The bill, S.B. No. 3075, amends the Transportation Code to enhance the powers of regional transportation authorities, particularly regarding the management and allocation of sales and use tax revenues. A new section, 452.204, establishes a General Mobility Program that allows a unit of election within an authority to enter into agreements with a subregional board to allocate up to 25% of its sales and use tax revenue for various mobility projects, including the construction and maintenance of roads, sidewalks, and traffic control improvements. Additionally, the bill stipulates that 50% of the allocated funds will be available at the start of the fiscal year, while the remaining 50% will be accessible on a reimbursement basis.

The bill also modifies existing provisions related to the pledging of revenue for bond security and the use of excess revenue. Specifically, it allows authorities to pledge not more than 75% of tax revenue for bonds and mandates that any excess revenue be used for operational expenses, reserves, and the newly established General Mobility Program. Furthermore, it introduces a limitation on the issuance of obligations by the authority in certain circumstances related to the financial obligations of the unit of election. The changes are set to take effect on September 1, 2025.

Statutes affected:
Introduced: Transportation Code 452.357, Transportation Code 452.358, Transportation Code 452.651 (Transportation Code 452)