1. (a) A sponsor may create one or more nonmember, nonstock, nonprofit public facility corporations to:

   1. (1) issue bonds under this chapter, including bonds to purchase sponsor obligations;
   2. (2) finance public facilities on behalf of its sponsor; or
   3. (3) loan the proceeds of the obligations to other entities to accomplish the purposes of the sponsor.

2. (b) A sponsor may use the corporation to:

   1. (1) acquire, construct, rehabilitate, renovate, repair, equip, furnish, or place in service public facilities; or
   2. (2) issue bonds on the sponsor's behalf to finance the costs of the public facilities.
3. (c) A corporation created under this chapter must remain a public facility corporation under this chapter.

4. (d) A corporation or a sponsor may finance, own, or operate a multifamily residential development only if:

   1. (1) the corporation or sponsor complies with all applicable provisions of this chapter; and

   2. (2) the development is located:

      1. (A) inside the area of operation of the sponsor, if the sponsor is a housing authority; or
      2. (B) if the sponsor is not a housing authority, inside the boundaries of the sponsor, without regard to whether the sponsor is authorized to own property or provide services outside the boundaries of the sponsor.

Added by Acts 1999, 76th Leg., ch. 227, Sec. 11, eff. Sept. 1, 1999.

Acts 2015, 84th Leg., R.S., Ch. 488 (H.B. 2679), Sec. 3, eff. June 16, 2015.

Acts 2021, 87th Leg., R.S., Ch. 526 (S.B. 1942), Sec. 1, eff. June 14, 2021.

Acts 2023, 88th Leg., R.S., Ch. 1169 (H.B. 2071), Sec. 1, eff. June 18, 2023.