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By: Krusee, Delisi, Capelo, Turner, Phillips H.B. No. 3588
A BILL TO BE ENTITLED
AN ACT
relating to the construction, acquisition, financing, maintenance,
management, operation, ownership, and control of transportation
facilities and the progress, improvement, policing, and safety of
transportation in the state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE I. TRANS-TEXAS CORRIDOR
SECTION 1.01. The heading to Title 6, Transportation Code,
is amended to read as follows:
TITLE 6. ROADWAYS AND TRANS-TEXAS CORRIDOR
SECTION 1.02. The heading to Subtitle B, Title 6,
Transportation Code, is amended to read as follows:
SUBTITLE B. STATE HIGHWAY SYSTEM AND TRANS-TEXAS CORRIDOR
SECTION 1.03. Subtitle B, Title 6, Transportation Code, is
amended by adding Chapter 227 to read as follows:
CHAPTER 227. TRANS-TEXAS CORRIDOR
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 227.001. SHORT TITLE. This chapter may be cited as the
Trans-Texas Corridor Act.
Sec. 227.002. LEGISLATIVE INTENT AND CONSTRUCTION. (a)
Transportation vitally affects the economy of this state and the
public interest and welfare of its citizens. It is the policy of
this state to exercise the full extent of its constitutional power
to ensure the development of a new generation of facilities known as
the Trans-Texas Corridor. The Trans-Texas Corridor will combine
various facilities, including free highways, turnpikes, freight
rail, passenger and commuter rail, pipelines, communications
lines, and other utilities. These integrated corridors will
enhance the safety of travelers, relieve congestion, and protect
the human and natural environment by serving population centers
without directing traffic into heavily populated areas. Through
these safe and environmentally sound integrated corridors, the
Trans-Texas Corridor will provide for the secure and reliable
transportation of people, property, power, and information in ways
that will benefit all citizens of this state.
(b) The purpose of this chapter is to provide the commission
and the department with all powers necessary or convenient to the
construction and operation of the Trans-Texas Corridor. These
powers include the ability to use innovative financing and
contracting tools to permit the expeditious construction of the
Trans-Texas Corridor with a high degree of flexibility and
efficiency.
(c) It is the intent of the legislature that in exercising
the powers under this chapter the commission and the department
will solicit and consider the views of all persons through an active
program of public hearings, meetings, and opportunities for written
comment on proposed courses of action and will encourage efficiency
at all levels of private involvement by fostering a competitive
environment that will challenge private enterprise, reward
innovation, and achieve the best value for the state.
(d) This chapter shall be liberally construed to achieve its
purposes.
Sec. 227.003. DEFINITIONS. In this chapter:
(1) "Bond" has the meaning assigned by Title 9,
Government Code.
(2) "Construction" includes extension, expansion, and
improvement.
(3) "Credit agreement" has the meaning assigned by
Title 9, Government Code.
(4) "Facility" means:
(A) a state highway;
(B) a turnpike;
(C) a freight or passenger railroad, including a
commuter railroad, intercity railroad, and high-speed railroad;
(D) a public utility facility;
(E) any other mechanism for transporting people,
property, power, or information that relies on or benefits from
fixed structures; or
(F) any structure that is reasonably necessary
for the effective operation of a method of transportation,
including an intermodal transfer or staging area, weigh station,
inspection station, rest area, service station, restaurant, train
or bus station, warehouse, freight interchange, switching yard,
maintenance yard, and pipeline pumping station.
(4-a) "Facility" does not include a border inspection
facility that serves a bridge system that had more than 900,000
commercial border crossings during the state fiscal year ending
August 31, 2002.
(5) "Fee" includes any charge, toll, rent, lease
payment, user fee, franchise fee, percentage fee, license fee,
fare, tariff, or other consideration received in return for the use
of:
(A) property that is part of the Trans-Texas
Corridor;
(B) a facility on the Trans-Texas Corridor; or
(C) a service that is offered in connection with
the Trans-Texas Corridor.
(6) "Operation" includes maintenance and repair.
(7) "Public utility facility" means:
(A) a water, wastewater, natural gas, or
petroleum pipeline or facility;
(B) an electric transmission or distribution
facility; or
(C) telecommunications infrastructure,
including fiber optic cable, conduit, and wireless communications
facilities.
(8) "Trans-Texas Corridor" means the statewide system
of facilities designated by the commission under this chapter.
(9) "Turnpike" has the meaning assigned to turnpike
project under Section 361.001.
Sec. 227.004. RULES. The commission may adopt rules and the
department may implement procedures and forms as necessary or
convenient to implement and administer this chapter.
Sec. 227.005. APPLICABILITY. (a) All laws governing the
financing, design, construction, maintenance, or operation of a
highway in the state highway system apply to the financing, design,
construction, maintenance, or operation of a highway under this
chapter unless in conflict with this chapter.
(b) All laws governing the financing, design, construction,
maintenance, or operation of a turnpike by the department apply to
the financing, design, construction, maintenance, or operation of a
turnpike under this chapter unless in conflict with this chapter.
(c) This chapter does not apply to real or personal
property, operations, or construction, or to a project plan of a
transportation authority created under Subchapter O, Chapter 452,
or an authority created under Chapter 451, the principal
municipality of which has a population of 1.5 million or more,
unless the commission or its designee has signed a written
agreement with the transportation authority specifying the terms
and conditions under which the transportation authority may
participate in the Trans-Texas Corridor.
[Sections 227.006-227.010 reserved for expansion]
SUBCHAPTER B. ESTABLISHMENT
Sec. 227.011. DESIGNATION. The commission shall designate
facilities for the Trans-Texas Corridor.
Sec. 227.012. ROUTE SELECTION. The commission shall
consider the following criteria when selecting a route for a
segment of the Trans-Texas Corridor:
(1) current and projected traffic patterns;
(2) the safety of motorists;
(3) potential risks to persons from spills or
accidents of any kind;
(4) environmental effects, including the effect on air
quality;
(5) current and projected economic development;
(6) the current and projected need for additional
transportation options; and
(7) system connectivity.
Sec. 227.013. PUBLIC PARTICIPATION. Before designating a
route for a segment of the Trans-Texas Corridor, the department
shall hold at least one public hearing.
Sec. 227.014. ESTABLISHMENT OF DISCRETE SYSTEMS. (a) If
the commission determines that the mobility needs of this state
would be most efficiently and economically met by jointly operating
two or more facilities as one operational and financial enterprise,
it may create a system composed of those facilities. The commission
may create more than one system and may combine two or more systems
into one system. The commission may finance, construct, and
operate an additional facility as an expansion of a system if the
commission determines that the facility would most efficiently and
economically be constructed and operated if it were a part of the
system and that the addition will benefit the system.
(b) The revenue of a system must be accounted for separately
and may not be commingled with the revenue of a facility that is not
a part of the system.
Sec. 227.015. LOCATION OF FACILITIES. Notwithstanding any
other law, including Chapter 181, Utilities Code, Chapter 402,
Local Government Code, and Section 49.220, Water Code, the
department may:
(1) specify the location of any facility on the
Trans-Texas Corridor; and
(2) direct the time and manner of construction or
operation of any facility on the Trans-Texas Corridor.
[Sections 227.016-227.020 reserved for expansion]
SUBCHAPTER C. DEVELOPMENT AND OPERATION
Sec. 227.021. AUTHORITY OF DEPARTMENT. (a) The department
may:
(1) construct or operate any facility as part of the
Trans-Texas Corridor; or
(2) authorize a governmental or private entity to
construct or operate a facility that is part of the Trans-Texas
Corridor.
(b) Subject to Section 227.029, the department may grant or
deny access to the Trans-Texas Corridor.
(c) The department may not directly provide
telecommunications or information services or facilities to the
public.
Sec. 227.022. PARTICIPATION BY OTHER ENTITIES. (a) A toll
or non-toll highway on the Trans-Texas Corridor that is constructed
or operated by another entity shall be part of the state highway
system. This subsection applies even if the entity constructing or
operating the highway is not independently authorized to construct
or operate a highway that is part of the state highway system.
(b) If the department authorizes another governmental
entity to construct or operate a facility on the Trans-Texas
Corridor, that entity has each power of the department under this
chapter with respect to that facility, including the right to
collect fees, except that any property acquired by the entity shall
be held in the name of the state.
(c) Notwithstanding any other law, if the department
authorizes another governmental entity to construct or operate a
facility on the Trans-Texas Corridor, that entity may construct or
operate the facility without regard to any geographic limit on the
entity's jurisdiction.
(d) If the department authorizes another governmental
entity to construct or operate a facility on the Trans-Texas
Corridor, that entity is liable for a claim relating to the
Trans-Texas Corridor only to the extent that the department would
be liable if it were constructing or operating the facility.
Sec. 227.023. PARTICIPATION BY PRIVATE ENTITIES. (a) To
the maximum extent practical and economical, the department shall
encourage the participation of private entities in the planning,
design, construction, and operation of facilities.
(b) The department shall contract with a private entity to
operate a railroad using rail facilities owned by the department
and may not use department employees to operate a railroad. The
department may maintain a rail facility directly or through a
private entity.
(c) To remove barriers to participation by small and
disadvantaged businesses, the department shall apply the same
procedures to exclusive development agreements that it applies to
contracts entered under other construction and design contracts.
The department shall encourage participation by small and
disadvantaged businesses in the performance of exclusive
development agreements.
Sec. 227.024. HIGHWAYS. A highway, including a turnpike,
on the Trans-Texas Corridor is a part of the state highway system.
Sec. 227.025. VEHICLE SIZE AND WEIGHT LIMITS. (a) The
commission may authorize the operation of a vehicle that exceeds
the height, length, or gross weight limitations of Subchapter C,
Chapter 621, on a segment of a highway on the Trans-Texas Corridor
if supported by an engineering and traffic study that includes an
analysis of the structural capacity of bridges and pavements,
current and projected traffic patterns and volume, and potential
effects on public safety.
(b) This section does not authorize the operation of a
vehicle that exceeds a maximum axle weight authorized by Chapter
621, 622, or 623.
Sec. 227.026. ACQUISITION OF PERSONAL PROPERTY. (a) The
department may acquire rolling stock or other personal property
under a conditional sales contract, lease, equipment trust
certificate, or other form of contract or trust agreement for use in
connection with a facility.
(b) The department may enter into an agreement with a rail
operator, transportation common carrier, transportation system, or
any other entity for the common use of any facility.
(c) The department may enter into agreements with a public
or private utility, the owner or operator of a communications
system, utility common carrier, or transportation system, or
another entity for the common use of a public utility facility.
Sec. 227.027. ENVIRONMENTAL REVIEW. (a) The department
shall conduct or approve each environmental evaluation or study
required for an activity associated with the Trans-Texas Corridor.
(b) The commission may allocate responsibilities for
conducting environmental evaluations or studies or preparing
environmental documentation among entities involved in the
construction or operation of any facility of the Trans-Texas
Corridor.
Sec. 227.028. ENVIRONMENTAL MITIGATION. (a) The
department may acquire, maintain, hold, restore, enhance, develop,
or redevelop property for the purpose of mitigating a past,
present, or future adverse environmental effect arising from the
construction or operation of any part of the Trans-Texas Corridor
without regard to whether the need for mitigation is established
for a particular project.
(b) The department may contract with a governmental or
private entity to maintain, control, hold, restore, enhance,
develop, or redevelop property for the mitigation of a past,
present, or future adverse environmental effect arising from the
construction or operation of any part of the Trans-Texas Corridor
without regard to whether the need for mitigation has already been
established for a particular project.
(c) If authorized by the applicable regulatory authority,
the department may pay a sum of money to an appropriate governmental
or private entity instead of acquiring or managing property for the
mitigation of a past, present, or future adverse environmental
effect arising from construction or operation of any part of the
Trans-Texas Corridor without regard to whether the need for
mitigation has already been established for a particular project.
Sec. 227.029. RELOCATION OF EXISTING FACILITIES. (a) The
department may construct a grade separation at an intersection of a
Trans-Texas Corridor facility with another facility and may change
the line or grade of a facility to accommodate the facility to the
design of a grade separation. The department shall pay the cost of
a grade separation and any damage incurred in changing a line or
grade of a facility.
(b) If the department finds it necessary to change the
location of a portion of a facility, it shall reconstruct the
facility at the location the department determines to be most
favorable. The reconstructed facility must be of substantially the
same type and in as good condition as the original facility. The
department shall determine and pay the cost of the reconstruction
and any damage incurred in changing the location of a facility.
(c) This section does not apply to the conversion of any
highway that is a part of the state highway system to a highway of
the Trans-Texas Corridor.
Sec. 227.030. UNAUTHORIZED USE. The department may remove
unauthorized personal property, including a vehicle, from the
Trans-Texas Corridor without notice and at the owner's expense.
Removed property may be stored until claimed by the owner. If a
removed motor vehicle is not claimed by the owner within 72 hours
after the date and time of removal, it shall be considered abandoned
within the meaning of Chapter 683. The department and its employees
are not liable for damage to property that is removed from the
Trans-Texas Corridor under this section.
Sec. 227.031. EXCLUSIVE LANES. The department may dedicate
one or more lanes of a highway on the Trans-Texas Corridor to the
exclusive use of designated classes of vehicles.
[Sections 227.032-227.040 reserved for expansion]
SUBCHAPTER D. RIGHT-OF-WAY ACQUISITION
Sec. 227.041. POWERS AND PROCEDURES. (a) Except as
otherwise provided by this subchapter, the commission has the same
powers and duties relating to the condemnation and acquisition of
real property for a facility of the Trans-Texas Corridor that the
commission and the department have relating to the condemnation or
purchase of real property under Subchapter D, Chapter 361, and
Section 361.233 for a turnpike project. The commission may
purchase property or an option to purchase property that the
commission is considering for possible use as part of the
Trans-Texas Corridor even if it has not been finally decided that
the Trans-Texas Corridor will be located on that property.
Property may be purchased along alternative potential routes for
the Trans-Texas Corridor even if only one of those potential routes
will be selected as the final route.
(b) An interest in real property or a property right is
necessary or convenient for the construction or operation of a
facility if it is located in or contiguous to an existing or planned
segment of the Trans-Texas Corridor and if its acquisition will
further the primary purposes of the Trans-Texas Corridor. Primary
purposes include:
(1) providing right-of-way or a location for a
facility;
(2) providing land for mitigation of adverse
environmental effects;
(3) providing buffer zones for scenic or safety
purposes;
(4) allowing for possible future expansion of any
facility; and
(5) generating revenue, directly or indirectly, for
use in constructing or operating the Trans-Texas Corridor.
(c) Unless in conflict with this chapter, all laws governing
the acquisition of right-of-way for a state highway apply to the
acquisition of right-of-way for the Trans-Texas Corridor. Sections
203.056, 203.057, and 203.058 apply to an acquisition by the
department from a state agency. Compensation to a state agency
under those sections shall be reasonable and may take the form of a
single payment, a participation payment under Section 227.042, or
both a single payment and a participation payment.
Sec. 227.042. CORRIDOR PARTICIPATION PAYMENT FOR REAL
PROPERTY. (a) As an alternative to paying for an interest in real
property or a real property right with a single fixed payment, the
department may, with the owner's consent, pay the owner by means of
a corridor participation payment.
(b) A right to receive a corridor participation payment
under this section is subordinate to any right to receive a fee as
payment on the principal of or interest on a bond that is issued for
the construction of the applicable segment of the Trans-Texas
Corridor.
(c) In this section, "corridor participation payment" means
an intangible legal right to receive a percentage of one or more
identified fees related to a segment of the Trans-Texas Corridor.
Sec. 227.043. LEGAL RIGHTS AS PAYMENT FOR REAL PROPERTY. As
an alternative to paying for an interest in real property or a
property right with a single fixed payment, the department may,
with the owner's consent, pay the owner by means of an exclusive or
nonexclusive right to use or operate a facility or a license to
operate a public utility facility on the Trans-Texas Corridor.
Sec. 227.044. PURCHASE AND LEASEBACK. The department may
acquire real property for the Trans-Texas Corridor and immediately
lease it back to the former owner for a fixed or indefinite term.
Sec. 227.045. POSSESSION OF HOMESTEAD PROPERTY UNDER
DECLARATION OF TAKING. If property condemned under this chapter is
a homestead or a portion of a homestead as defined by Section
41.002, Property Code, the department may not take possession
before the 91st day after the date of service of the declaration of
taking.
Sec. 227.046. RIGHT OF ENTRY TO PROPERTY WITH PUBLIC
UTILITY FACILITY. To ensure the safety and convenience of the
public, the department shall, when entering any real property,
water, or premises on which is located a public utility facility:
(1) comply with applicable industry standard safety
codes and practices; and
(2) give the owner or operator of the facility not less
than 10 days' notice before entering the real property, water, or
premises.
Sec. 227.047. DONATIONS. The department may accept
donations of an interest in real property from any person for use in
connection with the Trans-Texas Corridor. Notwithstanding any
other law, including Chapter 575, Government Code, the commission
may adopt rules authorizing the department to accept a gift of real
property from any local, state, or federal governmental entity
without formal acknowledgment by the commission.
Sec. 227.048. OTHER GOVERNMENTAL ENTITIES. If the
department authorizes another governmental entity to construct or
operate a segment of or a facility on the Trans-Texas Corridor, that
entity has all the powers and duties of the department under this
subchapter.
Sec. 227.049. COST OF RELOCATING PUBLIC UTILITY FACILITY.
(a) A telecommunications utility or a telecommunications utility
holding a certificate of convenience and necessity, certificate of
authority, or service provider certificate of authority shall
recover from the department its reasonable costs to relocate a
public utility facility to accommodate the development or
construction of the Trans-Texas Corridor.
(b) An owner of a public utility facility is not obligated
to relocate the utility facility on the Trans-Texas Corridor if the
owner determines that another location is feasible.
(c) If a public utility facility is located on the
Trans-Texas Corridor, the department shall grant the owner
reasonable access to operate and maintain the utility facility in
accordance with industry standard safety codes and practices.
(d) Relocation of facilities pursuant to this section is
subject to the department's reasonable regulations pertaining to
public health, safety, and welfare.
[Sections 227.050-227.060 reserved for expansion]
SUBCHAPTER E. FINANCING
Sec. 227.061. PERMISSIBLE SOURCES OF FUNDING. To the full
extent permitted by the constitution, but subject to Section
227.0615, the department may use any available source of funding in
acquiring property for, constructing, and operating the
Trans-Texas Corridor, including:
(1) an appropriation from the state highway fund for
construction or maintenance of highways;
(2) a fee;
(3) proceeds from a bond secured by fees;
(4) proceeds from an obligation secured by the Texas
Mobility Fund;
(5) a donation, in kind or in cash;
(6) a private investment;
(7) money transferred from the state infrastructure
bank;
(8) a contribution from or contractual obligation of a
governmental entity; and
(9) a loan, grant, or reimbursement from the federal
government, subject to Section 227.0615.
Sec. 227.0615. LIMITATION ON DEPARTMENT FINANCIAL
PARTICIPATION. (a) Each fiscal year, the total amount disbursed by
the department out of the state highway fund for acquiring property
for and the initial construction of facilities of the Trans-Texas
Corridor may not exceed 20 percent of the obligation authority
under the federal-aid highway program that is distributed to this
state in that year.
(b) The limitation under Subsection (a) does not apply to:
(1) money spent for:
(A) feasibility studies, environmental studies,
and preliminary engineering conducted before the initial
construction of a facility; or
(B) operation or reconstruction of a facility;
(2) the proceeds of bonds or other public securities
issued to pay the cost of a facility deposited to the credit of the
state highway fund;
(3) revenue attributable to a facility deposited to
the credit of the state highway fund;
(4) loans deposited to the credit of the state highway
fund; or
(5) contributions from a public or private entity that
are deposited to the credit of the state highway fund.
(c) The commission may not disburse money out of the state
highway fund for the initial construction of a facility of the
Trans-Texas Corridor unless the commission finds that the
disbursement will reduce traffic congestion to an extent that is
comparable to the reduction in traffic congestion that would likely
be achieved by spending the same amount of money on the project that
is the most reasonable alternative.
Sec. 227.062. REVENUE BONDS. (a) The commission by order
may authorize the issuance of bonds to pay all or part of the cost of
a facility or system established under Section 227.014, to refund
any bonds previously issued for the facility or system, or to pay
for all or part of the cost of a facility or system that will become
a part of another system.
(b) As determined in the order authorizing the issuance, the
bonds of each issue shall:
(1) be dated;
(2) bear interest at the rate or rates provided by the
order and beginning on the dates provided by the order and as
authorized by law, or bear no interest;
(3) mature at the time or times provided by the order,
not exceeding 40 years from their date or dates; and
(4) be made redeemable before maturity at the price or
prices and under the terms provided by the order.
(c) The commission may sell the bonds at public or private
sale in the manner and for the price it determines to be in the best
interest of the department.
(d) The proceeds of each bond issue shall be disbursed in
the manner and under any restrictions provided in the order
authorizing the issuance.
(e) Additional bonds may be issued in the same manner to pay
the costs of a facility or system. Unless otherwise provided in the
order authorizing the issuance, the additional bonds shall be on a
parity, without preference or priority, with bonds previously
issued for that facility or system. In addition, the commission may
issue bonds for a facility or system secured by a lien on the
revenue of the facility or system subordinate to the lien on the
revenue securing other bonds issued for the facility or system.
(f) If the proceeds of a bond issue exceed the cost of the
facility or system for which the bonds were issued, the surplus
shall be segregated from the other money of the commission and used
only for the purposes specified in the order authorizing the
issuance.
(g) Bonds issued and delivered under this chapter and
interest coupons on the bonds are a security under Chapter 8,
Business & Commerce Code.
(h) Bonds issued under this chapter and income from the
bonds, including any profit made on the sale or transfer of the
bonds, are exempt from taxation in this state.
(i) In issuing bonds the proceeds of which are to be used
solely for a turnpike, the commission may exercise any additional
power granted by Subchapter E, Chapter 361.
Sec. 227.063. INTERIM BONDS. (a) The commission may,
before issuing definitive bonds, issue interim bonds, with or
without coupons, exchangeable for definitive bonds.
(b) The interim bonds may be authorized and issued in
accordance with this chapter, without regard to a requirement,
restriction, or procedural provision in any other law.
(c) An order authorizing interim bonds may provide that the
interim bonds recite that the bonds are issued under this chapter.
The recital is conclusive evidence of the validity and the
regularity of the bonds' issuance.
Sec. 227.064. PAYMENT OF BONDS; CREDIT OF STATE NOT
PLEDGED. (a) The principal of, interest on, and any redemption
premium on bonds issued by the commission are payable solely from:
(1) the revenue of the facility or system for which the
bonds are issued, including tolls and other fees pledged to pay the
bonds;
(2) money derived from any other source available to
the commission, including fees; and
(3) amounts received under a credit agreement relating
to the facility or system for which the bonds are issued.
(b) Bonds issued under this chapter do not constitute a debt
of this state or a pledge of the faith and credit of this state.
Each bond must contain on its face a statement to the effect that
the state is not obligated to pay the bond or the interest on the
bond from a source other than the amount pledged to pay the bond and
the interest on the bond, and the faith and credit and taxing power
of this state are not pledged to the payment of the principal of or
interest on the bond.
(c) The commission may not incur a financial obligation that
cannot be paid from revenue derived from owning or operating a
facility or system or from other revenue or money provided by law.
Sec. 227.065. EFFECT OF LIEN. (a) A lien on or a pledge of
revenue from a facility or system or other money under this chapter
or on a reserve, replacement, or other fund established in
connection with a bond issued under this chapter:
(1) is enforceable at the time of payment for and
delivery of the bond;
(2) applies to each item on hand or subsequently
received;
(3) applies without physical delivery of an item or
other act; and
(4) is enforceable against any person having a claim,
in tort, contract, or other remedy, against the commission or the
department without regard to whether the person has notice of the
lien or pledge.
(b) An order authorizing the issuance of bonds is not
required to be recorded except in the regular records of the
department.
Sec. 227.066. BOND INDENTURE. (a) Bonds under this chapter
may be secured by a bond indenture between the commission and a
corporate trustee that is a trust company or a bank that has the
powers of a trust company.
(b) A bond indenture may pledge or assign the fees and other
revenue to be received and other money derived from another source
available to the commission but may not convey or mortgage any part
of a facility or system.
(c) A bond indenture may:
(1) set forth the rights and remedies of the
bondholders and the trustee;
(2) restrict the individual right of action by
bondholders as is customary in trust agreements or indentures of
trust securing corporate bonds and debentures; and
(3) contain provisions the commission determines
reasonable and proper for the security of the bondholders,
including covenants:
(A) establishing the commission's duties
relating to:
(i) the acquisition of property;
(ii) the construction, maintenance,
operation, and repair of and insurance for a facility or system; and
(iii) custody, safeguarding, and
application of money;
(B) prescribing events that constitute default;
(C) prescribing terms on which any or all of the
bonds become or may be declared due before maturity; and
(D) relating to the rights, powers, liabilities,
or duties that arise on the breach of a duty of the commission.
(d) An expense incurred in carrying out a trust agreement or
indenture may be treated as part of the cost of operating a facility
or system.
(e) In addition to all other rights by mandamus or other
court proceeding, an owner or trustee of a bond issued under this
chapter may enforce the owner's rights against the commission, the
department, or an agent or employee of the commission or department
and is entitled to:
(1) require the commission and department to impose
and collect fees, charges, and other revenue sufficient to carry
out any agreement contained in the applicable bond proceedings; and
(2) apply for and obtain the appointment of a receiver
for the facility or system.
Sec. 227.067. APPROVAL OF BONDS BY ATTORNEY GENERAL. (a)
The commission shall submit to the attorney general for examination
the record of proceedings relating to bonds authorized under this
chapter. The record shall include the bond proceedings and any
contract securing or providing revenue for the payment of the
bonds.
(b) If the attorney general determines that the bonds, the
bond proceedings, and any supporting contract are authorized by
law, the attorney general shall approve the bonds and deliver to the
comptroller:
(1) a copy of the legal opinion of the attorney general
stating the approval; and
(2) the record of proceedings relating to the
authorization of the bonds.
(c) On receipt of the legal opinion of the attorney general
and the record of proceedings relating to the authorization of the
bonds, the comptroller shall register the record of proceedings.
(d) After approval by the attorney general, the bonds, the
bond proceedings, and any supporting contract are valid,
enforceable, and incontestable in any court or other forum for any
reason and are binding obligations according to their terms for all
purposes.
Sec. 227.068. FURNISHING OF INDEMNIFYING BONDS OR PLEDGES
OF SECURITIES. (a) A bank or trust company incorporated under the
laws of this state that acts as depository of the proceeds of bonds
or of revenue may furnish indemnifying bonds or pledge securities
that the commission requires.
(b) Bonds of the commission may secure the deposit of public
money of this state or a political subdivision of this state to the
extent of the lesser of the face value of the bonds or their market
value.
Sec. 227.069. APPLICABILITY OF OTHER LAW; CONFLICTS. All
laws affecting the issuance of bonds by governmental entities,
including Chapters 1201, 1202, 1204, 1207, and 1371, Government
Code, apply to bonds issued under this chapter. To the extent of a
conflict between those laws and this chapter, the provisions of
this chapter prevail.
Sec. 227.070. LOANS AND OTHER FUNDING. The department may
borrow money from the United States or use money in the state
infrastructure bank created under Subchapter D, Chapter 222, to
fund the construction or operation of a facility under this
chapter. Money borrowed under this section may be evidenced by the
issuance of bonds.
SUBCHAPTER F. REVENUE
Sec. 227.071. FEES. (a) Notwithstanding any other law,
including Chapters 161, 162, 163, and 181, Utilities Code, Chapter
402, Local Government Code, and Chapter 49, Water Code, and except
as provided in Subsection (e), the department may require a person,
including a governmental or private entity, to pay a fee as a
condition of using any part of the Trans-Texas Corridor.
(b) The commission may establish fees to be imposed by the
department under this chapter. Fees may be set as absolute amounts,
as a percentage of revenue, as a percentage of actual use or
throughput, as a designated portion or percentage of initial
facility funding, or on any other reasonable basis. Subject to
approval by a body having jurisdiction and authority to establish a
tariff, the commission may establish joint fees and divisions of
fees.
(c) A fee may exceed the department's costs, but the
commission may not establish a fee that is prohibitive or that
discriminates unreasonably among users or potential users of a
facility.
(d) In establishing a fee or the amount of a fee under this
section, the commission shall consider:
(1) the acquisition cost of the property being used;
(2) if applicable, the value of the property being
transported or of the service being offered;
(3) any cost to the department or to the public
occasioned by the use, including environmental effects;
(4) comparable fees set by the competitive
marketplace; and
(5) the desirable effects of full use of the
Trans-Texas Corridor on the state's economy and its residents.
(e) If a public road is replaced or eliminated by the
Trans-Texas Corridor and a facility used the right-of-way of that
road under Chapter 161, 162, 163, or 181, Utilities Code, Chapter
402, Local Government Code, or Chapter 49, Water Code, the
department may not require the owner of that facility to pay a fee
as a condition of using a segment of the Trans-Texas Corridor for
the location of a replacement facility.
(f) The department may not require the owner of a public
utility facility to pay a fee as a condition of crossing the
Trans-Texas Corridor.
Sec. 227.072. LEASE OF PROPERTY OR RIGHTS. (a) The
department may lease property on the Trans-Texas Corridor to any
public or private entity. A lease may be for a term not longer than
50 years.
(b) The department may grant a franchise to use or operate a
facility on the Trans-Texas Corridor. A franchise under this
section may be granted for a term not longer than 50 years.
(c) The department may grant an exclusive or nonexclusive
license to access or use any portion of the Trans-Texas Corridor for
any purpose. A license granted under this section may be for a
definite or indefinite term.
(d) Property may be leased or a franchise or license granted
for any purpose, including use as a facility and use for unrelated
commercial, industrial, or agricultural purposes.
(e) In return for a lease, franchise, or license, the
department may accept anything of value as consideration,
including:
(1) a cash payment;
(2) installment payments;
(3) one or more payments based on percentages of use or
throughput; and
(4) an interest in real or personal property, or an
intangible legal right.
Sec. 227.073. DISPOSITION OF FEES. To the extent that it is
not dedicated to another purpose by the constitution, by statute,
or by contract, revenue received by the department under this
chapter shall be deposited to the credit of the state highway fund
and may be used for any purpose authorized by this chapter.
Subchapter D, Chapter 316, Government Code, and Section 403.095,
Government Code, do not apply to revenue received under this
chapter.
SECTION 1.04. Subchapter H, Chapter 545, Transportation
Code, is amended by adding Section 545.3531 to read as follows:
Sec. 545.3531. AUTHORITY OF TEXAS TRANSPORTATION
COMMISSION TO ESTABLISH SPEED LIMITS ON TRANS-TEXAS CORRIDOR. (a)
Notwithstanding Section 545.352, the Texas Transportation
Commission, by order recorded in its minutes and except as provided
by Subsection (d), may determine and declare on a highway segment of
the Trans-Texas Corridor designated under Chapter 227 a reasonable
and safe prima facie speed limit in excess of a prima facie speed
limit established by Section 545.352.
