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Texas Statutes (Last Updated: January 4, 2014) |
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LOCAL GOVERNMENT CODE |
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Title 12. PLANNING AND DEVELOPMENT |
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Subtitle A. MUNICIPAL PLANNING AND DEVELOPMENT |
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Chapter 377. MUNICIPAL DEVELOPMENT DISTRICTS |
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Subchapter D. POWERS AND DUTIES |
Sec. 377.072. DEVELOPMENT PROJECT FUND
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(a) A district shall establish by resolution a fund known as the development project fund. The district may establish separate accounts within the fund.
(b) The district shall deposit into the development project fund:
(1) the proceeds from any sales and use tax imposed by the district;
(2) all revenue from the sale of bonds or other obligations by the district; and
(3) any other money required by law to be deposited in the fund.
(c) Except as provided by Subsection (d), the district may use money in the development project fund only to:
(1) pay the costs of planning, acquiring, establishing, developing, constructing, or renovating one or more development projects in the district;
(2) pay the principal of, interest on, and other costs relating to bonds or other obligations issued by the district or to refund bonds or other obligations; or
(3) pay the costs of operating or maintaining one or more development projects during the planning, acquisition, establishment, development, construction, or renovation or while bonds or other obligations for the planning, acquisition, establishment, development, construction, or renovation are outstanding.
(d) A district located in a county with a population of 3.3 million or more may use money in the development project fund only to:
(1) pay the costs of planning, acquiring, establishing, developing, constructing, or renovating one or more development projects beneficial to the district if the projects are in the district boundaries or the extraterritorial jurisdiction of the municipality where the district is located;
(2) pay the principal of, interest on, and other costs relating to bonds or other obligations issued by the district or to refund bonds or other obligations; or
(3) pay the costs of operating or maintaining one or more development projects during the planning, acquisition, establishment, development, construction, or renovation or while bonds or other obligations for the planning, acquisition, establishment, development, construction, or renovation are outstanding.