Tax anticipation notes may be issued by districts solely in the manner and for the purposes described in Water Code, §49.154, as amended. No tax anticipation notes shall be redeemed in whole or in part, out of the proceeds of a district bond issue or one or more refunding tax anticipation notes, bond anticipation or revenue notes. Such notes may bear interest as provided by law; shall mature within one year of their date of issuance; shall not be renewable or subject to extension of their maturity or redeemable or refundable out of or exchangeable for additional tax anticipation notes; and shall be secured by and paid solely out of the proceeds of taxes to be levied and collected by the district in the 12-month period succeeding their date of issuance.

Source Note: The provisions of this §293.55 adopted to be effective September 5, 1986, 11 TexReg 3736; amended to be effective October 22, 1996, 21 TexReg 9905.