Texas 2011 82nd Regular

Texas Senate Bill SB1420 Senate Committee Report / Bill

Filed 02/01/2025

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                    By: Hinojosa, Hegar, Nichols S.B. No. 1420
 (In the Senate - Filed March 10, 2011; March 22, 2011, read
 first time and referred to Committee on Government Organization;
 April 7, 2011, reported adversely, with favorable Committee
 Substitute by the following vote:  Yeas 6, Nays 0; April 7, 2011,
 sent to printer.)
 COMMITTEE SUBSTITUTE FOR S.B. No. 1420 By:  Hegar


 A BILL TO BE ENTITLED
 AN ACT
 relating to the continuation and functions of the Texas Department
 of Transportation; providing penalties.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 201.051, Transportation Code, is amended
 by adding Subsection (b-1) and amending Subsections (d), (f), (g),
 (h), and (j) to read as follows:
 (b-1)  A member of the commission may not accept a
 contribution to a campaign for election to an elected office.  If a
 commissioner accepts a campaign contribution, the person is
 considered to have resigned from the office and the office
 immediately becomes vacant. The vacancy shall be filled in the
 manner provided by law.
 (d)  A [Except as provided by Subsection (e), a] person is
 not eligible to serve [for appointment] as a member of the
 commission if the person or the person's spouse:
 (1)  is employed by or participates in the management
 of a business entity or other organization that is regulated by or
 receives funds from the department;
 (2)  directly or indirectly owns or controls more than
 10 percent interest in a business entity or other organization that
 is regulated by or receives funds from the department;
 (3)  uses or receives a substantial amount of tangible
 goods, services, or funds from the department, other than
 compensation or reimbursement authorized by law for commission
 membership, attendance, or expenses; or
 (4)  is registered, certified, or licensed by the
 department.
 (f)  An officer, employee, or paid consultant of a Texas
 trade association in the field of road construction or maintenance,
 aviation, or outdoor advertising is not eligible to serve as [or a
 Texas trade association of automobile dealers may not be] a member
 of the commission.
 (g)  The spouse of an officer, manager, or paid consultant of
 a Texas trade association in the field of road construction or
 maintenance, aviation, or outdoor advertising is not eligible to
 serve as [or a Texas association of automobile dealers may not be] a
 member of the commission.
 (h)  A person required to register as a lobbyist under
 Chapter 305, Government Code, because of the person's activities
 for compensation on behalf of a profession related to the operation
 of the department is not eligible to [may not] serve as a member of
 the commission.
 (j)  In this section, "Texas trade association" means a
 [nonprofit,] cooperative[,] and voluntarily joined statewide
 association of business or professional competitors in this state
 designed to assist its members and its industry or profession in
 dealing with mutual business or professional problems and in
 promoting their common interest.
 SECTION 2.  Subsection (a), Section 201.053, Transportation
 Code, is amended to read as follows:
 (a)  The governor [periodically] shall designate one
 commissioner as the chair of the commission, who shall serve as
 presiding officer of the commission.
 SECTION 3.  Subsection (a), Section 201.057, Transportation
 Code, is amended to read as follows:
 (a)  It is a ground for removal from the commission if a
 commissioner:
 (1)  does not have at the time of taking office
 [appointment] or maintain during service on the commission the
 qualifications required by Section 201.051;
 (2)  violates a prohibition provided by Section
 201.051;
 (3)  cannot discharge the commissioner's duties for a
 substantial part of the term for which the commissioner is
 appointed because of illness or disability; or
 (4)  is absent from more than half of the regularly
 scheduled commission meetings that the commissioner is eligible to
 attend during a calendar year, unless the absence is excused by
 majority vote of the commission.
 SECTION 4.  Section 201.058, Transportation Code, is amended
 to read as follows:
 Sec. 201.058.  INFORMATION ON QUALIFICATIONS AND CONDUCT.
 The department shall provide to the members of the commission, as
 often as necessary, information concerning the members'
 qualifications for office [under Subchapter B] and their
 responsibilities under applicable laws relating to standards of
 conduct for state officers.
 SECTION 5.  Subchapter C, Chapter 201, Transportation Code,
 is amended by adding Section 201.118 to read as follows:
 Sec. 201.118.  NEGOTIATED RULEMAKING; ALTERNATIVE DISPUTE
 RESOLUTION PROCEDURES. (a)  The commission shall develop and
 implement a policy to encourage the use of:
 (1)  negotiated rulemaking procedures under Chapter
 2008, Government Code, for the adoption of department rules; and
 (2)  appropriate alternative dispute resolution
 procedures under Chapter 2009, Government Code, to assist in the
 resolution of internal and external disputes under the department's
 jurisdiction.
 (b)  The department's procedures relating to alternative
 dispute resolution must conform, to the extent possible, to any
 model guidelines issued by the State Office of Administrative
 Hearings for the use of alternative dispute resolution by state
 agencies.
 (c)  The department shall:
 (1)  coordinate the implementation of the policy
 adopted under Subsection (a);
 (2)  provide training as needed to implement the
 procedures for negotiated rulemaking or alternative dispute
 resolution; and
 (3)  collect data concerning the effectiveness of those
 procedures.
 SECTION 6.  Section 201.204, Transportation Code, is amended
 to read as follows:
 Sec. 201.204.  SUNSET PROVISION. The Texas Department of
 Transportation is subject to Chapter 325, Government Code (Texas
 Sunset Act).  Unless continued in existence as provided by that
 chapter, the department is abolished September 1, 2015 [2011].
 SECTION 7.  Subchapter D, Chapter 201, Transportation Code,
 is amended by adding Sections 201.210 and 201.211 to read as
 follows:
 Sec. 201.210.  LEGISLATIVE LOBBYING.  (a)  In addition to
 Section 556.006, Government Code, the commission or a department
 employee may not use money under the department's control or engage
 in an activity to influence the passage or defeat of legislation.
 (b)  Violation of Subsection (a) is grounds for dismissal of
 an employee.
