HBA-ATS C.S.S.B. 1647 76(R)BILL ANALYSIS
Office of House Bill AnalysisC.S.S.B. 1647
By: Cain
Transportation
/19/1999
Committee Report (Substituted)
BACKGROUND AND PURPOSE
In 1997, the legislature abolished the Texas Turnpike Authority (TTA) as an
independent agency and transferred specifically designated property,
assets, and liabilities, and related duties and obligations to the newly
established North Texas Tollway Authority (NTTA), a regional toll authority
that is a political subdivision of the state. Concurrently, the
legislature created the Texas Turnpike Authority division of the Texas
Department of Transportation (authority) to succeed to all other assets,
rights, and obligations that were not transferred to the TTA. The
authority has its own enabling statute, Chapter 361 (Texas Turnpike
Authority), Transportation Code, and a board of directors appointed by the
governor, yet it operates as a division of TxDOT. Regional toll
authorities are now governed by Chapter 366 (Regional Tollway Authorities),
Transportation Code. While Chapter 366 generally mirrors Chapter 361,
there are unintended inconsistencies. C.S.S.B. 1647 eliminates
inconsistencies between the two chapters and clarifies the rights and
obligations of the new authority in several other areas.
RULEMAKING AUTHORITY
It is the opinion of the Office of House Bill Analysis that this bill
modifies rulemaking authority previously delegated to the Texas Turnpike
Authority division of the Texas Department of Transportation in SECTION 5
(Section 361.042, Transportation Code) and SECTION 21 (Section 361.306,
Transportation Code) of this bill.
SECTION BY SECTION ANALYSIS
SECTION 1. Amends Section 284.008(a), Transportation Code, to authorize
the Texas Transportation Commission (commission) to operate any part of a
project under Chapter 284 (Causeways, Bridges, Tunnels, Turnpikes, and
Highways in Certain Counties), Transportation Code, as part of the state
highway system or to authorize the lease, sale, or conveyance of any part
of a project to the Texas Turnpike Authority division of the Texas
Department of Transportation (authority). The substitute makes conforming
changes.
SECTION 2. Amends Section 361.001(4), Transportation Code, to define
"turnpike project" as a highway, rather than a toll highway, and adds a
service road, ramp, a parking area or structure, rest stop, park, and any
other improvement or amenity the authority considers necessary, useful, or
beneficial for the operation of a turnpike project as permissible turnpike
projects.
SECTION 3. Amends Section 361.004, Transportation Code, to provide that
the cost of acquisition, construction, improvement, extension, or expansion
of a turnpike project includes new costs such as the actual acquisition of
the project, appraisals, legal expenses, and expenses related to the
initial operation of the turnpike project. Authorizes the reimbursement of
costs that are incurred before the issuance of bonds for a turnpike project
for which bonds are issued to derive from the proceeds of the sale of the
bonds.
SECTION 4. Amends Sections 361.031(b)-(g), Transportation Code, to remove
the requirement that approval of the Texas Transportation Commission
(commission) is necessary for the Texas Turnpike Authority division of the
Texas Department of Transportation (authority) to perform or procure from
other service providers roadway maintenance, toll revenue collection, or
traffic operations. Redesignates existing Subsections (d)-(g) to (c)-(f).
Makes conforming changes.
SECTION 5. Amends Section 361.042(b), Transportation Code, to authorize
the authority to:
_adopt and enforce rules, without the concurrence of the commission, not
inconsistent with this chapter (Texas Turnpike Authority) for the use of
any turnpike project, including rules establishing speed limits and maximum
allowed vehicle and load weight limits for turnpike projects;
_engage in marketing, advertising and other activities to promote the
development and use of turnpike projects, and may enter into contracts or
agreements necessary to procure marketing, advertising or other promotional
services from outside service providers; and
_form, develop, or utilize a corporation created under Chapter 431 (Texas
Transportation Corporation Act) for the promotion and development of
turnpike projects.
Makes conforming changes.
SECTION 6. Amends Section 361.054, Transportation Code, to require the
authority to have an independent certified public accountant (CPA), rather
than a CPA, audit the authority's books and accounts at least annually.
Provides that this section does not affect the ability of a state agency to
audit the authority's books and accounts.
SECTION 7. Amends Section 361.131, Transportation Code, to provide that
the authority, acting by and through the board of directors of the
authority (board), has the same powers and is authorized to use the same
procedures as the commission or the Texas Department of Transportation
(TxDOT) in acquiring property.
SECTION 8. Amends Sections 361.132(a) and (c), to change all references
from the "board" to "authority."
