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A BILL TO BE ENTITLED
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AN ACT
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relating to the creation of and the powers of a comprehensive |
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multimodal urban transportation authority. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 451, Transportation Code, is amended by |
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adding Subchapter R to read as follows: |
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SUBCHAPTER R. URBAN TRANSPORTATION AUTHORITIES |
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Sec. 451.901. DEFINITIONS. (a) In this subchapter: |
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(1) "Advanced transportation district" means a |
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district created or operating under Subchapter O. |
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(2) "Authority" means a rapid transit authority |
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created or operating under this chapter. |
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(3) "Board" means the governing body of an urban |
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transportation authority, except as otherwise provided by this |
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subchapter. |
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(4) "Comprehensive advanced transportation" means the |
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design, construction, extension, expansion, improvement, |
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reconstruction, alteration, acquisition, financing, and |
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maintenance of mass transit, light rail, commuter rail, intercity |
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municipal rail, freight rail, fixed guideways, traffic management |
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systems, bus ways, bus lanes, technologically advanced bus transit |
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vehicles and systems, bus rapid transit vehicles and systems, |
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passenger amenities, transit centers, stations, parking facilities |
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and payment mechanisms, sidewalks, bicycle lanes, electronic |
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transit-related information, fare collection and operating |
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systems, high occupancy vehicle lanes, bridges, traffic signal |
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prioritization and coordination systems, monitoring systems, |
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tracks and rail line, switching and signaling equipment, operating |
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equipment, depots, locomotives, rolling stock, maintenance |
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facilities, other real and personal property associated with a rail |
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operation and transit-oriented development, and other |
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comprehensive advanced transportation facilities, equipment, |
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operations, comprehensive transportation systems, and services, |
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including planning, feasibility studies, operations, and |
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professional and other services in connection with those |
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facilities, equipment, operations, comprehensive transportation |
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systems, and services. |
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(5) "Comprehensive mobility enhancement" means the |
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design, construction, extension, expansion, improvement, |
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reconstruction, alteration, acquisition, financing, and |
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maintenance of: |
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(A) streets, roads, highways, high occupancy |
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vehicle lanes, toll lanes, turnpike projects, pedestrian or bicycle |
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facilities, bridges, grade separations, parking facilities and |
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payment mechanisms, and infrastructure designed to improve |
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mobility; |
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(B) traffic signal prioritization and street |
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lighting; |
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(C) monitoring systems; |
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(D) other mobility enhancement facilities, |
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equipment, systems, and services, including drainage improvements |
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or drainage-related measures reasonable and necessary for the |
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effective use of the transportation facility being constructed or |
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maintained; |
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(E) an intermodal hub, air quality improvement |
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initiative, and public utility facility; and |
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(F) a conveyance or acceptance of the exclusive |
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rights to develop tolled infrastructure or other mobility-related |
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assets, including concession fees. |
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(6) "Comprehensive transportation system" means a |
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transportation project or a combination of transportation projects |
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designated as a system by the board of an urban transportation |
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authority. |
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(7) "Construction costs" means the costs of |
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acquisition, construction, reconstruction, improvement, |
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extension, or expansion of a transportation project under this |
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subchapter. The term includes a construction cost as defined by |
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Chapter 370. |
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(8) "Costs" means finance costs and construction |
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costs. |
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(9) "Debt" means a bond, certificate, long-term or |
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short-term note, commercial paper, loan, certificate of |
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participation, agreement with a local government, or any other |
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obligation with a variable or fixed interest rate authorized by |
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this chapter or the constitution or another law of this state. The |
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term includes a credit agreement issued under Chapter 1371, |
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Government Code. |
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(10) "Finance costs" means any fee or expense |
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associated with the financing of a transportation project, |
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including any debt service requirement, capitalized interest, |
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reserve fund requirement, professional or administrative cost, or |
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other cost incurred by or relating to the issuance of debt under |
