1. (a) Except as provided by Subsection (b), a governing body may:

   1. (1) provide that anticipation notes be paid from and secured by revenue, taxes, a combination of revenue and taxes, or the proceeds of bonds to be issued by the issuer; and
   2. (2) pledge to the payment of anticipation notes revenue, taxes, a combination of revenue and taxes, or the proceeds of bonds to be issued by the issuer.

2. (b) The governing body of a flood control district operating as a conservation and reclamation district that issues anticipation notes for one or more purposes described in Section 1431.004(a)(1) may:

   1. (1) provide that the anticipation notes be paid from and secured by revenue or the proceeds of bonds to be issued by the issuer; and
   2. (2) pledge to the payment of the anticipation notes revenues or the proceeds of bonds to be issued by the issuer.

Added by Acts 1999, 76th Leg., ch. 227, Sec. 1, eff. Sept. 1, 1999.

Amended by Acts 2001, 77th Leg., ch. 1183, Sec. 6, eff. Sept. 1, 2001;

Acts 2003, 78th Leg., ch. 270, Sec. 2, eff. June 18, 2003.