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        |  | 
      
        |  | A BILL TO BE ENTITLED | 
      
        |  | AN ACT | 
      
        |  | relating to the operations of and transportation planning and | 
      
        |  | expenditures by the Texas Department of Transportation and local | 
      
        |  | transportation entities. | 
      
        |  | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | 
      
        |  | SECTION 1.  Section 201.809, Transportation Code, is amended | 
      
        |  | by adding Subsections (e) through (j) to read as follows: | 
      
        |  | (e)  The department shall develop and implement, and the | 
      
        |  | commission shall approve, a performance-based planning and | 
      
        |  | programming process dedicated to providing the executive and | 
      
        |  | legislative branches of government with indicators that quantify | 
      
        |  | and qualify progress toward attaining all department goals and | 
      
        |  | objectives established by the legislature and the commission. | 
      
        |  | (f)  The department shall develop and implement performance | 
      
        |  | metrics and performance measures as part of: | 
      
        |  | (1)  the review of strategic planning in the statewide | 
      
        |  | transportation plan, rural transportation plans, and unified | 
      
        |  | transportation program; | 
      
        |  | (2)  the evaluation of decision-making on projects | 
      
        |  | selected for funding in the unified transportation program and | 
      
        |  | statewide transportation improvement program; and | 
      
        |  | (3)  the evaluation of project delivery for projects in | 
      
        |  | the department's letting schedule. | 
      
        |  | (g)  The department shall use and the commission shall review | 
      
        |  | performance metrics and measures to: | 
      
        |  | (1)  assess how well the transportation system is | 
      
        |  | performing and operating; | 
      
        |  | (2)  provide the department, legislature, | 
      
        |  | stakeholders, and public with information to support decisions in a | 
      
        |  | manner that is accessible and understandable to the public; | 
      
        |  | (3)  assess the effectiveness and efficiency of | 
      
        |  | transportation projects and service; and | 
      
        |  | (4)  demonstrate transparency and accountability. | 
      
        |  | (h)  The department shall develop and implement, and the | 
      
        |  | commission shall approve, specific performance metrics and | 
      
        |  | measures for sustainable objectives, including: | 
      
        |  | (1)  congestion reduction; | 
      
        |  | (2)  safety enhancements; | 
      
        |  | (3)  expansion of economic opportunity; | 
      
        |  | (4)  preservation of the value of existing | 
      
        |  | transportation assets; | 
      
        |  | (5)  environmental sustainability; | 
      
        |  | (6)  system reliability; | 
      
        |  | (7)  freight mobility; | 
      
        |  | (8)  cost efficiency of the department's operations; | 
      
        |  | (9)  project procurement, delivery, and final cost; and | 
      
        |  | (10)  enhancements in public participation in the | 
      
        |  | infrastructure planning process. | 
      
        |  | (i)  The requirement for the department to develop and | 
      
        |  | implement a performance-based planning and programming process | 
      
        |  | does not replace or alter the requirement of the department to | 
      
        |  | comply with the budgetary performance measures for each biennium as | 
      
        |  | established in the General Appropriations Act. The department may | 
      
        |  | not rely on its requirement to report budgetary performance | 
      
        |  | measures as satisfying the requirements imposed under this section. | 
      
        |  | (j)  The department shall develop and implement periodic | 
      
        |  | reporting schedules for all performance metrics and measures | 
      
        |  | required under this section. | 
      
        |  | SECTION 2.  Subchapter P, Chapter 201, Transportation Code, | 
      
        |  | is amended by adding Sections 201.999 and 201.9991 to read as | 
      
        |  | follows: | 
      
        |  | Sec. 201.999.  PRIORITIZATION OF PROJECTS BY LOCAL | 
      
        |  | TRANSPORTATION ENTITIES AND DEPARTMENT DISTRICTS.  (a)  All local | 
      
        |  | transportation entities in the state shall develop, adopt, and | 
      
        |  | submit to the department guidelines governing the funding | 
      
        |  | prioritization of the entities' transportation projects. | 
      
        |  | (b)  In developing guidelines under Subsection (a), a local | 
      
        |  | transportation entity shall at a minimum consider: | 
      
        |  | (1)  the time frame over which various types of | 
      
        |  | projects are needed and developed; | 
      
        |  | (2)  the readiness of projects considered for | 
      
        |  | short-term and long-term funding opportunities; | 
      
        |  | (3)  the viability and sustainability of a project, | 
      
