HomeMy WebLinkAboutResolution 2200A Resolution ~~~~
ENDORSING THE ESTABLISHMENT OF A
NORTH TEXAS TOLLWAY AUTHORITY
WHEREAS, the Sunset Advisory Commission is reviewing the Texas Department of Transportation
(TxDOT) and the Texas Turnpike Authority (TTA) and there is legislative intent to consolidate the
two agencies and
WHEREAS, North Texas mobility would be best served by the North Texas assets and operations of
the TTA remaining in the Dallas-Fort Worth region, and
WHEREAS, continued efficient toll road development is an integral component of the regional
mobility plan for North Texas and
WHEREAS, maintaining mobility m the Dallas-Fort Worth area is unportant to the economic vitality
of the state and the region, and
WHEREAS, a tollway authority in Austin within or closely associated with TxDOT can be
established to serve the tollway needs of Texas outside of Harris County and the Dallas-Fort Worth
region.
NOW, THEREFORE, BE IT RESOLVED, BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TEXAS, ~ ____ - -------._. _
1 That the City of Fort Worth endorses the efforts of the North Texas Tollway Coalition which
is a coalition of public and private officials and leaders in Collin, Dallas Denton, and Tarrant
Counties and hereby supports the effort of the Coalition to work together to establish a North
Texas Tollway Authority
2 That the Sunset Advisory Commission, TxDOT TTA and the Texas Legislature be and hereby
are urged to support the establishment of a North Texas Tollway Authority which incorporates
the assets liabilities and operations of the existing TTA relating to existing and future North
Texas toll facilities
3 That copies of this resolution be furnished to the Sunset Advisory Commission, the leaders and
district representatives of the Texas House and Texas Senate TxDOT TTA and the North
Texas Tollway Coalition.
Adopted this 30th day of July 1996
Mayor Kenneth Barr
ATTEST
City Secretary
0
APP~ROVE~
CITY CO~V~~~
~ 19~
CITY OF F08T 11/ORTS
c~~ir~r~ w~~,~s
A coalition of public and private officials and leaders in Collin, Dallas, Oenton and Tarrant Counties
formed to support the establishment of a North Texas Tollway Authority
Co-Chairmen:
The Honorable
Ron Harris,
Collin County
The Honorable
Lee Jackson,
Dallas County
The Honorable
Jeff Moseley,
Denton County
The Honorable
TomVandergriff, ~he ~~® osal ~o~ 11
Tarrant County
North Texas Tollway Authority
•
Issues and Answers
7th Edition
P.O. Box 610246 OFW Airport Texas 75261 Metro (214] 621-0400 Fax (214] 929-0916
RECEIVED .tui 0 5
NORTH TEXAS COMMISSION
TO• NTC Board and Friends
Metroplex City Managers
Metroplex Chamber Exeeuhves
FROM. Dan S Petty
DATE July 3 1996
SUBJECT North Texas Tollway Coalition
Since being formed, the NTTC has been active on a number of fronts and it was felt that providing
you with an update would be useful.
The North Texas Tollway Coalition is a coalition of public and private officials and leaders in Collor,
Dallas, Denton and Tarrant Counties formed to support the establishment of a North Texas Tollway
Authority
The proposal for a North Texas Tollway Authority (copy attached) has been developed by the
Coalition and is being distributed to and discussed by interested parties in the region and throughout
the state.
Presentations of the proposal have been made to the Sunset Advisory Commission, the
Transportation Committee of theTexas House of Representatives, and various state officials.
A not-for-profit corporation, Tollways for North Texas, Inc., has been organized to raise funds to
support the efforts of the North Texas Tollway Coalition to establish a regional tollway authority in
the 1997 session of the Texas Legislature.
For more information about the Coalition or how you might support its efforts, please contact Vic
Suhm or me at 214/621-0400
Thank you.
• Enclosure
:.!"
1 of 6
The Current Situation
There are presently two tollway authorities operating. in Texas The Texas
Turnpike Authority (TTA) and the Harris County Toll Road Authority
TTA is a state agency based in Dallas, established by the Legislature in 1953
tts first project was the Dal{as-Fort Worth Turnpike, which is now 1H-30 TTA
currently operates two projects the Mountain Creek Lake Bridge and the Dallas North
Tolwway (DNT) The President George Bush Turnpike (SH 190T) and the Addison
Airport Tunnel are being built now as extensions of the DNT The TTA has 235
employees and a S 14 million annual budget, funded exclusively from toll revenues
Harris County formed its toll authority in 1983 as a means of responding
directly and quickly to its rising roadway congestion problem Since then the Harris
County Toll Road Authority has built 50 miles of tollways in the Houston metropolitan
area and plans to construct an additional 32 miles
TTA has studied the feasibility of toll roads outside of the Dallas Fort Worth
region but has built none except for the Houston Ship Channel Bridge which was
transferred to the Harris County Toll Authority in 1994 TTA currently is considering
or performing feasibility studies for 12 potential tollway projects 6 within and 6
outside the DFW metropolitan area
What s wrong with the status quo wh y consider TTA changes now?
