Sec. 227.024.  HIGHWAYS. 

A highway, including a turnpike, on the Trans-Texas Corridor is a part of the state highway system.

Sec. 227.025.  VEHICLE SIZE AND WEIGHT LIMITS. 

          (a)  The commission may authorize the operation of a vehicle that exceeds the height, length, or gross weight limitations of Subchapter C, Chapter 621, on a segment of a highway on the Trans-Texas Corridor if supported by an engineering and traffic study that includes an analysis of the structural capacity of bridges and pavements, current and projected traffic patterns and volume, and potential effects on public safety.
          (b)  This section does not authorize the operation of a vehicle that exceeds a maximum axle weight authorized by Chapter 621, 622, or 623.

Sec. 227.026.  ACQUISITION OF PERSONAL PROPERTY. 

          (a)  The department may acquire personal property, except rolling stock, under a conditional sales contract, lease, equipment trust certificate, or other form of contract or trust agreement for use in connection with a facility.
          (b)  The department may enter into an agreement with a rail operator, transportation common carrier, transportation system, or any other entity for the common use of any facility.
          (c)  The department may enter into agreements with a public or private utility, the owner or operator of a communications system, utility common carrier, or transportation system, or another entity for the common use of a public utility facility in the Trans-Texas Corridor if the department has adopted rules requiring each common user to avoid damaging any equipment that the common user does not own or operate.

Sec. 227.027.  ENVIRONMENTAL REVIEW. 

          (a)  The department shall conduct or approve each environmental evaluation or study required for an activity associated with the Trans-Texas Corridor.  This subsection does not prohibit an owner of a public utility facility or a proposed  public utility facility from conducting any necessary environmental evaluation for the public utility facility.  The department is entitled to review and give final approval regarding the sufficiency of any environmental evaluation conducted for a facility within the Trans-Texas Corridor.
          (b)  The commission may allocate responsibilities for conducting environmental evaluations or studies or preparing environmental documentation among entities involved in the construction or operation of any facility of the Trans-Texas Corridor.

Sec. 227.028.  ENVIRONMENTAL MITIGATION. 

          (a)  The department may acquire, maintain, hold, restore, enhance, develop, or redevelop property for the purpose of mitigating a past, present, or future adverse environmental effect arising from the construction or operation of any part of the Trans-Texas Corridor without regard to whether the need for mitigation is established for a particular project.
          (b)  The department may contract with a governmental or private entity to maintain, control, hold, restore, enhance, develop, or redevelop property for the mitigation of a past, present, or future adverse environmental effect arising from the construction or operation of any part of the Trans-Texas Corridor without regard to whether the need for mitigation has already been established for a particular project.
          (c)  If authorized by the applicable regulatory authority, the department may pay a sum of money to an appropriate governmental or private entity instead of acquiring or managing property for the mitigation of a past, present, or future adverse environmental effect arising from construction or operation of any part of the Trans-Texas Corridor without regard to whether the need for mitigation has already been established for a particular project.

Sec. 227.029.  RELOCATION OF EXISTING FACILITIES. 