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this subchapter relating to the design, construction, extension, |
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expansion, improvement, reconstruction, alteration, financing, |
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acquisition, or maintenance of a transportation project. |
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(11) "Regional mobility authority" means a regional |
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mobility authority created or operating under Chapter 370. |
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(12) "Revenue" means revenue available to an urban |
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transportation authority under this subchapter, including any |
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source of taxes or revenue available under Chapter 370 or this |
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chapter, including Subchapter O. |
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(13) "Transportation project" means a comprehensive |
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advanced transportation project or a comprehensive mobility |
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enhancement project. |
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(14) "Urban transportation authority" means an entity |
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that has the powers of an authority, a regional mobility authority, |
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and an advanced transportation district and is created under this |
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subchapter. |
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(b) A word or phrase that is not defined in this subchapter |
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but is defined in Subchapter O has the meaning in this subchapter |
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that is assigned by that subchapter. |
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(c) A word or phrase that is not defined in this subchapter |
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but is defined in Chapter 370 has the meaning in this subchapter |
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that is assigned by that chapter. |
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Sec. 451.902. LIBERAL CONSTRUCTION. This subchapter shall |
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be liberally construed to carry out its purposes. A provision of |
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this subchapter that conflicts with Subchapter A or O or with |
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Chapter 370 shall be construed to grant the broadest power. |
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Sec. 451.903. CREATION OF URBAN TRANSPORTATION AUTHORITY |
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AUTHORIZED. (a) The governing body of an authority in which the |
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principal municipality has a population of more than 700,000 and in |
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the territory of which both an advanced transportation district and |
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a regional mobility authority exist may approve and submit a |
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petition to the governing bodies of the advanced transportation |
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district and the regional mobility authority that seeks consent to |
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the creation of an urban transportation authority under this |
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subchapter. |
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(b) Creation of an urban transportation authority under |
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this subchapter may occur if: |
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(1) the governing body of the principal municipality |
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in the authority and the commissioners court of each county in which |
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the authority is located and in which a sales and use tax is |
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collected under this chapter consent to the creation of the urban |
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transportation authority; |
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(2) the governing body of the regional mobility |
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authority consents to the creation of the urban transportation |
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authority; |
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(3) the commissioners court of each county in which |
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the regional mobility authority is located consents to the creation |
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of the urban transportation authority; |
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(4) the governing body of the advanced transportation |
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district consents to the creation of the urban transportation |
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authority; and |
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(5) the commissioners court of each county and the |
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governing body of the principal municipality in which the advanced |
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transportation district is located consent to the creation of the |
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urban transportation authority. |
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(c) The petition of the authority and the consents described |
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in Subsection (b) must: |
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(1) approve the transfer of the assets, liabilities, |
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rights, and obligations of each entity to the urban transportation |
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authority; or |
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(2) make adequate provision therefor by the applicable |
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entity. |
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Sec. 451.904. EFFECT OF CREATION OF URBAN TRANSPORTATION |
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AUTHORITY. (a) An urban transportation authority is created only |
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after the occurrence of the actions required by Section 451.903. On |
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the first day of the calendar month after the month in which the |
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final action required by that section is taken, an urban |
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transportation authority is considered to have been created. The |
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urban transportation authority has the rights, powers, duties, and |
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privileges granted to an authority under this chapter, to an urban |
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transportation authority under this subchapter, to an advanced |
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transportation district under Subchapter O, and to a regional |
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mobility authority under Chapter 370, including the right to plan |
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and develop transportation projects in any county in which the |
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urban transportation authority is located. |
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(b) On the date the urban transportation authority is |
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considered to have been created, the urban transportation authority |
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becomes the successor entity to the authority, the advanced |
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transportation district, and the regional mobility authority. On |
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that date the authority, the advanced transportation district, and |
