CHAPTER 21. TEXAS PARK DEVELOPMENT FUND - Texas Statutes

PARKS AND WILDLIFE CODE

TITLE 3. PARKS

CHAPTER 21. TEXAS PARK DEVELOPMENT FUND

SUBCHAPTER A. TEXAS PARK DEVELOPMENT BONDS

Sec. 21.001. ISSUANCE OF PARK DEVELOPMENT BONDS. The

department, by resolution of the commission, from time to time

may provide for the issuance of negotiable bonds in an aggregate

amount not to exceed $75 million pursuant to the provisions of

Article III, Section 49-e, of the Texas Constitution. All bonds

provided for under this section shall be issued by the Texas

Public Finance Authority, acting on behalf of the department. In

connection with the issuance of such bonds, the Texas Public

Finance Authority is subject to all rights, duties, and

conditions set forth in this chapter with respect to the issuance

of bonds by the department.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1991, 72nd Leg., 1st C.S., ch. 4, Sec.

14.07, eff. Jan. 1, 1992.

Sec. 21.002. DESCRIPTION OF BONDS. The bonds are called State

of Texas Park Development Bonds and shall be issued on a parity.

The department may issue them in one or several installments and

shall date the bonds of each issue.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.003. SALE PRICE. The department may not sell an

installment or series of bonds for an amount less than the face

value of all of the bonds comprising the installment or series

with the accrued interest from their date of issuance.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.004. INTEREST RATE. The department shall determine the

rate of interest of an installment or series of bonds and shall

determine whether interest is payable annually or semiannually.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.005. FORM, DENOMINATION, PLACE OF PAYMENT. The

department shall determine:

(1) the form of the bonds, including the form of any interest

coupons to be attached;

(2) the denominations of the bonds; and

(3) the places for payment of principal and interest.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.006. MATURITY. The bonds of each issue mature, serially

or otherwise, not more than 40 years from their date.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.007. REDEMPTION BEFORE MATURITY. In the resolution

providing for the issuance of bonds, the department may determine

the price, terms, and conditions for redemption of bonds before

maturity.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.008. REGISTERED AND BEARER BONDS. The resolution may

provide for the registration of bonds as to ownership, successive

conversion and reconversion from bearer to registered bonds, and

successive conversion and reconversion from registered to bearer

bonds.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.009. NOTICE OF BOND SALE. (a) After determining to

sell a series of bonds, the department shall publish notice of

the sale at least one time not less than 10 days before the date

of the sale. The notice shall be published in one or more

recognized financial publications of general circulation

published in the state and one or more recognized financial

publications of general circulation published outside the state.

(b) The department may publish notice of the sale more than once

and in more than one publication.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.010. COMPETITIVE BIDS. The bonds shall be sold only

after competitive bidding to the highest and best bidder. The

department may reject any or all bids.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.011. SECURITY FOR BIDS. The department shall require

every bidder, except administrators of state funds, to include

with their bid an exchange or cashier's check for an amount the

department considers adequate as a forfeit guaranteeing

acceptance of and payment for all bonds covered by the bid.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.012. APPROVAL OF BONDS; REGISTRATION. Before delivering

bonds to the purchasers, the department shall submit the bonds

and the records pertaining to them for approval by the attorney

general. When approval is obtained, the bonds shall be registered

in the office of the comptroller of public accounts.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.013. EXECUTION OF BONDS. (a) The bonds shall be

executed on behalf of the department as general obligations of

the state as provided in this section.

(b) The bonds shall be signed by the presiding officer and the

director, and the seal of the department shall be impressed on

them.

(c) The bonds shall be signed by the governor and attested by

the secretary of state, and the state seal shall be impressed on

them.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 2001, 77th Leg., ch. 968, Sec. 49, eff.

Sept. 1, 2001.

Sec. 21.014. FACSIMILE SIGNATURES AND SEALS. In the resolution

authorizing the issuance of an installment or series of bonds,

the commission may prescribe the extent to which facsimile

signatures and facsimile seals instead of manual signatures and

manually impressed seals may be used in executing the bonds and

appurtenant coupons. Interest coupons may be signed by the

facsimile signatures of the presiding officer and the director.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 2001, 77th Leg., ch. 968, Sec. 50, eff.

Sept. 1, 2001.