          (a)  The department may construct a grade separation at an intersection of a Trans-Texas Corridor facility with another facility and may change the line or grade of a facility to accommodate the facility to the design of a grade separation.  The department shall pay the cost of a grade separation and any damage incurred in changing a line or grade of a facility.
          (b)  If the department finds it necessary to change the location of a portion of a facility, it shall reconstruct the facility at the location the department determines to be most favorable.  The reconstructed facility must be of substantially the same type and in as good condition as the original facility.  The department shall determine and pay the cost of the reconstruction and any damage incurred in changing the location of a facility.
          (c)  Except as provided in Subsections (d)-(l), this section does not apply to the conversion of any highway that is a part of the state highway system to a highway of the Trans-Texas Corridor.
          (d)  Notwithstanding Subsections (a) and (b), this subsection and Subsections (e)-(i) govern the relocation of a public utility facility.  If the department determines that a public utility facility must be relocated, including a relocation caused by the conversion of any road that is part of the state highway system to a highway on the Trans-Texas Corridor, the utility and the department shall negotiate in good faith to establish reasonable terms and conditions concerning the responsibilities of the parties with regard to sharing of information about the project and the planning and implementation of any necessary relocation of the public utility facility.
          (e)  The department shall use its best efforts to provide an affected utility with plans and drawings of the project that are sufficient to enable the utility to develop plans for, and determine the cost of, the necessary relocation of the public utility facilities.  If the department and the affected utility enter into an agreement after negotiations under Subsection (d), the terms and conditions of the agreement govern the relocation of each public utility facility covered by the agreement.
          (f)  If the department and an affected utility do not enter into an agreement under Subsection (d), the department shall provide to the affected utility:
                    (1)  written notice of the department's determination that the public utility facility must be removed;
                    (2)  a final plan for relocation of the public utility facility; and
                    (3)  reasonable terms and conditions for an agreement with the utility for the relocation of the public utility facility.
          (g)  Not later than the 90th day after the date a utility receives the notice from the department, including the plan and agreement terms and conditions under Subsection (f), the utility shall enter into an agreement with the department that provides for the relocation.
          (h)  If the utility fails to enter into an agreement within the 90-day period under Subsection (g), the department may relocate the public utility facility at the sole cost and expense of the utility less any reimbursement of costs that would have been payable to the utility under applicable law.  A relocation by the department under this subsection shall be conducted in full compliance with applicable law, using standard equipment and construction practices compatible with the utility's existing facilities, and in a manner that minimizes disruption of utility service.
          (i)  The 90-day period under Subsection (g) may be extended:           
                    (1)  by mutual agreement between the department and the utility; or 
                    (2)  for any period during which the utility is negotiating in good faith with the department to relocate its facility.
          (j)  Notwithstanding Subsections (d)-(i), an owner of a public utility facility is not obligated to relocate its public utility facility on the Trans-Texas Corridor if it determines that another location is feasible.
          (k)  If a public utility facility is relocated on the Trans-Texas Corridor, the department shall grant the owner reasonable entry and access to operate and maintain that owner's public utility facility.
          (l)  Subject to Subsections (a)-(k), the department, as part of the cost of the project, shall pay the cost of the relocation, removal, or grade separation of a public utility facility under Subsections (d)-(i).

Sec. 227.030.  UNAUTHORIZED USE. 

The department may remove unauthorized personal property, including a vehicle, from the Trans-Texas Corridor without notice and at the owner's expense.  Removed property may be stored until claimed by the owner.  If a removed motor vehicle is not claimed by the owner within 72 hours after the date and time of removal, it shall be considered abandoned within the meaning of Chapter 683.  The department and its employees are not liable for damage to property that is removed from the Trans-Texas Corridor under this section.  Any removal or relocation of a public utility facility is governed by Sections 227.029(d)-(i) and is not governed by this section.

Sec. 227.031.  EXCLUSIVE LANES. 

The department may dedicate one or more lanes of a highway on the Trans-Texas Corridor to the exclusive use of designated classes of vehicles.

Sec. 227.041.  POWERS AND PROCEDURES. 

          (a)  Except as otherwise provided by this subchapter, the commission has the same powers and duties relating to the condemnation and acquisition of real property for a facility of the Trans-Texas Corridor that the commission and the department have relating to the condemnation or purchase of real property under Subchapter D, Chapter 361, and Section 361.233 for a turnpike project. The commission may purchase an option to purchase property, other than real property, a property right, or a right-of-way used for a public utility facility, that the commission is considering for possible use as part of the Trans-Texas Corridor even if it has not been finally decided that the Trans-Texas Corridor will be located on that property.  An option to purchase may be purchased along alternative potential routes for the Trans-Texas Corridor even if only one of those potential routes will be selected as the final route.
          (b)  An interest in real property or a property right is necessary or convenient for the construction or operation of a facility if it is located in or contiguous to an existing or planned segment of the Trans-Texas Corridor and if its acquisition will further the primary purposes of the Trans-Texas Corridor.  Primary purposes include:
                    (1)  providing right-of-way or a location for a facility;           
                    (2)  providing land for mitigation of adverse environmental effects;
                    (3)  providing buffer zones for scenic or safety purposes;          
                    (4)  allowing for possible future expansion of any facility; and    
                    (5)  generating revenue, directly or indirectly, for use in constructing or operating the Trans-Texas Corridor from or for ancillary facilities that directly benefit users of the Trans-Texas Corridor.
          (c)  Unless in conflict with this chapter, all laws governing the acquisition of right-of-way for a state highway apply to the acquisition of right-of-way for the Trans-Texas Corridor.  Sections 203.056, 203.057, and 203.058 apply to an acquisition by the department from a state agency.  Compensation to a state agency under those sections shall be reasonable and may take the form of a single payment, a participation payment under Section 227.042, or both a single payment and a participation payment.

