Senate File 2088 - Introduced SENATE FILE 2088 BY CHELGREN A BILL FOR An Act relating to funding for highways and other roads by 1 providing for the elimination of the road use tax fund 2 and establishing a road use tax fund elimination study 3 committee, and including effective date provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 5434XS (2) 84 dea/nh
S.F. 2088 Section 1. Section 4.1, subsection 9, Code 2011, is amended 1 by striking the subsection and inserting in lieu thereof the 2 following: 3 9. “Highway” means a major thoroughfare between two 4 communities. 5 Sec. 2. REPEAL. Chapter 312, Code and Code Supplement 2011, 6 is repealed. 7 Sec. 3. ROAD USE TAX FUND ELIMINATION STUDY COMMITTEE. It 8 is the intent of the general assembly to end the current 9 practice of using moneys which are dedicated for the 10 construction, maintenance, and supervision of the public 11 highways pursuant to Article VII, section 8, of the 12 Constitution of the State of Iowa, for roads that do not meet 13 the definition of “highway” in section 4.1, as amended by this 14 Act. 15 1. The legislative council shall establish a study 16 committee for the 2012 and 2013 legislative interims to 17 identify issues that will need to be addressed upon the repeal 18 of chapter 312, as provided in this Act, and to consider 19 new policies and options for addressing those issues. The 20 membership of the committee shall be as follows: 21 a. Four members of the senate, two appointed by the majority 22 leader of the senate and two appointed by the minority leader 23 of the senate. 24 b. Four members of the house of representatives, two 25 appointed by the speaker of the house of representatives 26 and two appointed by the minority leader of the house of 27 representatives. 28 c. One member appointed by the governor. 29 d. The director of transportation or the director’s 30 designee. 31 e. The treasurer of state or the treasurer’s designee. 32 f. The director of revenue or the director’s designee. 33 g. One person selected by the board of directors of the Iowa 34 league of cities. 35 -1- LSB 5434XS (2) 84 dea/nh 1/ 3
S.F. 2088 h. One person selected by the Iowa state association of 1 counties. 2 2. In conjunction with identifying issues to be addressed 3 upon elimination of the road use tax fund, the committee shall 4 consider the impact of a new highway and road funding policy 5 on the budgeting practices of the department of transportation 6 and local governments; optional sources of funding for the 7 construction, maintenance, and supervision of roads that do 8 not qualify for highway funds; new policies for the separate 9 management and disbursement of highway funds and funds for 10 other roads; statutory amendments that will be required to 11 conform to the repeal of chapter 312 and to accomplish the 12 transition to separate funding of highways and roads that do 13 not qualify as highways; and any other matters deemed relevant 14 by the committee. 15 3. The committee shall make a written report of its 16 preliminary findings and recommendations to the general 17 assembly by December 31, 2012. The committee shall make a 18 written report of its final recommendations, including a 19 proposal for legislation to implement the recommendations, by 20 December 31, 2013. 21 Sec. 4. EFFECTIVE DATE. The following provisions of this 22 Act take effect July 1, 2015: 23 1. The section of this Act amending section 4.1, subsection 24 9. 25 2. The section of this Act repealing chapter 312. 26 EXPLANATION 27 This bill strikes the current rule of construction for the 28 terms “highway” and “road” applicable to Iowa law and defines 29 “highway” to mean a major thoroughfare between two communities. 30 The bill also repeals Code chapter 312, which creates the road 31 use tax fund and contains provisions relating to the allocation 32 of funds from the road use tax fund. The definitional change 33 and the Code chapter repeal are effective July 1, 2015. 34 The bill requires the legislative council to establish a 35 -2- LSB 5434XS (2) 84 dea/nh 2/ 3
S.F. 2088 study committee for the 2012 and 2013 legislative interims to 1 identify issues relating to the current use of moneys in the 2 road use tax fund and to consider options for addressing those 3 issues. The committee is required to report its preliminary 4 findings and recommendations to the general assembly by 5 December 31, 2012, and make a final report to the general 6 assembly by December 31, 2013. The final report shall include 7 a proposal for legislation to implement the recommendations of 8 the committee. 9 -3- LSB 5434XS (2) 84 dea/nh 3/ 3