Bill > HB50

This bill modifies the requirements for issuing general obligation bonds by political subdivisions in Texas, requiring a supermajority vote of at least two-thirds of voters to approve such bond issuances. General obligation bonds are a type of municipal debt where the full faith and credit of the issuing government entity is pledged to repay the debt, typically used to fund public infrastructure, capital improvements, or other major projects. Previously, these bonds could likely be approved by a simple majority vote, but this legislation would raise the threshold to a two-thirds majority, making it more difficult for political subdivisions to take on new debt. The bill applies only to general obligation bonds authorized on or after its effective date, which will be either immediately upon receiving a two-thirds vote in the legislature or 91 days after the end of the legislative session if it does not receive the required supermajority vote. This change could potentially make it more challenging for local governments to fund large capital projects by increasing the voter approval requirements.

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=891&Bill=HB50