(b) In determining whether a prima facie speed limit is
reasonable and safe, the commission shall conduct an engineering
and traffic investigation and shall consider the width and
condition of the pavement, the usual traffic on the highway
segment, the suitability of existing safety features, and other
circumstances.
(c) A prima facie speed limit that is declared by the
commission under this section is effective when the department
erects signs giving notice of the new limit. A new limit that is
enacted under this section is effective at all times or at other
times as determined.
(d) The commission may not:
(1) modify the rules established by Section
545.351(b); or
(2) establish a speed limit of more than 85 miles per
hour.
(e) The commission, in conducting the engineering and
traffic investigation specified by Subsection (b), shall follow the
"Procedures for Establishing Speed Zones" as adopted by the
commission.
SECTION 1.05. This article takes effect immediately if this
Act 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 article takes effect September 1, 2003.
ARTICLE 2. REGIONAL MOBILITY AUTHORITIES
SECTION 2.01. Subtitle G, Title 6, Transportation Code, is
amended by adding Chapter 370 to read as follows:
CHAPTER 370. REGIONAL MOBILITY AUTHORITIES
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 370.001. SHORT TITLE. This chapter may be cited as the
Regional Mobility Authority Act.
Sec. 370.002. PURPOSES; LIBERAL CONSTRUCTION. (a) The
purposes of this chapter are:
(1) to expand and improve transportation facilities
and systems in this state;
(2) to promote the consideration and use of multimodal
forms of transportation to address transportation needs in regions
of the state;
(3) to create regional mobility authorities to secure
and acquire rights-of-way for urgently needed transportation
systems and to plan, design, construct, operate, expand, extend,
and modify those systems; and
(4) to reduce burdens and demands on the limited money
available to the commission and to increase the effectiveness and
efficiency of the commission.
(b) This chapter shall be liberally construed to effect its
purposes.
Sec. 370.003. DEFINITIONS. In this chapter:
(1) "Authority" means a regional mobility authority
organized under this chapter or under Section 361.003, as that
section existed before September 1, 2003.
(2) "Board" means the board of directors of an
authority.
(3) "Bond" includes a bond, certificate, note, or
other obligation of an authority authorized by this chapter,
another statute, or the Texas Constitution.
(4) "Bond proceeding" includes a bond resolution and a
bond indenture authorized by the bond resolution, a credit
agreement, loan agreement, or other agreement entered into in
connection with the bond or the payments to be made under the
agreement, and any other agreement between an authority and another
person providing security for the payment of a bond.
(5) "Bond resolution" means an order or resolution of
a board authorizing the issuance of a bond.
(6) "Bondholder" means the owner of a bond and
includes a trustee acting on behalf of an owner of a bond under the
terms of a bond indenture.
(7) "Exclusive development agreement" means an
agreement with a private entity that, at a minimum, provides for the
design and construction of a transportation project and may also
provide for the financing, acquisition, maintenance, or operation
of a transportation project.
(8) "Governmental entity" means a political
subdivision of the state, including a municipality or a county, a
political subdivision of a county, a group of adjoining counties, a
district organized or operating under Section 52, Article III, or
Section 59, Article XVI, Texas Constitution, the department, a rail
district, a transit authority, a nonprofit corporation, including a
transportation corporation, that is created under Chapter 431, or
any other public entity or instrumentality.
(9) "Highway" means a road, highway, farm-to-market
road, or street under the supervision of the state or a political
subdivision of this state.
(10) "Public utility facility" means:
(A) a water, wastewater, natural gas, or
petroleum pipeline or facility;
(B) an electric transmission or distribution
facility; or
(C) telecommunications infrastructure,
including fiber optic cable, conduit, and wireless communications
facilities.
(11) "Revenue" means fares, fees, rents, tolls, and
other money received by an authority from the ownership or
operation of a transportation project.
(12) "Surplus revenue" means revenue that exceeds:
(A) an authority's debt service requirements for
a transportation project, including the redemption or purchase
price of bonds subject to redemption or purchase as provided in the
applicable bond proceedings;
(B) coverage requirements of a bond indenture for
a transportation project;
(C) costs of operation and maintenance for a
transportation project;
(D) cost of repair, expansion, or improvement of
a transportation project;
(E) funds allocated for feasibility studies; and
(F) necessary reserves as determined by the
authority.
(13) "System" means a transportation project or a
combination of transportation projects designated as a system by
the board under Section 370.034.
(14) "Transportation project" means:
(A) a turnpike project;
(B) a system;
(C) a passenger or freight rail facility,
including:
(i) tracks;
(ii) a rail line;
(iii) switching, signaling, or other
operating equipment;
(iv) a depot;
(v) a locomotive;
(vi) rolling stock;
(vii) a maintenance facility; and
(viii) other real and personal property
associated with a rail operation;
(D) a roadway with a functional classification
greater than a local road or rural minor collector;
(E) a ferry;
(F) an airport;
(G) a pedestrian or bicycle facility;
(H) an air quality improvement initiative;
(I) a public utility facility; and
(J) if applicable, projects and programs listed
in the most recently approved state implementation plan for the
area covered by the authority, including an early action compact.
(14-a) "Transportation project" does not include a
border inspection facility that serves a bridge system that had
more than 900,000 commercial border crossings during the state
fiscal year ending August 31, 2002.
(15) "Turnpike project" means a highway of any number
of lanes, with or without grade separations, owned or operated by an
authority under this chapter and any improvement, extension, or
expansion to that highway, including:
(A) an improvement to relieve traffic congestion
or promote safety;
(B) a bridge, tunnel, overpass, underpass,
interchange, service road, ramp, entrance plaza, approach, or
tollhouse;
(C) an administration, storage, or other
building the authority considers necessary for the operation of a
turnpike project;
(D) a parking area or structure, rest stop, park,
and other improvement or amenity the authority considers necessary,
useful, or beneficial for the operation of a turnpike project; and
(E) a property right, easement, or interest the
authority acquires to construct or operate the turnpike project.
Sec. 370.004. CONSTRUCTION COSTS DEFINED. (a) The cost of
acquisition, construction, improvement, extension, or expansion of
a transportation project under this chapter includes the cost of:
(1) the actual acquisition, construction,
improvement, extension, or expansion of the transportation
project;
(2) the acquisition of real property, rights-of-way,
property rights, easements, and other interests in real property;
(3) machinery and equipment;
(4) interest payable before, during, and for not more
than three years after acquisition, construction, improvement,
extension, or expansion as provided in the bond proceedings;
(5) traffic estimates, revenue estimates, engineering
and legal services, plans, specifications, surveys, appraisals,
construction cost estimates, and other expenses necessary or
incidental to determining the feasibility of the acquisition,
construction, improvement, extension, or expansion;
(6) necessary or incidental administrative, legal,
and other expenses;
(7) compliance with laws, regulations, and
administrative rulings, including any costs associated with
necessary environmental mitigation measures;
(8) financing; and
(9) expenses related to the initial operation of the
transportation project.
(b) Costs attributable to a transportation project and
incurred before the issuance of bonds to finance the transportation
project may be reimbursed from the proceeds of sale of the bonds.
[Sections 370.005-370.030 reserved for expansion]
SUBCHAPTER B. CREATION AND POWERS OF REGIONAL MOBILITY AUTHORITIES
Sec. 370.031. CREATION OF A REGIONAL MOBILITY AUTHORITY.
(a) At the request of one or more counties, the commission by order
may authorize the creation of a regional mobility authority for the
purposes of constructing, maintaining, and operating
transportation projects in a region of this state. An authority is
governed in accordance with Subchapter F.
(b) An authority may not be created without the approval of
the commission under Subsection (a).
Sec. 370.0315. ADDITION AND WITHDRAWAL OF COUNTIES. (a)
One or more counties may petition the commission for approval to
become part of an existing authority. The commission may approve
the petition only if:
(1) the board has agreed to the addition; and
(2) the commission finds that the affected political
subdivisions in the county or counties will be adequately
represented on the board.
(b) One or more counties may petition the commission for
approval to withdraw from an authority. The commission may approve
the petition only if:
(1) the authority has no bonded indebtedness; or
(2) the authority has debt other than bonded
indebtedness, but the board has agreed to the withdrawal.
(c) A county may not become part of an authority or withdraw
from an authority without the approval of the commission.
Sec. 370.032. NATURE OF REGIONAL MOBILITY AUTHORITY. (a)
An authority is a body politic and corporate and a political
subdivision of this state.
(b) An authority is a governmental unit as that term is
defined in Section 101.001, Civil Practice and Remedies Code.
(c) The exercise by an authority of the powers conferred by
this chapter in the acquisition, design, financing, construction,
operation, and maintenance of a transportation project or system
is:
(1) in all respects for the benefit of the people of
the counties in which an authority operates and of the people of
this state, for the increase of their commerce and prosperity, and
for the improvement of their health, living conditions, and public
safety; and
(2) an essential governmental function of the state.
(d) The operations of an authority are governmental, not
proprietary, functions.
Sec. 370.033. GENERAL POWERS. (a) An authority, through
its board, may:
(1) adopt rules for the regulation of its affairs and
the conduct of its business;
(2) adopt an official seal;
(3) study, evaluate, design, finance, acquire,
construct, maintain, repair, and operate transportation projects,
individually or as one or more systems, provided that a
transportation project that is subject to Subpart C, 23 C.F.R. Part
450, is:
(A) included in the plan approved by the
applicable metropolitan planning organization; and
(B) consistent with the statewide transportation
program and the statewide transportation improvement plan;
(4) acquire, hold, and dispose of property in the
exercise of its powers and the performance of its duties under this
chapter;
(5) enter into contracts or operating agreements with
a similar authority, another governmental entity, or an agency of
the United States, a state of the United States, the United Mexican
States, or a state of the United Mexican States;
(6) enter into contracts or agreements necessary or
incidental to its powers and duties under this chapter;
(7) cooperate and work directly with property owners
and governmental entities and officials to support an activity
required to promote or develop a transportation project;
(8) employ and set the compensation and benefits of
administrators, consulting engineers, attorneys, accountants,
construction and financial experts, superintendents, managers,
full-time and part-time employees, agents, consultants, and other
persons as the authority considers necessary or useful;
(9) notwithstanding Sections 221.003 and 222.031 and
subject to Subsection (j), apply for, directly or indirectly
receive and spend loans, gifts, grants, and other contributions for
any purpose of this chapter, including the construction of a
transportation project, and receive and spend contributions of
money, property, labor, or other things of value from any source,
including the United States, a state of the United States, the
United Mexican States, a state of the United Mexican States, the
commission, the department, a subdivision of this state, or a
governmental entity or private entity, to be used for the purposes
for which the grants, loans, or contributions are made, and enter
into any agreement necessary for the grants, loans, or
contributions;
(10) install, construct, maintain, repair, renew,
relocate, and remove public utility facilities in, on, along, over,
or under a transportation project;
(11) organize a corporation under Chapter 431 for the
promotion and development of transportation projects;
(12) adopt and enforce rules not inconsistent with
this chapter for the use of any transportation project, including
tolls, fares, or other user fees, speed and weight limits, and
traffic and other public safety rules, provided that an authority
must consider the same factors that the Texas Turnpike Authority
division of the department must consider in altering a prima facie
speed limit under Section 545.354;
(13) enter into leases, operating agreements, service
agreements, licenses, franchises, and similar agreements with a
public or private party governing the party's use of all or any
portion of a transportation project and the rights and obligations
of the authority with respect to a transportation project;
(14) borrow money from or enter into a loan agreement
or other arrangement with the state infrastructure bank; and
(15) do all things necessary or appropriate to carry
out the powers and duties expressly granted or imposed by this
chapter.
(b) Except as provided by this subsection, property that is
a part of a transportation project of an authority is not subject to
condemnation or the exercise of the power of eminent domain by any
person, including a governmental entity. The department may
condemn property that is a part of a transportation project of an
authority if the property is needed for the construction,
reconstruction, or expansion of a state highway or rail facility.
(c) An authority may, if requested by the commission,
perform any function not specified by this chapter to promote or
develop a transportation project in this state.
(d) An authority may sue and be sued and plead and be
impleaded in its own name.
(e) An authority may rent, lease, franchise, license, or
make portions of its properties available for use by others in
furtherance of its powers under this chapter by increasing the
feasibility or the revenue of a transportation project.
(f) An authority and a governmental entity may enter into a
contract, agreement, interlocal agreement, or other similar
arrangement under which the authority may plan, design, construct,
or operate a transportation project on behalf of the governmental
entity. An authority may enter into a contract with the department
under which the authority will plan, develop, operate, or maintain
a transportation project on behalf of the department.
(g) Payments to be made to an authority under a contract
described by Subsection (f) constitute operating expenses of the
transportation project or system that is to be operated under the
contract. The contract may extend for the number of years as agreed
to by the parties.
(h) An authority shall adopt a written drug and alcohol
policy restricting the use of controlled substances by officers and
employees of the authority, prohibiting the consumption of
alcoholic beverages by employees while on duty, and prohibiting
employees from working for the authority while under the influence
of a controlled substance or alcohol. An authority may adopt
policies regarding the testing of employees suspected of being in
violation of the authority's drug and alcohol policy. The policy
shall provide that, unless required by court order or permitted by
the person who is the subject of the testing, the authority shall
keep the results of the test confidential.
(i) An authority shall adopt written procedures governing
its procurement of goods and services that are consistent with
general laws applicable to the authority.
(j) An authority may not apply for federal highway or rail
funds without the approval of the department.
(k) The authority granted to an authority under Subsection
(a)(10) does not include the authority to operate a public utility
facility that provides retail public utility service.
(l) If an authority establishes an airport in Central Texas,
the authority may not establish the airport at a location
prohibited to the department by Section 21.069(c).
Sec. 370.034. ESTABLISHMENT OF TRANSPORTATION SYSTEMS. (a)
If an authority determines that the traffic needs of the counties in
which it operates and the traffic needs of the surrounding region
could be most efficiently and economically met by jointly operating
two or more transportation projects as one operational and
financial enterprise, it may create a system made up of those
transportation projects. An authority may create more than one
system and may combine two or more systems into one system. An
authority may finance, acquire, construct, and operate additional
transportation projects as additions to or expansions of a system
if the authority determines that the transportation project could
most efficiently and economically be acquired or constructed if it
were a part of the system and that the addition will benefit the
system.
(b) The revenue of a system shall be accounted for
separately and may not be commingled with the revenue of a
transportation project that is not a part of the system or with the
revenue of another system.
Sec. 370.035. CONVERSION AND TRANSFER OF STATE HIGHWAY
SYSTEM PROJECTS. (a) The commission by order may convert a segment
of the free state highway system to a turnpike project and transfer
that segment to an authority, or may transfer an existing turnpike
project that is part of the state highway system, whether
previously tolled or not, to an authority if:
(1) the commission determines that the proposed
transfer is an integral part of the region's overall plan to improve
mobility in the region;
(2) the commission determines that the public has a
reasonable alternative route on nontoll roads; and
(3) the authority agrees to assume all liability and
responsibility for the maintenance and operation of the turnpike
project on its transfer.
(b) An authority shall reimburse the commission for the cost
of a transferred turnpike project unless the commission determines
that the transfer will result in a substantial net benefit to the
state, the department, and the traveling public that equals or
exceeds that cost.
(c) In computing the cost of the turnpike project, the
commission shall:
(1) include the total amount spent by the department
for the original construction of the turnpike project, including
the costs associated with the preliminary engineering and design
engineering for plans, specifications, and estimates, the
acquisition of necessary rights-of-way, and actual construction of
the turnpike project and all necessary appurtenant facilities; and
(2) consider the anticipated future costs of
expanding, improving, maintaining, operating, or extending the
turnpike project to be incurred by the authority and not by the
department if the turnpike project is transferred.
(d) The commission may, at the time a turnpike project is
transferred, remove the turnpike project from the state highway
system. After a transfer, the commission has no liability,
responsibility, or duty for the maintenance or operation of the
turnpike project.
(e) Before transferring a turnpike project that is part of
the state highway system under this section, the commission shall
conduct a public hearing at which interested persons shall be
allowed to speak on the proposed transfer. Notice of the hearing
must be published in the Texas Register, one or more newspapers of
general circulation in the counties in which the turnpike project
is located, and a newspaper, if any, published in the counties of
the applicable authority.
(f) The commission shall adopt rules to implement this
section. The rules shall include criteria and guidelines for the
approval of a transfer of a turnpike project.
(g) An authority shall adopt rules providing criteria and
guidelines for approval of the transfer of a turnpike project under
this section.
(h) The commission may not transfer the Queen Isabella
Causeway in Cameron County to an authority under this section.
Sec. 370.036. TRANSFER OF BONDED TURNPIKE PROJECT TO
DEPARTMENT. (a) An authority may transfer to the department a
turnpike project of the authority that has outstanding bonded
indebtedness if the commission:
(1) agrees to the transfer; and
(2) agrees to assume the outstanding bonded
indebtedness.
(b) The commission may assume the outstanding bonded
indebtedness only if the assumption:
(1) is not prohibited under the terms of an existing
trust agreement or indenture securing bonds or other obligations
issued by the commission for another project;
(2) does not prevent the commission from complying
with covenants of the commission under an existing trust agreement
or indenture; and
(3) does not cause a rating agency maintaining a
rating on outstanding obligations of the commission to lower the
existing rating.
(c) If the commission agrees to the transfer under
Subsection (a), the authority shall convey the turnpike project and
any real property acquired to construct or operate the turnpike
project to the department.
(d) At the time of a conveyance under this section, the
commission shall designate the turnpike project as part of the
state highway system. After the designation, the authority has no
liability, responsibility, or duty to maintain or operate the
transferred turnpike project.
Sec. 370.037. TRANSFER OF FERRY CONNECTING STATE HIGHWAYS.
(a) The commission by order may transfer a ferry operated under
Section 342.001 to an authority if:
(1) the commission determines that the proposed
transfer is an integral part of the region's overall plan to improve
mobility in the region; and
(2) the authority:
(A) agrees to the transfer; and
(B) agrees to assume all liability and
responsibility for the maintenance and operation of the ferry on
its transfer.
(b) An authority shall reimburse the commission for the cost
of a transferred ferry unless the commission determines that the
transfer will result in a substantial net benefit to the state, the
department, and the traveling public that equals or exceeds that
cost.
(c) In computing the cost of the ferry, the commission
shall:
(1) include the total amount spent by the department
for the original construction of the ferry, including the costs
associated with the preliminary engineering and design engineering
for plans, specifications, and estimates, the acquisition of
necessary rights-of-way, and actual construction of the ferry and
all necessary appurtenant facilities; and
(2) consider the anticipated future costs of
expanding, improving, maintaining, or operating the ferry to be
incurred by the authority and not by the department if the ferry is
transferred.
(d) The commission shall, at the time the ferry is
transferred, remove the ferry from the state highway system. After
a transfer, the commission has no liability, responsibility, or
duty for the maintenance or operation of the ferry.
(e) Before transferring a ferry that is a part of the state
highway system under this section, the commission shall conduct a
public hearing at which interested persons shall be allowed to
speak on the proposed transfer. Notice of the hearing must be
published in the Texas Register, one or more newspapers of general
circulation in the counties in which the ferry is located, and a
newspaper, if any, published in the counties of the applicable
authority.
(f) The commission shall adopt rules to implement this
section. The rules must include criteria and guidelines for the
approval of a transfer of a ferry.
(g) An authority shall adopt rules establishing criteria
and guidelines for approval of the transfer of a ferry under this
section.
(h) An authority may temporarily charge a toll for use of a
ferry transferred under this section to pay the costs necessary for
an expansion of the ferry. An authority may permanently charge a
toll for use of ferry facilities that are an expansion of the ferry
transferred under this section.
(i) The commission may not transfer a ferry under this
section if the ferry is located in a municipality with a population
of 5,000 or less unless the city council of the municipality
approves the transfer.
Sec. 370.038. COMMISSION RULES. (a) The commission shall
adopt rules that:
(1) govern the creation of an authority;
(2) govern the commission's approval of a project
under Section 370.188 and other commission approvals required by
this chapter;
(3) establish design and construction standards for a
transportation project that will connect with a highway in the
state highway system or a department rail facility;
(4) establish minimum audit and reporting
requirements and standards;
(5) establish minimum ethical standards for authority
directors and employees; and
(6) govern the authority of an authority to contract
with the United Mexican States or a state of the United Mexican
States.
(b) The commission shall appoint a rules advisory committee
to advise the department and the commission on the development of
the commission's initial rules required by this section. The
committee must include one or more members representing an existing
authority, if applicable. Chapter 2110, Government Code, does not
apply to the committee. This subsection expires on the date the
commission adopts initial rules under this section.
[Sections 370.039-370.070 reserved for expansion]
SUBCHAPTER C. FEASIBILITY OF REGIONAL TRANSPORTATION PROJECTS
Sec. 370.071. EXPENDITURES FOR FEASIBILITY STUDIES. (a)
An authority may pay the expenses of studying the cost and
feasibility and any other expenses relating to the preparation and
issuance of bonds for a proposed transportation project by:
(1) using legally available revenue derived from an
existing transportation project;
(2) borrowing money and issuing bonds or entering into
a loan agreement payable out of legally available revenue
anticipated to be derived from the operation of an existing
transportation project; or
(3) pledging to the payment of the bonds or a loan
agreement legally available revenue anticipated to be derived from
the operation of transportation projects or revenue legally
available to the authority from another source.
(b) Money spent under this section for a proposed
transportation project must be reimbursed to the transportation
project from which the money was spent from the proceeds of bonds
issued for the acquisition and construction of the proposed
transportation project.
(c) The use of any money of a transportation project to
study the feasibility of another transportation project or used to
repay any money used for that purpose does not constitute an
operating expense of the transportation project producing the
revenue and may be paid only from the surplus money of the
transportation project as determined by the authority.
Sec. 370.072. FEASIBILITY STUDY FUND. (a) An authority may
maintain a feasibility study fund. The fund is a revolving fund
held in trust by a banking institution chosen by the authority and
shall be kept separate from the money for a transportation project.
(b) An authority may transfer an amount from a surplus fund
established for a transportation project to the authority's
feasibility study fund if the remainder of the surplus fund after
the transfer is not less than any minimum amount required by the
bond proceedings to be retained for that transportation project.
(c) Money in the feasibility study fund may be used only to
pay the expenses of studying the cost and feasibility and any other
expenses relating to:
(1) the preparation and issuance of bonds for the
acquisition and construction of a proposed transportation project;
(2) the financing of the improvement, extension, or
expansion of an existing transportation project; and
(3) private participation, as authorized by law, in
the financing of a proposed transportation project, the refinancing
of an existing transportation project or system, or the
improvement, extension, or expansion of a transportation project.
(d) Money spent under Subsection (c) for a proposed
transportation project must be reimbursed from the proceeds of
revenue bonds issued for, or other proceeds that may be used for,
the acquisition, construction, improvement, extension, expansion,
or operation of the transportation project.
(e) For a purpose described by Subsection (c), an authority
may borrow money and issue promissory notes or other
interest-bearing evidences of indebtedness payable out of its
feasibility study fund, pledging money in the fund or to be placed
in the fund.
Sec. 370.073. FEASIBILITY STUDY BY MUNICIPALITY, COUNTY,
OTHER GOVERNMENTAL ENTITY, OR PRIVATE GROUP. (a) One or more
municipalities, counties, or other governmental entities, a
combination of municipalities, counties, and other governmental
entities, or a private group or combination of individuals in this
state may pay all or part of the expenses of studying the cost and
feasibility and any other expenses relating to:
(1) the preparation and issuance of bonds for the
acquisition or construction of a proposed transportation project by
an authority;
(2) the improvement, extension, or expansion of an
existing transportation project of the authority; or
(3) the use of private participation under applicable
law in connection with the acquisition, construction, improvement,
expansion, extension, maintenance, repair, or operation of a
transportation project by an authority.
(b) Money spent under Subsection (a) for a proposed
transportation project is reimbursable without interest and with
the consent of the authority to the person paying the expenses
described in Subsection (a) out of the proceeds from revenue bonds
issued for or other proceeds that may be used for the acquisition,
construction, improvement, extension, expansion, maintenance,
repair, or operation of the transportation project.
[Sections 370.074-370.110 reserved for expansion]
SUBCHAPTER D. TRANSPORTATION PROJECT FINANCING
Sec. 370.111. TRANSPORTATION REVENUE BONDS. (a) An
authority, by bond resolution, may authorize the issuance of bonds
to pay all or part of the cost of a transportation project, to
refund any bonds previously issued for the transportation project,
or to pay for all or part of the cost of a transportation project
that will become a part of another system.
(b) As determined in the bond resolution, the bonds of each
issue shall:
(1) be dated;
(2) bear interest at the rate or rates provided by the
bond resolution and beginning on the dates provided by the bond
resolution and as authorized by law, or bear no interest;
(3) mature at the time or times provided by the bond
resolution, not exceeding 40 years from their date or dates; and
(4) be made redeemable before maturity at the price or
prices and under the terms provided by the bond resolution.
(c) An authority may sell the bonds at public or private
sale in the manner and for the price it determines to be in the best
interest of the authority.
(d) The proceeds of each bond issue shall be disbursed in
the manner and under any restrictions provided in the bond
resolution.
(e) Additional bonds may be issued in the same manner to pay
the costs of a transportation project. Unless otherwise provided
in the bond resolution, the additional bonds shall be on a parity,
without preference or priority, with bonds previously issued and
payable from the revenue of the transportation project. In
addition, an authority may issue bonds for a transportation project
secured by a lien on the revenue of the transportation project
subordinate to the lien on the revenue securing other bonds issued
for the transportation project.
(f) If the proceeds of a bond issue exceed the cost of the
transportation project for which the bonds were issued, the surplus
shall be segregated from the other money of the authority and used
only for the purposes specified in the bond resolution.
(g) Bonds issued and delivered under this chapter and
interest coupons on the bonds are a security under Chapter 8,
Business & Commerce Code.
(h) Bonds issued under this chapter and income from the
bonds, including any profit made on the sale or transfer of the
bonds, are exempt from taxation in this state.
(i) Bonds issued under this chapter shall be considered
authorized investments under Chapter 2256, Government Code, for
this state, any governmental entity, and any other public entity
proposing to invest in the bonds.
Sec. 370.112. INTERIM BONDS. (a) An authority may, before
issuing definitive bonds, issue interim bonds, with or without
coupons, exchangeable for definitive bonds.
(b) The interim bonds may be authorized and issued in
accordance with this chapter, without regard to a requirement,
restriction, or procedural provision in any other law.
(c) A bond resolution authorizing interim bonds may provide
that the interim bonds recite that the bonds are issued under this
chapter. The recital is conclusive evidence of the validity and the
regularity of the bonds' issuance.
Sec. 370.113. PAYMENT OF BONDS; STATE AND COUNTY CREDIT.
(a) The principal of, interest on, and any redemption premium on
bonds issued by an authority are payable solely from:
(1) the revenue of the transportation project for
which the bonds are issued;
(2) payments made under an agreement with the
commission, the department, or other governmental entity as
provided by Subchapter G;
(3) money derived from any other source available to
the authority, other than money derived from a transportation
project that is not part of the same system or money derived from a
different system, except to the extent that the surplus revenue of a
transportation project or system has been pledged for that purpose;
and
(4) amounts received under a credit agreement relating
to the transportation project for which the bonds are issued.
(b) Bonds issued under this chapter do not constitute a debt
of this state or of a governmental entity, or a pledge of the faith
and credit of this state or of a governmental entity. Each bond
must contain on its face a statement to the effect that the state,
the authority, or any governmental entity is not obligated to pay
the bond or the interest on the bond from a source other than the
amount pledged to pay the bond and the interest on the bond, and
neither the faith and credit and taxing power of this state or of
any governmental entity are pledged to the payment of the principal
of or interest on the bond. This subsection does not apply to a
governmental entity that has entered into an agreement under
Section 370.303.
(c) An authority may not incur a financial obligation that
cannot be paid from revenue derived from owning or operating the
authority's transportation projects or from other revenue provided
by law.
Sec. 370.114. EFFECT OF LIEN. (a) A lien on or a pledge of
revenue from a transportation project under this chapter or on a
reserve, replacement, or other fund established in connection with
a bond issued under this chapter:
(1) is enforceable at the time of payment for and
delivery of the bond;
(2) applies to each item on hand or subsequently
received;
(3) applies without physical delivery of an item or
other act; and
(4) is enforceable against any person having a claim,
in tort, contract, or other remedy, against the applicable
authority without regard to whether the person has notice of the
lien or pledge.
(b) A bond resolution is not required to be recorded except
in the regular records of the authority.
Sec. 370.115. BOND INDENTURE. (a) Bonds issued by an
authority under this chapter may be secured by a bond indenture
between the authority and a corporate trustee that is a trust
company or a bank that has the powers of a trust company.
(b) A bond indenture may pledge or assign the revenues to be
received but may not convey or mortgage any part of a transportation
project.
(c) A bond indenture may:
(1) set forth the rights and remedies of the
bondholders and the trustee;
(2) restrict the individual right of action by
bondholders as is customary in trust agreements or indentures of
trust securing corporate bonds and debentures; and
(3) contain provisions the authority determines
reasonable and proper for the security of the bondholders,
including covenants:
(A) establishing the authority's duties relating
to:
(i) the acquisition of property;
(ii) the construction, maintenance,
operation, and repair of and insurance for a transportation
project; and
(iii) custody, safeguarding, and
application of money;
(B) prescribing events that constitute default;
(C) prescribing terms on which any or all of the
bonds become or may be declared due before maturity; and
(D) relating to the rights, powers, liabilities,
or duties that arise on the breach of a duty of the authority.
(d) An expense incurred in carrying out a trust agreement
may be treated as part of the cost of operating the transportation
project.
(e) In addition to all other rights by mandamus or other
court proceeding, an owner or trustee of a bond issued under this
chapter may enforce the owner's rights against an issuing
authority, the authority's employees, the authority's board, or an
agent or employee of the authority's board and is entitled to:
(1) require the authority or the board to impose and
collect tolls, fares, fees, charges, and other revenue sufficient
to carry out any agreement contained in the bond proceedings; and
(2) apply for and obtain the appointment of a receiver
for the transportation project or system.
Sec. 370.116. APPROVAL OF BONDS BY ATTORNEY GENERAL. (a)
An authority shall submit to the attorney general for examination
the record of proceedings relating to bonds authorized under this
chapter. The record shall include the bond proceedings and any
contract securing or providing revenue for the payment of the
bonds.
(b) If the attorney general determines that the bonds, the
bond proceedings, and any supporting contract are authorized by
law, the attorney general shall approve the bonds and deliver to the
comptroller:
(1) a copy of the legal opinion of the attorney general
stating the approval; and
(2) the record of proceedings relating to the
authorization of the bonds.