SECTION 9. Amends Section 361.135(b), Transportation Code, to authorize
the board to condemn real property that the authority determines is:
_necessary to restore public or private property damaged or destroyed,
including property necessary or convenient to mitigate an environmental
effect that directly results from the construction, operation, or
maintenance of a turnpike project;
_necessary for service roads; or
_necessary to provide proper drainage and ground slope for a turnpike
project.
Makes conforming changes.
SECTION 10. Amends Section 361.137, Transportation Code, by adding
Subsection (f), to require a case, after a declaration of taking is filed,
to proceed as any other case in eminent domain under Chapter 21 (Eminent
Domain), Property Code.
SECTION 11. Amends Section 361.141(a), Transportation Code, to prohibit
the authority from paying compensation for streets, highways, or alleys, in
addition to public real property, parkways, or reservations it takes,
except for the enumerated exceptions.
SECTION 12. Amends Section 361.171, Transportation Code, by adding
Subsection (g), as follows:
(g) Authorizes the proceeds of a bond issue, in addition to other
permitted uses, to be used to pay costs incurred before the issuance of the
bonds, including costs of environmental review, design, planning,
acquisition of property, relocation assistance, construction, and
operation.
SECTION 13. Amends Section 361.179(a), Transportation Code, to authorize
the authority, notwithstanding anything in Chapter 202 (Control of Highway
Assets), Transportation Code, to the contrary, to contract with a person
for the use of part of a turnpike project or lease or sell part of a
turnpike project, including the right-of-way adjoining the paved portion,
for any purpose, including placing on the adjoining right-of-way
telecommunications facilities and equipment.
SECTION 14. Amends Section 361.181(a), Transportation Code, to authorize
the authority to pay the expenses of studying the cost and feasibility and
any other expenses relating to the preparation and issuance of turnpike
revenue bonds for the construction of a proposed turnpike project by using
money received from TxDOT for feasibility studies undertaken at the request
of the commission.
SECTION 15. Amends Section 361.182, Transportation Code, by adding
Subsections (g) and (h), as follows:
(g) Authorizes the commission to request that the authority conduct a
feasibility study for a proposed turnpike project. Requires the expenses
of any study requested by the commission to be paid for by TxDOT. Requires
TxDOT, if the turnpike project is constructed, to be reimbursed for money
paid to the authority from the proceeds of turnpike revenue bonds issued
for, or other proceeds that may be used for, the construction, improvement,
extension, expansion, or operation of the project.
(h) Requires interest and income earned on money in the Texas Turnpike
Authority feasibility study fund to be deposited in that fund.
SECTION 16. Amends Section 361.232(c), Transportation Code, to require the
authority, if feasible, to provide access to properties previously abutting
a county or public road that is taken for a turnpike project, rather than
to move and replace with an equal or better facility a county or other
public road that a turnpike project affects or severs. Requires the
authority to pay abutting property owners the expenses or, rather than and,
any resulting damages for denial of access to the road. Makes a conforming
and nonsubstantive change.
SECTION 17. Amends Section 361.234, Transportation Code, by adding
Subsections (d) and (e) and redesignating Subsections (d), (e), and (f), to
Subsections (f), (g), and (h), as follows:
(d) Authorizes the authority to reduce the total costs to be paid by the
authority by 10 percent for each 30-day period or portion of a 30-day
period that the relocation exceeds the limit specified by the authority
unless the utility's failure to timely perform results from a material
action or inaction by the authority or conditions that the authority agrees
were beyond the utility's reasonable control. Requires the authority, if
an owner or operator of a public utility facility does not timely remove or
relocate the facility and the authority relocates the facility, to do so in
a safe manner that complies with applicable law and utility construction
standards recognized by the authority and that minimizes disruption of
utility service and to notify the public utility of the relocation.
Provides that relocation of the facility is at the expense of the public
utility, but requires the authority to pay the relocation costs if it
determines that the failure of the utility to timely relocate was the
result of factors beyond the utility's control.
(e) Provides that Subchapter B (Provisions Applying to Gas Utilities),
Chapter 181 (Miscellaneous Powers and Duties of Utilities), Utilities Code,
applies to the laying and maintenance of pipes, mains, conductors, and
other facilities used to conduct gas by a gas utility through, under,
along, across, and over a turnpike project constructed by the authority.
Provides that the authority has the powers and duties assigned to the
commission by Subchapter B, Chapter 181, Utilities Code.
(f) Makes conforming changes to existing statutory text.
(g) No change.
(h) No change.
SECTION 18. Amends the heading to Subchapter H, Chapter 361,
Transportation Code, to read "Transfer or Acquisition of Turnpike Project."
