1-1 AN ACT 1-2 relating to the operation of a fixed rail transit system by certain 1-3 metropolitan rapid transit authorities. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Subchapter B, Chapter 451, Transportation Code, 1-6 is amended by adding Section 451.071 to read as follows: 1-7 Sec. 451.071. REFERENDUM FOR RAIL PLAN; CERTAIN AUTHORITIES. 1-8 (a) This section applies only to an authority confirmed before 1-9 July 1, 1985, in which the principal municipality has a population 1-10 of less than 750,000. 1-11 (b) The authority may hold a referendum on whether the 1-12 authority may operate a fixed rail transit system. At the election 1-13 the ballots shall be printed to permit voting for or against the 1-14 following proposition: "The operation of a fixed rail system by 1-15 (name of authority)." 1-16 (c) The notice of an election called under this section must 1-17 include a general description of the form of the fixed rail transit 1-18 system, including the general location of any proposed routes. 1-19 (d) If a majority of the votes cast are in favor of the 1-20 proposition, the authority may build and operate the system as 1-21 provided in the notice for the election. If less than a majority 1-22 of the votes cast are in favor of the proposition, the authority 1-23 may not expend funds of the authority to purchase, acquire, 1-24 construct, operate, or maintain any form of a fixed rail transit 2-1 system unless the system is approved by a majority of the votes 2-2 cast at a referendum held by the authority for that purpose. 2-3 (e) A subsequent referendum under Subsection (d): 2-4 (1) may be held more than once; 2-5 (2) is held in the same manner as the initial 2-6 referendum; and 2-7 (3) may not be held before the first anniversary of an 2-8 election previously held under this section. 2-9 SECTION 2. Subchapter H, Chapter 451, Transportation Code, 2-10 is amended by adding Section 451.3625 to read as follows: 2-11 Sec. 451.3625. BONDS FOR RAIL SYSTEM; CERTAIN AUTHORITIES. 2-12 (a) This section applies only to an authority confirmed before 2-13 July 1, 1985, in which the principal municipality has a population 2-14 of less than 750,000. 2-15 (b) An authority may not issue short-term debt under Section 2-16 451.362 or bonds secured by the revenue of the authority to finance 2-17 any portion of the purchase, acquisition, construction, operation, 2-18 or maintenance of a fixed rail transit system unless the system is 2-19 approved at a referendum under Section 451.071. 2-20 (c) If a referendum is approved under Section 451.071, the 2-21 term for which short-term debt may be issued under Section 451.362 2-22 is increased to five years if the purpose of the debt is the 2-23 purchase, acquisition, construction, operation, or maintenance of 2-24 the fixed rail transit system approved at the referendum. 2-25 SECTION 3. The change in law made by Section 2 of this Act 2-26 does not affect the validity of bonds or short-term debt issued 2-27 before the effective date of this Act. 3-1 SECTION 4. The importance of this legislation and the 3-2 crowded condition of the calendars in both houses create an 3-3 emergency and an imperative public necessity that the 3-4 constitutional rule requiring bills to be read on three several 3-5 days in each house be suspended, and this rule is hereby suspended, 3-6 and that this Act take effect and be in force from and after its 3-7 passage, and it is so enacted. _______________________________ _______________________________ President of the Senate Speaker of the House I certify that H.B. No. 2445 was passed by the House on April 25, 1997, by a non-record vote. _______________________________ Chief Clerk of the House I certify that H.B. No. 2445 was passed by the Senate on May 17, 1997, by the following vote: Yeas 30, Nays 0. _______________________________ Secretary of the Senate APPROVED: _____________________ Date _____________________ Governor