 (c)  This section does not prohibit the commission or
 department employee from using state resources to:
 (1)  provide public information or information
 responsive to a request; or
 (2)  communicate with officers and employees of the
 federal government in pursuit of federal appropriations or
 programs.
 Sec. 201.211.  ETHICS AFFIRMATION AND HOTLINE.  (a)  A
 department employee shall annually affirm the employee's adherence
 to the ethics policy adopted under Section 572.051(c), Government
 Code.
 (b)  The department shall establish and operate a telephone
 hotline that enables a person to call the hotline number,
 anonymously or not anonymously, to report alleged fraud, waste, or
 abuse or an alleged violation of the ethics policy adopted under
 Section 572.051(c), Government Code.
 SECTION 8.  Subsection (a), Section 201.401, Transportation
 Code, is amended to read as follows:
 (a)  A person may not be an employee of the department who is
 employed in a "bona fide executive, administrative, or professional
 capacity," as that phrase is used for purposes of establishing an
 exemption to the overtime provisions of the federal Fair Labor
 Standards Act of 1938 (29 U.S.C. Section 201 et seq.), [exempt from
 the state's position classification plan or compensated at or above
 the amount prescribed by the General Appropriations Act for step 1,
 salary group 17, of the position classification salary schedule] if
 the person is:
 (1)  an officer, employee, or paid consultant of a
 Texas trade association[:
 [(A)]  in the field of road construction or
 maintenance or outdoor advertising; or
 [(B)  of automobile dealers; or]
 (2)  the spouse of an officer, manager, or paid
 consultant described by Subdivision (1).
 SECTION 9.  Subsection (b), Section 201.404, Transportation
 Code, is amended to read as follows:
 (b)  The director or the director's designee shall develop a
 system of annual performance evaluations that are based on
 documented employee performance. All merit pay for department
 employees must be based on the system established under this
 subsection. The annual performance evaluations developed under
 this subsection must include the evaluation of an employee's:
 (1)  professionalism;
 (2)  diligence; and
 (3)  responsiveness to directives and requests from the
 commission and the legislature.
 SECTION 10.  Section 201.601, Transportation Code, is
 amended to read as follows:
 Sec. 201.601.  STATEWIDE TRANSPORTATION PLAN.  (a)  The
 department shall develop a statewide transportation plan covering a
 period of 24 years that contains all modes of transportation,
 including:
 (1)  highways and turnpikes;
 (2)  aviation;
 (3)  mass transportation;
 (4)  railroads and high-speed railroads; and
 (5)  water traffic.
 (a-1)  The plan must:
 (1)  contain specific, long-term transportation goals
 for the state and measurable targets for each goal;
 (2)  identify priority corridors, projects, or areas of
 the state that are of particular concern to the department in
 meeting the goals established under Subdivision (1); and
 (3)  contain a participation plan specifying methods
 for obtaining formal input on the goals and priorities identified
 under this subsection from:
 (A)  other state agencies;
 (B)  political subdivisions;
 (C)  local transportation entities; and
 (D)  the general public.
 (b)  [In developing the plan, the department shall seek
 opinions and assistance from other state agencies and political
 subdivisions that have responsibility for the modes of
 transportation listed by Subsection (a).] As appropriate, the
 department and the entities listed in Subsection (a-1)(3) [such an
 agency or political subdivision] shall enter into a memorandum of
 understanding relating to the planning of transportation services.
 (c)  The plan must include a component that is not
 financially constrained and identifies transportation improvements
 designed to relieve congestion. In developing this component of
 the plan, the department shall seek opinions and assistance from
 officials who have local responsibility for modes of transportation
 listed in Subsection (a).
 (d)  [The plan shall include a component, published
 annually, that describes the evaluation of transportation
 improvements based on performance measures, such as indices
 measuring delay reductions or travel time improvements.] The
 department shall consider the goals and measurable targets
 established under Subsection (a-1)(1) [performance measures] in
 selecting transportation projects [improvements].
 (e)  The department annually shall provide to the lieutenant
 governor, the speaker of the house of representatives, and the
 chair of the standing committee of each house of the legislature
 with primary jurisdiction over transportation issues an analysis of
 the department's progress in attaining the goals under Subsection
 (a-1)(1).  The department shall make the information under this
 subsection available on its Internet website.
 (f)  The department shall update the plan every four years or
 more frequently as necessary.
 SECTION 11.  Subchapter H, Chapter 201, Transportation Code,
 is amended by adding Sections 201.6015 and 201.620 to read as
 follows:
 Sec. 201.6015.  INTEGRATION OF PLANS AND POLICY EFFORTS. In
 developing each of its transportation plans, programs, and policy
 efforts, the department must clearly reference the 24-year plan
 under Section 201.601 and specify how the plan, program, or policy
 effort supports or otherwise relates to the specific goals under
 that section.
 Sec. 201.620.  COORDINATION WITH METROPOLITAN PLANNING
 ORGANIZATIONS TO DEVELOP LONG-TERM PLANNING ASSUMPTIONS. The
 department shall collaborate with metropolitan planning
 organizations to develop mutually acceptable assumptions for the
 purposes of long-range federal and state funding forecasts and use
 those assumptions to guide long-term planning in the statewide
 transportation plan under Section 201.601.
 SECTION 12.  Section 201.703, Transportation Code, is
 amended to read as follows:
 Sec. 201.703.  EXPENDITURES AND CONTRACTS FOR
 TRANSPORTATION PROGRAMS OR PROJECTS [ROADS] NOT ON THE HIGHWAY
 SYSTEM. (a)  The department in conjunction with the Federal
 Highway Administration may spend for a transportation program
 related to the improvement of a transportation project [road] not
 on [in] the state highway system money appropriated by the United
 States Congress, [and] allocated by the United States secretary of
 transportation to the department, and eligible under federal law
 for expenditure on the program or project [road]. That federal
 money may be matched or supplemented by an amount of state money
 necessary for proper construction and performance of the work.
 (b)  State money may not be used exclusively for a
 transportation program or for the improvement of a transportation
 project [the construction of a road] not on [in] the state highway
 system.
