Sec. 1502.055. ELECTION. (a) Unless authorized by a majority vote of the qualified voters of the municipality, a municipality may not sell a utility system, park, or pool.
(b) The governing body of the municipality shall hold an election under this section in the manner provided for bond elections in the municipality.
(c) This section does not apply to the sale of an unencumbered natural gas system owned by a municipality with a population of more than 100,000.
(d) Notwithstanding Subsection (a) or other law, a municipality is not required to hold an election to authorize the sale of a municipal retail water or sewer utility system if the Texas Commission on Environmental Quality has issued a notice of violation to the utility system and the governing body of the municipality finds by official action that the municipality is either financially or technically unable to restore the system to compliance with the applicable law or regulations.
Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999. Renumbered from Government Code Sec. 1502.057 and amended by Acts 1999, 76th Leg., ch. 1064, Sec. 22, eff. Sept. 1, 1999. Amended by Acts 2001, 77th Leg., ch. 769, Sec. 12, eff. Sept. 1, 2001.
Amended by:
Acts 2021, 87th Leg., R.S., Ch. 932 (H.B. 3717), Sec. 1, eff. September 1, 2021.
Structure Texas Statutes
Subtitle J - Specific Authority for Municipalities to Issue Securities
Chapter 1502 - Public Securities for Municipal Utilities, Parks, or Pools
Subchapter B. Public Securities for Utility Systems, Parks, or Pools
Section 1502.051. Authority to Issue Public Securities
Section 1502.052. Pledge of Revenue
Section 1502.053. Grant of Franchise
Section 1502.054. Obligations Not Payable From Taxes
Section 1502.056. Operating Expenses as First Lien
Section 1502.057. Charges for Services
Section 1502.058. Limitation on Use of Revenue
Section 1502.059. Transfer of Revenue to General Fund
Section 1502.060. Use and Investment of Proceeds
Section 1502.061. Additional Obligations to Improve or Extend Utility System
Section 1502.063. Additional Authority of Municipality With a Population of 50,000 or More
Section 1502.064. Credit Agreement for Reserve Fund
Section 1502.065. Refunding Bonds
Section 1502.067. Records: Noncash Basis
Section 1502.068. Annual Report
Section 1502.069. Offenses; Penalty
Section 1502.070. Management and Control of Utility System
Section 1502.073. Notice to Governing Body Before Foreclosure or Other Action