Amends TCA Title 9.

Under this bill, the following will apply to public entities in connection with approving and entering into any lease financing that is not an exempt leasing financing: (1) A public entity: (A) Must obtain the approval of the comptroller of the treasury or such designee, as discussed below, prior to entering into a lease financing. Such approval must be submitted to the governing body of the public entity for consideration in connection with any authorization of such a lease financing; (B) May not enter into a lease financing with respect to property unless the public entity is authorized by applicable law to incur indebtedness to finance such property, and the term of any lease financing must not exceed the maximum term of debt that could be issued by the public entity to finance the property being leased; and (C) May not, if the lease payments under the lease financing are payable from or secured by ad valorem taxes of the public entity and the term of the lease financing exceeds the maximum term of a capital outlay note that may be issued by the public entity pursuant to the Local Government Public Obligations Act of 1986, enter into the lease financing without adopting and publishing an initial resolution with respect to the lease financing in the manner described in the Act, if an initial resolution is required with respect to the type of property being financed, and, if required by the terms of the Act, undertaking an election with respect to the lease financing in the manner required by the Act; (2) The weighted average maturity of the principal payments under lease financing must not exceed the estimated weighted average life of the property that is financed through the lease financing; and (3) The payments by the public entity under the lease financing must only be payable from revenues of the public entity, if the indebtedness of the public entity is only payable pursuant to applicable law from all or any portion of such revenues. This bill defines "exempt lease financing" as a lease financing with a principal amount not exceeding $100,000 and does not include a lease financing if the principal amount of that lease financing together with the principal amount of all exempt lease financings issued by the public entity previously in the same fiscal year exceeds $100,000. A public entity under this bill does not include the state. This bill requires the public entity to submit a plan of lease financing to the comptroller or such designee when requesting approval. This bill requires the comptroller or such designee to: (1) Evaluate each plan of lease financing based on the plan's particular circumstances and approve the plan only if determination is made that the repayment terms are in the public's interest; and (3) Report approval or disapproval of the plan of lease financing to the governing body within 15 business days after receipt of the plan and all requested supplemental documentation. This bill also provides that: (1) The state funding board may establish guidelines, rules, and regulations with respect to the comptroller's approval of lease financing; (2) A non-appropriation clause in the documents evidencing the lease financing is not required for the lease financing to be a valid obligation of the public entity; and (3) All property leased by a public entity is deemed property owned by the public entity for tax purposes and will be exempt from such taxation to the extent property owned by a public entity is otherwise exempt from taxation. This bill: (1) States that it does not expand the authority of any public entity to enter into any lease financing and does not limit the authority of any public entity to enter into any lease financing except as provided in this bill; and (2) Applies to any lease financing authorized by a governing body of a public entity on or after January 1, 2022.