SRC-LBB, AMY S.B. 485 78(R)BILL ANALYSIS


Senate Research CenterS.B. 485
By: Barrientos
Infrastructure Development and Security
8/20/2003
Enrolled

DIGEST AND PURPOSE 

Creation of the Austin-San Antonio Intermunicipal Commuter Rail District
(district) was authorized by the 75th Texas Legislature in 1997.  The four
necessary creating jurisdictions (City of Austin, City of San Antonio,
Bexar County, and Travis County) have formed the district, which is
aggressively seeking available federal funding.  However, the district
does not have taxing authority, and may be, at least in part, dependent on
state and local funding.  The rail district needs to conduct all of its
activities in the most cost-effective manner possible.  Through the
passage of S.B. 342 by the 77th Texas Legislature and the recent
initiation of work on State Highway 130, the state has recognized that
exclusive development agreements, in which design, construction, and
maintenance may be combined into a single contract, can be an efficient
and financially prudent way to undertake large construction projects.
S.B. 485 authorizes a board of directors of a rural rail transportation
district to enter into an exclusive development agreement with a private
entity. 

RULEMAKING AUTHORITY

Rulemaking authority is granted to the board of directors of a rural rail
transportation district in SECTION 2 (Article 6550c-1, V.T.C.S) of this
bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Article 6550c-1, Section 6, V.T.C.S, to exempt an
agreement with a private entity under Section 6A from the required bidding
process regarding a contract of more than $15,000 for construction of
improvements or purchase of certain items. 

SECTION 2. Amends Article 6550c-1, V.T.C.S., by adding Section 6A, as
follows: 

Sec. 6A. EXCLUSIVE DEVELOPMENT AGREEMENTS. (a) Defines "exclusive
development agreement."  

(b) Authorizes a board of directors of a rural rail transportation
district (board) to enter into an exclusive development agreement with a
private entity. 

(b) Authorizes the board to adopt rules to govern agreements under this
section. 

SECTION 3.  Effective date: upon passage or September 1, 2003.