CHAPTER 8288. MEEKER MUNICIPAL WATER DISTRICT - Texas Statutes

SPECIAL DISTRICT LOCAL LAWS CODE

TITLE 6. WATER AND WASTEWATER

SUBTITLE F. MUNICIPAL UTILITY DISTRICTS

CHAPTER 8288. MEEKER MUNICIPAL WATER DISTRICT

Text of effective on April 01, 2011

SUBCHAPTER A. GENERAL PROVISIONS

Text of section effective on April 01, 2011

Sec. 8288.001. DEFINITIONS. In this chapter:

(1) "Board" means the board of directors of the district.

(2) "Bond" means a bond or note.

(3) "Director" means a member of the board.

(4) "District" means the Meeker Municipal Water District.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.002. NATURE OF DISTRICT. The district is a

conservation and reclamation district in Jefferson County created

under Section 59, Article XVI, Texas Constitution.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.003. FINDINGS OF BENEFIT AND PUBLIC PURPOSE. (a) The

district is created to serve a public use and benefit.

(b) All land and other property included in the boundaries of

the district will benefit from the works and projects

accomplished by the district under the powers conferred by

Section 59, Article XVI, Texas Constitution.

(c) The accomplishment of the purposes stated in this chapter is

for the benefit of the people of this state and for the

improvement of their property and industries. The district, in

carrying out the purposes of this chapter, will be performing an

essential public function under the constitution.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.004. LIBERAL CONSTRUCTION OF CHAPTER. This chapter

shall be liberally construed to effect the purposes, powers,

rights, and functions stated in this chapter.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.005. DISTRICT TERRITORY. (a) The district is composed

of the territory described by Section 1, Chapter 714, Acts of the

65th Legislature, Regular Session, 1977, as that territory may

have been modified under:

(1) Subchapter H, Chapter 54, Water Code;

(2) Subchapter J, Chapter 49, Water Code; or

(3) other law.

(b) The boundaries of the district form a closure. A mistake in

copying the field notes in the legislative process or another

mistake in the field notes does not affect:

(1) the district's organization, existence, or validity;

(2) the district's right to issue bonds or to pay the principal

of and interest on the bonds;

(3) the district's right to impose a tax; or

(4) the legality or operation of the district or the board.

(c) The board may redefine the boundaries of the district to

correct any mistake in the field notes appearing in Section 1,

Chapter 714, Acts of the 65th Legislature, Regular Session, 1977.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

SUBCHAPTER B. BOARD OF DIRECTORS

Text of section effective on April 01, 2011

Sec. 8288.051. COMPOSITION OF BOARD; TERMS. (a) The district

is governed by a board of nine elected directors, each of whom

occupies a numbered place on the board.

(b) Directors serve staggered terms.

(c) Director elections must be held in the manner provided in

the Water Code for municipal utility districts.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.052. QUALIFICATIONS FOR OFFICE. To be eligible to be

elected or to serve as a director, a person must be a resident,

qualified voter of the district.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8828.053. BOARD RESOLUTIONS; VOTING REQUIREMENTS. (a) The

district shall act through orders or resolutions adopted by the

board.

(b) All directors are entitled to vote.

(c) The affirmative vote of a majority of the directors in

attendance, but not fewer than five directors, is necessary to

adopt an order or resolution.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.054. OFFICERS AND ASSISTANTS. (a) The board shall

elect a president, vice president, secretary, and treasurer.

(b) The board shall elect the president and vice president from

among the directors.

(c) The president serves for a one-year term.

(d) The offices of secretary and treasurer:

(1) may be held by one person; and

(2) are not required to be held by a director.

(e) The board may appoint one or more assistant officers who are

not required to be directors.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.055. OFFICER DUTIES. (a) The board president shall

preside at board meetings and perform other duties prescribed by

the board.

(b) The board secretary is the official custodian of the

minutes, books, records, and seal of the board and shall perform

other duties and functions prescribed by the board.

(c) The board treasurer shall perform duties and functions

prescribed by the board.

