A statute passed in 2007 (Senate Bill 1266) provides Texas cities the authority to create zones for transportation infrastructure investment. Specifically addressed in the bill, Transportation Reinvestment Zones are a relatively new method of funding transportation projects by capturing a part of the property tax revenue from increased property values resulting from the creation of a new road. To date, only the City of El Paso and Hidalgo County have created transportation projects using this funding method, and the City of Forney is currently in the process of doing so. (S.B. 1266 is codified in Subchapter E, Chapter 222 of the Texas Transportation Code.)

The Texas Transportation Institute is currently conducting a research project to enhance the implementation of the provisions of S.B. 1266. Goals of this research are to enhance cities’ knowledge of the law, make recommendations for changes, and recommend procedures for the effective execution of this statute. To begin this research process, the department is surveying Texas cities in an effort to gain general information about cities’ knowledge of S.B. 1266 and the nature of cities’ Transportation Reinvestment Zones. To participate in this survey, please go to and complete the short questionnaire.

TML member cities may use the material herein for any purpose.
No other person or entity may reproduce, duplicate, or distribute any part of this document without the written authorization of the
Texas Municipal League.

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