(c) On receipt of the legal opinion of the attorney general
and the record of proceedings relating to the authorization of the
bonds, the comptroller shall register the record of proceedings.
(d) After approval by the attorney general, the bonds, the
bond proceedings, and any supporting contract are valid,
enforceable, and incontestable in any court or other forum for any
reason and are binding obligations according to their terms for all
purposes.
Sec. 370.117. FURNISHING OF INDEMNIFYING BONDS OR PLEDGES
OF SECURITIES. (a) A bank or trust company incorporated under the
laws of this state that acts as depository of the proceeds of bonds
or of revenue may furnish indemnifying bonds or pledge securities
that an authority requires.
(b) Bonds of an authority may secure the deposit of public
money of this state or a political subdivision of this state to the
extent of the lesser of the face value of the bonds or their market
value.
Sec. 370.118. APPLICABILITY OF OTHER LAW; CONFLICTS. All
laws affecting the issuance of bonds by local governmental
entities, including Chapters 1201, 1202, 1204, and 1371, Government
Code, apply to bonds issued under this chapter. To the extent of a
conflict between those laws and this chapter, the provisions of
this chapter prevail.
[Sections 370.119-370.160 reserved for expansion]
SUBCHAPTER E. ACQUISITION, CONSTRUCTION, AND OPERATION OF
TRANSPORTATION PROJECTS
Sec. 370.161. TRANSPORTATION PROJECTS EXTENDING INTO OTHER
COUNTIES. (a) An authority may acquire, construct, operate,
maintain, expand, or extend a transportation project only in:
(1) a county that is a part of the authority;
(2) a county in this state that is not a part of the
authority if:
(A) the transportation project in that county is
a continuation of a transportation project of the authority
extending from a county adjacent to that county;
(B) the county is given an opportunity to become
part of the authority on terms and conditions acceptable to the
authority and that county; and
(C) the commissioners court of the county agrees
to the proposed acquisition, construction, operation, maintenance,
expansion, or extension of the transportation project in that
county; or
(3) a county in another state or the United Mexican
States if:
(A) each governing body of a political
subdivision in which the project will be located agrees to the
proposed acquisition, construction, operation, maintenance,
expansion, or extension; and
(B) the project will bring significant benefits
to the counties in this state that are part of the authority.
(b) An authority, under an agreement with another
governmental entity, may construct, operate, maintain, expand, or
extend a transportation project in a county that is not part of the
authority and is not owned by the authority.
Sec. 370.162. POWERS AND PROCEDURES OF AUTHORITY IN
ACQUIRING PROPERTY. (a) An authority may construct or improve a
transportation project on real property, including a right-of-way
acquired by the authority or provided to the authority for that
purpose by the commission, a political subdivision of this state,
or any other governmental entity.
(b) Except as provided by this chapter, an authority has the
same powers and may use the same procedures as the commission in
acquiring property.
Sec. 370.163. ACQUISITION OF PROPERTY. (a) Except as
otherwise provided by this subchapter, the governing body of an
authority has the same powers and duties relating to the
condemnation and acquisition of real property for a transportation
project that the commission and the department have under
Subchapter D, Chapter 361, and Section 361.233 relating to the
condemnation or purchase of real property for a turnpike project.
Notwithstanding Section 361.135(a), the concurrence of the
commission is not a prerequisite to the exercise of the power of
condemnation by the governing body of the authority.
(b) An authority's acquisition of any property of the
commission under this or another section of this chapter or an
authority's relocation, rerouting, disruption, or alteration of a
facility of the commission is considered a conversion of a state
highway system under Section 370.035 and is subject to each
requirement, condition, or limitation provided by that section.
(c) The authority granted under this section does not
include the authority to condemn a bridge connecting this state to
the United Mexican States that is owned by a county or municipality.
Sec. 370.164. DEPOSIT FOR DECLARATION OF TAKING. (a) A
deposit to the registry of the court of an amount equal to the fair
market value, as determined by the authority, of the property to be
condemned and any damages to the remaining property must accompany
the declaration of taking under this chapter.
(b) Instead of the deposit under Subsection (a), at its
option the authority may, concurrently with the declaration of a
taking, tender in favor of the owner of the property a bond or other
security in an amount sufficient to secure the owner for the value
of the property taken and damages to remaining property, subject to
the approval of the court.
(c) An owner may draw upon the deposit held by the court
under Subsection (a) on the same terms and conditions as are
applicable to a property owner's withdrawal of a commissioners'
award deposited under Section 21.021(a)(1), Property Code.
Sec. 370.165. DOCKET PREFERENCE FOR DECLARATION OF TAKING.
A property owner who is a defendant in an eminent domain action
filed by an authority under this chapter must give notice to the
court in which the action is pending of the property owner's
preference that the condemnation petition be placed on the court's
docket in the same manner as other cases pending in the court. The
notice must be given before the 21st day after the date of service
of process of both a condemnation petition and a notice of
declaration of taking. On receipt of timely notice from the
property owner, the court in which the action is pending shall place
the case on its docket in the same manner as other cases pending in
the court.
Sec. 370.166. PARTICIPATION PAYMENT FOR REAL PROPERTY. (a)
As an alternative to paying for an interest in real property or a
real property right with a single fixed payment, the authority may,
with the owner's consent, pay the owner by means of a participation
payment.
(b) A right to receive a participation payment under this
section is subordinate to any right to receive a fee as payment on
the principal of or interest on a bond that is issued for the
construction of the applicable segment.
(c) In this section, "participation payment" means an
intangible legal right to receive a percentage of one or more
identified fees related to a segment constructed by the authority.
Sec. 370.167. SEVERANCE OF REAL PROPERTY. (a) If a
transportation project of an authority severs a property owner's
real property, the authority shall pay:
(1) the value of the property acquired; and
(2) the damages, if any, to the remainder of the
owner's property caused by the severance, including damages caused
by the inaccessibility of one tract from the other.
(b) At its option, an authority may negotiate for and
purchase the severed real property or any part of the severed real
property if the authority and the property owner agree on terms for
the purchase. An authority may sell and dispose of severed real
property that it determines is not necessary or useful to the
authority. Severed property must be appraised before being offered
for sale by the authority.
Sec. 370.168. ACQUISITION OF RIGHTS IN PUBLIC REAL
PROPERTY. (a) An authority may use real property, including
submerged land, streets, alleys, and easements, owned by this state
or a local government that the authority considers necessary for
the construction or operation of a transportation project.
(b) This state or a local government having charge of public
real property may consent to the use of the property for a
transportation project.
(c) Except as provided by Section 370.035, this state or a
local government may convey, grant, or lease to an authority real
property, including highways and other real property devoted to
public use and rights or easements in real property, that may be
necessary or convenient to accomplish a purpose of the authority,
including the construction or operation of a transportation
project. A conveyance, grant, or lease under this section may be
made without advertising, court order, or other action other than
the normal action of this state or local government necessary for a
conveyance, grant, or lease.
(d) This section does not deprive the School Land Board of
the power to execute a lease for the development of oil, gas, and
other minerals on state-owned real property adjoining a
transportation project or in tidewater limits. A lease may provide
for directional drilling from the adjoining property or tidewater
area.
(e) This section does not affect the obligation of the
authority under another law to compensate this state for acquiring
or using property owned by or on behalf of this state. An
authority's use of property owned by or on behalf of this state is
subject to any covenants, conditions, restrictions, or limitations
affecting that property.
Sec. 370.169. COMPENSATION FOR AND RESTORATION OF PUBLIC
PROPERTY. (a) Except as provided by Section 370.035, an authority
may not pay compensation for public real property, parkways,
streets, highways, alleys, or reservations it takes, other than:
(1) a park, playground, or designated environmental
preserve;
(2) property owned by or on behalf of this state that
under law requires compensation to this state for the use or
acquisition of the property; or
(3) as provided by this chapter.
(b) Public property damaged in the exercise of a power
granted by this chapter shall be restored or repaired and placed in
its original condition as nearly as practicable.
(c) An authority has full easements and rights-of-way
through, across, under, and over any property owned by the state or
any local government that are necessary or convenient to construct,
acquire, or efficiently operate a transportation project or system
under this chapter. This subsection does not affect the obligation
of the authority under other law to compensate this state for the
use or acquisition of an easement or right-of-way on property owned
by or on behalf of this state. An authority's use of property owned
by or on behalf of this state is subject to any covenants,
conditions, restrictions, or limitations affecting that property.
Sec. 370.170. PUBLIC UTILITY FACILITIES. (a) An authority
may adopt rules for the installation, construction, operation,
maintenance, repair, renewal, relocation, or removal of a public
utility facility in, on, along, over, or under a transportation
project.
(b) If an authority determines it is necessary that a public
utility facility located in, on, along, over, or under a
transportation project be relocated in the transportation project,
removed from the transportation project, or carried along or across
the transportation project by grade separation, the owner or
operator of the facility shall relocate or remove the facility in
accordance with the requirements of the authority and in a manner
that does not impede the design, financing, construction,
operation, or maintenance of the transportation project.
(c) The authority, as a part of the cost of the
transportation project or the cost of operating the transportation
project, shall pay the cost of the relocation, removal, or grade
separation of a public utility facility under Subsection (a),
including the cost of:
(1) installation of the facility in a new location;
(2) damages incurred by the utility to its facilities
and services;
(3) interests in real property and other rights
acquired to accomplish the relocation or removal; and
(4) maintenance of grade separation structures.
(d) The authority may reduce the total costs to be paid by
the authority under Subsection (c) by 10 percent for each 30-day
period or portion of a 30-day period by which the relocation or
removal exceeds the reasonable limit specified by the authority
unless the failure of the owner or operator of the facility to
timely relocate or remove the facility results directly from:
(1) a material action or inaction of the authority; or
(2) conditions beyond the reasonable control of the
owner or operator of the facility, including:
(A) an act of God; or
(B) a labor shortage or strike.
(e) If an owner or operator of a public utility facility
does not timely relocate or remove the facility as required by
Subsection (b), the authority may do so at the expense of the owner
or operator. If the authority relocates or removes a facility under
this subsection the authority shall relocate or remove the facility
in a safe manner that:
(1) complies with applicable law; and
(2) attempts to minimize the disruption of utility
service.
(f) The owner or operator of a public utility facility
relocated or removed under Subsection (e) shall reimburse the
authority for the expenses incurred for the relocation or removal
of the facility, except that the owner or operator is not required
to reimburse the authority if the failure of the owner or operator
to timely relocate or remove the facility was the direct result of
circumstances beyond the control of the owner or operator.
(g) Not later than 60 days before relocating or removing a
public utility facility under Subsection (e), an authority shall
provide to the utility:
(1) written notice of the department's determination
that the facility must be removed;
(2) a final plan for relocation of the facility; and
(3) reasonable terms and conditions for the relocation
or removal of the facility.
(h) Subchapter C, Chapter 181, Utilities Code, applies to
the erection, construction, maintenance, and operation of a line or
pole owned by an electric utility, as that term is defined by
Section 181.041, Utilities Code, over, under, across, on, and along
a transportation project or system constructed by an authority. An
authority has:
(1) the powers and duties delegated to the
commissioners court by that subchapter; and
(2) exclusive jurisdiction and control of utilities
located in its rights-of-way.
(i) Subchapter B, Chapter 181, Utilities Code, applies to
the laying and maintenance of facilities used for conducting gas by
a gas utility, as that term is defined by Section 181.021, Utilities
Code, through, under, along, across, and over a transportation
project or system constructed by an authority except as otherwise
provided by this section. An authority has:
(1) the power and duties delegated to the
commissioners court by that subchapter; and
(2) exclusive jurisdiction and control of utilities
located in its right-of-way.
(j) The laws of this state applicable to the use of public
roads, streets, and waters by a telephone or telegraph corporation
apply to the erection, construction, maintenance, location, and
operation of a line, pole, or other fixture by a telephone or
telegraph corporation over, under, across, on, and along a
transportation project constructed by an authority under this
chapter.
Sec. 370.171. LEASE, SALE, OR CONVEYANCE OF TRANSPORTATION
PROJECT. An authority may lease, sell, or convey in any other
manner a transportation project to a governmental entity with the
approval of the governing body of the governmental entity to which
the project is transferred.
Sec. 370.172. REVENUE. (a) An authority may:
(1) impose tolls, fees, fares, or other charges for
the use of each of its transportation projects and the different
parts or sections of each of its transportation projects; and
(2) contract with a person for the use of part of a
transportation project, or lease or sell part of a transportation
project, including the right-of-way adjoining the portion used to
transport people and property, for any purpose, including placing
on the adjoining right-of-way a gas station, garage, store, hotel,
restaurant, parking facility, railroad track, billboard, livestock
pasturage, telephone line or facility, telecommunication line or
facility, data transmission line or facility, or electric line or
facility, under terms set by the authority.
(b) Tolls, fees, fares, or other charges must be set at
rates or amounts so that the aggregate of tolls, fees, fares, or
other charges from an authority's transportation project, together
with other revenue of the transportation project:
(1) provides revenue sufficient to pay:
(A) the cost of maintaining, repairing, and
operating the transportation project; and
(B) the principal of and interest on any bonds
issued for the transportation project as those bonds become due and
payable; and
(2) creates reserves for a purpose listed under
Subdivision (1).
(c) Tolls, fees, fares, or other usage charges are not
subject to supervision or regulation by any agency of this state or
another governmental entity.
(d) Revenue derived from tolls, fees, and fares, and other
revenue derived from a transportation project for which bonds are
issued, other than any part necessary to pay the cost of
maintenance, repair, and operation and to provide reserves for
those costs as provided in the bond proceedings, shall be set aside
at regular intervals as provided in the bond resolution or trust
agreement in a sinking fund that is pledged to and charged with the
payment of:
(1) interest on the bonds as it becomes due;
(2) principal of the bonds as it becomes due;
(3) necessary charges of paying agents for paying
principal and interest;
(4) the redemption price or the purchase price of
bonds retired by call or purchase as provided in the bond
proceedings; and
(5) any amounts due under credit agreements.
(e) Use and disposition of money deposited to the credit of
the sinking fund is subject to the bond proceedings.
(f) To the extent permitted under the applicable bond
proceedings, revenue from one transportation project of an
authority may be used to pay the cost of another transportation
project of the authority.
(g) An authority may not use revenue from a transportation
project in a manner not authorized by this chapter. Except as
provided by this chapter, revenue derived from a transportation
project may not be applied for a purpose or to pay a cost other than
a cost or purpose that is reasonably related to or anticipated to be
for the benefit of a transportation project.
(h) An authority may not require the owner of a public
utility facility to pay a fee as a condition of placing a facility
across the rights-of-way.
Sec. 370.173. AUTHORITY REVOLVING FUND. (a) An authority
may maintain a revolving fund to be held in trust by a banking
institution chosen by the authority separate from any other funds
and administered by the authority's board.
(b) An authority may transfer into its revolving fund money
from any permissible source, including:
(1) money from a transportation project if the
transfer does not diminish the money available for the project to
less than any amount required to be retained by the bond proceedings
pertaining to the project;
(2) money received by the authority from any source
and not otherwise committed, including money from the transfer of a
transportation project or system or sale of authority assets;
(3) money received from the state highway fund; and
(4) contributions, loans, grants, or assistance from
the United States, another state, another political subdivision of
this state, a foreign governmental entity, including the United
Mexican States or a state of the United Mexican States, a local
government, any private enterprise, or any person.
(c) The authority may use money in the revolving fund to:
(1) finance the acquisition, construction,
maintenance, or operation of a transportation project, including
the extension, expansion, or improvement of a transportation
project;
(2) provide matching money required in connection with
any federal, state, local, or private aid, grant, or other funding,
including aid or funding by or with public-private partnerships;
(3) provide credit enhancement either directly or
indirectly for bonds issued to acquire, construct, extend, expand,
or improve a transportation project;
(4) provide security for or payment of future or
existing debt for the design, acquisition, construction,
operation, maintenance, extension, expansion, or improvement of a
transportation project or system;
(5) borrow money and issue promissory notes or other
indebtedness payable out of the revolving fund for any purpose
authorized by this chapter; and
(6) provide for any other reasonable purpose that
assists in the financing of an authority as authorized by this
chapter.
(d) Money spent or advanced from the revolving fund for a
transportation project must be reimbursed from the money of that
transportation project. There must be a reasonable expectation of
repayment at the time the expenditure or advancement is authorized.
Sec. 370.174. USE OF SURPLUS REVENUE. (a) Each year, if an
authority determines that it has surplus revenue from
transportation projects, it shall reduce tolls, spend the surplus
revenue on other transportation projects in the counties of the
authority in accordance with Subsection (b), or deposit the surplus
revenue to the credit of the Texas Mobility Fund.
(b) Consistent with other law and commission rule, an
authority may spend surplus revenue on other transportation
projects by:
(1) constructing a transportation project located
within the counties of the authority;
(2) assisting in the financing of a toll or toll-free
transportation project of another governmental entity; or
(3) with the approval of the commission, constructing
a toll or toll-free transportation project and, on completion of
the project, transferring the project to another governmental
entity if:
(A) the other governmental entity authorizes the
authority to construct the project and agrees to assume all
liability and responsibility for the maintenance and operation of
the project on its transfer; and
(B) the project is constructed in compliance with
all laws applicable to the governmental entity.
Sec. 370.175. EXEMPTION FROM TAXATION OR ASSESSMENT. (a)
An authority is exempt from taxation of or assessments on:
(1) a transportation project or system;
(2) property the authority acquires or uses under this
chapter for a transportation project or system; or
(3) income from property described by Subdivision (1)
or (2).
(b) An authority is exempt from payment of development fees,
utility connection fees, assessments, and service fees imposed or
assessed by any governmental entity or any property owners' or
homeowners' association.
Sec. 370.176. ACTIONS AFFECTING EXISTING ROADS. (a) An
authority may impose a toll for transit over an existing free road,
street, or public highway transferred to the authority under this
chapter.
(b) An authority may construct a grade separation at an
intersection of a transportation project with a railroad or highway
and change the line or grade of a highway to accommodate the design
of the grade separation. The action may not affect a segment of the
state highway system without the department's consent. The
authority shall pay the cost of a grade separation and any damage
incurred in changing a line or grade of a railroad or highway as
part of the cost of the transportation project.
(c) If feasible, an authority shall provide access to
properties previously abutting a county road or other public road
that is taken for a transportation project and shall pay abutting
property owners the expenses or any resulting damages for a denial
of access to the road.
(d) If an authority changes the location of a segment of a
county road as part of its development of a transportation project,
the authority shall, on the request of the county, reconstruct that
segment of the road at a location that the authority determines, in
its discretion, restores the utility of the road. The
reconstruction and its associated costs are in furtherance of a
transportation project.
Sec. 370.177. FAILURE OR REFUSAL TO PAY TURNPIKE PROJECT
TOLL; OFFENSE; ADMINISTRATIVE PENALTY. (a) The operator of a
vehicle, other than an authorized emergency vehicle as defined by
Section 541.201, that is driven or towed through a toll collection
facility of a turnpike project shall pay the proper toll. The
operator of a vehicle who drives or tows a vehicle through a toll
collection facility and does not pay the proper toll commits an
offense. An offense under this subsection is a misdemeanor
punishable by a fine not to exceed $250.
(b) In the event of nonpayment of the proper toll as
required by Subsection (a), on issuance of a written notice of
nonpayment, the registered owner of the nonpaying vehicle is liable
for the payment of both the proper toll and an administrative fee.
(c) The authority may impose and collect the administrative
fee to recover the cost of collecting the unpaid toll, not to exceed
$100. The authority shall send a written notice of nonpayment to
the registered owner of the vehicle at that owner's address as shown
in the vehicle registration records of the department by first
class mail not later than the 30th day after the date of the alleged
failure to pay and may require payment not sooner than the 30th day
after the date the notice was mailed. The registered owner shall
pay a separate toll and administrative fee for each event of
nonpayment under Subsection (a).
(d) The registered owner of a vehicle for which the proper
toll was not paid who is mailed a written notice of nonpayment under
Subsection (c) and fails to pay the proper toll and administrative
fee within the time specified by the notice of nonpayment commits an
offense. Each failure to pay a toll or administrative fee under
this subsection is a separate offense.
(e) It is an exception to the application of Subsection (b)
or (d) that the registered owner of the vehicle is a lessor of the
vehicle and not later than the 30th day after the date the notice of
nonpayment is mailed provides to the authority a copy of the rental,
lease, or other contract document covering the vehicle on the date
of the nonpayment under Subsection (a), with the name and address of
the lessee clearly legible. If the lessor provides the required
information within the period prescribed, the authority may send a
notice of nonpayment to the lessee at the address shown on the
contract document by first class mail before the 30th day after the
date of receipt of the required information from the lessor. The
lessee of the vehicle for which the proper toll was not paid who is
mailed a written notice of nonpayment under this subsection and
fails to pay the proper toll and administrative fee within the time
specified by the notice of nonpayment commits an offense. The
lessee shall pay a separate toll and administrative fee for each
event of nonpayment. Each failure to pay a toll or administrative
fee under this subsection is a separate offense.
(f) It is an exception to the application of Subsection (b)
or (d) that the registered owner of the vehicle transferred
ownership of the vehicle to another person before the event of
nonpayment under Subsection (a) occurred, submitted written notice
of the transfer to the department in accordance with Section
520.023, and before the 30th day after the date the notice of
nonpayment is mailed, provides to the authority the name and
address of the person to whom the vehicle was transferred. If the
former owner of the vehicle provides the required information
within the period prescribed, the authority may send a notice of
nonpayment to the person to whom ownership of the vehicle was
transferred at the address provided by the former owner by first
class mail before the 30th day after the date of receipt of the
required information from the former owner. The subsequent owner
of the vehicle for which the proper toll was not paid who is mailed a
written notice of nonpayment under this subsection and fails to pay
the proper toll and administrative fee within the time specified by
the notice of nonpayment commits an offense. The subsequent owner
shall pay a separate toll and administrative fee for each event of
nonpayment under Subsection (a). Each failure to pay a toll or
administrative fee under this subsection is a separate offense.
(g) An offense under Subsection (d), (e), or (f) is a
misdemeanor punishable by a fine not to exceed $250.
(h) The court in which a person is convicted of an offense
under this section shall also collect the proper toll and
administrative fee and forward the toll and fee to the authority.
(i) In the prosecution of an offense under this section,
proof that the vehicle passed through a toll collection facility
without payment of the proper toll together with proof that the
defendant was the registered owner or the driver of the vehicle when
the failure to pay occurred, establishes the nonpayment of the
registered owner. The proof may be by testimony of a peace officer
or authority employee, video surveillance, or any other reasonable
evidence.
(j) It is a defense to prosecution under this section that
the motor vehicle in question was stolen before the failure to pay
the proper toll occurred and was not recovered by the time of the
failure to pay, but only if the theft was reported to the
appropriate law enforcement authority before the earlier of:
(1) the occurrence of the failure to pay; or
(2) eight hours after the discovery of the theft.
(k) In this section, "registered owner" means the owner of a
vehicle as shown on the vehicle registration records of the
department or the analogous department or agency of another state
or country.
Sec. 370.178. USE AND RETURN OF TRANSPONDERS. (a) For
purposes of this section, "transponder" means a device placed on or
within an automobile that is capable of transmitting or receiving
information used to assess or collect tolls. A transponder is
insufficiently funded if there is no money in the account for which
the transponder was issued.
(b) Any law enforcement or peace officer of an entity with
which an authority has contracted under Section 370.182(c) may
seize a stolen or insufficiently funded transponder and return it
to the authority that issued the transponder. An insufficiently
funded transponder may not be seized before the 30th day after the
date that an authority has sent a notice of delinquency to the
holder of the account.
(c) The following entities shall consider offering motor
vehicle operators the option of using a transponder to pay tolls
without stopping, to mitigate congestion at toll locations, to
enhance traffic flow, and to otherwise increase the efficiency of
operations:
(1) the authority;
(2) an entity to which a project authorized by this
chapter is transferred; or
(3) a third-party service provider under contract with
an entity described by Subdivision (1) or (2).
Sec. 370.179. CONTROLLED ACCESS TO TURNPIKE PROJECTS. (a)
An authority by order may designate a turnpike project or a portion
of a project as a controlled-access toll road.
(b) An authority by order may:
(1) prohibit the use of or access to or from a turnpike
project by a motor vehicle, bicycle, another classification or type
of vehicle, or a pedestrian;
(2) deny access to or from:
(A) a turnpike project;
(B) real property adjacent to a turnpike project;
or
(C) a street, road, alley, highway, or other
public or private way intersecting a turnpike project;
(3) designate locations on a turnpike project at which
access to or from the toll road is permitted;
(4) control, restrict, and determine the type and
extent of access permitted at a designated location of access to a
turnpike project; or
(5) erect appropriate protective devices to preserve
the utility, integrity, and use of a turnpike project.
(c) Denial of access to or from a segment of the state
highway system is subject to the approval of the commission.
Sec. 370.180. PROMOTION OF TRANSPORTATION PROJECT. An
authority may promote the use of a transportation project,
including a project that it operates on behalf of another entity, by
appropriate means, including advertising or marketing as the
authority determines appropriate.
Sec. 370.181. OPERATION OF TRANSPORTATION PROJECT. (a) An
authority shall operate a transportation project with employees of
the authority or by using services contracted under Subsection (b)
or (c).
(b) An authority may enter into an agreement with one or
more persons to provide, on terms and conditions approved by the
authority, personnel and services to design, construct, operate,
maintain, expand, enlarge, or extend the transportation project of
the authority.
(c) An authority may contract with any state or local
government for the services of peace officers of that agency.
Sec. 370.182. AUDIT. An authority shall have a certified
public accountant audit the authority's books and accounts at least
annually. The cost of the audit may be treated as part of the cost
of construction or operation of a transportation project.
Sec. 370.183. DISADVANTAGED BUSINESSES. (a) Consistent
with general law, an authority shall:
(1) set goals for the award of contracts to
disadvantaged businesses and attempt to meet the goals;
(2) attempt to identify disadvantaged businesses that
provide or have the potential to provide supplies, materials,
equipment, or services to the authority; and
(3) give disadvantaged businesses full access to the
authority's contract bidding process, inform the businesses about
the process, offer the businesses assistance concerning the
process, and identify barriers to the businesses' participation in
the process.
(b) This section does not exempt an authority from
competitive bidding requirements provided by other law.
Sec. 370.184. PROCUREMENT. An authority shall adopt rules
governing the award of contracts for goods and services.
Notwithstanding any other provision of state law, an authority may
procure goods and services, including materials, engineering,
design, construction, operations, maintenance, and other goods and
services, through any procedure authorized by this chapter.
Procurement of professional services is governed by Chapter 2254,
Government Code.
Sec. 370.185. COMPETITIVE BIDDING. A contract made by an
authority may be let by a competitive bidding procedure in which the
contract is awarded to the lowest responsible bidder that complies
with the authority's criteria.
Sec. 370.186. CONTRACTS WITH GOVERNMENTAL ENTITIES. (a) An
authority may not construct, maintain, or operate a transportation
project that another governmental entity has determined to be a
project under Chapter 284, 366, or 452 unless the governmental
entity and the authority enter into a written agreement specifying
the terms and conditions under which the project shall be
undertaken.
(b) An authority may not receive or be paid revenue derived
by another governmental entity operating under Chapter 284, 366, or
452 unless the governmental entity and the authority enter into a
written agreement specifying the terms and conditions under which
the revenue shall be received by or paid to the authority.
Sec. 370.187. PROJECT APPROVAL. (a) An authority may not
begin construction of a transportation project that will connect to
the state highway system or to a department rail facility without
the approval of the commission.
(b) The commission by rule shall establish procedures and
criteria for an approval under this section. The rules must require
the commission to consider a request for project approval not later
than the 60th day after the date the department receives all
information reasonably necessary to review the request.
Sec. 370.188. ENVIRONMENTAL REVIEW OF AUTHORITY PROJECTS.
(a) An authority shall adopt rules for environmental review of a
transportation project that is not subject to review under the
National Environmental Policy Act (42 U.S.C. Section 4321 et seq.),
as amended. The rules must:
(1) specify the types of projects for which a public
hearing is required;
(2) establish procedures for public comment on the
environmental review, including a procedure for requesting a public
hearing on an environmental review for which a public hearing is not
required; and
(3) require:
(A) an evaluation of any direct or indirect
environmental effect of the project;
(B) an analysis of project alternatives; and
(C) a written report that briefly explains the
authority's review of the project and that specifies any mitigation
measures on environmental harm on which the project is conditioned.
(b) An environmental review of a project must be conducted
before the authority may approve the location or alignment of the
project.
(c) The authority shall consider the results of the
environmental review in executing its duties.
(d) The authority shall coordinate with the Texas
Commission on Environmental Quality and the Parks and Wildlife
Department in the preparation of an environmental review.
Sec. 370.189. DEPARTMENT MAINTENANCE AND OPERATION. (a)
If requested by an authority, the department may agree to assume all
or part of the duty to maintain or operate a turnpike project or
ferry of the authority.
(b) The authority shall reimburse the department for
necessary costs of maintaining or operating the turnpike project or
ferry as agreed by the department and the authority.
(c) Money received by the department under Subsection (b)
shall be deposited to the credit of the state highway fund and is
exempt from the application of Sections 403.095 and 404.071,
Government Code.
(d) If the department assumes all of the duty to maintain or
operate a turnpike project or ferry under Subsection (a), the
authority is not liable for damages resulting from the maintenance
or operation of the turnpike project or ferry.
(e) An agreement under this section is not a joint
enterprise for purposes of liability.
Sec. 370.190. PROPERTY OF RAPID TRANSIT AUTHORITIES. An
authority may not condemn or purchase real property of a rapid
transit authority operating pursuant to Chapter 451 that was
confirmed before July 1, 1985, and in which the principal
municipality has a population of less than 750,000, unless the
authority has entered into a written agreement with the rapid
transit authority specifying the terms and conditions under which
the condemnation or the purchase of the real property will take
place.
[Sections 370.191-370.250 reserved for expansion]
SUBCHAPTER F. GOVERNANCE
Sec. 370.251. BOARD OF DIRECTORS. (a) The governing body
of an authority is a board of directors consisting of
representatives of each county in which a transportation project of
the authority is located or is proposed to be located. The
commissioners court of each county that initially forms the
authority shall appoint at least two directors to the board.
Additional directors may be appointed to the board at the time of
initial formation by agreement of the counties creating the
authority to ensure fair representation of political subdivisions
in the counties of the authority that will be affected by a
transportation project of the authority, provided that the number
of directors must be an odd number. The commissioners court of a
county that is subsequently added to the authority shall appoint
one director to the board. The governor shall appoint one director
to the board who shall serve as the presiding officer of the board
and shall appoint an additional director to the board if an
appointment is necessary to maintain an odd number of directors on
the board.
(b) Unless the commissioners courts of the counties of the
authority unanimously agree otherwise, the commissioners court of
each county of an authority that contains an operating
transportation project of the authority shall appoint one
additional director.
(c) Directors serve staggered six-year terms, with the
terms of no more than one-third of the directors expiring on
February 1 of each odd-numbered year.
