Texas 2013 - 83rd Regular

Texas House Bill HB3391 Compare Versions

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1	1	83R20284 JTS-D
2	2	By: Phillips H.B. No. 3391
3	3	Substitute the following for H.B. No. 3391:
4	4	By: Phillips C.S.H.B. No. 3391
5	5
6	6
7	7	A BILL TO BE ENTITLED
8	8	AN ACT
9	9	relating to comprehensive development agreements of the Texas
10	10	Department of Transportation or a regional mobility authority.
11	11	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
12	12	SECTION 1. Section 223.201, Transportation Code, is amended
13	13	by amending Subsections (a), (b), (f), (g), (i), (j), (k), and (l)
14	14	and adding Subsection (j-1) to read as follows:
15	15	(a) Subject to Section 223.202, the department may enter
16	16	into a comprehensive development agreement with a private entity to
17	17	design, develop, finance, construct, maintain, repair, operate,
18	18	extend, or expand a:
19	19	(1) toll project;
20	20	(2) state highway improvement project that includes
21	21	both tolled and nontolled lanes and may include nontolled
22	22	appurtenant facilities;
23	23	(3) state highway improvement project in which the
24	24	private entity has an interest in the project; [or]
25	25	(4) state highway improvement project financed wholly
26	26	or partly with the proceeds of private activity bonds, as defined by
27	27	Section 141(a), Internal Revenue Code of 1986; or
28	28	(5) nontolled state highway improvement project
29	29	authorized by the legislature.
30	30	(b) In this subchapter, "comprehensive development
31	31	agreement" means an agreement that, at a minimum, provides for the
32	32	design and construction, reconstruction, rehabilitation,
33	33	expansion, or improvement of a project described in Subsection (a)
34	34	and may also provide for the financing, acquisition, maintenance,
35	35	or operation of a project described in Subsection (a).
36	36	(f) The department may enter into a comprehensive
37	37	development agreement only for all or part of:
38	38	(1) the State Highway 99 (Grand Parkway) project;
39	39	(2) the Interstate Highway 35E managed lanes project
40	40	in Dallas and Denton Counties from Interstate Highway 635 to U.S.
41	41	Highway 380;
42	42	(3) the Interstate Highway 35W project in Tarrant
43	43	County from Interstate Highway 30 to State Highway 114 [North
44	44	Tarrant Express project in Tarrant and Dallas Counties, including:
45	45	[(A) on State Highway 183 from State Highway 121
46	46	to State Highway 161 (Segment 2E);
47	47	[(B) on Interstate Highway 35W from Interstate
48	48	Highway 30 to State Highway 114 (Segments 3A, 3B, and 3C); and
49	49	[(C) on Interstate Highway 820 from State Highway
50	50	183 North to south of Randol Mill Road (Segment 4)];
51	51	(4) the State Highway 183 managed lanes project in
52	52	Tarrant and Dallas Counties [County] from State Highway 121 [161]
53	53	to Interstate Highway 35E;
54	54	(5) the Interstate Highway 35/U.S. Highway 67 Southern
55	55	Gateway project in Dallas County, including:
56	56	(A) Interstate Highway 35E from 8th Street to
57	57	Interstate Highway 20; and
58	58	(B) U.S. Highway 67 from Interstate Highway 35E
59	59	to Farm-to-Market Road 1382 (Belt Line Road) [State Highway 249
60	60	project in Harris and Montgomery Counties from Spring Cypress Road
61	61	to Farm-to-Market Road 1774];
62	62	(6) the State Highway 288 project from U.S. Highway 59
63	63	to south of State Highway 6 in Brazoria County and Harris County;
64	64	[and]
65	65	(7) the U.S. Highway 290 [Hempstead] managed lanes
66	66	project in Harris County from Interstate Highway 610 to State
67	67	Highway 99;
68	68	(8) the Interstate Highway 820 project from State
69	69	Highway 183 to Randol Mill Road;
70	70	(9) the State Highway 114 project in Dallas County
71	71	from State Highway 121 to State Highway 183;
72	72	(10) the Loop 12 project in Dallas County from State
73	73	Highway 183 to Interstate Highway 35E;
74	74	(11) the Interstate Highway 35E project in Dallas
75	75	County from State Highway 183 to the Dallas North Tollway;
76	76	(12) the Loop 9 project in Dallas and Ellis Counties
77	77	from Interstate Highway 20 to U.S. Highway 67; and
78	78	(13) the U.S. Highway 181 Harbor Bridge project in
79	79	Nueces County between U.S. Highway 181 at Beach Avenue and
80	80	Interstate Highway 37.
