Uresti’s county roads bill clears Senate Transportation Committee
AUSTIN — The Senate Transportation Committee on Wednesday approved a bill by Sen. Carlos Uresti designed to help counties repair and maintain roads that have been damaged by oil boom activity.
The committee voted 7-0 to send SB 1747, which would create County Energy Transportation Reinvestment Zones, to the Senate floor. So far six senators have signed on as co-sponsors of the bill, both Democrats and Republicans.
“County roads were not designed for oil patch trucks carrying fracking sand, water, and heavy equipment, and they’ve suffered tremendous damage over the last few years because of the surge in energy production,” Uresti said. “These roads must be kept in good shape, both for public safety and for continuing production activities.”
Under current law, counties are primarily responsible for the repair and maintenance of county roads. Uresti said energy-producing counties deserve financial help for their roads because the entire state is benefiting from the upsurge in oil and gas production in the Eagle Ford Shale region and the Permian Basin.
“If we allow these roads to continue to deteriorate, we could kill the goose that lays the golden egg,” Uresti said. “They must be made safe and durable for the driving public, whether you’re driving a small car or an oil patch truck.”
The Texas Department of Transportation estimates that a county road used for drilling one oil and gas well will endure the equivalent of 8 million passenger vehicles. In the Eagle Ford Shale region alone, 5,400 wells have been permitted by the Texas Railroad Commission. And according to a recent study by the University of Texas at San Antonio, a total of 24,000 wells can be expected in the region by 2022.
“The need is clear,” Uresti said. “Counties need immediate help and a long-term solution for these roads.”
SB 1747 would allow counties to create Energy Transportation Reinvestment Zones — designated areas where county roads have been damaged by oil and gas production activity. A county could apply for road repair funds based on its number of well completions, the number of weight tolerance permits, and the amount of severance taxes collected. A county would also have to provide its county roads report for the past two years and contribute a match of up to 10 percent for each repair or maintenance project.
Uresti envisions that the program would be funded by the state’s rainy day fund, which is comprised primarily of oil and gas severance tax revenues. That will require the passage of additional legislation.
A wide number of stakeholders have signed off on Uresti’s bill, including county officials and energy industry representatives.
The Texas Independent Producers and Royalty Owners Association and Texas Oil and Gas Association praised the approach at Wednesday’s hearing, calling it the most fiscally responsible they had seen.
Sen. Uresti represents Senate District 19, which covers more than 35,000 square miles and contains all or part of 17 counties, two international ports of entry, ten state parks, 51 school districts, almost 9,000 miles of highways and county roads, and more than 29,000 producing oil and gas wells. The district is larger than 11 states and 124 Nations, and contains almost 400 miles of the Texas-Mexico border.
