Honorable Larry Phillips, Chair, House Committee on Transportation
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
SB971 by Williams (Relating to the purposes, designation, and funding of a transportation reinvestment zone for port projects; providing authority to issue bonds; authorizing an assessment.), As Engrossed
No fiscal implication to the State is anticipated.
The bill would add Section 55.010 to Chapter 55 of the Transportation Code to authorize the creation of transportation reinvestment zones for port projects. The port reinvestment zones would have the authority to obtain local revenues from property tax increment financing. The financing obtained could be used to repay loans or other debts incurred to finance a port project. The authority may be exercised by a port commission and by no other governmental entity.
The bill would amend Section 222.108 (d) of the Transportation Code regarding funding and federal aid, toll facilities and transportation reinvestment zones for other transportation projects, to expand the definition of a transportation project under this section to include port security, transportation, or facility projects available for funding under Chapter 55 of this code.
The bill would take effect September 1, 2013.
Local Government Impact
There could be a positive fiscal impact to port reinvestment zones that obtained local revenues from property tax increment financing which would offset some loans or other debts incurred for a port project; however, the amounts would vary depending on whether a port reinvestment zone was created, the number of port projects undertaken, and the amount of property tax revenue collected. Currently, there is no information as to the number, the cost, and the timing of transportation projects that might be funded under the provisions of the bill.
Source Agencies:
304 Comptroller of Public Accounts, 601 Department of Transportation