According to the Legislative Budget Board (LBB), the fiscal impact of HB 5453 cannot be determined because detailed cost information is not available for all of the transportation projects required by the bill. The legislation directs the Texas Department of Transportation (TxDOT) to plan, environmentally review, design, and construct 19 specified transportation projects, while also requiring the department to ensure adequate maintenance of the state highway corridor between Eagle Pass and Laredo.

TxDOT estimates that implementing the bill would involve work on a total of 20 transportation projects, consisting of nine projects on the state highway system and eleven projects off the state highway system. For the nine on-system projects, TxDOT identified an estimated funding gap of approximately $2.4 billion for eight projects but does not yet have a cost estimate for the remaining project. For the eleven off-system projects, the department estimates approximately $900 million in costs for three projects, while cost estimates are not yet available for the remaining eight projects. Because many of the required projects have not yet been fully designed or costed, the LBB concludes that the total state fiscal impact is indeterminate.

The fiscal note also explains that state law generally prohibits the exclusive use of state funds to construct roads that are not part of the state highway system. As a result, implementation of several projects is expected to require financial participation from federal, local, or private funding sources. However, the availability and amount of those non-state funding sources are currently unknown, creating additional uncertainty regarding the bill's overall fiscal impact.

Finally, the LBB states that the fiscal implications for local governments also cannot be determined. Because some of the specified projects are located off the state highway system, local governments may be required to contribute funding toward those projects, but the amount of any required local participation cannot be estimated at this time.

HB 5453 contains several positive transparency measures, including requiring the Texas Department of Transportation (TxDOT) to notify legislators when major road projects are selected for funding and completed, and continuing to prioritize projects that maintain or improve existing state infrastructure within the Unified Transportation Program. These provisions promote legislative oversight and accountability without creating additional regulatory requirements for private individuals or businesses.

However, the Committee Substitute also substantially expands legislative involvement in transportation planning by directing TxDOT to develop and construct a lengthy list of specifically identified transportation projects. Rather than relying on the department's established planning and prioritization process to allocate limited transportation resources based on statewide needs, the bill statutorily mandates the advancement of particular projects. This expands the scope of government decision-making in project selection, reduces administrative flexibility, and establishes a precedent for directing infrastructure investments through statute rather than objective planning criteria.

The bill also exposes taxpayers to significant but uncertain fiscal obligations. According to the Legislative Budget Board, TxDOT has identified approximately $2.4 billion in funding gaps for most of the specified state highway projects and approximately $900 million in estimated costs for several off-system projects, while many additional projects have not yet been fully costed. Because the legislation provides no dedicated funding source and the total cost cannot yet be determined, it creates substantial long-term fiscal uncertainty for both the state and, potentially, local governments.

While the bill does not materially increase the regulatory burden on individuals or businesses, its expansion of state-directed transportation planning and its significant potential taxpayer exposure outweigh the benefits of its transparency provisions. For these reasons, Texas Policy Research recommends that lawmakers vote NO on HB 5453.

• Individual Liberty: The bill does not impose new mandates, prohibitions, penalties, or restrictions on individuals. Its provisions primarily govern the internal operations of the Texas Department of Transportation (TxDOT), including project planning, legislative notification, and the prioritization of transportation projects. Because it neither expands nor restricts individual rights, its impact on individual liberty is neutral.
• Personal Responsibility: The legislation does not alter incentives related to personal decision-making or shift responsibilities between individuals and the state. It neither creates new public benefits nor reduces individual accountability. Instead, it focuses exclusively on state transportation planning and project execution, resulting in a neutral impact on personal responsibility.
• Free Enterprise: Although the bill does not create new regulations on private businesses, it directs TxDOT to undertake a statutorily prescribed list of transportation projects rather than allowing projects to be prioritized through existing planning processes. This legislative allocation of public infrastructure resources may reduce competitive prioritization and flexibility in how transportation investments are made. Additionally, the bill commits substantial public resources to specific projects without establishing broader market-oriented criteria, resulting in a negative impact on free enterprise.
• Private Property Rights: The bill does not modify eminent domain authority, alter land-use regulations, or impose new requirements on private property owners. While some transportation projects authorized by the bill could eventually involve property acquisition under existing law, the legislation itself does not expand those authorities or otherwise affect private property rights. Accordingly, its impact is neutral.
• Limited Government: The bill expands the role of state government by directing TxDOT to plan, prioritize, and construct numerous specifically identified transportation projects through statute rather than relying on the department's established planning and prioritization process. It also creates potentially significant long-term taxpayer obligations without a dedicated funding source, with the Legislative Budget Board concluding that the total fiscal impact cannot yet be determined. While the bill does not create a new agency or regulatory program, it increases legislative direction over executive functions and expands state commitments to infrastructure spending. As a result, the bill has a negative impact on limited government.

• SB 35 (Similar To)