SECTION 19. Amends Section 361.282(b), Transportation Code, to specify
that a turnpike project transferred upon the approval of the authority, the
commission, and the governor must be the authority's turnpike project.
SECTION 20. Amends Subchapter H, Chapter 361, Transportation Code, by
adding Section 361.284, to authorize the authority, with approval from the
commission, to purchase or acquire a turnpike project from a county,
municipality, regional tollway authority or Chapter 431 corporation.
Authorizes the financing of the cost of the acquisition in the same manner
as an authority's project is financed under Subchapter E (Financing of
Turnpike Projects), to the extent possible.
SECTION 21. Amends Section 361.306(a), Transportation Code, to authorize
the authority's rules to impose a fee for reviewing proposals for private
involvement in a turnpike project.
SECTION 22. Amends Sections 545.354(e), (f), and (g), Transportation Code,
to delete Subsection (e), providing that the specified sections relating to
speed limits do not apply to any part of a turnpike project. Redesignates
existing Subsections (f) and (g) to (e) and (f).
SECTION 23. Amends Section 621.102, Transportation Code, by amending
Subsection (a) and adding Subsection (h), as follows:
(a) Makes a conforming change.
(h) Authorizes the authority, in the same manner as the commission, to set
the maximum gross weight of a vehicle and its load, the maximum gross
weight of a combination of vehicles and loads, maximum axle load, or
maximum wheel load that may be moved over a turnpike project as defined in
Section 361.001 (Definitions), Transportation Code.
SECTION 24. Effective date: September 1, 1999.
SECTION 25. Emergency clause.
COMPARISON OF ORIGINAL TO SUBSTITUTE
C.S.S.B. 1647 differs from the original bill in the caption by providing
that this Act relates to the powers and duties of the Texas Turnpike
Authority division of the Texas Department of Transportation, rather than
to the authority of the Texas Turnpike Authority division of the Texas
Department of Transportation to manage its affairs, to the clarification of
certain statutory provisions, and to the elimination of inconsistencies
within the affected provisions.
C.S.S.B. 1647 differs from the original bill by conforming to Legislative
Council format.
C.S.S.B. 1647 differs from the original bill by adding a new SECTION 1 that
amends Section 284.008(a), Transportation Code, to authorize the Texas
Transportation Commission (commission) to operate any part of a project
under Chapter 284 (Causeways, Bridges, Tunnels, Turnpikes, and Highways in
Certain Counties), Transportation Code, as part of the state highway system
or to authorize the lease, sale, or conveyance of any part of a project to
the Texas Turnpike Authority division of the Texas Department of
Transportation (authority). The substitute makes conforming changes.
C.S.S.B. 1647 differs from the original bill by redesignating SECTIONS 1
through 4 of the original as SECTIONS 2 through 5.
In redesignated SECTION 3 (proposed Section 361.004(b), Transportation
Code), the substitute differs from the original by specifying that the
costs attributable to a turnpike project incurred before the issuance of
bonds that are authorized to be reimbursed from the proceeds of the sale of
the bonds are for turnpike projects for which bonds are issued.
In redesignated SECTION 5 (existing Section 361.042(b), Transportation
Code), the substitute differs from the original by removing the phrase
"without limitation," in reference to the authority's authority to adopt
and enforce rules establishing speed limits and maximum allowed vehicle and
load weight limits for turnpike projects. The substitute also differs from
the original by authorizing the authority to form, develop or utilize,
rather than to form, develop and utilize, a corporation created under
Chapter 431 (Texas Transportation Corporation Act) for the promotion and
development of turnpike projects. The substitute makes a nonsubstantive
change.
C.S.S.B. 1647 differs from the original bill adding a new SECTION 6 that
amends Section 361.054, Transportation Code, to require the authority to
have an independent certified public accountant (CPA), rather than a CPA,
audit the authority's books and accounts at least annually. The substitute
also provides that existing Section 361.054 (Audit) does not affect the
ability of a state agency to audit the authority's books and accounts.
C.S.S.B. 1647 differs from the original bill by redesignating SECTIONS 5
through 15 of the original as SECTIONS 7 through 17.
In redesignated SECTION 10 (proposed Section 361.137(f), Transportation
Code), the substitute differs from the original by removing the provision
that the declaration of taking be filed with the petition. The substitute
also makes a nonsubstantive change.
In redesignated SECTION 12 (proposed Section 361.171(g), Transportation
Code), the substitute differs from the original by making a nonsubstantive
change.
In redesignated SECTION 13 (existing Section 361.179(a), Transportation
Code), the substitute differs from the original by making nonsubstantive
changes.