 (c)  The expenditure of state money is limited to:
 (1)  the cost of construction and engineering,
 overhead, and other costs on which the application of federal money
 is prohibited or impractical; and
 (2)  the cost of providing oversight required under
 federal law.
 (d)  With regard to work for a transportation project that is
 not on the state highway system, the department may:
 (1)  enter into a contract for the work in the same
 manner as for work on a transportation project that is on the state
 highway system; or
 (2)  by rule authorize a local government to enter into
 a contract for the work in the same manner as a local government is
 authorized to contract for work on a comparable project on the state
 highway system.
 SECTION 13.  (a)  Section 201.801, Transportation Code, is
 amended to read as follows:
 Sec. 201.801.  [INFORMATION ABOUT DEPARTMENT;] COMPLAINTS.
 (a)  The department shall maintain a system to promptly and
 efficiently act on complaints filed with the department. The
 department shall maintain information about the parties to and the
 subject matter of a complaint and a summary of the results of the
 review or investigation of the complaint and the disposition of the
 complaint.
 (b)  The department shall make information available
 describing its procedures for complaint investigation and
 resolution [prepare information of public interest describing the
 functions of the department and the department's procedures by
 which a complaint is filed with the department and resolved by the
 department. The department shall make the information available to
 the public and appropriate state agencies].
 [(b)     The commission by rule shall establish methods by which
 consumers and service recipients are notified of the department's
 name, mailing address, and telephone number for directing
 complaints to the department. The commission may provide for that
 notification:
 [(1)     on each registration form, application, or
 written contract for services of an individual or entity regulated
 by the department;
 [(2)     on a sign prominently displayed in the place of
 business of each individual or entity regulated by the department;
 or
 [(3)     in a bill for service provided by an individual or
 entity regulated by the department.]
 (c)  [The department shall:
 [(1)     keep an information file about each written
 complaint filed with the department that the department has the
 authority to resolve; and
 [(2)     provide the person who filed the complaint, and
 each person or entity that is the subject of the complaint,
 information about the department's policies and procedures
 relating to complaint investigation and resolution.
 [(d)]  The department[, at least quarterly and until final
 disposition of a written complaint that is filed with the
 department and that the department has the authority to resolve,]
 shall periodically notify the parties to the complaint of its
 status until final disposition unless the notice would jeopardize
 an undercover investigation.
 (d)  The commission shall adopt rules applicable to each
 division and district to establish a process to act on complaints
 filed with the department [(e)     With regard to each complaint filed
 with the department, the department shall keep the following
 information:
 [(1)  the date the complaint is filed;
 [(2)  the name of the person filing the complaint;
 [(3)  the subject matter of the complaint;
 [(4)     a record of each person contacted in relation to
 the complaint;
 [(5)     a summary of the results of the review or
 investigation of the complaint; and
 [(6)     if the department takes no action on the
 complaint, an explanation of the reasons that no action was taken].
 (e)  The department shall develop a standard form for
 submitting a complaint and make the form available on its Internet
 website.  The department shall establish a method to submit
 complaints electronically.
 (f)  The department shall develop a method for analyzing the
 sources and types of complaints and violations and establish
 categories for the complaints and violations. The department shall
 use the analysis to focus its information and education efforts on
 specific problem areas identified through the analysis.
 (g)  The department shall:
 (1)  compile:
 (A)  detailed statistics and analyze trends on
 complaint information, including:
 (i)  the nature of the complaints;
 (ii)  their disposition; and
 (iii)  the length of time to resolve
 complaints; and
 (B)  complaint information on a district and a
 divisional basis; and
 (2)  report the information on a monthly basis to the
 division directors, office directors, and district engineers and on
 a quarterly basis to the commission.
 (b)  The Texas Transportation Commission shall adopt rules
 under Section 201.801, Transportation Code, as amended by this
 section, not later than March 1, 2012.
 SECTION 14.  Subsection (a), Section 201.802,
 Transportation Code, is amended to read as follows:
 (a)  The commission shall develop and implement policies
 that provide the public with a reasonable opportunity to appear
 before the commission and speak on any issue under the jurisdiction
 of the department [commission].
 SECTION 15.  (a)  Subchapter J, Chapter 201, Transportation
 Code, is amended by adding Sections 201.807, 201.808, 201.809,
 201.810, and 201.811 to read as follows:
 Sec. 201.807.  PROJECT INFORMATION REPORTING SYSTEM.
 (a)  In this section, "department project" means a highway project
 under the jurisdiction of the department, including a grouped
 rehabilitation and preventive maintenance project, that:
 (1)  is being developed or is under construction; and
 (2)  is identified in the work program required under
 Section 201.999.
 (b)  The department shall establish a project information
 reporting system that makes available in a central location on the
 department's Internet website easily accessible and searchable
 information regarding all of the department's transportation plans
 and programs, including the unified transportation program
 required by Section 201.992. The department shall post information
 on its Internet website as required by this subsection as the
 information becomes available to the department and in a manner
 that is not cost prohibitive. The project information reporting
 system shall contain information about:
 (1)  each department project, including:
 (A)  the status of the project;
 (B)  each source of funding for the project;
 (C)  benchmarks for evaluating the progress of the
 project;
 (D)  timelines for completing the project;
 (E)  a list of the department employees
 responsible for the project, including information to contact each
 person on that list; and
 (F)  the results of the annual review required
 under Subsection (e); and
 (2)  the department's funds, including each source for
 the department's funds, and the amount and general type or purpose
 of each expenditure as described in the comptroller's statewide
 accounting system, reported by each:
 (A)  department district;
 (B)  program funding category as required by
 Section 201.992(b)(2); and
 (C)  type of revenue, including revenue from a
 comprehensive development agreement or a toll project.
 (c)  In developing the project information reporting system,
 the department shall collaborate with:
 (1)  the legislature;
 (2)  local transportation entities as defined by
 Section 201.991; and
 (3)  members of the public.
