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  81R10205 SLB-F
 
  By: Phillips H.B. No. 2990
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the authority and powers of regional mobility
  authorities.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 370.003(12) and (14), Transportation
  Code, are amended to read as follows:
               (12)  "Surplus revenue" means revenue that exceeds:
                     (A)  an authority's debt service requirements for
  a transportation project, including the redemption or purchase
  price of bonds subject to redemption or purchase as provided in the
  applicable bond proceedings;
                     (A-1)  an authority's payment obligations under a
  contract or agreement authorized by this chapter;
                     (B)  coverage requirements of a bond indenture for
  a transportation project;
                     (C)  costs of operation and maintenance for a
  transportation project;
                     (D)  cost of repair, expansion, or improvement of
  a transportation project;
                     (E)  funds allocated for feasibility studies; and
                     (F)  necessary reserves as determined by the
  authority.
               (14)  "Transportation project" means:
                     (A)  a turnpike project;
                     (B)  a system;
                     (C)  a passenger or freight rail facility,
  including:
                           (i)  tracks;
                           (ii)  a rail line;
                           (iii)  switching, signaling, or other
  operating equipment;
                           (iv)  a depot;
                           (v)  a locomotive;
                           (vi)  rolling stock;
                           (vii)  a maintenance facility; and
                           (viii)  other real and personal property
  associated with a rail operation;
                     (D)  a roadway with a functional classification
  greater than a local road or rural minor collector;
                     (E)  a ferry;
                     (F)  an airport[, other than an airport that on
  September 1, 2005, was served by one or more air carriers engaged in
  scheduled interstate transportation, as those terms were defined by
  14 C.F.R. Section 1.1 on that date];
                     (G)  a pedestrian or bicycle facility;
                     (H)  an intermodel hub;
                     (I)  an automated conveyor belt for the movement
  of freight;
                     (J)  a border crossing inspection station;
                     (K)  an air quality improvement initiative;
                     (L)  a public utility facility;
                     (M)  a transit system;
                     (M-1)  a parking area, structure, or facility, or
  a collection device for parking fees; and
                     (N)  if applicable, projects and programs listed
  in the most recently approved state implementation plan for the
  area covered by the authority, including an early action compact.
         SECTION 2.  Section 370.004(a), Transportation Code, is
  amended to read as follows:
         (a)  The cost of acquisition, construction, improvement,
  extension, or expansion of a transportation project under this
  chapter includes the cost of:
               (1)  the actual acquisition, construction,
  improvement, extension, or expansion of the transportation
  project;
               (2)  the acquisition of real property, rights-of-way,
  property rights, easements, and other interests in real property;
               (3)  machinery and equipment;
               (4)  interest payable before, during, and for not more
  than three years after acquisition, construction, improvement,
  extension, or expansion as provided in the bond proceedings;
               (5)  traffic estimates, revenue estimates, engineering
  and legal services, plans, specifications, surveys, appraisals,
  construction cost estimates, and other expenses necessary or
  incidental to determining the feasibility of the acquisition,
  construction, improvement, extension, or expansion;
               (6)  necessary or incidental administrative, legal,
  and other expenses;
               (7)  compliance with laws, regulations, and
  administrative rulings, including any costs associated with
  necessary environmental mitigation measures;
               (8)  financing;
               (9)  the assumption of debts, obligations, and
  liabilities of an entity relating to a transportation project
  transferred to an authority by that entity; [and]
               (10)  expenses related to the initial operation of the
  transportation project; and
               (11)  payment obligations of an authority under a
  contract or agreement authorized by this chapter in connection with
  the acquisition, construction, improvement, extension, expansion,
  or financing of the transportation project.
