SSB 1219 (LSB 1016XG (6) 91)

SENATE/HOUSE FILE _____

BY  (PROPOSED GOVERNOR BUDGET BILL)

A BILL FOR

An Act relating to transportation and other infrastructure-related appropriations to the department of transportation, including allocation and use of moneys from the road use tax fund, the primary road fund, and the statutory allocations fund.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  ROAD USE TAX FUND —— FY 2025-2026.  There is appropriated from the road use tax fund created in section 312.1 to the department of transportation for the fiscal year beginning July 1, 2025, and ending June 30, 2026, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   1.  For salaries, support, maintenance, and miscellaneous purposes:
   a.  Transportation operations:
   ...................................................................... $ 17,611,473

   b.  Motor vehicles:
   ...................................................................... $ 32,710,876

   2.  For payments to the department of administrative services and the department of management for utility services:
   ...................................................................... $    500,878

   3.  For unemployment compensation:
   ...................................................................... $      7,000

   4.  For payments to the department of administrative services for paying workers’ compensation claims under chapter 85 on behalf of employees of the department of transportation:
   ...................................................................... $    153,679

   5.  For payment to the general fund of the state for indirect cost recoveries:
   ...................................................................... $     90,000

   6.  For reimbursement to the auditor of state for audit expenses as provided in section 11.5B:
   ...................................................................... $    107,884

   7.  For automation, telecommunications, and related costs associated with the county issuance of driver’s licenses and vehicle registrations and titles:
   ...................................................................... $  1,406,000

   8.  For costs associated with participation in the Mississippi river parkway commission:
   ...................................................................... $     40,000

   9.  For costs associated with the traffic and criminal software program and the mobile architecture and communications handling program:
   ...................................................................... $    300,000

   10.  For motor vehicle division field facility maintenance projects at various locations:
   ...................................................................... $    400,000

   11.  For costs associated with motor vehicle division systems modernization:
   ...................................................................... $ 20,000,000

   For purposes of section 8.33, unless specifically provided otherwise, moneys appropriated in subsections 10 and 11 that remain unencumbered or unobligated shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends three years after the end of the fiscal year for which the appropriation was made. However, if the project or projects for which the appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
    Sec. 2.  PRIMARY ROAD FUND —— FY 2025-2026.  There is appropriated from the primary road fund created in section 313.3 to the department of transportation for the fiscal year beginning July 1, 2025, and ending June 30, 2026, the following amounts, or so much thereof as is necessary, to be used for the purposes designated:
   1.  For transportation operations salaries, support, maintenance, and miscellaneous purposes:
   ...................................................................... $346,489,821

   2.  For payments to the department of administrative services and the department of management for utility services:
   ...................................................................... $  3,076,822

   3.  For unemployment compensation:
   ...................................................................... $    138,000

   4.  For payments to the department of administrative services for paying workers’ compensation claims under chapter 85 on behalf of the employees of the department of transportation:
   ...................................................................... $  3,726,405

   5.  For payment to the general fund of the state for indirect cost recoveries:
   ...................................................................... $    660,000

   6.  For reimbursement to the auditor of state for audit expenses as provided in section 11.5B:
   ...................................................................... $    662,716

   7.  For inventory and equipment replacement:
   ...................................................................... $ 40,818,240

   8.  For costs associated with the statewide interoperability network:
   ...................................................................... $    442,162

   9.  For facility major maintenance and enhancement:
   ...................................................................... $  6,300,000

   10.  For facility routine maintenance and preservation:
   ...................................................................... $  8,050,000

   11.  For renovation of the Waterloo maintenance garage:
   ...................................................................... $ 18,897,387

   For purposes of section 8.33, unless specifically provided otherwise, moneys appropriated in subsections 9 through 11 that remain unencumbered or unobligated shall not revert but shall remain available for expenditure for the purposes designated until the close of the fiscal year that ends three years after the end of the fiscal year for which the appropriation was made. However, if the project or projects for which such appropriation was made are completed in an earlier fiscal year, unencumbered or unobligated moneys shall revert at the close of that same fiscal year.
    Sec. 3.  Section 321.145, subsection 2, paragraph a, Code 2025, is amended by adding the following new subparagraph:
   NEW SUBPARAGRAPH.  (4)  An amount necessary for the payment of costs associated with producing and distributing driver’s licenses and nonoperator’s identification cards, not to exceed revenues derived from fees charged for driver’s licenses and nonoperator’s identification cards, is appropriated to the department for that purpose.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill makes appropriations from the road use tax fund, the primary road fund, and the statutory allocations fund to the department of transportation (DOT).
   Appropriations for FY 2025-2026 from the road use tax fund include appropriations for transportation operations, motor vehicles, utility services, unemployment and workers’ compensation, indirect cost recoveries, audits, county issuance of driver’s licenses and vehicle registration and titling, participation in the Mississippi river parkway commission, the traffic and criminal software program and the mobile architecture and communications handling program, and motor vehicle division field facility maintenance projects and systems modernization.
   Appropriations for FY 2025-2026 from the primary road fund include appropriations for transportation operations, utility services, unemployment and workers’ compensation, indirect cost recoveries, audits, inventory and equipment replacement, the statewide interoperability network, major facility maintenance and enhancement, routine facility maintenance and preservation, and renovation of the Waterloo maintenance garage.
   The bill amends Code section 321.145 relating to the disposition of moneys from the statutory allocations fund (SAF). Under current law, revenues derived from trailer registration fees, fees charged for driver’s licenses and nonoperator’s identification cards, fees charged for commercial driver’s license driving skills tests, fees charged for the issuance of a certificate of title, the certificate of title surcharge, revenues derived from the imposition of a use tax on vehicles subject only to the issuance of a certificate of title and manufactured housing, and revenues arising from automobile rental excise taxes are deposited in the SAF. Current law credits SAF moneys to the DOT to be used for purposes of public transit assistance, to the motorcycle rider education fund, and for the various purposes specified in Code section 321.34 relating to special registration plate fees. Any revenues remaining in the SAF are credited to the road use tax fund.
   The bill provides a standing appropriation from the SAF to the DOT for an amount necessary for the payment of costs associated with producing and distributing driver’s licenses and nonoperator’s identification cards, not to exceed SAF revenues derived from fees charged for driver’s licenses and nonoperator’s identification cards. By operation of law, unused moneys from the appropriation would revert to the SAF and be credited to the road use tax fund in accordance with current law. In previous fiscal years, the general assembly annually appropriated moneys from the road use tax fund to the DOT for the payment of costs associated with the production of driver’s licenses.