S.J.R. 44 78(R)    BILL ANALYSIS


S.J.R. 44
By: Ogden
Transportation
Committee Report (Unamended)



BACKGROUND AND PURPOSE 

SJR 44 proposes a constitutional amendment authorizing the legislature to
provide for the issuance of bonds secured by the state highway fund for
highway improvement projects.  This resolution prohibits the total amount
of the bonds authorized from exceeding $5 billion dollars. 

RULEMAKING AUTHORITY

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

ANALYSIS

SECTION 1.  Amends Article III, Texas Constitution, by adding Section
49-m, as follows: 

(a) Authorizes the legislature to authorize the Texas Transportation
Commission or its successor to issue bonds and other public securities and
enter into bond enhancement agreements that are payable from revenue
deposited to the credit of the state highway fund, to fund highway
improvement projects.  Prohibits the total amount of bonds and other
public securities authorized by this section from exceeding $5 billion. 

(b) Provides that in each fiscal year in which amounts become due under
the bonds, other public securities, or agreements authorized by this
section, there is appropriated from the revenue deposited to the credit of
the state highway fund in that fiscal year an amount that is sufficient to
pay the principal of and interest on the bonds or other public securities
that mature or become due during the fiscal year and any cost related to
the bonds and other public securities, including payments under bond
enhancement agreements, that becomes due during that fiscal year. 

(c) Prohibits any dedication or appropriation of revenue to the credit of
the state highway fund from being modified so as to impair any outstanding
bonds or other public securities secured by a pledge of that revenue
unless provisions have been made for a full discharge of those securities. 

FOR ELECTION

This proposed constitutional amendment shall be submitted to the voters at
an election to be held November 4, 2003.