In redesignated SECTION 14 (existing Section 361.181(a), Transportation
Code), the substitute differs from the original by specifying that the
authority is authorized to pay certain expenses, notwithstanding the
operation of Section 361.179 or any other provision of Chapter 361 to the
contrary. The substitute also differs by making nonsubstantive changes.
In redesignated SECTION 15, the substitute differs from the original by
adding Section 361.182(h), Transportation Code, to require interest and
income earned on money in the Texas Turnpike Authority feasibility study
fund to be deposited in that fund.
In redesignated SECTION 17 (Section 361.234(d), Transportation Code), the
substitute differs from the original by authorizing the authority to reduce
the total costs to be paid by the authority by 10 percent for each 30-day
period or portion of a 30-day period that the relocation exceeds the limit
specified by the authority unless the utility's failure to timely perform
results from a material action or inaction by the authority or conditions
that the authority agrees were beyond the utility's reasonable control.
The original bill authorized the authority under existing Section
361.234(b) to reduce the total costs to be paid by the authority by 10
percent for each 30-day period or portion of a 30-day period by which the
relocation exceeds the limit specified by the authority. The substitute
makes a nonsubstantive change.
In Section 361.234(d), the substitute also differs from the original by
requiring the authority, if an owner or operator of a public utility
facility does not timely remove or relocate the facility and the authority
relocates the facility, to do so in a safe manner that complies with
applicable law and utility construction standards recognized by the
authority and that minimizes disruption of utility service and to notify
the public utility of the relocation, rather than authorizing the
authority, if an owner or operator of a public utility facility does not
timely remove or relocate, to do so at the expense of the public utility.
Like the original, the substitute provides that relocation of the facility
is at the expense of the public utility, but adds the exception that the
authority is required to pay the relocation costs if it determines that the
failure of the utility to timely relocate was the result of factors beyond
the utility's control.
The substitute differs from the original in redesignated SECTION 17 by
adding Section 361.234(e) to provide that Subchapter B (Provisions Applying
to Gas Utilities), Chapter 181 (Miscellaneous Powers and Duties of
Utilities), Utilities Code, applies to the laying and maintenance of pipes,
mains, conductors, and other facilities used to conduct gas by a gas
utility through, under, along, across, and over a turnpike project
constructed by the authority. The substitute also provides that the
authority has the powers and duties assigned to the commission by
Subchapter B, Chapter 181, Utilities Code.
The substitute redesignates proposed Sections 361.234(e), (f), and (g), to
Sections 361.234(f), (g), and (h). In redesignated Section 361.234(f), the
substitute differs from the original by making conforming changes to
existing statutory text.
C.S.S.B. 1647 differs from the original bill by adding a new SECTION 18
that amends the heading to Subchapter H, Chapter 361, Transportation Code,
to read "Transfer or Acquisition of Turnpike Project."
C.S.S.B. 1647 differs from the original bill by adding a new SECTION 19
that amends Section 361.282(b), Transportation Code, to specify that a
turnpike project transferred upon the approval of the authority, the
commission, and the governor, be transferred by the authority.
C.S.S.B. 1647 differs from the original bill by adding a new SECTION 20
that amends Subchapter H, Chapter 361, Transportation Code, by adding
Section 361.284, to authorize the authority, with approval from the
commission, to purchase or acquire a turnpike project from a county,
municipality, regional tollway authority or Chapter 431 corporation, and to
authorize the financing of the cost of the acquisition in the same manner
as an authority's project is financed under Subchapter E, to the extent
possible.
C.S.S.B. 1647 differs from the original bill by redesignating SECTIONS 16
through 20 of the original as SECTIONS 21 through 25.
In redesignated SECTION 21 (existing Section 361.306(a), Transportation
Code), the substitute differs from the original by making nonsubstantive
changes.
In redesignated SECTION 22 (Section 545.354, Transportation Code), the
substitute differs from the original by adding a reference to Subsection
(g) to conform with Legislative Council format.
In redesignated SECTION 23 (existing Section 621.102(a), Transportation
Code), the substitute differs from the original by making a nonsubstantive
change. In proposed Section 621.102(h), the substitute differs from the
original by removing the provision requiring the authority to be subject to
the same restrictions and to follow the same procedures as are set forth in
Section 621.102 as being applicable to the commission. The substitute also
differs by authorizing the authority, in the same manner as the commission,
rather than requiring the authority to have the authority, to set the
maximum gross weight of a vehicle and its load, the maximum gross weight of
a combination of vehicles and loads, rather than vehicles and loads,
maximum axle load, or maximum wheel load that may be moved over a turnpike
project as defined in Section 361.001 (Definitions), Transportation Code.