House Study Bill 219



                                       HOUSE FILE       
                                       BY  (PROPOSED COMMITTEE ON
                                            TRANSPORTATION BILL
                                            BY CHAIRPERSON ARNOLD)


    Passed House, Date                Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to distribution of secondary and farm=to=market
  2    road funds.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
  4 TLSB 3073HC 81
  5 eg/gg/14

PAG LIN



  1  1    Section 1.  Section 307.22, Code 2005, is amended to read
  1  2 as follows:
  1  3    307.22  PLANNING AND RESEARCH.
  1  4    The department's administrator of planning and research
  1  5 shall:
  1  6    1.  Assist the director in planning all modes of
  1  7 transportation in order to develop an integrated
  1  8 transportation system providing adequate transportation
  1  9 services for all citizens of the state.
  1 10    2.  Develop and maintain transportation statistical data
  1 11 for the department.
  1 12    3.  Assist the director in establishing, analyzing and
  1 13 evaluating alternative transportation policies for the state.
  1 14    4.  Coordinate planning and research duties and
  1 15 responsibilities with the planning functions carried on by
  1 16 other administrators of the department.
  1 17    5.  Conduct a study of the road and bridge facilities in
  1 18 state parks, state institutions, state fairgrounds, and on
  1 19 community college property.  The study shall evaluate the
  1 20 construction and maintenance needs and projected needs based
  1 21 upon estimated growth for each type of facility to provide a
  1 22 quadrennially updated standard upon which to allocate funds
  1 23 appropriated for the purposes of this subsection.
  1 24    6.  a.  Annually report by July 1 of each year, for both
  1 25 secondary and farm=to=market systems, miles of earth,
  1 26 granular, and paved surface roads; the daily vehicle miles of
  1 27 travel; and lineal feet of bridge deck under the jurisdiction
  1 28 of each county's secondary road department, as of the
  1 29 preceding January 1, taking into account roads whose
  1 30 jurisdiction has been transferred from the department to a
  1 31 county or from a county to the department during the previous
  1 32 year.  The annual report shall include those roads transferred
  1 33 to a county pursuant to section 306.8A.
  1 34    b.  Miles of secondary and farm=to=market roads shall not
  1 35 include those miles of farm=to=market extensions within cities
  2  1 under five hundred population that are placed under county
  2  2 secondary road jurisdiction pursuant to section 306.4.
  2  3    c.  The annual report of updated road and bridge data of
  2  4 both the secondary and farm=to=market roads shall be submitted
  2  5 to the Iowa county engineers association service bureau.
  2  6    6.  Prepare, adopt, and cause to be published the results
  2  7 of a study of secondary roads in the state.  The study shall
  2  8 be designed to investigate present deficiencies and future
  2  9 twenty=year maintenance and construction needs of the roads.
  2 10 The study shall be referred to as the "quadrennial need study"
  2 11 for the purposes of this chapter, chapter 307A, and chapter
  2 12 312.  The department shall report the results of the study to
  2 13 the general assembly by July 1, 2002, and the study results
  2 14 shall take effect July 1, 2003.
  2 15    7.  Annually recalculate the construction and maintenance
  2 16 needs of roads under the jurisdiction of each county to take
  2 17 into account the needs of a road whose jurisdiction has been
  2 18 transferred from the department to a county or from a county
  2 19 to the department during the previous year.  Prior to the
  2 20 fiscal year beginning July 1, 2013, the annual recalculation
  2 21 shall not include those roads transferred to a county pursuant
  2 22 to section 306.8A.  The recalculation shall be reported by
  2 23 January 1 of the year following the transfer and shall take
  2 24 effect the following July 1 for the purposes of allocating
  2 25 moneys under sections 312.3 and 312.5.
  2 26    8.  7.  Perform such other planning functions as may be
  2 27 assigned by the director.