(d) One director appointed to the initial board of an
authority by the commissioners court of a county shall be
designated by the court to serve a term of two years and one
director designated to serve a term of four years. If one or more
directors are subsequently appointed to the board, the directors
other than the subsequent appointees shall determine the length of
the appointees' terms, to comply with Subsection (c).
(e) If a vacancy occurs on the board, the appointing
authority shall promptly appoint a successor to serve for the
unexpired portion of the term.
(f) All appointments to the board shall be made without
regard to race, color, disability, sex, religion, age, or national
origin.
(g) The following individuals are ineligible to serve as a
director:
(1) an elected official;
(2) a person who is not a resident of a county within
the geographic area of the authority;
(3) a department employee;
(4) an employee of a governmental entity any part of
which is located within the geographic boundaries of the authority;
and
(5) a person owning an interest in real property that
will be acquired for an authority project, if it is known at the
time of the person's proposed appointment that the property will be
acquired for the authority project.
(h) Each director has equal status and may vote.
(i) The vote of a majority attending a board meeting is
necessary for any action taken by the board. If a vacancy exists on
a board, the majority of directors serving on the board is a quorum.
(j) The commission may refuse to authorize the creation of
an authority if the commission determines that the proposed board
will not fairly represent political subdivisions in the counties of
the authority that will be affected by the creation of the
authority.
Sec. 370.2515. BOARD COMPOSITION PROPOSAL BY TURNPIKE
AUTHORITY. If a county in which a turnpike authority under Chapter
366 operates or a county owning or operating a toll project under
Chapter 284 is part of an authority, the turnpike authority or the
county may submit to the commission a proposed structure for the
board and a method of appointment to the board:
(1) at the creation of the authority if the county is a
county that initially forms an authority;
(2) when a new county is added to the authority; and
(3) when the county is initially added to the
authority.
Sec. 370.252. PROHIBITED CONDUCT FOR DIRECTORS AND
EMPLOYEES. (a) A director or employee of an authority may not:
(1) accept or solicit any gift, favor, or service
that:
(A) might reasonably influence the director or
employee in the discharge of an official duty; or
(B) the director or employee knows or should know
is being offered with the intent to influence the director's or
employee's official conduct;
(2) accept other employment or engage in a business or
professional activity that the director or employee might
reasonably expect would require or induce the director or employee
to disclose confidential information acquired by reason of the
official position;
(3) accept other employment or compensation that could
reasonably be expected to impair the director's or employee's
independence of judgment in the performance of the director's or
employee's official duties;
(4) make personal investments that could reasonably be
expected to create a substantial conflict between the director's or
employee's private interest and the interest of the authority;
(5) intentionally or knowingly solicit, accept, or
agree to accept any benefit for having exercised the director's or
employee's official powers or performed the director's or
employee's official duties in favor of another; or
(6) have a personal interest in an agreement executed
by the authority.
(b) A person is not eligible to serve as a director or chief
administrative officer of an authority if the person or the
person's spouse:
(1) is employed by or participates in the management
of a business entity or other organization, other than a
governmental entity, that is regulated by or receives funds from
the authority or the department;
(2) directly or indirectly owns or controls more than
a 10 percent interest in a business or other organization that is
regulated by or receives funds from the authority or the
department;
(3) uses or receives a substantial amount of tangible
goods, services, or funds from the authority or the department; or
(4) is required to register as a lobbyist under
Chapter 305, Government Code, because of the person's activities
for compensation on behalf of a profession related to the operation
of the authority or the department.
(c) A person is not eligible to serve as a director or chief
administrative officer of an authority if the person is an officer,
employee, or paid consultant of a Texas trade association in the
field of road construction or maintenance, public transportation,
or aviation, or if the person's spouse is an officer, manager, or
paid consultant of a Texas trade association in the field of road
construction or maintenance, public transportation, or aviation.
(d) In this section, "Texas trade association" means a
nonprofit, cooperative, and voluntarily joined association of
business or professional competitors in this state designed to
assist its members and its industry or profession in dealing with
mutual business or professional problems and in promoting their
common interests.
(e) A person is not ineligible to serve as a director or
chief administrative officer of an authority if the person has
received funds from the department for acquisition of highway
right-of-way unless the acquisition was for a project of the
authority.
Sec. 370.253. SURETY BONDS. (a) Before beginning a term,
each director shall execute a surety bond in the amount of $25,000,
and the secretary and treasurer shall execute a surety bond in the
amount of $50,000.
(b) Each surety bond must be:
(1) conditioned on the faithful performance of the
duties of office;
(2) executed by a surety company authorized to
transact business in this state; and
(3) filed with the secretary of state's office.
(c) The authority shall pay the expense of the bonds.
Sec. 370.254. REMOVAL OF DIRECTOR. (a) It is a ground for
removal of a director from the board if the director:
(1) did not have at the time of appointment the
qualifications required by Section 370.251;
(2) at the time of appointment or at any time during
the director's term, is ineligible under Section 370.251 or 370.252
to serve as a director;
(3) cannot discharge the director's duties for a
substantial part of the term for which the director is appointed
because of illness or disability; or
(4) is absent from more than half of the regularly
scheduled board meetings that the director is eligible to attend
during a calendar year.
(b) The validity of an action of the board is not affected by
the fact that it is taken when a ground for removal of a director
exists.
(c) If the chief administrative officer of the authority has
knowledge that a potential ground for removal exists, that person
shall notify the presiding officer of the board of the ground. The
presiding officer shall then notify the person that appointed the
director that a potential ground for removal exists.
Sec. 370.255. COMPENSATION OF DIRECTOR. Each director is
entitled to reimbursement for the director's actual expenses
necessarily incurred in the performance of the director's duties.
A director is not entitled to any additional compensation for the
director's services.
Sec. 370.256. EVIDENCE OF AUTHORITY ACTIONS. Actions of an
authority are the actions of its board and may be evidenced in any
legal manner, including a board resolution.
Sec. 370.257. PUBLIC ACCESS. An authority shall:
(1) make and implement policies that provide the
public with a reasonable opportunity to appear before the board to
speak on any issue under the jurisdiction of the authority; and
(2) prepare and maintain a written plan that describes
how an individual who does not speak English or who has a physical,
mental, or developmental disability may be provided reasonable
access to the authority's programs.
Sec. 370.258. INDEMNIFICATION. (a) An authority may
indemnify one or more of its directors or officers for necessary
expenses and costs, including attorney's fees, incurred by the
directors or officers in connection with any claim asserted against
the directors or officers in their respective capacities as
directors or officers.
(b) If an authority does not fully indemnify a director or
officer as provided by Subsection (a), the court in a proceeding in
which any claim against the director or officer is asserted or any
court with jurisdiction of an action instituted by the director or
officer on a claim for indemnity may assess indemnity against the
authority, its receiver, or trustee only if the court finds that, in
connection with the claim, the director or officer is not guilty of
negligence or misconduct.
(c) A court may not assess indemnity under Subsection (b)
for an amount paid by the director or officer to the authority.
(d) This section applies to a current or former director or
officer of the authority.
Sec. 370.259. PURCHASE OF LIABILITY INSURANCE. (a) An
authority shall insure its officers and employees from liability
arising from the use, operation, or maintenance of equipment that
is used or may be used in connection with the laying out,
construction, or maintenance of the authority's transportation
projects.
(b) Insurance coverage under this section must be provided
by the purchase of a policy of liability insurance from a reliable
insurance company authorized to do business in this state. The form
of the policy must be approved by the commissioner of insurance.
(c) This section is not a waiver of immunity of the
authority or the counties in an authority from liability for the
torts or negligence of an officer or employee of an authority.
(d) In this section, "equipment" includes an automobile,
motor truck, trailer, aircraft, motor grader, roller, tractor,
tractor power mower, locomotive, rail car, and other power
equipment.
Sec. 370.260. CERTAIN CONTRACTS AND SALES PROHIBITED. (a)
A director, agent, or employee of an authority may not:
(1) contract with the authority; or
(2) be directly or indirectly interested in:
(A) a contract with the authority; or
(B) the sale of property to the authority.
(b) A person who violates Subsection (a) is liable for a
civil penalty to the authority in an amount not to exceed $1,000.
Sec. 370.261. STRATEGIC PLANS AND ANNUAL REPORTS. (a) An
authority shall make a strategic plan for its operations. A
majority of the commissioners courts of the counties of the
authority shall by concurrent resolution determine the types of
information required to be included in the strategic plan. Each
even-numbered year, an authority shall issue a plan covering the
succeeding five fiscal years, beginning with the next odd-numbered
fiscal year.
(b) Not later than March 31 of each year, an authority shall
file with the commissioners court of each county of the authority a
written report on the authority's activities describing all
transportation revenue bond issuances anticipated for the coming
year, the financial condition of the authority, all project
schedules, and the status of the authority's performance under the
most recent strategic plan. At the invitation of a commissioners
court of a county of the authority, representatives of the board and
the administrative head of an authority shall appear before the
commissioners court to present the report and receive questions and
comments.
(c) The authority shall give notice to the commissioners
court of each county of the authority not later than the 90th day
before the date of issuance of revenue bonds.
Sec. 370.262. MEETINGS BY TELEPHONE CONFERENCE CALL. (a)
Chapter 551, Government Code, does not prohibit any open or closed
meeting of the board, a committee of the board, or the staff, or any
combination of the board or staff, from being held by telephone
conference call.
(b) A telephone conference call meeting is subject to the
notice requirements applicable to other meetings.
(c) Notice of a telephone conference call meeting that by
law must be open to the public must specify the location of the
meeting. The location must be a conference room of the authority or
other facility in a county of the authority that is accessible to
the public.
(d) Each part of the telephone conference call meeting that
by law must be open to the public shall be audible to the public at
the location specified in the notice and shall be tape-recorded or
documented by written minutes. On conclusion of the meeting, the
tape recording or the written minutes of the meeting shall be made
available to the public.
[Sections 370.263-370.300 reserved for expansion]
SUBCHAPTER G. PARTICIPATION IN FINANCING, CONSTRUCTION, AND
OPERATION OF TRANSPORTATION PROJECTS
Sec. 370.301. DEPARTMENT CONTRIBUTIONS TO TURNPIKE
PROJECTS. (a) The department may agree with an authority to
provide for or contribute to the payment of costs of financial or
engineering and traffic feasibility studies and the design,
financing, acquisition, construction, operation, or maintenance of
a turnpike project or system on terms agreed on by the commission or
department, as applicable, and the authority. The agreement may
not be inconsistent with the rights of the bondholders or persons
operating the turnpike project under a lease or other contract.
(b) The department may use its engineering and other
personnel, including consulting engineers and traffic engineers,
to conduct feasibility studies under Subsection (a).
(c) An obligation or expense incurred by the commission or
department under this section is a part of the cost of the turnpike
project for which the obligation or expense was incurred. The
commission or department may require money contributed by the
commission or department under this section to be repaid from tolls
or other revenue of the turnpike project on which the money was
spent. Money repaid as required by the commission or department
shall be deposited to the credit of the fund from which the
contribution was made. Money deposited as required by this section
is exempt from the application of Section 403.095, Government Code.
(d) The commission or department may use federal money for
any purpose described by this chapter.
(e) A turnpike project developed by an authority may not be
part of the state highway system unless otherwise agreed to by the
authority and the department.
(f) The commission may grant or loan department money to an
authority for the acquisition of land for or the construction,
maintenance, or operation of a turnpike project. The commission
may require the authority to repay money provided under this
section from toll revenue or other sources on terms established by
the commission.
(g) Money repaid as required by the commission shall be
deposited to the credit of the fund from which the money was
provided. Money deposited as required by this section is exempt
from the application of Section 403.095, Government Code.
Sec. 370.302. AGREEMENTS TO CONSTRUCT, MAINTAIN, AND
OPERATE TRANSPORTATION PROJECTS. (a) An authority may enter into
an agreement with a public or private entity, including a toll road
corporation, the United States, a state of the United States, the
United Mexican States, a state of the United Mexican States,
another governmental entity, or a political subdivision, to permit
the entity, independently or jointly with the authority, to study
the feasibility of a transportation project or to acquire, design,
finance, construct, maintain, repair, operate, extend, or expand a
transportation project. An authority and a private entity jointly
may enter into an agreement with another governmental entity to
study the feasibility of a transportation project or to acquire,
design, finance, construct, maintain, repair, operate, extend, or
expand a transportation project.
(b) An authority has broad discretion to negotiate
provisions in a development agreement with a private entity. The
provisions may include provisions relating to:
(1) the design, financing, construction, maintenance,
and operation of a transportation project in accordance with
standards adopted by the authority; and
(2) professional and consulting services to be
rendered under standards adopted by the authority in connection
with a transportation project.
(c) An authority may not incur a financial obligation on
behalf of, or guarantee the obligations of, a private entity that
constructs, maintains, or operates a transportation project.
(d) An authority or a county in an authority is not liable
for any financial or other obligation of a transportation project
solely because a private entity constructs, finances, or operates
any part of a transportation project.
(e) An authority may authorize the investment of public and
private money, including debt and equity participation, to finance
a function described by this section.
Sec. 370.303. AGREEMENTS BETWEEN AUTHORITY AND LOCAL
GOVERNMENTAL ENTITIES. (a) A governmental entity other than a
nonprofit corporation may, consistent with the Texas Constitution,
issue bonds, notes, or other obligations or enter into and make
payments under agreements with an authority to acquire, construct,
maintain, or operate a transportation project, whether inside or
outside the geographic boundaries of the governmental entity,
including agreements to pay the principal of, and interest on,
bonds, notes, or other obligations issued by the authority and make
payments under any related credit agreements. The entity may
impose and collect taxes to pay the interest on the bonds and to
provide a sinking fund for the redemption of the bonds.
(b) In addition to the powers provided by Subsection (a), a
governmental entity may, to the extent constitutionally permitted,
agree with an authority to issue bonds, notes, or other
obligations, create a taxing district or an entity to promote
economic development, fund public improvements to promote economic
development, or enter into and make payments under an agreement to
acquire, construct, maintain, or operate any portion of a
transportation project of the authority. An agreement may include
a means for a local governmental entity to provide funds for a
transportation project that benefits the governmental entity to be
developed by the authority.
(c) To make payments under an agreement under Subsection
(b), to pay the interest on bonds issued under Subsection (b), or to
provide a sinking fund for the bonds or the agreement, a
governmental entity may:
(1) pledge revenue from any available source,
including annual appropriations;
(2) impose and collect taxes; or
(3) pledge revenue and impose and collect taxes.
(d) The term of an agreement under this section may not
exceed 40 years.
(e) An election required to authorize action under this
subchapter must be held in conformity with Chapter 1251, Government
Code, or other law applicable to the governmental entity.
(f) The governing body of any governmental entity issuing
bonds, notes, or other obligations or entering into agreements
under this section may exercise the authority granted to the
governing body of an issuer with regard to issuance of obligations
under Chapter 1371, Government Code, except that the prohibition in
that chapter on the repayment of an obligation with ad valorem taxes
does not apply to an issuer exercising the authority granted by this
section.
Sec. 370.304. ADDITIONAL AGREEMENTS OF AUTHORITY. An
authority may enter into any agreement necessary or convenient to
achieve the purposes of this subchapter.
Sec. 370.305. EXCLUSIVE DEVELOPMENT AGREEMENTS. An
authority may use an exclusive development agreement to finance,
acquire, construct, maintain, repair, operate, extend, or expand a
transportation project by invested private funding or by public
funding, private funding, or any combination. An agreement under
this section is not subject to a requirement or restriction of
Section 222.103(i).
Sec. 370.306. PROCESS FOR ENTERING INTO EXCLUSIVE
DEVELOPMENT AGREEMENTS. (a) If an authority enters into an
exclusive development agreement, the authority shall use a
competitive procurement process that provides the best value for
the authority. The authority may accept unsolicited proposals for
a proposed transportation project or solicit proposals in
accordance with this section.
(b) The authority shall establish rules and procedures for
accepting unsolicited proposals that require the private entity to
include in the proposal:
(1) information regarding the proposed project
location, scope, and limits;
(2) information regarding the private entity's
qualifications, experience, technical competence, and capability
to develop the project; and
(3) a proposed financial plan for the proposed project
that includes, at a minimum:
(A) projected project costs; and
(B) proposed sources of funds.
(c) The authority shall publish a request for competing
proposals and qualifications in the Texas Register that includes
the criteria used to evaluate the proposals, the relative weight
given to the criteria, and a deadline by which proposals must be
received if:
(1) the authority decides to issue a request for
qualifications for a proposed project; or
(2) the authority authorizes the further evaluation of
an unsolicited proposal.
(d) A proposal submitted in response to a request published
under Subsection (c) must contain, at a minimum, the information
required by Subsections (b)(2) and (3).
(e) An authority may interview a private entity submitting
an unsolicited proposal or responding to a request under Subsection
(c). The authority shall evaluate each proposal based on the
criteria described in the notice. The authority must qualify at
least two private entities to submit detailed proposals for a
project under Subsection (f) unless the authority does not receive
more than one proposal or one response to a request under Subsection
(c).
(f) An authority shall issue a request for detailed
proposals from all private entities qualified under Subsection (e)
if the authority proceeds with the further evaluation of a proposed
project. A request under this subsection may require additional
information relating to:
(1) the private entity's qualifications and
demonstrated technical competence;
(2) the feasibility of developing the project as
proposed;
(3) detailed engineering or architectural designs;
(4) the private entity's ability to meet schedules;
(5) costing methodology; or
(6) any other information the authority considers
relevant or necessary.
(g) In issuing a request for proposals under Subsection (f),
an authority may solicit input from entities qualified under
Subsection (e) or any other person. An authority may also solicit
input regarding alternative technical concepts after issuing a
request under Subsection (f).
(h) An authority shall rank each proposal based on the
criteria described in the request for proposals and select the
private entity whose proposal offers the best value to the
authority.
(i) An authority may require that an unsolicited proposal be
accompanied by a nonrefundable fee sufficient to cover all or part
of its cost to review the proposal.
(j) An authority shall pay an unsuccessful private entity
that submits a response to a request for detailed proposals under
Subsection (f) a stipulated amount of the final contract price for
any costs incurred in preparing that proposal. The stipulated
amount must be stated in the request for proposals and may not
exceed the value of any work product contained in the proposal that
can, as determined by the authority, be used by the authority in the
performance of its functions. After payment of the stipulated
amount:
(1) the authority owns the exclusive rights to, and
may make use of any work product contained in, the proposal,
including the technologies, techniques, methods, processes, and
information contained in the project design; and
(2) the work product contained in the proposal becomes
the property of the authority.
(k) An authority shall prescribe the general form of an
exclusive development agreement and may include any matter the
authority considers advantageous to the authority. The authority
and the private entity shall negotiate the specific terms of an
exclusive development agreement.
(l) Subchapter A, Chapter 223, of this code and Chapter
2254, Government Code, do not apply to an exclusive development
agreement entered into under Section 370.305.
Sec. 370.307. CONFIDENTIALITY OF NEGOTIATIONS FOR
EXCLUSIVE DEVELOPMENT AGREEMENTS. To encourage private entities to
submit proposals under Section 370.306, the following information
is confidential, is not subject to disclosure, inspection, or
copying under Chapter 552, Government Code, and is not subject to
disclosure, discovery, subpoena, or other means of legal compulsion
for its release until a final contract for a proposed project is
entered into:
(1) all or part of a proposal submitted by a private
entity for an exclusive development agreement, except information
provided under Sections 370.306(b)(1) and (2);
(2) supplemental information or material submitted by
a private entity in connection with a proposal for an exclusive
development agreement; and
(3) information created or collected by an authority
or its agent during consideration of a proposal for an exclusive
development agreement.
Sec. 370.308. PERFORMANCE AND PAYMENT SECURITY. (a)
Notwithstanding Section 223.006 and the requirements of Subchapter
B, Chapter 2253, Government Code, an authority shall require a
private entity entering into an exclusive development agreement
under Section 370.005 to provide a performance and payment bond or
an alternative form of security in an amount sufficient to:
(1) ensure the proper performance of the agreement;
and
(2) protect:
(A) the authority; and
(B) payment bond beneficiaries who have a direct
contractual relationship with the private entity or a subcontractor
of the private entity to supply labor or material.
(b) A performance and payment bond or alternative form of
security shall be in an amount equal to the cost of constructing or
maintaining the project.
(c) If an authority determines that it is impracticable for
a private entity to provide security in the amount described by
Subsection (b), the authority shall set the amount of the bonds or
the alternative forms of security.
(d) A payment or performance bond or alternative form of
security is not required for the portion of an agreement that
includes only design or planning services, the performance of
preliminary studies, or the acquisition of real property.
(e) The amount of the payment security must not be less than
the amount of the performance security.
(f) In addition to performance and payment bonds, an
authority may require the following alternative forms of security:
(1) a cashier's check drawn on a financial entity
specified by the authority;
(2) a United States bond or note;
(3) an irrevocable bank letter of credit; or
(4) any other form of security determined suitable by
the authority.
(g) An authority by rule shall prescribe requirements for
alternative forms of security provided under this section.
Sec. 370.309. OWNERSHIP OF TRANSPORTATION PROJECTS. (a) A
transportation project that is the subject of a development
agreement with a private entity, including the facilities acquired
or constructed on the project, is public property and belongs to the
authority that entered into the agreement.
(b) An authority may enter into an agreement that provides
for the lease of rights-of-way, the granting of easements, the
issuance of franchises, licenses, or permits, or any lawful uses to
enable a private entity to construct, operate, and maintain a
transportation project, including supplemental facilities. At the
termination of the agreement, the transportation project,
including the facilities, must be in a state of proper maintenance
as determined by the authority and shall be returned to the
authority in satisfactory condition at no further cost.
Sec. 370.310. TERMS OF PRIVATE PARTICIPATION. An authority
shall negotiate the terms of private participation in a
transportation project, including:
(1) methods to determine the applicable cost, profit,
and project distribution between the private equity investors and
the authority;
(2) reasonable methods to determine and classify toll
rates;
(3) acceptable safety and policing standards; and
(4) other applicable professional, consulting,
construction, operation, and maintenance standards, expenses, and
costs.
Sec. 370.311. RULES, PROCEDURES, AND GUIDELINES GOVERNING
NEGOTIATING PROCESS. (a) An authority shall adopt rules,
procedures, and other guidelines governing negotiations to promote
fairness, obtain private participants in transportation projects,
and promote confidence among those participants. The rules must
contain criteria relating to the qualifications of the participants
and the award of the contracts and may authorize the authority to
impose a fee for reviewing proposals for private involvement in a
transportation project.
(b) An authority shall have up-to-date procedures for
participation in negotiations on transportation projects.
(c) An authority has exclusive judgment to determine the
terms of an agreement.
(d) A proposal and related information submitted for
private involvement in a transportation project, and all documents
and information created by the authority or its agents during the
authority's consideration of a proposal for private involvement in
a transportation project, are excepted from disclosure,
inspection, or copying under Chapter 552, Government Code, and are
not subject to discovery, subpoena, or other means of legal
compulsion for release, until the authority has entered into an
agreement or until it has determined not to develop a proposed
project through an agreement with a private entity.
(e) An authority may agree to acquire the work product of an
unsuccessful proposer for the development of a project through an
exclusive development agreement or other form of private
involvement in a transportation project if the payment for such
work product does not exceed its value to the authority.
Sec. 370.312. PARTICIPATION ON CERTAIN OTHER BOARDS,
COMMISSIONS, OR PUBLIC BODIES. (a) An authority may participate in
and designate board members to serve as representatives on boards,
commissions, or public bodies, the purposes of which are to promote
the development of joint toll facilities in this state, between
this state and other states of the United States, or between this
state and the United Mexican States or states of the United Mexican
States.
(b) A fee or expense associated with authority
participation under this section may be reimbursed from money in
the authority's feasibility study fund.
Sec. 370.313. COMBINATION OF ENGINEERING, DESIGN, AND
CONSTRUCTION SERVICES. An authority may procure a combination of
engineering, design, and construction services in a single
procurement for a transportation project provided that any contract
awarded must be the one that results in the best value to the
authority.
Sec. 370.314. PERFORMANCE AND PAYMENT BONDS AND SECURITY.
Notwithstanding Chapter 2253, Government Code, an authority shall
require any party to an agreement to operate or maintain a
transportation project to provide performance and payment bonds or
other forms of security in amounts considered by the authority to be
adequate to protect the authority and to assure performance of all
obligations to the authority and to subcontractors providing
materials or labor for a transportation project.
Sec. 370.315. TRANS-TEXAS CORRIDOR PROJECTS. In the event
that an authority is requested by the commission to participate in
the development of a transportation project that has been
designated as part of the Trans-Texas Corridor, the authority shall
have, in addition to all powers granted in this chapter, all powers
of the department related to the development of Trans-Texas
Corridor projects.
[Sections 370.316-370.330 reserved for expansion]
SUBCHAPTER H. DISSOLUTION OF AUTHORITY
Sec. 370.331. VOLUNTARY DISSOLUTION. (a) An authority may
not be dissolved unless the dissolution is approved by the
commission.
(b) A board may submit a request to the commission for
approval to dissolve.
(c) The commission may approve a request to dissolve only
if:
(1) all debts, obligations, and liabilities of the
authority have been paid and discharged or adequate provision has
been made for the payment of all debts, obligations, and
liabilities;
(2) there are no suits pending against the authority,
or adequate provision has been made for the satisfaction of any
judgment, order, or decree that may be entered against it in any
pending suit; and
(3) the authority has commitments from other
governmental entities to assume jurisdiction of all authority
transportation facilities.
Sec. 370.332. INVOLUNTARY DISSOLUTION. (a) The commission
by order may require an authority to dissolve if the commission
determines that the authority has not substantially complied with
the requirements of a commission rule or an agreement between the
department and the authority.
(b) The commission may not require dissolution unless:
(1) the conditions described in Sections
370.331(c)(1) and (2) have been met; and
(2) the holders of any indebtedness have evidenced
their agreement to the dissolution.
SECTION 2.02. Section 361.003, Transportation Code, is
repealed.
SECTION 2.03. (a) This article takes effect immediately if
this Act receives a vote of two-thirds of all 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 article takes effect September 1, 2003.
(b) This article does not affect the term of a member of the
board of directors of a regional mobility authority serving on the
effective date of this article.
ARTICLE 3. EXCLUSIVE DEVELOPMENT AGREEMENTS
SECTION 3.01. Chapter 201, Transportation Code, is amended
by adding Subchapter N to read as follows:
SUBCHAPTER N. EXCLUSIVE DEVELOPMENT AGREEMENTS
Sec. 201.951. DEFINITIONS. In this subchapter:
(1) "Exclusive development agreement" means an
agreement with a private entity that, at a minimum, provides for the
design and construction of a transportation project of the
department and may also provide for the financing, acquisition,
maintenance, or operation of a transportation project.
(2) "Transportation project" includes a facility as
defined by Section 227.003.
Sec. 201.9511. APPLICABILITY OF BIDDING PROCEDURE
REQUIREMENT. An exclusive development agreement is not subject to
a requirement or restriction of Section 222.103(i).
Sec. 201.952. AUTHORITY TO ENTER INTO EXCLUSIVE DEVELOPMENT
AGREEMENTS. (a) Subject to Section 201.953, the department may
enter into exclusive development agreements.
(b) The department may negotiate provisions relating to
professional and consulting services in connection with an
exclusive development agreement.
(c) Subject to Section 201.953, the department may use any
constitutionally permissible source of funds without restriction
on the number of exclusive development agreements that may be
entered into.
Sec. 201.953. LIMITATION ON DEPARTMENT FINANCIAL
PARTICIPATION. The amount of money disbursed by the department
from the state highway fund and the Texas mobility fund during a
federal fiscal year to pay the costs under exclusive development
agreements may not exceed 40 percent of the obligation authority
under the federal-aid highway program that is distributed to this
state for the fiscal year.
Sec. 201.9531. EXCLUSION OF EXPENDITURES. Money spent by
the department under this chapter is not included in computing the
amount required to be spent for engineering and design contracts
under Section 223.041 in any fiscal year.
Sec. 201.954. PROCESS FOR ENTERING INTO EXCLUSIVE
DEVELOPMENT AGREEMENTS. (a) If the department enters into an
exclusive development agreement, the department shall use a
competitive procurement process that provides the best value for
the department. The department may accept unsolicited proposals
for a proposed project or solicit proposals in accordance with this
section.
(b) The department shall establish rules and procedures for
accepting unsolicited proposals that require the private entity to
include in the proposal:
(1) information regarding the proposed project
location, scope, and limits;
(2) information regarding the private entity's
qualifications, experience, technical competence, and capability
to develop the project; and
(3) a proposed financial plan for the proposed project
that includes, at a minimum:
(A) projected project costs; and
(B) proposed sources of funds.
(c) The department shall publish a request for competing
proposals and qualifications in the Texas Register that includes
the criteria used to evaluate the proposals, the relative weight
given to the criteria, and a deadline by which proposals must be
received if:
(1) the department decides to issue a request for
qualifications for a proposed project; or
(2) the department authorizes the further evaluation
of an unsolicited proposal.
(d) A proposal submitted in response to a request published
under Subsection (c) must contain, at a minimum, the information
required by Subsections (b)(2) and (3).
(e) The department may interview a private entity
submitting an unsolicited proposal or responding to a request under
Subsection (c). The department shall evaluate each proposal based
on the criteria described in the notice. The department must
qualify at least two private entities to submit detailed proposals
for a project under Subsection (f) unless the department does not
receive more than one proposal or one response to a request under
Subsection (c).
(f) The department shall issue a request for detailed
proposals from all private entities qualified under Subsection (e)
if the department proceeds with the further evaluation of a
proposed project. A request under this subsection may require
additional information relating to:
(1) the private entity's qualifications and
demonstrated technical competence;
(2) the feasibility of developing the project as
proposed;
(3) detailed engineering or architectural designs;
(4) the private entity's ability to meet schedules;
(5) costing methodology; or
(6) any other information the department considers
relevant or necessary.
(g) In issuing a request for proposals under Subsection (f),
the department may solicit input from entities qualified under
Subsection (e) or any other person. The department may also solicit
input regarding alternative technical concepts after issuing a
request under Subsection (f).
(h) The department shall rank each proposal based on the
criteria described in the request for proposals and select the
private entity whose proposal offers the best value to the
department.
(i) The department may require that an unsolicited proposal
be accompanied by a nonrefundable fee sufficient to cover all or
part of its cost to review the proposal.
(j) The department shall pay an unsuccessful private entity
that submits a response to a request for detailed proposals under
Subsection (f) a stipulated amount of the final contract price for
any costs incurred in preparing that proposal. The stipulated
amount must be stated in the request for proposals and may not
exceed the value of any work product contained in the proposal that
can, as determined by the department, be used by the department in
the performance of its functions. The use by the department of any
design element contained in an unsuccessful proposal is at the sole
risk and discretion of the department and does not confer liability
on the recipient of the stipulated amount under this section. After
payment of the stipulated amount:
(1) the department owns the exclusive rights to, and
may make use of any work product contained in, the proposal,
including the technologies, techniques, methods, processes, and
information contained in the project design; and
(2) the work product contained in the proposal becomes
the property of the department.
