Tex. Special District Local Laws Code § 8512.0502: STATE PLEDGE REGARDING RIGHTS AND REMEDIES OF BONDHOLDERS.

Text of section effective on April 01, 2027

This chapter does not deprive this state of its power to regulate and control rates or other charges to be imposed for the use of water, water connections, power, electric energy, or another service. This state pledges to and agrees with the purchasers and successive holders of the bonds issued under this chapter that this state will not limit or alter the power this chapter gives the authority to impose rates and other charges that will produce revenue sufficient to pay the items specified by Section 8512.0405(b) or in any way impair the rights or remedies of the bondholders, or of any person in their behalf, until the following are fully discharged:

(1) the bonds;

(2) the interest on the bonds;

(3) any premium;

(4) interest on unpaid installments of interest;

(5) all costs and expenses in connection with any action or proceeding by or on behalf of the bondholders; and

(6) all other authority obligations in connection with the bonds.

Added by Acts 2025, 89th Leg., R.S., Ch. 203 (H.B. 1615), Sec. 1.02, eff. April 1, 2027.