HBA-CMT H.B. 2083 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 2083
By: Lewis, Glenn
Transportation
3/22/2001
Introduced



BACKGROUND AND PURPOSE 

The Dallas/Fort Worth International Airport is owned by the cities of
Dallas and Fort Worth, but the airport's property is located within the
municipal boundaries of Grapevine, Irving, Euless, and Coppell. Because the
airport is within their boundaries, these municipalities receive a
significant amount of tax revenue from activities on property of the
airport that Dallas and Fort Worth do not receive.  Several years ago, the
Joint Airports Policy Committee directed the airport to initiate
discussions with these cities in hopes of reaching an agreement to share
taxes that are generated on airport property.  After several months of
negotiations, the cities of Dallas and Fort Worth secured tax-sharing
agreements with the cities of Euless and Irving. Dallas and Fort Worth,
however, still seek to enter such an agreement with Grapevine.  House Bill
2083 requires each non-constituent municipality with property in a county
or municipal airport to pay the constituent agencies of the airport
two-thirds of the excess airport revenue received by the nonconstituent
municipality.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 2083 amends the Transportation Code to require each
non-constituent municipality  no later than March 31 of each year to pay to
the constituent agencies of a county or municipal airport an amount equal
to two-thirds of the non-constituent municipality's  excess airport
revenues for the preceding calendar year. The constituent agencies are
required to divide the payment according to their respective ownership
interests in the airport.  The bill requires each non-constituent
municipality to retain an independent auditor to verify the non-constituent
municipality's excess airport revenue each year. The constituent agencies
are required to reimburse each non-constituent municipality for two-thirds
of the cost of the verification. The bill requires the portion of the
reimbursement to be paid by each constituent agency to be based on the
respective ownership interests in the airport.  Once each calendar year,
each constituent agency is authorized to audit a non-constituent
municipality's records relating to the excess airport revenue at the sole
expense of the constituent agency.  Each non-constituent municipality is
required to determine the amount of the municipality's airport revenue
according to available statistical data indicating the estimated or actual
total revenue attributable to that portion of the municipality that lies
within the boundaries of the airport.  

EFFECTIVE DATE

September 1, 2001.