SB 20-044 Summary

• Allocates 10% of net sales and use tax revenue attributable to vehicle and related item sales to the Highway Users Tax Fund (HUTF) beginning July 1, 2020

• Distributes the vehicle-related sales tax revenue through the existing "second stream" formula: 60% to state highway fund, 22% to counties, and 18% to municipalities

• Credits the remaining 15% of net revenue to the general fund with deductions of $10 million for the Older Coloradans Cash Fund and amounts equal to vendor fee tax increases for the Housing Development Grant Fund

• Restricts new vehicle-related sales tax funding to highway construction, improvements, maintenance, and transit-related projects including bicycle and pedestrian infrastructure

• Applies to all state fiscal years commencing on or after July 1, 2020, with specific reductions to Housing Development Grant Fund allocations for fiscal years 2020-21 and 2021-22