Overall Vote Recommendation

Neutral

Principle Criteria

Free Enterprise

Property Rights

Personal Responsibility

Limited Government

Individual Liberty

Digest

SB 1555 establishes a grant program administered by the Texas Department of Transportation (TxDOT) to fund railroad grade separation projects. The purpose of the program is to enhance public safety, improve traffic flow, and promote economic development by addressing intersections where railroads and public roadways or pedestrian crossings meet. The grants will be available to local governments for projects that are not part of the state highway system.

To ensure local financial participation, the bill mandates that at least 10% of total project costs must come from non-state sources, such as local government funding or private contributions. The program will be funded through legislative appropriations, gifts, and federal grants, but it explicitly prohibits the use of the state highway fund. Local governments that receive funding must delegate project management to TxDOT, which will oversee contracting, planning, and construction to ensure compliance with state and federal laws. The Texas Transportation Commission will adopt rules to govern the grant program’s implementation.

The Committee Substitute for SB 1555 introduces several key changes to the originally filed version, primarily affecting grant eligibility, funding requirements, and project oversight. One of the most significant differences is the removal of railroad companies as eligible grant recipients. While the original bill allowed both political subdivisions and railroad companies to apply for funding, the revised version limits eligibility strictly to local governments, shifting the program’s focus toward public sector-driven infrastructure projects.

Another major change is how grant funds interact with other sources of funding. The original version permitted recipients to use state grant money as matching funds to leverage additional financing from other sources. However, the committee substitute eliminates this provision, requiring grant applicants to secure non-state contributions upfront before applying. This adjustment ensures local financial investment but may limit the ability of smaller communities to participate if they struggle to raise the required funds independently.

Additionally, the committee substitute expands TxDOT’s oversight role in managing awarded projects. Unlike the original bill, which was silent on project management, the revised version requires local governments to designate TxDOT to handle contracting, planning, and construction. This change increases state control over project execution, potentially improving consistency but reducing local autonomy. Lastly, the revised bill removes the strict deadline for the Texas Transportation Commission to adopt program rules, providing more flexibility in implementation. These changes collectively increase state oversight and financial accountability but also reduce direct private sector participation and local control in project execution.

Author

Robert Nichols

Carol Alvarado

Co-Author

Nathan Johnson

Contact the Author

Sen. Robert Nichols

Capitol Phone:

(512) 463-0103

Capitol Office:

EXT E1.704

E-Mail:

[email protected]

Visit Official Website

Fiscal Notes

The fiscal implications of SB 1555 are uncertain because the bill does not include a direct appropriation of funds. Instead, it provides the legal framework for potential future appropriations by the Texas Legislature and allows the Texas Department of Transportation (TxDOT) to fund the grant program using gifts and grants, including federal funds. However, because the amount and timing of these appropriations and external funding sources are unknown, the total fiscal impact on the state cannot be determined at this time.

From an administrative perspective, TxDOT has indicated that the costs associated with managing the grant program could be absorbed within existing resources, meaning no significant additional funding would be required for agency operations. However, the actual cost of the grant awards themselves would depend on how much the legislature chooses to appropriate and how much funding is obtained from gifts and grants.

For local governments, the fiscal impact is also uncertain. While the bill requires at least 10% of project costs to be provided by a non-state source, the total amount of local funding needed will vary based on the size and number of projects awarded grants. Some local governments may face significant financial burdens if they must provide matching funds for large-scale infrastructure projects, particularly in areas with limited local revenue sources.

Vote Recommendation Notes

SB 1555 proposes the creation of a grant program under the Texas Department of Transportation (TxDOT) to fund railroad-grade separation projects at public roadways and pedestrian crossings that are not part of the state highway system. The bill aims to improve public safety, reduce congestion, and enhance economic development by addressing key rail intersections. The program requires local governments to provide at least 10% of project costs from non-state sources and prohibits the use of the state highway fund for these grants. Additionally, TxDOT is tasked with managing contracting, planning, and construction for awarded projects.

From a fiscal standpoint, the overall impact is uncertain, as the bill does not appropriate funds but allows for potential legislative appropriations, gifts, and federal grants to finance the program. The requirement for local matching funds ensures some level of shared financial responsibility, but it may also limit participation from smaller municipalities with fewer resources.

The bill increases TxDOT’s oversight role, potentially reducing local control over project execution. Given the bill’s potential benefits and administrative trade-offs, Texas Policy Research remains NEUTRAL on SB 1555, as its impact will largely depend on future funding levels and implementation details.

Related Legislation

HB 3727 (Same As)

View Bill Text and Status