By: Pickett, Phillips, Martinez, Simmons,	H.B. No. 13
	Burkett, et al.

	A BILL TO BE ENTITLED
	AN ACT
	relating to categories of and funding allocation for transportation
	projects by the Texas Department of Transportation and local
	transportation entities.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
	SECTION 1.  Subchapter P, Chapter 201, Transportation Code,
	is amended by adding Sections 201.9901 and 201.9902 to read as
	follows:
	Sec. 201.9901.  DEFINITIONS. In this subchapter:
	(1)  "Planning organization" means:
	(A)  a metropolitan planning organization; or
	(B)  for an area that is not within the boundaries
	of a metropolitan planning organization, the department district
	that serves the area.
	(2)  "Region" means the area for which a planning
	organization develops plans under this subchapter.
	(3)  "Transportation official" means an official in a
	political subdivision who has responsibility for planning and
	implementation of transportation projects.
	Sec. 201.9902.  UPDATE TO TRANSPORTATION FUNDING CATEGORIES
	AND ALLOCATION FORMULAS. (a) Not later than October 1, 2015, the
	commission shall initiate a process to review the categories and
	formulas adopted under Sections 201.991(b)(2) and 201.996.
	(b)  The review process must include an effort by the
	department to seek the collective input of all planning
	organizations in the state. The department shall convene meetings
	as necessary to facilitate discussions among planning
	organizations that will result in a consensus recommendation among
	a majority of the planning organizations as to updated funding
	categories and funding allocation formulas.
	(c)  Not later than May 1, 2016, the commission shall adopt
	rules implementing updated funding categories and funding
	allocation formulas. To the extent that the adopted categories or
	funding allocation formulas differ from the consensus
	recommendations of the planning organizations, the commission must
	provide a detailed written explanation for the differences. The
	explanation must be made available on the department's Internet
	website.
	(d)  This section expires September 1, 2017.
	SECTION 2.  Subchapter P, Chapter 201, Transportation Code,
	is amended by adding Sections 201.9911, 201.9921, 201.9931, and
	201.9932 to read as follows:
	Sec. 201.9911.  PLANNING ORGANIZATION 10-YEAR PLAN. (a)
	Each planning organization shall develop a 10-year transportation
	plan for the use of the funding allocated to the region. The
	department shall assist the planning organizations by providing in
	a timely manner such information as is reasonably requested by the
	planning organizations.
	(b)  The plan must identify the items described by Section
	201.9921(b) as applicable to the planning organization and the
	funding of transportation projects in the region.
	(c)  The first four years of the plan shall be developed to
	meet the transportation improvement plan requirements of 23 U.S.C.
	Section 134 or 135, as applicable.
	(d)  For an area that is not within the boundaries of a
	metropolitan planning organization, the department district shall
	develop the 10-year transportation plan with input from municipal
	and county elected officials and transportation officials in the
	region.
	Sec. 201.9921.  TEN-YEAR CASH FLOW PROJECTION. (a) Not
	later than September 1 of each odd-numbered year, the department's
	chief financial officer shall prepare and publish a cash flow
	forecast for a period of not less than 10 years.
	(b)  The forecast must identify:
	(1)  the aggregate amount of all sources of funding
	available for eligible transportation projects;
	(2)  the amount previously committed to eligible
	transportation projects based on actions of the commission;
	(3)  the amount not committed to projects but that the
	department anticipates allocating during the forecast period
	through formulas adopted under Section 201.996; and
	(4)  the sources of all funds projected to be available
	during the forecast period, including bond proceeds, and an
	estimation of debt service payments associated with the bond
	proceeds.
	(c)  The first two years of the forecast must be based on the
	appropriation of funds in the General Appropriations Act for the
	department for that biennium.
	Sec. 201.9931.  PLANNING ORGANIZATION PROJECT SELECTION AND
	PRIORITIZATION. (a) Each planning organization shall select
	projects in its region and prioritize them using the criteria
	developed under Section 201.9932.
	(b)  For an area not located within the boundaries of a
	metropolitan planning organization, the applicable department
	district shall select projects and prioritize them with input from
	municipal and county elected officials and transportation
	officials using the criteria developed under Section 201.9932.
	(c)  The department shall compile the project selections of
	the planning organizations to develop the statewide transportation
	plan in accordance with 23 U.S.C. Section 135.
	Sec. 201.9932.  PROJECT SELECTION CRITERIA. Each planning
	organization shall develop its own project selection criteria,
	which must include consideration of:
	(1)  projected improvements to congestion and safety;
	(2)  projected effects on economic development
	opportunities for residents of the region;
	(3)  available funding, including locally generated
	funding;
	(4)  effects on the environment, including air quality;
	(5)  socioeconomic effects; and
	(6)  any other factors deemed appropriate by the
	planning organization.
	SECTION 3.  Section 201.996, Transportation Code, is amended
	by adding Subsection (d) to read as follows:
	(d)  The commission may not consider transferring funds
	between categories by any method outside the established formulas
	or allocating funds subject to the discretion of the commission
	unless:
	(1)  the commission considers the transfer or
	allocation at a regularly scheduled commission meeting; and
	(2)  the department presents to the commission a
	written explanation of the transfer, including the need and
	justification for the deviation from the formula allocation or use
	of discretionary funds, at a regularly scheduled commission meeting
	held in the month before the meeting described by Subdivision (1).
	SECTION 4.  Subchapter P, Chapter 201, Transportation Code,
	is amended by adding Section 201.9961 to read as follows:
	Sec. 201.9961.  USE OF ADDITIONAL REVENUE AND BOND PROCEEDS
	FOR CERTAIN PROJECTS. (a) If money from the general revenue fund
	or state highway fund is appropriated to the department for the
	state fiscal biennium beginning September 1, 2015, in an amount
	that exceeds the appropriation from those funds to the department
	for the previous fiscal biennium, or if a constitutional amendment
	providing additional money to the department is adopted, the
	commission may use the additional money to finance projects that
	would otherwise be financed using proceeds from:
	(1)  the sale and issuance of bonds and other public
	securities secured by the state highway fund under Section 49-n,
	Article III, Texas Constitution, as proposed by H.J.R. 28, 78th
	Legislature, Regular Session, 2003; or
	(2)  general obligation bonds issued under Section
	49-p, Article III, Texas Constitution.
	(b)  The commission shall determine whether the unused
	proceeds from bonds described by Subsection (a) may be used to
	finance projects, in addition to those allocated funding under
	Section 201.996, that reduce congestion, increase capacity, reduce
	tolls, or promote safety. The commission shall adopt rules
	establishing criteria for projects to be considered eligible for
	financing under this subsection.
	(c)  Not later than the 30th day before the date the
	commission authorizes the use of money under this section, the
	commission shall hold a public meeting to consider that
	authorization.
	(d)  This section expires September 1, 2017.
	SECTION 5.  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.