Texas 2025 - 89th Regular

Texas House Bill HB542 Compare Versions

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11 89R1587 CMO-D
22 By: Bucy H.B. No. 542
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77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to the use of certain money transferred to and deposited in
1010 the state highway fund as required by the Texas Constitution.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Section 162.503, Tax Code, is amended to read as
1313 follows:
1414 Sec. 162.503. ALLOCATION OF GASOLINE TAX. [(a)] On or
1515 before the fifth workday after the end of each month, the
1616 comptroller, after making all deductions for refund purposes and
1717 for the amounts allocated under Sections 162.502 and 162.5025,
1818 shall allocate the net remainder of the taxes collected under
1919 Subchapter B as follows:
2020 (1) one-fourth of the tax shall be deposited to the
2121 credit of the available school fund;
2222 (2) one-half of the tax shall be deposited to the
2323 credit of the state highway fund for the purposes authorized by
2424 Section 7-a, Article VIII, Texas Constitution [construction and
2525 maintenance of the state road system under existing law]; and
2626 (3) from the remaining one-fourth of the tax the
2727 comptroller shall:
2828 (A) deposit to the credit of the county and road
2929 district highway fund all the remaining tax receipts until a total
3030 of $7,300,000 has been credited to the fund each fiscal year; and
3131 (B) after the amount required to be deposited to
3232 the county and road district highway fund has been deposited,
3333 deposit to the credit of the state highway fund the remainder of the
3434 one-fourth of the tax, the amount to be provided on the basis of
3535 allocations made each month of the fiscal year, which sum shall be
3636 used by the Texas Department of Transportation for the
3737 construction, improvement, and maintenance of farm-to-market
3838 roads.
3939 SECTION 2. Section 201.002(c), Transportation Code, is
4040 amended to read as follows:
4141 (c) All money authorized to be appropriated in accordance
4242 with this section for the operation of the department and the
4343 purchase of equipment shall be appropriated from the state highway
4444 fund. The commission shall use the amount remaining in the fund
4545 for the furtherance of public road construction and for
4646 establishing a system of state highways and for transit-oriented
4747 projects.
4848 SECTION 3. Section 202.002(a), Transportation Code, is
4949 amended to read as follows:
5050 (a) The commission shall use automobile registration fees
5151 in the state highway fund for the purposes authorized by Section
5252 7-a, Article VIII, Texas Constitution, [to maintain state highways]
5353 and may not divert funds from automobile registration fees for
5454 another use.
5555 SECTION 4. Section 222.001, Transportation Code, is amended
5656 by amending Subsection (a) and adding Subsection (a-1) to read as
5757 follows:
5858 (a) Money that is required to be used for public roadways by
5959 the Texas Constitution, except for Section 7-a, Article VIII, Texas
6060 Constitution, or federal law and that is deposited in the state
6161 treasury to the credit of the state highway fund, including money
6262 deposited to the credit of the state highway fund under Title 23,
6363 United States Code, may be used only:
6464 (1) to improve the state highway system; or
6565 (2) to mitigate adverse environmental effects that
6666 result directly from construction or maintenance of a state highway
6767 by the department.
6868 (a-1) Money that is required to be used for public roadways
6969 and transit-oriented projects by the Texas Constitution and that is
7070 deposited in the state treasury to the credit of the state highway
7171 fund may be used only to:
7272 (1) improve the state highway system;
7373 (2) support transit-oriented projects; or
7474 (3) mitigate adverse environmental effects that
7575 result directly from construction or maintenance of a project
7676 described by Subdivision (1) or (2).
7777 SECTION 5. Section 222.002, Transportation Code, is amended
7878 to read as follows:
7979 Sec. 222.002. USE OF STATE HIGHWAY FUND FOR DEPARTMENT
8080 FUNCTIONS. Money in the state highway fund that is not required to
8181 be spent for public roadways or transit-oriented projects by the
8282 Texas Constitution or federal law may be used for any function
8383 performed by the department.
8484 SECTION 6. This Act takes effect September 1, 2027, but only
8585 if the constitutional amendment proposed by the 89th Legislature,
8686 Regular Session, 2025, authorizing the use of money in the state
8787 highway fund for transit-oriented projects is approved by the
8888 voters. If that amendment is not approved by the voters, this Act
8989 has no effect.