Relating to the issuance of certificates of obligation by local governments.

HB 4986 amends Texas law to clarify when local governments (cities and counties) can issue certificates of obligation to borrow money for public projects. It specifically redefines "public work" to include infrastructure like streets, utilities, public safety facilities, and recreation systems, while explicitly excluding sports facilities, hotels, and convention centers leased to for-profit tenants. The bill also requires local governments to have an official state or federal noncompliance notice before borrowing funds to meet legal requirements. This directly affects Texas municipalities and counties seeking to finance public infrastructure projects through debt issuance.