         SECTION 3.  Sections 370.033(a), (f), and (g),
  Transportation Code, are amended to read as follows:
         (a)  An authority, through its board, may:
               (1)  adopt rules for the regulation of its affairs and
  the conduct of its business;
               (2)  adopt an official seal;
               (3)  study, evaluate, design, finance, acquire,
  construct, maintain, repair, and operate transportation projects,
  individually or as one or more systems, provided that a
  transportation project that is subject to Subpart C, 23 C.F.R. Part
  450, is:
                     (A)  included in the plan approved by the
  applicable metropolitan planning organization; and
                     (B)  consistent with the statewide transportation
  plan and the statewide transportation improvement program;
               (4)  acquire, hold, and dispose of property in the
  exercise of its powers and the performance of its duties under this
  chapter;
               (5)  enter into contracts or operating agreements with
  a similar authority, another governmental entity, or an agency of
  the United States, a state of the United States, the United Mexican
  States, or a state of the United Mexican States;
               (6)  enter into contracts or agreements necessary or
  incidental to its powers and duties under this chapter;
               (7)  cooperate and work directly with property owners
  and governmental entities and officials to support an activity
  required to promote or develop a transportation project;
               (8)  employ and set the compensation and benefits of
  administrators, consulting engineers, attorneys, accountants,
  construction and financial experts, superintendents, managers,
  full-time and part-time employees, agents, consultants, and other
  persons as the authority considers necessary or useful;
               (8-a) participate in the state travel management
  program administered by the comptroller for the purpose of
  obtaining reduced airline fares and reduced travel agent fees,
  provided that the comptroller may charge the authority a fee not to
  exceed the costs incurred by the comptroller in providing services
  to the authority;
               (9)  notwithstanding Sections 221.003 and 222.031 and
  subject to Subsections (j) and (m), apply for, directly or
  indirectly receive and spend loans, gifts, grants, and other
  contributions for any purpose of this chapter, including the
  construction of a transportation project, and receive and spend
  contributions of money, property, labor, or other things of value
  from any source, including the United States, a state of the United
  States, the United Mexican States, a state of the United Mexican
  States, the commission, the department, a subdivision of this
  state, or a governmental entity or private entity, to be used for
  the purposes for which the grants, loans, or contributions are
  made, and enter into any agreement necessary for the grants, loans,
  or contributions;
               (10)  install, construct, or contract for the
  construction of public utility facilities, direct the time and
  manner of construction of a public utility facility in, on, along,
  over, or under a transportation project, or request the removal or
  relocation of a public utility facility in, on, along, over, or
  under a transportation project;
               (11)  organize a corporation under Chapter 431 for the
  promotion and development of transportation projects;
               (12)  adopt and enforce rules not inconsistent with
  this chapter for the use of any transportation project, including
  tolls, fares, or other user fees, speed and weight limits, and
  traffic and other public safety rules, provided that an authority
  must consider the same factors that the Texas Turnpike Authority
  division of the department must consider in altering a prima facie
  speed limit under Section 545.354;
               (13)  enter into leases, operating agreements, service
  agreements, licenses, franchises, and similar agreements with a
  public or private party governing the party's use of all or any
  portion of a transportation project and the rights and obligations
  of the authority with respect to a transportation project;
               (14)  borrow money from or enter into a loan agreement
  or other arrangement with the state infrastructure bank, the
  department, the commission, or any other public or private entity;
  and
               (15)  do all things necessary or appropriate to carry
  out the powers and duties expressly granted or imposed by this
  chapter.
         (f)  An authority and a governmental entity may enter into a
  contract, agreement, interlocal agreement, or other similar
  arrangement under which the authority may plan, design, construct,
  or operate a transportation project on behalf of the governmental
  entity. An authority may enter into a contract with the department
  under which the authority will plan, develop, operate, or maintain
  a transportation project on behalf of the department, subject to
  the transportation project being in the authority's area of
  jurisdiction. A contract or agreement under this subsection may
  contain terms and conditions as may be approved by an authority,
  including payment obligations of the governmental entity and the
  authority.
         (g)  Payments to be made to an authority under a contract or
  agreement described by Subsection (f) constitute operating
  expenses of the transportation project or system that is to be
  operated under the contract. The contract may extend for the number
  of years as agreed to by the parties.
         SECTION 4.  Subchapter B, Chapter 370, Transportation Code,
  is amended by adding Section 370.040 to read as follows:
         Sec. 370.040.  TOLL COLLECTION. (a)  An authority shall
  provide, for reasonable compensation, customer service and other
  toll collection and enforcement services for a toll project in the
  geographic boundaries of the authority, regardless of whether the
  toll project is developed, financed, constructed, and operated
  under an agreement, including a comprehensive development
  agreement, with the authority or another entity.
