Special District Local Laws Code § 9092.0509

Text of section effective on April 01, 2027 Sec. 9092.0509. TRUST INDENTURE. (a) District bonds, including revenue bonds, that are not payable wholly from ad valorem taxes may be additionally secured by a trust indenture. The trustee may be a bank with trust powers located inside or outside this state. (b) A trust indenture, regardless of the existence of a deed of trust or mortgage lien on property, may: (1) contain any provisions prescribed by the board for the security of the bonds and the preservation of the trust estate; (2) provide for amendment or modification of the trust indenture; (3) provide for the issuance of bonds to replace lost or mutilated bonds; (4) condition the right to spend district money or sell district property on the approval of a licensed engineer selected as provided by the trust indenture; and (5) provide for the investment of district money. Added by Acts 2025, 89th Leg., R.S., Ch. 203 (H.B. 1615), Sec. 1.03, eff. April 1, 2027.