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the regional mobility authority cease to exist. |
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(c) The urban transportation authority succeeds to and is |
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obligated for all assets, liabilities, rights, and obligations not |
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otherwise provided for of the authority, the advanced |
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transportation district, and the regional mobility authority, on |
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terms and conditions that, upon succession, are no less beneficial |
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to employees than those extant immediately before the creation of |
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the urban transportation authority, including continuation of all |
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rights, privileges, and benefits such as pension rights and |
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benefits, wages, and working conditions, afforded to employees |
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under an existing agreement. |
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Sec. 451.905. POWERS. (a) An urban transportation |
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authority has the powers necessary or convenient to implement this |
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subchapter or to effect a purpose of this subchapter. |
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(b) An urban transportation authority through its board may |
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plan, study, evaluate, design, finance, acquire, construct, |
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maintain, repair, and operate a transportation project, |
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individually or as one or more comprehensive transportation |
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systems. |
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(c) An urban transportation authority has: |
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(1) all of the rights, powers, duties, and privileges |
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granted to an authority by this chapter; |
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(2) all of the rights, powers, duties, and privileges |
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granted to a regional mobility authority by Chapter 370; and |
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(3) all of the rights, powers, duties, and privileges |
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granted to an advanced transportation district by Subchapter O. |
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(d) A right, power, duty, or privilege of an urban |
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transportation authority described in Subsection (c) may be |
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exercised independently or in combination to effect the purposes of |
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this subchapter. Except as otherwise provided by this subchapter, |
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in the event of a conflict, the most liberal provision applies. |
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(e) In the manner and to the extent that an authority is |
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authorized by this chapter, an urban transportation authority may |
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develop and operate a transit system, set fares and other charges, |
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and develop stations or terminal complexes for the use of the |
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transit system and related right-of-way. |
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(f) An urban transportation authority has any right, power, |
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duty, or privilege granted by Chapter 370 to a regional mobility |
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authority that relates to mass transit or a transit system and that |
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is not in conflict with this subchapter. |
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(g) An urban transportation authority may impose any kind of |
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tax or fee other than an ad valorem tax, including a sales and use |
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tax. The applicable provisions of this chapter, including |
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Subchapter O, and Chapter 370 apply to the imposition of a fee or |
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tax by the urban transportation authority. If the legislature |
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enacts provisions for local option transportation financing |
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through a transportation finance authority or a centralized |
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transportation finance entity, an urban transportation authority |
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may serve as such an entity. |
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(h) An urban transportation authority may develop and |
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operate a turnpike project. The turnpike project must be developed |
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and operated under the provisions of Chapter 370, including any |
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provision relating to the setting of toll rates. |
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(i) Unless otherwise provided by this subchapter, the board |
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shall allocate the proceeds of the advanced transportation district |
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sales and use tax in compliance with Subchapter O. |
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(j) Unless otherwise provided by this subchapter, an |
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election relating to the sales and use tax or the boundaries of an |
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advanced transportation district is governed by the provisions of |
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Subchapter O relating to such an election of an advanced |
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transportation district. |
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(k) An urban transportation authority may create a |
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transportation corporation or local government corporation under |
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Chapter 431. |
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(l) An urban transportation authority is a toll project |
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entity and a local toll project entity to the same extent as a |
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regional mobility authority under the provisions of this code. |
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(m) In its selection and prioritization of transportation |
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projects, the board shall consider the geographic location of other |
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transportation projects funded by this state or the United States |
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so as to foster geographic equity in the planning and development of |
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the projects. |
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Sec. 451.906. NATURE OF URBAN TRANSPORTATION AUTHORITY. |
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(a) An urban transportation authority: |
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(1) is a body politic and corporate and a political |
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subdivision of this state; |
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(2) has perpetual succession; and |
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(3) exercises public and essential governmental |
