Honorable Dan Flynn, Chair, House Committee on Defense & Veterans' Affairs
FROM:
John McGeady, Assistant Director Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:
HB166 by Moody (Relating to waiver programs for recipients of the Purple Heart provided by toll project entities.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would amend Transportation Code §372.053, Veteran Discount Program, to require a toll project entity, including the Texas Department of Transportation (TxDOT) and local toll entities under Chapter 372, to establish a waiver program that includes free use of the entity's toll roads by an electronic toll collection customer whose account relates to a vehicle registered with a Purple Heart recipient specialty license plate. The bill would take effect on September 1, 2019.
TxDOT reports that bond agreements for certain toll projects owned and operated by TxDOT require waived toll fees to be repaid to the toll system. TxDOT currently uses appropriations from existing funding sources to defray the costs of providing a toll waiver program for certain eligible veterans, which includes waived tolls for vehicles registered in Texas that display Purple Heart specialty license plates. TxDOT also reports that the agency could incur additional costs to reimburse concessionaires for reduced toll revenue on certain toll projects developed under toll concession comprehensive development agreements, for which a veterans or Purple Heart recipient waiver is not currently offered. This analysis assumes any costs associated with providing a toll waiver program for vehicles displaying Purple Heart specialty license plates could be absorbed within the department's current resources.
Local Government Impact
The bill would require a local toll project entity to establish a waiver program that includes free use of the entity's toll roads by an electronic toll collection customer whose account relates to a vehicle registered with a Purple Heart recipient specialty license plate. For entities that do not offer such programs, it is anticipated there would be implementation costs and possible revenue loss that cannot be determined at this time. Additionally, local authorities have bond covenants that would need to be maintained.