BILL ANALYSIS

 

 

Senate Research Center                                                                                               C.S.S.B. 1795

80R11072 DWS-F                                                                                                            By: Ogden

                                                                                                 Transportation & Homeland Security

                                                                                                                                            3/26/2007

                                                                                                        Committee Report (Substituted)

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

H.B. 3588, 78th Legislature, Regular Session, 2003, provided the Texas Transportation Commission with several options to address the state’s need to build and improve roadways throughout the state, including the authority to issue bonds against state motor fuel tax deposits.  The current statute provides for a $3 billion cap on the usage of these bonds, limiting the maximum amount that may be used in a single year to $1 billion.  Of this amount, $600 million is required to be used on highway safety programs.

 

C.S.S.B. 1795 doubles the cap on the bonds that may be issued to fund highway projects to $6 billion, doubles the limit on the amount that can be issued in any single year to $1.5 billion, and doubles the required amount to be spent on highway safety projects to $1.2 billion.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1.  Amends Sections 222.003(b) and (d), Transportation Code, as follows:

 

(b)  Prohibits the aggregate principal amount of the bonds and other public securities that are issued from exceeding $6 billion, rather than $3 billion.  Authorizes the Texas Transportation Commission (commission) to only issue bonds or other public securities in an aggregate principal amount of not more than $1.5 billion, rather than $1 billion, each year.

 

(c)   Requires the commission, of the aggregate principal amount of bonds and other public securities that may be issued under this section, to issue bonds or other public securities in an aggregate principal amount of $1.2 billion, rather than $600 million, to fund projects that reduce accidents or correct or improve hazardous locations on the state highway system.

 

SECTION 2.  Effective date: September 1, 2007.