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functions. |
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(b) The exercise of a right, power, or privilege granted by |
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this subchapter is for a public purpose and is a matter of public |
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necessity and is, in all respects, for the benefit of the people of |
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the territory in which an urban transportation authority operates |
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and of the people of this state, for the increase of their commerce |
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and prosperity, and for the improvement of their health, living |
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conditions, and public safety. |
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(c) An urban transportation authority is a governmental |
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unit under Chapter 101, Civil Practice and Remedies Code. The |
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operations of the metropolitan transit and mobility authority are |
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not proprietary functions for any purpose. |
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(d) An urban transportation authority is: |
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(1) a public entity under Section 222.1045; and |
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(2) a governmental agency under Subchapter A, Chapter |
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271, Local Government Code. |
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(e) The property, revenue, and income of a metropolitan |
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transit and mobility authority are exempt from state and local |
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taxes. |
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Sec. 451.907. GOVERNANCE OF URBAN TRANSPORTATION |
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AUTHORITY; INITIAL BOARD OF DIRECTORS. (a) An urban |
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transportation authority is governed by a board of directors. The |
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board consists of: |
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(1) five members appointed by the governing body of |
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the principal municipality, with one member designated to represent |
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the interests of the transportation disadvantaged; |
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(2) five members appointed by the commissioners courts |
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of the county in which the urban transportation authority is |
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located, or if the urban transportation authority is located in |
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more than one county, jointly appointed by the commissioners courts |
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of those counties; |
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(3) two members appointed by a panel composed of the |
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mayors of the municipalities, other than the principal |
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municipality, that are inside the boundaries of the authority and |
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contribute sales and use tax revenue to the authority; and |
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(4) one member, who serves as presiding officer of the |
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board, appointed by a majority of the members appointed under |
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Subdivisions (1), (2), and (3). |
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(b) On the creation of the urban transportation authority, |
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the initial board of the urban transportation authority shall be |
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appointed from among the memberships of the governing body of the |
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authority, the governing body of the advanced transportation |
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district, and the governing body of the regional mobility |
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authority, as extant immediately before the urban transportation |
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authority was created. |
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(c) The board is responsible for the management, operation, |
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and control of the urban transportation authority and the property |
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of the urban transportation authority. |
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(d) A provision of this chapter that is applicable to the |
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governing body of an authority and relates to vacancies, term |
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limitations, residency requirements, compensation, surety bonds, |
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nepotism, financial disclosure, indemnification, insurance, or |
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removal, applies to the board. |
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(e) Board meetings and actions are governed by the |
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provisions of this chapter that are applicable to the governing |
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body of an authority. Those meetings and actions are not governed |
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by Chapter 370. |
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(f) To be eligible to serve as a director, an individual: |
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(1) may be a representative of an entity that is also |
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represented on a metropolitan planning organization in the region |
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where the principal municipality is located; and |
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(2) may not be: |
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(A) an elected official; |
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(B) an officer or employee of the department; |
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(C) an employee of a county or a municipality, |
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including the principal municipality, that contributes sales and |
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use tax revenue to the urban transportation authority; or |
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(D) a person who owns an interest in real |
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property that will be acquired for a transportation project, if it |
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is known at the time of the person's proposed appointment that the |
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property will be acquired for the transportation project. |
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Sec. 451.908. PUBLIC ACCESS. An urban transportation |
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authority shall: |
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(1) make and implement policies that provide the |
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public with a reasonable opportunity to appear before the board to |
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speak on any issue under the jurisdiction of the urban |
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transportation authority; and |
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(2) prepare and maintain a written plan that describes |
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how an individual who does not speak English or who has a physical, |
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mental, or developmental disability may be provided reasonable |
