Bill Text: TX HB505 | 2019-2020 | 86th Legislature | Introduced


Bill Title: Relating to the cessation of tolls by toll project entities in certain circumstances.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced) 2018-12-11 - Filed [HB505 Detail]

Download: Texas-2019-HB505-Introduced.html
  86R1017 JAM-D
 
  By: Metcalf H.B. No. 505
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the cessation of tolls by toll project entities in
  certain circumstances.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Chapter 372, Transportation Code, is amended by
  adding Subchapter D to read as follows:
  SUBCHAPTER D. CESSATION OF TOLLS
         Sec. 372.151.  DEFINITION. In this subchapter, "toll
  cessation date" means the date on which a project is scheduled to
  become a part of the state highway system maintained by the
  commission under Section 372.152.
         Sec. 372.152.  CESSATION OF TOLLS AFTER BOND REQUIREMENTS
  MET. (a) Except as provided by Section 372.153, a toll project
  becomes a part of the state highway system and the commission shall
  maintain the project without tolls when 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 revenue 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.
         (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).
         Sec. 372.153.  ELECTION TO CONTINUE TOLLS AFTER TOLL
  CESSATION DATE. (a)  A toll project entity may extend by five years
  a toll cessation date of a toll project if the extension is approved
  by a majority of the votes cast at an election held for that
  purpose:
               (1)  on a uniform election date before the toll
  cessation date;
               (2)  in:
                     (A)  the territory of the toll project entity; or
                     (B)  if the toll project entity is the department,
  each county in which the toll project is located; and
               (3)  by:
                     (A)  the toll project entity; or
                     (B)  if the toll project entity is the department,
  each county in which the toll project is located.
         (b)  After an initial election under this section at which an
  extension is approved, the toll project entity may use the process
  established by this subchapter to obtain voter approval for
  subsequent five-year extensions of the toll cessation date for the
  project.
         (c)  At an election ordered under this section, the ballots
  must be printed to permit voting for or against the proposition:
  "The continuation of tolls for a period of five years for (toll
  project)."
         Sec. 372.154.  REQUEST FOR ELECTION BY DEPARTMENT. (a)  If
  the department wishes to extend a toll cessation date for a toll
  project the department shall, not later than nine months before the
  toll cessation date, send to the commissioners court of each county
  in which the toll project is located notice of:
               (1)  the toll cessation date for the project; and
               (2)  the department's intention to request an election
  for an extension of tolling authority for the project.
         (b)  Each commissioners court that receives notice under
  Subsection (a) shall, as soon as practicable after receiving the
  notice, propose to the department:
               (1)  one or more uniform election dates occurring
  before the toll cessation date that would allow the county
  sufficient time to comply with applicable provisions of law for
  holding the election; and
               (2)  the date by which a request must be submitted by
  the department in order for the county to have sufficient time to
  comply with applicable provisions of law for holding the election.
         (c)  If the department submits to a commissioners court a
  request for an election for an extension of tolling authority for
  the project that complies with Subsection (b), the commissioners
  court shall hold the requested election.
         Sec. 372.155.  CESSATION OF TOLLS AFTER EXTENSION OF TOLL
  CESSATION DATE.  A toll project becomes part of the state highway
  system and the commission shall maintain the project without tolls
  if a five-year toll cessation date extension authorized by an
  election under this subchapter expires and a succeeding five-year
  extension has not been approved at an election under this
  subchapter.
         SECTION 2.  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, 372.152, and 372.155, 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 3.  Sections 284.008(c) and (d), Transportation
  Code, are repealed.
         SECTION 4.  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, 2019.
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