 (d)  The department shall make the statistical information
 provided under this section available on the department's Internet
 website in more than one downloadable electronic format.
 (e)  As a component of the project information reporting
 system required by this section, the department shall conduct an
 annual review of the benchmarks and timelines of each project
 included in the department's transportation plans, including the
 unified transportation program, to determine the completion rates
 of the projects and whether the projects were completed on time.
 (f)  The department shall update the information contained
 in the project information reporting system on a regular basis, as
 specified by commission rule.
 Sec. 201.808.  TRANSPORTATION EXPENDITURE PRIORITIES.
 (a)  The department shall develop a process to identify and
 distinguish between the transportation projects that are required
 to maintain the state infrastructure and the transportation
 projects that would improve the state infrastructure in a manner
 consistent with the statewide transportation plan required by
 Section 201.601.
 (b)  The department shall establish a transportation
 expenditure reporting system that makes available in a central
 location on the department's Internet website easily accessible and
 searchable information regarding the priorities of transportation
 expenditures for the identified transportation projects.
 (c)  The department shall include in the transportation
 expenditure reporting system:
 (1)  reports prepared by the department or an
 institution of higher education that evaluate the effectiveness of
 the department's expenditures on transportation projects to
 achieve the transportation goal;
 (2)  information about the condition of the pavement
 for each highway under the jurisdiction of the department,
 including the percentage of pavement that the department
 determines to be in good or better condition;
 (3)  the condition of bridges, including information
 about bridge condition scores;
 (4)  information about peak-hour travel congestion in
 the eight largest metropolitan areas of the state; and
 (5)  information about the number of traffic fatalities
 per 100 million miles traveled.
 (d)  The department shall provide the information made
 available under Subsection (c) in a format that allows a person to
 conduct electronic searches for information regarding a specific
 county, highway under the jurisdiction of the department, or type
 of road.
 (e)  The department shall establish criteria to prioritize
 the transportation needs for the state that are consistent with the
 statewide transportation plan.
 (f)  Each department district shall enter information into
 the transportation expenditure reporting system, including
 information about:
 (1)  each district transportation project; and
 (2)  the category to which the project has been
 assigned and the priority of the project in the category under
 Section 201.996.
 (g)  The transportation expenditure reporting system shall
 allow a person to compare information produced by that system to
 information produced by the project information reporting system.
 Sec. 201.809.  STATEWIDE TRANSPORTATION REPORT. (a)  The
 department annually shall evaluate and publish a report about the
 status of each transportation goal for this state. The report must
 include:
 (1)  information about the progress of each long-term
 transportation goal that is identified by the statewide
 transportation plan;
 (2)  the status of each project identified as a major
 priority;
 (3)  a summary of the number of statewide project
 implementation benchmarks that have been completed; and
 (4)  information about the accuracy of previous
 department financial forecasts.
 (b)  The department shall disaggregate the information in
 the report by department district.
 (c)  The department shall provide a copy of the district
 report to each member of the legislature for each department
 district located in the member's legislative district, and at the
 request of a member, a department employee shall meet with the
 member to explain the report.
 (d)  The department shall provide a copy of each district
 report to the political subdivisions located in the department
 district that is the subject of the report, including:
 (1)  a municipality;
 (2)  a county; and
 (3)  a local transportation entity as defined by
 Section 201.991.
 Sec. 201.810.  DEPARTMENT INFORMATION CONSOLIDATION.
 (a)  To the extent practicable and to avoid duplication of
 reporting requirements, the department may combine the reports
 required under this subchapter with reports required under other
 provisions of this code.
 (b)  The department shall develop a central location on the
 department's Internet website that provides easily accessible and
 searchable information to the public contained in the reports
 required under this subchapter and other provisions of this code.
 Sec. 201.811.  PUBLIC INVOLVEMENT POLICY.  (a)  The
 department shall develop and implement a policy for public
 involvement that guides and encourages public involvement with the
 department.  The policy must:
 (1)  provide for the use of public involvement
 techniques that target different groups and individuals;
 (2)  encourage continuous contact between the
 department and persons outside the department throughout the
 transportation decision-making process;
 (3)  require the department to make efforts toward:
 (A)  clearly tying public involvement to
 decisions made by the department; and
 (B)  providing clear information to the public
 about specific outcomes of public input; and
 (4)  apply to all public input with the department,
 including input:
 (A)  on statewide transportation policy-making;
 (B)  in connection with the environmental process
 relating to specific projects; and
 (C)  into the commission's rulemaking procedures.
 (b)  The department shall document the number of positive,
 negative, or neutral public comments received regarding all
 environmental impact statements as expressed by the public through
 the department's public involvement process. The department shall:
 (1)  present this information to the commission in an
 open meeting; and
 (2)  report this information on the department's
 Internet website in a timely manner.
 (b)  Not later than September 1, 2011, the Texas Department
 of Transportation shall establish the central location on the
 department's Internet website required by Section 201.810,
 Transportation Code, as added by this section.
 SECTION 16.  Chapter 201, Transportation Code, is amended by
 adding Subchapter P to read as follows:
 SUBCHAPTER P. UNIFIED TRANSPORTATION PROGRAM
 Sec. 201.991.  DEFINITION. In this subchapter, "local
 transportation entity" means any entity that participates in the
 transportation planning process. The term includes a metropolitan
 planning organization as defined by Section 472.031, a regional
 tollway authority organized under Chapter 366, a regional
 transportation authority operating under Chapter 452, and a rural
 transit district as defined by Section 458.001.
 Sec. 201.992.  UNIFIED TRANSPORTATION PROGRAM. (a)  The
 department shall develop a unified transportation program covering
 a period of 10 years to guide the development of and authorize
 construction of transportation projects. The program must:
 (1)  annually identify target funding levels; and
 (2)  list all projects that the department intends to
 develop or begin construction of during the program period.
 (b)  The commission shall adopt rules that:
 (1)  specify the criteria for selecting projects to be
 included in the program;
 (2)  define program funding categories, including
 categories for safety, maintenance, and mobility; and
 (3)  define each phase of a major transportation
 project, including the planning, programming, implementation, and
 construction phases.
