79R9954 T
By: Lindsay S.B. No. 1624
A BILL TO BE ENTITLED
AN ACT
relating to the creation of freight rail districts; granting
authority to issue bonds or other similar obligations to create
public debt; granting the power of eminent domain.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. The legislature finds that:
(1) certain areas of the state suffer from an
outdated, uncoordinated, and inefficient system of freight rail
lines that were originally constructed in rural, sparsely populated
areas that have become part of urban or metropolitan areas;
(2) the excessive number of rail lines in these areas
and the associated at-grade crossings reduce mobility,
unnecessarily increase automobile idling time, increase automobile
emissions, increase the risk of automobile and train accidents,
unnecessarily disrupt residential neighborhoods with freight rail
traffic, and reduce the speed at which freight rail cargoes reach
their destinations;
(3) the ports and related private industry of this
state, which are essential to the commerce and economic development
of the entire state, have traditionally been and continue to be
major generators of freight rail traffic, as a result of which ports
must be participants in the coordination of freight rail traffic in
areas in which the ports operate; and
(4) a system of consolidated, improved freight rail
lines will reduce pollution, improve safety, increase regional
mobility, decrease transit times for freight rail cargoes, benefit
the environment, and generally enhance economic development and the
quality of life in affected areas.
SECTION 2. Title 5, Transportation Code, is amended by
adding Subtitle I to read as follows:
SUBTITLE I. SPECIAL DISTRICTS
CHAPTER 171. FREIGHT RAIL DISTRICTS
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 171.001. DEFINITIONS. In this chapter:
(1) "Board" means the district's board of directors.
(2) "Bonds," "rail facilities," and "revenues" have
the meanings assigned by Chapter 623, Acts of the 67th Legislature,
Regular Session, 1981 (Article 6550c, Vernon's Texas Civil
Statutes).
(3) "District" means a freight rail district created
under this chapter.
(4) "Principal municipality" means the most populous
municipality in the most populous county that created the district.
Sec. 171.002. APPLICABILITY OF RURAL RAIL TRANSPORTATION
DISTRICTS LAW. (a) Except as provided by this chapter, Chapter
623, Acts of the 67th Legislature, Regular Session, 1981 (Article
6550c, Vernon's Texas Civil Statutes), applies to the district as
if the district was created under that chapter.
(b) For purposes of this chapter, an "eligible county" under
Chapter 623, Acts of the 67th Legislature, Regular Session, 1981
(Article 6550c, Vernon's Texas Civil Statutes), means a county that
created the district.
[Sections 171.003-171.050 reserved for expansion]
SUBCHAPTER B. CREATION
Sec. 171.051. APPLICABILITY TO CERTAIN COUNTIES. A
district may be created only in a county with a population of 3.3
million or more and counties adjacent to such a county.
Sec. 171.052. CREATION BY COUNTIES AND MUNICIPALITIES. The
governing bodies of one or more counties and a principal
municipality may by concurrent order or orders and by concurrent
ordinance create a district. A district must include:
(a) a county with a population of 3.3 million or more; and
(b) a principal municipality.
Sec. 171.053. DISTRICT TERRITORY. The district consists of
the territory of each county that created the district and the
principal municipality, if located in more than one county.
[Sections 171.054-171.100 reserved for expansion]
SUBCHAPTER C. BOARD OF DIRECTORS
Sec. 171.101. COMPOSITION OF BOARD. The concurrent order
or orders and current ordinance creating the district must specify
the number of directors for the district and who appoints the
directors, except as otherwise provided in Sec. 171.103 and Sec.
171.104.
Sec. 171.102. PRESIDING OFFICER. The concurrent order or
orders and concurrent ordinance creating the district must specify
who shall serve as presiding officer of the board.
Sec. 171.103. NAVIGATION DISTRICT. If the most populous
county in the district contains a countywide navigation district
and the presiding officer of the navigation district is jointly
appointed by the county and the principal municipality, one of the
directors appointed by the most populous county in the district
shall be the presiding officer of the navigation district. The
common law doctrine of incompatibility does not apply to a director
who serves under this section.
Sec. 171.104. DEPARTMENT OF TRANSPORTATION. The Texas
Transportation Commission may appoint a representative to serve as
an ex officio member of the board of the District.
