S.B. No. 1371 amends various sections of the Texas Tax Code and Transportation Code to modify the operation of metropolitan transit authorities, particularly those in municipalities with populations under 320,000. The bill specifies that the tax exemption for compressed natural gas or liquefied natural gas does not apply to fuel delivered to motor vehicles from refueling facilities accessible to other vehicles, unless those vehicles are either described by a specific provision or are exempt from the tax under another provision, provided the refueling facility is operated by a metropolitan rapid transit authority and usage is limited to emergencies as per an interlocal agreement.

Additionally, the bill changes the process for establishing or changing fares by transit authorities in smaller municipalities, allowing such changes to take effect immediately upon board approval, with the exception of single-ride base fares, which will take effect 60 days after approval unless disapproved by a metropolitan planning organization. It also introduces a new provision regarding the length of service for board members of these authorities, excluding certain periods of service from the calculation. The act will take effect immediately if it receives a two-thirds vote from both houses; otherwise, it will take effect on September 1, 2025.

Statutes affected:
Introduced: Tax Code 162.356, Transportation Code 451.506 (Tax Code 162, Transportation Code 451)
Senate Committee Report: Tax Code 162.356, Transportation Code 451.506 (Tax Code 162, Transportation Code 451)
Engrossed: Tax Code 162.356, Transportation Code 451.506 (Tax Code 162, Transportation Code 451)
House Committee Report: Tax Code 162.356, Transportation Code 451.506 (Tax Code 162, Transportation Code 451)
Enrolled: Tax Code 162.356, Transportation Code 451.506 (Tax Code 162, Transportation Code 451)