Sec. 227.042.  CORRIDOR PARTICIPATION PAYMENT FOR REAL PROPERTY. 

          (a)  As an alternative to paying for an interest in real property or a real property right with a single fixed payment, the department may, with the owner's consent, pay the owner by means of a corridor participation payment.
          (b)  A right to receive a corridor participation payment under this section is subordinate to any right to receive a fee as payment on the principal of or interest on a bond that is issued for the construction of the applicable segment of the Trans-Texas Corridor.
          (c)  In this section, "corridor participation payment" means an intangible legal right to receive a percentage of one or more identified fees related to a segment of the Trans-Texas Corridor.

Sec. 227.043.  PURCHASE AND LEASEBACK. 

The department may acquire real property for the Trans-Texas Corridor and immediately lease it back to the former owner for a fixed or indefinite term.

Sec. 227.044.  RIGHT OF ENTRY TO PROPERTY WITH PUBLIC UTILITY FACILITY. 

To ensure the safety and convenience of the public, the department shall, when entering any real property, water, or premises on which is located a public utility facility:
          (1)  comply with applicable industry standard safety codes and practices; and
          (2)  give the owner or operator of the facility not less than 10 days' notice before entering the real property, water, or premises.

Sec. 227.045.  OTHER GOVERNMENTAL ENTITIES. 

If the department authorizes another governmental entity to construct or operate a segment of or a facility on the Trans-Texas Corridor, that entity has all the powers and duties of the department under this subchapter, except that the entity:
          (1)  may only construct or operate a facility that is located in the geographic area within which that entity is authorized to operate; and
          (2)  may not file a declaration of taking and obtain early possession of real property.

Sec. 227.046.  COST OF RELOCATING PUBLIC UTILITY FACILITY. 

          (a)  An owner of a public utility facility holding a certificate of convenience and necessity, certificate of authority, or service provider certificate of authority shall recover from the department its reasonable costs to relocate a public utility facility to accommodate the development or construction of the Trans-Texas Corridor.
          (b)  An owner of a public utility facility is not obligated to relocate the utility facility on the Trans-Texas Corridor if the owner determines that another location is feasible.
          (c)  If a public utility facility is located on the Trans-Texas Corridor, the department shall grant the owner reasonable access to operate and maintain the utility facility in accordance with industry standard safety codes and practices.
          (d)  Relocation of facilities pursuant to this section is subject to the department's reasonable regulations pertaining to public health, safety, and welfare.

Sec. 227.061.  PERMISSIBLE SOURCES OF FUNDING. 

Subject to Section 227.062, the department may use any available source of funding in acquiring property for, constructing, and operating the Trans-Texas Corridor, including:
          (1)  an appropriation from the state highway fund for construction or maintenance of highways;
          (2)  a fee;  
          (3)  proceeds from a bond secured by fees;                            
          (4)  proceeds from an obligation secured by the Texas Mobility Fund;
          (5)  a donation, in kind or in cash;  
          (6)  a private investment;  
          (7)  money transferred from the state infrastructure bank;   
          (8)  a contribution from or contractual obligation of a governmental entity; and
          (9)  a loan, grant, or reimbursement from the federal government, subject to Section 227.062.

Sec. 227.062.  LIMITATIONS ON DEPARTMENT FINANCIAL PARTICIPATION. 

