Texas DOT to Consider New El Paso-Area Mobility Authority

DALLAS — The agenda for the Texas Transportation Commission’s monthly meeting Thursday includes such items as consideration of a new regional mobility authority, a project proposal by the North Texas Tollway Authority, and a new concession deal in central Texas.

The potential public-private deal could lead to a new facility concession agreement that would allow Cintra Zachry LP to develop, build, finance, and operate segments of State Highway 130 through most of Travis, Caldwell, and Guadalupe counties.

Cintra Zachry last year won a concession deal with the state to build the first segment of the $150 billion Trans-Texas Corridor, which is ultimately expected to include six statewide corridors including toll roads, rail lines, and utility lines.

The TTC-35 project won by Cintra Zachry is expected to cost $6 billion and stretch across more than 300 miles. The company will operate the project for 50 years in exchange for a $1.2 billion upfront payment and some surplus revenues from the project.

Also on the agenda is a public sector “comparator” that would allow the Dallas-based North Texas Tollway Authority to present its proposal to develop, build, finance, and operate a stretch of State Highway 121 through much of Denton and Collin counties.

“As a public entity, the NTTA can’t participate in the bid process we use for private-public partnerships,” said James Bass, the director of finance for the Texas Department of Transportation. “This alternative process allows the authority to present to the commission its proposal for this project.”

Also on the commission’s agenda is the possible final approval for financing assistance that would help the Cameron County Regional Mobility Authority pay some preliminary costs for development of the so-called West Loop toll road, a 7.25-mile project running from U.S. Highway 77/83 to Palm Boulevard in the city of Brownsville.

The Cameron County authority is also asking for assistance with preliminary studies for the so-named Second Causeway project, which would provide a second route from the Corpus Christi area to South Padre Island. That project, also envisioned as a toll facility, would also provide a much-needed second evacuation route from the island in the event of a hurricane or other emergency.

The commission will also consider the creation of two new regional mobility authorities.

El Paso city officials have asked to form the Camino Real Regional Mobility Authority. The proposal has generated controversy in the El Paso community, including a letter to the El Paso Metropolitan Planning Organization from U.S. Rep. Silvestre Reyes, D-Tex., who opposes the formation of the RMA. Reyes said in his letter that he is concerned about the broad powers afforded such authorities, including debt issuance, the right of eminent domain, and an appointed board of directors rather than an elected board.

The petition by El Paso identifies as one potential project the completion of an outer loop around the city, which officials say will relieve congestion in the region.

The Texas Transportation Commission will also consider a request by Cherokee, Harrison, Rusk, and Upshur counties to join the North East Texas Regional Mobility Authority. The authority, which was created in 2004 by Gregg and Smith counties, has embraced the concept, but the commission is required to approve it as well.

The commission will also consider issuing a request for proposals from private entities wishing to develop, build, finance, and operate a 23.8-mile pass-through toll facility along U.S. 290 through much of Bastrop County to Lee County. The RFP would be issued in response to an earlier proposal by Zachry American Infrastructure.

State law requires the state to seek bids for projects included in all unsolicited proposals.

The commission will also consider granting preliminary approval to a loan request by the city of Haskell. The city has asked for a $500,000 loan from the State Infrastructure Bank to pay for water line adjustments on U.S. 277 and U.S. 380.

“We have a revolving loan program for highway projects,” Bass said. “We can also do grants and credit enhancement. In this case, the project is really too small to require debt issuance, so the city can come to us and we can negotiate with them on interest rates and other fees.”

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