21-8 vote ensures toll funds are spent on roads and emergency services, not non-transportation projects
AUSTIN TX — The Texas Senate passed Senate Bill 2722 by Senator Paul Bettencourt (R-
Houston) in a 21-8-2 vote, refocusing how excess toll road surplus revenues are used in Harris
County to prioritize real road maintenance and public safety services over non-transportation-
related spending, and to recognize the $116M spent by the City of Houston on public safety.
“Since 2019, toll revenues in Harris County have been distributed based on political
formulas rather than actual road needs,” said Senator Bettencourt. “If drivers are paying
tolls, then drivers should see those funds reinvested into roads they actually use to help
pay down the debt, prioritize county owned roads, and split 70/30 with the City of Houston
to cover expenses.”
For example, Commissioner Moraths’ precinct one, with 47% of county-owned roads received the
same funding as another with only 15%—underscoring the need for a data-driven formula. SB
2722 codifies the recent Harris County Commissioners Court decision in splitting pct. allocations.
How SB 2722 Reforms Toll Revenue:
- 70% of excess toll revenue must be spent on county-owned and maintained roads and
may not use toll revenues on hike/bike/trail projects unless required by state or federal
guidelines. 95% of that must be distributed by pct. using a three-part formula: historic
surplus transfers, lane miles (excluding tollways and freeways), and road condition. The
remaining 5% may be used for countywide planning and design of road maintenance. - Establishes the 30% or $80 million city reimbursement cap, a 5-year sunset provision, is
directed to municipality that contains 40% of the lane miles to reimburse them for the cost
of emergency services, including police and fire response. From 2022–2024, Houston PD
and FD responded to 6,514 incidents on the toll roads—this bill ensures continued
emergency response coverage and auditor-triggered deductions if thresholds are unmet. - Independent audit requirements are built in, with violations resulting in state-enforced
penalties and tax rate restrictions if thresholds are unmet on county. Authorizing
enforcement mechanism, if a county is found to have misspent toll revenue, the State
Auditor will impose a civil penalty of 100% of the misuse for a first offense and 110% for
subsequent offenses. On second offenses, counties are also barred from raising tax rates
above the no-new-revenue threshold. Collected penalties go to the State Highway Fund.
“This is a good government, taxpayer-first reform,” Bettencourt said. “It keeps the focus on
transportation and safety, not political slush funds. The days of diverting toll money for
pet projects are numbered, we’re taking politics out of the equation and putting safety,
roads, and accountability to toll revenue first.” Senator Paul Bettencourt concluded.
SB 2722 now heads to the Texas House, where Rep. DeAyala has the companion, HB 5177.
