Texas Transportation Code

§ 454.029 — ADDITIONAL BONDS OR NOTES

TN § 454.029Title 6. ROADWAYS · Part K. MASS TRANSPORTATION · Ch. 454. MUNICIPAL MASS TRANSPORTATION SYSTEMS · Art. B. REVENUE BONDS AND NOTES

Statute text

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(a)While bonds or notes that are payable from and secured by a pledge of the revenue of a mass transportation system are outstanding, the municipality that issued the bonds or notes may from time to time issue other bonds or notes for the purpose of:

(1)extending, improving, or both extending and improving the system; or

(2)acquiring another mass transportation system.

(b)Bonds or notes issued under Subsection (a) constitute a lien on the revenue, in the order of their issuance, inferior to the liens securing all issues and series of bonds or notes previously issued.

(c)Notwithstanding Subsection (b), a municipality may:

(1)adopt an ordinance or execute and issue a deed of trust, trust indenture, or similar instrument that provides for the subsequent issuance of additional bonds or notes on a parity with the previously issued bonds or notes; and

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Legislative history

Acts 1995, 74th Leg., ch. 165, Sec. 1, eff. Sept. 1, 1995.