Texas 2019 - 86th Regular

Texas Senate Bill SB88 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	86R1956 JTS-D
2	2	By: Hall S.B. No. 88
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to a pilot project for financing certain Texas Department
8	8	of Transportation projects.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subchapter F, Chapter 223, Transportation Code,
11	11	is amended by adding Section 223.251 to read as follows:
12	12	Sec. 223.251. DEPARTMENT PILOT FINANCING PROJECT USING
13	13	ECONOMIC IMPACT ZONE. (a) The department may select one nontolled
14	14	highway project under a design-build contract to be financed,
15	15	including through the issuance of bonds, wholly or partly using
16	16	revenue from:
17	17	(1) transportation reinvestment zones under
18	18	Subchapter E, Chapter 222; and
19	19	(2) an economic impact zone under Subsection (b).
20	20	(b) The department may establish an economic impact zone for
21	21	an area that extends not more than one mile on either side of the
22	22	centerline of the project. If a zone is created:
23	23	(1) the department shall notify the comptroller of the
24	24	establishment of the zone not later than the 30th day after the date
25	25	the zone is established; and
26	26	(2) the comptroller shall:
27	27	(A) at the beginning of each calendar year,
28	28	estimate the projected annual increase in state sales tax revenue
29	29	in the zone during the calendar year over the amount of state sales
30	30	tax revenue in the zone during the calendar year in which the zone
31	31	was established;
32	32	(B) monthly deposit into a separate account
33	33	outside the treasury, without the necessity of an appropriation,
34	34	one-twelfth of the amount of the estimated projected annual
35	35	increase calculated under Paragraph (A); and
36	36	(C) at the end of each calendar year:
37	37	(i) transfer from the account to the
38	38	department for the purpose of financing the project, an amount
39	39	necessary to pay the costs of the project as described by Subsection
40	40	(d), not to exceed the actual increase in state sales tax revenue in
41	41	the zone during the calendar year over the amount of the state sales
42	42	tax revenue in the zone during the calendar year in which the zone
43	43	was established; and
44	44	(ii) transfer to the general revenue fund
45	45	any amounts remaining in the account after the transfer.
46	46	(c) The department may require that the municipalities in
47	47	which the project is located assume responsibility for project
48	48	costs for rights-of-way and utility relocation.
49	49	(d) Revenue described by Subsection (b) may be used only
50	50	for:
51	51	(1) development and construction of the project;
52	52	(2) payment of debt incurred for the project; and
53	53	(3) maintenance of the project.
54	54	(e) Financing agreements for a project financed under this
55	55	section must contain provisions to allow the early retirement of
56	56	debt using money from an economic impact zone under Subsection (b)
57	57	or money appropriated by the legislature.
58	58	(f) The maturity date of any bonds issued for the project
59	59	may not be extended after the bonds are issued, including through
60	60	the use of refunding bonds or other refinancing agreements, unless
61	61	the extension of the maturity date will decrease the total amount of
62	62	interest to be paid until maturity.
63	63	SECTION 2. This Act takes effect August 31, 2019.