 (c)  The department shall publish the entire unified
 transportation program and summary documents highlighting project
 benchmarks, priorities, and forecasts in appropriate media and on
 the department's Internet website in a format that is easily
 understandable by the public.
 (d)  In developing the rules required by this section, the
 commission shall collaborate with local transportation entities.
 Sec. 201.993.  ANNUAL UPDATE TO UNIFIED TRANSPORTATION
 PROGRAM. (a)  The department shall annually update the unified
 transportation program.
 (b)  The annual update must include:
 (1)  the annual funding forecast required by Section
 201.994;
 (2)  the list of major transportation projects required
 by Section 201.995(b); and
 (3)  the category to which the project has been
 assigned and the priority of the project in the category under
 Section 201.996.
 (c)  The department shall collaborate with local
 transportation entities to develop the annual update to the unified
 transportation program.
 Sec. 201.994.  ANNUAL FUNDING AND CASH FLOW FORECASTS.
 (a)  The department annually shall:
 (1)  develop and publish a forecast of all funds the
 department expects to receive, including funds from this state and
 the federal government; and
 (2)  use that forecast to guide planning for the
 unified transportation program.
 (b)  The department shall collaborate with local
 transportation entities to develop scenarios for the forecast
 required by Subsection (a) based on mutually acceptable funding
 assumptions.
 (c)  Not later than September 1 of each year, the department
 shall prepare and publish a cash flow forecast for a period of 20
 years.
 Sec. 201.995.  MAJOR TRANSPORTATION PROJECTS. (a)  The
 commission by rule shall:
 (1)  establish criteria for designating a project as a
 major transportation project;
 (2)  develop benchmarks for evaluating the progress of
 a major transportation project and timelines for implementation and
 construction of a major transportation project; and
 (3)  determine which critical benchmarks must be met
 before a major transportation project may enter the implementation
 phase of the unified transportation program.
 (b)  The department annually shall update the list of
 projects that are designated as major transportation projects.
 (c)  In adopting rules required by this section, the
 commission shall collaborate with local transportation entities.
 Sec. 201.996.  PRIORITY PROJECTS IN PROGRAM CATEGORIES.
 (a)  The commission by rule shall:
 (1)  establish categories in the unified
 transportation program;
 (2)  assign each project identified in the program to a
 category; and
 (3)  designate the priority ranking of each project
 within each category.
 (b)  The department shall collaborate with local
 transportation entities when assigning each project included in the
 unified transportation program to a category established under
 Subsection (a).
 (c)  The highest priority projects within an applicable
 category of the unified transportation program must be projects
 designated as major transportation projects.
 Sec. 201.997.  FUNDING ALLOCATION. (a)  For each funding
 category established under Section 201.992(b)(2), the commission
 by rule shall specify the formulas for allocating funds to
 districts and metropolitan planning organizations for:
 (1)  preventive maintenance and rehabilitation of the
 state highway system in all districts;
 (2)  mobility and added capacity projects in
 metropolitan and urban areas;
 (3)  mobility and added capacity projects on major
 state highways that provide statewide connectivity between urban
 areas and highway system corridors;
 (4)  congestion mitigation and air quality improvement
 projects in nonattainment areas;
 (5)  metropolitan mobility and added capacity projects
 within the boundaries of designated metropolitan planning areas of
 metropolitan planning organizations located in a transportation
 management area;
 (6)  transportation enhancements project funding; and
 (7)  projects eligible for federal or state funding, as
 determined by the applicable district engineer.
 (b)  Subject to applicable state and federal law, the
 commission shall determine the allocation of funds in all of the
 other categories established under Section 201.992(b)(2),
 including a category for projects of specific importance to the
 state, including projects that:
 (1)  promote economic opportunity;
 (2)  increase efficiency on military deployment routes
 or that retain military assets; and
 (3)  maintain the ability of appropriate entities to
 respond to emergencies.
 (c)  The commission shall update the formulas established
 under this section at least every four years.
 Sec. 201.998.  FUND DISTRIBUTION. (a)  The department shall
 allocate funds to the department districts based on the formulas
 adopted under Section 201.997.
 (b)  In distributing funds to department districts, the
 department may not exceed the cash flow forecast prepared and
 published under Section 201.994(c).
 Sec. 201.999.  WORK PROGRAM. (a)  Each department district
 shall develop a consistently formatted work program based on the
 unified transportation program covering a period of four years that
 contains all projects that the district proposes to implement
 during that period.
 (b)  The work program must contain:
 (1)  information regarding the progress of projects
 designated as major transportation projects, according to project
 implementation benchmarks and timelines established under Section
 201.995; and
 (2)  a summary of the progress on other district
 projects.
 (c)  The department shall use the work program to:
 (1)  monitor the performance of the district; and
 (2)  evaluate the performance of district employees.
 (d)  The department shall publish the work program in
 appropriate media and on the department's Internet website.
 SECTION 17.  Section 202.021, Transportation Code, is
 amended by amending Subsection (e) and adding Subsection (e-1) to
 read as follows:
 (e)  The commission may waive payment for real property
 transferred to a governmental entity under this section if:
 (1)  the estimated cost of future maintenance on the
 property equals or exceeds the fair value of the property; or
 (2)  the property is a highway right-of-way and the
 governmental entity assumes or has assumed jurisdiction, control,
 and maintenance of the right-of-way for public road purposes.
 (e-1)  A grant transferring real property under Subsection
 (e)(2) must contain a reservation providing that if property
 described by that subsection ceases to be used for public road
 purposes, that real property shall immediately and automatically
 revert to this state.
 SECTION 18.  Section 223.002, Transportation Code, is
 amended to read as follows:
 Sec. 223.002.  NOTICE OF BIDS [BY PUBLICATION].  [(a)]  The
 department shall give [publish] notice to interested persons
 regarding [of] the time and place at which bids on a contract will
 be opened and the contract awarded. The commission by rule shall
 determine the most effective method for providing the notice
 required by this section.