         (b)  An authority may not provide financial security for the
  performance of services it provides under Subsection (a) if:
               (1)  the authority determines that providing financial
  security could restrict the amount or increase the cost of bonds or
  other debt obligations the authority may subsequently issue under
  this chapter; or
               (2)  the authority is not reimbursed its cost of
  providing the security.
         (c)  Subsection (a) may be waived by the authority under a
  written agreement between the authority and the entity developing
  the toll project.
         SECTION 5.  Sections 370.071(a) and (b), Transportation
  Code, are amended to read as follows:
         (a)  An authority may pay the expenses of studying the cost
  and feasibility of a transportation project, the design and
  engineering of a transportation project, and any other expenses
  relating to the preparation and issuance of bonds for a proposed
  transportation project by:
               (1)  using legally available revenue derived from an
  existing transportation project;
               (2)  borrowing money and issuing bonds or entering into
  a loan agreement payable out of legally available revenue
  anticipated to be derived from the operation of an existing
  transportation project; [or]
               (3)  pledging to the payment of the bonds or a loan
  agreement legally available revenue anticipated to be derived from
  the operation of transportation projects or revenue legally
  available to the authority from another source; or
               (4)  pledging to the payment of the bonds or a loan
  agreement the proceeds from the sale of other bonds.
         (b)  Money spent under this section for a proposed
  transportation project must be reimbursed to the transportation
  project from which the money was spent from the proceeds of bonds
  issued for the acquisition and construction of the proposed
  transportation project, unless the transportation projects are or
  become part of a system under Section 370.034.
         SECTION 6.  Section 370.072(c), Transportation Code, is
  amended to read as follows:
         (c)  Money in the feasibility study fund may be used only to
  pay the expenses of studying the cost and feasibility of a
  transportation project, the design and engineering of a
  transportation project, and any other expenses relating to:
               (1)  the preparation and issuance of bonds for the
  acquisition and construction of a proposed transportation project;
               (2)  the financing of the improvement, extension, or
  expansion of an existing transportation project; and
               (3)  private participation, as authorized by law, in
  the financing of a proposed transportation project, the refinancing
  of an existing transportation project or system, or the
  improvement, extension, or expansion of a transportation project.
         SECTION 7.  Section 370.073(a), Transportation Code, is
  amended to read as follows:
         (a)  One or more municipalities, counties, or other
  governmental entities, a combination of municipalities, counties,
  and other governmental entities, or a private group or combination
  of individuals in this state may pay all or part of the expenses of
  studying the cost and feasibility of a transportation project, the
  design and engineering of a transportation project, and any other
  expenses relating to:
               (1)  the preparation and issuance of bonds for the
  acquisition or construction of a proposed transportation project by
  an authority;
               (2)  the improvement, extension, or expansion of an
  existing transportation project of the authority; or
               (3)  the use of private participation under applicable
  law in connection with the acquisition, construction, improvement,
  expansion, extension, maintenance, repair, or operation of a
  transportation project by an authority.
         SECTION 8.  Section 370.113(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 transportation project for
  which the bonds are issued;
               (2)  payments made under an agreement with the
  commission, the department, or other governmental entity as
  authorized [provided] by this chapter [Subchapter G];
               (3)  money derived from any other source available to
  the authority, other than money derived from a transportation
  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
  transportation project or system has been pledged for that purpose;
  [and]
               (4)  amounts received under a credit agreement relating
  to the transportation project for which the bonds are issued; and
               (5)  the proceeds of the sale of other bonds.
         SECTION 9.  Section 370.114, Transportation Code, is amended
  to read as follows:
         Sec. 370.114.  EFFECT OF LIEN. (a)  A lien on or a pledge of
  revenue from a transportation project under this chapter or on a
  reserve, replacement, or other fund established in connection with
  a bond issued under this chapter or an agreement entered into under
  this chapter:
               (1)  is enforceable at the time of payment for and
  delivery of the bond or on the effective date of the agreement;
               (2)  applies to each item on hand or subsequently
  received;
               (3)  applies without physical delivery of an item or
  other act; and
               (4)  is enforceable against any person having a claim,
  in tort, contract, or other remedy, against the applicable
  authority without regard to whether the person has notice of the
  lien or pledge.
