By:  Cain                                             S.B. No. 1360
                                 A BILL TO BE ENTITLED
                                        AN ACT
    1-1  relating to the operation and management of the Texas Turnpike
    1-2  Authority; providing penalties.
    1-3        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
    1-4        SECTION 1.  Section 5, Chapter 410, Acts of the 53rd
    1-5  Legislature, Regular Session, 1953 (Article 6674v, Vernon's Texas
    1-6  Civil Statutes), is amended by adding Subsections (q) and (r) to
    1-7  read as follows:
    1-8        (q)  The Texas Department of Transportation is authorized to
    1-9  expend money, from any source available, for the costs of Turnpike
   1-10  Projects, provided that any money expended out of the state highway
   1-11  fund shall be repaid to the fund from tolls or other turnpike
   1-12  revenue.
   1-13        (r)  The Authority may hold an open or closed meeting by
   1-14  telephone conference call using the following procedures:  the
   1-15  telephone conference call meeting must satisfy the notice
   1-16  requirements applicable to other meetings; the notice of the
   1-17  telephone conference call meeting must specify as the location of
   1-18  the meeting the Authority's conference room in its offices; and
   1-19  each part of the telephone conference call meeting that is required
   1-20  to be open to the public shall be audible to the public at the
   1-21  location specified, shall be either tape-recorded or documented by
   1-22  written minutes, and, on conclusion of the meeting, shall be made
   1-23  available to the public in the form of a tape recording or written
    2-1  minutes.
    2-2        SECTION 2.  Section 20a, Chapter 410, Acts of the 53rd
    2-3  Legislature, Regular Session, 1953 (Article 6674v, Vernon's Texas
    2-4  Civil Statutes), is amended to read as follows:
    2-5        Sec. 20a.  <PRIVATE> PARTICIPATION IN PROJECTS.  (a)  The
    2-6  Authority may enter into agreements with public and private
    2-7  entities, including toll road corporations, to permit them,
    2-8  independently or jointly with the Authority, to construct, to
    2-9  maintain, to repair, and to operate turnpike projects;<,> and the
   2-10  Authority may authorize the investment of public and private funds,
   2-11  including debt and equity participation, as a means for financing
   2-12  all or any of the above functions.
   2-13        (b)  In the construction, maintenance, repair, and operation
   2-14  of any new turnpike project and the extension and expansion of any
   2-15  existing turnpike project by invested private funding, or by both
   2-16  public and private source funding, the Authority may utilize
   2-17  exclusive development agreements with private entities in which the
   2-18  Authority shall have broad latitude to negotiate the terms and
   2-19  conditions for the methods and types of financing and in which it
   2-20  may combine and negotiate any or all professional and consulting
   2-21  services, construction, operation, and maintenance of such turnpike
   2-22  projects.
   2-23        (c)  Every turnpike project which is the subject of a
   2-24  development agreement with a private entity at all times shall be,
   2-25  and all the facilities acquired or constructed thereon shall be,
    3-1  public property and shall belong to the Authority.  However, the
    3-2  Authority may enter into agreements which include provisions for
    3-3  the leases of rights-of-way, for the granting of easements and for
    3-4  the issuance of franchises, licenses, permits, or any lawful uses
    3-5  to enable a private entity to construct, to operate, and to
    3-6  maintain turnpike projects and those which supplement a turnpike
    3-7  project.  At the termination of any such agreements, the turnpike
    3-8  project and all facilities shall be in a state of proper
    3-9  maintenance as determined by the Authority and returned to the
   3-10  Authority in satisfactory condition at no further cost.
   3-11        (d)  The Authority shall not incur any financial obligations
   3-12  for a private entity which constructs, maintains or operates a
   3-13  turnpike project; and neither the State, the Authority, nor any
   3-14  political subdivision of the State shall be liable for any
   3-15  financial or other obligations of any turnpike project solely
   3-16  because of its being, constructed, financed, or operated in whole
   3-17  or in part by a private entity.
   3-18        (e)  The Authority will be responsible for negotiating in
   3-19  every turnpike project where private entities are participants, the
   3-20  terms and conditions of private participation which will include:
   3-21              (1)  methods of determining applicable costs, profit,
   3-22  and project distribution between all private equity investors and
   3-23  the Authority;
   3-24              (2)  reasonable methods for determining and classifying
   3-25  toll rates;
    4-1              (3)  acceptable safety and policing standards; and
    4-2              (4)  all other professional, consultant, construction,
    4-3  operation and maintenance standards, expenses, and costs
    4-4  applicable.
    4-5        (f)  The Authority will establish, administratively, the
    4-6  rules, procedures, and guidelines which will govern the negotiating
    4-7  process with the intention of promoting fairness, of obtaining
    4-8  numbers of private participants in turnpike projects, and of
    4-9  promoting confidence among such participants.  The rules concerning
   4-10  the negotiations shall contain criteria for qualifications of the
   4-11  participants and for the award of the contracts; and the Authority
   4-12  shall maintain updated procedures concerning participation in
   4-13  negotiations for all such projects.  Agreements are to be upon
   4-14  terms determined in the exclusive judgment of the Authority.  The
   4-15  Authority shall include the Attorney General, or his designee, in
   4-16  the negotiations with private participants.
