Sec. 362.040. INVESTMENT AND USE OF PROCEEDS. (a) The governing body of the issuer may set aside amounts from the proceeds of the sale of bonds for payment into an interest and sinking fund and reserve funds and may provide for this in the resolution or a security agreement. All expenses of issuing and selling the bonds shall be paid from the proceeds of the sale of the bonds.
(b) Proceeds from the sale of bonds shall be invested in the manner provided by the resolution or security agreement.
(c) A bank or trust company with trust powers may be designated as depository for proceeds of bonds or of sales contract or lease revenue. The bank or trust company shall furnish indemnifying bonds or pledge securities as required by the issuer to secure the deposits.
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