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access to the urban transportation authority's programs. |
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Sec. 451.909. STRATEGIC PLANS AND ANNUAL REPORTS. (a) An |
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urban transportation authority shall develop a strategic plan for |
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its operations. Before December 31 of each even-numbered year, the |
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urban transportation authority shall issue a plan that covers the |
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succeeding five fiscal years of the urban transportation authority, |
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beginning with the next odd-numbered fiscal year. |
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(b) Not later than March 31 of each year, an urban |
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transportation authority shall file with each county in which the |
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urban transportation authority is located, the principal |
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municipality, and the panel composed of the mayors of the |
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municipalities in the urban transportation authority that |
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contribute sales and use tax revenue to the authority, a written |
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report on the urban transportation authority's activities that |
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includes a description of anticipated issuances of debt during the |
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next fiscal year, a description of the financial condition of the |
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urban transportation authority, schedules for the development of |
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approved projects, and the status of the urban transportation |
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authority's performance under the most recent strategic plan. |
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(c) Notwithstanding Subsection (b), a failure to identify a |
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debt issuance or a change in a project development schedule in a |
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written report does not prevent the issuance of the debt or the |
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change in the project development schedule, including the |
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commencement of the operation of a project. |
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Sec. 451.910. ESTABLISHMENT OF COMPREHENSIVE |
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TRANSPORTATION SYSTEM. (a) If the board determines that the |
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mobility needs of the county or counties in which the urban |
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transportation authority operates and of the surrounding region |
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could be most efficiently and economically met by jointly operating |
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two or more transportation projects as one operational and |
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financial enterprise, the board may create one or more |
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comprehensive transportation systems composed of those |
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transportation projects. |
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(b) The board may: |
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(1) create more than one comprehensive transportation |
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system; and |
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(2) combine two or more comprehensive transportation |
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systems into a single comprehensive transportation system. |
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(c) An urban transportation authority may finance, acquire, |
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construct, cross-collateralize, and operate a comprehensive |
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transportation system if the board determines that: |
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(1) the transportation projects could most |
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efficiently and economically be acquired or constructed as part of |
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the comprehensive transportation system; and |
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(2) the transportation projects will benefit the |
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comprehensive transportation system. |
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Sec. 451.911. ISSUANCE OF DEBT. (a) An urban |
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transportation authority, or an entity created by the urban |
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transportation authority for the purposes of issuing debt, by |
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resolution of the board or the governing body of the entity, as |
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applicable, may authorize the issuance of debt payable solely from |
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revenue. |
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(b) Debt, any portion of which is payable from taxes, may |
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not be issued by an urban transportation authority unless the |
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issuance is authorized by a majority of the votes cast at an |
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election ordered and held for that purpose. |
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(c) Debt issued by an urban transportation authority is |
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fully negotiable. An urban transportation authority may make the |
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debt redeemable before maturity at the price and subject to the |
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terms and conditions provided in the proceedings that authorized |
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the issuance or in a related legal document. |
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(d) Debt issued by an urban transportation authority under |
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this subchapter may be sold at a public or private sale as |
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determined by the board to be most advantageous and may have a |
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maturity of not longer than 50 years. |
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(e) Costs attributable to a transportation project that |
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were incurred before the issuance of debt to finance the |
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transportation project may be reimbursed from the proceeds of debt |
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that is subsequently issued. |
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Sec. 451.912. TRANSPORTATION PROJECT FINANCING. (a) An |
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urban transportation authority may exercise the powers of a |
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regional mobility authority, an authority, and an advanced |
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transportation district and may issue debt or enter into other |
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agreements or financial arrangements to pay all or part of the costs |
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of a transportation project or to refund any debt previously issued |
|
for a transportation project. |
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(b) The powers described in Subsection (a) are cumulative |
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and may be exercised by an urban transportation authority |
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independently or in combination to develop, finance, operate, and |
