Special District Local Laws Code § 8888.252

Sec. 8888.252. REVENUE AND BOND ANTICIPATION NOTES. (a) The board may issue negotiable revenue anticipation notes or negotiable bond anticipation notes to borrow the money needed by the authority without advertising or giving notice of the sale. (b) The board may also issue negotiable combination revenue and bond anticipation notes. Negotiable combination revenue and bond anticipation notes may contain any term authorized under this section for revenue anticipation notes or bond anticipation notes. (c) Any note issued must mature not later than one year after its date of issuance. (d) A revenue anticipation note: (1) may be issued to enable the authority to carry out any purpose authorized by this chapter; and (2) must be secured by the proceeds of revenue to be collected by the authority in the 12-month period following the date of issuance of the note. (e) The board may covenant with the purchasers of revenue anticipation notes that the board will charge and collect sufficient revenue to pay the principal of and interest on the notes and pay the cost of collecting the revenue. (f) A bond anticipation note may be issued: (1) for any purpose for which a bond of the authority may be issued; or (2) to refund previously issued revenue or bond anticipation notes. (g) The authority may covenant with the purchasers of the bond anticipation notes that the authority will use the proceeds of the sale of any bonds in the process of issuance for the purpose of refunding the bond anticipation notes, in which case the board shall use the proceeds received from the sale of the bonds in the process of issuance to pay the principal, interest, or redemption price on the bond anticipation notes. (h) For purposes of Section 1202.007, Government Code, a note issued under this section is considered to be payable only out of: (1) current revenue collected in the year the note is issued; or (2) the proceeds of other public securities. Added by Acts 2017, 85th Leg., R.S., Ch. 869 (H.B. 2803), Sec. 1.04, eff. April 1, 2019.