Honorable Geanie W. Morrison, Chair, House Committee on Transportation
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB3524 by Sheffield (Relating to the prioritization of public transportation funding for areas disproportionately affected by the granting of ad valorem tax relief to disabled veterans.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would amend Transportation Code §201.996 to require the Texas Department of Transportation (TxDOT), in establishing a formula for allocating congestion mitigation and air quality (CMAQ) improvement funds in the Unified Transportation Program (UTP), to prioritize funding for public transportation in regions with political subdivisions that contain or are in proximity to a United States military installation and are disproportionately affected by the granting of ad valorem tax relief to disabled veterans. The bill would take effect on September 1, 2017.
TxDOT reports that CMAQ funds are currently allocated to metropolitan planning organizations (MPO) in air quality non-attainment areas based on population and air quality severity; and each non-attainment area contains military installations. TxDOT would be required to revise the formula for distributing CMAQ funds to account for military installations and property tax exemptions for veterans, which could affect the distribution of CMAQ funds among these MPOs. Based on the information provided by TxDOT, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within the agency's existing resources.
Local Government Impact
TxDOT indicates the bill could affect the distribution of CMAQ funds among metropolitan planning organizations.