Tolling authority for I-80.

20LSO-0139
2020
STATE OF WYOMING
20LSO-0139
Numbered
2.0

SENATE FILE NO. SF0006

Tolling authority for I-80.

Sponsored by: Joint Transportation, Highways & Military Affairs Interim Committee

A BILL

for

AN ACT relating to highways; creating a tolling program; granting powers to the transportation commission; defining duties of the transportation commission and the department of transportation; granting tolling authority for interstate 80; providing for the review of tolling plans; creating an account; granting bonding authority; requiring accounting and reporting; authorizing loans from the state highway fund; providing rulemaking authority; allowing assistance between state agencies; and providing for an effective date.

Be It Enacted by the Legislature of the State of Wyoming:

Section 1.

W.S. 24
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16
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101 through 24
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16
‑
114 are created to read:

CHAPTER 16
TOLLING
ARTICLE 1
INTERSTATE 80 TOLLING PROGRAM, PLAN AND BONDING

24
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16
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101.

Purpose.

To finance, construct, operate and maintain interstate 80 and accommodate the needs of the traveling public through safe, efficient, convenient and modern vehicular traffic it is necessary and in the public interest to provide for the financing, construction, operation, regulation and maintenance of interstate 80 under a tolled configuration. The tolled configuration will allow interstate 80 to be maintained and to be operated in a way that will reduce traffic congestion, delays, hazards, injuries and fatalities. To carry out these purposes, it is necessary to authorize the Wyoming transportation commission, with legislative oversight, to create and supervise a tolling program within the department of transportation to impose tolls and exercise other powers regarding interstate 80 that are necessary, equitable and appropriate.

24
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16
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102.

Definitions.

(a)

As used in this chapter:

(i)

"Account" means the special toll revenue account created by W.S.

24
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16
‑
105;

(ii)

"Bond" means notes, warrants, bonds or temporary bonds issued under this chapter;

(iii)

"Chief engineer" means the person appointed by the director of the department of transportation in accordance with W.S. 24
‑
2
‑
106;

(iv)

"Commission" means the Wyoming transportation commission;

(v)

"Construct" or "construction" means the planning, designing, engineering, right
‑
of
‑
way acquisition, installation, construction or reconstruction of interstate 80;

(vi)

"Department" means the department of transportation;

(vii)

"Director" means the director of the department of transportation;

(viii)

"Interstate 80" and "interstate 80 corridor" means the entire length of interstate 80 in Wyoming, or as specifically designated in the project master plan;

(ix)

"Local government" means a municipal or county government;

(x)

"Project" means all matters related to the planning, financing, construction, imposition, collection, operation and maintenance necessary for tolling on interstate 80 including construction, maintenance and improvements to existing or additional lane capacity and related highway improvements, maintenance and services as well as tolling infrastructure;

(xi)

"Project master plan" means a comprehensive plan for the project as required by this chapter;

(xii)

"Project phase" means a discrete portion of the project that may be constructed, operated, maintained or financed independently of other portions of the project;

(xiii)

"Toll" means compensation paid for the use of interstate 80, or any part thereof, by vehicular or other traffic;

(xiv)

"Tolling program chief" means the administrator of the tolling program housed within the department;

(xv)

"Toll revenues" means all revenues generated by the project.

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16
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103.

Authority to toll.

The department has authority to impose tolls on interstate 80 and take all other actions necessary for the project pursuant to a project master plan for which the legislature has passed authorizing legislation.

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16
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104.

Statewide tolling program creation.

Upon the legislature's enactment of authorizing legislation for the project master plan, the director, with the commission's approval, may operate a statewide tolling program that shall be limited to the project. The tolling program shall operate as a division of the department and the director shall, with the commission's consent, appoint a tolling program chief who shall possess qualifications as may be established by the commission. The tolling program chief shall oversee all aspects of the tolling program.

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16
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105.

Special toll revenue account.

(a)

There is created the special toll revenue account. All toll revenues received from the project shall be deposited into the account. All monies received pursuant to the authority of the commission to issue bonds for the project shall be deposited into the account. The account may contain separate subaccounts for each project phase for all toll revenue collected from each respective phase of the project and any monies from bonds issued for that phase. The department may deposit or permit others to deposit other monies into the account but in no event shall revenues from any tax otherwise available for general purposes be deposited into the account. All funds in the account shall be expended only for the repayment of debt for the project or as otherwise authorized under this chapter. All monies deposited into the account are continuously appropriated to the department for expenditures authorized by this chapter.

