82R1767 TRH-D
By: Ogden S.B. No. 363
A BILL TO BE ENTITLED
AN ACT
relating to the cessation of tolls by toll project entities in
certain circumstances.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 228.0111(g), Transportation Code, is
amended to read as follows:
(g) A local toll project entity has the first option to
develop, finance, construct, and operate a toll project under the
terms and conditions established under Subsection (e). A local
toll project entity, other than a regional mobility authority under
Chapter 370, has six months after the date that the market valuation
is mutually approved under Subsection (f) to decide whether to
exercise the option. For a project proposed to be located within
the boundaries of a regional mobility authority under Chapter 370,
after the market valuation is final under Subsection (f), the
metropolitan planning organization for the region in which the
project is located shall determine whether the toll project should
be developed using the business terms incorporated in the market
valuation. If the metropolitan planning organization determines
that the toll project should be developed using the business terms
in the market valuation, the regional mobility authority has six
months after the date the metropolitan planning organization
decides whether to exercise the option to develop the project. If
a local toll project entity exercises the option with respect to a
toll project under this subsection, the local toll project entity,
after exercising the option and within two years after the date on
which all environmental requirements necessary for the development
of the toll project are secured and all legal challenges to
development are concluded, must:
(1) enter into a contract for the construction of the
toll project; and
(2) either:
(A) commit to make a payment into a toll project
subaccount in an amount equal to the value of the toll project as
determined by the market valuation, to be used by the department to
finance the construction of additional transportation projects in
the region in which the toll project is located; or
(B) commit to construct, within the period agreed
to by the local toll project entity and the department, additional
transportation projects in the region in which the toll project is
located with estimated construction costs equal to the market
valuation of the toll project[; or
[(C) for a regional mobility authority under
Chapter 370, commit to using, for a period to be agreed upon by the
department and the authority, all surplus revenue from the toll
project for the purposes authorized by Section 370.174(b) in an
amount equal to the valuation of the project].
SECTION 2. Section 228.012(a), Transportation Code, is
amended to read as follows:
(a) The department shall create a separate account in the
state highway fund to hold payments received by the department
under a comprehensive development agreement[, the surplus revenue
of a toll project or system,] and payments received under Sections
228.0111(g)(2) and (i)(2). The department shall create
subaccounts in the account for each project, system, or region.
Interest earned on money in a subaccount shall be deposited to the
credit of that subaccount.
SECTION 3. Section 228.053(f), Transportation Code, is
amended to read as follows:
(f) The revenue and disbursements for each toll project or
system shall be kept separately. The revenue from one project may
not be used to pay the cost of another project except as authorized
by Section [Sections] 228.0055 [and 228.006].
SECTION 4. Section 228.104(a), Transportation Code, is
amended to read as follows:
(a) The principal of, interest on, and any redemption
premium on bonds issued by the commission under this subchapter are
payable solely from:
(1) the revenue of the toll project or system for which
the bonds are issued, including tolls pledged to pay the bonds;
(2) the proceeds of bonds issued for the project or
system;
(3) the amounts deposited in a debt service reserve
fund as required by the trust agreement securing bonds issued for
the project or system;
(4) amounts received under a credit agreement relating
to the project or system for which the bonds are issued; and
(5) [surplus revenue of another project or system as
authorized by Section 228.006; and
[(6)] amounts received by the department:
(A) as pass-through tolls under Section 222.104;
(B) under an agreement with a local governmental
entity entered into under Section 228.254;
(C) under other agreements with a local
governmental entity relating to the project or system for which the
bonds are issued; and
(D) under a comprehensive development agreement
entered into under Section 223.201.
SECTION 5. Section 228.105, Transportation Code, is amended
to read as follows:
Sec. 228.105. SOURCES OF PAYMENT OF AND SECURITY FOR TOLL
REVENUE BONDS. Notwithstanding any other provisions of this
subchapter, toll revenue bonds issued by the commission may:
(1) be payable from and secured by:
(A) payments made under an agreement with a local
governmental entity as provided by Section 228.254;
(B) the proceeds of bonds issued for the toll
project or system; or
(C) amounts deposited in a debt service reserve
fund as required by the trust agreement securing bonds issued for
the project or system; [or
[(D) surplus revenue of another toll project or
system as authorized by Section 228.006;] and
(2) state on their faces any pledge of revenue or taxes
and any security for the bonds under the agreement.
SECTION 6. Section 366.113(a), Transportation Code, is
amended to read as follows:
(a) The principal of, interest on, and any redemption
premium on bonds issued by an authority are payable solely from:
(1) the revenue of the turnpike project or system for
which the bonds are issued, including tolls pledged to pay the
bonds;
(2) payments made under an agreement with the
commission or a local governmental entity as provided by Subchapter
G;
(3) money derived from any other source available to
the authority, other than money derived from a turnpike project
that is not part of the same system or money derived from a
different system[, except to the extent that the surplus revenue of
a turnpike project or system has been pledged for that purpose];
and
(4) amounts received under a credit agreement relating
to the turnpike project or system for which the bonds are issued.
SECTION 7. Section 370.113(a), Transportation Code, is
amended to read as follows:
(a) The principal of, interest on, and any redemption
premium on bonds issued by an authority are payable solely from:
(1) the revenue of the transportation project for
which the bonds are issued;
(2) payments made under an agreement with the
commission, the department, or other governmental entity as
provided by Subchapter G;
(3) money derived from any other source available to
the authority, other than money derived from a transportation
project that is not part of the same system or money derived from a
different system, except to the extent that the surplus revenue of a
transportation project or system, other than a turnpike project,
has been pledged for that purpose; and
(4) amounts received under a credit agreement relating
to the transportation project for which the bonds are issued.
SECTION 8. Subchapter B, Chapter 372, Transportation Code,
is amended by adding Section 372.054 to read as follows:
Sec. 372.054. CESSATION OF TOLLS. A toll project becomes a
part of the state highway system and the commission shall maintain
the project without tolls when the costs of acquisition and
construction of the project have been paid and:
(1) all of the bonds and interest on the bonds that are
payable from or secured by revenues of the project have been paid by
the issuer of the bonds or another person with the consent or
approval of the issuer; or
(2) a sufficient amount for the payment of all bonds
and interest on the bonds to maturity has been set aside by the
issuer of the bonds or another person with the consent or approval
of the issuer in a trust fund held for the benefit of the
bondholders.
SECTION 9. The following provisions of the Transportation
Code are repealed:
(1) Section 228.006;
(2) Section 228.109(d);
(3) Sections 284.008(c) and (d);
(4) Section 366.003(9-a);
(5) Section 366.037; and
(6) Section 366.175.
SECTION 10. This Act takes effect immediately if it
receives a vote of two-thirds of all the members elected to each
house, as provided by Section 39, Article III, Texas Constitution.
If this Act does not receive the vote necessary for immediate
effect, this Act takes effect September 1, 2011.