Sec. 228.109. TRUST AGREEMENT. (a) Bonds issued under this subchapter may be secured by a trust agreement between the commission and a corporate trustee that is a trust company or a bank that has the powers of a trust company. (b) A trust agreement may pledge or assign the tolls and other revenue to be received but may not convey or mortgage any part of a toll project or system. (c) A trust agreement may not evidence a pledge of the revenue of a toll project or system except: (1) to pay the cost of maintaining, repairing, and operating the project or system; (2) to pay the principal of, interest on, and any redemption premium on the bonds as they become due and payable; (3) to create and maintain reserves for the purposes described by Subdivisions (1) and (2), as prescribed by Section 228.053 ; and (4) as otherwise provided by law. (d) Notwithstanding Subsection (c), surplus revenue may be used for a transportation or air quality project as authorized by Section 228.006 . (e) A trust agreement may: (1) set forth the rights and remedies of the bondholders and the trustee; (2) restrict the individual right of action by bondholders as is customary in trust agreements or trust indentures securing corporate bonds and debentures; and (3) contain provisions the commission determines reasonable and proper for the security of the bondholders. (f) The expenses incurred in carrying out a trust agreement may be treated as part of the cost of operating the toll project or system.
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