81R32697 JTS/CBH-F
 
  By: Truitt, Anchia, Branch, McClendon, H.B. No. 9
      et al.
 
  Substitute the following for H.B. No. 9:
 
  By:  Pickett C.S.H.B. No. 9
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to transportation funding in this state.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
  ARTICLE 1.  USE OF STATE HIGHWAY FUND
         SECTION 1.01.  Section 201.115(d), Transportation Code, is
  amended to read as follows:
         (d)  Notwithstanding Section 222.001, money in the state
  highway fund may be used to repay a loan under this section, if
  permissible under the Texas Constitution and appropriated by the
  legislature for that purpose.
         SECTION 1.02.  Section 222.001, Transportation Code, is
  amended to read as follows:
         Sec. 222.001.  USE OF STATE HIGHWAY FUND. (a)  Money that is
  required to be used for public roadways by the Texas Constitution or
  federal law and that is deposited in the state treasury to the
  credit of the state highway fund, including money deposited to the
  credit of the state highway fund under Title 23, United States Code,
  may be used only:
               (1)  to improve the state highway system; or
               (2)  to mitigate adverse environmental effects that
  result directly from construction or maintenance of a state highway
  by the department[; or
               [(3)     by the Department of Public Safety to police the
  state highway system and to administer state laws relating to
  traffic and safety on public roads].
         (b)  If the Texas Constitution dedicates a portion of the net
  revenue derived from the taxes imposed on motor fuels for the
  purpose of constructing, maintaining, and operating passenger
  rail, transit rail, and freight rail, the money may be used only to:
               (1)  improve a passenger or freight rail facility,
  including a passenger or freight rail facility of:
                     (A)  a transit authority under Chapter 451;
                     (B)  a transportation authority under Chapter 452
  or 460;
                     (C)  a transit department under Chapter 453; or
                     (D)  a regional mobility authority under Chapter
  370; or
               (2)  mitigate adverse environmental effects that
  result directly from construction or maintenance of a project
  described in Subdivision (1).
         (c)  Except as otherwise provided by this code, money in the
  state highway fund that is not described by Subsection (a) or (b)
  may be used only to improve the state highway system.
         SECTION 1.03.  Section 222.073, Transportation Code, is
  amended to read as follows:
         Sec. 222.073.  PURPOSES OF INFRASTRUCTURE BANK. To the
  extent permissible under [Notwithstanding] Section 222.001, the
  commission shall use money deposited in the bank to:
               (1)  encourage public and private investment in
  transportation facilities both within and outside of the state
  highway system, including facilities that contribute to the
  multimodal and intermodal transportation capabilities of the
  state; and
               (2)  develop financing techniques designed to:
                     (A)  expand the availability of funding for
  transportation projects and to reduce direct state costs;
                     (B)  maximize private and local participation in
  financing projects; and
                     (C)  improve the efficiency of the state
  transportation system.
         SECTION 1.04.  Section 222.002, Transportation Code, is
  repealed.
         SECTION 1.05.  This article takes effect September 1, 2011.
  ARTICLE 2.  MOTOR FUELS TAXES
         SECTION 2.01.  Section 162.102, Tax Code, is amended to read
  as follows:
         Sec. 162.102.  TAX RATE.  Except as provided by Section
  162.1025, the [The] gasoline tax rate is 20 cents for each net
  gallon or fractional part on which the tax is imposed under Section
  162.101.
         SECTION 2.02.  Subchapter B, Chapter 162, Tax Code, is
  amended by adding Section 162.1025 to read as follows:
         Sec. 162.1025.  ANNUAL RATE CHANGE ACCORDING TO PRODUCER
  PRICE INDEX. (a) In this section:
               (1)  "Producer price index" means the producer price
  index for highway and street construction published by the United
  States Department of Labor.
               (2)  "Producer price index percentage change" means the
  percentage increase or decrease, not to exceed five percent, in the
  producer price index of a given state fiscal year from the producer
  price index of the preceding state fiscal year.
         (b)  Subject to Subsections (c) and (d), on October 1 of each
  year, the rate of the gasoline tax imposed under this subchapter is
  increased or decreased by an amount that is equal to the producer
  price index percentage change for the preceding fiscal year
  multiplied by the rate of the state gasoline tax on August 1 of that
  year.
