HB3136 Summary

• Increases motor fuel tax rate from 19 cents per gallon to 29 cents per gallon, effective July 1, 2017.

• Adds 2.5 cents per gallon tax on diesel fuel in addition to the standard rate.

• Allocates the 10-cent increase as follows: 6 cents per gallon to the Road Fund and 4 cents per gallon distributed to municipalities (49.10%), large counties (16.74%), small counties (18.27%), and road districts (15.89%).

• Modifies Section 8 of the Motor Fuel Tax Law to establish separate deposits for the increased revenue into designated state and local funds.