(d) An assistant officer may perform any duties or functions as

may be prescribed by the board.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.056. MEETINGS. The board shall have regular meetings

at times specified by board resolution or bylaws and shall have

special meetings when called by the board president or by any

three directors.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

SUBCHAPTER C. POWERS AND DUTIES

Text of section effective on April 01, 2011

Sec. 8288.101. DISTRICT POWERS. The district may exercise any

power necessary or appropriate to achieve the purposes of this

chapter, including the power to:

(1) adopt an official seal;

(2) adopt and enforce:

(A) bylaws and rules for the conduct of its affairs; and

(B) any rule that a municipal utility district may adopt and

enforce under Section 54.205 et seq., Water Code;

(3) acquire, hold, use, invest, reinvest, and dispose of its

receipts and money from any source;

(4) select a depository or depositories;

(5) acquire, own, rent, lease, accept, hold, or dispose of

property or an interest in property, including a right or

easement, by purchase, exchange, gift, assignment, condemnation,

sale, lease, or other means, in performing a duty or exercising a

power under this chapter;

(6) hold, manage, operate, or improve property;

(7) lease or rent any land, buildings, structures, or facilities

from or to any person;

(8) sell, assign, lease, encumber, mortgage, or otherwise

dispose of property or an interest in property, and release or

relinquish a right, title, claim, lien, interest, easement, or

demand, regardless of the manner in which acquired, and conduct a

transaction authorized by this subdivision by public or private

sale, notwithstanding any other law;

(9) in the manner and to the extent permitted by this chapter:

(A) borrow money for a corporate purpose;

(B) enter into an agreement in connection with the borrowing;

(C) issue bonds for money borrowed;

(D) provide for and secure the payment of the bonds; and

(E) provide for the rights of the holders of the bonds;

(10) request and accept an appropriation, grant, allocation,

subsidy, guaranty, aid, service, material, or gift from any

public or private source, including the federal government, the

state, a public agency, or a political subdivision;

(11) operate and maintain an office; and

(12) appoint and determine the duties, tenure, qualifications,

and compensation of officers, employees, agents, and professional

advisors and counselors considered necessary or advisable by the

board, including financial consultants, accountants, attorneys,

architects, engineers, appraisers, and financing experts.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.102. GENERAL POWERS REGARDING WATER. The district has

all rights, powers, and privileges necessary or useful to enable

it to acquire, provide, supply, deliver, and sell potable water

inside or outside its boundaries for any beneficial purpose.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.103. GENERAL POWERS REGARDING WASTE. The district has

all rights, powers, and privileges necessary or useful to enable

it to collect, transport, dispose of, and control domestic,

industrial, or communal wastes, whether in fluid, solid, or

composite state.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.104. GENERAL POWERS REGARDING GARBAGE COLLECTION AND

DISPOSAL. The district has all rights, powers, and privileges

necessary or useful to enable it to provide for garbage

collection and disposal in all or part of the district on terms

and at rates and charges the board considers just and reasonable

to:

(1) preserve the water of rivers and streams in this state; and

(2) aid in the preservation and conservation of the natural

resources of this state.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.105. GENERAL CONTRACT POWERS. (a) The district may

enter into and enforce a contract or agreement necessary or

convenient to the exercise of the powers, rights, privileges, and

functions conferred on the district by this chapter or the

general law, including a contract or agreement with any person as

the board considers necessary or proper for, or in connection

with, any power or function of the district for:

(1) the purchase or sale of water;

(2) the collection, transportation, processing, or disposal of

waste; or

(3) the construction, acquisition, ownership, financing,

operation, maintenance, sale, leasing to or from, or other use or

disposition of any facilities authorized to be developed,

acquired, or constructed under this chapter or the general law.

(b) The authority to enter into or enforce the contract or

agreement includes the authority to enter into or enforce a

contract or agreement regarding:

(1) any improvements, structures, facilities, equipment, and

other property of any kind in connection with the subject of the

contract or agreement;

(2) any land, leaseholds, and easements; and

(3) any interests in the property.

