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            |  | A BILL TO BE ENTITLED | 
         
            |  | AN ACT | 
         
            |  | relating to the use of certain tolls and charges imposed by certain | 
         
            |  | counties; authorizing an administrative penalty. | 
         
            |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
         
            |  | SECTION 1.  Subchapter A, Chapter 284, Transportation Code, | 
         
            |  | is amended by adding Section 284.014 to read as follows: | 
         
            |  | Sec. 284.014.  RESTRICTION ON USE OF REVENUE FROM TOLLS AND | 
         
            |  | OTHER CHARGES IN CERTAIN COUNTIES.  (a)  This section applies only | 
         
            |  | to a county with a population of four million or more. | 
         
            |  | (b)  Except as provided by Subsection (c), a county that | 
         
            |  | imposes tolls or charges as otherwise authorized by this chapter | 
         
            |  | may only use the revenues collected from the tolls or charges to pay | 
         
            |  | the costs of operating, expanding, maintaining, or administering a | 
         
            |  | toll project or system or to retire debt related to a toll project | 
         
            |  | or system.  This subsection applies to any fees received by a county | 
         
            |  | for operating a toll project of another entity but does not apply to | 
         
            |  | any other revenue of a toll project that is collected by the county | 
         
            |  | on behalf of another entity under an agreement with the entity. | 
         
            |  | (c)  Of the revenues collected from tolls and charges that | 
         
            |  | remain after paying the costs described by Subsection (b): | 
         
            |  | (1)  30 percent of the amount remaining shall be | 
         
            |  | distributed to the municipality that contains more than 40 percent | 
         
            |  | of the number of lane miles of the toll project and may be used only | 
         
            |  | to reimburse the municipality for the costs of providing law | 
         
            |  | enforcement and other emergency services during accidents and | 
         
            |  | disasters affecting a project of the county; and | 
         
            |  | (2)  70 percent of surplus revenue shall be distributed | 
         
            |  | to the county for use on county owned and maintained roads.  A | 
         
            |  | minimum of 95% of the surplus revenue received by the county shall | 
         
            |  | be allocated to the commissioner precincts based on the percentage | 
         
            |  | of roads owned and maintained by the County in each precinct per the | 
         
            |  | County's Road Log excluding toll roads and freeways as of September | 
         
            |  | 1st before the beginning of the next fiscal year. | 
         
            |  | (3)  The County may allocate up to 5% of the funds to | 
         
            |  | other County Departments or projects with countywide impact, as | 
         
            |  | determined by the county, for state, county, or municipal | 
         
            |  | facilities, the funds are restricted to roads, streets, highways | 
         
            |  | and related facilities. | 
         
            |  | (d)  An independent auditor hired by a county to audit the | 
         
            |  | county's annual financial report made to the commissioners court | 
         
            |  | and to the district judges of the county under Section 114.025, | 
         
            |  | Local Government Code, shall report any violation of Subsection (b) | 
         
            |  | to the department. | 
         
            |  | (e)  The department shall promptly investigate a report | 
         
            |  | received under Subsection (d).  If the department determines that | 
         
            |  | the county violated Subsection (b) and the violation is: | 
         
            |  | (1)  a first violation of Subsection (b), the | 
         
            |  | department shall impose an administrative penalty against the | 
         
            |  | county in an amount equal to 110 percent of the amount of revenues | 
         
            |  | used by the county in violation of Subsection (b); or | 
         
            |  | (2)  a second or subsequent violation of Subsection | 
         
            |  | (b), the department shall impose an administrative penalty against | 
         
            |  | the county in an amount equal to 100 percent of the amount of | 
         
            |  | revenues used by the county in violation of Subsection (b). | 
         
            |  | (f)  A county for which an administrative penalty is imposed | 
         
            |  | under Subsection (e) shall pay the penalty out of the general fund | 
         
            |  | of the county.  An administrative penalty may only be used as | 
         
            |  | provided by Subsection (b). | 
         
            |  | (g)  Notwithstanding any other law, a county for which an | 
         
            |  | administrative penalty is imposed under Subsection (e)(2) may not | 
         
            |  | adopt a tax rate for the tax year following the tax year in which the | 
         
            |  | penalty was imposed that exceeds the lesser of the county's | 
         
            |  | no-new-revenue tax rate or voter-approval tax rate, as determined | 
         
            |  | under Section 26.04, Tax Code, for that tax year. | 
         
            |  | SECTION 2.  This Act takes effect September 1, 2025. |