1. (a) A district, as defined by Texas Water Code (TWC), §49.001 may not execute a revenue note as described by TWC, §49.153 for a term longer than three years unless approved by the commission. This section does not apply to a note issued to and approved by the Farmers Home Administration, the United States Department of Agriculture, the Texas Water Development Board, North American Development Bank, or successor agencies.
2. (b) This section does not apply to special water authorities, as defined by TWC, §49.001 or a district described by TWC, §49.181(h).

3. (c) Applications for commission approval of revenue notes except as provided in subsection (d) of this section shall include the following:

   1. (1) a resolution by the governing board requesting approval of the revenue note;
   2. (2) documents indicating district ownership of the facility;
   3. (3) a detailed explanation of the intended use and project to be financed, and complete justification for the proposed revenue note;
   4. (4) a copy of the district's current Rate Order or Amended Rate Order;
   5. (5) a proposed amortization schedule for the revenue note;
   6. (6) a draft of the proposed revenue note;
   7. (7) copies of the district's current operating budget and estimates of revenues and expenses for the years associated with the revenue note;
   8. (8) copies of all existing notes, liens, or judgements against revenues associated with the facility;
   9. (9) an application fee in the amount of $100; and
   10. (10) other information as the executive director may require.
4. (d) Revenue notes proceeds of which are used to reimburse a developer as defined in TWC, §49.052(d) are subject to Subchapter E of this chapter (relating to the Issuance of Bonds).

Source Note:The provisions of this §293.80 adopted to be effective October 22, 1996, 21 TexReg 9905; amended to be effective June 5, 1998, 23 TexReg 5715; amended to be effective May 5, 2005, 30 TexReg 2533.