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Texas Statutes (Last Updated: January 4, 2014) |
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SPECIAL DISTRICT LOCAL LAWS CODE |
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Title 6. WATER AND WASTEWATER |
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Subtitle C. SPECIAL UTILITY DISTRICTS |
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Chapter 7208. PARKER COUNTY UTILITY DISTRICT NO. 1 |
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Subchapter F. BONDS |
Sec. 7208.254. PAYMENT AND SECURITY
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(a) District bonds may be:
(1) made payable from all or part of the revenue of the district derived from any lawful source, including revenue derived from a contract with a customer or other user of facilities owned or operated by the district or from the ownership and operation of any waterworks system, wastewater system, sewer system, solid waste disposal system, or nonhazardous liquid waste system, or a combination of those systems; and
(2) paid from and secured by liens on the pledges of all or part of the revenue, income, or receipts derived from the district's ownership, operation, lease, or sale of the property, buildings, structures, or facilities, including the proceeds or revenue from contracts with any person.
(b) District bonds may be additionally secured by a mortgage or deed of trust on real property owned or to be acquired by the district and by a chattel mortgage or lien on any personal property appurtenant to that real property. The board may authorize the execution of a trust indenture, mortgage, deed of trust, or other form of encumbrance. The district may also pledge to the payment of the bonds all or part of a grant, a donation, or revenue or income received or to be received from the United States or any public or private source.
(c) The district may pledge all or part of the district's revenue, income, or receipts from fees, rentals, rates, charges, or contract proceeds or payments to the payment of district bonds, including the payment of principal, interest, and any other amount required or permitted relating to the bonds. The pledged fees, rentals, rates, charges, proceeds, or payments shall be established and collected in amounts sufficient, together with any other pledged resources, to provide for the payment of expenses relating to the bonds and for operation and maintenance and other expenses relating to those facilities.
(d) For purposes of Subsections (a) and (c), payments and revenue pledged for the district's benefit under Sections 7208.158(a) and (b) are district revenue.