(c) The contract or agreement:

(1) may not have a term of more than 40 years; and

(2) may contain provisions the board determines to be in the

best interest of the district.

(d) The district may pledge all or part of its revenue to the

payment of its obligations under the contract or agreement to the

same extent and on the same conditions as it may pledge revenue

to secure district bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.106. AUTHORITY OF PUBLIC AGENCIES AND POLITICAL

SUBDIVISIONS TO CONTRACT WITH DISTRICT. A public agency or

political subdivision of this state may enter into a contract or

agreement with the district, on terms agreed to by the parties,

for:

(1) the purchase or sale of water;

(2) waste collection, transportation, processing, or disposal;

or

(3) any purpose relating to the district's powers or functions.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.107. CONVEYANCE OF PROPERTY TO DISTRICT. A public

agency or political subdivision of this state may lease, sell, or

otherwise convey to the district, for any consideration that the

parties agree is adequate, any of its land, improvements,

property, plants, lines, or other facilities related to:

(1) the supply of water; or

(2) waste collection, transportation, processing, or disposal.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.108. ACQUISITION OF EXISTING FACILITIES. If the

district acquires existing works, improvements, facilities,

plants, equipment, or appliances that are completed, partially

created, or under construction, the district may:

(1) assume the contracts and obligations of the previous owner;

and

(2) perform the obligations of the previous owner in the same

manner and to the same extent that any other purchaser or

assignee would be bound.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.109. EMINENT DOMAIN. (a) To carry out a power

conferred by this chapter, the district may exercise the power of

eminent domain inside or outside the district to acquire the fee

simple title to land, or any other interest in land as determined

by the board, and other property and easements, necessary for

water wells, water or sewer treatment plants, water or sewer

lines, pumping stations and force mains, storage tanks, or other

similar facilities.

(b) The district must exercise the power of eminent domain in

the manner provided by Chapter 21, Property Code.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.110. COST OF RELOCATING OR ALTERING PROPERTY;

RIGHTS-OF-WAY AND EASEMENTS. (a) If the district's exercise of

its eminent domain, police, or other power requires relocating,

raising, lowering, rerouting, or changing the grade of or

altering the construction of any highway, railroad, electric,

transmission, telegraph, or telephone line, conduit, pole,

property, or facility or pipeline, the action shall be

accomplished at the sole expense of the district. The term "sole

expense" means the actual cost of the lowering, rerouting, or

change in grade or alteration of construction to provide a

comparable replacement without enhancing the facility, after

deducting from the cost the net salvage value derived from the

old facility.

(b) The district has all necessary or useful rights-of-way and

easements along, over, under, and across all public, state,

municipal, and county roads, highways, and places for any of its

purposes. The district shall restore a used facility to its

previous condition as nearly as possible at the sole expense of

the district.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

SUBCHAPTER D. GENERAL FINANCIAL PROVISIONS

Text of section effective on April 01, 2011

Sec. 8288.151. IMPOSITION OF MAINTENANCE TAX; PROHIBITION ON

OTHER TAXES OR ASSESSMENTS. (a) The district may impose a tax,

not to exceed 10 cents on each $100 of the assessed value of

taxable property in the district according to the most recent

certified tax appraisal roll of the district, for:

(1) maintenance purposes, including money for studying,

planning, maintaining, repairing, and operating all necessary

plants, works, facilities, improvements, appliances, and

equipment of the district;

(2) paying costs of proper services, engineering, and legal

fees; and

(3) organization and administrative expenses.

(b) The district may not impose a maintenance tax unless the tax

is approved by a majority of the voters voting at an election

held for that purpose.

(c) Except for the maintenance tax authorized by this section,

the district may not under this chapter or any other law levy or

collect a tax or assessment or create a debt payable from a tax

or assessment.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.152. ELECTION TO IMPOSE TAX. (a) The board may order

an election to impose a maintenance tax. The election order must

specify:

(1) the time and place of the election;

(2) the maximum amount of tax to be authorized;

(3) the form of the ballot; and

(4) other matters the board considers necessary or advisable.