81	81	(g) The department may combine in a comprehensive
82	82	development agreement under this subchapter:
83	83	(1) a toll project and a rail facility as defined by
84	84	Section 91.001; or
85	85	(2) two or more projects described by Subsection (f).
86	86	(i) The authority to enter into a comprehensive development
87	87	agreement under [for a project described by] Subsection (f)[, other
88	88	than the State Highway 99 (Grand Parkway) project] expires:
89	89	(1) August 31, 2017; or
90	90	(2) August 31, 2015, for:
91	91	(A) the State Highway 183 managed lanes project;
92	92	(B) the State Highway 114 project; and
93	93	(C) the Loop 12 project.
94	94	(j) Before the department may enter into a comprehensive
95	95	development agreement under Subsection (f), the department must:
96	96	(1) obtain[, not later than August 31, 2013,] the
97	97	appropriate environmental clearance for the project or for the
98	98	initial or base scope of the project if the project agreement
99	99	provides for the phased construction of the project:
100	100	(A) not later than August 31, 2017; or
101	101	(B) not later than January 31, 2014, for a
102	102	project described by Subsection (i)(2) [for any project other than
103	103	the State Highway 99 (Grand Parkway) project]; and
104	104	(2) present to the commission a full financial plan
105	105	for the project, including costing methodology and cost proposals.
106	106	(j-1) Subsections (i) and (j) do not apply to the State
107	107	Highway 99 (Grand Parkway) project.
108	108	(k) Not later than December 1, 2014 [2012], the department
109	109	shall provide [present] a report to the commission on the status of
110	110	a project described by Subsection (f). The report must include:
111	111	(1) the status of the project's environmental
112	112	clearance;
113	113	(2) an explanation of any project delays; and
114	114	(3) if the procurement is not completed, the
115	115	anticipated date for the completion of the procurement.
116	116	(l) In this section, "environmental clearance" means:
117	117	(1) a finding of no significant impact has been issued
118	118	for the project or, as applicable, for the initial or base scope of
119	119	the project; or
120	120	(2) for a project for which an environmental impact
121	121	statement is prepared, a record of decision has been issued for that
122	122	project or, as applicable, for the initial or base scope of the
123	123	project.
124	124	SECTION 2. Sections 223.2011(a), (c), (e), and (f),
125	125	Transportation Code, are amended to read as follows:
126	126	(a) Notwithstanding Sections 223.201(f) and 370.305(c), the
127	127	department or an authority under Section 370.003 may enter into a
128	128	comprehensive development agreement relating to improvements to,
129	129	or construction of all or part of:
130	130	(1) the Loop 1 (MoPac Improvement) project from
131	131	Farm-to-Market Road 734 to Cesar Chavez Street;
132	132	(2) the U.S. 183 (Bergstrom Expressway) project from
133	133	Springdale Road to Patton Avenue; [or]
134	134	(3) a project consisting of the construction of:
135	135	(A) the Outer Parkway Project in Cameron County
136	136	from U.S. Highway 77 [77/83] to Farm-to-Market Road 1847; and
137	137	(B) the South Padre Island Second Access Causeway
138	138	Project from State Highway 100 to Park Road 100;
139	139	(4) the Loop 1604 project in Bexar County;
140	140	(5) the Loop 49 project from Interstate 20 to U.S.
141	141	Highway 69 (Lindale Relief Route) and from State Highway 110 to U.S.
142	142	Highway 259 (Segments 6 and 7);
143	143	(6) the Loop 375 Border Highway West project in El Paso
144	144	County from Race Track Drive to U.S. Highway 54; and
145	145	(7) the Northeast Parkway project in El Paso County
146	146	from Loop 375 east of the Railroad Drive overpass to the Texas-New
147	147	Mexico border.
148	148	(c) Not later than December 1, 2014 [2012], the department
149	149	or the authority, as applicable, shall provide [present] a report
150	150	to the commission on the status of a project described by Subsection
151	151	(a). The report must include:
152	152	(1) the status of the project's environmental
153	153	clearance;
154	154	(2) an explanation of any project delays; and
155	155	(3) if the procurement is not completed, the
156	156	anticipated date for the completion of the procurement.
157	157	(e) In this section, "environmental clearance" means:
158	158	(1) a finding of no significant impact has been issued
159	159	for the project or, as applicable, for the initial or base scope of
160	160	the project; or
161	161	(2) for a project for which an environmental impact
162	162	statement is prepared, a record of decision has been issued for that
163	163	project or, as applicable, for the initial or base scope of the
164	164	project.
165	165	(f) The authority to enter into a comprehensive development
166	166	agreement under this section expires August 31, 2017 [2015].
