By:  Cain, Shapiro                                     S.B. No. 409
         2001S0176/1                            
                                A BILL TO BE ENTITLED
 1-1                                   AN ACT
 1-2     relating to the powers and duties of the Texas Turnpike Authority
 1-3     division of the Texas Department of Transportation.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subdivision (4), Section 361.001, Transportation
 1-6     Code, is amended to read as follows:
 1-7                 (4)  "Turnpike project" means a [toll] highway
 1-8     constructed, maintained, or operated under this chapter as part of
 1-9     the state highway system and any improvement, extension, or
1-10     expansion to the highway and includes:
1-11                       (A)  a facility to relieve traffic congestion and
1-12     promote safety;
1-13                       (B)  a bridge, tunnel, overpass, underpass,
1-14     interchange, entrance plaza, approach, toll house, service road,
1-15     ramp, or service station;
1-16                       (C)  an administration, storage, or other
1-17     building the authority considers necessary to operate the project;
1-18     [and]
1-19                       (D)  property rights, easements, and interests
1-20     the authority acquires to construct or operate the project; and
1-21                       (E)  a parking area or structure, rest stop,
1-22     park, and any other improvement or amenity the authority considers
1-23     necessary, useful, or beneficial for the operation of a turnpike
1-24     project.
1-25           SECTION 2.  Section 361.004, Transportation Code, is amended
 2-1     to read as follows:
 2-2           Sec. 361.004.  CONSTRUCTION COSTS.  (a)  The cost of
 2-3     acquisition, construction, improvement, extension, or expansion of
 2-4     a turnpike project under this chapter includes the cost of:
 2-5                 (1)  the actual acquisition, construction, improvement,
 2-6     extension, or expansion of the project;
 2-7                 (2)  acquisition of real property, rights-of-way,
 2-8     property rights, easements, and interests;
 2-9                 (3)  machinery and equipment;
2-10                 (4)  interest before, during, and for one year after
2-11     construction, improvement, extension, or expansion;
2-12                 (5)  traffic estimates, engineering and legal services,
2-13     plans, specifications, surveys, appraisals, cost and revenue
2-14     estimates, and other expenses necessary or incident to determining
2-15     the feasibility of the construction, improvement, extension, or
2-16     expansion;
2-17                 (6)  necessary or incidental administrative, legal, and
2-18     other expenses;
2-19                 (7)  financing; and
2-20                 (8)  placement of the project in operation and expenses
2-21     related to the initial operation of the turnpike project.
2-22           (b)  Costs attributable to a turnpike project for which bonds
2-23     are issued that are incurred before the issuance of the bonds may
2-24     be reimbursed from the proceeds of the sale of the bonds.
2-25           SECTION 3.  Subsections (b) through (g), Section 361.031,
2-26     Transportation Code, are amended to read as follows:
 3-1           (b)  The authority may perform, procure from other divisions
 3-2     of the department with the consent of the department, or procure
 3-3     from outside service providers any portion of the services the
 3-4     authority requires for:
 3-5                 (1)  right-of-way acquisition;
 3-6                 (2)  roadway finance, design, and construction;
 3-7                 (3)  environmental affairs; [or]
 3-8                 (4)  legal services;
 3-9                 (5)  roadway maintenance;
3-10                 (6)  toll revenue collection; or
3-11                 (7)  traffic operations.
3-12           (c)  [With the approval of the commission, the authority may
3-13     perform, procure from other divisions of the department with the
3-14     consent of the department, or procure from outside service
3-15     providers any portion of the services the authority requires for
3-16     roadway maintenance, toll revenue collection, or traffic
3-17     operations.]
3-18           [(d)]  To perform its functions under this chapter, the
3-19     authority may use the facilities and personnel of the department in
3-20     the same manner as other divisions of the department.
3-21           (d) [(e)]  If the comptroller assigns numbers to state
3-22     agencies for accounting purposes, the comptroller shall assign a
3-23     separate agency number to the authority.
3-24           (e) [(f)]  The exercise by the authority of the powers
3-25     conferred by this chapter in the construction, operation, and
3-26     maintenance of a turnpike project is:
 4-1                 (1)  in all respects for the benefit of the people of
 4-2     this state, for the increase of their commerce and prosperity, and
 4-3     for the improvement of their health and living conditions and
 4-4     public safety; and
 4-5                 (2)  an essential governmental function of the state.
 4-6           (f) [(g)]  The commission shall employ a director of the
 4-7     authority who serves as the authority's chief administrative
 4-8     officer.  The director serves at the pleasure of the commission.
