| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to the cessation of tolls on a toll project under certain |
|
|
circumstances. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Section 222.075, Transportation Code, is amended |
|
|
by amending Subsection (h) and adding Subsection (h-1) to read as |
|
|
follows: |
|
|
(h) Revenue bonds shall: |
|
|
(1) be dated; |
|
|
(2) bear interest at the rate or rates authorized by |
|
|
law; |
|
|
(3) mature at the time or times, serially, as term, |
|
|
revenue bonds, or otherwise not more than 50 years after their |
|
|
dates, except as provided by Subsection (h-1); |
|
|
(4) be called before stated maturity on the terms and |
|
|
at the prices, be in the denominations, be in the form, either |
|
|
coupon or registered, carry registration privileges as to principal |
|
|
only or as to both principal and interest and as to successive |
|
|
exchange of coupon for registered bonds or one denomination for |
|
|
bonds of other denominations, and successive exchange of registered |
|
|
revenue bonds for coupon revenue bonds, be executed in the manner, |
|
|
and be payable at the place or places inside or outside the state, |
|
|
as provided in the order; |
|
|
(5) be issued in temporary or permanent form; |
|
|
(6) be issued in one or more installments and from time |
|
|
to time as required and sold at a price or prices and under terms |
|
|
determined by the commission to be the most advantageous reasonably |
|
|
obtainable; and |
|
|
(7) be issued on a parity with and be secured in the |
|
|
manner as other revenue bonds authorized to be issued by this |
|
|
section or be issued without parity and secured differently from |
|
|
other revenue bonds. |
|
|
(h-1) Bonds issued to finance a toll project under Chapter |
|
|
228 must mature not more than 30 years after their dates of |
|
|
issuance. |
|
|
SECTION 2. Section 228.053(f), Transportation Code, is |
|
|
amended to read as follows: |
|
|
(f) The revenue and disbursements for each toll project or |
|
|
system shall be kept separately. The revenue from one project may |
|
|
not be used to pay the cost of another project except as authorized |
|
|
by Section [Sections] 228.0055 [and 228.006]. |
|
|
SECTION 3. Section 228.104(a), Transportation Code, is |
|
|
amended to read as follows: |
|
|
(a) The principal of, interest on, and any redemption |
|
|
premium on bonds issued by the commission under this subchapter are |
|
|
payable solely from: |
|
|
(1) the revenue of the toll project or system for which |
|
|
the bonds are issued, including tolls pledged to pay the bonds; |
|
|
(2) the proceeds of bonds issued for the project or |
|
|
system; |
|
|
(3) the amounts deposited in a debt service reserve |
|
|
fund as required by the trust agreement securing bonds issued for |
|
|
the project or system; |
|
|
(4) amounts received under a credit agreement relating |
|
|
to the project or system for which the bonds are issued; and |
|
|
(5) [surplus revenue of another project or system as
|
|
|
authorized by Section 228.006; and
|
|
|
[(6)] amounts received by the department: |
|
|
(A) as pass-through tolls under Section 222.104; |
|
|
(B) under an agreement with a local governmental |
|
|
entity entered into under Section 228.254; |
|
|
(C) under other agreements with a local |
|
|
governmental entity relating to the project or system for which the |
|
|
bonds are issued; and |
|
|
(D) under a comprehensive development agreement |
|
|
entered into under Section 223.201. |
|
|
SECTION 4. Section 228.105, Transportation Code, is amended |
|
|
to read as follows: |
|
|
Sec. 228.105. SOURCES OF PAYMENT OF AND SECURITY FOR TOLL |
|
|
REVENUE BONDS. Notwithstanding any other provisions of this |
|
|
subchapter, toll revenue bonds issued by the commission may: |
|
|
(1) be payable from and secured by: |
|
|
(A) payments made under an agreement with a local |
|
|
governmental entity as provided by Section 228.254; |
|
|
(B) the proceeds of bonds issued for the toll |
|
|
project or system; or |
|
|
(C) amounts deposited in a debt service reserve |
|
|
fund as required by the trust agreement securing bonds issued for |
|
|
the project or system[; or
|
|
|
[(D) surplus revenue of another toll project or