  2 28    The functions of planning and research do not include the
  2 29 detailed design of highways or other modal transportation
  2 30 facilities, but are restricted to the needs of this state for
  2 31 multimodal transportation systems.
  2 32    Sec. 2.  Section 312.3, subsection 1, Code 2005, is amended
  2 33 to read as follows:
  2 34    1.  Apportion among the counties in the ratio that the
  2 35 needs of the secondary roads of each county bear to the total
  3  1 needs of the secondary roads of the state for each fiscal year
  3  2 based upon the total needs of secondary roads of the state as
  3  3 shown in the latest quadrennial need study report developed by
  3  4 the state department of transportation, and which is on record
  3  5 at the department, seventy percent of the allocation from road
  3  6 use tax funds which is credited to the secondary road fund of
  3  7 the counties, and apportion among the counties in the ratio
  3  8 that the area of each county bears to the total area of the
  3  9 state, thirty percent of the allocation from road use tax
  3 10 funds which is credited to the secondary road fund of the
  3 11 counties.
  3 12    For the purposes of this subsection, "latest quadrennial
  3 13 need study report" includes the annual recalculation of
  3 14 construction and maintenance needs of roads whose jurisdiction
  3 15 has been transferred from the department to a county or from a
  3 16 county to the department during the previous year as
  3 17 recalculated pursuant to section 307.22, subsection 7.
  3 18    1.  For the fiscal year ending June 30, 2006, apportion
  3 19 among the counties the road use tax funds credited to the
  3 20 secondary road fund by using the allocation method contained
  3 21 in section 312.3, subsection 1, Code 2005.  For subsequent
  3 22 fiscal years, apportion among the counties the road use tax
  3 23 funds credited to the secondary road fund by using the
  3 24 distribution methodology adopted pursuant to section 312.3C.
  3 25    Sec. 3.  Section 312.3B, Code 2005, is amended by adding
  3 26 the following new unnumbered paragraph:
  3 27    NEW UNNUMBERED PARAGRAPH.  The Iowa county engineers
  3 28 association service bureau shall annually compute the
  3 29 secondary road fund and farm=to=market road distributions
  3 30 using the methodology determined by the secondary road fund
  3 31 distribution committee pursuant to section 312.3C.  The Iowa
  3 32 county engineers association service bureau shall report the
  3 33 computations to the secondary road fund distribution
  3 34 committee, the department, the treasurer of state, and the
  3 35 counties.
  4  1    Sec. 4.  Section 312.3C, Code 2005, is amended to read as
  4  2 follows:
  4  3    312.3C  SECONDARY ROAD FUND DISTRIBUTION ADVISORY
  4  4 COMMITTEE.
  4  5    A secondary road fund distribution advisory committee is
  4  6 established to consider develop one or more alternative
  4  7 methodologies for distribution of moneys in the secondary road
  4  8 fund and farm=to=market road fund.  The committee shall be
  4  9 comprised of representatives appointed by the president of the
  4 10 Iowa county engineers association, the president of the Iowa
  4 11 county supervisors association, and the department.  The
  4 12 committee shall recommend to the general assembly, for the
  4 13 general assembly's consideration and adoption, one or more
  4 14 alternative methodologies for distribution of moneys in the
  4 15 secondary road fund and the farm=to=market road fund.
  4 16    The committee shall determine the methodology to be used
  4 17 for distribution of moneys in the secondary road fund and the
  4 18 farm=to=market road fund.  The methodology shall be phased in
  4 19 over a five=year time period, beginning July 1, 2006.
  4 20    The committee shall adopt rules pursuant to chapter 17A to
  4 21 govern the determination and modification of the methodology
  4 22 to be used for distribution of moneys in the secondary road
  4 23 fund and the farm=to=market road fund.
  4 24    Sec. 5.  Section 312.5, Code 2005, is amended to read as
  4 25 follows:
  4 26    312.5  DIVISION OF FARM=TO=MARKET ROAD FUNDS.