   4-17        (g)  The Authority also may enter agreements with other
   4-18  governmental agencies and entities, including, but not limited to,
   4-19  Federal agencies, State agencies of this and other states, the
   4-20  United Mexican States and <including> states of the United Mexican
   4-21  States <in Mexico>, political subdivisions, and municipalities,
   4-22  independently or jointly with private entities to provide services,
   4-23  to study feasibility of projects, to finance, to construct, to
   4-24  operate, and to maintain turnpike projects pursuant to the other
   4-25  terms hereof.
    5-1        (h)  The Authority is authorized to participate in and may
    5-2  designate board members to serve as representatives on boards,
    5-3  commissions, or public bodies, the purposes of which are to promote
    5-4  the development of joint toll facilities within this State, between
    5-5  this and other states, or between this State and the United Mexican
    5-6  States or states of the United Mexican States.  All fees and
    5-7  expenses associated with Authority participation may be reimbursed
    5-8  from the Texas Turnpike Authority Feasibility Study Fund.
    5-9        SECTION 3.  Section 21, Chapter 410, Acts of the 53rd
   5-10  Legislature, Regular Session, 1953 (Article 6674v, Vernon's Texas
   5-11  Civil Statutes), is amended to read as follows:
   5-12        Sec. 21.  MISCELLANEOUS.  (a)  Each Turnpike Project when
   5-13  constructed and opened to traffic shall be maintained and kept in
   5-14  good condition and repair by the Authority.  Each such project
   5-15  shall also be policed and operated by such force of police,
   5-16  toll-takers, and other operating employees as the Authority may in
   5-17  its discretion employ.  Within its discretion the Authority may
   5-18  make arrangements with the Department of Public Safety for the
   5-19  services of police officers of that Agency.
   5-20        (b)  All private property damaged or destroyed in carrying
   5-21  out the powers granted by this Act shall be restored or repaired
   5-22  and placed in its original condition as nearly as practicable or
   5-23  adequate compensation made therefor out of funds provided under the
   5-24  authority of this Act.
   5-25        (c)  All counties, cities, villages, and other political
    6-1  subdivisions and all public agencies and commissions of the State
    6-2  of Texas, notwithstanding any contrary provision of law, are hereby
    6-3  authorized and empowered to lease, lend, grant, or convey to the
    6-4  Authority at its request, upon such terms and conditions as the
    6-5  proper authorities of such counties, cities, villages, other
    6-6  political subdivisions, or public agencies and commissions of the
    6-7  State may deem reasonable and fair and without the necessity for
    6-8  any advertisement, order of court, or other action or formality,
    6-9  other than the regular and formal action of the authorities
   6-10  concerned, any real property which may be necessary or appropriate
   6-11  to the effectuation of the authorized purposes of the Authority,
   6-12  including highways and other real property already devoted to
   6-13  public use.
   6-14        (d)  An action by the Authority may be evidenced in any legal
   6-15  manner, including a resolution adopted by its Board of Directors.
   6-16        (e)  Any member, agent, or employee of the Authority who
   6-17  contracts with the Authority or is interested, either directly or
   6-18  indirectly, in any contract with the Authority or in the sale of
   6-19  any property, either real or personal, to the Authority, shall be
   6-20  punished by a fine of not more than One Thousand Dollars ($1,000).
   6-21        (f)  Any motor vehicle which is not a police or emergency
   6-22  vehicle, driven or towed through a toll collection facility, shall
   6-23  pay the proper toll.  The Authority may use such technology,
   6-24  including automatic vehicle and vehicle license tag identification
   6-25  photography and video surveillance, as it deems necessary to aid in
    7-1  the collection of tolls and enforcement of toll violations by
    7-2  producing recorded images of vehicles driven or towed through toll
    7-3  collection facilities.  All recorded images produced using such
    7-4  devices are for the exclusive use of the Authority in discharging
    7-5  its duties under this section and may not be available to the
    7-6  public or used in any court except as provided in this section
    7-7  <person who uses any turnpike project and fails or refuses to pay
    7-8  the toll provided therefor, shall be punished by a fine of not more
    7-9  than One Hundred Dollars ($100) and in addition thereto the
   7-10  Authority shall have a lien upon the vehicle driven by such person
   7-11  for the amount of such toll and may take and retain possession
   7-12  thereof, until the amount of such toll and all charges in
   7-13  connection therewith shall have been paid>.
