LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 80TH LEGISLATIVE REGULAR SESSION

April 16, 2007

TO:	Honorable Mike Krusee, Chair, House Committee on Transportation
FROM:	John S. O'Brien, Director, Legislative Budget Board
IN RE:	HB2631 by Bolton (Relating to the conversion of a nontolled state highway or segment of the state highway system to a toll project.), As Introduced

The fiscal implications to the State cannot be determined.

The bill would amend the Transportation Code to remove provisions that authorize the Texas Department of Transportation (TxDOT) to operate a nontolled state highway or a segment of a nontolled state highway as a toll project if the highway or segment is reconstructed so that the number of nontolled lanes is greater than or equal to the number in existence before the reconstruction; or a facility is constructed adjacent to the highway or segment so that the number of nontolled lanes on the converted highway or segment and the adjacent facility together is greater than or equal to the number in existence on the converted highway or segment before the conversion.

According to TxDOT, the bill would prevent TxDOT from moving forward with the development, construction, and operation of approximately $8.5 billion worth of projects currently planned as toll projects, unless the conversion requirements of county and voter approval are met, pursuant to Sections 228.207 and 228.208 of the Transportation Code. The department also indicates that some of the planned projects would include concession fee and toll revenue sharing that could be used to finance other infrastructure improvements in the associated regions. Based on the information provided by TxDOT, it is assumed any fiscal implications to the state would depend on the number of potential transportation projects and concession agreements that could be implemented under current law but would be delayed or prohibited as a result of the enactment of the bill and, therefore, cannot be determined.

The bill would take effect immediately upon receiving a vote of two-thirds of all members elected to each house or otherwise on September 1, 2007.

Local Government Impact

Based on the information provided by TxDOT, the fiscal implications would depend on the number of transportation projects that would be delayed or prohibitied and potential toll and concession revenues that could be reinvested in each region under current law and, therefore, cannot be determined.

Source Agencies:

601 Department of Transportation

LBB Staff:

JOB, KJG, MW, TG