85R407 JAM-D     By: Campbell S.B. No. 1909       A BILL TO BE ENTITLED   AN ACT   relating to the use of money in the state highway fund for toll   projects.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 162.503, Tax Code, is amended to read as   follows:          Sec. 162.503.  ALLOCATION OF GASOLINE TAX. [(a)]  On or   before the fifth workday after the end of each month, the   comptroller, after making all deductions for refund purposes and   for the amounts allocated under Sections 162.502 and 162.5025,   shall allocate the net remainder of the taxes collected under   Subchapter B as follows:                (1)  one-fourth of the tax shall be deposited to the   credit of the available school fund;                (2)  one-half of the tax shall be deposited to the   credit of the state highway fund for the construction and   maintenance of the state road system, other than toll roads, under   existing law; and                (3)  from the remaining one-fourth of the tax the   comptroller shall:                      (A)  deposit to the credit of the county and road   district highway fund all the remaining tax receipts until a total   of $7,300,000 has been credited to the fund each fiscal year; and                      (B)  after the amount required to be deposited to   the county and road district highway fund has been deposited,   deposit to the credit of the state highway fund the remainder of the   one-fourth of the tax, the amount to be provided on the basis of   allocations made each month of the fiscal year, which sum shall be   used by the Texas Department of Transportation for the   construction, improvement, and maintenance of farm-to-market   roads.          SECTION 2.  Section 201.002(c), Transportation Code, is   amended to read as follows:          (c)  All money authorized to be appropriated in accordance   with this section for the operation of the department and the   purchase of equipment shall be appropriated from the state highway   fund. The commission shall use the amount remaining in the fund for   the furtherance of public road construction, other than toll roads,   and for establishing a system of state highways.          SECTION 3.  Section 202.002(a), Transportation Code, is   amended to read as follows:          (a)  The commission shall use automobile registration fees   in the state highway fund to maintain state highways, other than   toll roads, and may not divert funds from automobile registration   fees for another use.          SECTION 4.  Section 222.001, Transportation Code, is amended   by adding Subsection (c) to read as follows:          (c)  Notwithstanding Section 222.103, the legislature may   not appropriate money deposited to the credit of the state highway   fund to construct, maintain, or acquire rights-of-way for a toll   project or system.          SECTION 5.  Section 222.002, Transportation Code, is amended   to read as follows:          Sec. 222.002.  USE OF STATE HIGHWAY FUND FOR DEPARTMENT   FUNCTIONS. Money in the state highway fund that is not required to   be spent for public roadways by the Texas Constitution or federal   law may be used for any function performed by the department other   than a function related to a toll project or system.          SECTION 6.  Section 222.004(g), Transportation Code, is   amended to read as follows:          (g)  Bonds may be issued for one or more of the following   purposes:                (1)  to pay all or part of the costs of highway   improvement projects, other than an improvement project for a toll   road; and                (2)  to pay:                      (A)  the costs of administering projects   authorized under this section;                      (B)  the cost or expense of the issuance of the   bonds; or                      (C)  all or part of a payment owed or to be owed   under a credit agreement.          SECTION 7.  Section 228.006(a), Transportation Code, is   amended to read as follows:          (a)  The commission shall authorize the use of surplus   revenue of a toll project or system to pay the costs of a   transportation project or [,] highway project, other than a toll   project, or an air quality project within a region in which any part   of the toll project is located.          SECTION 8.  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 9.  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 10.  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 11.  Section 366.174(b), Transportation Code, is   amended to read as follows:          (b)  An authority may transfer into its revolving fund money   from any permissible source, including:                (1)  money from a turnpike project if the transfer does   not diminish the money available for the project or the system, if   any, of which it is a part to less than an amount required to be   retained by the bond proceedings pertaining to the project or   system;                (2)  money received by the authority from any source   and not otherwise committed, including money from the transfer of a   turnpike project or system or sale of authority assets; and                (3)  [money received from the state highway fund; and                [(4)]  contributions, loans, grants, or assistance   from the United States, another state, a political subdivision of   this state, a foreign governmental entity, including the United   Mexican States or a state of the United Mexican States, a local   governmental entity, any private enterprise, or any person.          SECTION 12.  Section 370.033(m), Transportation Code, is   amended to read as follows:          (m)  If an authority receives money from the general revenue   fund or [,] the Texas Mobility Fund, [or the state highway fund] it   may use the money only to acquire, design, finance, construct,   operate, or maintain a turnpike project under Section   370.003(14)(A) or (D) or a transit system under Section 370.351. If   an authority receives money from the state highway fund, it may use   the money only to acquire, design, finance, construct, operate, or   maintain a transportation project under Section 370.003(14)(D).          SECTION 13.  Section 373.102(d), Transportation Code, is   amended to read as follows:          (d)  Money received by the department under this section   shall be deposited in the state highway fund and, except for   reimbursement for costs owed to a third party, used to fund   additional projects, other than toll projects, in the department   district in which the toll project is located.          SECTION 14.  Sections 228.204 and 228.206, Transportation   Code, are repealed.          SECTION 15.  The changes in law made by this Act do not   prohibit use of money in the state highway fund that is necessary to   comply with the terms of a bond resolution or other agreement in   effect on the effective date of this Act governing the issuance of   bonds or other obligations secured by money in the fund.          SECTION 16.  This Act takes effect September 1, 2017.