        |  | including whether the project is a comprehensive solution with a | 
      
        |  | measurable benefit; | 
      
        |  | (4)  local criteria determined by each metropolitan | 
      
        |  | planning organization policy board that focus on local goals and | 
      
        |  | objectives unique to each area; and | 
      
        |  | (5)  all criteria established by the commission for | 
      
        |  | prioritization of projects. | 
      
        |  | (c)  In prioritizing projects, each local transportation | 
      
        |  | entity and department district shall include projects that meet | 
      
        |  | short-term and long-term needs of the entity's jurisdiction with | 
      
        |  | emphasis given to projects already approved in a regional | 
      
        |  | transportation plan. | 
      
        |  | (d)  Each local transportation entity and department | 
      
        |  | district shall submit to the department the funding prioritization | 
      
        |  | for transportation projects in the entity's jurisdiction. | 
      
        |  | Sec. 201.9991.  PRIORITIZATION OF PROJECTS BY DEPARTMENT AND | 
      
        |  | APPROVED BY COMMISSION.  (a) The department shall prioritize and | 
      
        |  | the commission shall approve projects included in the statewide | 
      
        |  | transportation improvement plan under Section 201.601 in order to | 
      
        |  | provide financial assistance under this chapter. | 
      
        |  | (b)  The department shall establish and the commission shall | 
      
        |  | approve a performance-based process for setting funding levels for | 
      
        |  | the categories of projects in the department's unified | 
      
        |  | transportation program. | 
      
        |  | (c)  The department shall establish and the commission shall | 
      
        |  | approve a scoring system for prioritizing projects for which | 
      
        |  | financial assistance is sought from the commission by local | 
      
        |  | transportation entities. The criteria used to score projects must | 
      
        |  | take into consideration the department's strategic goals as | 
      
        |  | approved by the commission. The system must account for the diverse | 
      
        |  | needs of the state so as to fairly allocate funding to all regions | 
      
        |  | of the state. | 
      
        |  | (d)  The commission may make discretionary funding decisions | 
      
        |  | for no more than 10 percent of the current biennial budget of the | 
      
        |  | department. | 
      
        |  | (e)  In scoring projects, the department shall give priority | 
      
        |  | to projects that: | 
      
        |  | (1)  address safety, maintenance, congestion | 
      
        |  | mitigation, and connectivity; | 
      
        |  | (2)  provide assistance to urban and rural populations; | 
      
        |  | (3)  provide regional balance; | 
      
        |  | (4)  meet a high percentage of the infrastructure needs | 
      
        |  | of a community; | 
      
        |  | (5)  have available funding; | 
      
        |  | (6)  are able to begin without significant delay; and | 
      
        |  | (7)  include public participation in the planning | 
      
        |  | process and public support for the project. | 
      
        |  | (f)  In addition to criteria under Subsection (e), in | 
      
        |  | prioritizing projects the department shall consider: | 
      
        |  | (1)  the local contribution to be made to construct the | 
      
        |  | project; | 
      
        |  | (2)  the financial capacity of the entity responsible | 
      
        |  | for the project to repay the obligation if the assistance is in the | 
      
        |  | form of a loan; | 
      
        |  | (3)  the ability to timely leverage state financial | 
      
        |  | support with local and federal funding; | 
      
        |  | (4)  whether there is an emergency need for the | 
      
        |  | project; | 
      
        |  | (5)  whether all preliminary planning and design work | 
      
        |  | associated with the project necessary to reasonably predict cost, | 
      
        |  | construction period, and benefits of the project have been | 
      
        |  | completed; | 
      
        |  | (6)  whether all rights-of-way and easements necessary | 
      
        |  | to begin construction have been acquired or approved; | 
      
        |  | (7)  the start date for and certainty of the beginning | 
      
        |  | of project construction; | 
      
        |  | (8)  the demonstrated or projected impact on the | 
      
        |  | community; and | 
      
        |  | (9)  the priority given the project by the applicable | 
      
        |  | local transportation entity under Section 201.999. | 
      
        |  | SECTION 3.  (a)  In this section: | 
      
        |  | (1)  "Commission" means the Texas Transportation | 
      
        |  | Commission. | 
      
        |  | (2)  "Department" means the Texas Department of | 
      
        |  | Transportation. | 
      
        |  | (b)  Not later than the earlier of 30 days after the | 
      
        |  | effective date of this Act or September 1, 2015: | 
      