TTA has been very effective over the past 43 years in responding to the needs
of North Texas communities and in building and operating successful projects but
there is now growing pressure to broaden the TTA focus beyond North Texas and to
merge TTA with TxDOT
• Increased interest in looking to toll revenues to finance all or part of feasible
roadway projects arises from the declining ability of traditional funding sources
(motor vehicle fuel tax and registration fee) to meet the State s transportation
needs TxDOT is now able to fund only about 40% of its project development
needs
• When a major tollway project in Austin San Antonio or elsewhere in Texas is
initiated in the near future there will be even greater pressure for an Austin-
based tollway development authority within or closely aligned with TxDOT
• The Legislature in 1991 declared its intention to consolidate TTA within TxDOT
• on September 1 1997
• Both TTA and TxDOT are currently undergoing Sunset review
2of6
The Sunset Advisory Commission staff issued a report in April, 1996 stating
that a separate agency to develop toll roads is not needed and recommending
that the Legislature consolidate the functions of TTA within TxDOT The
Commission itself has not yet stated a position on the issue--it should do so the
last week of August, 1996
. TxDOT wants authority for bonding and tolling as a means of meeting Texas
transportation needs and sees a merger with TTA as the method to obtain this
additional authority
What are the probab/e imp/ications of TTA merging with TxDOT?
A TTA merger with TxDOT without a simultaneous creation of a North Texas
Tollway Authority to operate the existing TTA projects and to develop additional North
Texas toll roads has several probable implications which have negative consequences
for the Dallas Fort Worth metropolitan area
• toll road decision-making moving from Dallas to Austin
reduced access to key officials
• decreased responsiveness to North Texas mobility needs
longer project development time periods and possibly higher project costs
• increased likelihood of efforts to divert revenues from tolls paid by North Texas
motorists to develop toll roads outside the Dallas Fort Worth region
/s the main objection to TTA conso/idation within TxDOT that Da//as North To//way
reserve funds wi// be redistributed around Texas?
No The proposed TTA TxDOT merger would mean a loss of regional influence
as the final authority for North Texas toll projects would be moved from Dallas to
Austin but it would not necessarily change the use of bond funds which are
committed to each toll project by the bond covenants Although the use of funds
might not be changed initially it would open the door for future pressures to change
the laws or future bond agreements to allow transfer of funds
Why create a North Texas To//way Authority in 1997?
In light of the current Sunset review of TTA and TxDOT and TxDOT's desire
to obtain bonding/tolling authority the 1997 legislative session may be the
opportune time to negotiate a permanent resolution of the issue that will
protect the independence of the North Texas projects while transferring to
Austin the toll project development role for the rest of the State
3of6
Like Houston the Dallas-Fort Worth metropolitan area needs a toll authority
which can focus exclusively on its roadway needs Toll roads account for over
$1 billion of the 20-year regional transportation plan for North Texas They are
an essential component of regiona{ mobility and must be able to be analyzed far
feasibility designed and constructed as efficiently as possible
What is the North Texas proposa/ to create a regional tollway authority?
. a proposal sponsored by Collin Dallas Denton and Tarrant counties and
endorsed by numerous cities chambers of commerce and other organizations
in the Dallas Fort Worth metropolitan area
a governing board of North Texas residents appointed sponsored by Collin
Dallas Denton and Tarrant counties with details of the administrative structure
to be established by statute in the 1997 session of the Texas Legislature
transfer of all assets and liabilities of the existing TTA to the new North Texas
Tollway Authority (NTTA) including all TTA staff equipment, facilities the
Mountain Creek Lake Bridge project and the Dallas North Tollway project (which
includes the Addison Airport Tunnel and President George Bush Turnpike projects)
assumption and continuation of all current TTA construction and professional
services contracts so that no delay occurs in any project currently under
feasibility study design or construction
• transfer of TTA feasibility study funds to its successor agency in Austin in sufficient
amount to continue studies of pending tollway projects outside North Texas
retirement or assumption of all existing TTA debt
• continued utilization of all TTA assets and revenues exclusively to operate
maintain and develop existing and future tollway facilities
What are the advantages to the Dallas Fort Worth area of transitioning from the TTA
to the NTTA?
