Sec. 164.004. INCREASE IN OWNERSHIP SHARES. (a) An agreement under this chapter may provide for a political subdivision to increase its present or future ownership share of the electric utility facilities by installment purchase payments and for another political subdivision that is a party to the agreement to transfer, in consideration of those payments, any portion of its present or future ownership share of the facilities to the purchasing political subdivision.
(b) A payment made by a political subdivision to acquire an ownership interest is not treated as a maintenance and operating expense but is treated as a capital cost as if the political subdivision had issued bonds to construct or acquire the ownership interest, unless otherwise specified in the agreement.
Acts 1997, 75th Leg., ch. 166, Sec. 1, eff. Sept. 1, 1997.
Structure Texas Statutes
Title 4 - Delivery of Utility Services
Subtitle A - Utility Corporations and Other Providers
Chapter 164 - Joint Ownership of Electric Facilities by Public Entities
Section 164.001. Joint Ownership of Electric Utility Facilities Authorized
Section 164.002. Public Purpose
Section 164.003. Approval of Agreement by Attorney General
Section 164.004. Increase in Ownership Shares
Section 164.005. Contractual Obligations as Lien on System Revenue