government Code 501.007
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Municipality: means a general-law municipality, home-rule municipality, or special-law municipality. See Texas Local Government Code 1.005
(c) The grants, loans, expenditures, and tax exemptions authorized by this subtitle in connection with a project and authorized by a corporation in accordance with this subtitle constitute the making of loans or grants of public money or constitute other actions authorized by § 52-a, Article III, Texas Constitution.