Texas § 1062.306 SALE OR TRANSFER OF ASSETS AND LIABILITIES.

Texas Statutes

§ 1062.306 — SALE OR TRANSFER OF ASSETS AND LIABILITIES.

Texas § 1062.306

Code SDSpecial District Local Laws Code

This text of Texas § 1062.306 (SALE OR TRANSFER OF ASSETS AND LIABILITIES.) is published on Counsel Stack Legal Research, covering Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Tex. Special District Local Laws Code Code Ann. § 1062.306 (2026).

Text

Sec. 1062.306. SALE OR TRANSFER OF ASSETS AND LIABILITIES.

(a)The dissolution of the district and the sale or transfer of the district's assets and liabilities to another person may not contravene a trust indenture or bond resolution relating to the district's outstanding bonds. The dissolution and sale or transfer does not diminish or impair the rights of a holder of an outstanding bond, warrant, or other obligation of the district.

(b)The sale or transfer of the district's assets and liabilities must satisfy the debt and bond obligations of the district in a manner that protects the interests of district residents, including the residents' collective property rights in the district's assets.

(c)The district may not transfer or dispose of the district's assets except for due compensati

Free access — add to your briefcase to read the full text and ask questions with AI

Sec. 1062.306. SALE OR TRANSFER OF ASSETS AND LIABILITIES. (a) The dissolution of the district and the sale or transfer of the district's assets and liabilities to another person may not contravene a trust indenture or bond resolution relating to the district's outstanding bonds. The dissolution and sale or transfer does not diminish or impair the rights of a holder of an outstanding bond, warrant, or other obligation of the district.
(b) The sale or transfer of the district's assets and liabilities must satisfy the debt and bond obligations of the district in a manner that protects the interests of district residents, including the residents' collective property rights in the district's assets.
(c) The district may not transfer or dispose of the district's assets except for due compensation unless:
(1) the transfer is made to another governmental entity that serves the district; and
(2) the transferred assets are to be used for the benefit of the district's residents.
(d) A grant from federal funds is an obligation to be repaid in satisfaction.