(k) The department may prescribe the general form of an
exclusive development agreement and may include any matter the
department considers advantageous to the department. The
department and the private entity shall negotiate the specific
terms of an exclusive development agreement.
(l) Subchapter A, Chapter 223, of this code and Chapter
2254, Government Code, do not apply to an exclusive development
agreement entered into under Sections 201.952.
Sec. 201.955. CONFIDENTIALITY OF NEGOTIATIONS FOR
EXCLUSIVE DEVELOPMENT AGREEMENTS. To encourage private entities to
submit proposals under Section 201.954, the following information
is confidential, is not subject to disclosure, inspection, or
copying under Chapter 552, Government Code, and is not subject to
disclosure, discovery, subpoena, or other means of legal compulsion
for its release until a final contract for a proposed project is
entered into:
(1) all or part of a proposal submitted by a private
entity for an exclusive development agreement, except information
provided under Section 201.954(b)(1) and (2);
(2) supplemental information or material submitted by
a private entity in connection with a proposal for an exclusive
development agreement; and
(3) information created or collected by the department
or its agent during consideration of a proposal for an exclusive
development agreement.
Sec. 201.956. PERFORMANCE AND PAYMENT SECURITY. (a)
Notwithstanding Section 223.006 and the requirements of Subchapter
B, Chapter 2253, Government Code, the department shall require a
private entity entering into an exclusive development agreement
under Section 201.952 to provide a performance and payment bond or
an alternative form of security in an amount sufficient to:
(1) ensure the proper performance of the agreement;
and
(2) protect:
(A) the department; and
(B) payment bond beneficiaries who have a direct
contractual relationship with the private entity or a subcontractor
of the private entity to supply labor or material.
(b) A performance and payment bond or alternative form of
security shall be in an amount equal to the cost of constructing or
maintaining the project.
(c) If the department determines that it is impracticable
for a private entity to provide security in the amount described by
Subsection (b), the department shall set the amount of the bonds or
the alternative forms of security.
(d) A payment or performance bond or alternative form of
security is not required for the portion of an agreement that
includes only design or planning services, the performance of
preliminary studies, or the acquisition of real property.
(e) The amount of the payment security must not be less than
the amount of the performance security.
(f) In addition to performance and payment bonds, the
department may require the following alternative forms of security:
(1) a cashier's check drawn on a financial entity
specified by the department;
(2) a United States bond or note;
(3) an irrevocable bank letter of credit; or
(4) any other form of security determined suitable by
the department.
(g) The department by rule shall prescribe requirements for
alternative forms of security provided under this section.
Sec. 201.957. EXPIRATION. This subchapter expires August
31, 2011.
SECTION 3.02. Sections 222.103(h) and (j), Transportation
Code, are repealed.
SECTION 3.03. This article takes effect immediately if this
Act 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 article takes effect September 1, 2003.
ARTICLE 4. ADVANCE ACQUISITION OF PROPERTY
SECTION 4.01. The heading to Chapter 202, Transportation
Code, is amended to read as follows:
CHAPTER 202. CONTROL OF TRANSPORTATION [HIGHWAY] ASSETS
SECTION 4.02. Chapter 202, Transportation Code, is amended
by adding Subchapter F to read as follows:
SUBCHAPTER F. ADVANCE ACQUISITION OF PROPERTY
Sec. 202.111. DEFINITION. In this subchapter, "advance
acquisition" means an acquisition by the commission under Section
202.112.
Sec. 202.112. ADVANCE ACQUISITIONS. (a) The commission
may acquire or purchase an option to acquire property for possible
use in or in connection with a transportation facility, including a
facility as defined by Section 227.003, before a final decision has
been made as to whether the transportation facility will be located
on that property. An advance acquisition may be made under any
terms and conditions the commission considers proper.
(b) An advance acquisition shall be made by the commission
using the procedures authorized under Subchapter D of Chapter 203
or other law authorizing the commission or the department to
acquire real property or an interest in real property for a
transportation facility. If the commission acquires real property
or an interest in real property under Subchapter D of Chapter 203 or
other law, the commission may make an advance acquisition in the
manner provided by this subchapter.
(c) The commission may not make an advance acquisition by
condemnation.
Sec. 202.113. MANAGEMENT. If requested by the department,
property acquired by advance acquisition may be managed by the
General Land Office on behalf of the department as the department
and the General Land Office may agree. Subchapter E, Chapter 31,
Natural Resources Code, does not apply to property acquired under
this subchapter.
Sec. 202.114. DISPOSAL OF SURPLUS PROPERTY. The commission
shall dispose of property acquired by advance acquisition that is
not needed for a transportation facility in the manner provided by
Subchapter B.
ARTICLE 5. DRIVER RESPONSIBILITY
SECTION 5.01. Subtitle I, Title 7, Transportation Code, is
amended by adding Chapter 708 to read as follows:
CHAPTER 708. DRIVER RESPONSIBILITY PROGRAM
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 708.001. DEFINITIONS. In this chapter, "department"
and "license" have the meanings assigned by Section 521.001.
Sec. 708.002. RULES. The department shall adopt and
enforce rules to implement and enforce this chapter.
Sec. 708.003. FINAL CONVICTIONS. For purposes of this
chapter, a conviction for an offense to which this chapter applies
is a final conviction, regardless of whether the sentence is
probated.
[Sections 708.004-708.050 reserved for expansion]
SUBCHAPTER B. DRIVER'S LICENSE POINTS SURCHARGE
Sec. 708.051. NONAPPLICABILITY. This subchapter does not
apply to:
(1) a conviction that became final before September 1,
2003; or
(2) an offense covered by Subchapter C.
Sec. 708.052. ASSIGNMENT OF POINTS FOR CERTAIN CONVICTIONS.
(a) The driver's license of a person accumulates a point under this
subchapter as of the date the department records a conviction of the
person under Section 521.042 or other applicable law.
(b) For each conviction arising out of a separate
transaction, the department shall assign points to a person's
license as follows:
(1) two points for a moving violation of the traffic
law of this state or another state that is not described by
Subdivision (2); and
(2) three points for a moving violation of the traffic
law of this state, another state, or a political subdivision of this
or another state that resulted in an accident.
(c) The department by rule shall designate the offenses that
constitute a moving violation of the traffic law under this
section.
(d) Notwithstanding Subsection (b), the department may not
assign points to a person's driver's license if the offense of which
the person was convicted is the offense of speeding and the person
was at the time of the offense driving less than 10 percent faster
than the posted speed limit. This subsection does not apply to an
offense committed in a school crossing zone as defined by Section
541.302.
(e) Notwithstanding Subsection (b), the department may not
assign points to a person's license if the offense committed by the
person was adjudicated under Article 45.051(c-1) or 45.0511(l)(1),
Code of Criminal Procedure.
Sec. 708.053. ANNUAL SURCHARGE FOR POINTS. Each year, the
department shall assess a surcharge on the license of a person who
has accumulated six or more points under this subchapter during the
preceding 36-month period.
Sec. 708.054. AMOUNT OF POINTS SURCHARGE. The amount of a
surcharge under this chapter is $100 for the first six points and
$25 for each additional point.
Sec. 708.055. NOTICE OF ASSIGNMENT OF FIFTH POINT. The
department shall notify the holder of a driver's license of the
assignment of a fifth point on that license by first class mail sent
to the person's most recent address as shown on the records of the
department.
[Sections 708.056-708.100 reserved for expansion]
SUBCHAPTER C. SURCHARGES FOR CERTAIN CONVICTIONS AND
LICENSE SUSPENSIONS
Sec. 708.101. NONAPPLICABILITY. This subchapter does not
apply to a conviction that became final before September 1, 2003.
Sec. 708.102. SURCHARGE FOR CONVICTION OF CERTAIN
INTOXICATED DRIVER OFFENSES. (a) In this section, "offense
relating to the operating of a motor vehicle while intoxicated" has
the meaning assigned by Section 49.09, Penal Code.
(b) Each year the department shall assess a surcharge on the
license of each person who during the preceding 36-month period has
been finally convicted of an offense relating to the operating of a
motor vehicle while intoxicated.
(c) The amount of a surcharge under this section is $1,000
per year, except that the amount of the surcharge is:
(1) $1,500 per year for a second or subsequent
conviction within a 36-month period; and
(2) $2,000 for a first or any subsequent conviction if
it is shown on the trial of the offense that an analysis of a
specimen of the person's blood, breath, or urine showed an alcohol
concentration level of 0.16 or more at the time the analysis was
performed.
(d) A surcharge under this section for the same conviction
may not be assessed in more than three years.
Sec. 708.103. SURCHARGE FOR CONVICTION OF DRIVING WHILE
LICENSE INVALID OR WITHOUT FINANCIAL RESPONSIBILITY. (a) Each
year the department shall assess a surcharge on the license of each
person who during the preceding 36-month period has been convicted
of an offense under Section 521.457, 601.191, or 601.371.
(b) The amount of a surcharge under this section is $250 per
year.
Sec. 708.104. SURCHARGE FOR CONVICTION OF DRIVING WITHOUT
VALID LICENSE. (a) Each year the department shall assess a
surcharge on the license of a person who during the preceding
36-month period has been convicted of an offense under Section
521.021.
(b) The amount of a surcharge under this section is $100 per
year.
(c) A surcharge under this section for the same conviction
may not be assessed in more than three years.
[Sections 708.105-708.150 reserved for expansion]
SUBCHAPTER D. COLLECTION OF SURCHARGES
Sec. 708.151. NOTICE OF SURCHARGE. The department shall
notify the holder of a driver's license of the assessment of a
surcharge on that license by first class mail sent to the person's
most recent address as shown on the records of the department. The
notice must specify the date by which the surcharge must be paid and
state the consequences of a failure to pay the surcharge.
Sec. 708.152. FAILURE TO PAY SURCHARGE. (a) If before the
30th day after the date the department sends a notice under Section
708.151 the person fails to pay the amount of a surcharge on the
person's license or fails to enter into an installment payment
agreement with the department, the license of the person is
automatically suspended.
(b) A license suspended under this section remains
suspended until the person pays the amount of the surcharge and any
related costs.
Sec. 708.153. INSTALLMENT PAYMENT OF SURCHARGE. (a) The
department by rule shall provide for the payment of a surcharge in
installments.
(b) A rule under this section:
(1) may not permit a person to pay a surcharge:
(A) of less than $2,300 over a period of more than
12 consecutive months; or
(B) of $2,300 or more over a period of more than
24 consecutive months; and
(2) may provide that if the person fails to make a
required installment payment, the department may declare the amount
of the unpaid surcharge immediately due and payable.
Sec. 708.154. CREDIT CARD PAYMENT OF SURCHARGE. (a) The
department by rule may authorize the payment of a surcharge by use
of a credit card. The rules shall require the person to pay all
costs incurred by the department in connection with the acceptance
of the credit card.
(b) If a surcharge or a related cost is paid by credit card
and the amount is subsequently reversed by the issuer of the credit
card, the license of the person is automatically suspended.
(c) A license suspended under this section remains
suspended until the person pays the amount of the surcharge and any
related costs.
Sec. 708.155. CONTRACTS FOR COLLECTION OF SURCHARGES. The
department may enter into a contract with a private attorney or a
public or private vendor for the provision of services for the
collection of surcharges receivable under this chapter.
Sec. 708.156. REMITTANCE OF SURCHARGES COLLECTED TO
COMPTROLLER. Each surcharge collected by the department under this
chapter shall be remitted to the comptroller as required by Section
780.002, Health and Safety Code.
SECTION 5.02. Subtitle B, Title 9, Health and Safety Code,
is amended by adding Chapter 780 to read as follows:
CHAPTER 780. TRAUMA FACILITIES AND EMERGENCY MEDICAL SERVICES
Sec. 780.001. DEFINITIONS. In this chapter:
(1) "Account" means the designated trauma facility and
emergency medical services account established under Section
780.003.
(2) "Commissioner" means the commissioner of public
health.
(3) "Department" means the Texas Department of Health.
Sec. 780.002. DEPOSITS TO ACCOUNT. (a) On the first Monday
of each month, the Department of Public Safety shall remit the
surcharges collected during the previous month under the driver
responsibility program operated by that department under Chapter
708, Transportation Code, to the comptroller.
(b) The comptroller shall deposit 49.5 percent of the money
received under Subsection (a) to the credit of the account
established under this chapter and 49.5 percent of the money to the
general revenue fund. The remaining one percent of the amount of
the surcharges shall be deposited to the general revenue fund and
may be appropriated only to the Department of Public Safety for
administration of the driver responsibility program operated by
that department under Chapter 708, Transportation Code.
(c) Notwithstanding Subsection (b), in any state fiscal
biennium the comptroller shall deposit 49.5 percent of the
surcharges collected under Chapter 708, Transportation Code, to the
credit of the general revenue fund only until the total amount of
the surcharges deposited to the credit of the general revenue fund
under Subsection (b), and the court costs deposited to the credit of
that fund under Section 542.4031(b)(1), Transportation Code,
equals $250 million for that biennium. If in any state fiscal
biennium the amount received by the comptroller under those laws
exceeds $250 million, the comptroller shall deposit 49.5 percent of
the additional amount received under Subsection (a) to the account
established under this chapter and 49.5 percent of the additional
amount to the credit of the Texas mobility fund.
Sec. 780.003. ACCOUNT. (a) The designated trauma facility
and emergency medical services account is created as an account in
the state treasury. Money in the account may be appropriated only
to the department for the purposes described by Section 780.004.
(b) The account is composed of money deposited to the credit
of the account under Section 780.002, and the earnings of the
account.
(c) Sections 403.095 and 404.071, Government Code, do not
apply to the account.
Sec. 780.004. PAYMENTS FROM THE ACCOUNT. (a) The
commissioner, with advice and counsel from the chairpersons of the
trauma service area regional advisory councils, shall use money
appropriated from the account established under this chapter to
fund designated trauma facilities, county and regional emergency
medical services, and trauma care systems in accordance with this
section.
(b) The commissioner shall maintain a reserve of $500,000 of
money appropriated from the account for extraordinary emergencies.
(c) In any fiscal year, the commissioner shall use at least
96 percent of the money appropriated from the account, after any
amount necessary to maintain the reserve established by Subsection
(b) is deducted, to fund a portion of the uncompensated trauma care
provided at facilities designated as state trauma facilities by the
department. Funds may be disbursed under this subsection based on a
proportionate share of uncompensated trauma care provided in the
state and may be used to fund innovative projects to enhance the
delivery of patient care in the overall emergency medical services
and trauma care system.
(d) In any fiscal year, the commissioner shall use not more
than two percent of the money appropriated from the account, after
any amount necessary to maintain the reserve established by
Subsection (b) is deducted, to fund, in connection with an effort to
provide coordination with the appropriate trauma service area, the
cost of supplies, operational expenses, education and training,
equipment, vehicles, and communications systems for local
emergency medical services. The money shall be distributed on
behalf of eligible recipients in each county to the trauma service
area regional advisory council for that county. To receive a
distribution under this subsection, the regional advisory council
must be incorporated as an entity that is exempt from federal income
tax under Section 501(a), Internal Revenue Code of 1986, and its
subsequent amendments, by being listed as an exempt organization
under Section 501(c)(3) of the code. The share of the money
allocated to the eligible recipients in a county's geographic area
shall be based on the relative geographic size and population of the
county and on the relative number of emergency or trauma care runs
performed by eligible recipients in the county. Money that is not
disbursed by a regional advisory council to eligible recipients for
approved functions by the end of the fiscal year in which the funds
were disbursed shall be returned to the department to be used in
accordance with Subsection (c).
(e) In any fiscal year, the commissioner may use not more
than one percent of the money appropriated from the account, after
any amount necessary to maintain the reserve established by
Subsection (b) is deducted, for operation of the 22 trauma service
areas and for equipment, communications, and education and training
for the areas. Money distributed under this subsection shall be
distributed on behalf of eligible recipients in each county to the
trauma service area regional advisory council for that county. To
receive a distribution under this subsection, the regional advisory
council must be incorporated as an entity that is exempt from
federal income tax under Section 501(a), Internal Revenue Code of
1986, and its subsequent amendments, by being listed as an exempt
organization under Section 501(c)(3) of the code. A regional
advisory council's share of money distributed under this section
shall be based on the relative geographic size and population of
each trauma service area and on the relative amount of trauma care
provided. Money that is not disbursed by a regional advisory
council to eligible recipients for approved functions by the end of
the fiscal year in which the funds were disbursed shall be returned
to the department to be used in accordance with Subsection (c).
(f) In any fiscal year, the commissioner may use not more
than one percent of money appropriated from the account, after any
amount necessary to maintain the reserve established by Subsection
(b) is deducted, to fund the administrative costs of the bureau of
emergency management of the department associated with
administering the trauma program, the state emergency medical
services program, and the account and to fund the costs of
monitoring and providing technical assistance for those programs
and that account.
(g) In a trauma service area that includes a county with a
population of 3.3 million or more, a trauma service area regional
advisory council may enter into an agreement with a regional
council of governments to execute its responsibilities and
functions under this chapter.
Sec. 780.005. CONTROL OF EXPENDITURES FROM THE ACCOUNT.
Money distributed under Section 780.004 shall be used in compliance
with Section 780.004 on the authorization of the executive
committee of the trauma service area regional advisory council.
Sec. 780.006. LOSS OF FUNDING ELIGIBILITY. For a period of
not less than one year or more than three years, as determined by
the commissioner, the department may not disburse money under
Section 780.004 to a county, municipality, or local recipient that
the commissioner finds used money in violation of that section.
SECTION 5.03. Not later than December 1, 2004, the Texas
Department of Health shall submit to the lieutenant governor and
the speaker of the house of representatives a report concerning the
use of money under Chapter 780, Health and Safety Code, as added by
this article, and any recommended changes to law to ensure
appropriate funding and coordination of services.
ARTICLE 6. RAIL FACILITIES
SECTION 6.01. The legislature finds that:
(1) the transportation of materials, products, and
people is essential to the continued economic vitality of this
state;
(2) the state contains many industries that are
heavily dependent on rail transportation for the movement of
materials and products;
(3) the rail transportation system in some areas of
this state is adversely affected by abandonment and discontinuance
proceedings that cause the cessation of rail service to those
areas;
(4) materials and products that cannot be transported
by rail are typically transported by truck over state highways and
local roads and bridges, thereby contributing to increased
congestion and roadway maintenance costs, decreased safety for the
traveling public, and a decrease in the expected life of those
roadways;
(5) the provision of passenger rail facilities and
systems will contribute to reducing the number of persons traveling
over state highways and local roads and bridges, thereby resulting
in decreased congestion and improved safety and air quality; and
(6) it is in the interest of all citizens of this state
that rail facilities and systems be part of a comprehensive state
transportation system to provide for the most efficient and
economical movement of essential materials and products to local,
national, and export markets and to provide for improved mobility
on, and the increased reliability of, the state's transportation
system.
SECTION 6.02. Title 5, Transportation Code, is amended by
adding Subtitle A to read as follows:
SUBTITLE A. TEXAS DEPARTMENT OF TRANSPORTATION
CHAPTER 91. RAIL FACILITIES
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 91.001. DEFINITIONS. In this chapter:
(1) "Commission" means the Texas Transportation
Commission.
(2) "Construction" includes design, planning, and
preliminary studies.
(3) "Department" means the Texas Department of
Transportation.
(4) "Maintenance facility" includes:
(A) a workshop;
(B) a service, storage, security, or personnel
facility; and
(C) equipment for a facility described by
Paragraph (A) or (B).
(5) "Operation" includes policing.
(6) "Rail facility" means real or personal property,
or any interest in that property, that is determined to be necessary
or convenient for the provision of a freight or passenger rail
facility or system, including commuter rail, intercity rail, and
high-speed rail. The term includes all property or interests
necessary or convenient for the acquiring, providing, using, or
equipping of a rail facility or system, including rights-of-way,
rolling stock, trackwork, train controls, stations, and
maintenance facilities.
(7) "Revenue" includes a charge, toll, rent, payment,
user fee, franchise fee, license fee, fare, tariff, and other
consideration:
(A) received in return for the use of:
(i) a rail facility; or
(ii) a service offered in connection with
the operation of a rail facility; or
(B) resulting from a sale or conveyance of a rail
facility.
(8) "Right-of-way" means a strip of land of a length
and width determined by the commission to be required, necessary,
or convenient for the provision of a rail facility or system and the
space over, under, or on the land where trackwork is to be located.
(9) "Station" means a passenger or freight service
building, terminal, station, ticketing facility, waiting area,
platform, concession, elevator, escalator, facility for
handicapped access, access road, parking facility for passengers,
baggage handling facility, or local maintenance facility, together
with any interest in real property necessary or convenient for
those items.
(10) "Surplus revenue" means:
(A) revenue that exceeds the department's debt
service requirements, coverage requirements of any bond indenture,
costs of operation and maintenance, and cost of expansion or
improvement of a rail facility or system; and
(B) reserves and reserve funds maintained by the
department under this chapter.
(11) "Trackwork" means track, track beds, track bed
preparation, ties, rail fasteners, slabs, rails, emergency
crossovers, setout tracks, storage tracks, drains, fences,
ballast, switches, bridges, and structures.
(12) "Train controls" includes:
(A) signals, lights, and other signaling;
(B) interlocking equipment;
(C) speed monitoring equipment;
(D) braking systems;
(E) central traffic control facilities; and
(F) communication systems.
Sec. 91.002. PUBLIC PURPOSE. The following functions are
public and governmental functions, exercised for a public purpose,
and matters of public necessity:
(1) the acquisition, financing, construction,
operation, and maintenance of a rail facility under this chapter;
(2) the sale, lease, or license of a rail facility to a
rail operator and other public or private persons under this
chapter; and
(3) the exercise of any other power granted under this
chapter to the commission and the department.
Sec. 91.003. CHAPTER LIBERALLY CONSTRUED. This chapter
shall be liberally construed to effect its purposes.
Sec. 91.004. RULES. The commission may adopt rules and the
department may adopt procedures and prescribe forms necessary to
implement this chapter.
Sec. 91.005. GENERAL POWERS. The department may:
(1) plan and make policies for the location,
construction, maintenance, and operation of a rail facility or
system in this state;
(2) acquire, finance, construct, maintain, and
operate a passenger or freight rail facility, individually or as
one or more systems;
(3) for the purpose of acquiring or financing a rail
facility or system, accept a grant or loan from a:
(A) department or agency of the United States;
(B) department, agency, or political subdivision
of this state; or
(C) public or private person;
(4) contract with a public or private person to
finance, construct, maintain, or operate a rail facility under this
chapter; or
(5) perform any act necessary to the full exercise of
the department's powers under this chapter.
Sec. 91.006. RELIANCE ON PRIVATE ENTITIES. The department
shall contract with a private entity to operate a railroad using
facilities owned by the department and may not use department
employees to operate a railroad. The department may maintain a
railroad facility directly or through a private entity.
Sec. 91.007. COOPERATION OF STATE AGENCIES AND POLITICAL
SUBDIVISIONS. Within available resources, an agency or political
subdivision of this state shall cooperate with and assist the
department in exercising its powers and duties under this chapter.
Sec. 91.008. NOTIFICATION OF INTENT TO ABANDON OR
DISCONTINUE SERVICE. On receipt of notice of intent to abandon or
discontinue rail service served under 49 C.F.R. Section 1152.20, as
amended, the department shall coordinate with the governing body of
a municipality, county, or rural rail transportation district in
which all or a segment of the line is located to determine whether:
(1) the department should acquire the rail facility to
which the notice relates; or
(2) any other actions should be taken to provide for
continued rail transportation service.
[Sections 91.009–91.030 reserved for expansion]
SUBCHAPTER B. ACQUISITION AND DEVELOPMENT OF RAIL FACILITIES
Sec. 91.031. ESTABLISHMENT OF RAIL SYSTEMS. (a) If the
commission determines that the provision of rail transportation
services would be most efficiently and economically met by jointly
operating two or more rail facilities as one operational and
financial enterprise, it may create a system composed of those
facilities.
(b) The commission may create more than one system and may
combine two or more systems into one system.
(c) The department may finance, acquire, construct, and
operate additional rail facilities as additions to and expansions
of the system if the commission determines that the facility would
most efficiently and economically be acquired and constructed if it
were a part of the system and that the addition will benefit the
system.
(d) The revenue of a system shall be accounted for
separately and may not be commingled with the revenue of a rail
facility that is not part of the system.
Sec. 91.032. ACQUISITION OF RAIL FACILITIES. (a) The
commission may authorize the department to acquire an existing rail
facility at a location and on a route the commission determines to
be feasible and viable for rail transportation service.
(b) The department may enter into an agreement with the
owner of an operating railroad for the acquisition or use of a rail
facility on terms the department considers to be in the best
interest of the state.
(c) The department may acquire rolling stock or other
personal property under:
(1) conditional sales contracts;
(2) leases;
(3) equipment trust certificates; or
(4) any other form of contract or trust agreement.
Sec. 91.033. ENVIRONMENTAL REVIEW. (a) The department
shall conduct or approve all environmental evaluations or studies
required for the construction, maintenance, or operation of a rail
facility.
(b) The commission may adopt rules to allocate
responsibility for conducting an environmental evaluation or study
or preparing environmental documentation among entities involved
in the construction, maintenance, or operation of a rail facility
under this chapter.
Sec. 91.034. ENVIRONMENTAL MITIGATION. (a) The department
may acquire, maintain, hold, restore, enhance, develop, or
redevelop property for the purpose of mitigating a past, present,
or future adverse environmental effect arising from the
construction, maintenance, or operation of a rail facility without
regard to whether the need for mitigation has already been
established for a particular project.
(b) The department may contract with a governmental or
private entity to maintain, control, hold, restore, enhance,
develop, or redevelop property for the mitigation of a past,
present, or future adverse environmental effect arising from the
construction, maintenance, or operation of a rail facility without
regard to whether the need for mitigation has already been
established for a particular project.
(c) If authorized by the applicable regulatory authority,
the department may pay an amount of money to an appropriate
governmental or private entity instead of acquiring or managing
property for the mitigation of a past, present, or future adverse
environmental effect arising from construction, maintenance, or
operation of a rail facility without regard to whether the need for
mitigation has already been established for a particular project.
Sec. 91.035. USE OF FACILITIES BELONGING TO PUBLIC OR
PRIVATE ENTITY. (a) The department, for the purpose of acquiring,
constructing, maintaining, and operating freight or passenger rail
facilities and systems in this state, may:
(1) use a street, alley, road, highway, or other
public way of a municipality, county, or other political
subdivision with the consent of that political subdivision; and
(2) at the expense of the department, relocate, raise,
reroute, or change the grade of the construction of a street, alley,
highway, road, railroad, electric line and facility, telegraph and
telephone property and facility, pipeline and facility, conduit and
facility, and other properties, whether publicly or privately
owned, as necessary or useful in the construction, maintenance, and
operation of a rail facility or system.
(b) The department shall provide reasonable notice to the
owner of the applicable facility of the need for the alteration
under Subsection (a)(2) and allow that owner the opportunity to
complete or to direct the completion of the alteration. The owner
of the facility may require payment before the alteration is
completed.
Sec. 91.036. EXPENDITURE OF FUNDS. The department may
receive, accept, and expend funds from this state, a federal
agency, or other public or private source for:
(1) rail planning;
(2) studies to determine the viability of a rail
facility for rail transportation service;
(3) studies to determine the necessity for the
department's acquisition or construction of a rail facility; and
(4) the acquisition, construction, maintenance, or
operation of a rail facility under this chapter, including the
assessment and remediation of environmental contamination existing
in or on a rail facility.
Sec. 91.037. CONTRACTS WITH GOVERNMENTAL ENTITIES. This
chapter does not apply to real or personal property, operations, or
construction, or to a project plan of a transportation authority
created under Subchapter O, Chapter 452, or an authority created
under Chapter 451, the principal municipality of which has a
population of 1.5 million or more, unless the commission or its
designee has signed a written agreement with the transportation
authority specifying the terms and conditions under which the
transportation authority may participate.
[Sections 91.038–91.050 reserved for expansion]
SUBCHAPTER C. CONTRACTS
Sec. 91.051. AWARDING OF CONTRACTS. Unless otherwise
provided by this subchapter, a contract made by the department for
the construction, maintenance, or operation of a rail facility must
be let by a competitive bidding procedure in which the contract is
awarded to the lowest responsible bidder that complies with the
department's criteria.
Sec. 91.052. AGREEMENTS TO CONSTRUCT, MAINTAIN, AND OPERATE
RAIL FACILITIES. The department may enter into an agreement with a
public entity, including a political subdivision of this state, to
permit the entity, independently or jointly with the department, to
acquire, construct, maintain, or operate a rail facility or system.
Sec. 91.053. EXCLUSIVE DEVELOPMENT AGREEMENTS. (a) The
department may enter into an exclusive development agreement with a
private entity to construct, maintain, or operate a rail facility
or system. An exclusive development agreement may provide for:
(1) the lease of rights-of-way, the granting of
easements, or the issuance of franchises, concessions, licences, or
permits that are necessary to enable a private entity to construct,
maintain, or operate a rail facility or system; or
(2) the design, construction, maintenance, and
operation of a rail facility in any combination.
(b) The department, when contracting with a private entity
under this section, shall use a competitive procurement process
that provides the best value for the department, including
contracting through the issuance of requests for proposals. The
department shall publish in the request for bids, proposals, or
qualifications the criteria that will be used to evaluate the
bidders and the relative weight given to the criteria. The
department may accept unsolicited proposals for proposed projects
provided that the department issues a request for competing
proposals for those proposed projects accepted for further
evaluation. The department may require that a solicited or
unsolicited proposal be accompanied by a nonrefundable fee
sufficient to cover the department's cost to review the proposal.
(c) The department has broad discretion to negotiate
provisions in an exclusive development agreement with a private
entity. The provisions may relate to:
(1) professional and consulting services to be
rendered in connection with a rail facility or system; and
(2) the construction, maintenance, and operation of a
rail facility or system, including provisions for combining those
services.
(d) The department may authorize the investment of public
and private money, including debt and equity participation, to
finance a function described by this section.
(e) The department shall prescribe the form of an exclusive
development agreement and may include any matter the department
considers advantageous to the state.
(f) Section 91.051 does not apply to an agreement entered
into under this section.
Sec. 91.054. PAYMENT FOR WORK PRODUCT. (a) The department
may pay an unsuccessful private entity that submits a response to a
request for proposals a stipulated amount of the final contract
price for costs incurred in preparing that proposal. The
stipulated amount must be stated in the request for proposals and
may not exceed the value of any work product contained in the
proposal that can, as determined by the department, be used by the
department in the performance of its functions.
(b) After payment of the stipulated amount, the department
may make use of any work product contained in the proposal,
including the work product contained in the project design.