          (a)  Each fiscal year, the total amount disbursed by the department out of the state highway fund for the following activities on the Trans-Texas Corridor may not exceed 20 percent of the obligation authority under the federal-aid highway program that is distributed to this state in that year:
                    (1)  acquisition of right of way;                                     
                    (2)  initial construction of toll and nontoll highways; and         
                    (3)  grading and bed preparation for non-highway facilities.        
          (b)  The limitation under Subsection (a) does not apply to:            
                    (1)  money spent for:                                                 
                              (A)  feasibility studies, environmental studies, and preliminary engineering conducted before the initial construction of a facility; or
                              (B)  operation and maintenance of a facility;                        
                    (2)  the proceeds of bonds or other public securities issued to pay the cost of a facility if those proceeds are deposited to the credit of the state highway fund;
                    (3)  revenue attributable to a facility if that revenue is deposited to the credit of the state highway fund;
                    (4)  loans deposited to the credit of the state highway fund; or    
                    (5)  contributions from a public or private entity that are deposited to the credit of the state highway fund.
          (c)  Each fiscal year, the total amount disbursed by the department out of state and federal funds shall not exceed $25 million for the construction or purchase of non-highway facilities on the Trans-Texas Corridor.  This subsection does not apply to funds derived from the issuance of bonds, private investment, donations, the Federal Transit Administration, or the Federal Railroad Administration.  This subsection also does not apply to:
                    (1)  activities that are subject to the limitation in Subsection (a); and
                    (2)  activities described in Subsection (b)(1).                       
          (d)  The commission may not disburse money out of the state highway fund for the initial construction of a facility of the Trans-Texas Corridor unless the commission finds that the disbursement will reduce traffic congestion to an extent that is comparable to the reduction in traffic congestion that would likely be achieved by spending the same amount of money on the project that is the most reasonable alternative.  This subsection does not apply to the disbursement of money out of the state highway fund for environmental studies or for the acquisition of right-of-way.
          (e)  The commission may not disburse money from the state highway fund or the Texas mobility fund to construct a portion of the Trans-Texas Corridor unless it would replace or supplement a project identified in the department's unified transportation program or a transportation corridor identified in the statewide transportation plan.
          (f)  The commission may not authorize the construction of rail facilities unless it finds that the construction will reduce congestion and improve mobility.
          (g)  The commission may not disburse money from the state highway fund that is dedicated under Sections 7-a and 7-b, Article VIII, Texas Constitution, for activities on the Trans-Texas Corridor if as a result, the amount expended each year from those funds on the addition of capacity to the state highway system would be less than the average annual expenditure from those funds for the addition of capacity to the state highway system over the previous five years.  This subsection does not apply to past expenditures for activities on the Trans-Texas Corridor.

Sec. 227.063.  FINANCING OF FACILITIES AND SYSTEMS. 

          (a)  The commission and the department have the same powers and duties relating to the financing of a facility or a system established under Section 227.014 as the commission and the department have under Subchapter E, Chapter 361, relating to the financing of a turnpike project, including the ability to deposit the proceeds of bonds or other obligations and to pledge, encumber, and expend such proceeds and revenues as provided by Chapter 361.
          (b)  The powers held by the commission and the department include the powers to:
                    (1)  authorize the issuance of bonds to pay all or part of the cost of a facility or system or to pay for all or part of the cost of a facility or system that will become a part of another system;
                    (2)  maintain separate accounts for bond proceeds and the revenues of a facility or system, and pledge those revenues and proceeds to the payment of bonds or other obligations issued or entered into with respect to the facility or system;
                    (3)  impose a toll or other fee for the use of a facility or system; and
                    (4)  obtain from another source the fees and other revenue necessary to pay all or part of the principal and interest on bonds issued under this chapter.
          (c)  For purposes of this section, a reference in Subchapter E, Chapter 361 to:
                    (1)  a turnpike project means a facility or system; and               
                    (2)  revenue includes a fee established under this chapter.         
          (d)  The proceeds of bonds issued under this chapter may be held in trust by a banking institution chosen by the department or, at the discretion of the department, in trust in the state treasury outside the general revenue fund and the state highway fund.

Sec. 227.064.  LOANS AND OTHER FUNDING. 

The department may borrow money from the United States or use money in the state infrastructure bank created under Subchapter D, Chapter 222, to fund the construction or operation of a facility under this chapter.  Money borrowed under this section may be evidenced by the issuance of bonds.

Sec. 227.081.  FEES. 

