Enrolled Bill Summary

            House Bill 471 amends the Transportation Code to allow the Texas Transportation Commission to borrow money from any source and in any form to carry out functions of the Texas Department of Transportation. The amount borrowed may not exceed the average monthly revenue deposited to the state highway fund for the 12 months preceding the month of the loan, and the term of the loan may not exceed two years. House Bill 471 takes effect contingent on voter approval of a constitutional amendment proposed by House Joint Resolution 28.

            House Bill 471 also allows the commission, with approval of the cash management committee, composed of the governor, lieutenant governor, speaker of the house of representatives, and comptroller, to issue highway tax and revenue anticipation notes when a temporary cash flow shortfall in the state highway fund is forecast by the commission; the amount of the notes may not exceed the maximum temporary cash flow shortfall that is forecast. The bill creates a fund to receive proceeds of the notes and allows the note proceeds to be transferred to the state highway fund to pay authorized expenditures. If money in the new fund is insufficient to pay principal, any premium, interest, issuance costs, and any required rebate to the federal government, the legislature may appropriate an amount from the state highway fund sufficient to make those payments. The provisions relating to highway tax and revenue anticipation notes take effect on September 1, 2003.