The bill, S.B. No. 848, introduces a new provision to the Transportation Code that prohibits the Texas Department of Transportation (TxDOT) from requiring local governments to compensate for potential or actual lost revenue from toll projects. Specifically, the bill adds Section 228.0032, which states that local governments cannot be mandated to provide monetary compensation to TxDOT or bear the costs associated with lost toll revenue due to the construction, improvement, or use of adjacent nontolled lanes or other competing road infrastructure.

This legislation aims to protect local governments from financial liabilities related to toll revenue losses that may arise from competing road projects. The bill is set to take effect immediately upon receiving a two-thirds majority vote from both houses of the Texas Legislature; otherwise, it will become effective on September 1, 2025.

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