Sec. 91.055. LIABILITY FOR PRIVATE OBLIGATIONS. The
department may not incur a financial obligation on behalf of, or
otherwise guarantee the obligations of, a private entity that
constructs, maintains, or operates a rail facility or system.
Sec. 91.056. INFORMATION RELATED TO PROPOSALS. Until a
final contract is executed with respect to a proposed project, the
following information is confidential, is not subject to
disclosure, inspection, or copying under Chapter 552, Government
Code, and is not subject to disclosure, discovery, subpoena, or
other means of legal compulsion for its release:
(1) all or any part of a proposal submitted by a
private entity for a project under an exclusive development
agreement;
(2) any supplemental information or materials
submitted by a private entity in connection with a proposal for a
project under an exclusive development agreement; and
(3) any information created or collected by the
department or its agents during consideration of a proposal for a
project under an exclusive development agreement.
Sec. 91.057. PERFORMANCE AND PAYMENT SECURITY. (a)
Notwithstanding the requirements of Subchapter B, Chapter 2253,
Government Code, the department shall require a private entity
entering into an exclusive development agreement under Section
91.053 to provide performance and payment bonds or alternative
forms of security in an amount sufficient to:
(1) adequately protect the department and ensure the
proper performance of the agreement; and
(2) protect payment bond beneficiaries who have a
direct contractual relationship with the private entity or a
subcontractor of the private entity to supply labor or material.
(b) The performance and payment bonds or alternative forms
of security shall be in an amount equal to the cost of constructing
the project unless the department determines that it is
impracticable for the private entity to provide security in that
amount, in which case the department shall set the amount of the
bonds or the alternative forms of security. The amount of the
payment security may not be less than the amount of the performance
security.
(c) A payment and performance bond or alternative form of
security is not required for the portion of an agreement that
includes only design or planning services, the performance of
preliminary studies, or the acquisition of real property.
(d) In addition to performance and payment bonds, the
department may require the following alternative forms of security:
(1) a cashier's check drawn on a financial entity
specified by the department;
(2) United States bonds or notes;
(3) an irrevocable bank letter of credit; or
(4) any other form of security determined suitable by
the department.
(e) The commission by rule shall prescribe requirements for
alternative forms of security provided under this section.
Sec. 91.058. SMALL AND DISADVANTAGED BUSINESSES. (a) The
department shall:
(1) set goals for the award of contracts to small and
disadvantaged businesses and attempt to meet the goals;
(2) attempt to identify small and disadvantaged
businesses that provide or have the potential to provide supplies,
materials, equipment, or services to the department; and
(3) give small and disadvantaged businesses full
access to the department's contract bidding process and other
contracting processes, inform the businesses about those
processes, offer the businesses assistance concerning those
processes, and identify barriers to the businesses' participation
in those processes.
(b) This section does not exempt the department from
competitive bidding requirements imposed by other law.
[Sections 91.059–91.070 reserved for expansion]
SUBCHAPTER D. FINANCING OF RAIL FACILITIES
Sec. 91.071. PERMISSIBLE SOURCES OF FUNDING. The
department may use any 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.
Sec. 91.072. REVENUE BONDS. (a) The commission may
authorize the issuance of bonds to:
(1) pay all or part of the cost of acquiring,
constructing, maintaining, or operating a rail facility or system;
or
(2) refund any bonds previously issued for the
facility or system.
(b) Chapters 1201, 1202, 1204, 1207, and 1371, Government
Code, apply to bonds issued by the commission. To the extent there
is a conflict between those laws and this chapter, the provisions of
this chapter prevail.
Sec. 91.073. PAYMENT OF BONDS. The principal of, interest
on, and any redemption premium on bonds issued by the commission
under this chapter are payable solely from:
(1) the revenue of the rail facility or system for
which the bonds are issued, including revenue pledged to pay the
bonds;
(2) money received under Section 91.075;
(3) money derived from any other source available to
the department under this chapter, other than money derived from a
rail facility that is not part of the same system, except that
surplus revenue derived from one rail facility or system may be used
for another; and
(4) amounts received under a credit agreement relating
to the rail facility or system for which the bonds are issued.
Sec. 91.074. STATE CREDIT NOT PLEDGED. (a) Bonds issued
under this chapter do not constitute a debt of the state or a pledge
of the faith and credit of the state. Each bond must contain on its
face a statement to the effect that the state is not obligated to
pay the bond or the interest on the bond from a source other than the
amount pledged to pay the bond and the interest on the bond, and
neither the faith and credit nor taxing power of the state is
pledged to the payment of the principal of or interest on the bond.
(b) The commission and the department may not incur
financial obligations under this chapter that cannot be paid from
revenue derived from owning or operating the department's rail
facilities and systems and from other revenue provided by law.
Sec. 91.075. GRANTS AND LOANS. The department may apply
for, accept, and expend money from grants, loans, or reimbursements
for any purpose of this chapter, including paying for the cost of
the acquisition, construction, maintenance, and operation of a rail
facility or system.
Sec. 91.076. REVENUE. (a) The department may require a
person, including any public or private entity, to pay a fee as a
condition of using any part of a rail facility or system. A fee may
not be required in connection with the placement, maintenance, or
other use of a utility facility.
(b) The department shall establish and maintain rents or
other compensation for the use of rail facilities or systems in an
amount that is, together with other revenue of the department
received under this chapter, sufficient to enable the department to
comply with the requirements of Section 91.073.
(c) The department may contract with a person for the use of
all or part of a rail facility or system or may lease or sell all or
part of a rail facility or system, including all or any part of the
right-of-way adjoining trackwork, for any purpose, including
placing on the adjoining right-of-way a storage or transfer
facility, warehouse, garage, parking facility, telecommunication
line or facility, restaurant, or gas station.
(d) All revenue received by the department under this
chapter:
(1) shall be deposited to the credit of the state
highway fund and may be used for any purpose authorized by this
chapter; and
(2) is exempt from the application of Section 403.095,
Government Code.
[Sections 91.077–91.090 reserved for expansion]
SUBCHAPTER E. ACQUISITION AND DISPOSAL OF PROPERTY
Sec. 91.091. ACQUISITION OF REAL PROPERTY. (a) The
commission may authorize the department to acquire in the name of
the state a right-of-way, a property right, or other interest in
real property determined to be necessary or convenient for the
department's acquisition, construction, maintenance, or operation
of rail facilities.
(b) The commission may authorize the department to acquire
property by any method, including purchase and condemnation.
Property may be purchased under any terms determined by the
department to be in the best interest of the state.
(c) Property may be purchased along alternative potential
routes for a rail facility even if only one of those potential
routes will ultimately be chosen as the final route.
Sec. 91.092. PROPERTY NECESSARY OR CONVENIENT FOR RAIL
FACILITIES. Property necessary or convenient for the department's
acquisition, construction, maintenance, or operation of rail
facilities includes an interest in real property or a property
right the commission determines is necessary or convenient to
provide:
(1) right-of-way for a location for:
(A) a rail facility; or
(B) the future expansion of a rail facility;
(2) land for mitigation of adverse environmental
effects;
(3) buffer zones for scenic or safety purposes; and
(4) revenue for use in acquiring, constructing,
maintaining, or operating a rail facility or system, including
revenue received under a contract described by Section 91.076(c).
Sec. 91.093. RIGHT OF ENTRY. (a) To acquire property
necessary or convenient for a rail facility, the department may
enter any premises or real property, including a body of water, to
make a survey, geotechnical evaluation, sounding, or examination.
(b) An entry under Subsection (a) is not:
(1) a trespass; or
(2) an entry under a pending condemnation procedure.
(c) The department shall make reimbursements for actual
damages that result from an entry under Subsection (a).
Sec. 91.094. CONVEYANCE OF PROPERTY BELONGING TO POLITICAL
SUBDIVISION OR PUBLIC AGENCY. The governing body of a
municipality, county, political subdivision, or public agency may,
without advertisement, convey the title to or a right in property
determined to be necessary or convenient by the department under
this subchapter.
Sec. 91.095. DISPOSAL OF PROPERTY. The department may
sell, convey, or otherwise dispose of any rights or other interests
in real property acquired under this subchapter that the commission
determines are no longer needed for department purposes.
[Sections 91.096–91.100 reserved for expansion]
SUBCHAPTER F. OPERATION AND USE OF RAIL FACILITIES
Sec. 91.101. CONTRACTS FOR RAIL TRANSPORTATION
SERVICES. The department may contract with a county or other
political subdivision of the state for the department to provide
rail transportation services on terms agreed to by the parties.
Sec. 91.102. CONTRACTS WITH RAIL OPERATORS. (a) The
department may lease all or part of a rail facility or system to a
rail operator. The department may contract with a rail operator for
the use or operation of all or part of a rail facility or system.
(b) The department shall encourage to the maximum extent
practical the participation of private enterprise in the operation
of rail facilities and systems.
(c) A lease agreement shall provide for the department's
monitoring of a rail operator's service and performance.
(d) The department may enter into an agreement with a rail
operator to sell all or any part of state-owned rail facilities on
terms the department considers to be in the best interest of the
state.
Sec. 91.103. JOINT USE OF RAIL FACILITIES. The department
may:
(1) enter into an agreement with a rail operator,
public utility, private utility, communication system, common
carrier, or transportation system for the common use of its
facilities, installations, or properties; and
(2) establish through routes, joint fares, and,
subject to approval of a tariff-regulating body having
jurisdiction, divisions of tariffs.
Sec. 91.104. ROUTINGS. The department may determine
routings for rail facilities acquired, constructed, or operated by
the department under this chapter.
Sec. 91.105. PLACEMENT OF UTILITY FACILITIES, LINES, AND
EQUIPMENT. (a) A utility has the same right to place its
facilities, lines, or equipment in, over, or across right-of-way
that is part of a state-owned rail facility as the utility has with
respect to the right-of-way of a state highway under Chapter 181,
Utilities Code. A utility shall notify the department of the
utility's intention to exercise authority over right-of-way that is
part of state-owned rail facilities.
(b) On receipt of notice under Subsection (a), the
department may designate the location in the right-of-way where the
utility may place its facilities, lines, or equipment.
(c) The department may require a utility to relocate the
utility's facilities, lines, or equipment, if the department
considers the relocation to be necessary. The department shall pay
for any relocation, raising, rerouting, changing, or altering of a
facility, line, or equipment under this section unless otherwise
agreed to in writing by the interested persons. If a utility
facility is replaced, the cost of replacement is limited to an
amount equal to the cost of replacing the facility with a comparable
facility, less the net salvage value of the replaced facility.
(d) A utility may use and operate a facility required to be
relocated under this section at the new location for the same period
and on the same terms as the utility had the right to do at the
previous location of the facility.
SECTION 6.03. Section 25.07(b), Tax Code, is amended to
read as follows:
(b) Except as provided by Subsections (b) and (c) of Section
11.11 of this code, a leasehold or other possessory interest in
exempt property may not be listed if:
(1) the property is permanent university fund land;
(2) the property is county public school fund
agricultural land;
(3) the property is a part of a public transportation
facility owned by an incorporated city or town or rural rail
transportation district and:
(A) is an airport passenger terminal building or
a building used primarily for maintenance of aircraft or other
aircraft services, for aircraft equipment storage, or for air
cargo;
(B) is an airport fueling system facility;
(C) is in a foreign-trade zone:
(i) that has been granted to a joint airport
board under Chapter 129, Acts of the 65th Legislature, Regular
Session, 1977 (Article 1446.8, Vernon's Texas Civil Statutes);
(ii) the area of which in the portion of the
zone located in the airport operated by the joint airport board does
not exceed 2,500 acres; and
(iii) that is established and operating
pursuant to federal law; or
(D)(i) is in a foreign trade zone established
pursuant to federal law after June 1, 1991, which operates pursuant
to federal law;
(ii) is contiguous to or has access via a
taxiway to an airport located in two counties, one of which has a
population of 500,000 or more according to the federal decennial
census most recently preceding the establishment of the foreign
trade zone; and
(iii) is owned, directly or through a
corporation organized under the Development Corporation Act of 1979
(Article 5190.6, Vernon's Texas Civil Statutes), by the same
incorporated city or town which owns the airport;
(4) the interest is in a part of:
(A) a park, market, fairground, or similar public
facility that is owned by an incorporated city or town; or
(B) a convention center, visitor center, sports
facility with permanent seating, concert hall, arena, or stadium
that is owned by an incorporated city or town as such leasehold or
possessory interest serves a governmental, municipal, or public
purpose or function when the facility is open to the public,
regardless of whether a fee is charged for admission;
(5) the interest involves only the right to use the
property for grazing or other agricultural purposes;
(6) the property is owned by the Texas National
Research Laboratory Commission or by a corporation formed by the
Texas National Research Laboratory Commission under Section
465.008(g), Government Code, and is used or is useful in connection
with an eligible undertaking as defined by Section 465.021,
Government Code; or
(7) the property is:
(A) owned by a municipality, a public port, or a
navigation district created or operating under Section 59, Article
XVI, Texas Constitution, or under a statute enacted under Section
59, Article XVI, Texas Constitution; and
(B) used as an aid or facility incidental to or
useful in the operation or development of a port or waterway or in
aid of navigation-related commerce.
SECTION 6.04. Section 2, Chapter 1244, Acts of the 77th
Legislature, Regular Session, 2001 (Article 6550c-2, Vernon's
Texas Civil Statutes), is repealed.
SECTION 6.05. This article takes effect immediately if this
Act 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 article takes effect September 1, 2003.
ARTICLE 7. DISPOSITION OF DEPARTMENT OF PUBLIC SAFETY FEES
SECTION 7.01. Subchapter C, Chapter 521, Transportation
Code, is amended by adding Section 521.058 to read as follows:
Sec. 521.058. DISPOSITION OF FEES. Each fee collected
under this subchapter shall be deposited to the credit of the Texas
mobility fund.
SECTION 7.02. Section 521.313, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) Each fee collected under this section shall be deposited
to the credit of the Texas mobility fund.
SECTION 7.03. Section 521.3466, Transportation Code, is
amended by adding Subsection (e) to read as follows:
(e) Each fee collected under this section shall be deposited
to the credit of the Texas mobility fund.
SECTION 7.04. Subchapter R, Chapter 521, Transportation
Code, is amended by adding Section 521.427 to read as follows:
Sec. 521.427. DISPOSITION OF FEES. (a) Except as provided
by Subsections (b) and (c), each fee collected under this
subchapter shall be deposited to the credit of the Texas mobility
fund.
(b) Subsection (a) does not apply to:
(1) the portion of a fee collected under Section
521.421(b) or Section 521.421(f), as added by Chapter 1156, Acts of
the 75th Legislature, Regular Session, 1997, that is required by
Section 662.011 to be deposited to the credit of the motorcycle
education fund account;
(2) a fee collected under Section 521.421(f), as added
by Chapter 510, Acts of the 75th Legislature, Regular Session,
1997;
(3) a fee collected under Section 521.421(g); or
(4) a fee collected under Section 521.422(b) or (c).
(c) The first $90,500,254 of fees to which Subsection (a)
applies that are collected during the state fiscal biennium ending
August 31, 2005, shall be deposited to the credit of the general
revenue fund. This subsection expires September 1, 2005.
SECTION 7.05. Section 522.029, Transportation Code, is
amended by adding Subsection (i) to read as follows:
(i) Except as provided by Section 662.011, each fee
collected under this section shall be deposited to the credit of the
Texas mobility fund.
SECTION 7.06. Section 524.051, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) Each fee collected under this section shall be deposited
to the credit of the Texas mobility fund.
SECTION 7.07. Subchapter H, Chapter 548, Transportation
Code, is amended by adding Section 548.508 to read as follows:
Sec. 548.508. DISPOSITION OF FEES. Except as provided by
Section 382.0622, Health and Safety Code, and Section 548.5055,
each fee collected by the department under this subchapter shall be
deposited to the credit of the Texas mobility fund.
SECTION 7.08. Section 644.153, Transportation Code, is
amended by adding Subsection (i) to read as follows:
(i) Each penalty collected under this section shall be
deposited to the credit of the Texas mobility fund.
SECTION 7.09. Section 724.046, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) Each fee collected under this section shall be deposited
to the credit of the Texas mobility fund.
SECTION 7.10. Section 521.055(d), Transportation Code, is
repealed.
SECTION 7.11. This article applies only to a fee or penalty
collected on or after the effective date of this Act.
ARTICLE 8. ISSUANCE OF BONDS AND OTHER PUBLIC SECURITIES
SECTION 8.01. Subchapter A, Chapter 222, Transportation
Code, is amended by adding Section 222.003 to read as follows:
Sec. 222.003. ISSUANCE OF BONDS SECURED BY STATE HIGHWAY
FUND. (a) The commission may issue bonds and other public
securities secured by a pledge of and payable from revenue
deposited to the credit of the state highway fund.
(b) The aggregate principal amount of the bonds and other
public securities that are issued may not exceed $2 billion. The
commission may only issue bonds or other public securities in an
aggregate principal amount of not more than $1 billion each year.
(c) Proceeds from the sale of bonds and other public
securities issued under this section shall be used to fund state
highway improvement projects. Proceeds may be used only to fund
projects that, as determined by the commission:
(1) allow the department to draw down additional
federal-aid highway funds;
(2) are eligible for expedited contracting under
Subchapter C, Chapter 223;
(3) facilitate, for the purpose of reducing
unemployment or underemployment, the retention of businesses in
this state or the ability to provide an incentive for new businesses
to locate in this state; or
(4) reduce accidents or correct or improve hazardous
locations on the state highway system.
(d) Of the aggregate principal amount of bonds and other
public securities that may be issued under this section, the
commission shall issue bonds or other public securities in an
aggregate principal amount of $500 million to fund projects
eligible under Subsection (c)(4). The commission by rule shall
prescribe criteria for selecting projects eligible for funding
under this section. In establishing criteria for projects eligible
under Subsection (c)(4), the commission shall consider accident
data, traffic volume, pavement geometry, and other conditions that
can create or exacerbate hazardous roadway conditions.
(e) The proceeds of bonds and other public securities issued
under this section may not be used for any purpose other than any
costs related to the bonds and other public securities and the
purposes for which revenues are dedicated under Section 7-a,
Article VIII, Texas Constitution. The proceeds of bonds and other
public securities issued under this section may not be used for the
construction of a state highway or other facility on the
Trans-Texas Corridor. For purposes of this section, the
"Trans-Texas Corridor" means the statewide system of multimodal
facilities under the jurisdiction of the department that is
designated by the commission, notwithstanding the name given to
that corridor.
(f) The commission may enter into bond enhancement
agreements relating to the bonds and other public securities
authorized by this section. The agreements may be secured by and
payable from the same sources as the bonds and other public
securities.
(g) All laws affecting the issuance of bonds and other
public securities by governmental entities, including Chapters
1201, 1202, 1204, 1207, 1231, and 1371, Government Code, apply to
the issuing of bonds and other public securities and the entering
into of bond enhancement agreements under this section.
(h) The proceeds of bonds and other public securities issued
under this section may be used to:
(1) finance other funds relating to the public
security, including debt service reserve and contingency; and
(2) pay the cost or expense of the issuance of the
public security.
(i) Bonds and other public securities and bond enhancement
agreements authorized by this section may not have a principal
amount or terms that, at the time the bonds or other public
securities are issued or the agreements entered into, are expected
by the commission to cause annual expenditures with respect to the
obligations to exceed 10 percent of the amount deposited to the
credit of the state highway fund in the immediately preceding year.
(j) Bonds and other public securities issued under this
section may be sold in such manner and subject to such terms and
provisions as set forth in the order authorizing their issuance,
and such bonds and other public securities must mature not later
than 20 years after their dates of issuance, subject to any
refundings or renewals.
(k) The comptroller shall withdraw from the state highway
fund and forward at the direction of the commission to another
person the amounts as determined by the commission to permit timely
payment of:
(1) the principal of and interest on the bonds and
other public securities that mature or become due; and
(2) any cost related to the bonds and other public
securities that become due, including payments under bond
enhancement agreements.
SECTION 8.02. This article takes effect on the date on which
the constitutional amendment proposed by the 78th Legislature,
Regular Session, 2003, that authorizes the legislature to provide
for the issuance of bonds and other public securities secured by the
state highway fund for highway improvement projects takes effect.
If that amendment is not approved by the voters, this article has no
effect.
ARTICLE 9. PASS-THROUGH TOLLS
SECTION 9.01. Subchapter E, Chapter 222, Transportation
Code, is amended by adding Section 222.104 to read as follows:
Sec. 222.104. PASS-THROUGH TOLLS. (a) In this section,
"pass-through toll" means a per vehicle fee or a per vehicle mile
fee that is determined by the number of vehicles using a highway.
(b) The department may enter into an agreement with a public
or private entity that provides for the payment of pass-through
tolls to the public or private entity as reimbursement for the
construction, maintenance, or operation of a toll or nontoll
facility on the state highway system by the public or private
entity.
(c) The department may enter into an agreement with a public
or private entity that provides for the payment of pass-through
tolls to the department as reimbursement for the department's
construction, maintenance, or operation of a toll or nontoll
facility on the state highway system that is financed by the public
or private entity.
(d) The department may enter into an agreement with a
regional mobility authority, a regional tollway authority, or a
county acting under Chapter 284 that provides for:
(1) the payment of pass-through tolls to the authority
or county as compensation for the payment of all or a portion of the
costs of maintaining a state highway or a portion of a state highway
converted to a toll facility of the authority or county that the
department estimates it would have incurred if the highway had not
been converted; or
(2) the payment by an authority or county of
pass-through tolls to the department as reimbursement for all or a
portion of the costs incurred by the department to design,
construct, and maintain a state highway or a portion of a state
highway converted to a toll facility of the authority or county.
(e) The department or other public entity may use any
available funds for the purpose of making a pass-through toll
payment under this section.
(f) The commission may adopt rules necessary to implement
this section. Rules adopted under this subsection may establish
criteria for:
(1) determining the amount of pass-through tolls to be
paid under this section; and
(2) allocating the risk that traffic volume will be
higher or lower than the parties to an agreement under this section
anticipated in entering the agreement.
(g) Money received by the department under this section
shall be deposited to the credit of the state highway fund and is
exempt from the application of Section 403.095, Government Code.
SECTION 9.02. This article takes effect immediately if this
Act 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 article takes effect September 1, 2003.
ARTICLE 10. TEXAS TURNPIKE AUTHORITY
SECTION 10.01. Section 201.112(a), Transportation Code, is
amended to read as follows:
(a) The commission may by rule establish procedures for the
informal resolution of a claim arising out of a contract or
agreement described by:
(1) Section 22.018;
(2) Subchapter N;
(3) Chapter 223;
(4) Chapter 361; or
(5) [(3)] Chapter 2254, Government Code.
SECTION 10.02. This article takes effect immediately if
this Act 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 article takes effect September 1, 2003.
ARTICLE 11. PROPERTY TRANSFER
SECTION 11.01. Section 201.103, Transportation Code, is
amended to read as follows:
Sec. 201.103. COMPREHENSIVE SYSTEM OF HIGHWAYS AND ROADS.
(a) The commission shall plan and make policies for the location,
construction, and maintenance of a comprehensive system of state
highways and public roads.
(b) The commission shall designate as part of the state
highway system a highway that it determines is necessary for the
proper development and operation of the system. The commission may
remove a segment of the state highway system that it determines is
not needed for the system. In planning and making policies, the
commission shall consider, for incorporation into the state highway
system, turnpikes that other governmental or private entities are
authorized to construct.
(c) The commission biennially shall submit a report of its
work to the governor and the legislature. The report must include
the recommendations of the commission and of the director.
(d) [(b)] The director, under the direction and with the
approval of the commission, shall prepare a comprehensive plan
providing a system of state highways.
SECTION 11.02. Section 202.021, Transportation Code, is
amended to read as follows:
Sec. 202.021. REAL PROPERTY NO LONGER NEEDED. (a) The
commission may recommend to the governor the sale or transfer of any
interest in real property, including a highway right-of-way, that:
(1) was acquired for a highway purpose; and
(2) as determined by the commission, is no longer
needed for a state highway [that] purpose.
(b) Except as provided by Subsection (c), real property
shall be transferred or sold with the following priorities:
(1) to a governmental entity that has the authority to
condemn the property; or
(2) to the general public.
(c) A highway right-of-way [that is sold] shall be
transferred or sold with the following priorities:
(1) to a governmental entity with the authority to
condemn the property;
(2) to abutting or adjoining landowners; or
(3) [(2)] to the general public.
(d) [(c)] The commission shall:
(1) determine the fair value of the state's interest in
the real property; and
(2) if the value is $10,000 or more, advise the
governor of the value.
(e) The commission may waive payment for real property
transferred to a governmental entity under this section if the
estimated cost of future maintenance on the property equals or
exceeds the fair value of the property.
(f) Any revenue [(d) Revenue] from the sale of property
under this subchapter shall be deposited to the credit of the state
highway fund.
(g) [(e)] The governor may execute a deed conveying the
state's interest in the property.
(h) If the commission determines that the value of the real
property is less than $10,000, it may authorize the executive
director to execute a deed conveying the state's interest in the
property without a recommendation to the governor.
SECTION 11.03. Section 202.030(a), Transportation Code, is
amended to read as follows:
(a) The attorney general must approve a transfer or
conveyance that is made under this subchapter if the value of the
real property transferred or conveyed is $10,000 or more.
SECTION 11.04. Subchapter B, Chapter 202, Transportation
Code, is amended by adding Section 202.033 to read as follows:
Sec. 202.033. TRANSFER OF HISTORIC BRIDGE. (a) In this
section, "historic bridge" means a bridge that is included on or
eligible to be included on the National Register of Historic
Places.
(b) The department may transfer ownership of a historic
bridge scheduled for replacement to a governmental entity or a
responsible private entity. The entity that accepts ownership of
the bridge:
(1) assumes all legal and financial responsibility for
the bridge; and
(2) must maintain and preserve the bridge and its
historic features.
(c) The following laws do not apply to a transfer under this
section:
(1) Chapter 2175, Government Code;
(2) Section 202.030(a); and
(3) Section 202.031.
SECTION 11.05. This article takes effect immediately if
this Act 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 article takes effect September 1, 2003.
ARTICLE 12. CONVERSION OF NONTOLL STATE HIGHWAY
SECTION 12.01. Subchapter A, Chapter 284, Transportation
Code, is amended by adding Section 284.009 to read as follows:
Sec. 284.009. CONVEYANCE OF STATE HIGHWAY TO COUNTY. (a)
The commission may convey a nontoll state highway or a segment of a
nontoll state highway, including real property acquired to
construct or operate the highway, to a county for operation and
maintenance as a project under this chapter if:
(1) the commission determines that the proposed
conveyance will improve overall mobility in the region or is the
most feasible and economic means of accomplishing necessary
improvements to the highway;
(2) any funds paid by the department for the
construction, maintenance, and operation of the conveyed highway
are repaid to the department; and
(3) the county agrees to assume all liability and
responsibility for the maintenance and operation of the conveyed
highway on its conveyance.
(b) A county that receives a nontoll state highway or a
segment of a nontoll state highway under Subsection (a) may own,
operate, and maintain the highway as a pooled project under Section
284.065.
(c) The commission shall, at the time of a conveyance,
remove the highway or segment of highway from the state highway
system. After a conveyance, the department has no liability,
responsibility, or duty for the maintenance or operation of the
highway or segment.
(d) The commission may waive all or a portion of an amount
due under Subsection (a)(2) if it finds that the conveyance will
result in substantial net benefits to the state, the department,
and the traveling public that equal or exceed the amount of payment
waived.
(e) Before conveying a nontoll state highway or a segment of
a nontoll state highway under this section, the commission shall
conduct a public hearing to receive comments from interested
persons concerning the proposed conveyance. Notice of the hearing
shall be published in the Texas Register and in one or more
newspapers of general circulation in any county in which the
highway or segment is located.
(f) A county may use toll revenue collected under this
section to fund a transportation project or an air quality project.
(g) The commission shall adopt rules implementing this
section, including criteria and guidelines for approval of a
conveyance of a highway or segment.
(h) Funds received by the department under this section:
(1) shall be deposited to the credit of the state
highway fund; and
(2) are exempt from the application of Section
403.095, Government Code.
(i) In this section:
(1) "Air quality project" means a project or program
of a county or another governmental entity that the county
determines will mitigate or prevent air pollution caused by the
construction, maintenance, or use of public roads within the
county.
(2) "Transportation project" means the construction,
improvement, maintenance, or operation of a transportation
facility:
(A) under the jurisdiction of a county or another
governmental entity;
(B) located inside or outside the county; and
(C) that the county determines will improve
mobility within the county.
SECTION 12.02. Section 362.0041, Transportation Code, is
amended by amending Subsections (a), (c), and (d) and adding
Subsections (e)-(h) to read as follows:
(a) Except as provided in Subsections [Subsection] (d) and
(g), [if] the commission may by order convert [finds that the
conversion of] a segment of the free state highway system to a toll
facility if it determines that the conversion will improve overall
mobility in the region or is the most feasible and economic means to
accomplish necessary [expansion] improvements[, or extensions] to
that segment or to another segment of the state highway system[,
that segment may be converted by order of the commission to a
turnpike project under Chapter 361].
(c) The commission shall adopt rules implementing this
section, including [such rules to include] criteria and guidelines
for the approval of a conversion of a highway.
(d) The commission may not convert the Queen Isabella
Causeway in Cameron County to a toll facility [turnpike project].
(e) Subchapter G, Chapter 361, applies to a highway
converted to a toll facility under this section.
(f) Toll revenue collected under this section:
(1) shall be deposited in the state highway fund;
(2) may be used by the department for any function
performed by the department or to fund an air quality project; and
(3) is exempt from the application of Section 403.095,
Government Code.
(g) The commission may not convert a segment of the state
highway system under this section unless it obtains the approval of
the metropolitan planning organization within whose boundaries the
segment is located.
(h) In this section, "air quality project" means a project
or program of the department or another governmental entity that
the commission determines will mitigate or prevent air pollution
caused by the construction, maintenance, or use of public roads.
SECTION 12.03. Section 366.035, Transportation Code, is
amended to read as follows:
Sec. 366.035. CONVEYANCE [CONVERSION] OF STATE HIGHWAY
[SYSTEM PROJECTS]. (a) The commission may convey a nontoll state
highway or a segment of a nontoll state highway, including real
property acquired to construct or operate the highway, to an
authority for operation and maintenance as a turnpike project under
this chapter if:
(1) the commission determines that the proposed
conveyance will improve overall mobility in the region or is the
most feasible and economic means to accomplish necessary
improvements to the highway;
(2) any funds paid by the department for the
construction, maintenance, and operation of the conveyed highway
are repaid to the department; and
(3) the authority agrees to assume all liability and
responsibility for the maintenance and operation of the conveyed
highway on its conveyance.
