Sec. 362.037. TRUST AS SECURITY. (a) The issuer's governing body may additionally secure bonds, including refunding bonds, by a trust indenture under which the trustee may be a bank that has trust powers and that is located inside or outside the state.
(b) Regardless of any mortgage, deed of trust lien, or security interest under Section 362.038, the trust indenture may:
(1) contain any provision that the governing body prescribes for the security of the bonds and the preservation of the trust estate;
(2) provide for amendment or modification of the trust indenture;
(3) condition the right to spend the issuer's money or sell an issuer's system as provided by the trust indenture;
(4) provide in other manners for protection and enforcement of bondholders' rights and remedies as is reasonable and proper; and
(5) provide for the issuance of replacement bonds for lost, stolen, or mutilated bonds.
Acts 1989, 71st Leg., ch. 678, Sec. 1, eff. Sept. 1, 1989.
Structure Texas Statutes
Title 5 - Sanitation and Environmental Quality
Subtitle B - Solid Waste, Toxic Chemicals, Sewage, Litter, and Water
Chapter 362 - Solid Waste Resource Recovery Financing Act
Section 362.031. Authority to Issue Bonds and Bond Anticipation Notes
Section 362.032. Form and Procedure
Section 362.034. Approval and Registration
Section 362.035. Pledge of Revenue and Other Amounts as Security
Section 362.036. Security May Apply to Additional Bonds
Section 362.037. Trust as Security
Section 362.038. Other Security
Section 362.039. Action by Bondholders
Section 362.040. Investment and Use of Proceeds
Section 362.041. Refunding Bonds