HB 362 Summary

• Authorizes Washington County Commission to levy an excise tax up to $0.02 per gallon on gasoline and diesel fuel, with proceeds dedicated to road and bridge maintenance and construction.

• Allows county commission to levy a 1% sales and use tax on all retail sales (0.5% on vehicle sales) and a 1% leasing tax on equipment and vehicle rentals, following state tax law provisions.

• Exempts fuel used by federal, state, and local governments; dyed diesel fuel; aviation fuel; interstate commerce transactions; and certain fuel blenders from the excise tax.

• Establishes Department of Revenue as the collection agency for all three taxes, with a collection fee not to exceed 5%, and requires net proceeds to be deposited in a special revenue fund for roads and bridges only.

• All three taxes become effective only upon approval by a majority of Washington County voters in a referendum held with the next general or special election.