79R8011 DWS-F
By: Madla S.B. No. 1434
A BILL TO BE ENTITLED
AN ACT
relating to use of money of an advanced transportation district to
pay or secure bond-related costs of a county, municipality, or
local government corporation.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 451.701(4), Transportation Code, is
amended to read as follows:
(4) "Mobility enhancement" means the design,
construction, reconstruction, alteration, financing, and
maintenance of:
(A) streets, roads, highways, high occupancy
vehicle lanes, toll lanes, sidewalks, and infrastructure designed
to improve mobility;
(B) traffic signal prioritization and
coordination systems;
(C) monitoring systems; [and]
(D) other mobility enhancement facilities,
equipment, systems, and services; and
(E) any debt service requirement, capitalized
interest, reserve fund requirement, credit agreement as defined by
Section 1371.001, Government Code, administrative cost, or other
bond-related cost incurred by or relating to the issuance of
obligations by a county or municipality or by a local government
corporation created under Chapter 431 acting on behalf of a county
or municipality.
SECTION 2. Section 451.702, Transportation Code, is amended
by amending Subsection (i) and adding Subsections (k), (l), and (m)
to read as follows:
(i) The governing body of the district shall place
one-fourth of the proceeds of the sales and use tax in a separate
account. Funds in the account, together with interest or other
revenues earned on those funds, may be used as determined by the
governing body of the district only in the territory of the
district:
(1) to provide the appropriate amount to the Texas
Department of Transportation as the local share of a state or
federal grant for advanced transportation or mobility enhancement
purposes; and
(2) for the purposes provided by Subsection (k) [in
the territory of the district].
(k) The governing body of the district may enter into an
agreement or other contractual arrangement with a county,
municipality, or local government corporation created under
Chapter 431 by a county or municipality to transfer and create a
lien on and pledge of the part of the district's sales and use tax
identified in Subsection (i) for the benefit of obligations issued
or incurred by the county, municipality, or local government
corporation to finance any cost relating to mobility enhancement
purposes.
(l) A lien or pledge under Subsection (k) is subject to
Chapter 1208, Government Code.
(m) The governing body of the district may enter into an
agreement or contractual arrangement under Subsection (k) without
the necessity of an election.
SECTION 3. This Act takes effect immediately if it 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
Act takes effect September 1, 2005.