Bill Text: TX HB3725 | 2015-2016 | 84th Legislature | Introduced

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Bill Title: Relating to the operation of toll projects.

Sponsorship: Partisan Bill (Republican 1)

Status: (Introduced - Dead) 2015-04-02 - Referred directly to s/c on Long-term Infrastructure Planning by chair [HB3725 Detail]

Download: Texas-2015-HB3725-Introduced.html

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84R13732 JAM-D
By: Sanford H.B. No. 3725

A BILL TO BE ENTITLED
AN ACT
relating to the operation of toll projects.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 228.012(a) and (b), Transportation
Code, are 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 [and the surplus
revenue of a toll project or system]. 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.
(b) The department shall hold money in a subaccount in trust
for the benefit of the region in which a project or system is
located and may assign the responsibility for allocating money in a
subaccount to a metropolitan planning organization in which the
region is located for projects approved by the department. At the
time the project is approved by the department money shall be
allocated and distributed to projects authorized by Section
228.0055 [or Section 228.006, as applicable].
SECTION 2. 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 3. 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 4. 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 5. 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 6. 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
authorized by this chapter;
(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;
(4) amounts received under a credit agreement relating
to the transportation project for which the bonds are issued; and
(5) the proceeds of the sale of other bonds.
SECTION 7. Subchapter B, Chapter 372, Transportation Code,
is amended by adding Sections 372.054 and 372.055 to read as
follows:
Sec. 372.054. VOTER APPROVAL OF TOLL PROJECT REQUIRED;
ELECTION. (a) Notwithstanding any other provision of law, a toll
project entity may not construct or operate a toll project unless
the project is approved by a majority of voters voting at an
election held for that purpose in each county in which a portion of
the project is to be located.
(b) The commissioners court of a county may order an
election under this section. The order calling the election must
state:
(1) the hours during which the polls will be open;
(2) the location of the polling places; and
(3) the location of the toll project to be approved.
(c) At an election to approve a toll project, the ballot
must be printed to provide for voting for or against the approval of
the toll project.
(d) A toll project approved under this section must include
a plan by which, not later than 20 years after the date the project
is opened for use, 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.
Sec. 372.055. CESSATION OF TOLLS. (a) A toll project
becomes a part of the state highway system and the commission shall
maintain the project without tolls beginning on the earlier of:
(1) the date that the costs of acquisition and
construction of the project have been paid and:
(A) 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
(B) 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;
(2) 20 years after the date any portion of the project
is opened for use, for a project for which a contract for financing,
construction, or operation is entered into on or after September 1,
2015; or
(3) September 1, 2047, for a project for which a
contract for financing, construction, or operation is entered into
before September 1, 2015.
(b) A toll project entity may not amend a financing or other
agreement in a manner that would extend the date by which a toll
project would become part of the state highway system under
Subsection (a).
SECTION 8. Section 373.003, Transportation Code, is amended
to read as follows:
Sec. 373.003. PROJECT OWNED IN PERPETUITY. Unless a toll
project is leased, sold, conveyed, or otherwise transferred to
another governmental entity in accordance with applicable law,
including Sections 228.151, 284.011, 366.036, 366.172, [and]
370.171, and 372.055, a toll project procured by the department or a
local toll project entity determined by the process under
Subchapter B is owned by that entity in perpetuity.
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. Section 372.054, Transportation Code, as added
by this Act, applies only to a toll project for which a contract for
financing, construction, or operation is entered into on or after
the effective date of this Act.
SECTION 11. 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, 2015.