• more aggressive local support for new tollroad projects due to a board of local
leaders who will share responsibility with local governments to find solutions
to transportation funding shortages
ability of professional staff to focus exclusively on development of local
projects without additional responsibility for travel and development of projects
in other parts of Texas
• dedication of regional tollway user fees to regional tollway needs resolving
political struggles over diversion of current and future .North Texas
transportation revenues
4 of 6
~ potential for increased flexibility and interest-rate savings by adding new
regional projects as part of a tollway system in North Texas rather than
financing separate projects
How might the NTTA benefit TxDOT and the State of Texas?
more aggressive leveraging of potential NTTA revenues to assist TxDOT in
meeting some of the billions of dollars of unmet highway needs in North Texas
which are beyond current and projected TxDOT funding abilities
with legislative approval new tollway development and revenue bond
capabilities in Austin to focus exclusively on Texas tollway projects outside of
the Houston and Dallas Fort Worth areas
• NTTA would have operational responsibilities for the existing TTA projects freeing
TxDOT of the distraction of administering these operating projects from Austin
The toll projects are very different from highway construction and maintenance
Dallas Fort Worth continues to have most of the feasibility studies of future
tollway projects and will continue to dominate the staff attention of a single
statewide toll agency if the NTTA is not established
Are there any other regional to/lway authorities in Texas?
• Yes, the Harris County Toll Road Authority serves the Houston metropolitan area
• The Harris County Toll Road Authority was established in 1983 and has
functioned very effectively having built 50 miles of tollways with plans to build
another 32 miles
• The Houston Ship Channel Bridge was developed by the TTA In 1994 it was
transferred to the Harris County Toll Authority just as the North Texas proposal
now suggests that the Mountain Creek Lake Bridge and Dallas North Tollway
be transferred to a new NTTA in 1997
Why should Da//as Fort Worth and Houston have their own toll authorities?
Their roadways are the most congested in Texas only DFW and Houston have
a Roadway Congestion Index above 1 0
. The level of roadway congestion in DFW and Houston is among the ten highest
in the U S and continues to rise
• . To ether DFW and Houston com rise over 50% of the Texas economy and
9 p
Dallas Fort Worth produces more population and job growth than any other
Texas region which further increases its roadway congestion
5of6
How cou/d the proposed North Texas To//way Authority serve the to// road needs in
counties adjacent to Co//in, Da//as, Denton and Tarrant?
The future may bring a need for toll roads in the adjacent counties For
example the Southwest Parkway in Fort Worth may be built as a toll road and at
some point could extend to Cleburne in Johnson County? The North Texas Tollway
Authority will have the legal authority to operate in any county and therefore could
accommodate this extension by way of an interlocal service agreement with Johnson
County This has happened in Houston where the Harris County Toll Road Authority
has extended tollways into Montgomery and Fort Bend counties
Shou/d the North Texas area pay the State of Texas some calculation of fair market
value for TTA assets?
Local governments believe it is not logical for the motorists in North Texas to
purchase any TTA assets from the State because
• All existing TTA assets were acquired ~or developed with revenues derived
solely from tolls paid by North Texas motorists i e North Texans have already
paid for the TTA assets
• County governments are an arm of the state government and have a
responsibility to assist the State in developing the surface transportation
system The assets will be transferred from one public agency to another
public agency and used exclusively for the sole purposes for which they were
initially acquired or developed
• No state tax revenue has been appropriated to TTA or invested in TTA assets
except the recent investment in the 190/Bush Tollway which was a significant
reduction from its cost as a state highway
• The Dallas Fort Worth area has a backlog of 56 billion of unfunded highway
protects which TxDOT is requested to fund Aggressive development of tollroads
will help address this state responsibility and there is no logic in requiring the
diversion of any of these dedicated North Texas transportation resources
Why doesn t North Texas just create a to/l authority and put its own money into to//
roads like Houston did?
Since the TTA has an existing staff in place in North Texas there has been no
reason to duplicate these administrative costs Harris County did have a bond election
in which voters approved a property tax levy to build toll roads but it has never had
to use this tax authority because toll revenues have been sufficient to cover the debt
service on its revenue bonds While an ad valorem tax was approved in Houston the
• tax was never actually levied and collected North Texas counties have the same
option available They can seek voter approval of a tax to supplement toll road
revenues if there should ever be a need to do so if some future project should require
local funding above and beyond estimated toll revenues
6 of 6
What are the arguments against creating a North Texas To//way Authority?