         (c)  If the computation required by Subsection (b) will
  result in a tax rate that is less than 20 cents for each net gallon
  or fractional part on which the tax is imposed under Section
  162.101, the comptroller shall set the tax rate at 20 cents.
         (d)  The rate of the gasoline tax imposed under this
  subchapter may not be:
               (1)  increased by a total of more than three cents each
  state fiscal biennium; or
               (2)  increased or decreased under this section on or
  after September 1, 2022.
         (e)  Not later than September 1 of each year, the comptroller
  shall:
               (1)  compute the new tax rate as provided by this
  section;
               (2)  give the new tax rate to the secretary of state for
  publication in the Texas Register; and
               (3)  notify each license holder under this subchapter
  of the applicable new tax rate.
         SECTION 2.03.  Section 162.103(a), Tax Code, is amended to
  read as follows:
         (a)  A backup tax is imposed at the rate prescribed by
  Sections [Section] 162.102 and 162.1025 on:
               (1)  a person who obtains a refund of tax on gasoline by
  claiming the gasoline was used for an off-highway purpose, but
  actually uses the gasoline to operate a motor vehicle on a public
  highway;
               (2)  a person who operates a motor vehicle on a public
  highway using gasoline on which tax has not been paid; and
               (3)  a person who sells to the ultimate consumer
  gasoline on which tax has not been paid and who knew or had reason to
  know that the gasoline would be used for a taxable purpose.
         SECTION 2.04.  Section 162.113(e), Tax Code, is amended to
  read as follows:
         (e)  A licensed distributor or licensed importer who makes
  timely payments of the gasoline tax imposed under this subchapter
  is entitled to retain an amount equal to 0.30 [1.75] percent of the
  total taxes to be paid to the supplier or permissive supplier to
  cover administrative expenses.
         SECTION 2.05.  Section 162.116(b), Tax Code, is amended to
  read as follows:
         (b)  A supplier or permissive supplier that timely pays the
  tax to this state may deduct from the amount of tax due a collection
  allowance equal to one-half of one [two] percent of the amount of
  tax payable to this state.
         SECTION 2.06.  Section 162.119(b), Tax Code, is amended to
  read as follows:
         (b)  An importer of gasoline that timely files a return and
  payment may deduct from the amount of tax payable with the return a
  collection allowance equal to one-half of one [two] percent of the
  amount of tax payable to this state.
         SECTION 2.07.  Section 162.127(f), Tax Code, is amended to
  read as follows:
         (f)  After examination of the refund claim, the comptroller,
  before issuing a refund warrant, shall deduct from the amount of the
  refund the one-half of one [two] percent deducted originally by the
  license holder on the first sale or distribution of the gasoline.
         SECTION 2.08.  Section 162.202, Tax Code, is amended to read
  as follows:
         Sec. 162.202.  TAX RATE. Except as provided by Section
  162.2025, the [The] diesel fuel tax rate is 20 cents for each net
  gallon or fractional part on which the tax is imposed under Section
  162.201.
         SECTION 2.09.  Subchapter C, Chapter 162, Tax Code, is
  amended by adding Section 162.2025 to read as follows:
         Sec. 162.2025.  ANNUAL RATE CHANGE ACCORDING TO PRODUCER
  PRICE INDEX. (a) In this section:
               (1)  "Producer price index" means the producer price
  index for highway and street construction published by the United
  States Department of Labor.
               (2)  "Producer price index percentage change" means the
  percentage increase or decrease, not to exceed five percent, in the
  producer price index of a given state fiscal year from the producer
  price index of the preceding state fiscal year.
         (b)  Subject to Subsections (c) and (d), on October 1 of each
  year, the rate of the diesel fuel tax imposed under this subchapter
  is increased or decreased by an amount that is equal to the producer
  price index percentage change for the preceding fiscal year
  multiplied by the rate of the state diesel fuel tax on August 1 of
  that year.
         (c)  If the computation required by Subsection (b) will
  result in a tax rate that is less than 20 cents for each net gallon
  or fractional part on which the tax is imposed under Section
  162.201, the comptroller shall set the tax rate at 20 cents.
         (d)  The rate of the diesel fuel tax imposed under this
  subchapter may not be:
               (1)  increased by a total of more than three cents each
  state fiscal biennium; or
               (2)  increased or decreased under this section on or
  after September 1, 2022.