 [(b)     The notice must be published in a newspaper published
 in the county in which the improvement is to be made once a week for
 at least two weeks before the time set for awarding the contract and
 in two other newspapers that the department may designate.
 [(c)     Instead of the notice required by Subsection (b), if
 the department estimates that the contract involves an amount less
 than $300,000, notice may be published in two successive issues of a
 newspaper published in the county in which the improvement is to be
 made.
 [(d)     If a newspaper is not published in the county in which
 the improvement is to be made, notice shall be published in a
 newspaper published in the county:
 [(1)     nearest the county seat of the county in which the
 improvement is to be made; and
 [(2)  in which a newspaper is published.]
 SECTION 19.  Subchapter A, Chapter 223, Transportation Code,
 is amended by adding Section 223.017 to read as follows:
 Sec. 223.017.  DESIGN-BUILD CONTRACTS FOR NONTOLLED HIGHWAY
 PROJECTS. (a)  In this section, "design-build contract" means an
 agreement with a private entity for the design and construction,
 rehabilitation, expansion, or improvement of a highway project but
 does not include the financing or operation of the highway.
 (b)  The department may enter into a design-build contract
 for a nontolled highway project.
 (c)  Notwithstanding Section 223.0041, if the department
 enters into a design-build contract under this section, the
 department shall use a competitive procurement process that
 provides the best value for the department.
 (d)  The commission shall adopt rules specifying the
 conditions under which a design-build contract may be considered.
 In developing rules the commission must address:
 (1)  the size and complexity of an eligible project;
 (2)  the time constraints for delivery of an eligible
 project;
 (3)  the level and training of the staff required to
 manage an eligible project; and
 (4)  other factors the commission considers important.
 SECTION 20.  Section 391.004, Transportation Code, is
 amended to read as follows:
 Sec. 391.004.  DISPOSITION OF FEES [TEXAS HIGHWAY
 BEAUTIFICATION FUND ACCOUNT]. [The Texas highway beautification
 fund account is an account in the general revenue fund.] Money the
 commission receives under this chapter shall be deposited to the
 credit of the state [Texas] highway [beautification] fund
 [account]. The commission shall use money in the state [Texas]
 highway [beautification] fund [account] to administer this chapter
 and Chapter 394.
 SECTION 21.  (a)  Subchapter A, Chapter 391, Transportation
 Code, is amended by adding Section 391.006 to read as follows:
 Sec. 391.006.  COMPLAINTS; RECORDS. (a)  The commission by
 rule shall establish procedures for accepting and resolving written
 complaints related to outdoor advertising under this chapter.  The
 rules must include:
 (1)  a process to make information available describing
 the department's procedures for complaint investigation and
 resolution, including making information about the procedures
 available on the department's Internet website;
 (2)  a system to prioritize complaints so that the most
 serious complaints receive attention before less serious
 complaints; and
 (3)  a procedure for compiling and reporting detailed
 annual statistics about complaints.
 (b)  The department shall provide to each person who files a
 written complaint with the department, and to each person who is the
 subject of a complaint, information about the department's policies
 and procedures relating to complaint investigation and resolution.
 (c)  The department shall keep, pursuant to the department's
 approved records retention schedule, an information file about each
 written complaint filed with the department that the department has
 authority to resolve. The department shall keep the following
 information for each complaint for the purpose of enforcing this
 chapter:
 (1)  the date the complaint is filed;
 (2)  the name of the person filing the complaint;
 (3)  the subject matter of the complaint;
 (4)  each person contacted in relation to the
 complaint;
 (5)  a summary of the results of the review or
 investigation of the complaint; and
 (6)  if the department does not take action on the
 complaint, an explanation of the reasons that action was not taken.
 (d)  If a written complaint is filed with the department that
 the department has authority to resolve, the department, at least
 quarterly and until final disposition of the complaint, shall
 notify the parties to the complaint of the status of the complaint
 unless the notice would jeopardize an ongoing department
 investigation.
 (b)  The Texas Transportation Commission shall adopt rules
 under Section 391.006, Transportation Code, as added by this
 section, not later than September 1, 2012.
 SECTION 22.  Subchapter B, Chapter 391, Transportation Code,
 is amended by adding Section 391.0355 to read as follows:
 Sec. 391.0355.  ADMINISTRATIVE PENALTY. (a)  In lieu of a
 suit to collect a civil penalty, the commission, after notice and an
 opportunity for a hearing before the commission, may impose an
 administrative penalty against a person who violates this chapter
 or a rule adopted by the commission under this chapter. Each day a
 violation continues is a separate violation.
 (b)  The amount of the administrative penalty may not exceed
 the maximum amount of a civil penalty under Section 391.035.
 (c)  A proceeding under this section is a contested case
 under Chapter 2001, Government Code.
 (d)  Judicial review of an appeal of an administrative
 penalty imposed under this section is under the substantial
 evidence rule.
 (e)  An administrative penalty collected under this section
 shall be deposited to the credit of the state highway fund.
 SECTION 23.  Section 391.063, Transportation Code, is
 amended to read as follows:
 Sec. 391.063.  LICENSE FEE.  The commission may set the
 amount of a license fee according to a scale graduated by the number
 of units of outdoor advertising and the number of off-premise signs
 under Chapter 394 owned by a license applicant.
 SECTION 24.  Subsection (b), Section 391.065,
 Transportation Code, is amended to read as follows:
 (b)  For the efficient management and administration of this
 chapter and to reduce the number of employees required to enforce
 this chapter, the commission shall adopt rules for issuing
 standardized forms that are for submission by license holders and
 applicants and that provide for an accurate showing of the number,
 location, or other information required by the commission for each
 license holder's or applicant's outdoor advertising or off-premise
 signs under Chapter 394.
 SECTION 25.  Section 391.066, Transportation Code, is
 amended by adding Subsection (d) to read as follows:
 (d)  The commission may deny the renewal of a license
 holder's license if the license holder has not complied with the
 permit requirements of this chapter or Chapter 394.