|
|
|
system as authorized by Section 228.006]; and |
|
|
(2) state on their faces any pledge of revenue or taxes |
|
|
and any security for the bonds under the agreement. |
|
|
SECTION 5. Section 284.031(c), Transportation Code, is |
|
|
amended to read as follows: |
|
|
(c) The bonds issued under this chapter may be authorized by |
|
|
bond resolution at one time or from time to time and shall mature on |
|
|
or before the 30th [40th] anniversary of their date. |
|
|
SECTION 6. Sections 366.111(a), (b), and (f), |
|
|
Transportation Code, are amended to read as follows: |
|
|
(a) An authority, by adoption of a bond resolution, may |
|
|
authorize the issuance of bonds to pay all or part of the cost of a |
|
|
turnpike project or system or[,] to refund any bonds previously |
|
|
issued for the turnpike project or system[, or to pay for all or
|
|
|
part of the cost of a turnpike project or system 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 and beginning on |
|
|
the dates, as authorized by law, or bear no interest; |
|
|
(3) mature at the time or times, not exceeding 30 [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. |
|
|
(f) If the proceeds of a bond issue exceed the cost of the |
|
|
turnpike project or system 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. The |
|
|
bond resolution: |
|
|
(1) may authorize the deposit of the surplus to a |
|
|
surplus revenue trust fund under Section 371.053; and |
|
|
(2) may not authorize the surplus to be used for a |
|
|
purpose other than payment of: |
|
|
(A) an authority's debt service requirements for |
|
|
the project or system, 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 |
|
|
the project or system; |
|
|
(C) costs of operation and maintenance for the |
|
|
project or system; |
|
|
(D) cost of repair, expansion, or improvement of |
|
|
the project or system; |
|
|
(E) amounts allocated for feasibility studies; |
|
|
or |
|
|
(F) necessary reserves as determined by the |
|
|
authority. |
|
|
SECTION 7. Section 366.113(a), Transportation Code, is |
|
|
amended to read as follows: |
|
|
(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 turnpike project or system for |
|
|
which the bonds are issued, including tolls pledged to pay the |
|
|
bonds; |
|
|
(2) payments made under an agreement with the |
|
|
commission or a local governmental entity as provided by Subchapter |
|
|
G; |
|
|
(3) money derived from any other source available to |
|
|
the authority, other than money derived from a turnpike 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 turnpike project or system has been pledged for that purpose]; |
|
|
and |
|
|
(4) amounts received under a credit agreement relating |
|
|
to the turnpike project or system for which the bonds are issued. |
|
|
SECTION 8. Sections 370.111(a), (b), and (f), |
|
|
Transportation Code, are amended to read as follows: |
|
|
(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, if the project is not a turnpike |
|
|
project, to pay for all or part of the cost of a transportation |
|
|
project that will become a part of another system. An authority may |
|
|
not authorize the issuance of bonds to pay all or part of the cost of |
|
|
a turnpike 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 30 [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. |
|
|
(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. If the |
|
|
transportation project is a turnpike project, the bond resolution: |
|
|
(1) may authorize the deposit of the surplus to the |
|
|
surplus revenue trust fund under Section 371.053; and |
|
|
(2) may not authorize the surplus to be used for a |
|
|
purpose other than payment of: |
|
|
(A) an authority's debt service requirements for |
|
|
the 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 |
|
|
the project; |
|
|
(C) costs of operation and maintenance for the |
|
|
project; or |
|
|
(D) cost of repair, expansion, or improvement of |
|
|
the project. |
|
|
SECTION 9. The heading to Section 370.174, Transportation |
|
|
Code, is amended to read as follows: |
|
|
Sec. 370.174. USE OF SURPLUS REVENUE FROM TRANSPORTATION |
|
|
PROJECTS OTHER THAN TURNPIKE PROJECTS. |
|
|
SECTION 10. Section 370.174(a), Transportation Code, is |