Sec. 21.015. SIGNATURE OF FORMER OFFICER. If an officer whose

signature or facsimile signature appears on a bond or whose

facsimile signature appears on a coupon ceases to be an officer

before the delivery of the bond, the signature is valid and

sufficient for all purposes as if he had remained in office until

the delivery had been made.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.016. BONDS INCONTESTABLE, VALID, AND BINDING. (a)

After approval by the attorney general, registration by the

comptroller, and delivery to the purchaser, the bonds are

incontestable and constitute general obligations of the state.

(b) After approval by the attorney general and registration by

the comptroller, the bonds shall be held to be valid and binding

obligations of the state in any action, suit, or other proceeding

in which their validity is questioned.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.017. EVIDENCE OF VALIDITY. In an action to enforce

collection of the bonds or rights incident to the bonds, the

certificate of approval by the attorney general and a certificate

of registration by the comptroller, or certified copies of these

certificates, shall be received in evidence as proof of the

validity of the bonds.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.018. PAYMENT BY COMPTROLLER. The comptroller shall pay

or cause to be paid the principal on bonds as they mature and the

interest as it becomes payable.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 17.03, eff.

Sept. 1, 1997.

Sec. 21.019. DUTIES ENFORCEABLE. The performance of the

official duties of the comptroller may be enforced by mandamus or

other appropriate proceeding.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 17.04, eff.

Sept. 1, 1997.

Sec. 21.020. REFUNDING BONDS. The commission may provide by

resolution for the issuance of refunding bonds. The department

may sell these bonds and use the proceeds to retire the

outstanding bonds issued under this chapter, including interest

accrued on outstanding bonds, or the department may exchange

refunding bonds for outstanding bonds, including accrued

interest. The issuance of the refunding bonds, their maturity,

the rights of the bondholders, and the duties of the department

with respect to refunding bonds are governed by the provisions of

this chapter relating to the original bonds, to the extent they

are applicable and by refunding statutes of general application

not in conflict with the provisions of this chapter.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.021. BONDS NEGOTIABLE INSTRUMENTS. The bonds issued

under the provisions of this chapter are negotiable instruments

under the laws of this state.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.022. BONDS NOT TAXABLE. Bonds issued under this

chapter, income from the bonds, and profit made on their sale are

free from taxation within this state.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.023. AUTHORIZED INVESTMENTS. Bonds issued under this

chapter are legal and authorized investments for:

(1) banks;

(2) savings banks;

(3) trust companies;

(4) building and loan and savings and loan associations;

(5) insurance companies;

(6) fiduciaries;

(7) trustees;

(8) guardians; and

(9) sinking funds of cities, towns, villages, counties, school

districts, and other political subdivisions and public agencies

of the state.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.024. SECURITY FOR DEPOSIT OF FUNDS. Bonds issued under

this chapter, when accompanied by all appurtenant unmatured

coupons, are lawful and sufficient security for all deposits of

funds of the state or of a city, town, village, county, school

district, or other political subdivision or agency of the state,

at the par value of the bonds.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.025. MUTILATED, LOST, OR DESTROYED BONDS. The

department may provide for the replacement of a mutilated, lost,

or destroyed bond.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

SUBCHAPTER B. FUNDING PROVISIONS

Sec. 21.101. TEXAS PARK DEVELOPMENT FUND. (a) The Texas Park

Development Fund, referred to as the "development fund," is

created pursuant to the provisions of Article III, Section 49-e,

of the Texas Constitution.

(b) Proceeds derived from the sale of Texas Park Development

Bonds shall be deposited in the development fund.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.102. USE OF DEVELOPMENT FUND. The department may use

the development fund only for:

(1) acquiring state park sites from the United States or any of

its agencies, agencies of the state, or any other person;

(2) improving, developing, beautifying, and equipping acquired

park sites; and

(3) paying expenses incurred in issuing bonds.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.103. ACQUIRING PARK SITES. (a) Except as provided in

Subsection (b) of this section, the department may acquire park

sites, including property already devoted to public use, by

purchase, condemnation, or other manner.

(b) Except as provided in Subchapter O of Chapter 22 of this

code, no real property of the state or a political subdivision of

the state may be acquired without its consent.

(c) The department shall exercise the power of eminent domain in

the manner prescribed by general law, including the provisions of

Section 13.305 of this code.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1979, 66th Leg., p. 1809, ch. 736, Sec. 3,

eff. Aug. 27, 1979.

