LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION April 11, 2023 TO: Honorable Robert Nichols, Chair, Senate Committee on Transportation FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1387 by Hughes (relating to dynamic message signs used in certain statewide alert systems.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend the Government Code to require the Texas Department of Transportation (TxDOT) to provide information necessary for certain statewide alert systems through a system of dynamic message signs (DMS) located across the state that are capable of displaying digital images useful in locating a missing individual. The bill would authorize TxDOT to enter into an agreement with a private entity to install or operate the digital DMS and require TxDOT to request from the Federal Highway Administration (FHWA) any provisions necessary for implementation with the private entity. The bill would stipulate that an agreement with the private entity must generate net revenue to the state and reduce the amount of tax revenue needed to install or operate the signs. The bill would authorize TxDOT to accept gifts and grants of money, equipment, or other resources to install and operate the signs. The bill would stipulate that TxDOT is not required to to provide statewide alert information capable of being displayed on the digital DMS if TxDOT receives notice from the FHWA that doing so would result in the loss of federal highway funding or other punitive actions taken against the State due to noncompliance with federal laws, regulations, or policies. Based on the information provided by TxDOT, it is assumed the agency would enter into a contract with a private entity under the provisions of the bill only if the proposed uses of the dynamic message signs would be in compliance with applicable federal laws, regulations, or policies as necessary to avoid the loss of federal highway funding. Pursuant to federal law and regulation, the use of dynamic message signs must comply with the federal Manual on Uniform Traffic Control Devices, which limits the use of the signs to the display of pertinent traffic operational and guidance information and the state alert programs. TxDOT indicates that noncompliance with these federal laws and regulations could result in the withholding of the state's federal highway funding. This analysis assumes the use of the dynamic message signs under a contract with a private entity under the provisions of the bill would be limited to the display of traffic information and state alert program information and exclude advertising or other noncompliant commercial uses; therefore, it is assumed a contract entered into with a private entity under the provisions of the bill would not result in a significant revenue gain to the State. Local Government ImpactNo fiscal implication to units of local government is anticipated. Source Agencies: b > td > 601 Department of Transportation LBB Staff: b > td > JMc, AAL, TG
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 88TH LEGISLATIVE REGULAR SESSION
April 11, 2023
TO: Honorable Robert Nichols, Chair, Senate Committee on Transportation FROM: Jerry McGinty, Director, Legislative Budget Board IN RE: SB1387 by Hughes (relating to dynamic message signs used in certain statewide alert systems.), Committee Report 1st House, Substituted
TO: Honorable Robert Nichols, Chair, Senate Committee on Transportation
FROM: Jerry McGinty, Director, Legislative Budget Board
IN RE: SB1387 by Hughes (relating to dynamic message signs used in certain statewide alert systems.), Committee Report 1st House, Substituted
Honorable Robert Nichols, Chair, Senate Committee on Transportation
Honorable Robert Nichols, Chair, Senate Committee on Transportation
Jerry McGinty, Director, Legislative Budget Board
Jerry McGinty, Director, Legislative Budget Board
SB1387 by Hughes (relating to dynamic message signs used in certain statewide alert systems.), Committee Report 1st House, Substituted
SB1387 by Hughes (relating to dynamic message signs used in certain statewide alert systems.), Committee Report 1st House, Substituted
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Government Code to require the Texas Department of Transportation (TxDOT) to provide information necessary for certain statewide alert systems through a system of dynamic message signs (DMS) located across the state that are capable of displaying digital images useful in locating a missing individual. The bill would authorize TxDOT to enter into an agreement with a private entity to install or operate the digital DMS and require TxDOT to request from the Federal Highway Administration (FHWA) any provisions necessary for implementation with the private entity. The bill would stipulate that an agreement with the private entity must generate net revenue to the state and reduce the amount of tax revenue needed to install or operate the signs. The bill would authorize TxDOT to accept gifts and grants of money, equipment, or other resources to install and operate the signs. The bill would stipulate that TxDOT is not required to to provide statewide alert information capable of being displayed on the digital DMS if TxDOT receives notice from the FHWA that doing so would result in the loss of federal highway funding or other punitive actions taken against the State due to noncompliance with federal laws, regulations, or policies. Based on the information provided by TxDOT, it is assumed the agency would enter into a contract with a private entity under the provisions of the bill only if the proposed uses of the dynamic message signs would be in compliance with applicable federal laws, regulations, or policies as necessary to avoid the loss of federal highway funding. Pursuant to federal law and regulation, the use of dynamic message signs must comply with the federal Manual on Uniform Traffic Control Devices, which limits the use of the signs to the display of pertinent traffic operational and guidance information and the state alert programs. TxDOT indicates that noncompliance with these federal laws and regulations could result in the withholding of the state's federal highway funding. This analysis assumes the use of the dynamic message signs under a contract with a private entity under the provisions of the bill would be limited to the display of traffic information and state alert program information and exclude advertising or other noncompliant commercial uses; therefore, it is assumed a contract entered into with a private entity under the provisions of the bill would not result in a significant revenue gain to the State.
The bill would amend the Government Code to require the Texas Department of Transportation (TxDOT) to provide information necessary for certain statewide alert systems through a system of dynamic message signs (DMS) located across the state that are capable of displaying digital images useful in locating a missing individual. The bill would authorize TxDOT to enter into an agreement with a private entity to install or operate the digital DMS and require TxDOT to request from the Federal Highway Administration (FHWA) any provisions necessary for implementation with the private entity. The bill would stipulate that an agreement with the private entity must generate net revenue to the state and reduce the amount of tax revenue needed to install or operate the signs. The bill would authorize TxDOT to accept gifts and grants of money, equipment, or other resources to install and operate the signs. The bill would stipulate that TxDOT is not required to to provide statewide alert information capable of being displayed on the digital DMS if TxDOT receives notice from the FHWA that doing so would result in the loss of federal highway funding or other punitive actions taken against the State due to noncompliance with federal laws, regulations, or policies.
Based on the information provided by TxDOT, it is assumed the agency would enter into a contract with a private entity under the provisions of the bill only if the proposed uses of the dynamic message signs would be in compliance with applicable federal laws, regulations, or policies as necessary to avoid the loss of federal highway funding. Pursuant to federal law and regulation, the use of dynamic message signs must comply with the federal Manual on Uniform Traffic Control Devices, which limits the use of the signs to the display of pertinent traffic operational and guidance information and the state alert programs. TxDOT indicates that noncompliance with these federal laws and regulations could result in the withholding of the state's federal highway funding.
This analysis assumes the use of the dynamic message signs under a contract with a private entity under the provisions of the bill would be limited to the display of traffic information and state alert program information and exclude advertising or other noncompliant commercial uses; therefore, it is assumed a contract entered into with a private entity under the provisions of the bill would not result in a significant revenue gain to the State.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: b > td > 601 Department of Transportation
601 Department of Transportation
LBB Staff: b > td > JMc, AAL, TG
JMc, AAL, TG