(b)

The state treasurer may invest all funds within the account as authorized by law. Any interest or revenues earned on the investment or deposit of monies in the account shall remain in the account and shall not be credited to the general fund. The state treasurer shall invest funds, or withhold funds from investment, and comply with all requirements of the internal revenue service and the bond indenture, so as not to interfere with the bonding provisions and bonding capacity granted in this chapter and to ensure that all bonds will remain tax free investments.

(c)

The department and state treasurer shall prepare an annual accounting of all funds deposited into the account and all other account activity for the joint transportation, highways and military affairs interim committee and the joint appropriations committee.

(d)

The commission shall have exclusive authority to approve budgets and the expenditure of monies from the account for the project. The department may expend monies in the account:

(i)

To pay for principal on bonds, as the bonds mature or are redeemed before maturity, for the purchase of the bonds, the payment of interest on the bonds or the payment of any redemption premium required to be paid when the bonds are redeemed before maturity;

(ii)

To fund the administration, planning, financing, construction, operation, maintenance or repair of the project and for the acquisition of land within the interstate 80 corridor required for the project unless the expenditure of these monies would reduce the account to an amount less than the amount that is pledged in the proceedings authorizing the issuance of bonds secured by the account.

(e)

The commission may transfer
nonrestricted
monies from the state highway fund to the account for the department's use in defraying expenses incurred for the project before the receipt of bond proceeds or toll revenues. When the department receives sufficient bond proceeds or toll revenues in the account to implement, operate and maintain the project on an annual basis, the department may use excess revenue from the account to reimburse the state highway fund for monies deposited into the account together with interest.

(f)

Once the department has paid the costs of constructing the project, including reasonable and prudent contingencies, paid all debt service on all bonds issued to finance the project and reimbursed the state highway fund for any state highway fund monies transferred to the account under this chapter, plus interest, the commission shall recommend to the legislature to adjust toll rates on the project so that toll revenues are as close as reasonably possible to the amount required for the ongoing operation, maintenance and necessary replacement of the project. If required under an approved project master plan, the rate may be set by the legislature to generate revenues necessary to fund any impact assistance program available to local governments.

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16
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106.

Toll highway project master plan; review.

(a)

The department shall develop a project master plan that includes:

(i)

The goals for the project;

(ii)

The physical project description;

(iii)

Construction phasing and estimated capital costs;

(iv)

The tolling approach and toll rate structure;

(v)

Operations and maintenance plans;

(vi)

Toll revenue projections and financial plans;

(vii)

Recommended civil penalties for failing to pay a toll when required or other violations of tolling requirements, the proceeds of which shall be applied to the operation of the project;

(viii)

Identification of persons or entities exempt from toll fees or toll requirements;

(ix)

Identification of means and methods to relieve owners of Wyoming registered vehicles of the financial impact of toll fees;

(x)

The feasibility of establishing a program that would provide impact assistance to local governments negatively impacted by tolling on interstate 80 including a detailed method for determining the assistance available to each local government and the time for delivery of the assistance;

(xi)

The application of criminal and traffic regulation laws to the project;

(xii)

The provision of any law enforcement and courtesy patrols for the project;

(xiii)

A public outreach program;

(xiv)

Any federally required information;

(xv)

Any other information necessary to implement the project.

(b)

Once the commission approves the project master plan, the plan shall be submitted to the joint transportation, highways and military affairs interim committee for consideration of any necessary legislation. Once the legislature enacts any legislation necessary to authorize the plan, the department shall submit the plan to the federal highway administration for their consideration. If the federal highway administration approves the plan without substantial changes as determined by the commission, the department shall implement the plan.

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107.

Commission powers and duties.