167	167	SECTION 3. Subchapter G, Chapter 370, Transportation Code,
168	168	is amended by adding Section 370.3051 to read as follows:
169	169	Sec. 370.3051. LIMITED AUTHORITY FOR CERTAIN PROJECTS USING
170	170	COMPREHENSIVE DEVELOPMENT AGREEMENTS. Notwithstanding Section
171	171	370.305(c), an authority formed by a county with a population of
172	172	more than 700,000 that borders the United Mexican States may enter
173	173	into a comprehensive development agreement for:
174	174	(1) the Hidalgo County Loop Project;
175	175	(2) the International Bridge Trade Corridor
176	176	Project; and
177	177	(3) projects associated with commuter rail.
178	178	SECTION 4. Section 371.101, Transportation Code, is amended
179	179	to read as follows:
180	180	Sec. 371.101. TERMINATION FOR CONVENIENCE. (a) A
181	181	comprehensive development agreement under which a private
182	182	participant receives the right to operate and collect revenue from
183	183	a toll project must contain a provision authorizing the toll
184	184	project entity to terminate the agreement for convenience and to
185	185	purchase, under terms agreed to by the parties:
186	186	(1) the interest of the private participant in the
187	187	comprehensive development agreement; and
188	188	(2) related property, including any interest in a
189	189	highway or other facility designed, developed, financed,
190	190	constructed, operated, or maintained under the agreement.
191	191	(b) A comprehensive development agreement described by
192	192	Subsection (a) must include a price breakdown stating a specific
193	193	price for the purchase of the private participant's interest at
194	194	specified intervals from the date the toll project opens, of not
195	195	less than two years and not more than five years, over the term of
196	196	the agreement.
197	197	(c) The provision must authorize the toll project entity to
198	198	terminate the comprehensive development agreement and to purchase
199	199	the private participant's interest at any time during a specified
200	200	interval at the lesser of:
201	201	(1) the price stated for that interval; or
202	202	(2) the greater of:
203	203	(A) the then fair market value of the private
204	204	participant's interest, plus or minus any other amounts specified
205	205	in the comprehensive development agreement; or
206	206	(B) an amount equal to the amount of outstanding
207	207	debt specified in the comprehensive development agreement, plus or
208	208	minus any other amounts specified in the comprehensive development
209	209	agreement.
210	210	(d) A toll project entity shall include in a request for
211	211	proposals for an agreement described by Subsection (a) a request
212	212	for the proposed price breakdown described by Subsection (b) and
213	213	shall assign points to and score each proposer's price breakdown in
214	214	the evaluation of proposals.
215	215	(e) A private participant shall, not later than 12 months
216	216	before the date that a new price interval takes effect, notify the
217	217	toll project entity of the beginning of the price interval. The
218	218	toll project entity must notify the private participant as to
219	219	whether it will exercise the option to purchase under this section
220	220	not later than six months after the date it receives notice under
221	221	this subsection.
222	222	(f) A toll project entity must notify the private
223	223	participant of the toll project entity's intention to purchase the
224	224	private participant's interest under this section not less than six
225	225	months before the date of the purchase.
226	226	(g) Subsections (b), (c), (d), (e), and (f) do not apply to a
227	227	project for which a request for proposals was issued before January
228	228	1, 2013.
229	229	(h) If a project requires expansion or reconstruction in a
230	230	manner that differs from the manner provided in the original
231	231	project scope or schedule, the price for terminating the
232	232	comprehensive development agreement may be adjusted to reflect the
233	233	changes in the agreement. [A toll project entity having rulemaking
234	234	authority by rule and a toll project entity without rulemaking
235	235	authority by official action shall develop a formula for making
236	236	termination payments to terminate a comprehensive development
237	237	agreement under which a private participant receives the right to
238	238	operate and collect revenue from a toll project. A formula must
239	239	calculate an estimated amount of loss to the private participant as
240	240	a result of the termination for convenience.
241	241	[(b) The formula shall be based on investments,
242	242	expenditures, and the internal rate of return on equity under the
243	243	agreed base case financial model as projected over the original
244	244	term of the agreement, plus an agreed percentage markup on that
245	245	amount.
246	246	[(c) A formula under Subsection (b) may not include any
247	247	estimate of future revenue from the project, if not included in an
248	248	agreed base case financial model under Subsection (b).
249	249	Compensation to the private participant upon termination for
250	250	convenience may not exceed the amount determined using the formula
251	251	under Subsection (b).]
252	252	SECTION 5. This Act takes effect immediately if it receives
253	253	a vote of two-thirds of all the members elected to each house, as
254	254	provided by Section 39, Article III, Texas Constitution. If this
255	255	Act does not receive the vote necessary for immediate effect, this
256	256	Act takes effect September 1, 2013.