         (b)  A copy of any bond resolution shall [is not required to]
  be maintained [recorded except] in the regular records of the
  authority.
         SECTION 10.  Section 370.172, Transportation Code, is
  amended by amending Subsection (b) and adding Subsection (k) to
  read as follows:
         (b)  Tolls, fees, fares, or other charges must be set at
  rates or amounts so that the aggregate of tolls, fees, fares, or
  other charges from an authority's transportation project, together
  with other revenue of the transportation project:
               (1)  provides revenue sufficient to pay:
                     (A)  the cost of maintaining, repairing, and
  operating the transportation project; [and]
                     (B)  the principal of and interest on any bonds
  issued for the transportation project as those bonds become due and
  payable; and
                     (C)  any other payment obligations of an authority
  under a contract or agreement authorized under this chapter; and
               (2)  creates reserves for a purpose listed under
  Subdivision (1).
         (k)  Notwithstanding any other provision of this chapter to
  the contrary, an authority may pledge all or any part of its
  revenues and any other funds available to the authority to the
  payment of any obligations of the authority under a contract or
  agreement authorized by this chapter.
         SECTION 11.  Section 370.173(c), Transportation Code, is
  amended to read as follows:
         (c)  The authority may use money in the revolving fund to:
               (1)  finance the acquisition, construction,
  maintenance, or operation of a transportation project, including
  the extension, expansion, or improvement of a transportation
  project;
               (2)  provide matching money required in connection with
  any federal, state, local, or private aid, grant, or other funding,
  including aid or funding by or with public-private partnerships;
               (3)  provide credit enhancement either directly or
  indirectly for bonds issued to acquire, construct, extend, expand,
  or improve a transportation project;
               (4)  provide security for or payment of future or
  existing debt for the design, acquisition, construction,
  operation, maintenance, extension, expansion, or improvement of a
  transportation project or system;
               (5)  borrow money and issue bonds, promissory notes, or
  other indebtedness payable out of the revolving fund for any
  purpose authorized by this chapter; and
               (6)  provide for any other reasonable purpose that
  assists in the financing of an authority as authorized by this
  chapter.
         SECTION 12.  Section 370.177, Transportation Code, is
  amended by adding Subsection (l) to read as follows:
         (l)  In addition to the other powers and duties provided by
  this chapter, with regard to its toll collection and enforcement
  powers for its turnpike projects or other toll projects developed,
  financed, constructed, and operated under an agreement, including a
  comprehensive development agreement, with the authority or another
  entity, an authority has the same powers and duties as the
  department under Chapter 228, a county under Chapter 284, and a
  regional tollway authority under Chapter 366.
         SECTION 13.  Sections 370.251(a) and (b), Transportation
  Code, are amended to read as follows:
         (a)  Except as provided by Subsection (a-1), the governing
  body of an authority is a board of directors consisting of
  representatives of each county in which a transportation project of
  the authority is located or is proposed to be located.  The
  commissioners court of each county that initially forms the
  authority shall appoint at least two directors to the
  board.  Additional directors may be appointed to the board at the
  time of initial formation by agreement of the counties creating the
  authority to ensure fair representation of political subdivisions
  in the counties of the authority that will be affected by a
  transportation project of the authority, provided that the number
  of directors must be an odd number.  The commissioners court of a
  county that is subsequently added to the authority shall appoint at
  least one director to the board.  The governor shall appoint one
  director to the board who shall serve as the presiding officer of
  the board and shall appoint an additional director to the board if
  an appointment is necessary to maintain an odd number of directors
  on the board.
         (b)  The appointment [Unless the commissioners courts] of
  additional directors from a county subsequently added to an [the
  counties of the] authority or from a [unanimously agree otherwise,
  the commissioners court of each] county of an authority that
  contains an operating transportation project of the authority shall
  be by a process unanimously agreed to by the commissioners courts of
  all the counties of the authority [appoint one additional
  director].