   7-14        (g)  In the event of nonpayment of the proper toll, as
   7-15  evidenced by video or other recording made pursuant to Subsection
   7-16  (f) of this section, and on issuance of a proper notice of
   7-17  nonpayment, the registered owner of the nonpaying vehicle shall be
   7-18  legally bound to pay both the proper toll and an administrative
   7-19  fee.  The Authority is hereby authorized to fix, revise, charge,
   7-20  and collect the administrative fee, so as to recover the cost of
   7-21  collecting the unpaid toll, not to exceed one hundred dollars
   7-22  ($100).  The notice of nonpayment to the registered owner shall be
   7-23  sent by first class mail no later than 30 days after the alleged
   7-24  failure to pay and shall require payment no sooner than 30 days
   7-25  from the date the notice was mailed.  The registered owner shall
    8-1  pay a separate toll and administrative fee for each event of
    8-2  nonpayment.
    8-3        (h)  If the registered owner of the vehicle fails to pay the
    8-4  proper toll and administrative fee within the time specified by the
    8-5  notice of nonpayment issued pursuant to Subsection (g) of this
    8-6  section, the registered owner shall be cited as for other traffic
    8-7  violations for the nonpayment, and the owner shall be legally bound
    8-8  to pay a fine, not to exceed two hundred fifty dollars ($250), for
    8-9  each event of nonpayment.  Neither the legal obligation to pay nor
   8-10  the actual payment of the fine shall affect the legal duty of the
   8-11  owner for any other fine or penalty prescribed by law.  In the
   8-12  prosecution of a violation under this subsection, proof, as
   8-13  evidenced by video or other recording, that the vehicle passed
   8-14  through a toll collection facility without payment of the proper
   8-15  toll, together with proof that the defendant was the registered
   8-16  owner of the vehicle when the failure to pay occurred, establishes
   8-17  the nonpayment of the registered owner.  The court of the local
   8-18  jurisdiction in which the violation occurred is authorized to
   8-19  assess and to collect the fine, in addition to any court costs,
   8-20  provided that the court must also collect the proper toll and
   8-21  administrative fee and forward the toll and fee to the Authority.
   8-22        (i)  It is a defense to nonpayment under Subsections (f)
   8-23  through (j) of this section that the motor vehicle in question was
   8-24  stolen before the failure to pay the proper toll occurred and was
   8-25  not recovered by the time of the failure to pay, provided the theft
    9-1  was reported to the appropriate law enforcement authority before
    9-2  the earlier of (1) the occurrence of the failure to pay; or (2)
    9-3  eight hours after the discovery of the theft.
    9-4        (j)  A registered owner who is a lessor of a vehicle
    9-5  concerning which a notice of nonpayment was issued pursuant to
    9-6  Subsection (g) of this section shall not be legally bound in
    9-7  connection with that notice of nonpayment provided that, no later
    9-8  than 30 days from the date the notice of nonpayment is mailed, the
    9-9  registered owner provides to the Authority a copy of the rental,
   9-10  lease, or other contract document covering the vehicle on the date
   9-11  of the nonpayment, with the name and address of the lessee clearly
   9-12  legible.  Failure to provide such information within the time
   9-13  period prescribed shall render the lessor legally bound as the
   9-14  registered owner.  If the lessor provides the required information
   9-15  within the time period prescribed, the lessee of the vehicle on the
   9-16  date of the violation shall be deemed to be the owner of the
   9-17  vehicle for purposes of this section and shall be subject to
   9-18  prosecution for failure to pay the proper toll as if the lessee
   9-19  were the registered owner, provided that the Authority sends a
   9-20  notice of nonpayment to the lessee by first class mail within 30
   9-21  days of receiving the required information from the lessor.
   9-22        (k)  For purposes of this section, a "transponder" means a
   9-23  device, placed on or within an automobile, that is capable of
   9-24  transmitting information used to assess or to collect tolls.  A
   9-25  transponder is "insufficiently funded" when there are no remaining
   10-1  funds in the account in connection with which the transponder was
   10-2  issued.  Any law enforcement officer of the Department of Public
   10-3  Safety of the State of Texas has the authority to seize a stolen or
   10-4  insufficiently funded transponder and to return it to the
   10-5  Authority, provided that an insufficiently funded transponder shall
   10-6  not be seized sooner than 30 days after the Authority has sent a
   10-7  notice of delinquency to the holder of the account.
   10-8        (l)  The Authority shall cause an audit of its books and
   10-9  accounts to be made at least once in each year by certified public
  10-10  accountants, and the cost thereof may be treated as a part of the
  10-11  cost of construction or of operation of the Turnpike Project.  <The
  10-12  Authority shall cause an audit of its books and accounts to be made
  10-13  at least once in each year by certified public accountants and the
  10-14  cost thereof may be treated as a part of the cost of construction
  10-15  or of operation of the Turnpike Project.>
  10-16        SECTION 4.  This Act takes effect September 1, 1995.
  10-17        SECTION 5.  The importance of this legislation and the
  10-18  crowded condition of the calendars in both houses create an
  10-19  emergency and an imperative public necessity that the
  10-20  constitutional rule requiring bills to be read on three several
  10-21  days in each house be suspended, and this rule is hereby suspended,
  10-22  and that this Act take effect and be in force from and after
  10-23  passage, and it is so enacted.