 SECTION 26.  Subchapter C, Chapter 391, Transportation Code,
 is amended by adding Section 391.0661 to read as follows:
 Sec. 391.0661.  APPLICABILITY OF LICENSE. In addition to
 authorizing a person to erect or maintain outdoor advertising, a
 license issued under this chapter authorizes a person to erect or
 maintain an off-premise sign under Chapter 394.
 SECTION 27.  Section 394.005, Transportation Code, is
 amended to read as follows:
 Sec. 394.005.  DISPOSITION OF FEES. Money the commission
 receives [A registration fee collected] under this chapter [Section
 394.048 by the commission] shall be deposited to the credit of the
 state highway fund.
 SECTION 28.  (a)  Subchapter A, Chapter 394, Transportation
 Code, is amended by adding Section 394.006 to read as follows:
 Sec. 394.006.  COMPLAINTS; RECORDS.  (a)  The commission by
 rule shall establish procedures for accepting and resolving written
 complaints related to signs under this chapter.  The rules must
 include:
 (1)  a process to make information available describing
 the department's procedures for complaint investigation and
 resolution, including making information about the procedures
 available on the department's Internet website;
 (2)  a system to prioritize complaints so that the most
 serious complaints receive attention before less serious
 complaints; and
 (3)  a procedure for compiling and reporting detailed
 annual statistics about complaints.
 (b)  The department shall provide to each person who files a
 written complaint with the department, and to each person who is the
 subject of a complaint, information about the department's policies
 and procedures relating to complaint investigation and resolution.
 (c)  The department shall keep, pursuant to the department's
 approved records retention schedule, an information file about each
 written complaint filed with the department that the department has
 authority to resolve. The department shall keep the following
 information for each complaint for the purpose of enforcing this
 chapter:
 (1)  the date the complaint is filed;
 (2)  the name of the person filing the complaint;
 (3)  the subject matter of the complaint;
 (4)  each person contacted in relation to the
 complaint;
 (5)  a summary of the results of the review or
 investigation of the complaint; and
 (6)  if the department does not take action on the
 complaint, an explanation of the reasons that action was not taken.
 (d)  If a written complaint is filed with the department that
 the department has authority to resolve, the department, at least
 quarterly and until final disposition of the complaint, shall
 notify the parties to the complaint of the status of the complaint
 unless the notice would jeopardize an ongoing department
 investigation.
 (b)  The Texas Transportation Commission shall adopt rules
 under Section 394.006, Transportation Code, as added by this
 section, not later than September 1, 2012.
 SECTION 29.  The heading to Subchapter B, Chapter 394,
 Transportation Code, is amended to read as follows:
 SUBCHAPTER B. LICENSE AND PERMIT FOR OFF-PREMISE SIGN
 SECTION 30.  (a)  Subchapter B, Chapter 394, Transportation
 Code, is amended by adding Sections 394.0201, 394.0202, 394.0203,
 394.0204, 394.0205, 394.0206, 394.0207, 394.027, 394.028, and
 394.029 to read as follows:
 Sec. 394.0201.  ERECTING OFF-PREMISE SIGN WITHOUT LICENSE;
 OFFENSE. (a)  A person commits an offense if the person wilfully
 erects or maintains an off-premise sign on a rural road without a
 license under this subchapter.
 (b)  An offense under this section is a misdemeanor
 punishable by a fine of not less than $500 or more than $1,000.  Each
 day of the proscribed conduct is a separate offense.
 (c)  A person is not required to obtain a license to erect or
 maintain an on-premise sign.
 Sec. 394.0202.  ISSUANCE AND PERIOD OF LICENSE. (a)  The
 commission shall issue a license to a person who:
 (1)  files with the commission a completed application
 form within the time specified by the commission;
 (2)  pays the appropriate license fee; and
 (3)  files with the commission a surety bond.
 (b)  A license may be issued for one year or longer.
 (c)  At least 30 days before the date on which a person's
 license expires, the commission shall notify the person of the
 impending expiration. The notice must be in writing and sent to the
 person's last known address according to the records of the
 commission.
 Sec. 394.0203.  LICENSE FEE. The commission may set the
 amount of a license fee according to a scale graduated by the number
 of off-premise signs and units of outdoor advertising under Chapter
 391 owned by a license applicant.
 Sec. 394.0204.  SURETY BOND. (a)  The surety bond required
 of an applicant for a license under Section 394.0202 must be:
 (1)  in the amount of $2,500 for each county in the
 state in which the person erects or maintains an off-premise sign;
 and
 (2)  payable to the commission for reimbursement for
 removal costs of an off-premise sign that the license holder
 unlawfully erects or maintains.
 (b)  A person may not be required to provide more than
 $10,000 in surety bonds.
 Sec. 394.0205.  RULES; FORMS. (a)  The commission may adopt
 rules to implement Sections 394.0201(a), 394.0202, 394.0203,
 394.0204, and 394.0206.
 (b)  For the efficient management and administration of this
 chapter and to reduce the number of employees required to enforce
 this chapter, the commission shall adopt rules for issuing
 standardized forms that are for submission by license holders and
 applicants and that provide for an accurate showing of the number,
 location, or other information required by the commission for each
 license holder's or applicant's off-premise signs or outdoor
 advertising under Chapter 391.
 (c)  The commission may not adopt a rule under this chapter
 that restricts competitive bidding or advertising by the holder of
 a license issued under this chapter other than a rule to prohibit
 false, misleading, or deceptive practices. The limitation provided
 by this section applies only to rules relating to the occupation of
 outdoor advertiser and does not affect the commission's power to
 regulate the orderly and effective display of an off-premise sign
 under this chapter. A rule to prohibit false, misleading, or
 deceptive practices may not:
 (1)  restrict the use of:
 (A)  any legal medium for an advertisement;
 (B)  the license holder's advertisement under a
 trade name; or
 (C)  the license holder's personal appearance or
 voice in an advertisement, if the license holder is an individual;
 or
 (2)  relate to the size or duration of an advertisement
 by the license holder.
