Sec. 301.009. BONDS, NOTES, OR OTHER OBLIGATIONS. (a) A hospital laundry cooperative association may borrow money from public or private sources or issue bonds, notes, or other obligations in amounts necessary to create, enlarge, maintain, or operate a laundry system.
(b) The association shall pay bonds, notes, or other obligations of the association solely from revenue received from the operation of a laundry system or from funds specifically provided for that purpose from other sources. An association may pledge its revenues or funds to secure payment of the bonds, notes, or other obligations.
(c) Bonds, notes, or other obligations issued by an association do not constitute indebtedness of the state or of any eligible institution that is a member of the association. Holders of bonds, notes, or other obligations may not demand or enforce payment of principal of or interest on the bonds, notes, or other obligations out of funds other than those specifically pledged to secure payment of those bonds, notes, or other obligations.
Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.
Structure Texas Statutes
Subtitle E - Cooperative Associations
Chapter 301 - Cooperative Associations
Subchapter A. Hospital Laundry Cooperative Associations
Section 301.002. Creation of Hospital Laundry Cooperative Association
Section 301.003. Articles of Incorporation
Section 301.004. Use of Public Funds Prohibited
Section 301.005. Membership; Membership Privileges; Expulsion of Members
Section 301.006. Membership Not Required
Section 301.007. Powers of Hospital Laundry Cooperative Association
Section 301.008. Cost of Services
Section 301.009. Bonds, Notes, or Other Obligations
Section 301.010. Bonds as Investments
Section 301.011. Bonds as Security for Deposits
Section 301.012. Liability to Creditors
Section 301.013. Tax Exemption
Section 301.014. Annual Report