 4-9           SECTION 4.  Subsection (b), Section 361.042, Transportation
4-10     Code, is amended to read as follows:
4-11           (b)  The authority may:
4-12                 (1)  construct, maintain, repair, and operate turnpike
4-13     projects in this state;
4-14                 (2)  acquire, hold, and dispose of property in the
4-15     exercise of its powers and the performance of its duties under this
4-16     chapter;
4-17                 (3)  with the approval of the governor and the
4-18     commission, enter into contracts or operating agreements with
4-19     similar authorities or agencies of another state, including a state
4-20     of the United Mexican States;
4-21                 (4)  enter into contracts or agreements necessary or
4-22     incidental to its duties and powers under this chapter;
4-23                 (5)  employ consulting engineers, accountants,
4-24     construction and financial experts, superintendents, managers, and
4-25     other employees and agents the authority considers necessary and
4-26     set their compensation;
 5-1                 (6)  employ attorneys to advance or defend legal
 5-2     actions pertaining to the division's activities, notwithstanding
 5-3     any other law to the contrary, including Section 402.0212,
 5-4     Government Code;
 5-5                 (7)  receive grants for the construction of a turnpike
 5-6     project and receive contributions of money, property, labor, or
 5-7     other things of value from any source to be used for the purposes
 5-8     for which the grants or contributions are made;
 5-9                 (8)  adopt and enforce rules[, if the commission
5-10     concurs,] not inconsistent with this chapter for the use of any
5-11     turnpike project, including rules establishing speed limits and
5-12     maximum allowable vehicle and load weight limits for turnpike
5-13     projects; [and]
5-14                 (9)  engage in marketing, advertising, and other
5-15     activities to promote the development and use of turnpike projects
5-16     and may enter into contracts or agreements necessary to procure
5-17     marketing, advertising, or other promotional services from outside
5-18     service providers;
5-19                 (10)  with the concurrence of the commission, form,
5-20     develop, or utilize a corporation created under Chapter 431 for the
5-21     promotion and development of turnpike projects; and
5-22                 (11)  do all things necessary or appropriate to carry
5-23     out the powers expressly granted by this chapter.
5-24           SECTION 5.  Section 361.054, Transportation Code, is amended
5-25     to read as follows:
5-26           Sec. 361.054.  AUDIT.  Notwithstanding any other law to the
 6-1     contrary, the [The] authority shall have an independent [a]
 6-2     certified public accountant audit the authority's books and
 6-3     accounts at least annually.  The cost of the audit may be treated
 6-4     as part of the cost of construction or operation of a turnpike
 6-5     project.  This section does not affect the ability of a state
 6-6     agency to audit the authority's books and accounts.
 6-7           SECTION 6.  Section 361.131, Transportation Code, is amended
 6-8     to read as follows:
 6-9           Sec. 361.131.  POWERS AND PROCEDURES OF AUTHORITY IN
6-10     ACQUIRING PROPERTY.  Except as otherwise provided by this chapter,
6-11     the authority, acting by and through the board, has the same powers
6-12     and may use the same procedures as the commission or the department
6-13     in acquiring property.
6-14           SECTION 7.  Subsections (a) and (c), Section 361.132,
6-15     Transportation Code, are amended to read as follows:
6-16           (a)  The authority [board] may acquire, in the name of the
6-17     state, public or private real property it determines necessary or
6-18     convenient for the construction, expansion, enlargement, extension,
6-19     improvement, or operation of a turnpike project or for otherwise
6-20     carrying out this chapter.
6-21           (c)  The authority [board] may acquire the real property by
6-22     any method, including purchase and condemnation.  The authority
6-23     [board] may purchase public or private real property on the terms
6-24     and at the price the authority [board] and the owner consider
6-25     reasonable.
6-26           SECTION 8.  Subsection (b), Section 361.135, Transportation
 7-1     Code, is amended to read as follows:
 7-2           (b)  The board, with the concurrence of the commission, may
 7-3     condemn real property that the authority determines is:
 7-4                 (1)  necessary or appropriate to construct or to
 7-5     efficiently operate a turnpike project;
 7-6                 (2)  necessary to restore public or private property
 7-7     damaged or destroyed, including property necessary or convenient to
 7-8     mitigate an environmental effect that directly results from the
 7-9     construction, operation, or maintenance of a turnpike project;
7-10                 (3)  necessary for access, approach, service, and
7-11     interchange roads; [or]
7-12                 (4)  necessary to provide proper drainage and ground
7-13     slope for a turnpike project; or
7-14                 (5)  necessary otherwise to carry out this chapter.
7-15           SECTION 9.  Section 361.137, Transportation Code, is amended
7-16     by adding Subsection (f) to read as follows:
7-17           (f)  After a declaration of taking is filed, the case shall
7-18     proceed as any other case in eminent domain under Chapter 21,
7-19     Property Code.
