Where the Money Comes From

Toll Authorities

Toll Revenue

Texas toll authorities are responsible for constructing, maintaining, and managing toll income for tollway transportation projects in large metropolitan areas.

Toll authorities receive their primary source of revenue from toll charges. Toll revenue accounts for more than 90 percent of total toll authority revenue. Other revenue typically includes money received from investment income. Different funds dedicated to construction, maintenance, and operations generally maintain revenue needed for expenditures on toll projects.

Transit Authorities

Texas has eight metropolitan transit agencies (MTAs), as identified by the Texas Transit Association. In general, MTAs derive a majority of their revenue from sales taxes and user fees.

Sales Tax

Local sales tax revenue generally accounts for 50 percent to 70 percent of income for MTAs. Sales and use tax rates range from 0.25 percent to 1 percent for transit authority jurisdictions. In 2009, total transit authority sales and use tax remittances amounted to $1.3 billion.

Other Revenue

Generally, the next largest source of transit authority income is operating revenue. Operating revenue includes transportation fares from riders and income from passenger and freight rail systems. Grant revenue, primarily federal grants is another source of funding for transit systems.