  4 27    1.  The road use tax funds credited to the farm=to=market
  4 28 road fund and federal aid secondary road funds received by the
  4 29 state by the treasurer of state are hereby divided as follows,
  4 30 and are to be known respectively as:
  4 31    a.  Need allotment farm=to=market road funds, seventy
  4 32 percent; and
  4 33    b.  Area allotment farm=to=market road funds, thirty
  4 34 percent.
  4 35    1.  For the fiscal year ending June 30, 2006, the treasurer
  5  1 of state shall apportion among the counties the road use tax
  5  2 funds credited to the farm=to=market road fund by using the
  5  3 allocation method contained in section 312.5, subsection 1,
  5  4 Code 2005.  For subsequent fiscal years, the treasurer of
  5  5 state shall apportion among the counties the road use tax
  5  6 funds credited to the farm=to=market road fund by using the
  5  7 distribution methodology adopted pursuant to section 312.3C.
  5  8    2.  All farm=to=market road funds, except funds which under
  5  9 section 310.20 come from any county's allotment of the road
  5 10 use tax funds, shall be allotted apportioned among the
  5 11 counties by the department as provided by this section.
  5 12    3.  Area allotment farm=to=market road funds shall be
  5 13 allotted among all the counties of the state in the ratio that
  5 14 the area of each county bears to the total area of the whole
  5 15 state.
  5 16    4.  Need allotment farm=to=market road funds shall be
  5 17 allotted among the counties in the ratio that the needs of the
  5 18 farm=to=market roads in each county bear to the total needs of
  5 19 the farm=to=market roads in the state for each fiscal year
  5 20 based upon the total needs of the farm=to=market roads in the
  5 21 state as shown in the latest quadrennial need study report
  5 22 developed by the state department of transportation, and which
  5 23 is on record at the department.
  5 24    "Latest quadrennial need study report" includes the annual
  5 25 recalculation of construction and maintenance needs of roads
  5 26 whose jurisdiction has been transferred from the department to
  5 27 a county or from a county to the department during the prior
  5 28 year as recalculated pursuant to section 307.22, subsection 7.
  5 29                           EXPLANATION
  5 30    This bill relates to the distribution of secondary and
  5 31 farm=to=market road funds.
  5 32    Code sections 312.3, 312.3B, 312.3C, and 312.5 are amended
  5 33 to provide a new methodology for distribution to the counties
  5 34 of moneys in the secondary road fund and the farm=to=market
  5 35 road fund.
  6  1    Code sections 312.3 and 312.5 are amended to strike the
  6  2 need and area allotments, including the quadrennial need study
  6  3 report, used to apportion among the counties the road use tax
  6  4 funds credited to the secondary road fund and the farm=to=
  6  5 market road fund, respectively.  These sections are amended to
  6  6 apportion the funds according to the new distribution
  6  7 methodology adopted pursuant to Code section 312.3C.
  6  8    Code section 312.3C is amended to strike the general
  6  9 assembly as the entity designated to consider and adopt a
  6 10 method for distribution of moneys in the secondary road fund
  6 11 and farm=to=market road fund.  Instead, the secondary road
  6 12 fund distribution committee, no longer an advisory committee,
  6 13 will develop the methodology for distribution of such moneys,
  6 14 and is granted rulemaking authority to formally adopt the
  6 15 methodology.  The application of the new distribution
  6 16 methodology is to be phased in over five years, beginning July
  6 17 1, 2006.
  6 18    Using the new methodology, the Iowa county engineers
  6 19 association service bureau computes the distribution.  Code
  6 20 section 312.3B is amended to direct the Iowa county engineers
  6 21 association service bureau to annually compute and report the
  6 22 county distributions to the secondary road fund distribution
  6 23 committee, the department, the treasurer of state, and the
  6 24 counties.
  6 25 LSB 3073HC 81
  6 26 eg:rj/gg/14