Sec. 21.104. CONTRACTS AUTHORIZED. The department may contract

with any state or federal agency or with any other person to

accomplish the functions prescribed by Subdivisions (1) and (2)

of Section 22.102 of this code.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.105. INTEREST AND SINKING FUND. The Texas park

development bonds interest and sinking fund, referred to as the

"interest and sinking fund," is created to be used exclusively

for:

(1) paying the principal of Texas Park Development Bonds as they

mature;

(2) paying the interest on the bonds as it comes due; and

(3) paying exchange and collection charges in connection with

the bonds.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.106. CREDITS TO INTEREST AND SINKING FUND. (a) Accrued

interest received in the sale of bonds, net income received from

entrance or gate fees to state park sites, and income from

investments of the development fund and the interest and sinking

fund shall be credited to the interest and sinking fund. A

portion of the net income from the sale of conservation permits

authorized by Chapter 43 of the Parks and Wildlife Code may be

credited to the interest and sinking fund.

(b) In the resolution authorizing a series of bonds, the

commission may appropriate from the proceeds of the sale of bonds

an amount which, together with accrued interest received, is

sufficient to pay interest coupons coming due during the fiscal

year in which the bonds are sold and to establish appropriate

reserves.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1991, 72nd Leg., ch. 883, Sec. 2, eff.

Sept. 1, 1991.

Sec. 21.1061. REPORT TO BOND REVIEW BOARD. The commission shall

file with the Bond Review Board a report on the performance of

the interest and sinking fund and the development fund. The board

shall review the reports filed by the commission under this

section to assess the performance of the funds in repaying bonds

issued under this chapter. The filing dates and the contents of

the reports must comply with any rules adopted by the board.

Added by Acts 1991, 72nd Leg., 1st C.S., ch. 4, Sec. 13.04, eff.

Aug. 22, 1991. Amended by Acts 2001, 77th Leg., ch. 1420, Sec.

8.363, eff. Sept. 1, 2001.

Sec. 21.107. ADDITIONAL TRANSFERS. (a) If the amount credited

to the sinking and interest fund at the end of the fiscal year is

insufficient to pay the interest coming due and the principal

maturing on bonds for the next fiscal year, the comptroller shall

transfer from the first money coming into the treasury, not

otherwise appropriated by the constitution, an amount stipulated

in the certification of the director as is necessary to pay the

interest and principal on the bonds.

(b) The director shall certify the amount required to be

stipulated by Subsection (a) of this section as of August 15 of

each fiscal year.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1997, 75th Leg., ch. 1423, Sec. 17.05, eff.

Sept. 1, 1997.

Sec. 21.108. INTEREST AND SINKING FUND: FINAL TRANSFER. After

all bonds have been paid, the balance of the interest and sinking

fund shall be transferred to the state parks account.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1993, 73rd Leg., ch. 679, Sec. 20, eff.

Sept. 1, 1993.

Sec. 21.109. TRANSFERS REQUIRED. The state comptroller shall

make any transfer required by this chapter.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.110. INVESTMENT OF FUNDS. (a) The department may

invest the development fund and, in making the investments, is

governed by the provisions of Chapter 401, Acts of the 60th

Legislature, Regular Session, 1967.

(b) The department may invest the interest and sinking fund only

in direct obligations of the United States or in obligations the

principal and interest of which are guaranteed by the United

States.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975.

Sec. 21.111. ENTRY FEES TO PARKS. (a) The department, wherever

feasible may charge and collect an entrance fee to state park

sites.

(b) Income derived from the fees required by this section, less

expenses incurred in collecting the fees, shall be deposited in a

special fund with the comptroller. The amounts deposited are net

income.

(c) If any state park site includes a public beach on the

seaward shore of the Gulf of Mexico, extending from the line of

mean low tide to the line of vegetation, over which the public

has acquired a right of use or easement to or over the area by

prescription or dedication or has retained a right by virtue of

continuous right in the public, no entrance or gate fee may be

charged to persons desiring to enter or to leave the public beach

area, so long as the persons do not enter any other portion of

the park for which an entrance or gate fee is charged.

Acts 1975, 64th Leg., p. 1405, ch. 545, Sec. 1, eff. Sept. 1,

1975. Amended by Acts 1975, 64th Leg., p. 1211, ch. 456, Sec. 11,

eff. Sept. 1, 1975; Acts 1991, 72nd Leg., ch. 883, Sec. 2, eff.

Sept. 1, 1991; Acts 1997, 75th Leg., ch. 1423, Sec. 17.06, eff.

Sept. 1, 1997.