LaredoBuzz.Com

Courtesy Raul Leal,

AUSTIN – State transportation officials today approved 11 projects around the state that will be funded by TxDOT’s pass-through finance program.   The Texas Transportation Commission approved the list of projects, estimated at $280 million in state investment, at its monthly meeting.   Pass-through financing allows local municipalities or private entities to pay for costs to build a transportation project and get reimbursed from the state as the transportation project becomes operational.  It lets local officials reprioritize and accelerate projects important to the region.

“We were fortunate to receive so many worthwhile applications for projects from around the state,” said John Barton, Assistant Executive for engineering Operations.

“The projects we will advance through this program will greatly benefit our state transportation system.  These types of partnerships are very helpful in stretching our limited funding further to do more work for Texas.”

Earlier this month, the commission added a provision that limits the liability of both TxDOT and partnering public entities in the event of project cost overruns or underruns into all pass-through finance agreements.  If any funding is available at the end of these negotiations, other projects will be selected for funding from this program, up to a maximum of $300 million in total state investment.   

TxDOT issued a program call earlier this year, which led to this final selection of projects.

Contracts will be negotiated and executed with the local entities to determine reimbursement schedules, developed as part of each individual pass-through finance agreement.

Pass-through financing is a tool the state created to stretch limited transportation funds allowing local communities to fund up-front costs for constructing a state highway project. The state then reimburses a portion of the project costs to the community over time by paying a fee for each vehicle that utilizes the transportation facility.
 
Pass-through finance agreements allow local communities to get needed transportation projects financed and built earlier than traditional funding will allow.

TxDOT can consider pass-through finance agreements with a Regional Mobility Authority, regional transportation authority, county, city, public or private entity.

Projects selected for this program call include:

Project location                            State investment $
State Highway 195 and State Highway 201 – City of Killeen                $14.0 million
Loop 1604 – Bexar County                                                                                $31.3 million
Farm to Market 659 – Camino Real RMA (El Paso)                                 $38.2 million
State Loop 20/Spur 400 – Webb County/City of Laredo                     $15.8 million
State Highway 26 – City of Colleyville                                                          $19.1 million
Interstate 35 (Northbound frontage) – Williamson County                 $10.9 million
State Highway 36/State Highway 36 and FM 2004 – Brazoria County     $15.8 million
State Highway 32 – Cameron County RMA                                                 $34.5 million
RM 1431 – City of Cedar Park                                                                            $10.6 million
State Highway 365 – Hidalgo County RMA                                                 $70.0 million
Farm to Market 1409 – Chambers County                                                  $20.0 million
                                        $280 million