(b) Notice of the election must be given by publishing once a

week for two consecutive weeks a substantial copy of the election

order in a newspaper of general circulation in the district. The

first publication must occur at least 14 days before the date of

the election.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.153. DEPOSITORY. (a) The board shall designate one

or more banks inside or outside the district to serve as the

depository for the district's money.

(b) All district money shall be deposited in the depository

designated by the board, except that:

(1) bond proceeds and money pledged to pay bonds, to the extent

provided in a resolution or trust indenture authorizing or

securing district bonds, may be deposited with another bank or

trustee named in the bond resolution or trust indenture; and

(2) money shall be remitted to each paying agent for the payment

of principal of and interest on the bonds.

(c) To the extent that money in a depository bank or the trustee

bank is not insured by the Federal Deposit Insurance Corporation,

the money must be secured in the manner provided by law for the

security of the county funds in this state.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.154. INVESTMENT OF DISTRICT MONEY. The board may

invest district money in obligations and make time deposits of

district money in a manner determined by the board or in the

manner permitted or required in a resolution or trust indenture

authorizing or securing district bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.155. DISTRICT FACILITIES EXEMPT FROM TAXATION AND

ASSESSMENT. The district is not required to pay a tax or

assessment on its facilities or any part of its facilities. (Acts

65th Leg., R.S., Ch. 714, Sec. 22 (part).)

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

SUBCHAPTER E. BONDS

Text of section effective on April 01, 2011

Sec. 8288.201. AUTHORITY TO ISSUE BONDS. (a) The district may

issue bonds payable from and secured by district revenue to carry

out any power conferred by this chapter. The bonds must be

authorized by a board resolution.

(b) The bonds must be issued in the manner and under the terms

of the resolution authorizing the issuance of the bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.202. FORM OF BONDS. District bonds must be:

(1) issued in the district's name;

(2) signed by the president or vice president; and

(3) attested by the secretary.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.203. MATURITY. District bonds must mature not later

than 40 years after the date of their issuance.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.204. BONDS SECURED BY REVENUE; ADDITIONAL BONDS. (a)

District bonds may be secured by a pledge of all or part of the

district's revenue, or by all or part of the payments or rentals

under one or more contracts or leases specified by board

resolution or a trust indenture securing the bonds.

(b) A resolution authorizing the issuance of bonds secured by a

pledge of revenue of all or part of the district's facilities may

provide that the district shall first pay the expenses of

operating and maintaining all or part of the facilities as the

board considers appropriate before paying the principal of and

interest on the bonds.

(c) In a resolution authorizing the issuance of bonds secured by

revenue, contract payments, or lease rentals, the district may

reserve the right, under conditions specified by the resolution,

to issue additional bonds that will be on a parity with, superior

to, or subordinate to the bonds then being issued.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.205. ADDITIONAL SECURITY. (a) District bonds may be

additionally secured, at the discretion of the board, by a deed

of trust or mortgage lien on all or part of the district's

physical property, facilities, easements, water rights and

appropriation permits, leases, contracts, and all rights

appurtenant to the property, vesting in the trustee power to:

(1) sell the property for the payment of the debt;

(2) operate the property; and

(3) take other action to further secure the bonds.

(b) A purchaser under a sale under the deed of trust lien, if

one is given:

(1) is the absolute owner of the property, facilities, and

rights purchased; and

(2) is entitled to maintain and operate the property,

facilities, and rights.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.206. TRUST INDENTURE. District bonds authorized by

this chapter, including refunding bonds, may be additionally

secured by a trust indenture. The trustee may be a bank with

trust powers that is located inside or outside the state.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.207. CHARGES FOR DISTRICT SERVICES. If district bonds

payable wholly from revenue are issued, the board shall set and

revise the rates, fees, and charges assessed for water sold and

waste collection and treatment services provided by the district.

