SB89 Summary

• County commissions may call for local referendums to authorize an excise tax on gasoline and diesel fuel not exceeding $.05 per gallon for a maximum of 5 years.

• Before holding a referendum, the county commission must compile a project list of specific road and bridge projects to be funded, with total estimated costs not exceeding 120 percent of anticipated tax revenues.

• Tax revenue must be deposited into a special local transportation safety fund for maintenance, improvement, replacement, and construction of county and municipal roads and bridges, and public transportation projects.

• Distributors of fuel are primarily responsible for collecting and remitting the tax monthly, with retail dealers and storers liable if distributors fail to pay; delinquent payments incur a 25 percent penalty.

• No more than 30 percent of proceeds may be used for materials in county work force projects, and proceeds cannot be used for employee compensation, equipment purchases, or equipment leases.