H.B. 18 78(2)    BILL ANALYSIS


H.B. 18
By: Swinford
Government Reform
Committee Report (Unamended)



BACKGROUND AND PURPOSE 

Many states, local governments, and school districts utilize
lease-purchases as finance solutions in tough budgetary times. The use of
lease-purchases has expanded from essential equipment, vehicles, and
software to office space, prisons and schools. Lease-purchase agreements
for buildings and facilities provide quick or immediate access to needed
space with little up-front cash. 
As proposed, HB 18 would allow the Texas Department of Transportation to
enter into a leasepurchase agreement for a Houston District Office to be
constructed on land currently owned by the Department. 

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any
additional rulemaking authority to a state officer, department, agency, or
institution. 

ANALYSIS
 
HB 18 allows TXDOT to contract with a private entity for the construction
of a district office in Harris County and to have a lease-purchase option
on the building.  


EFFECTIVE DATE
 
December 1, 2003.