SF 2310 (LSB 5896XS (2) 84)

SENATE FILE 2310

BY  ANDERSON

A BILL FOR

An Act providing for donations to the road use tax fund and other related funds and creating an exemption from the computation of the state individual income tax of donations to such funds, and including retroactive applicability provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 312.1, subsection 1, Code 2011, is amended by adding the following new paragraph:
   NEW PARAGRAPH.  f.  Donations received pursuant to section 312.2A.
    Sec. 2.  NEW SECTION.  312.2A  Donations to fund.
   1.  The treasurer of state shall accept donations to the road use tax fund created in section 312.1. Donations may be made as a general donation to the road use tax fund or may be specifically directed by the donor at the time of donation to one or more of the following funds:
   a.  The primary road fund.
   b.  The secondary road fund of the counties. 
   c.  The farm-to-market road fund. 
   d.  The street construction fund of the cities. 
   e.  The highway grade crossing safety fund.
   f.  The highway railroad grade crossing surface repair fund.
   g.  The living roadway trust fund.
   h.  The revitalize Iowa’s sound economy fund.
   i.  The county bridge construction fund. 
   j.  The city bridge construction fund.
   k.
  (1)  The TIME-21 fund.
   (2)  This paragraph is repealed June 30, 2028. 
   2.  
  a.  Notwithstanding section 312.2, or any other provision of this chapter to the contrary, donations directed by a donor to a specific fund shall be credited to that fund.
   b.  Donations directed by a donor to the secondary road fund of the counties, the farm-to-market road fund, or the county bridge construction fund shall be apportioned to the county of choice of the donor. If the donor does not specify a county of choice, the donation shall be apportioned among the counties as otherwise provided in statute for apportionment of that fund.
   c.  Donations directed to the street construction fund of the cities or the city bridge construction fund shall be apportioned to the city of choice of the donor. If the donor does not specify a city of choice, the donation shall be apportioned among the cities as otherwise provided in statute for apportionment of that fund.
   d.  Notwithstanding any other provision of the Code to the contrary, unobligated funds credited and apportioned under this subsection remaining on June 30 of the fiscal year shall not revert but shall remain available for expenditure in subsequent fiscal years.
   3.  Donations not specifically directed by a donor to a particular fund shall be considered a general donation to the road use tax fund and shall be credited and apportioned as otherwise provided in this chapter.
    Sec. 3.  Section 312.4, Code Supplement 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  6.  The amount which the treasurer has received as donations and credited and apportioned pursuant to section 312.2A.
    Sec. 4.  Section 422.7, Code Supplement 2011, is amended by adding the following new subsection:
   NEW SUBSECTION.  57.  Subtract an amount equal to fifty percent of the amounts paid by the taxpayer as a donation to the road use tax fund or related fund pursuant to section 312.2A.
    Sec. 5.  RETROACTIVE APPLICABILITY.  The following provision or provisions of this Act apply retroactively to January 1, 2012, for tax years beginning on or after that date:
   1.  The section of this Act amending section 422.7.
EXPLANATION
   This bill amends provisions relating to the road use tax fund to require the treasurer of state to accept donations to the fund. A donor may make a general donation to the road use tax fund, which shall be allocated and apportioned to various related funds and parties according to current law. In the alternative, a donor may specify that donated amounts be directed to one or more of the 11 funds related to the road use tax fund, as listed in the bill.
   A donor who specifically directs a donation to the secondary road fund, the farm-to-market road fund, or the county bridge construction fund may choose the county to which the donation will be apportioned. A donor who specifically directs a donation to the street construction fund of the cities or the city bridge construction fund may choose the city to which the donation will be apportioned.
   All funds that are specifically directed and apportioned by a donor shall not revert to the road use tax fund at the end of a fiscal year, but shall remain in that specified fund and shall be available for expenditure in subsequent years.
   The bill requires the treasurer of state to monthly certify to the department of transportation all donations received, credited, and apportioned under the bill.
   The bill creates an individual income tax exemption equal to 50 percent of the amount donated by an individual to the road use tax fund or a related fund. The individual income tax exemption applies retroactively to January 1, 2012, for tax years beginning on or after that date.