(a)
Pursuant
to the authority granted by section 53A.35(b), Texas Education Code,
as amended (the “Act”), the city council desires to authorize
the creation of a nonprofit corporation (the “corporation”)
to act on its behalf in financing and refinancing, under the Act,
educational facilities and facilities incidental, subordinate or related
thereto, including, specifically and not by way of limitation, housing
facilities, all for the purpose of aiding institutions of higher education
and accredited primary and secondary schools within the limitations
set forth in chapter 53A, Texas Education Code.
(b)
The
corporation may exercise the powers granted in the Act for such purposes
as may be consistent with the Act and subject to the approval of the
city from time to time.
(Ordinance 080603-1, sec. 1, adopted 6/3/08)
The city council hereby approves the articles of incorporation
(the “articles”) for the corporation in substantially
the form attached to Ordinance 080603-1 as exhibit A, and authorizes
the filing of the articles with the secretary of state in accordance
with the Act.
(Ordinance 080603-1, sec. 2, adopted 6/3/08)
The city council hereby appoints those persons named in the
articles, each of whom on the date of his appointment is duly qualified
in accordance with the Act, to serve as the initial members of the
board of directors of the corporation, such service to be at all times
subject to the powers of the city council under the articles.
(Ordinance 080603-1, sec. 3, adopted 6/3/08)
The corporation is authorized to finance the projects described in section 1.04.001 hereof through the issuance of one or more series or issues of revenue bonds, notes or other obligations that are payable solely from revenues to be received by or on behalf of the corporation pursuant to agreements between the corporation and institutions of higher education or accredited primary or secondary schools or amounts to be received from persons acting on behalf of such educational entities, with the city having no obligation to pay the corporation or any other person, including, specifically, the holders of such obligations, any amounts with respect to such obligations. Such obligations shall never constitute a debt or pledge of the faith and credit of the taxing power of the city.
(Ordinance 080603-1, sec. 4, adopted 6/3/08)
It is intended that the corporation be a duly constituted authority
and instrumentality of the city, with the power to act on its behalf
and to accomplish the public purposes of the state within the meaning
of regulations and revenue rulings of the Treasury Department of the
Internal Revenue Service of the United States promulgated under sections
103 and 115 of the Internal Revenue Code of 1986, as amended.
(Ordinance 080603-1, sec. 5, adopted 6/3/08)
The city council hereby approves the initial bylaws for the
corporation in substantially the form and substance attached to Ordinance
080603-1 as exhibit B.
(Ordinance 080603-1, sec. 6, adopted 6/3/08)
