HB4395

HB4395 requires issuers to submit covered public securities, records of the proceedings authorizing them, and credit agreements to the Texas attorney general electronically, with an electronic signature when applicable. Related correspondence and supplemental information are included. The requirement also covers amendments to those documents that have been approved or registered under Chapter 1202.

Public securities include government bonds and other covered borrowing obligations; this is not a rule for every privately traded stock. The existing Government Code definitions identify the governmental issuers, certain nonprofit corporations acting on their behalf, and the relevant obligations and agreements.

The attorney general must likewise send the comptroller the required approval opinion and record of proceedings electronically, with electronic signatures when applicable. The act uses the Business & Commerce Code definitions of electronic technology and signatures and includes any electronic signing method recognized by law. It does not select a particular commercial signing service.

The law took effect January 1, 2026, and applies to covered submissions made on or after that date. Earlier submissions remain governed by former law. The attorney general was directed to advise the appropriate legal authorities about electronic submission and necessary procedural changes by December 1, 2025, before the new submission requirement began.

The substantive attorney-general approval process remains. Changing delivery format does not automatically approve a bond, authorize additional borrowing or remove the requirement that a covered security comply with law.