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pay the costs of a transportation project. Subject to other |
|
provisions of this subchapter, the urban transportation authority |
|
may pledge any revenue available to the urban transportation |
|
authority under this subchapter, separately or in combination, for |
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the payment of a debt, agreement, or financial arrangement |
|
described by Subsection (a). |
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(c) As authorized by Chapter 370 in connection with a |
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regional mobility authority, the department may provide for or |
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contribute to the payment of the costs of a financial or engineering |
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and traffic feasibility study for a transportation project. |
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Sec. 451.913. SALES AND USE TAX. (a) When an authority |
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that collects a sales and use tax becomes part of an urban |
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transportation aurhority: |
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(1) the sales and use tax remains subject to the |
|
provisions of this chapter that relate to the sales and use tax of |
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an authority; and |
|
(2) any restriction, covenant, obligation, or pledge |
|
attributed to that sales and use tax remains in effect. |
|
(b) When an advanced transportation district that collects |
|
a sales and use tax becomes part of an urban transportation |
|
authority: |
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(1) the sales and use tax remains subject to the |
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provisions of Subchapter O that relate to the sales and use tax of |
|
an advanced transportation district; and |
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(2) any restriction, covenant, obligation, |
|
allocation, or pledge attributed to that sales and use tax remains |
|
in effect until the voters elect to increase, decrease, or |
|
otherwise alter the terms of the sales and use tax. |
|
(c) The allocation of the proceeds of the sales and use tax |
|
adopted at the initial election of an advanced transportation |
|
district may not be altered unless a proposition for the |
|
reallocation is approved by a majority of the votes cast at an |
|
election ordered and held for that purpose under this subchapter. |
|
(d) An urban transportation authority may order a |
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subsequent advanced transportation district sales and use tax |
|
election to reallocate the proceeds of the tax or to increase or |
|
decrease the rate of the tax collected by the urban transportation |
|
authority. An election ordered under this section must be held for |
|
one or more transportation projects, the combined rate of all sales |
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and use taxes imposed by the urban transportation authority and all |
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other political subdivisions of this state may not exceed the |
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statutory sales and use tax cap in any location in the urban |
|
transportation authority, and the proceeds of the sales and use tax |
|
under a subsequent election may be pledged only for: |
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(1) transportation project purposes as determined by |
|
the board, including debt service requirements, capitalized |
|
interest, reserve fund requirements, credit agreements, |
|
administrative costs, or other debt-related costs incurred by or |
|
relating to the issuance of obligations by the urban transportation |
|
authority relating to the purchase, design, construction, |
|
extension, expansion, improvement, reconstruction, alteration, |
|
financing, and maintenance of an advanced transportation facility, |
|
equipment, operations, a comprehensive transportation system, and |
|
services, including feasibility studies, operations, and |
|
professional or other services in connection with the facility, |
|
equipment, operations, system, or services; |
|
(2) transportation project purposes in the territory |
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of the urban transportation authority as determined by the |
|
governing bodies of each participating unit in proportion to the |
|
amount of sales and use tax proceeds that were collected in that |
|
participating unit; or |
|
(3) as a local match for, or the local share of, a |
|
state or federal grant for transportation project purposes in the |
|
territory of the urban transportation authority or in connection |
|
with the transfer of money by the department or another entity of |
|
this state or the United States under an agreement with a county or |
|
municipality or a local government corporation created by a county |
|
or municipality under Chapter 431, for transportation project |
|
purposes in the territory of the urban transportation authority. |
|
(e) At an election under this section, the ballot shall be |
|
prepared to permit voting for or against the proposition: "The |
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imposition of a sales and use tax for comprehensive advanced |
|
transportation and comprehensive mobility enhancement in the (name |
|
of urban transportation authority), at the rate to be set by the |
|
governing body of the urban transportation authority." |
|
(f) After a favorable subsequent election held under this |
|
subchapter, an allocation specified by Subchapter O ceases to be |
|
binding. |
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Sec. 451.914. USE OF FARE REVENUE. (a) All fare revenue |
|
generated by the mass transit operations of the urban |
|
transportation authority, other than fare revenue generated by a |
|
rail operation, must be dedicated exclusively to the support of |
|
mass transit operations. |
|
(b) Fare revenue generated by a rail operation of the urban |
|
transportation authority may be used for any comprehensive advanced |
|
transportation or comprehensive mobility enhancement purpose. |
|
Sec. 451.915. POWERS AND PROCEDURES OF URBAN TRANSPORTATION |
|
AUTHORITY IN ACQUIRING PROPERTY. An urban transportation authority |
|
has the same powers and may use the same procedures as a regional |
|
mobility authority operating under Chapter 370 in acquiring |
|
property. |
|
Sec. 451.916. PUBLIC UTILITY FACILITIES. An urban |
|
transportation authority has the same powers and may use the same |
|
procedures as a regional mobility authority operating under Chapter |
|
370 with regard to public utility facilities. |
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Sec. 451.917. TOLL COLLECTION AND VIOLATIONS. An urban |
|
transportation authority has the same powers and may use the same |
|
procedures as a regional mobility authority operating under Chapter |
|
370 with regard to toll collections, transponders, enforcement, |
|
violations, and penalties. |
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Sec. 451.918. PROJECT DELIVERY. An urban transportation |
|
authority may procure, develop, finance, design, construct, |
|
maintain, or operate a transportation project using the rights, |
|
powers, duties, and privileges that are granted by Chapter 223, by |
|
Chapter 370 to a regional mobility authority, or by Subchapter H, |
|
Chapter 271, Local Government Code, including a right, power, duty, |
|
or privilege associated with: |
|
(1) a construction manager agent; |
|
(2) a construction manager-at-risk; |
|
(3) use of design build; |
|
(4) a pass-through agent; or |
|
(5) a comprehensive development agreement. |
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Sec. 451.919. MUNICIPAL TRANSPORTATION REINVESTMENT ZONES. |
|
A municipality located in the territory served by an urban |
|
transportation authority may: |
|
(1) designate a municipal transportation reinvestment |
|
zone under Section 222.106 to promote a transportation project |
|
under this subchapter; and |
|
(2) use money deposited to the tax increment account |
|
for the reinvestment zone to pay the urban transportation authority |
|
for a portion of the costs of the transportation project. |
|
SECTION 2. 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. |