        |  | (1)  the speaker of the house of representatives shall | 
      
        |  | appoint nine members to a House Select Committee on Transportation | 
      
        |  | Planning and designate one member as chair; and | 
      
        |  | (2)  the lieutenant governor shall appoint nine members | 
      
        |  | to a Senate Select Committee on Transportation Planning and | 
      
        |  | designate one member as chair. | 
      
        |  | (c)  The committees established under this section may meet | 
      
        |  | separately at the call of the chair of the committee or jointly at | 
      
        |  | the call of both chairs. In joint meetings, the chairs shall act as | 
      
        |  | joint chairs. | 
      
        |  | (d)  The committees established under this section, meeting | 
      
        |  | separately or jointly, shall review, study, and evaluate: | 
      
        |  | (1)  department projections regarding the revenue | 
      
        |  | needed by the department to maintain current maintenance, | 
      
        |  | congestion, and connectivity conditions; | 
      
        |  | (2)  the development of funding categories, the | 
      
        |  | allocation of funding to such categories by formula, project | 
      
        |  | selection authority for each funding category, and the development | 
      
        |  | of project selection criteria for commission, department, and | 
      
        |  | district-selected projects; | 
      
        |  | (3)  department rules and policies regarding the | 
      
        |  | development and implementation of performance-based scoring and | 
      
        |  | decision making for project prioritization and selection of | 
      
        |  | commission, department, and district-selected projects; | 
      
        |  | (4)  the use and utilization of alternative methods of | 
      
        |  | financing that have been authorized by the legislature for | 
      
        |  | projects; | 
      
        |  | (5)  performance metrics and measurement tools used by | 
      
        |  | the department to evaluate the performance of a department project | 
      
        |  | or program; | 
      
        |  | (6)  the department's collaboration with state elected | 
      
        |  | officials, local governments, government trade associations, | 
      
        |  | metropolitan planning organizations, regional mobility | 
      
        |  | authorities, and other entities when adopting rules or formulating | 
      
        |  | policies; and | 
      
        |  | (7)  any proposed rule, policy, program, or plan of the | 
      
        |  | commission or department of statewide significance. | 
      
        |  | (e)  Following consideration of the factors described by | 
      
        |  | Subsection (d) of this section, the committees shall jointly adopt | 
      
        |  | recommendations related to the reviewed subjects and shall, not | 
      
        |  | later than November 1, 2016, provide to the legislature a written | 
      
        |  | report of the committees' recommendations on the reviewed subjects. | 
      
        |  | (f)  The committees established under this section may | 
      
        |  | exercise any power of a committee of their respective chambers and | 
      
        |  | any powers of a joint committee. For the purposes of this section, | 
      
        |  | the committees established under this section are considered a | 
      
        |  | joint committee and the cost of operation of each committee may be | 
      
        |  | borne in the same manner as the cost of a joint committee. The Texas | 
      
        |  | Legislative Council may provide funding for the operations of the | 
      
        |  | committees. To the extent not inconsistent with this section, the | 
      
        |  | joint rules adopted by the 84th Legislature for the administration | 
      
        |  | of joint interim legislative study committees apply to the | 
      
        |  | committees established under this section. | 
      
        |  | (g)  Not later than September 1, 2015, the department shall | 
      
        |  | submit an initial report to the select committees. The report shall | 
      
        |  | provide information necessary for the select committees to review, | 
      
        |  | study, and evaluate the factors described by Subsections (d)(1), | 
      
        |  | (2), and (3) of this section.  Not later than November 1, 2015, the | 
      
        |  | department shall submit to the select committees a preliminary | 
      
        |  | report on the remaining factors described by Subsection (d) of this | 
      
        |  | section. | 
      
        |  | (h)  The department shall submit reports to the select | 
      
        |  | committees on any other matters not included in Subsection (d)  of | 
      
        |  | this section as requested by the committees. | 
      
        |  | (i)  This section expires January 13, 2017. | 
      
        |  | SECTION 4.  Section 201.117, Transportation Code, is | 
      
        |  | repealed. | 
      
        |  | SECTION 5.  This Act takes effect immediately if it 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 | 
      
        |  | Act takes effect September 1, 2015. |