BILL ANALYSIS



H.B. 943
By: Turner, Sylvester
March 29, 1995
Committee Report (Unamended)


BACKGROUND

The statute which provides for local mass transit authorities
provides adequately for financial audits.  However, some
legislators as well as their constituents have raised questions
about whether the Board of the Houston Metropolitan Transit
Authority is carrying out the intent of the legislature in its
expenditures.  Since 1992, the agency's fund balance has fallen
from $650 million to $67.8 million.  During this period, up to
63.7% of its sales tax income has been spent for street and traffic
programs, although the statute sets the limit at 25%.

This bill would give the Comptroller's Office authority to carry
out performance audits similar to those it sometimes conducts on
school districts.  In this case, the focus would be on whether
and/or to what degree the authority carries out the legislature's
original intent in the services it provides.


PURPOSE

This bill would provide a means to determine whether the agency is
functioning in accord with the intent of the legislation which
provided for its creation.


RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly
grant any additional rulemaking authority to a state officer,
department, agency or institution.

SECTION BY SECTION ANALYSIS

SECTION 1:
     (A)  Empowers the comptroller to conduct audits of Houston
metro to determine whether    the authority is effectively and
efficiently providing the services for which it was         created, and otherwise operating in accord with legislative intent.

     (B)  Provides that audits may be performed at comptroller's
discretion upon request of    the governor, lieutenant governor,
speaker of the house, or presiding officer of the      senate or
house committee responsible for legislation governing the
authority, and limits    such audits to not more than one every two
years.

     (C)  Provides that comptroller may file a report of such
audits with each person having     the authority to initiate it.  

SECTION 2:
           Emergency Clause.
           Effective Date: upon passage.



SUMMARY OF COMMITTEE ACTION

H.B. 943 was considered in a public hearing on March 27, 1995.  The
following people testified in favor of the bill: Rep. Turner.  The
following people testified on the bill: Sabrina Foster,
representing the Houston Mayor and City Council.  The bill was
reported favorably without amendment, with the recommendation that
it do pass and be printed, by a record vote of 7 ayes, 0 nays, 0
pnv, and 2 absent.