|
|
amended to read as follows: |
|
|
(a) Each year, if an authority determines that it has |
|
|
surplus revenue from a transportation project other than a turnpike |
|
|
project [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. Surplus revenue |
|
|
from a turnpike project is governed by Section 371.053. |
|
|
SECTION 11. Subtitle G, Title 6, Transportation Code, is |
|
|
amended by adding Chapter 371 to read as follows: |
|
|
CHAPTER 371. PROVISIONS APPLICABLE TO MORE THAN |
|
|
ONE TYPE OF TOLL PROJECT |
|
|
SUBCHAPTER A. GENERAL PROVISIONS |
|
|
Sec. 371.001. DEFINITIONS. In this chapter: |
|
|
(1) "Toll project" means a toll project described by |
|
|
Section 201.001(b), regardless of whether the toll project: |
|
|
(A) is a part of the state highway system; or |
|
|
(B) is subject to the jurisdiction of the |
|
|
department. |
|
|
(2) "Toll project entity" means an entity authorized |
|
|
by law to acquire, design, construct, finance, operate, and |
|
|
maintain a toll project, including: |
|
|
(A) the department under Chapter 227 or 228; |
|
|
(B) a regional tollway authority under Chapter |
|
|
366; |
|
|
(C) a regional mobility authority under Chapter |
|
|
370; or |
|
|
(D) a county under Chapter 284. |
|
|
[Sections 371.002-371.050 reserved for expansion] |
|
|
SUBCHAPTER B. CESSATION OF TOLLS AFTER PAYMENT OF BONDS |
|
|
Sec. 371.051. CESSATION OF TOLLS; TRANSFER TO STATE HIGHWAY |
|
|
SYSTEM. (a) Except as provided by Subsection (b), a toll project |
|
|
becomes a part of the state highway system and the commission shall |
|
|
maintain the project without tolls when: |
|
|
(1) all of the bonds and interest on the bonds issued |
|
|
for the project have been paid; or |
|
|
(2) a sufficient amount for the payment of all bonds |
|
|
and the interest on the bonds to maturity has been set aside in a |
|
|
surplus revenue trust fund under Section 371.053. |
|
|
(b) A county that constructs a toll project under Chapter |
|
|
284 may, before construction on the project begins, request that |
|
|
the commission adopt an order stating that the project will not |
|
|
become part of the state highway system under Subsection (a). If |
|
|
the commission adopts the order: |
|
|
(1) Section 362.051 does not apply to the project; |
|
|
(2) the project must be maintained by the county |
|
|
without tolls; and |
|
|
(3) the project will not become part of the state |
|
|
highway system unless the entity transfers the project under |
|
|
Section 284.011, as added by Chapter 281, Acts of the 79th |
|
|
Legislature, Regular Session, 2005. |
|
|
(c) This section applies to a toll project regardless of |
|
|
whether bonds for the project were issued by the toll project entity |
|
|
or a private entity. |
|
|
Sec. 371.052. BOND TERM LIMIT. Notwithstanding any other |
|
|
law, bonds secured by revenue of a toll project, including bonds |
|
|
issued by a private entity that finances a toll project, may not be |
|
|
for a term of more than 30 years. |
|
|
Sec. 371.053. SURPLUS REVENUE TRUST FUND. For each toll |
|
|
project of a toll project entity, the entity shall annually set |
|
|
aside in a trust fund held for the benefit of the bondholders any |
|
|
revenue that exceeds: |
|
|
(1) the entity's debt service requirements for the |
|
|
project, including the redemption or purchase price of bonds |
|
|
subject to redemption or purchase as provided in the applicable |
|
|
bond proceedings; |
|
|
(2) coverage requirements of a bond indenture for the |
|
|
project; |
|
|
(3) costs of operation and maintenance for the |
|
|
project; |
|
|
(4) cost of repair, expansion, or improvement of the |
|
|
project; |
|
|
(5) amounts allocated for feasibility studies; and |
|
|
(6) necessary reserves as determined by the entity. |
|
|
SECTION 12. The following provisions of the Transportation |
|
|
Code are repealed: |
|
|
(1) Section 228.006; |
|
|
(2) Section 228.109(d); |
|
|
(3) Sections 284.008(c) and (d); and |
|
|
(4) Section 366.175. |
|
|
SECTION 13. The changes in law made by this Act apply only |
|
|
to a proposed toll project for which bonds have not been issued on |
|
|
or before the effective date of this Act. |
|
|
SECTION 14. This Act takes effect September 1, 2007. |