Bill Text: TX SB1708 | 2017-2018 | 85th Legislature | Introduced


Bill Title: Relating to funding for counties for transportation infrastructure projects located in areas of the state affected by increased oil and gas production, including administration of county energy transportation reinvestment zones.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2017-03-22 - Referred to Transportation [SB1708 Detail]

Download: Texas-2017-SB1708-Introduced.html
  85R11840 MTB-F
 
  By: Uresti S.B. No. 1708
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to funding for counties for transportation infrastructure
  projects located in areas of the state affected by increased oil and
  gas production, including administration of county energy
  transportation reinvestment zones.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 222.1071(i) and (n), Transportation
  Code, are amended to read as follows:
         (i)  The county may:
               (1)  use money in the tax increment account, before
  September 1, 2017, to provide:
                     (A)  matching funds under Section 256.105; and
                     (B)  funding for one or more transportation
  infrastructure projects located in the zone;
               (2)  apply for grants under Subchapter C, Chapter 256[,
  subject to Section 222.1072];
               (3)  use one [five] percent of any grant distributed to
  the county under Subchapter C, Chapter 256, for the administration
  of a county energy transportation reinvestment zone, not to exceed
  $100,000 [$250,000];
               (4)  enter into an agreement to provide for the joint
  administration of county energy transportation reinvestment zones
  if the commissioners court of the county has designated a county
  energy transportation reinvestment zone under this section for the
  same transportation infrastructure project or projects as another
  county commissioners court; and
               (5)  pledge money in the tax increment account, before
  September 1, 2017, to a road utility district formed as provided by
  Subsection (n).
         (n)  In the alternative, to assist the county in developing a
  transportation infrastructure project, if authorized by the
  commission under Chapter 441, a road utility district may be formed
  under that chapter that has the same boundaries as a county energy
  transportation reinvestment zone created under this section.  The
  road utility district may issue bonds to pay all or part of the cost
  of a transportation infrastructure project and may pledge and
  assign all or a specified amount of money in the tax increment
  account, before September 1, 2017, to secure those bonds if the
  county:
               (1)  collects a tax increment; and
               (2)  pledges all or a specified amount of the tax
  increment to the road utility district.
         SECTION 2.  Section 222.1072, Transportation Code, is
  transferred to Subchapter C, Chapter 256, Transportation Code,
  redesignated as Section 256.107, Transportation Code, and amended
  to read as follows:
         Sec. 256.107  [222.1072]. COUNTY GRANT PROGRAM ADVISORY
  BOARD [OF COUNTY ENERGY TRANSPORTATION REINVESTMENT ZONE]. (a) A
  county may create [is eligible to apply for a grant under Subchapter
  C, Chapter 256, if the county creates] an advisory board to advise
  the county on transportation infrastructure projects to be funded
  by a grant from the department under this subchapter [the
  establishment, administration, and expenditures of a county energy
  transportation reinvestment zone]. The county commissioners court
  shall determine the terms and duties of the advisory board members.
         (b)  An [Except as provided by Subsection (c), the] advisory
  board created under this section [of a county energy transportation
  reinvestment zone] consists of the following members appointed by
  the county judge and approved by the county commissioners court:
               (1)  up to three oil and gas company representatives
  who perform a company activity or related service [activities in
  the county and are local taxpayers]; and
               (2)  two public members.
         (c)  [County energy transportation reinvestment zones that
  are jointly administered are advised by a single joint advisory
  board for the zones. A joint advisory board under this subsection
  consists of members appointed under Subsection (b) for each zone to
  be jointly administered.
         [(d)]  An advisory board member may not receive compensation
  for service on the board or reimbursement for expenses incurred in
  performing services as a member.
         SECTION 3.  Section 251.018, Transportation Code, is amended
  to read as follows:
         Sec. 251.018.  ROAD REPORTS.  A road condition report made by
  a county that is operating under a system of administering county
  roads under Chapter 252 or a special law, including a report made
  under Section 251.005, must include the primary cause of any road,
  culvert, or bridge degradation if reasonably ascertained along with
  a brief description of the degradation.