         (e)  Not later than September 1 of each year, the comptroller
  shall:
               (1)  compute the new tax rate as provided by this
  section;
               (2)  give the new tax rate to the secretary of state for
  publication in the Texas Register; and
               (3)  notify each license holder under this subchapter
  of the applicable new tax rate.
         SECTION 2.10.  Section 162.203(a), Tax Code, is amended to
  read as follows:
         (a)  A backup tax is imposed at the rate prescribed by
  Sections [Section] 162.202 and 162.2025 on:
               (1)  a person who obtains a refund of tax on diesel fuel
  by claiming the diesel fuel was used for an off-highway purpose, but
  actually uses the diesel fuel to operate a motor vehicle on a public
  highway;
               (2)  a person who operates a motor vehicle on a public
  highway using diesel fuel on which tax has not been paid; and
               (3)  a person who sells to the ultimate consumer diesel
  fuel on which a tax has not been paid and who knew or had reason to
  know that the diesel fuel would be used for a taxable purpose.
         SECTION 2.11.  Section 162.214(e), Tax Code, is amended to
  read as follows:
         (e)  A licensed distributor or licensed importer who makes
  timely payments of the diesel fuel tax imposed under this
  subchapter is entitled to retain an amount equal to 0.30 [1.75]
  percent of the total taxes to be paid to the supplier or permissive
  supplier to cover administrative expenses.
         SECTION 2.12.  Section 162.217(b), Tax Code, is amended to
  read as follows:
         (b)  A supplier or permissive supplier that timely pays the
  tax to this state may deduct from the amount of tax due a collection
  allowance equal to one-half of one [two] percent of the amount of
  tax payable to this state.
         SECTION 2.13.  Section 162.220(b), Tax Code, is amended to
  read as follows:
         (b)  An importer of diesel fuel that timely files a return
  and payment may deduct from the amount of tax payable with the
  return a collection allowance equal to one-half of one [two]
  percent of the amount of tax payable to this state.
         SECTION 2.14.  Section 162.229(f), Tax Code, is amended to
  read as follows:
         (f)  After examination of the refund claim, the comptroller,
  before issuing a refund warrant, shall deduct from the amount of the
  refund the one-half of one [two] percent deducted originally by the
  license holder on the first sale or distribution of the diesel fuel.
         SECTION 2.15.  Section 162.308(c), Tax Code, is amended to
  read as follows:
         (c)  The tax on one-half of one percent of the taxable
  gallons of liquefied gas sold in this state shall be allocated to
  the licensed dealer making the sale for the expense of collecting,
  accounting for, reporting, and timely remitting the taxes collected
  and for keeping the records. The allocation allowance shall be
  deducted by the licensed dealer when paying the tax to this state.
         SECTION 2.16.  Section 162.311(c), Tax Code, is amended to
  read as follows:
         (c)  A licensed interstate trucker is entitled to a refund of
  the amount of the liquefied gas tax paid under this subchapter on
  each gallon of liquefied gas subsequently used outside this state.
  On verification by the comptroller that the interstate trucker's
  report was timely filed with all information required, the
  comptroller shall issue a warrant to the interstate trucker for the
  amount of the refund less the one-half of one percent deducted
  originally by the licensed dealer making the sale. An interstate
  trucker who fails to file an interstate trucker report by the 25th
  day of the month following the end of a calendar quarter forfeits
  the right to a refund.
         SECTION 2.17.  Sections 2.01, 2.02, 2.03, 2.08, 2.09, and
  2.10 of this article take effect only if the constitutional
  amendment proposed by the 81st Legislature, Regular Session, 2009,
  prescribing the purposes for which revenue from motor vehicle
  registration fees and taxes on motor fuels and lubricants and
  certain revenues received by the federal government may be used and
  authorizing the legislature to provide for automatic adjustments of
  the rates of motor fuels taxes is approved by the voters. If that
  amendment is not approved by the voters, those sections of this
  article have no effect.
         SECTION 2.18.  If this Act receives the vote necessary for
  immediate effect, Sections 2.04, 2.05, 2.06, 2.07, 2.11, 2.12,
  2.13, 2.14, 2.15, and 2.16 of this article take effect June 1, 2009.
  ARTICLE 3. EFFECTIVE DATE
         SECTION 3.01.  Except as otherwise provided by this Act,
  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, 2009.