SRC-HRD S.B. 679 75(R)   BILL ANALYSIS


Senate Research Center   S.B. 679
By: Lindsay
Intergovernmental Relations
3-13-97
As Filed


DIGEST 

Currently, metropolitan rapid transit authorities in Texas are not
required to use a certain portion of the revenues they collect from sales
and use tax for county and municipal road and bridge purposes and traffic
control improvements.  This bill would require the transit authorities to
use at least 25 percent of the money they receive for such purposes. 

PURPOSE

As proposed, S.B. 679 requires the board of a metropolitan rapid transit
authority that imposes a sales and use tax to distribute a certain amount
of the total revenue collected to each municipality and county located in
the authority to be used only for county and municipal road and bridge
purposes. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 451.065, Transportation Code, by adding Section
(g), as follows: 

(g) Requires the board of a rapid transit authority (board) that imposes a
sales and use tax, not later than April 1 of each year, to distribute an
amount that is not less than 25 percent of the total revenue from the
sales and use tax that the authority collected during the preceding
calendar year to each municipality and county located in the authority.
Requires the board to distribute the amount in proportion to the revenue
from the sales and use tax that was collected in that year in each
municipality and in the unincorporated territory of each county.
Authorizes the use of money received from the authority by a municipality
or a county only for the performance of an action described by Subsection
(a).  Provides that this subsection applies only to the board of an
authority in which the principal municipality has a population of more
than 1.2 million.   

SECTION 2. Effective date:  January 1, 1998.

SECTION 3. Emergency clause.