| (a) The association's board of directors must request
the issuance of public securities as prescribed in §5.4124 and §5.4125
of this division (relating to Issuance of Class 1 Public Securities
before a Catastrophic Event and Issuance of Public Securities after
a Catastrophic Event).
(1) The request must be submitted to the commissioner
for approval with all required supporting documentation prescribed
in §5.4124 and §5.4125 of this division.
(2) The association's board of directors may request
public securities as often as necessary.
(3) If multiple classes of public securities are combined
into a single request, the request must separately identify and provide
supporting documentation for the issuance of each class of public
securities.
(4) The association's board of directors may at any
time submit a request for issuance of public securities to be issued
after a catastrophic event. If the request for the issuance of public
securities after a catastrophic event is submitted before a catastrophic
event, the association's request must specify that the requested public
securities may only be issued after a catastrophic event.
(b) The commissioner must approve the request before
TPFA may issue the requested public securities.
(1) If the supporting documentation is incomplete,
the commissioner or the department may request additional documentation
without rejecting the request.
(2) In considering the association's request, the commissioner
may rely on any statements or notifications of definitive or estimated
losses, association revenue, and any other related or supporting information
from any source, including from the general manager of the association
and from TPFA and its consultants and legal counsel.
(3) If the commissioner disapproves the request, the
association's board of directors may reconsider the matter and submit
another request under subsection (a) of this section.
(4) The department must provide the commissioner's
written approval of the request to the association and TPFA.
(c) Following the commissioner's written approval of
the request, TPFA may issue public securities and credit agreements
on behalf of the association, as authorized in Insurance Code Chapter
2210 and §5.4124 and §5.4125 of this division, for the issuance,
reissuance, refinancing, and payment of public security obligations
and public security administrative expenses.
(d) The association must provide to the department
and the commissioner any requested information concerning public securities
or the pending issuance of public securities, including information
TPFA, a TPFA consultant, or TPFA legal counsel provides to the association.
(e) A request for issuance of public securities under
subsection (a) of this section includes a request for the reissuance
and refinancing of public security obligations.
|
