SRC-JEC H.B. 1683 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 1683
By: Goolsby (Cain)
Intergovernmental Relations
5/4/2001
Engrossed


DIGEST AND PURPOSE 

Currently, the Dallas Area Rapid Transit Authority (DART) receives federal
grants for certain construction projects.  However, the timing of the
receipt of the grants and the commencement of the projects is not always
compatible.  H.B. 1683 provides DART the authority to pledge future federal
funds to pay for construction projects and allows for the adoption of a
biennial budget in certain circumstances. 

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 452.108, Transportation Code, by adding
Subsection (f), to provide that Subsection (c) does not apply to a lease or
financing agreement that is payable from or secured by a pledge of funds
described by Section 452.357(a)(4). 

SECTION 2.  Amends Section 452.357, Transportation Code, by amending
Subsection (a) and adding Subsection (e), as follows: 

(a)(4) Authorizes a transportation authority, to secure the payment of its
bonds, to pledge all or part of funds the federal government has committed
to the authority as grants in aid. 

(c) Authorizes the authority to pledge funds described by Subsection (a)(4)
as the sole security for the bonds or in addition to any other security
described by this section. 

SECTION 3. Amends Chapter 452O, Transportation Code, by adding Section
452.580, as follows: 

Sec. 452.580.  CHANGE OF BUDGETING POLICY.  Authorizes a subregional board
to adopt on a two-thirds vote of the board a budgeting policy for the
authority that provides for the adoption and implementation of a budget
that extends for two fiscal years, with annual reviews as needed. 

SECTION 4.  Effective date: September 1, 2001.