AZ SB1147

Authorizes counties and regional transportation authorities to levy a county motor fuel tax of up to 10 cents per gallon if approved by qualified voters at a countywide election.

Tax revenues must be used exclusively for purposes prescribed in Arizona Constitution Article IX, Section 14, and deposited either in the Regional Transportation Fund (counties under 1.2 million population or RTAs) or a new County Motor Fuel Tax Fund (counties with 1.2 million or more population).

Tax becomes effective January 1 or July 1, whichever occurs first after voter approval, and may remain in effect for no more than 20 years.

Excludes county motor fuel tax revenues from the definition of "highway user revenues" that are otherwise subject to state revenue distribution formulas.

Amends Section 42-6004 to clarify that cities and towns cannot levy taxes on motor fuel used to propel vehicles, except as provided in the new county motor fuel tax statute.