(a)

The commission shall have the following powers and duties regarding the project:

(i)

To direct the department;

(ii)

To develop and present for authorizing legislation the project master plan;

(iii)

To have authority to issue bonds;

(iv)

To make recommendations to the legislature for the establishment, increase or decrease of fees, tolls, rates and charges related to the project;

(v)

To establish, charge and collect fees and charges for the use of other property of the project, subject to an approved project master plan;

(vi)

To acquire, hold title to and dispose of real and personal property as necessary in the exercise of its powers and the performance of its duties;

(vii)

To acquire or cause to be acquired any necessary rights
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of
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way as provided by W.S. 24
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2
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102 and 24
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2
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109;

(viii)

To make and to enter into contracts or agreements, including intergovernmental agreements or agreements with private persons, necessary or incidental to the exercise of its powers and the performance of its duties;

(ix)

To employ or contract for the services of consultants for the rendering of professional, financial and technical assistance and advice;

(x)

To prepare or cause to be prepared the project master plan and to make recommendations for amendments to the project master plan;

(xi)

To plan, acquire, construct, operate, regulate and maintain the project;

(xii)

To construct, maintain and operate stations for the collection of tolls from the project as required by an approved project master plan;

(xiii)

To set and adopt, on an annual basis, a budget for the project;

(xiv)

To have authority to restrict specified vehicles from driving in designated lanes within the project based on the project master plan;

(xv)

To contract for and accept any gifts or grants or loans of funds or property or financial or other aid in any form from the federal government or any agency or instrumentality thereof, or from any other source;

(xvi)

Upon the issuance of any bond authorized by this chapter, to report to the state treasurer in such form as the treasurer may require, the terms of all bonds issued, including the maturity of the issuance and revenues pledged for the issuance and prior issuances;

(xvii)

To require not later than September 1 of each year after the legislature's authorizing legislation of the project master plan that the department present a report to the joint transportation, highways and military affairs interim committee and the joint appropriations committee. The report shall include a summary of the project's activities for the previous year, a statement of current toll rates, a summary of the status of any current construction or other development on the project, a statement of the project's revenues and expenses, a summary of the results of any evaluation of the project conducted by the department and any recommendations for toll rate or other modifications to the project master plan.

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108.

Rulemaking authority.

The commission and the department shall have the authority to promulgate rules necessary for the project and to carry out their obligations and duties under this chapter.

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109.

Bonds.

(a)

Subject to subsection (b) of this section, the commission may issue bonds in principal amounts the commission determines necessary to provide sufficient funds for achieving the tasks required by the project master plan and necessary for the project. All bonds issued under this chapter are negotiable instruments under the laws of the state unless expressly provided to the contrary on the face of the bonds.

(b)

The commission may issue and have outstanding bonds in an aggregate amount not exceeding the amount authorized in a project master plan authorized under W.S. 24
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16
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106(b).

(c)

All proceeds from the sale of bonds shall be deposited into the account.

(d)

All bonds issued by the commission under this chapter are payable solely out of special funds consisting of all or part of the account. Bond proceeds shall be used only for the project as provided in the project master plan. The bonds shall bear interest at the rates, be executed and delivered at times and in denominations, be of terms and maturities, be in bearer form or in registered form as to principal and interest or principal alone and bear manual or facsimile signatures and seals as determined by the commission.

(e)

Bonds may be payable in installments and may bear maturities not exceeding forty
‑
five (45) years from the date issued as determined by the commission.

(f)

Bonds and interest may be payable at a time or place whether within or without the state as determined by the commission. Bonds may contain other provisions not inconsistent with this chapter.

(g)

Any bonds issued by the commission may contain an
option to redeem all or any part as may be specified. The price of redemption, the terms and conditions and the procedure of notice shall be set forth in the proceedings of the commission and may appear on the face of the bonds.

(h)

Any bonds of the commission may be sold at, above or below par value, at public or private sale, in a manner and from time to time as the commission determines. The commission may pay legal fees, expenses, premiums and commissions that it finds necessary or advantageous in connection with the issuance and sale of the bonds.

(j)

Subject to the aggregate limits in subsection (b) of this section, additional bonds for a particular purpose may be issued provided the later issues shall recognize and protect any prior pledge made for any prior issue.

(k)

The commission may provide for the issuance of bonds under this chapter to refund any project bonds then outstanding, including the payment of any redemption premium and any interest or premium accrued or to accrue to, the earliest or subsequent date of redemption, purchase or maturity of the bonds. Refunding shall be accomplished in the manner prescribed by W.S. 16
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5
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101 through 16
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5
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119 to the extent it is not inconsistent with this chapter.

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110.

Bonds; security therefor.

