Texas House Bill HB3650

Texas 2009 - 81st Regular

• Out of House Committee: 4/16/09
• Voted on by House: 5/11/09
• Out of Senate Committee: 5/22/09

Caption

Relating to the creation, administration, powers, duties, operations, and financing of a border region higher-speed rail authority for the Texas-Louisiana and the Texas-Mexico border regions; granting the power to issue bonds; imposing a tax; granting the power of eminent domain.

Impact

The legislation proposes the establishment of an authority composed of representatives from each county in the defined border regions. This governing board will oversee the acquisition, construction, and operation of high-speed rail infrastructure crucial for enhancing transportation capabilities. Moreover, the authority will have the power to issue revenue bonds, providing necessary funding for these projects while exempting its property and income from state taxes, which incentivizes investment and funding within the high-speed rail sector.

Summary

House Bill 3650 establishes a framework for the creation and governance of a border region high-speed rail authority that serves the Texas-Louisiana and Texas-Mexico border regions. The bill sets forth the authority's administration, powers, and operational duties while enabling it to issue bonds, impose taxes, and utilize the power of eminent domain. This will facilitate the development of high-speed rail transportation systems within these regions, promoting connectivity and mobility between key border areas.

Contention

While HB 3650 aims to advance transportation infrastructure, questions surrounding fiscal responsibility, environmental considerations, and the impact on local communities have been raised. By granting the authority the power of eminent domain, concerns have emerged regarding property rights and local governance over land-use decisions. Furthermore, the bill imposes a sales tax on items sold on authority property, which may elicit opposition from local jurisdictions that might be affected by these tax impositions or loss of revenue from previously existing local sales taxes.