The TxDOT Argument
• Full consolidation of TTA and TxDOT without an NTTA would give TxDOT
direct and ultimate control when developing toll projects -an optimum
concentration of responsibility for toll road development in one agency TxDOT
would not have to work with a separate toll authority eliminating unnecessary
duplication and non-essential coordination
Response
• There will always be a need to coordinate highway planning with local
governments NTTA can perform this coordination function better than TxDOT
because it is closer to and more involved with the local governments in North
Texas Many toll projects just like the President George Bush Turnpike involve
multiple local governments TxDOT would be better off coordinating with one
agency the NTTA than with several local governments This coordination has
worked in a satisfactory manner in Harris County and TxDOT does not propose
to consolidate the Harris County Toll Road Authority
The Sunset Commission Staff Argument
• Partial consolidation of TTA s toll authority with TxDOT would not provide the
same benefits as a full merger and the state as a whole would be better served
by having one agency responsible for planning and construction for both toll
and traditional highway projects
Response
• Neither the benefits of a single statewide toll authority or the drawbacks of a
partial merger were specifically itemized by the Sunset staff but North Texas
local officials do not accept the implication that a single agency would be
inherently better for Texas or for North Texas
The Reduced Bureaucracy Argument
• Mergers generally have the benefit of reducing overhead costs
Response
• In the case of TTA administrative costs are minimal making any cost reduction
from full consolidation with TxDOT negligible
•
Jul-03-96 16 41 J McCarley/D Griffin 214-404-9721 P 02
C
•
RESOLUTIONS AND LETTERS
SU>'PORTING REGIONAL TOLL AUTHORITY
qty oraaai~n
City of Allen
City of Carrdkoa
City of Cedar SW
City of Coppd!
Collin County
City of Dallas
Dallas County
Dallas Regions! Mobility Coalition
Denton County
City of Desoto
City of DuueanvWe
$l!i!{ County
Clty of Farmers Branch
Fort Worth Chamber of Commerce
City ort Zzrisco
City of Garland
City of Grand Prairie
Town of Highland Park
City of Irving
City of McKinney
City of Mesq~ilte
City of No~rtli liicliland HWs
North Te:as Commission
N. Texas Regional Transportation Task Forco
NTC/COG Regional Transportation Council
City of Plano
City of Richardson
City of Rowlett
City of Saebee
Tarrant County
City of University Park
Colleyville Area Chamber of Commerce
Deltas Cltlzens Council
Greater Daiias Chamber of Commerce
North Deltas Chamber d Commerce
N.E. Tarrant County Chamber of Commerce
Piano Chamber of Cot+amerce
Rowlett Chamber of Commerce
Whice gettlement Area Chamber of Commerce
~+las Mor~oiaQ.News EditoriaUArtick
Richardson Dally News Editorial
~,g Garland L+I~s Editorial
Wt7/46
s:@loov~r.
Seaatoe John Carona
8enetor Jane Nelson
Senator Florence Shsplrn
Representative Ray Alley
Represe~atatlve Joe Driver
Representative Harryette Ehrhardt
Itepreeentative Helen Giddings
Representative Wql Hartnett
Representative Jerry Madden
Representative Brian McCall
Rept~eeentative Ehdra Reyna
laegresentative Burt Solomons
Representative Dale Tklery
Representative Steven Wokns
•
Jul-03-96 16 42 J McCarley/D Griffin 214-404-9721 P 03
0618/1996 08 14 2146636686 LEE F JACK80N PAGE 02
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tines Notes
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C9o+~+entior t9earga sash Tbes gioaarable 1b3~ V
Covosaar Bob Bul]4Clc
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•
Jul-03-96 16 43 J McCarley/p Grif-f'in 214-404-9721
m
DALLAS AREA LE018LAT1YE DELEGATION
June 1996
Mr David Laney, Chairman
Texas Transportation Commlasion
Dewitt C. Greer State Highway Building
12b East 11th Street
Austin, YX 78701-2483
Mr .1ere W Thompavn, Jr Chairman
Texas Turnpike Authority Board of Directors
3015 Raleigh Street
R O. Box '190365
Dallas, TX 75219
Dear Chairman Laney and Chairman Thompson:
P 04
We feel strongly that North Texas and the State of Texss will be served best by estabtlshing a separais
,North Texas Regional Toll Authority .enabling TxDOT and TTA to provido for an appropriate statewide
toll authority in Austin
Wa urye the Texas Departm®nt of Transportation and Texas Turnplko Authority to rscognizQ the
benefit of a North Texas entity that will assume the same flnanCial reaponslblllty and Isadorahip in
North Texas provided by the Harris County Toll Road Authority in the Houston area.
We will be supporting this proposal In the Sunset review process and in the 1997 legislative ses$ion
_ and w6 hope to be able to work cooperatively with your agencies to continue to improve the
transportation system aorvlny North Toxas and the entire State of Texas.
Sincerely
~~ ~
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~~.~~ ,
~~