Sec. 171.105. CONFLICT OF INTEREST. Chapter 171, Local
Government Code, governs conflicts of interest for directors.
[Sections 171.106-171.150 reserved for expansion]
SUBCHAPTER D. POWERS AND DUTIES
Sec. 171.151. GENERAL POWERS. A district may study,
evaluate, design, finance, acquire, construct, maintain, repair,
and operate a system of consolidated, improved, freight rail lines
and other transportation projects.
Section 171.152. FREIGHT RAIL SYSTEM. (a) A district may
plan, acquire, construct, complete, develop, finance, maintain,
improve, own, and operate a new or existing system of freight rail
facilities, including:
(1) tracks;
(2) rail lines;
(3) switching signaling, or other operating
equipment;
(4) a depot;
(5) locomotives;
(6) rolling stock;
(7) maintenance facilities; and
(8) any other property associated with freight rail
operation.
(b) A district may, for a freight rail system created or
operated under this section, exercise the transportation project
powers of a regional mobility authority under Chapter 370.
Sec. 171.153. GENERAL CONTRACT POWERS. A district may
contract with:
(1) any county or municipality, including those that
created the district;
(2) a navigation district that includes all or part of
a county or municipality that created the district;
(3) a municipality that operates a port in a county
that created the district; or
(4) the state and any agency or political subdivision
of the state.
Sec. 171.154. CONTRACT FOR GOODS OR SERVICES. A district
may contract with a county or any other political subdivision of
this state for the district to provide goods or services to an area
outside the boundaries of the district on any conditions agreed to
by the parties.
Sec. 171.155. EXERCISE OF POWERS IN OTHER COUNTIES. The
commissioners court of a county that is not in the district may
authorize the district to exercise its powers in the county.
[Sections 171.156-171.200 reserved for expansion]
SUBCHAPTER E. FINANCIAL PROVISIONS
Sec. 171.201. PLEDGE OF REVENUES. A district may secure and
pledge revenues derived from any source to secure the payment of
district bonds.
Section 171.202. PURCHASE CONTRACTS. Subchapter C, Chapter
60, Water Code, as added by Chapter 307, Acts of the 78th
Legislature, Regular Session, 2003, applies to the district as if
the district were a navigation district under that subchapter. For
the purposes of applying that subchapter to the district under this
section, "commission" means the board.
Sec. 171.203. AD VALOREM TAX PROHIBITED. A district may not
impose an ad valorem tax.
[Sections 171.204-171.250 reserved for expansion]
SUBCHAPTER F. WITHDRAWAL; DISSOLUTION
Sec. 171.251. WITHDRAWAL. A county or municipality that
created the district may petition the board for approval to
withdraw from the district. The board may approve the petition only
if:
(1) the district has no outstanding bonds; or
(2) the district has debt other than bonds and the
board finds that the withdrawal of the county or municipality will
not materially affect the ability of the district to repay the debt.
Sec. 171.252. DISSOLUTION. In addition to the dissolution
procedures provided by Chapter 623, Acts of the 67th Legislature,
Regular Session, 1981 (Article 6550c, Vernon's Texas Civil
Statutes), the board may dissolve a district if:
(1) all district liabilities have been paid or
adequate provision has been made for the payment of all
liabilities;
(2) the district is not a party to any lawsuits or
adequate provision has been made for the satisfaction of any
judgment or order that may be entered against the district in a
lawsuit to which the district is a party; and
(3) the district has commitments from other
governmental entities to assume jurisdiction of all district rail
facilities.
[Sections 171.253-171.260 reserved for expansion]
SUBCHAPTER G. COMMUTER RAIL
Sec. 171.261. APPLICABILITY OF INTERMUNICIPAL COMMUTER
RAIL DISTRICTS LAW. If the concurrent order or orders and
concurrent ordinance creating the district expressly so provide, a
district may exercise the powers of a district under Chapter 381,
Acts of the 75th Legislature, Regular Session 1997 (Article
6550c-1, Vernon's Texas Civil Statutes), in addition to the other
powers as provided in this chapter.
[Sections 171.262-171.270 reserved for expansion]
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.