7-20           SECTION 10.  Subsection (a), Section 361.141, Transportation
7-21     Code, is amended to read as follows:
7-22           (a)  The authority may not pay compensation for public real
7-23     property, parkways, streets, highways, alleys, or reservations it
7-24     takes, except for:
7-25                 (1)  parks and playgrounds; and
7-26                 (2)  property acquired under restrictions and
 8-1     limitations requiring payment of compensation.
 8-2           SECTION 11.  Section 361.171, Transportation Code, is amended
 8-3     by adding Subsection (g) to read as follows:
 8-4           (g)  In addition to other permitted uses, the proceeds of a
 8-5     bond issue may be used to pay costs incurred before the issuance of
 8-6     the bonds, including costs of environmental review, design,
 8-7     planning, acquisition of property, relocation assistance,
 8-8     construction, and operation.
 8-9           SECTION 12.  Subsection (a), Section 361.179, Transportation
8-10     Code, is amended to read as follows:
8-11           (a)  The authority may:
8-12                 (1)  impose tolls for the use of each turnpike project
8-13     and the different parts or sections of each turnpike project; and
8-14                 (2)  notwithstanding anything in Chapter 202 to the
8-15     contrary, contract with a person for the use of part of a turnpike
8-16     project or lease or sell part of a turnpike project, including the
8-17     right-of-way adjoining the paved portion, for any purpose,
8-18     including placing on the adjoining right-of-way a gas station,
8-19     garage, store, hotel, restaurant, railroad tracks, telephone line,
8-20     telecommunication line, telecommunications facilities and
8-21     equipment, and electric line, and set the terms for the use, lease,
8-22     or sale.
8-23           SECTION 13.  Subsection (a), Section 361.181, Transportation
8-24     Code, is amended to read as follows:
8-25           (a)  Notwithstanding Section 361.179 or any other provision
8-26     of this chapter to the contrary, the authority may pay the expenses
 9-1     of studying the cost and feasibility and any other expenses
 9-2     relating to the preparation and issuance of turnpike revenue bonds
 9-3     for the construction of a proposed turnpike project by:
 9-4                 (1)  using available revenue derived from an existing
 9-5     turnpike project;
 9-6                 (2)  borrowing money and issuing interest-bearing
 9-7     evidences of indebtedness or entering into a loan agreement payable
 9-8     out of available revenue anticipated to be derived from the
 9-9     operation of an existing turnpike project; [and]
9-10                 (3)  pledging available revenue anticipated to be
9-11     derived from the operation of an existing turnpike project; and
9-12                 (4)  using money received from the department for
9-13     feasibility studies undertaken at the request of the commission.
9-14           SECTION 14.  Section 361.182, Transportation Code, is amended
9-15     by adding Subsection (i) to read as follows:
9-16           (i)  The commission may request that the authority conduct a
9-17     feasibility study for any proposed turnpike project.  The expenses
9-18     of a study requested by the commission shall be paid for by the
9-19     department.  If the turnpike project is constructed, the department
9-20     shall be reimbursed for money paid to the authority from the
9-21     proceeds of turnpike revenue bonds issued for, or other proceeds
9-22     that may be used for, the construction, improvement, extension,
9-23     expansion, or operation of the project.
9-24           SECTION 15.  Subsection (c), Section 361.232, Transportation
9-25     Code, is amended to read as follows:
9-26           (c)  If feasible, the [The] authority shall provide access to
 10-1    properties previously abutting [move and replace, with an equal or
 10-2    better facility,] a county or other public road that is taken for a
 10-3    turnpike project and [affects or severs.  The authority] shall pay
 10-4    abutting property owners the expenses or [and] any resulting
 10-5    damages for denial of access to the road.
 10-6          SECTION 16.  Section 361.234, Transportation Code, is amended
 10-7    by adding Subsections (d) and (e) and redesignating existing
 10-8    Subsections (d), (e), and (f) as Subsections (f), (g), and (h) to
 10-9    read as follows:
10-10          (d)  The authority may reduce the total costs to be paid by
10-11    the authority by 10 percent for each 30-day period or portion of a
10-12    30-day period that the relocation exceeds the limit specified by
10-13    the authority unless the public utility's failure to timely perform
10-14    results from a material action or inaction by the authority or from
10-15    conditions that the authority agrees were beyond the reasonable
10-16    control of the utility.  If an owner or operator of a public
10-17    utility facility does not timely remove or relocate the facility as
10-18    required under Subsection (b) and the authority relocates the
10-19    facility, the authority shall relocate the facility in a safe
10-20    manner that complies with applicable law and utility construction
10-21    standards recognized by the authority and that minimizes disruption
10-22    of utility service and shall notify the public utility of the
10-23    relocation.  Relocation of a public utility facility by the
10-24    authority is at the expense of the public utility unless the
10-25    authority determines that the failure of the public utility to
10-26    timely relocate the facility was the result of circumstances beyond
 11-1    the control of the utility, in which case the authority shall pay
 11-2    the cost of the relocation.