(b) [Except as provided under Subsection (g), if the
commission determines that the most feasible and economic means to
accomplish necessary expansion, improvements, or extensions to the
state highway system is the conversion to a turnpike project of a
segment of the free state highway system, any segment located in a
county of an authority or a county in which an authority operates a
turnpike project or in any county adjacent to those counties may, on
approval of the governor and the affected authority, be transferred
by order of the commission to that authority.] An authority that
receives the segment or [of] highway may own, operate, and maintain
the segment or highway as a turnpike project or system or a part of a
turnpike project or system under this chapter.
(c) The commission may waive all or a portion of an amount
due under Subsection (a)(2) if it finds that the conveyance will
result in substantial net benefits to the state, the department,
and the traveling public that equal or exceed the amount of payment
waived.
(d) [(b) An authority shall reimburse the commission for
the cost of a transferred highway, unless the commission determines
that the transfer will result in substantial net benefits to the
state, the department, and the traveling public that exceed that
cost. The cost includes the total amount expended by the department
for the original construction of the highway, including all costs
associated with the preliminary engineering and design engineering
for plans, specifications, and estimates, the acquisition of
necessary rights-of-way, and actual construction of the highway and
all necessary appurtenant facilities. Costs anticipated to be
expended to expand, improve, or extend the highway shall be
deducted from the costs to be reimbursed to the commission.
[(c)] The commission shall, at the time of a conveyance
[transfer], remove the segment or [of] highway from the state
highway system. After a conveyance, [transfer] the commission has
no liability, responsibility, or duty for the maintenance or
operation of the segment or highway.
(e) [(d)] Before conveying [transferring] a segment or [of
the state] highway [system] under this section, the commission
shall conduct a public hearing to receive comments from interested
persons concerning the proposed conveyance [transfer]. Notice of
the hearing must be published in the Texas Register, one or more
newspapers of general circulation in the counties in which the
segment or highway is located, and a newspaper, if any, published in
the counties of the applicable authority.
(f) An authority may use toll revenue collected under this
section to fund a transportation project or an air quality project.
(g) [(e)] The commission shall adopt rules implementing
this section. The rules shall include criteria and guidelines for
the approval of a conveyance [transfer] of a highway.
(h) [(f)] An authority shall adopt rules providing criteria
and guidelines for approving the acceptance of a highway under this
section.
(i) [(g)] The commission may not transfer the Queen
Isabella Causeway in Cameron County to an authority under this
section.
(j) Funds received by the department under this section:
(1) shall be deposited to the credit of the state
highway fund; and
(2) are exempt from the application of Section
403.095, Government Code.
(k) In this section:
(1) "Air quality project" means a project or program
of an authority or another governmental entity that the authority
determines will mitigate or prevent air pollution caused by the
construction, maintenance, or use of public roads within the
counties of the authority.
(2) "Transportation project" means the construction,
improvement, maintenance, or operation of a transportation
facility:
(A) under the jurisdiction of an authority or
another governmental entity;
(B) located inside or outside the counties of the
authority; and
(C) that the authority determines will improve
mobility within the counties of the authority.
ARTICLE 13. TRANSFER OF POWER AND AUTHORITY OVER RAILROADS
SECTION 13.01. Article 6445, Revised Statutes, is amended
to read as follows:
Art. 6445. POWER AND AUTHORITY. (a) Power and authority
are hereby conferred upon the Texas Department of Transportation
[Railroad Commission of Texas] over all railroads, and suburban,
belt and terminal railroads, and over all public wharves, docks,
piers, elevators, warehouses, sheds, tracks and other property used
in connection therewith in this State, and over all persons,
associations and corporations, private or municipal, owning or
operating such railroad, wharf, dock, pier, elevator, warehouse,
shed, track or other property to fix, and it is hereby made the duty
of the said department [Commission] to adopt all necessary rates,
charges and regulations, to govern and regulate such railroads,
persons, associations and corporations, and to correct abuses and
prevent unjust discrimination in the rates, charges and tolls of
such railroads, persons, associations and corporations, and to fix
division of rates, charges and regulations between railroads and
other utilities and common carriers where a division is proper and
correct, and to prevent any and all other abuses in the conduct of
their business and to do and perform such other duties and details
in connection therewith as may be provided by law.
(b) All powers and duties of the Railroad Commission of
Texas that relate to railroads are transferred to the Texas
Department of Transportation.
(c) All personnel, property, assets, contracts, and
obligations of the Railroad Commission of Texas, including funds
appropriated by the legislature, that relate to railroads are
transferred to the Texas Department of Transportation. The
validity of a prior action of the commission that relates to
railroads is not affected by the transfer.
(d) All rules and forms of the Railroad Commission of Texas
that relate to railroads remain in effect as rules or forms of the
Texas Department of Transportation until amended or repealed by the
department.
(e) A reference in law to the Railroad Commission of Texas
that relates to railroads means the Texas Department of
Transportation.
(f) A complaint, investigation, or contested case pending
before the Railroad Commission of Texas that is related to
railroads is transferred without change in status to the Texas
Department of Transportation.
SECTION 13.02. (a) On September 1, 2003, the Texas
Department of Transportation replaces the Railroad Commission of
Texas as the governmental entity with power and authority over
railroads.
(b) Before September 1, 2003, the Texas Department of
Transportation shall determine:
(1) which actions of the Railroad Commission of Texas
relate to the commission's power and authority over railroads;
(2) which property of the Railroad Commission of Texas
relates to the commission's power and authority over railroads;
(3) which employees of the Railroad Commission of
Texas primarily perform duties that relate to railroads and whether
an employee who performs duties that relate to railroads:
(A) shall become an employee of the Texas
Department of Transportation;
(B) must reapply with the Texas Department of
Transportation for a comparable employment position; or
(C) shall be terminated; and
(4) which funds and obligations of the Railroad
Commission of Texas relate to the commission's power and authority
over railroads.
ARTICLE 14. TEXAS-MEXICO BORDER TRADE CORRIDOR PLAN
SECTION 14.01. Subchapter H, Chapter 201, Transportation
Code, is amended by adding Section 201.6011 to read as follows:
Sec. 201.6011. TEXAS-MEXICO BORDER TRADE CORRIDOR PLAN.
The department shall coordinate an integrated trade transportation
corridor plan for cross-border traffic. The plan must:
(1) include strategies and projects to aid the
exchange of international trade using the system of multiple
transportation modes in this state; and
(2) assign priorities based on the amount of
international trade, measured by weight and value, using the
transportation systems of this state, including:
(A) border ports of entry;
(B) commercial ports;
(C) inland ports;
(D) highways;
(E) pipelines;
(F) railroads; and
(G) deepwater gulf ports.
ARTICLE 15. STATEWIDE COORDINATION OF PUBLIC TRANSPORTATION
SECTION 15.01. Subtitle K, Title 6, Transportation Code, is
amended by adding Chapter 461 to read as follows:
CHAPTER 461. STATEWIDE COORDINATION OF PUBLIC TRANSPORTATION
Sec. 461.001. LEGISLATIVE INTENT AND CONSTRUCTION. (a)
Public transportation services are provided in this state by many
different entities, both public and private. The multiplicity of
public transportation providers and services, coupled with a lack
of coordination between state oversight agencies, has generated
inefficiencies, overlaps in service, and confusion for consumers.
It is the intent of this chapter:
(1) to eliminate waste in the provision of public
transportation services;
(2) to generate efficiencies that will permit
increased levels of service; and
(3) to further the state's efforts to reduce air
pollution.
(b) This chapter shall be liberally construed to achieve its
purposes.
Sec. 461.002. DEFINITIONS. In this chapter:
(1) "Public transportation provider" means any entity
that provides public transportation services if it is a
governmental entity or if it receives financial assistance from a
governmental entity, whether state, local, or federal. The term
does not include private carriers that do not receive financial
assistance from a governmental entity. It also does not include a
person who provides intercity rail or bus service, commercial air
transportation, water transportation, or nonstop service to or from
a point located outside this state. If a person provides both
public transportation services and services that are not public
transportation services, that person is included within the term
only with regard to the provision of public transportation services
and to the extent of those public transportation services.
(2) "Public transportation services" means any
conveyance of passengers and their hand-carried baggage by a
governmental entity or by a private entity if the private entity
receives financial assistance for that conveyance from any
governmental entity. It does not include intercity rail or bus
service, commercial air transportation, water transportation, or
nonstop service to or from a point located outside this state.
Sec. 461.003. RULES OF TEXAS TRANSPORTATION COMMISSION.
(a) The commission by rule may:
(1) require a state agency that is responsible for
ensuring the provision of public transportation services to
contract with the department for the department to assume the
responsibilities of that agency relating to the provision of public
transportation services; and
(2) require a public transportation provider to
provide detailed information on its provision of public
transportation services, including revenues, routes, maps,
categories of passengers served, number of passengers served, and
equipment use and condition.
(b) Except with regard to health and human services programs
funded by this state, the commission may not direct the planning or
operations of an authority created or operating under Chapter 451,
452, or 453.
(c) The commission shall adopt other rules, including rules
defining terms, necessary to implement this chapter.
Sec. 461.004. DUTIES OF TEXAS DEPARTMENT OF TRANSPORTATION.
(a) The department shall identify:
(1) overlaps and gaps in the provision of public
transportation services, including services that could be more
effectively provided by existing, privately funded transportation
resources;
(2) underused equipment owned by public
transportation providers; and
(3) inefficiencies in the provision of public
transportation services by any public transportation provider.
(b) The department may contract with any public or private
transportation provider for the department to arrange for the
provision of public transportation services.
Sec. 461.005. ELIMINATION OF OVERLAPPING SERVICE. (a) To
eliminate waste and maximize efficiency, the department shall
encourage public transportation providers to agree on the
allocation of specific services and service areas among the
providers. The department may incorporate these discussions in
planning processes such as the development of the statewide
transportation improvement program or a local transportation
improvement plan.
(b) If public transportation providers do not reach an
agreement on a service plan under Subsection (a), the department
may develop an interim service plan for that area.
(c) The department may require that all or a percentage of
the vehicles used to provide public transportation services comply
with specified emissions standards. The standards may vary among
geographic areas based on the need of each area to reduce levels of
air pollution. This subsection does not apply to an authority
created under Chapter 451, 452, or 453.
Sec. 461.006. DUTIES OF PUBLIC TRANSPORTATION PROVIDERS.
Each public transportation provider shall cooperate with the
department in eliminating waste and ensuring efficiency and maximum
coverage in the provision of public transportation services.
Sec. 461.007. INCENTIVES FOR EFFICIENCY. (a)
Notwithstanding any other law, including a law establishing a
formula for the allocation of public transportation grants, the
commission may increase or reduce the amount of a grant made to a
public transportation provider based on whether the public
transportation provider is complying fully with this chapter.
(b) Notwithstanding any other law, the commission may
consider whether a public transportation provider in a geographic
area of this state is complying fully with this chapter in executing
the commission's other responsibilities relating to that area.
SECTION 15.02. Section 455.0015, Transportation Code, is
amended by amending Subsection (b) and adding Subsections (c) and
(d) to read as follows:
(b) It is the intent of the legislature that, whenever
possible, and to the maximum extent feasible, the existing network
of transportation providers, and in particular the fixed route
components of the existing networks, be used to meet the client
transportation requirements of the state's social service agencies
and their agents. The legislature recognizes the contributions of
nonprofit entities dedicated to providing social services and
related activities and encourages the continued community
involvement of these entities in this area. The legislature
likewise recognizes the potential cost savings and other benefits
of utilizing existing private sector transportation resources. The
department will contract with and promote the use of private sector
transportation resources to the maximum extent feasible consistent
with the goals of this subsection.
(c) Each health and human services agency of this state
shall contract with the department for the department to assume all
responsibilities of the health and human services agency relating
to the provision of transportation services for clients of eligible
programs.
(d) The department may contract with any public or private
transportation provider or with any regional transportation broker
for the provision of public transportation services.
SECTION 15.03. Section 455.004, Transportation Code, is
amended to read as follows:
Sec. 455.004. PUBLIC TRANSPORTATION ADVISORY
COMMITTEE. (a) A public transportation advisory committee
consisting of nine members shall:
(1) advise the commission on the needs and problems of
the state's public transportation providers, including the methods
for allocating state public transportation money;
(2) comment on rules involving public transportation
during development of the rules and before the commission finally
adopts the rules unless an emergency requires immediate commission
action; [and]
(3) advise the commission on the implementation of
Chapter 461; and
(4) perform any other duty determined by the
commission.
(b) The commission shall appoint members of the advisory
committee. The membership of the committee shall [governor, the
lieutenant governor, and the speaker of the house of
representatives each shall appoint three members of the committee.
The appointing officers shall allocate among themselves the
authority for appointment of members with different types of
qualifications. The committee must] include:
(1) four members who [one member to] represent a
diverse cross-section of public transportation providers [in rural
areas];
(2) three members who [one member to] represent a
diverse cross-section of transportation users [municipal transit
systems in urban areas with populations of less than 200,000]; and
(3) two members who [one member to represent
metropolitan transit authorities in urban areas with populations of
200,000 or more;
[(4) one member to represent transportation providers
for persons with disabilities and the elderly; and
[(5) five members who have a knowledge of and interest
in public transportation to] represent the general public.
(c) A member serves at the pleasure of the commission
[officer appointing the member]. A member is not entitled to
compensation for service on the committee but is entitled to
reimbursement for reasonable expenses the member incurs in
performing committee duties.
(d) The public transportation advisory committee shall meet
[quarterly or] as requested by the commission.
(e) The commission may adopt rules to govern the operation
of the advisory committee.
SECTION 15.04. Section 461.012, Health and Safety Code, is
amended by adding Subsection (g) to read as follows:
(g) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.05. Section 533.012, Health and Safety Code, is
amended to read as follows:
Sec. 533.012. COOPERATION OF STATE AGENCIES. (a) At the
department's request, all state departments, agencies, officers,
and employees shall cooperate with the department in activities
that are consistent with their functions.
(b) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.06. Section 22.001, Human Resources Code, is
amended by adding Subsection (e) to read as follows:
(e) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.07. Section 40.002, Human Resources Code, is
amended by adding Subsection (f) to read as follows:
(f) The department may contract with the Texas Department of
Transportation for the Texas Department of Transportation to assume
all responsibilities of the department relating to the provision of
transportation services for clients of eligible programs.
SECTION 15.08. Section 91.021, Human Resources Code, is
amended by adding Subsection (g) to read as follows:
(g) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.09. Section 101.0256, Human Resources Code, is
amended to read as follows:
Sec. 101.0256. COORDINATED ACCESS TO LOCAL SERVICES. (a)
The department and the Texas Department of Human Services shall
develop standardized assessment procedures to share information on
common clients served in a similar service region.
(b) The department shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the department relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.10. Section 111.0525, Human Resources Code, is
amended by adding Subsection (d) to read as follows:
(d) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.11. Section 301.063, Labor Code, is amended by
adding Subsection (f) to read as follows:
(f) The commission shall contract with the Texas Department
of Transportation for the Texas Department of Transportation to
assume all responsibilities of the commission relating to the
provision of transportation services for clients of eligible
programs.
SECTION 15.12. LEGISLATIVE INTENT REGARDING PROVISION OF
HEALTH AND HUMAN SERVICE TRANSPORTATION THROUGH THE TEXAS
DEPARTMENT OF TRANSPORTATION. It is the intent of the legislature
that the provision of health and human service transportation
through the Texas Department of Transportation will improve the
delivery of transportation services to clients and enhance their
access to transportation services. Furthermore, it is the intent
of the legislature that these services be provided in a manner that
will generate efficiencies in operation, control costs, and permit
increased levels of service. The Texas Department of
Transportation shall encourage cooperation and coordination among
transportation providers, regional transportation brokers, and
actual and potential clients in an effort to achieve the stated
legislative goals.
SECTION 15.13. Any funds that are used by the Texas
Department of Transportation to implement the transportation
services provided in Sections 15.02, 15.04, 15.05, 15.06, 15.07,
15.08, 15.09, 15.10, and 15.11 shall be accounted for and budgeted
separately from other funds appropriated to the Texas Department of
Transportation for any other public transportation program or
budget strategy.
ARTICLE 16. RAIL LINES
SECTION 16.01. Section 5, Chapter 623, Acts of the 67th
Legislature, Regular Session, 1981 (Article 6550c, Vernon's Texas
Civil Statutes), is amended by adding Subsection (s) to read as
follows:
(s) A district may not sell a rail line of the district
unless the sale is approved by the Texas Transportation Commission
as being consistent with the policies of this Act. The commission
by rule shall adopt procedures for applying for and obtaining
approval under this subsection.
ARTICLE 17. DRIVER'S LICENSES
SECTION 17.01. (a) Section 521.142(a), Transportation
Code, is amended to read as follows:
(a) An application for an original license must state the
applicant's full name and place and date of birth. This information
must be verified by presentation of proof of identity satisfactory
to the department. The department shall accept as proof of the
applicant's identity an identity document that is issued by the
government of another country, if that document bears the
applicant's photograph, full name, and date of birth, and the
government of the other country has established reasonable
mechanisms by which the department can verify the identity
document. For purposes of this section, an identity document
includes a passport, a consular identity document, and a national
identity document. On the reverse side of a driver's license, the
department shall print the license holder's country of citizenship
and indicate the country of citizenship by a uniform symbol or code
on the face of the license in the space where the department
indicates a restriction or endorsement.
(b) Subsection (a) of this section takes effect September 1,
2003.
ARTICLE 18. MEMBERSHIP OF TEXAS TRANSPORTATION COMMISSION
SECTION 18.01. Section 201.051(a), Transportation Code, is
amended to read as follows:
(a) The Texas Transportation Commission consists of five
[three] members appointed by the governor with the advice and
consent of the senate.
SECTION 18.02. Section 201.052, Transportation Code, is
amended to read as follows:
Sec. 201.052. TERMS. Members of the commission serve
staggered six-year terms, with the terms of either one or two
members [one member's term] expiring February 1 of each
odd-numbered year.
SECTION 18.03. Promptly after this article takes effect,
the governor shall appoint two additional members to the Texas
Transportation Commission. Of those members, the governor shall
designate one to serve a term expiring February 1, 2007, and one to
serve a term expiring February 1, 2009.
ARTICLE 19. BORDER REGION HIGH-SPEED
RAIL AUTHORITIES
SECTION 19.01. Chapter 13, Title 112, Revised Statutes, is
amended by adding Article 6550c-4 to read as follows:
Art. 6550c-4. BORDER REGION HIGH-SPEED RAIL AUTHORITIES
Sec. 1. DEFINITIONS. In this article:
(1) "Authority" means a border region high-speed rail
authority created under this article.
(2) "Authority property" means all property an
authority owns or leases under a long-term lease.
(3) "Border region" means the Texas-Louisiana border
region or the Texas-Mexico border region, as defined by Section
2056.002, Government Code.
(4) "Commission" means the Texas Transportation
Commission.
(5) "Department" means the Texas Department of
Transportation.
(6) "High-speed rail" means the rail technology that
permits the operation of rolling stock between scheduled stops at
speeds greater than 80 miles per hour.
(7) "High-speed rail facility" means any property
necessary for the transportation of passengers and baggage between
points in a border region by high-speed rail. The term includes
rolling stock, locomotives, stations, parking areas, and rail
lines.
(8) "System" means all of the high-speed rail and
intermodal facilities leased or owned by or operated on behalf of an
authority.
Sec. 2. CREATION OF AUTHORITIES. The commission by order
may authorize the creation of an authority in each border region for
the purposes of financing, acquiring property for, constructing,
maintaining, and operating a high-speed rail system in each border
region.
Sec. 3. GOVERNING BODY. (a) The governing body of an
authority is a board of directors consisting of representatives of
each county in the border region for which the authority is created.
The board is composed of 11 members appointed by the governor.
(b) The members of the board shall elect one member as
presiding officer. The presiding officer may select another member
to preside in the absence of the presiding officer.
(c) The presiding officer shall call at least one meeting of
the board each year and may call other meetings as the presiding
officer determines are appropriate.
(d) A member of the board is not entitled to compensation
for serving as a member but is entitled to reimbursement for
reasonable expenses incurred while serving as a member.
(e) The board shall adopt rules for its proceedings and
appoint an executive committee. The board may employ and
compensate persons to carry out the powers and duties of the
authority.
(f) Chapter 171, Local Government Code, applies to a member
of the board.
Sec. 4. POWERS AND DUTIES OF AUTHORITY. (a) An authority
is a public body and a political subdivision of the state exercising
public and essential governmental functions and has all the powers
necessary or convenient to carry out the purposes of this article.
An authority, in the exercise of powers under this article, is
performing only governmental functions and is a governmental unit
within the meaning of Chapter 101, Civil Practice and Remedies
Code.
(b) An authority is subject every 12th year to review under
Chapter 325, Government Code (Texas Sunset Act).
(c) An authority may sue and be sued in all courts, may
institute and prosecute suits without giving security for costs,
and may appeal from a judgment without giving a supersedeas or cost
bond. An action at law or in equity against an authority must be
brought in the county in which a principal office of the authority
is located, except that in an eminent domain proceeding involving
an interest in land, suit must be brought in the county in which the
land is located.
(d) An authority may acquire by grant, purchase, gift,
devise, lease, or otherwise and may hold, use, sell, lease, or
dispose of real and personal property, licenses, patents, rights,
and interests necessary, convenient, or useful for the full
exercise of its powers.
(e) An authority may acquire, construct, develop, own,
operate, and maintain intermodal and high-speed rail facilities to
connect political subdivisions in the applicable border region.
For this purpose and with the consent of a municipality, county, or
other political subdivision, an authority may use streets, alleys,
roads, highways, and other public ways of the municipality, county,
or other political subdivision and may relocate, raise, reroute,
change the grade of, or alter, at the expense of the authority, the
construction of any street, alley, highway, road, railroad,
electric lines and facilities, telegraph and telephone properties
and facilities, pipelines and facilities, conduits and facilities,
and other properties, whether publicly or privately owned, as
necessary or useful in the construction, reconstruction, repair,
maintenance, and operation of the system. An authority may not use
or alter a road or highway that is part of the state highway system
without the permission of the commission or a railroad without
permission of the railroad. An authority may acquire by purchase
any interest in real property for the acquisition, construction, or
operation of a high-speed rail facility on terms and at a price as
agreed to between the authority and the owner. The governing body
of a municipality, county, other political subdivision, or public
agency may convey title or rights and easements to any property
needed by an authority to effect its purposes in connection with the
acquisition, construction, or operation of the system.
(f) An authority has the right of eminent domain to acquire
real property in fee simple or an interest in real property less
than fee simple in, on, under, or above land, including an easement,
right-of-way, or right of use of airspace or subsurface space. The
power of eminent domain under this section does not apply to land
under the jurisdiction of the department or a rail line owned by a
common carrier or municipality. An authority shall, to the extent
possible, use existing rail or intermodal transportation corridors
for the alignment of its system. A proceeding for the exercise of
the power of eminent domain is begun by the adoption by the board of
a resolution declaring the public necessity for the acquisition by
an authority of the property or interest described in the
resolution and that the acquisition is necessary and proper for the
construction, extension, improvement, or development of high-speed
rail facilities and is in the public interest. The resolution of an
authority is conclusive evidence of the public necessity of the
proposed acquisition and that the real or personal property or
interest in property is necessary for public use.
(g) With the consent of the property owner, instead of
paying for real property with a single fixed payment, an authority
may pay the owner in the form of:
(1) an intangible legal right to receive a percentage
of identified fees related to the applicable segment of the system;
or
(2) an exclusive or nonexclusive right to use or
operate a part of the system.
(h) An authority may make agreements with a public utility,
private utility, communication system, common carrier, state
agency, or transportation system for the joint use of facilities,
installations, or properties inside or outside the border region
and establish through routes and joint fares.
(i) An authority may adopt rules to govern the operation of
the authority, its employees, the system, service provided by the
authority, and any other necessary matter concerning its purposes,
including rules relating to health, safety, alcohol or beverage
service, food service, and telephone and utility services, to
protect the health, safety, and general welfare of residents of the
border region and people who use the authority's services.
(j) An authority may enter into a joint ownership agreement
with any person.
(k) An authority shall establish and maintain rates or other
compensation for the use of the facilities of the system acquired,
constructed, operated, regulated, or maintained by the authority
that is reasonable and nondiscriminatory and, together with grants
received by the authority, is sufficient to produce revenues
adequate:
(1) to pay all expenses necessary for the operation
and maintenance of the properties and facilities of the authority;
(2) to pay the interest on and principal of bonds
issued by the authority and payable in whole or in part from the
revenues, as they become due and payable; and
(3) to comply with the terms of an agreement made with
the holders of bonds or with any person in their behalf.
(l) An authority may make contracts, leases, and agreements
with, and accept grants and loans from, the United States, this
state, agencies and political subdivisions of this state, and other
persons and entities and may perform any act necessary for the full
exercise of the powers vested in it. The commission may enter into
an interlocal agreement with an authority under which the authority
may exercise a power or duty of the commission for the development
and efficient operation of an intermodal corridor in the border
region. An authority may acquire rolling stock or other property
under conditional sales contracts, leases, equipment trust
certificates, or any other form of contract or trust agreement. A
revenue bond indenture may limit the exercise of the powers granted
by this section, and a limit applies as long as the revenue bonds
issued under the indenture are outstanding and unpaid.
(m) An authority by resolution may adopt rules governing the
use, operation, and maintenance of the system and may determine or
change a routing as the board considers advisable.
(n) An authority may lease all or part of the high-speed
rail facilities to, or contract for the use or operation of all or
part of the high-speed rail facilities by, an operator. An
authority shall encourage to the maximum extent practicable the
participation of private enterprise in the operation of high-speed
rail facilities. The term of an operating contract under this
subsection may not exceed 20 years.
(o) An authority may contract with a county or other
political subdivision of this state for the authority to provide
high-speed rail transportation services to an area outside the
border region on the terms and conditions agreed to by the parties.
(p) An authority may purchase an additional insured
provision to any liability insurance contract.
(q) Before beginning the operation of high-speed rail
facilities, the board shall adopt an annual operating budget
specifying the anticipated revenues and expenses of the authority
for the remainder of the fiscal year. Each year the board shall
adopt an operating budget for the authority. The fiscal year of an
authority ends September 30 unless changed by the board. The board
shall hold a public hearing before adopting a budget other than the
initial budget. Notice of each hearing must be published at least
seven days before the date of the hearing in a newspaper of general
circulation in each county in the applicable border region. A
budget may be amended at any time if notice of the proposed
amendment is given in the notice of the meeting at which the
amendment will be considered. An expenditure that is not budgeted
may not be made.
(r) An authority is eligible to participate in the Texas
County and District Retirement System.
(s) The board shall by resolution name one or more banks for
the deposit of authority funds. Authority funds are public funds
and may be invested in securities permitted by Chapter 2256,
Government Code. To the extent funds of an authority are not
insured by the Federal Deposit Insurance Corporation or its
successor, they shall be collateralized in the manner provided for
county funds.
(t) To provide tax benefits to another party that are
available with respect to property under the laws of a foreign
country or to encourage private investment with a transportation
authority in the United States, and notwithstanding any other
provision of this article, an authority may enter into and execute,
as it considers appropriate, contracts, agreements, notes,
security agreements, conveyances, bills of sale, deeds, leases as
lessee or lessor, and currency hedges, swap transactions, or
agreements relating to foreign and domestic currency. The
agreements or instruments may have the terms, maturities, duration,
provisions as to governing law, indemnities, and other provisions
that are approved by the board. In connection with any transaction
authorized by this subsection, the authority shall deposit in
trust, escrow, or similar arrangement cash or lawful investments or
securities, or shall enter into one or more payment agreements,
financial guarantees, or insurance contracts with counterparties
having either a corporate credit or debt rating in any form, a
claims-paying ability, or a rating for financial strength of "AA"
or better by Moody's Investors Service, Inc., or by Standard &
Poor's Corporation or "A-" or better by Best's rating system that,
by their terms, including interest to be earned on any cash or
securities, are sufficient in amount to pay when due all amounts
required to be paid by the authority as rent over the full term of
the transaction plus any optional purchase price due under the
transaction. A certification in advance by an independent
financial expert, banker, or certified public accountant, who is
not an employee of the authority, certifying compliance with this
requirement constitutes conclusive evidence of compliance.
Property sold, acquired, or otherwise transferred under this
subsection is considered for all purposes to be property owned and
held by the authority and used for public purposes.
Sec. 5. BONDS AND NOTES. (a) An authority may issue
revenue bonds and notes in amounts the board considers necessary or
appropriate for the acquisition, purchase, construction,
reconstruction, repair, equipping, improvement, or extension of
the authority's high-speed rail facilities. A bond or note is fully
negotiable and may be made redeemable before maturity, at the
option of the authority and at the price and under the terms the
board determines in the resolution authorizing the bond or note and
may be sold at public or private sale, as the board determines.
(b) An authority shall submit all bonds and notes and the
record of proceedings relating to their issuance to the attorney
general for examination before delivery. If the attorney general
determines that they have been issued in accordance with the
constitution and this article and that they will be binding
obligations of the authority, the attorney general shall approve
them, and the comptroller shall register them. A bond or note
issued under this article is incontestable after approval,
registration, and sale and delivery of the bond or note to the
purchaser.
(c) To secure the payment of the bond or note, an authority
may encumber and pledge all or any part of the revenues of its
high-speed rail facilities, may mortgage and encumber all or part
of the property of the high-speed rail facilities and any thing
pertaining to them that is acquired or to be acquired, and may
prescribe the terms and provisions of the bond or note in any manner
not inconsistent with this article. If not prohibited by the
resolution or indenture relating to outstanding bonds or notes, an
authority may encumber separately any item of real or personal
property.
(d) A bond or note is a legal and authorized investment for
banks, trust companies, savings and loan associations, and
insurance companies. The bond or note is eligible to secure the
deposit of public funds of this state or a municipality, county,
school district, or other political corporation or subdivision of
this state. The bond or note is lawful and sufficient security for
the deposits to the extent of the principal amount or market value
of the bond or note, whichever is less.
Sec. 6. COMPETITIVE BIDS. A contract in the amount of more
than $15,000 for the construction of improvements or the purchase
of material, machinery, equipment, supplies, or any other property
other than real property may be let only on competitive bids after
notice published, at least 15 days before the date set for receiving
bids, in a newspaper of general circulation in each county in the
applicable border region. The board may adopt rules governing the
taking of bids and the awarding of contracts. This section does not
apply to:
(1) personal or professional services;
(2) the acquisition of an existing rail transportation
system; or
(3) a contract with a common carrier to construct
lines or to operate high-speed rail service on lines owned in whole
or in part by the carrier.
Sec. 7. EXEMPTION FROM TAXES. The property, material
purchases, revenues, and income of an authority and the interest on
a bond or note issued by an authority are exempt from all taxes
imposed by this state or a political subdivision of this state.
SECTION 19.02. Not later than September 1, 2004, the Texas
Transportation Commission shall create the border region
high-speed rail authorities as required by this Act.