         SECTION 4.  Sections 256.101(3) and (4), Transportation
  Code, are amended to read as follows:
               (3)  "Weight tolerance permit" means a permit issued
  under Section 623.011 for [Chapter 623 authorizing] a vehicle
  operating specifically in relation to the exploration,
  development, or production of oil or gas [to exceed maximum legal
  weight limitations].
               (4)  "Well completion" means the completion, reentry,
  or recompletion of a vertical or horizontal [an] oil or gas well.
         SECTION 5.  Section 256.103, Transportation Code, is amended
  by adding Subsection (a-1) and amending Subsection (b) to read as
  follows:
         (a-1)  To be eligible for a grant under this subchapter, a
  county must have at least 400 active wells, including horizontal,
  vertical, and oil and gas waste disposal wells, as determined by the
  most recent data of the Railroad Commission of Texas.
         (b)  Grants distributed during a fiscal year must be
  allocated among counties as follows:
               (1)  10 [20] percent according to weight tolerance
  permits, determined by the ratio of weight tolerance permits issued
  in the preceding fiscal year for the county [that designated a
  county energy transportation reinvestment zone] to the total number
  of weight tolerance permits issued in the state in that fiscal year,
  as determined by the Texas Department of Motor Vehicles;
               (2)  20 percent according to oil and gas production
  taxes, determined by the ratio of oil and gas production taxes
  collected by the comptroller in the preceding fiscal year in the
  county [that designated a county energy transportation
  reinvestment zone] to the total amount of oil and gas production
  taxes collected in the state in that fiscal year, as determined by
  the comptroller;
               (3)  15 [50] percent according to vertical well
  completions, determined by the ratio of vertical well completions
  in the preceding fiscal year in the county [that designated a county
  energy transportation reinvestment zone] to the total number of
  vertical well completions in the state in that fiscal year, as
  determined by the Railroad Commission of Texas; [and]
               (4)  45 percent according to horizontal well
  completions, determined by the ratio of horizontal well completions
  in the preceding fiscal year in the county to the total number of
  horizontal well completions in the state in that fiscal year, as
  determined by the Railroad Commission of Texas; and
               (5)  10 percent according to the total number [volume]
  of oil and gas waste disposal wells as defined by the Railroad
  Commission of Texas [injected], determined by the ratio of the
  total number [volume] of oil and gas waste disposal wells
  [injected] in the last full [preceding fiscal] year for which the
  Railroad Commission of Texas has a report for commercial disposal
  wells in the county [that designated a county energy transportation
  reinvestment zone] to the total number [volume] of oil and gas waste
  disposal wells [injected] in the state in that [fiscal] year, as
  determined by the Railroad Commission of Texas.
         SECTION 6.  Section 256.104(a), Transportation Code, is
  amended to read as follows:
         (a)  In applying for a grant under this subchapter, the
  county shall:
               (1)  provide the road condition report described by
  Section 251.018 made by the county for the previous year; and
               (2)  submit to the department[:
                     [(A)     a copy of the order or resolution
  establishing a county energy transportation reinvestment zone in
  the county, except that the department may waive the submission
  until the time the grant is awarded; and
                     [(B)]  a plan that:
                     (A) [(i)]  provides a list of transportation
  infrastructure projects to be funded by the grant;
                     (B) [(ii)]  describes the scope of the
  transportation infrastructure project or projects to be funded by
  the grant using best practices for prioritizing the projects;
                     (C) [(iii)]  provides for matching funds as
  required by Section 256.105; and
                     (D) [(iv)]  meets any other requirements imposed
  by the department.
         SECTION 7.  Section 256.106(a), Transportation Code, is
  amended to read as follows:
         (a)  A county that makes a second or subsequent application
  for a grant from the department under this subchapter must:
               (1)  provide the department with a copy of a report
  filed under Section 251.018;
               (2)  certify that all previous grants are being spent
  in accordance with the plan submitted under Section 256.104; [and]
               (3)  provide an update on and brief description of the
  status of all uncompleted transportation infrastructure projects;
  and
               (4)  provide an accounting of how previous grants were
  spent, including any amounts spent on administrative costs.
         SECTION 8.  This Act takes effect September 1, 2017.
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