AL SB258

Amends Section 40-12-270 of the Alabama Code to update how motor vehicle license taxes and registration fees are disbursed among the state, counties, and municipalities.

Allocates net proceeds from motor vehicle taxes as follows: 64.75% to the state and 35.25% to the 67 counties, with county shares divided equally (42.16%) and by population ratio (57.84%).

Distributes remaining net proceeds with 72% to the state, 21% to municipalities or counties where vehicles are registered, and 7% to counties apportioned by vehicle registration numbers.

Requires funds be deposited into the Public Road and Bridge Fund and used for highway/street construction, maintenance, and bond payments; counties must submit road improvement plans to the Transportation Director for approval.

Becomes effective beginning fiscal year October 1, 2020.