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By:  Ogden                                                        S.B. No. 52 


A BILL TO BE ENTITLED

AN ACT

relating to the expenditure of funds on rail facilities by the Texas 
Department of Transportation.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 91.071, Transportation Code, is amended 
to read as follows:
	Sec. 91.071.  [PERMISSIBLE SOURCES OF] FUNDING.  (a)  Except 
as provided in Subsection (b), the [The] department may use any 
available funds to implement this chapter [legally permissible 
source of funding in acquiring, constructing, maintaining, and 
operating a rail facility or system], including[:
		[(1)  appropriations from the state highway fund that 
are not dedicated for another purpose by Section 7-a or 7-b, Article 
VIII, Texas Constitution;
		[(2)  proceeds from bonds secured by the Texas Mobility 
Fund;
		[(3)  donations, whether in kind or in cash; and             
		[(4)  loans from] the state infrastructure bank.             
	(b)  Each fiscal year, the total amount disbursed by the 
department from the state highway fund to implement this chapter 
[out of federal and state funds] shall not exceed $12.5 million.  
This subsection does not apply to:
		(1)  [disbursements for the acquisition or 
construction of rail lines on the Trans-Texas Corridor;
		[(2)]  the acquisition of abandoned rail facilities 
described in Section 91.007;
		(2) [(3)]  funding derived from the issuance of bonds, 
private investment, and donations;
		(3)  federal funds[, and grants or loans] from the 
Federal Railroad Administration, from the [or] Federal Transit 
Administration, or authorized and appropriated by the United States 
Congress for a specific project; [and]
		(4)  grants awarded by the governor from the Texas 
Enterprise Fund; and
		(5)  grading and bed preparation.                                      
	SECTION 2.  The Texas Transportation Commission shall, by 
September 30, 2003, propose rules governing the disbursement of 
funds for the acquisition of abandoned rail facilities described in 
Section 91.007, Transportation Code.  The rules shall prescribe 
criteria for the Texas Department of Transportation's acquisition 
of abandoned rail facilities.  In establishing criteria, the Texas 
Transportation Commission shall consider the local and regional 
economic benefit realized from the disbursement of funds in 
comparison to the amount of the disbursement.
	SECTION 3.  This Act takes effect immediately if it receives 
a vote of two-thirds of all the members elected to each house, as 
provided by Section 39, Article III, Texas Constitution.  If this 
Act does not receive the vote necessary for immediate effect, this 
Act takes effect November 1, 2003.