HF2395 Summary

• Authorizes $1.001 billion in trunk highway bonds, including $800 million for corridors of commerce program and $200 million for transportation economic development program, with $200 million available annually from 2015-2018.

• Establishes a 5% gross receipts motor fuels tax on wholesale sales of gasoline and special fuels, effective October 1, 2014, with rates converted annually to a per-gallon basis and revenues deposited in the highway user tax distribution fund.

• Reduces gasoline excise tax rates from 25 cents to 20 cents per gallon and reduces special fuel excise tax rates proportionally when the gross receipts tax takes effect.

• Authorizes a one-quarter of one percent metropolitan area transit sales tax plus $20 per motor vehicle excise tax, with revenues allocated for debt service, transit operations, transitway development, and grants awarded through a Grant Evaluation and Ranking System Committee.

• Creates a state right-of-way acquisition loan account for property purchases related to highway and transit projects, and establishes efficiency measures including federal fund flexibility programs and transportation alternatives project funding requirements.