ARTICLE 20. SUSPENSION OF SENTENCE AND DEFERRAL
OF FINAL DISPOSITION OF CERTAIN OFFENSES
SECTION 20.01. Article 45.051, Code of Criminal Procedure,
is amended to read as follows:
Art. 45.051. SUSPENSION OF SENTENCE AND DEFERRAL OF FINAL
DISPOSITION. (a) On a plea of guilty or nolo contendere by a
defendant or on a finding of guilt in a misdemeanor case punishable
by fine only and payment of all court costs, the judge [justice]
may, at the judge's discretion, defer further proceedings without
entering an adjudication of guilt and place the defendant on
probation for a period not to exceed 180 days. An order of deferral
under this subsection terminates any liability under a bail bond or
an appearance bond given for the charge.
(b) During the deferral period, the judge [justice] may, at
the judge's discretion, require the defendant to:
(1) post a bond in the amount of the fine assessed to
secure payment of the fine;
(2) pay restitution to the victim of the offense in an
amount not to exceed the fine assessed;
(3) submit to professional counseling;
(4) submit to diagnostic testing for alcohol or a
controlled substance or drug;
(5) submit to a psychosocial assessment;
(6) participate in an alcohol or drug abuse treatment
or education program;
(7) pay the costs of any diagnostic testing,
psychosocial assessment, or participation in a treatment or
education program either directly or through the court as court
costs; [and]
(8) complete a driving safety course approved under
the Texas Driver and Traffic Safety Education Act (Article
4413(29c), Vernon's Texas Civil Statutes) or another course as
directed by the judge;
(9) present to the court satisfactory evidence that
the defendant has complied with each requirement imposed by the
judge under this article; and
(10) comply with any other reasonable condition.
(c) On determining that [At the conclusion of the deferral
period, if] the defendant [presents satisfactory evidence that he]
has complied with the requirements imposed by the judge under this
article, the judge [justice] shall dismiss the complaint, and it
shall be clearly noted in the docket that the complaint is dismissed
and that there is not a final conviction. [Otherwise, the justice
may proceed with an adjudication of guilt. After an adjudication of
guilt, the justice may reduce the fine assessed or may then impose
the fine assessed, less any portion of the assessed fine that has
been paid.] If the complaint is dismissed, a special expense not to
exceed the amount of the fine assessed may be imposed. Other than
an offense under Section 545.413, Transportation Code, this
subsection does not apply to an offense involving the operation of a
motor vehicle.
(c-1) This subsection applies only to an offense involving
the operation of a motor vehicle, other than an offense under
Section 545.413, Transportation Code. At the conclusion of the
deferral period, if the defendant presents satisfactory evidence
that the defendant has complied with the requirements imposed, the
justice shall proceed with an adjudication of guilt but may not
impose the fine assessed or a reduced fine.
(d) If by [at] the conclusion of the deferral period the
defendant does not present satisfactory evidence that the defendant
complied with the requirements imposed, the judge [justice] may
impose the fine assessed or impose a lesser fine. The imposition of
the fine or lesser fine constitutes a final conviction of the
defendant.
(e) Records relating to a complaint dismissed as provided by
this article may be expunged under Article 55.01 [of this code]. If
a complaint is dismissed under this article, there is not a final
conviction and the complaint may not be used against the person for
any purpose.
(f) This article does not apply to:
(1) an offense to which Section 542.404 or 729.004(b),
Transportation Code, applies; or
(2) a traffic offense committed by a person who holds a
commercial driver's license.
SECTION 20.02. Article 45.0511, Code of Criminal Procedure,
is amended to read as follows:
Art. 45.0511. DRIVING SAFETY COURSE OR MOTORCYCLE OPERATOR
COURSE DISMISSAL [DEFERRED DISPOSITION] PROCEDURES [APPLICABLE TO
TRAFFIC OFFENSES]. (a) This article applies only to an alleged
offense that:
(1) is within the jurisdiction of a justice court or a
municipal court;
(2) involves [involving] the operation of a motor
vehicle; and
(3) is [other than a commercial motor vehicle, as]
defined by:
(A) Section 472.022 [522.003], Transportation
Code;
(B) Subtitle C, Title 7, Transportation Code; or
(C) Section 729.001(a)(3), Transportation Code[,
and supplements Article 45.051].
(b) The judge [During the deferral period under Article
45.051, the justice:
[(1)] shall require the defendant to successfully
complete a driving safety course approved by the Texas Education
Agency or a course under the motorcycle operator training and
safety program approved by the designated state agency under
Chapter 662, Transportation Code, if:
(1) the defendant elects driving safety course or
motorcycle operator training course dismissal under this article;
(2) [deferred disposition and] the defendant has not
completed an approved driving safety course or motorcycle operator
training course, as appropriate, within the [preceding] 12 months
preceding the date of the offense; [and]
(3) [(2) may require the defendant to successfully
complete a driving safety course approved by the Texas Education
Agency if the defendant has completed an approved driving safety
course within the preceding 12 months.
[(c) Subsection (b)(1) applies only if:
[(1)] the defendant [person] enters a plea under
Article 45.021 in person or in writing of no contest or guilty on or
[and,] before the answer date on the notice to appear and:
(A) presents in person or by counsel to the court
a [an oral or written] request to take a course; or
(B) sends to the court by certified mail, return
receipt requested, postmarked on or before the answer date on the
notice to appear, a written request to take a course;
(4) [(2) the court enters judgment on the person's
plea of no contest or guilty at the time the plea is made but defers
imposition of the judgment for 180 days;
[(3)] the defendant [person] has a valid Texas
driver's license or permit;
(5) [(4)] the defendant [person] is charged with an
offense to which this article applies, other than speeding 25 miles
per hour or more over the posted speed limit; and
(6) [(5)] the defendant [person] provides evidence of
financial responsibility as required by Chapter 601,
Transportation Code[;
[(6) the defendant's driving record as maintained by
the Texas Department of Public Safety shows the defendant has not
completed an approved driving safety course or motorcycle operator
training course, as appropriate, within the 12 months preceding the
date of the offense; and
[(7) the defendant files an affidavit with the court
stating that the person is not taking a course under this section
and has not completed a course that is not shown on the person's
driving record within the 12 months preceding the date of the
offense].
(c) The court shall enter judgment on the defendant's plea
of no contest or guilty at the time the plea is made, defer
imposition of the judgment, and allow the defendant 90 days to
successfully complete the approved driving safety course or
motorcycle operator training course and present to the court:
(1) a uniform certificate of completion of the driving
safety course or a verification of completion of the motorcycle
operator training course;
(2) the defendant's driving record as maintained by
the Department of Public Safety showing that the defendant had not
completed an approved driving safety course or motorcycle operator
training course, as applicable, within the 12 months preceding the
date of the offense; and
(3) an affidavit stating that the defendant was not
taking a driving safety course or motorcycle operator training
course, as applicable, under this article on the date the request to
take the course was made and had not completed such a course that is
not shown on the defendant's driving record within the 12 months
preceding the date of the offense.
(d) Notwithstanding Subsections (b)(2) and (3), [Subsection
(c)(1), on a written motion submitted to the court] before the final
disposition of the case, the court may grant a request to take a
driving safety course or a motorcycle operator training course
under this article.
(e) A request to take a driving safety course made at or
before the time and at the place at which a defendant [person] is
required to appear in court is an appearance in compliance with the
defendant's [person's] promise to appear.
(f) In addition to court costs and fees authorized or
imposed by a law of this state and applicable to the offense, the
[The] court may:
(1) require a defendant [person] requesting a [driving
safety] course under Subsection (b) to pay an administrative [a]
fee set by the court to cover the cost of administering this article
at an amount of not more than $10; or
(2) require a defendant requesting a course under
Subsection (d) to pay a fee set by the court at an amount not to
exceed the maximum amount of the fine for the offense committed by
the defendant[, including any other fee authorized by statute or
municipal ordinance, to cover the cost of administering this
article].
(g) A defendant [person] who requests but does not take a
course is not entitled to a refund of the fee.
(h) Fees collected by a municipal court shall be deposited
in the municipal treasury. Fees collected by another court shall be
deposited in the county treasury of the county in which the court is
located.
(i) If a defendant [person] requesting a [driving safety]
course under this article fails to comply with Subsection (c)
[furnish evidence of the successful completion of the course to the
court], the court shall:
(1) notify the defendant [person] in writing, mailed
to the address on file with the court or appearing on the notice to
appear, of that failure; and
(2) require the defendant [person] to appear at the
time and place stated in the notice to show cause why the evidence
was not timely submitted to the court.
(j) If the defendant [A person who] fails to appear at the
time and place stated in the notice under Subsection (i), or appears
at the time and place stated in the notice but does not show good
cause for the defendant's failure to comply with Subsection (c),
the court shall enter an adjudication of guilt and impose sentence
[commits a misdemeanor punishable as provided by Section 543.009,
Transportation Code].
(k) On a defendant's [person's] showing of good cause for
failure to furnish evidence to the court, the court may allow an
extension of time during which the defendant [person] may present:
(1) a uniform certificate of course completion as
evidence that the defendant [person] successfully completed the
driving safety course; or
(2) a verification of course completion as evidence
that the defendant successfully completed the motorcycle operator
training course.
(l) When a defendant [person] complies with Subsection (c)
[(b) and a uniform certificate of course completion is accepted by
the court], the court shall:
(1) proceed with an adjudication of guilt, but may not
impose the fine assessed or a reduced fine [remove the judgment and
dismiss the charge];
(2) report the fact that the defendant [person]
successfully completed a driving safety course or a motorcycle
operator training course and the date of completion to the Texas
Department of Public Safety for inclusion in the person's driving
record; and
(3) state in that [this] report whether the course was
taken under [the procedure provided by] this article to provide
information necessary to determine eligibility to take a subsequent
course under Subsection (b).
(m) If the defendant is charged with more than one offense,
the defendant may complete a driving safety course in connection
with only one of the charges [The court may dismiss only one charge
for each completion of a course].
(n) [A charge that is dismissed under this article may not
be part of a person's driving record or used for any purpose.
[(o)] An insurer delivering or issuing for delivery a motor
vehicle insurance policy in this state may not cancel or increase
the premium charged an insured under the policy because the court
proceeded with an adjudication of guilt under Subsection (l)(1) or
because the insured completed a driving safety course or a
motorcycle operator training course [or had a charge dismissed]
under this article.
(o) [(p)] The court shall advise a defendant [person]
charged with a misdemeanor under Section 472.022, Transportation
Code, Subtitle C, Title 7, Transportation Code, or Section
729.001(a)(3), Transportation Code, committed while operating a
motor vehicle of the defendant's [person's] right under this
article to successfully complete a driving safety course or, if the
offense was committed while operating a motorcycle, a motorcycle
operator training course. The right to complete a course does not
apply to a defendant [person] charged with:
(1) a violation of Section 545.066, [545.401,
545.421,] 550.022, or 550.023, Transportation Code;[,] or
(2) an offense to which [serious traffic violation as
defined by] Section 542.404 or 729.004(b) [522.003],
Transportation Code, applies.
(p) A notice to appear issued for an offense to which this
article applies must inform a defendant charged with an offense
under Section 472.022, Transportation Code, an offense under
Subtitle C, Title 7, Transportation Code, or an offense under
Section 729.001(a)(3), Transportation Code, committed while
operating a motor vehicle of the defendant's right to complete a
driving safety course or, if the offense was committed while
operating a motorcycle, of the defendant's right to complete a
motorcycle operator training course. The notice required by this
subsection must read substantially as follows:
"You may be able to require that this charge be dismissed by
successfully completing a driving safety course or a motorcycle
operator training course. You will lose that right if, on or before
your appearance date, you do not provide the court with notice of
your request to take the course."
(q) If the notice required by Subsection (p) is not provided
to the defendant charged with the offense, the defendant may
continue to exercise the defendant's right to take a driving safety
course or a motorcycle operator training course until the notice
required by Subsection (p) is provided to the defendant or there is
a final disposition of the case.
(r) This article does not apply to an offense committed by a
person who holds a commercial driver's license.
(s) An order of deferral under Subsection (c) terminates any
liability under a bail bond or appearance bond given for the charge.
[(q) Nothing in this article shall prevent a court from assessing
a special expense for deferred disposition in the same manner as
provided by Article 45.051. For a deferred disposition under
Subsection (b)(1), the court may only collect a fee of not more than
$10 in addition to any applicable court cost.]
SECTION 20.03. Section 472.022(f), Transportation Code, is
amended to read as follows:
(f) Articles 45.051 and 45.0511 [Article 45.54], Code of
Criminal Procedure, do [does] not apply to an offense under this
section committed in a construction or maintenance work zone when
workers are present.
SECTION 20.04. The following laws are repealed:
(1) Section 543.101, Transportation Code; and
(2) Section 543.117, Transportation Code.
SECTION 20.05. (a) This article takes effect September 1,
2003.
(b) Articles 45.051 and 45.0511, Code of Criminal
Procedure, as amended by this article, apply only to an offense
committed on or after September 1, 2003.
(c) An offense committed before September 1, 2003, is
covered by the law in effect on the date the offense was committed,
and the former law is continued in effect for that purpose.
ARTICLE 21. DRIVER'S LICENSES
SECTION 21.01. Section 521.292, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) For purposes of Subsection (a)(3), (7), or (9) and
Subsection (b), an adjudication of guilt under Article 45.051(c-1),
Code of Criminal Procedure, is not a conviction.
ARTICLE 22. COMMERCIAL DRIVER'S LICENSES
SECTION 22.01. Section 522.003(25), Transportation Code, is
amended to read as follows:
(25) "Serious traffic violation" means:
(A) a conviction arising from the driving of a
[commercial] motor vehicle, other than a parking, vehicle weight,
or vehicle defect violation, for:
(i) [(A)] excessive speeding, involving a
single charge of driving 15 miles per hour or more above the posted
speed limit;
(ii) [(B)] reckless driving, as defined by
state or local law;
(iii) [(C)] a violation of a state or local
law related to motor vehicle traffic control, including a law
regulating the operation of vehicles on highways, arising in
connection with a fatal accident;
(iv) [(D)] improper or erratic traffic lane
change;
(v) [(E)] following the vehicle ahead too
closely; or
(vi) [(F) operating] a [commercial motor
vehicle in] violation of Section 522.011; or
(B) a violation of Section [or] 522.015.
SECTION 22.02. Section 522.081, Transportation Code, is
amended to read as follows:
Sec. 522.081. DISQUALIFICATION. (a) This subsection
applies [only] to a violation committed while operating any motor
vehicle, including a commercial motor vehicle. A person who holds a
commercial driver's license is disqualified from driving a
commercial motor vehicle for:
(1) 60 days if convicted of:
(A) two serious traffic violations that occur
within a three-year period; or
(B) one violation of a law that regulates the
operation of a motor vehicle at a railroad grade crossing; or
(2) 120 days if convicted of:
(A) three serious traffic violations arising
from separate incidents occurring within a three-year period; or
(B) two violations of a law that regulates the
operation of a motor vehicle at a railroad grade crossing that occur
within a three-year period[; or
[(3) one year if convicted of three violations of a law
that regulates the operation of a motor vehicle at a railroad grade
crossing that occur within a three-year period].
(b) This subsection applies to a violation committed while
operating any motor vehicle, including a commercial motor vehicle,
except as provided by this subsection. A person who holds a
commercial driver's license is disqualified from driving a
commercial motor vehicle for one year:
(1) if convicted of three violations of a law that
regulates the operation of a motor vehicle at a railroad grade
crossing that occur within a three-year period;
(2) on first conviction of:
(A) [(1)] driving a [commercial] motor vehicle
under the influence of alcohol or a controlled substance, including
a violation of Section 49.04 or 49.07, Penal Code;
(B) [(2) driving a commercial motor vehicle
while the person's alcohol concentration was 0.04 or more;
[(3) intentionally] leaving the scene of an accident
involving a [commercial] motor vehicle driven by the person;
(C) [(4)] using a [commercial] motor vehicle in
the commission of a felony, other than a felony described by
Subsection (d)(2);
(D) [(5) refusing to submit to a test to
determine the person's alcohol concentration or the presence in the
person's body of a controlled substance or drug while driving a
commercial motor vehicle;
[(6)] causing the death of another person through the
negligent or criminal operation of a [commercial] motor vehicle; or
(E) [(7)] driving a commercial motor vehicle
while the person's commercial driver's license is revoked,
suspended, or canceled, or while the person is disqualified from
driving a commercial motor vehicle, for an action or conduct that
occurred while operating a commercial motor vehicle;
(3) for refusing to submit to a test under Chapter 724
to determine the person's alcohol concentration or the presence in
the person's body of a controlled substance or drug while operating
a motor vehicle in a public place; or
(4) if an analysis of the person's blood, breath, or
urine under Chapter 724 determines that the person:
(A) had an alcohol concentration of 0.04 or more,
or that a controlled substance or drug was present in the person's
body, while operating a commercial motor vehicle in a public place;
or
(B) had an alcohol concentration of 0.08 or more
while operating a motor vehicle, other than a commercial motor
vehicle, in a public place.
(c) A person who holds a commercial driver's license is
disqualified from operating a commercial motor vehicle for three
years if:
(1) the person:
(A) is convicted of an offense [If a violation]
listed in Subsection (b)(2) and the vehicle being operated by the
person was transporting a hazardous material required to be
placarded; or
(B) refuses to submit to a test under Chapter 724
to determine the person's alcohol concentration or the presence in
the person's body of a controlled substance or drug while operating
a motor vehicle in a public place and the vehicle being operated by
the person was transporting a hazardous material required to be
placarded; or
(2) an analysis of the person's blood, breath, or urine
under Chapter 724 determines that while transporting a hazardous
material required to be placarded the person:
(A) while operating a commercial motor vehicle in
a public place had an alcohol concentration of 0.04 or more, or a
controlled substance or drug present in the person's body; or
(B) while operating a motor vehicle, other than a
commercial motor vehicle, in a public place had an alcohol
concentration of 0.08 or more [(b) occurred while the person was
transporting a hazardous material required to be placarded, the
person is disqualified for three years].
(d) A person is disqualified from driving a commercial motor
vehicle for life:
(1) if the person [:
[(1)] is convicted [of] two or more times [violations]
of an offense specified by Subsection (b)(2) [(b)], or a
combination of those offenses, arising from two or more separate
incidents; [or]
(2) if the person uses a [commercial] motor vehicle in
the commission of a felony involving:
(A) the manufacture, distribution, or dispensing
of a controlled substance; or
(B) possession with intent to manufacture,
distribute, or dispense a controlled substance; or
(3) for any combination of two or more of the
following, arising from two or more separate incidents:
(A) a conviction of the person for an offense
described by Subsection (b)(2);
(B) a refusal by the person described by
Subsection (b)(3); and
(C) an analysis of the person's blood, breath, or
urine described by Subsection (b)(4).
(e) A person may not be issued a commercial driver's license
if, in connection with the person's operation of a commercial motor
vehicle, the person commits an offense or engages in conduct that
would disqualify the holder of a commercial driver's license from
operating a commercial motor vehicle, or is determined to have had
an alcohol concentration of 0.04 or more or to have had a controlled
substance or drug present in the person's body. The period of
prohibition under this subsection is equal to the appropriate
period of disqualification required by Subsections (a)-(d).
(f) In this section, "felony" means an offense under state
or federal law that is punishable by death or imprisonment for a
term of more than one year.
SECTION 22.03. Section 522.087, Transportation Code, is
amended to read as follows:
Sec. 522.087. PROCEDURES APPLICABLE TO DISQUALIFICATION.
(a) A person is automatically disqualified under Section
522.081(a)(1)(B), Section 522.081(b)(2) [522.081(b)(1), (3), (4),
(6), or (7)], or Section 522.081(d)(2). An appeal may not be taken
from the disqualification.
(b) Disqualifying a person under Section 522.081(a), other
than under Subdivision (1)(B) of that subsection, Section
522.081(b)(1), or Section 522.081(d)(1) or (3) is subject to the
notice and hearing procedures of Sections 521.295-521.303. An
appeal of the disqualification is subject to Section 521.308.
SECTION 22.04. (a) This article takes effect June 1, 2005.
(b) Sections 522.081 and 522.087, Transportation Code, as
amended by this article, apply only to conduct that is engaged in or
to an offense that is committed on or after the effective date of
this article. Conduct that is engaged in or an offense committed
before the effective date of this article is governed by Sections
522.081 and 522.087, Transportation Code, as those sections existed
immediately before the effective date of this article, and the
former law is continued in effect for that purpose.
ARTICLE 23. HIGHWAY BEAUTIFICATION FEE
SECTION 23.01. Section 391.063, Transportation Code, is
amended to read as follows:
Sec. 391.063. LICENSE FEE AND HIGHWAY BEAUTIFICATION FEE.
(a) The commission may set the amount of a license fee according to
a scale graduated by the number of units of outdoor advertising
owned by a license applicant.
(b) In addition to the fee under Subsection (a), the
department shall collect from each license applicant an additional
fee of $11, of which:
(1) $9 shall be used by the department only to assist
owners of outdoor advertising in relocating outdoor advertising
required to be removed or relocated under this chapter; and
(2) $2 shall be used by the department for landscaping
highways that are part of the interstate or primary system.
SECTION 23.02. Section 394.025, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) In addition to the fee under Subsection (a), the
department shall collect from each permit applicant an additional
fee of $11, of which:
(1) $9 shall be used by the department only to assist
owners of off-premise signs in relocating signs required to be
relocated or removed under this chapter; and
(2) $2 shall be used by the department for landscaping
rural roads as defined by Section 394.002 that are under the
jurisdiction of this state.
SECTION 23.03. This article applies only to an application
for a permit or permit renewal for outdoor advertising or an
off-premise sign received by the Texas Department of Transportation
on or after the effective date of this Act. An application received
before the effective date of this Act is covered by the law in
effect on the date the application was received, and the former law
is continued in effect for that purpose.
ARTICLE 24. MISCELLANEOUS PROVISIONS
SECTION 24.01. (a) Subchapter D, Chapter 542,
Transportation Code, is amended by adding Section 542.4031 to read
as follows:
Sec. 542.4031. ADDITIONAL COURT COST. (a) In addition to
other costs, including a cost under Section 542.403, a person
convicted of an offense under this subtitle shall pay $30 as a court
cost.
(b) The officer who collects a cost under this section shall
send the cost to the comptroller. Of each $30 court cost received
by the comptroller:
(1) $20 shall be deposited to the credit of the general
revenue fund; and
(2) $10 shall be deposited to the credit of the
designated trauma facility and emergency medical services account
under Section 780.003, Health and Safety Code.
(c) Notwithstanding Subsection (b)(1), the comptroller
shall deposit court costs received under that subsection to the
credit of the general revenue fund only until the total amount of
the court costs deposited to the credit of the general revenue fund
under that subsection and the surcharges deposited to the credit of
that fund under Section 780.002(b), Health and Safety Code, equals
$250 million for that biennium. If in any state fiscal biennium the
amount received by the comptroller under those laws exceeds $250
million, the comptroller shall deposit the additional amount
received under Subsection (b)(1) to the credit of the Texas
mobility fund.
(b) Article 45.0511, Code of Criminal Procedure, is amended
by adding Subsection (r) to read as follows:
(r) In addition to any other fee or special expense imposed
on a defendant under this section, the justice shall require the
defendant to pay $30 as a court cost. The officer who collects the
cost required by this subsection shall send the cost to the
comptroller. Of each $30 court cost received by the comptroller:
(1) $20 shall be deposited to the credit of the general
revenue fund; and
(2) $10 shall be deposited to the credit of the
designated trauma facility and emergency medical services account
under Section 780.003, Health and Safety Code.
(c) The change in law made by this section applies only to an
offense committed on or after the effective date of this section.
For the purposes of this section, an offense is committed before the
effective date of this section if any element of the offense occurs
before that date. An offense committed before the effective date of
this section is governed by the law in effect when the offense was
committed, and the former law is continued in effect for that
purpose.
SECTION 24.02. Chapter 551, Transportation Code, is amended
by adding Subchapter D to read as follows:
SUBCHAPTER D. NEIGHBORHOOD ELECTRIC VEHICLES
Sec. 551.301. DEFINITION. In this subchapter,
"neighborhood electric vehicle" means a vehicle subject to Federal
Motor Vehicle Safety Standard 500 (49 C.F.R. Section 571.500).
Sec. 551.302. OPERATION ON ROADWAY. (a) A neighborhood
electric vehicle may be operated only on a street or highway for
which the posted speed limit is 35 miles per hour or less. The
vehicle may cross a road or street at an intersection where the road
or street has a posted speed limit of more than 35 miles per hour.
(b) A county or municipality may prohibit the operation of a
neighborhood electric vehicle on any street or highway if the
governing body of the county or municipality determines that the
prohibition is necessary in the interest of safety.
(c) The department may prohibit the operation of a
neighborhood electric vehicle on a highway if it determines that
the prohibition is necessary in the interest of safety.
SECTION 24.03. (a) Section 456.022, Transportation Code,
is amended to read as follows:
Sec. 456.022. FORMULA ALLOCATION [BY CATEGORIES]. The
commission shall adopt rules establishing a formula to allocate
funds to eligible public transportation providers. The formula may
take into account:
(1) the provider's performance;
(2) the number of passengers served by the provider;
(3) the need for public transportation by residents of
the provider's service area;
(4) the population, population density, and land area
of the provider's service area; and
(5) other factors established by the commission.
[Under the formula program the commission shall allocate:
[(1) 50 percent of the money to municipalities that
are:
[(A) designated recipients in urbanized areas or
transit providers eligible under Section 456.003 and not served by
a transit authority; and
[(B) designated recipients that are not included
in a transit authority but are located in urbanized areas that
include one or more transit authorities and received state transit
funding during the biennium that ended August 31, 1997; and
[(2) 50 percent of the money to designated recipients
in nonurbanized areas.]
(b) Section 456.024, Transportation Code, is repealed.
(c) This section takes effect September 1, 2004.
SECTION 24.04. Subchapter B, Chapter 391, Transportation
Code, is amended by adding Section 391.0331 to read as follows:
Sec. 391.0331. RELOCATION BECAUSE OF HIGHWAY CONSTRUCTION.
(a) If any outdoor advertising use, structure, or permit may not be
continued because of widening, construction, or reconstruction of a
highway, the owner of the outdoor advertising is entitled to
relocate the use, structure, or permit to another location in
accordance with applicable administrative rules and policies of the
department.
(b) Subject to federal and state regulations, any
governmental entity, quasi-governmental entity, or public utility
that acquires outdoor advertising by eminent domain or causes the
need for the outdoor advertising to be relocated under this section
shall pay the costs related to the acquisition or relocation.
(c) If a governmental entity prohibits the relocation of
outdoor advertising as provided under this section, the
governmental entity shall pay fair compensation.
SECTION 24.05. (a) Subchapter H, Chapter 545,
Transportation Code, is amended by adding Section 545.3571 to read
as follows:
Sec. 545.3571. DESIGNATION OF SCHOOL CROSSING ZONES AND
SCHOOL CROSSWALKS AND INSTALLATION OF OFFICIAL TRAFFIC CONTROL
DEVICES. (a) Except as provided by Subsection (b), not later than
the 30th day before the date the construction of a new public
elementary or secondary school is scheduled to be completed or the
date students are scheduled to begin attending a newly constructed
public elementary or secondary school, whichever is earlier, the
Texas Department of Transportation or the appropriate local
authority, as applicable, shall designate each necessary school
crossing zone and school crosswalk for the school and install the
appropriate official traffic control devices for each designated
school crossing zone.
(b) If the Texas Department of Transportation or the
appropriate local authority does not receive timely notice required
by Section 11.168, Education Code, the department or local
authority must comply with Subsection (a) not later than the 30th
day after receiving notice that the construction of a new public
elementary or secondary school is or is about to be completed or
that students are or are scheduled to begin attending a newly
constructed public elementary or secondary school.
(b) Section 545.3571, Transportation Code, as added by
Subsection (a) of this section, applies to:
(1) construction of a new public elementary or
secondary school scheduled to be completed on or after October 31,
2003; or
(2) a newly constructed public elementary or secondary
school that students are scheduled to begin attending on or after
October 31, 2003.
SECTION 24.06. Subchapter D, Chapter 11, Education Code, is
amended by adding Section 11.168 to read as follows:
Sec. 11.168. NOTICE CONCERNING NEWLY CONSTRUCTED SCHOOL.
Not later than the 60th day before the date construction of a new
elementary or secondary school is scheduled to be completed or
students are scheduled to begin attending a newly constructed
elementary or secondary school, whichever is earlier, the board of
trustees of the independent school district in which the new school
is located shall provide notice of that scheduled date to the Texas
Department of Transportation or the county, municipality, or other
local entity that is responsible under Section 545.3571,
Transportation Code, for designating crossing zones and school
crosswalks for the school and installing official traffic control
devices for the designated school crossing zones.
SECTION 24.07. Section 201.601, Transportation Code, is
amended by adding Subsection (c) to read as follows:
(c) The plan must include a component that is not
financially constrained and identifies projects designed to
relieve congestion. In developing that component of the plan, the
department shall seek opinions and assistance from officials who
have local responsibility for modes of transportation listed in
Subsection (a).
SECTION 24.08. Section 545.066(c), Transportation Code, is
amended to read as follows:
(c) An offense under this section is a misdemeanor
punishable by a fine of not less than $200 or more than $1,000,
except that the offense is:
(1) a Class A misdemeanor if the person causes serious
bodily injury to another; or
(2) a state jail felony if the person has been
previously convicted under Subdivision (1).
SECTION 24.09. (a) The change in law made by Section
545.066(c), Transportation Code, as amended by this article,
applies only to an offense committed on or after the effective date
of this Act. For purposes of this section, an offense is committed
before the effective date of this Act if any element of the offense
occurs before that date.
(b) An offense committed before the effective date of this
Act is covered by the law in effect when the offense was committed,
and the former law is continued in effect for that purpose.
SECTION 24.10. Section 521.121(a), Transportation Code, is
amended to read as follows:
(a) The driver's license must include:
(1) a distinguishing number assigned by the department
to the license holder;
(2) a color photograph of the entire face of the
holder;
(3) the full name, date of birth, and residence
address of the holder; [and]
(4) a brief description of the holder; and
(5) a code reflecting the ethnicity of the holder.
SECTION 24.11. Section 521.142(c), Transportation Code, is
amended to read as follows:
(c) The application must state:
(1) the sex of the applicant;
(2) the residence address of the applicant;
(3) whether the applicant has been licensed to drive a
motor vehicle before;
(4) if previously licensed, when and by what state or
country;
(5) whether that license has been suspended or revoked
or a license application denied;
(6) the date and reason for the suspension,
revocation, or denial;
(7) whether the applicant is a citizen of the United
States; [and]
(8) the county of residence of the applicant; and
(9) the ethnicity of the applicant.
ARTICLE 25. GENERAL PROVISIONS; EFFECTIVE DATE
SECTION 25.01. Money required to be deposited to a specific
fund or account by a change in law made by this Act is exempt from
Section 403.095, Government Code.
SECTION 25.02. Except as otherwise provided by this Act,
this Act takes effect September 1, 2003.