BILL ANALYSIS

Senate Research Center	H.B. 4520
	By: Martinez (Nichols)
	Transportation
	5/21/2025
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Under Section 21.105, Transportation Code, the Texas Transportation Commission (TTC) may provide financial assistance to support the construction and repair of local aviation facilities. This is done through loans or grants, which TTC must vote to authorize.

To qualify for state aviation grant/loan funding, 10 percent of the total project cost must be provided by a source other than the state. This 10 percent share often comes from the airport sponsor, which is either a county or city government, with local or federal funds. However, many general aviation airports do not have available funding from the airport sponsor, especially those in economically disadvantaged counties.

H.B. 4520 would lower the match requirement from 10 percent to five percent to qualify for state grant/loan funding for airports that are located in an economically disadvantaged county. Economically disadvantaged counties, as defined in Section 222.053, Transportation Code, are counties that have below average per capita taxable property value, below average per capita income, and above average unemployment. By lowering this threshold, H.B. 4520 would expand opportunity for economically disadvantaged counties to receive much needed grant funding to improve local aviation infrastructure. The bill also adds a technical correction requested by Texas Department of Transportation (TxDOT) to repeal language about a category of airport (reliever airport) funding that is no longer in existence at the federal level. The bill as engrossed also adds Section 21.105(c), Transportation Code, to explain that local match requirements do not apply to a project for which money is appropriated by the legislature specifically for that purpose and administered by TxDOT on a pass-through basis.

H.B. 4520 amends current law relating to requirements for certain funding of aviation facilities and projects.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 21.105, Transportation Code, by amending Subsection (b) and adding Subsection (c), as follows:

(b) Requires the Texas Transportation Commission, before approving a loan or grant, to require that:

(1)-(2) makes no changes to these subdivisions;

(3) at least 10 percent of the total project cost be provided by sources other than the state or, if the airport is located in an economically disadvantaged county, as defined by Section 222.053 (Relief From Local Matching Funds Requirement), that at least five percent of the total project cost be provided by sources other than the state; and

(4) makes no changes to this subdivision.

(c) Provides that Subsection (b)(3) does not apply to a project for which money is appropriated by the legislature specifically for that purpose and administered by the Texas Department of Transportation (TxDOT) on a pass-through basis.

SECTION 2. Repealer: Section 21.114(b) (relating to providing that TxDOT is not an agent for federal funds for reliever airports), Transportation Code.

SECTION 3. Effective date: September 1, 2025.