 Sec. 394.0206.  REVOCATION OR SUSPENSION OF LICENSE; APPEAL.
 (a)  The commission may revoke or suspend a license issued under
 this subchapter or place on probation a license holder whose
 license is suspended if the license holder violates this chapter or
 a rule adopted under this chapter. If the suspension of the license
 is probated, the department may require the license holder to
 report regularly to the commission on any matter that is the basis
 of the probation.
 (b)  The judicial appeal of the revocation or suspension of a
 license must be initiated not later than the 15th day after the date
 of the commission's action.
 (c)  The commission may adopt rules for the reissuance of a
 revoked or suspended license and may set fees for the reissuance.
 (d)  The commission may deny the renewal of a license
 holder's existing license if the license holder has not complied
 with the permit requirements of this chapter or Chapter 391.
 Sec. 394.0207.  APPLICABILITY OF LICENSE.  In addition to
 authorizing a person to erect or maintain an off-premise sign, a
 license issued under this chapter authorizes a person to erect or
 maintain outdoor advertising under Chapter 391.
 Sec. 394.027.  DENIAL OF PERMIT; APPEAL. The commission may
 create a process by which an applicant may appeal a denial of a
 permit under this subchapter.
 Sec. 394.028.  FEE AMOUNTS. The license and permit fees
 required by this subchapter may not exceed an amount reasonably
 necessary to cover the administrative costs incurred to enforce
 this chapter.
 Sec. 394.029.  EXCEPTIONS FOR CERTAIN NONPROFIT
 ORGANIZATIONS. (a)  The combined license and permit fees under
 this subchapter may not exceed $10 for an off-premise sign erected
 and maintained by a nonprofit organization in a municipality or a
 municipality's extraterritorial jurisdiction if the sign relates
 to or promotes only the municipality or a political subdivision
 whose jurisdiction is wholly or partly concurrent with the
 municipality.
 (b)  The nonprofit organization is not required to file a
 bond as provided by Section 394.0202(a)(3).
 (b)  The change in law made by Section 394.0201,
 Transportation Code, as added by this section, applies only to an
 off-premise sign erected or for which the permit expires on or after
 the effective date of this Act. An off-premise sign for which a
 permit is issued before the effective date of this Act is covered by
 the law in effect when the permit was issued, and the former law is
 continued in effect for that purpose.
 SECTION 31.  Section 394.050, Transportation Code, is
 amended to read as follows:
 Sec. 394.050.  [BOARD OF] VARIANCE.  The commission or a
 person designated by the commission [shall provide for a board of
 variance that], in an appropriate case and subject to an
 appropriate condition or safeguard, may make a special exception to
 this chapter regarding a permit for an off-premise outdoor sign on a
 rural road.
 SECTION 32.  Subsections (a) and (d), Section 394.082,
 Transportation Code, are amended to read as follows:
 (a)  In lieu of a suit to collect a civil penalty, the
 commission, after notice and an opportunity for a hearing before
 the commission, may impose an administrative penalty against a
 person who [intentionally] violates this chapter or a rule adopted
 by the commission under this chapter. Each day a violation
 continues is a separate violation.
 (d)  Judicial review of an appeal of an administrative
 penalty imposed under this section is under the substantial
 evidence rule [by trial de novo].
 SECTION 33.  Subchapter D, Chapter 472, Transportation Code,
 is amended by adding Section 472.035 to read as follows:
 Sec. 472.035.  COORDINATION WITH DEPARTMENT TO DEVELOP
 LONG-TERM PLANNING ASSUMPTIONS. Each metropolitan planning
 organization shall work with the department to develop mutually
 acceptable assumptions for the purposes of long-range federal and
 state funding forecasts and use those assumptions to guide
 long-term planning in the organization's long-range transportation
 plan.
 SECTION 34.  Chapter 544, Transportation Code, is amended by
 adding Section 544.013 to read as follows:
 Sec. 544.013.  CHANGEABLE MESSAGE SIGN SYSTEM. (a)  In this
 section, "changeable message sign" means a sign that conforms to
 the manual and specifications adopted under Section 544.001. The
 term includes a dynamic message sign.
 (b)  The Texas Department of Transportation in cooperation
 with local governments shall actively manage a system of changeable
 message signs located on highways under the jurisdiction of the
 department to mitigate traffic congestion by providing current
 information to the traveling public, including information about
 traffic incidents, weather conditions, road construction, and
 alternative routes when applicable.
 SECTION 35.  Subchapter A, Chapter 621, Transportation Code,
 is amended by adding Section 621.008 to read as follows:
 Sec. 621.008.  STUDY REGARDING OVERSIZE AND OVERWEIGHT
 VEHICLES.  (a)  The department shall conduct a study to determine
 improvements to the regulation of oversize and overweight vehicles.
 (b)  In conducting the study, the department shall consider:
 (1)  prohibiting overweight vehicles or vehicle
 combinations from traveling on state highways if the vehicle or
 combination will cause damage to a road or bridge, based on the
 weight or load specifications to which the road or bridge was built;
 (2)  requiring each applicant for a permit under
 Chapter 623 to pay a graduated highway maintenance fee based on
 weight and the amount of damage done by the permitted vehicle or
 vehicle combination to roads and bridges;
 (3)  requiring each fee collected for an overweight or
 oversize vehicle permit to be deposited in the state highway fund;
 (4)  eliminating all exemptions for overweight
 vehicles; and
 (5)  the feasibility and impact of different approaches
 to regulating oversize and overweight vehicles that would help
 reduce damage to roads and bridges and provide increased funding
 for maintenance costs in the future.
 (c)  Not later than December 31, 2011, the department shall
 report the results of the study conducted under this section to the
 governor, the lieutenant governor, the speaker of the house of
 representatives, and the appropriate oversight committee of each
 house of the legislature.
 (d)  This section expires September 1, 2012.
 SECTION 36.  Section 201.0545, Transportation Code, is
 repealed.
 SECTION 37.  This Act takes effect September 1, 2011.
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