          (a)  Notwithstanding any other law, including Chapters 161, 162, 163, and 181, Utilities Code, Chapter 402, Local Government Code, and Chapter 49, Water Code, and except as provided in Subsection (e), the department may require a person, including a governmental or private entity, to pay a fee as a condition of using any part of the Trans-Texas Corridor.
          (b)  The commission may establish fees to be imposed by the department under this chapter.  Fees may be set as absolute amounts, as a percentage of revenue, as a percentage of actual use or throughput, as a designated portion or percentage of initial facility funding, or on any other reasonable basis. Subject to approval by a body having jurisdiction and authority to establish a tariff, the commission may establish joint fees and divisions of fees.
          (c)  A fee may exceed the department's costs, but the commission may not establish a fee that is prohibitive or that discriminates unreasonably among users or potential users of a facility.
          (d)  In establishing a fee or the amount of a fee under this section, the commission shall consider:
                    (1)  the acquisition cost of the property being used;                 
                    (2)  if applicable, the value of the property being transported or of the service being offered;
                    (3)  any cost to the department or to the public occasioned by the use, including environmental effects;
                    (4)  comparable fees set by the competitive marketplace; and        
                    (5)  the desirable effects of full use of the Trans-Texas Corridor on the state's economy and its residents.
          (e)  If a public road is replaced or eliminated by the Trans-Texas Corridor and a facility used the right-of-way of that road under Chapter 161, 162, 163, or 181, Utilities Code, Chapter 402, Local Government Code, or Chapter 49, Water Code, the department may not require the owner of that facility to pay a fee as a condition of using a segment of the Trans-Texas Corridor for the location of a replacement facility.
          (f)  The department may not require the owner of a public utility facility to pay a fee as a condition of crossing the Trans-Texas Corridor.  The department may not require the owner of a public utility facility to pay a fee for placing a facility along or within the Trans-Texas Corridor specifically to provide service to customers within the Trans-Texas Corridor pursuant to an obligation as a provider of last resort.  The department may not require payment of a fee for use of the Trans-Texas Corridor by a public utility facility in existence before the establishment of the Trans-Texas Corridor or for use by a facility that replaces a facility in existence before the establishment of the Trans-Texas Corridor unless the owner of the existing public utility facility relocates the public utility facility into the Trans-Texas Corridor of its own volition.  For use of the Trans-Texas Corridor by a public utility facility whose owner places the facility in the Trans-Texas Corridor of its own volition, the department may charge the owner a fee as negotiated between the department and the
owner.  The fee shall be competitively neutral and nondiscriminatory among similarly situated owners of public utility facilities.

Sec. 227.082.  LEASE OF PROPERTY OR RIGHTS. 

          (a)  The department may lease property on the Trans-Texas Corridor to any public or private entity.  A lease may be for a term not longer than 50 years.
          (b)  The department may grant a franchise to use or operate a facility on the Trans-Texas Corridor.  A franchise under this section may be granted for a term not longer than 50 years.
          (c)  The department may grant an exclusive or nonexclusive license to access or use any portion of the Trans-Texas Corridor for any purpose.  A license granted under this section may be for a definite or indefinite term.  The department may not grant an exclusive license to access or use a highway on the Trans-Texas Corridor. The department may not grant an exclusive license for use of the Trans-Texas Corridor by an owner of a public utility facility if the exclusive use is prohibited by other law.
          (d)  Property may be leased or a franchise or license granted for any purpose, including use as a facility and use for unrelated commercial, industrial, or agricultural purposes.
          (e)  In return for a lease, franchise, or license, the department may accept anything of value as consideration, including:
                    (1)  a cash payment;     
                    (2)  installment payments;   
                    (3)  one or more payments based on percentages of use or throughput; and
                    (4)  an interest in real or personal property, or an intangible legal right.

Sec. 227.083.  DISPOSITION OF FEES. 

To the extent that it is not dedicated to another purpose by the constitution, by statute, or by contract, or deposited to a separate account under this chapter, revenue received by the department under this chapter shall be deposited to the credit of the state highway fund and may be used for any purpose authorized by this chapter. Subchapter D, Chapter 316, Government Code, and Section 403.095, Government Code, do not apply to revenue received under this chapter.

SECTION 1.02.  Subchapter H, Chapter 545, Transportation Code, is amended by adding Section 545.3531 to read as follows:

Sec. 545.3531.  AUTHORITY OF TEXAS TRANSPORTATION COMMISSION TO ESTABLISH SPEED LIMITS ON TRANS-TEXAS CORRIDOR. 

          (a)  Notwithstanding Section 545.352, the Texas Transportation Commission, by order recorded in its minutes and except as provided by Subsection (d), may determine and declare on a highway segment of the Trans-Texas Corridor designated under Chapter 227 a reasonable and safe prima facie speed limit in excess of a prima facie speed limit established by Section 545.352.
          (b)  In determining whether a prima facie speed limit is reasonable and safe, the commission shall conduct an engineering and traffic investigation and shall consider the width and condition of the pavement, the usual traffic on the highway segment, the suitability of existing safety features, and other circumstances.
          (c)  A prima facie speed limit that is declared by the commission under this section is effective when the department erects signs giving notice of the new limit.  A new limit that is enacted under this section is effective at all times or at other times as determined.
          (d)  The commission may not:                                           
                    (1)  modify the rules established by Section 545.351(b); or         
                    (2)  establish a speed limit of more than 85 miles per hour.        
          (e)  The commission, in conducting the engineering and traffic investigation specified by Subsection (b), shall follow the "Procedures for Establishing Speed Zones" as adopted by the commission.

SECTION 1.03.  This article takes effect immediately if this Act 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 article takes effect September 1, 2003.