TO:	Honorable Terry Canales, Chair, House Committee on Transportation
FROM:	John McGeady, Assistant Director     Sarah Keyton, Assistant Director Legislative Budget Board
IN RE:	HB4280 by Morrison (Relating to funding for counties for transportation infrastructure projects located in areas of the state affected by increased oil and gas production.), As Introduced

The bill would amend provisions in Subchapter C, Chapter 256 of the Transportation Code, to change the criteria for a county to be eligible for a grant from the Transportation Infrastructure Fund (TIF) and change the methodology for determining the distribution of TIF grants among the eligible counties. The bill would take effect on September 1, 2019.

The Texas Department of Transportation (TxDOT) reports that all current TIF grant funding from appropriations made by the Eighty-third Legislature, 2013, has been awarded to eligible counties based on criteria established under current law. The changes in the bill would apply to any new grant funding made available on or after the effective date of the legislation. Based on the information provided by TxDOT, the Department of Motor Vehicles, and the Railroad Commission, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within the agencies' existing resources.

Local Government Impact

The Texas Association of Counties anticipates a positive fiscal impact in some counties and a negative fiscal impact in other counties by prioritizing grants in some areas at the expense of other parts of the state. However, the impact to individual counties cannot be determined at this time.