HBA-MPA H.B. 3402 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3402
By: Hardcastle
Transportation
3/29/1999
Introduced



BACKGROUND AND PURPOSE 

According to a study conducted by the Texas Association of Aircraft Owners
and Pilots, Texas has one of the highest levels of aviation activity in the
nation.  More than 48,000 pilots live in the state and more than 23,000
aircraft are based here.  In addition, several types of aircraft are
manufactured in Texas and both national and international commercial
airlines are based  in the state.  The annual economic impact of civil
aviation in Texas approaches $50 billion and provides jobs for more than
650,000 state residents.   

A significant number of general aviation airports in the state are in poor
condition.  Many of these airports were built years ago and are not
designed to the standards required by today's corporate aircraft.  These
airports have runways that are not of sufficient length, width, or strength
to serve business jet aircraft.  Many have poor quality pavement, and few
have adequate public facilities for business travelers.  Many communities
do not have the local tax base to develop and maintain their airport and
little money is available from the state and federal government to upgrade
and improve these facilities.  In the past, the primary source of money
available for airport development has been the Federal Aviation Trust Fund.
H.B. 3402 establishes an aviation development account in the Transportation
Code for publicly owned airports and airport development for the purposes
of economic development efforts. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

SECTION BY SECTION ANALYSIS

SECTION 1  Amends Section 21.101, Transportation Code, by adding Subsection
(c), to provide for the creation of an aviation development account within
the state highway fund to be utilized to meet air transportation needs in
support of economic development.  Requires this fund to be used for loans
or grants in accordance with Chapter 21 (Administration of Aeronautics). 

SECTION 2.  Effective date: September 1, 1999.

SECTION 3.  Emergency clause.