The bill, H.B. No. 1453, amends various sections of the Government Code and Local Government Code regarding the issuance of anticipation notes and certificates of obligation by certain local governments. It redefines "eligible countywide district" to include only flood control districts in counties with populations of three million or more, removing hospital districts from this definition. The bill introduces new restrictions on the authorization of anticipation notes, stating that a governing body cannot authorize such notes if a bond proposition for the same purpose was submitted to voters and failed within the last five years. Additionally, it allows for exceptions in specific cases related to public health emergencies or natural disasters.

Further amendments include the stipulation that certificates may only be issued to pay contractual obligations necessary for public works, with specific conditions outlined for compliance with state or federal laws, public health emergencies, and natural disaster remediation. The bill also modifies the petition requirements for protesting the issuance of certificates, reducing the percentage of registered voters needed from five percent to two percent. It repeals Section 271.046 and establishes that the changes will apply only to anticipation notes or certificates issued after the effective date of the Act, which is set for September 1, 2025.

Statutes affected:
Introduced: Government Code 1431.001, Government Code 1431.002, Local Government Code 271.045, Local Government Code 271.0461, Local Government Code 271.047, Local Government Code 271.049, Local Government Code 271.0525, Local Government Code 271.057, Local Government Code 271.059, Local Government Code 271.046 (Local Government Code 271, Government Code 1431)