By Oliveira                                           H.J.R. No. 13
         77R456 DRH-F                           
                                 A JOINT RESOLUTION
 1-1     proposing a constitutional amendment authorizing the legislature to
 1-2     provide for the issuance of bonds for certain improvements to the
 1-3     state highway system.
 1-4           BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Article III, Texas Constitution, is amended by
 1-6     adding Section 49-k to read as follows:
 1-7           Sec. 49-k.  (a)  To fund improvements to the state highway
 1-8     system, including improvements relating to North American Free
 1-9     Trade Agreement-related corridors, the legislature may authorize
1-10     the Texas Transportation Commission or its successor to issue bonds
1-11     and enter into bond enhancement agreements that are payable from
1-12     revenue received or to be received from the federal highway trust
1-13     fund and other revenues deposited to the credit of the state
1-14     highway fund.
1-15           (b)  Annual payments for the principal of and interest on
1-16     bonds authorized by this section may not exceed 15 percent of
1-17     federal highway apportionments expected to be received by this
1-18     state in the year of payment.
1-19           (c)  In each fiscal year in which amounts become due under
1-20     the bonds or agreements authorized by this section, there is
1-21     appropriated from the revenue received from the federal highway
1-22     trust fund and other revenues deposited to the credit of the state
1-23     highway fund in that fiscal year an amount that is sufficient to
1-24     pay:
 2-1                 (1)  the principal of and interest on the bonds that
 2-2     mature or become due during the fiscal year; and
 2-3                 (2)  any bond-related cost eligible for reimbursement
 2-4     under federal law that becomes due during that fiscal year.
 2-5           (d)  Bonds authorized by this section must mature not more
 2-6     than 15 years after their date of issuance.
 2-7           (e)  The authority to issue bonds under this section expires
 2-8     on September 1, 2005, unless before that date:
 2-9                 (1)  the legislature enacts legislation to authorize
2-10     the issuance of bonds under this section and that legislation
2-11     becomes law;
2-12                 (2)  the legislature or a legislative agency
2-13     subsequently reviews the legislative authorization to issue bonds
2-14     under this section in the manner in which state agencies are
2-15     periodically reviewed under general law; and
2-16                 (3)  the 79th Legislature at its regular session enacts
2-17     legislation that becomes law and that continues in effect the
2-18     legislative authorization to issue bonds under this section.
2-19           (f)  The expiration of the authority to issue bonds under
2-20     this section as provided by Subsection (e) of this section does not
2-21     affect the validity of a bond or agreement that was issued before
2-22     the authority expired.
2-23           SECTION 2.  This proposed constitutional amendment shall be
2-24     submitted to the voters at an election to be held November 6, 2001.
2-25     The ballot shall be printed to permit voting for or against the
2-26     proposition:  "The constitutional amendment authorizing the
2-27     legislature to provide for the issuance of certain state highway
 3-1     system improvement bonds payable from federal and state highway
 3-2     funds."