         SECTION 14.  Section 370.303, Transportation Code, is
  amended by amending Subsections (a) and (b) and adding Subsections
  (b-1) and (g) to read as follows:
         (a)  A governmental entity [other than a nonprofit
  corporation] may, consistent with the Texas Constitution, issue
  bonds, notes, or other obligations or enter into and make payments
  under agreements with an authority in connection with the
  financing, acquisition, construction, [to acquire, construct,
  maintain,] or operation of [operate] a transportation project by an
  authority, whether inside or outside the geographic boundaries of
  the governmental entity, including agreements to pay the principal
  of, and interest on, bonds, notes, or other obligations issued by
  the authority and make payments under any related credit
  agreements. The entity may impose and collect taxes to pay the
  interest on the bonds and to provide a sinking fund for the
  redemption of the bonds.
         (b)  In addition to the powers provided by Subsection (a), a
  governmental entity may, to the extent constitutionally permitted,
  agree with an authority to:
               (1)  issue bonds, notes, or other obligations;
               (2)  [,] create:
                     (A)  a taxing district;
                     (B)  a transportation reinvestment zone under
  Subchapter E, Chapter 222; or
                     (C)  an entity to promote economic development;
               (3)  collect and remit to an authority taxes, fees, or
  assessments collected for purposes of developing transportation
  projects;
               (4)  [,] fund public improvements to promote economic
  development;[,] or
               (5)  enter into and make payments under an agreement to
  acquire, construct, maintain, or operate any portion of a
  transportation project of the authority.
         (b-1)  An agreement under Subsection (b) may include a means
  for a local governmental entity to pledge or otherwise provide
  funds for a transportation project that benefits the governmental
  entity to be developed by the authority.
         (g)  An agreement under this section may contain repayment or
  reimbursement obligations of an authority.
         SECTION 15.  Section 370.304, Transportation Code, is
  amended to read as follows:
         Sec. 370.304.  ADDITIONAL AGREEMENTS OF AUTHORITY. An
  authority may enter into any contract, loan agreement, or other
  agreement necessary or convenient to achieve the purposes of this
  subchapter.
         SECTION 16.  The heading to Section 370.314, Transportation
  Code, is amended to read as follows:
         Sec. 370.314.  DESIGN-BUILD AND CONSTRUCTION
  MANAGER-AT-RISK PROCEDURES.
         SECTION 17.  Section 370.314, Transportation Code, is
  amended by adding Subsections (c) and (d) to read as follows:
         (c)  Notwithstanding any other law requiring a competitive
  bidding procedure, an authority may enter into a contract for the
  construction of a turnpike project by a construction
  manager-at-risk procedure under which the construction
  manager-at-risk provides consultation to the authority during the
  design of the turnpike project and is responsible for the
  construction of the turnpike project in accordance with the
  authority's specifications. A construction manager-at-risk shall
  be selected on the basis of criteria established by the authority,
  which may include the construction manager-at-risk's experience,
  past performance, safety record, proposed personnel and
  methodology, proposed fees, and other appropriate factors that
  demonstrate the construction manager-at-risk's ability to provide
  the best value to the authority and to deliver the required services
  in accordance with the authority's specifications.
         (d)  The authority shall adopt rules governing the award of
  contracts using construction manager-at-risk procedures under this
  section.
         SECTION 18.  Section 371.051(a), Transportation Code, as
  added by Chapter 103 (H.B. 570), Acts of the 80th Legislature,
  Regular Session, 2007, is amended to read as follows:
         (a)  A toll project entity may not use motor vehicle
  registration or other information derived from a license plate on a
  vehicle using a toll project, including information obtained by the
  use of automated enforcement technology described by Section
  228.058, for purposes other than those related to:
               (1)  toll collection, [and] toll collection
  enforcement, and toll project development and operation; and
               (2)  law enforcement purposes on request by a law
  enforcement agency[, subject to Section 228.058(d)].
         SECTION 19.  Section 370.317(d), Transportation Code, is
  repealed.
         SECTION 20.  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.