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Texas Starts To Funnel $1 Billion In Approved Bonds to Highways

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The Texas Dept. of Transportation is set to issue the first $1 billion in general obligation bonds this month for state highway projects, following approval on Aug. 26 by the state transportation commission. Voters approved the funding in 2007 as part of Proposition 12. Among the projects set for funding is a 94-mile expansion of the Interstate 35 corridor through central Texas. The bonds are payable from the state’s general revenue rather than from state highway fund revenue. The Texas Legislature appropriated $1 billion in 2010-2011 to begin making payments on about $2 billion worth of projects. In addition, $1 billion was appropriated to the state infrastructure bank and local entities for highway project loans.

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