1-1 By: Greenberg, et al. (Senate Sponsor - Barrientos) H.B. No. 2445 1-2 (In the Senate - Received from the House April 27, 1997; 1-3 April 29, 1997, read first time and referred to Committee on 1-4 Intergovernmental Relations; May 15, 1997, reported favorably by 1-5 the following vote: Yeas 11, Nays 0; May 15, 1997, sent to 1-6 printer.) 1-7 A BILL TO BE ENTITLED 1-8 AN ACT 1-9 relating to the operation of a fixed rail transit system by certain 1-10 metropolitan rapid transit authorities. 1-11 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-12 SECTION 1. Subchapter B, Chapter 451, Transportation Code, 1-13 is amended by adding Section 451.071 to read as follows: 1-14 Sec. 451.071. REFERENDUM FOR RAIL PLAN; CERTAIN AUTHORITIES. 1-15 (a) This section applies only to an authority confirmed before 1-16 July 1, 1985, in which the principal municipality has a population 1-17 of less than 750,000. 1-18 (b) The authority may hold a referendum on whether the 1-19 authority may operate a fixed rail transit system. At the election 1-20 the ballots shall be printed to permit voting for or against the 1-21 following proposition: "The operation of a fixed rail system by 1-22 (name of authority)." 1-23 (c) The notice of an election called under this section must 1-24 include a general description of the form of the fixed rail transit 1-25 system, including the general location of any proposed routes. 1-26 (d) If a majority of the votes cast are in favor of the 1-27 proposition, the authority may build and operate the system as 1-28 provided in the notice for the election. If less than a majority 1-29 of the votes cast are in favor of the proposition, the authority 1-30 may not expend funds of the authority to purchase, acquire, 1-31 construct, operate, or maintain any form of a fixed rail transit 1-32 system unless the system is approved by a majority of the votes 1-33 cast at a referendum held by the authority for that purpose. 1-34 (e) A subsequent referendum under Subsection (d): 1-35 (1) may be held more than once; 1-36 (2) is held in the same manner as the initial 1-37 referendum; and 1-38 (3) may not be held before the first anniversary of an 1-39 election previously held under this section. 1-40 SECTION 2. Subchapter H, Chapter 451, Transportation Code, 1-41 is amended by adding Section 451.3625 to read as follows: 1-42 Sec. 451.3625. BONDS FOR RAIL SYSTEM; CERTAIN AUTHORITIES. 1-43 (a) This section applies only to an authority confirmed before 1-44 July 1, 1985, in which the principal municipality has a population 1-45 of less than 750,000. 1-46 (b) An authority may not issue short-term debt under Section 1-47 451.362 or bonds secured by the revenue of the authority to finance 1-48 any portion of the purchase, acquisition, construction, operation, 1-49 or maintenance of a fixed rail transit system unless the system is 1-50 approved at a referendum under Section 451.071. 1-51 (c) If a referendum is approved under Section 451.071, the 1-52 term for which short-term debt may be issued under Section 451.362 1-53 is increased to five years if the purpose of the debt is the 1-54 purchase, acquisition, construction, operation, or maintenance of 1-55 the fixed rail transit system approved at the referendum. 1-56 SECTION 3. The change in law made by Section 2 of this Act 1-57 does not affect the validity of bonds or short-term debt issued 1-58 before the effective date of this Act. 1-59 SECTION 4. The importance of this legislation and the 1-60 crowded condition of the calendars in both houses create an 1-61 emergency and an imperative public necessity that the 1-62 constitutional rule requiring bills to be read on three several 1-63 days in each house be suspended, and this rule is hereby suspended, 1-64 and that this Act take effect and be in force from and after its 2-1 passage, and it is so enacted. 2-2 * * * * *