NTTA begins construction on SH 161 after weekend meeting with TxDOT

by PegNews wire

Construction has begun on State Highway 161 along several portions of the right-of-way as a result of an agreement reached at an abruptly-convened meeting on Sunday between TxDOT and the North Texas Tollway Authority. TxDOT and NTTA have agreed on a negotiated value of $458 million for State Highway 161, which includes reimbursement to the Regional Transportation Council (RTC) for construction of segments 2 and 3. The remainder will be an upfront payment to be utilized on transportation projects throughout the region. NTTA will also pay to construct segment 4 which is estimated to cost $610 million.

The action taken by the NTTA is not an official offer to develop SH 161. The agreement allows construction to begin and ensures that the road will be built as a toll road. Official acceptance of the project by the NTTA is dependent on an investment grade traffic and revenue report, rating confirmations on the NTTA's bonds, and further financial analysis as well as approval by its Board of Directors.

Upon acceptance, SH 161 will be owned and operated by the NTTA in perpetuity. Beginning in year 53, the NTTA will share with TxDOT 50% of SH 161 revenues, minus operating and maintenance costs, as well rehabilitation and reconstruction. The NTTA and TxDOT will also share the costs of all capital improvements beginning in year 53.

NTTA will either accept or waive its rights to SH 161 by this summer. If NTTA does not acquire SH 161, TxDOT can pursue a Comprehensive Development Agreement.

SH 161 will run from Interstate Highway (IH) 183 to IH 20, with the portion extending to IH 30 to be completed by January 2009.

Source: NTTA