(a)

The principal and interest on any project bonds issued by the commission may be secured by a pledge of any revenues authorized under this chapter for the applicable bonds. The bondholders may not look to any general or other fund for payment of the bonds except the revenues pledged therefor. The bonds shall not constitute an indebtedness or a debt within the meaning of any constitutional or statutory provision or limitation. The bonds shall not be considered or held to be general obligations of the state but shall constitute its special obligations and the commission shall not pledge the state's full faith and credit for payment of the bonds.

(b)

Each pledge, agreement or other instrument made for the benefit or security of any project bonds is valid and binding from the time when made. The revenues and other monies pledged are immediately subject to the lien of the pledge without delivery or further act. The lien is valid and binding against persons having claims of any kind against the commission whether or not the persons have actual notice of the lien. Neither the resolution nor the indenture or other instrument by which a pledge is created need be recorded or filed.

(c)

The commission may provide in the proceedings under which bonds are authorized that any part of the project or project phase may be constructed, reconstructed or improved by the commission, and may also provide for the time and manner of and requisites for disbursements to be made for the cost of construction and for all the certificates and approvals of construction and disbursements as the commission considers necessary.

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111.

Exemption from taxation.

The exercise of the powers granted by this chapter constitutes the performance of an essential governmental function. The commission shall not be required to pay any taxes levied by any municipality or political subdivision of the state. The commission shall not be required to pay state taxes of any kind. The commission's projects, property and monies and any bonds issued under this chapter, and the income therefrom, shall be free from taxation of every kind by the state, municipalities and political subdivisions of the state.

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112.

Bonds as legal investments.

The bonds of the commission are legal investments that may be used as collateral for public funds of the state, insurance companies, banks, savings and loan associations, investment companies, trustees and other fiduciaries that may properly and legally invest funds in their control or belonging to them in bonds of the commission.

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113.

State pledge not to impair bondholder's rights and remedies.

The state pledges to the holders of any bonds issued under this chapter, that the state will not limit or alter the rights vested in the commission to fulfill the terms of agreements made with the holders, or in any way impair the rights and remedies of the holders until the bonds together with the interest, with interest on any unpaid installments of interest and all costs and expenses in connection with any action or proceeding by or on behalf of the holders are fully met and discharged. The commission is to include this pledge of the state in any agreement with the holders of the bonds.

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114.

Assistance by state agencies.

Upon the commission's request, any state agency may lend technical assistance, render advice and attend meetings with the directors and employees of the commission or the department as the commission requires in carrying out its functions and duties under this chapter.

Section 2.

W.S. 24
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1
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119 and 24
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8
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101 are amended to read:

24
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1
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119.

State highway fund created; income and expenditure.

There is created a fund known as the state highway fund, to the credit of which the state treasurer, who is designated as the state official to receive all amounts paid by the United States under the act of congress approved July

11,

1916, shall place all monies previously received for the fund, all money subsequently received from the United States, under cooperative agreements as authorized, all money derived from taxes levied for such purpose or appropriated for the fund, all monies received from the sale of state bonds for highway construction or improvement, all money received from the counties under cooperative agreements as hereinbefore authorized, and all other monies received from donations or bequests, which may be accepted by the commission on behalf of the state of Wyoming, or from any source designated by law for that purpose. All monies in the fund shall be available for the purpose of this act without further appropriation and no warrant shall be drawn on the fund excepting on a voucher approved by the director of the department of transportation or an assistant authorized by the director and approved by the transportation commission.
Except for bonds issued pursuant to W.S. 24
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16
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109 i
t is provided that seventy
‑
five percent (75%) of the amount of any bond issue subsequently issued by the state of Wyoming for the construction or improvement of state highways, after the payment of overhead expense, shall be apportioned to and spent in each county in the proportion which the assessed valuation of each county by the last general assessment bears to the total assessment of the state.

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8
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101.

Purpose, issuance and disposal.

For the purpose of providing funds for the construction and improvement of public roads and highways in Wyoming, the state treasurer, with the approval of the governor
,
is hereby authorized from time to time within the limits of the amount authorized by law to issue and dispose of bonds of the state of Wyoming to be designated as highway bonds.
Bonds issued under this chapter are separate and distinct from bonds issued under W.S. 24
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16
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109 for the purpose of interstate 80.

Section 3
.

This act is effective immediately upon completion of all acts necessary for a bill to become law as provided by Article 4, Section 8 of the Wyoming Constitution
.

(END)

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SF0006