 11-3          (e)  Notwithstanding anything in this chapter to the
 11-4    contrary:
 11-5                (1)  Subchapter B, Chapter 181, Utilities Code, applies
 11-6    to the laying and maintenance of pipes, mains, conductors, and
 11-7    other facilities used for conducting gas by a gas utility described
 11-8    in that subchapter through, under, along, across, and over a
 11-9    turnpike project constructed by the authority; and
11-10                (2)  the authority has the powers and duties assigned
11-11    to the commission by Subchapter B, Chapter 181, Utilities Code.
11-12          (f)  Notwithstanding anything in this chapter to the
11-13    contrary, Subchapter C, Chapter 181, Utilities Code, applies to the
11-14    erection, construction, maintenance, and operation of lines and
11-15    poles owned by an electric utility, as that term is defined by
11-16    Section 181.041, Utilities Code, over, under, across, on, and along
11-17    a turnpike project constructed by the authority.  The authority has
11-18    the powers and duties delegated to the commission by Subchapter C,
11-19    Chapter 181, Utilities Code.
11-20          (g) [(e)]  Notwithstanding anything in this chapter to the
11-21    contrary, the laws of this state applicable to the use of public
11-22    roads, streets, and waters of this state by a telephone and
11-23    telegraph corporation apply to the erection, construction,
11-24    maintenance, location, and operation of a line, pole, or other
11-25    fixture by a telephone and telegraph corporation over, under,
11-26    across, on, and along a turnpike project constructed by the
 12-1    authority.
 12-2          (h) [(f)]  In this section, "public utility facility" means a
 12-3    track, pipe, main, conduit, cable, wire, tower, pole, or other item
 12-4    of equipment or an appliance of a public utility or other person.
 12-5          SECTION 17.  Subsection (a), Section 361.306, Transportation
 12-6    Code, is amended to read as follows:
 12-7          (a)  The authority shall adopt rules, procedures, and
 12-8    guidelines governing negotiations to promote fairness, obtain
 12-9    private participants in turnpike projects, and promote confidence
12-10    among those participants.  The rules must contain criteria relating
12-11    to the qualifications of the participants and the award of the
12-12    contracts and may authorize the authority to impose a fee for
12-13    reviewing proposals for private involvement in a turnpike project.
12-14          SECTION 18.  Subsections (e), (f), and (g), Section 545.354,
12-15    Transportation Code, are amended to read as follows:
12-16          (e)  [Sections 545.353 and 545.355 to 545.359 do not apply to
12-17    any part of a turnpike project constructed and maintained by the
12-18    authority and covered under Subsection (d) unless a turnpike
12-19    constructed by the authority becomes part of the state highway
12-20    system, in which event the Texas Transportation Commission has the
12-21    sole authority to alter prima facie speed limits on the turnpike
12-22    project.]
12-23          [(f)]  The authority may not:
12-24                (1)  alter the general rule established by Section
12-25    545.351(a); or
12-26                (2)  establish a speed limit of more than 70 miles per
 13-1    hour.
 13-2          (f) [(g)]  The authority, in conducting the engineering and
 13-3    traffic investigation specified by Subsection (a), shall follow the
 13-4    procedure for establishing speed zones adopted by the Texas
 13-5    Department of Transportation.
 13-6          SECTION 19.  Section 621.102, Transportation Code, is amended
 13-7    by amending Subsection (a) and adding Subsection (h) to read as
 13-8    follows:
 13-9          (a)  Except as provided by Subsection (h), the [The]
13-10    commission may set the maximum gross weight of a vehicle and its
13-11    load, maximum gross weight of a combination of vehicles and loads,
13-12    maximum axle load, or maximum wheel load that may be moved over a
13-13    state highway or a farm or ranch road if the commission finds that
13-14    heavier maximum weight would rapidly deteriorate or destroy the
13-15    road or a bridge or culvert along the road.  A maximum weight or
13-16    load set under this subsection may not exceed the maximum set by
13-17    statute for that weight or load.
13-18          (h)  The Texas Turnpike Authority may set, in the same manner
13-19    as the commission under this section, the maximum gross weight of a
13-20    vehicle and its load, the maximum gross weight of a combination of
13-21    vehicles and loads, maximum axle load, or maximum wheel load that
13-22    may be moved over a turnpike project as defined by Section 361.001.
13-23          SECTION 20.  This Act takes effect immediately if it receives
13-24    a vote of two-thirds of all the members elected to each house, as
13-25    provided by Section 39, Article III, Texas Constitution.  If this
13-26    Act does not receive the vote necessary for immediate effect, this
 14-1    Act takes effect September 1, 2001.