78R3268 DWS-F

By:  Pickett                                                      H.B. No. 471

relating to the borrowing of money by the Texas Department of Transportation. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter C, Chapter 201, Transportation Code, is amended by adding Section 201.115 to read as follows: Sec. 201.115. BORROWING MONEY. (a) The commission may authorize the department to borrow money from the state treasury or any other source to carry out the functions of the department. (b) A contract for a loan under this section may contain any provisions the department considers appropriate, except: (1) the term of the loan may not exceed five years; (2) the amount of the loan, combined with any amounts outstanding on other loans under this section, may not exceed the average monthly revenue deposited to the state highway fund for the 12 months preceding the month of the loan; and (3) the loan may not create general obligation of the state and is payable only as authorized by legislative appropriation. (c) The comptroller may contract with the department for a loan of money in the state treasury, other than money in the state highway fund, that is not dedicated to a specific purpose. (d) Notwithstanding Section 222.001, money in the state highway fund may be used to repay a loan under this section, if appropriated by the legislature for that purpose. SECTION 2. This Act takes effect on the date on which the constitutional amendment proposed by the 78th Legislature, Regular Session, 2003, providing for authorization of the borrowing of money on a short-term basis by a state transportation agency for transportation-related projects takes effect. If that amendment is not approved by the voters, this Act has no effect.