The rates, fees, and charges must be sufficient to:

(1) pay the expense of operating and maintaining the district

facilities that generate the revenue from which the bonds will be

paid;

(2) pay the principal of and interest on the bonds when due; and

(3) maintain the reserve fund and other funds as provided in the

resolution authorizing the bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.208. STATE PLEDGE REGARDING RIGHTS AND REMEDIES OF

BONDHOLDERS. Without depriving this state of its power to

regulate and control the rates, fees, and charges assessed for

water sold and waste collection and treatment services provided

by the district, the state pledges to and agrees with the holders

of district bonds that the state will not exercise its power to

regulate and control the rates, fees, and charges in any way that

would impair the rights or remedies of the holders of the bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.209. USE OF BOND PROCEEDS. (a) The district may set

aside an amount of proceeds from the sale of district bonds for:

(1) the payment of interest expected to accrue during

construction not to exceed three years;

(2) a debt service reserve fund; and

(3) other funds as may be provided in the resolution authorizing

the bonds or in the trust indenture.

(b) The district may use proceeds from the sale of the bonds to

pay any expense necessarily incurred in accomplishing the purpose

of the district, including any expense of issuing and selling the

bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.210. APPOINTMENT OF RECEIVER. (a) On default or

threatened default in the payment of the principal of or interest

on district bonds that are payable wholly or partly from revenue,

a court may, on petition of the holders of at least 25 percent of

the district's outstanding revenue bonds, appoint a receiver for

the district.

(b) The receiver may collect and receive all district revenue,

other than taxes, employ and discharge district agents and

employees, and take charge of money on hand, other than money

received from taxes, unless commingled, and or hindrance by the

board.

(c) The receiver may be authorized to sell or contract for the

sale of water or the collection or treatment of waste or to renew

contracts with the approval of the court that appointed the

receiver.

(d) The court may vest the receiver with any other power or duty

the court finds necessary to protect the holders of the bonds.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.211. REFUNDING BONDS. (a) The district may issue

refunding bonds to refund outstanding district bonds and interest

on those bonds. Refunding bonds may be issued without an

election.

(b) Refunding bonds may:

(1) be issued to refund bonds of more than one series;

(2) combine the pledges for the outstanding bonds for the

security of the refunding bonds; or

(3) be secured by a pledge of other or additional revenue or

mortgage liens.

(c) The provisions of this subchapter regarding the issuance of

other bonds, their security, and the remedies of the holders

apply to refunding bonds.

(d) The comptroller shall register the refunding bonds on the

surrender and cancellation of the bonds to be refunded.

(e) Instead of issuing bonds to be registered on the surrender

and cancellation of the bonds to be refunded, the district, in

the resolution authorizing the issuance of the refunding bonds,

may provide for the sale of the refunding bonds and the deposit

of the proceeds in a bank at which the bonds to be refunded are

payable. In that case, the refunding bonds may be issued in an

amount sufficient to pay the principal of and interest and any

required redemption premium on the bonds to be refunded to any

redemption date or to their maturity date, and the comptroller

shall register the refunding bonds without the surrender and

cancellation of the bonds to be refunded.

(f) The district may also issue refunding bonds under any other

applicable law.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.212. OTHER REMEDIES AND COVENANTS. The resolution

authorizing the issuance of any district bonds authorized under

this chapter, including refunding bonds, or the trust indenture

securing the bonds, may provide other remedies and covenants the

board considers necessary to issue the bonds on the most

favorable terms.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.213. LIMITATION ON RIGHTS OF BONDHOLDERS. The

resolution authorizing the bonds or the trust indenture securing

the bonds may limit or qualify the rights of the holders of less

than all of the outstanding bonds payable from the same source to

institute or prosecute litigation affecting the district's

property or income.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.

Text of section effective on April 01, 2011

Sec. 8288.214. BONDS EXEMPT FROM TAXATION. A district bond, the

transfer of the bond, and the income from the bond, including

profits made on the sale of the bond, are exempt from taxation in

this state.

Added by Acts 2009, 81st Leg., R.S., Ch.

1139, Sec. 1.04, eff. April 1, 2011.