LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 2, 2001
  
  
          TO:  Honorable Clyde Alexander, Chair, House Committee on
               Transportation
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB409  by Cain (Relating to the powers and duties of the
               Texas Turnpike Authority division of the Texas Department
               of Transportation, including the power of eminent
               domain.), As Engrossed
  
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*  No significant fiscal implication to the State is anticipated.        *
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The bill would amend the Transportation Code to expand eligible
construction costs related to turnpike projects and the authority of the
Texas Turnpike Authority (TTA).  The bill would allow the TTA to engage
in, and enter into contractual agreements to procure, marketing,
advertising, and other activities to promote the development and use of
turnpike projects.  The bill would allow  turnpike project costs incurred
before the issuance of bonds to be reimbursed from the proceeds of the
sale of the bonds.  The bill would also allow the TTA to use funds from
the Texas Department of Transportation (TxDOT) to undertake turnpike
project feasibility studies at the request of the Transportation
Commission and would require that any feasibility study expenditures be
repaid from turnpike revenue bond proceeds or any other proceeds eligible
to pay for construction, improvement, expansion, or operation of the
project if it is constructed.

TxDOT does not indicate that any significant increases for turnpike
projects would be realized as a result of the bill.  It is assumed that
any expenditures from State Highway Fund No. 006 would be repaid in
accordance with current law.

The bill would take effect immediately if it received the requisite of
two-thirds majority votes of each house of the Legislature.  Otherwise,
it would take effect September 1, 2001.
  
Local Government Impact
  
No significant fiscal implication to units of local government is
anticipated.
  
  
Source Agencies:   601   Texas Department of Transportation
LBB Staff:         JK, SD, RB, RT, MW