SF3837 Summary

• Proposes constitutional amendment to create road and bridge fund receiving 70 percent of motor vehicle repair and replacement parts sales tax starting July 1, 2020, increasing 15 percent annually through June 30, 2023, then 100 percent thereafter.

• Dedicates 100 percent of rental motor vehicle sales and use tax revenue to road and bridge fund beginning July 1, 2020.

• Allocates 100 percent of motor vehicle lease sales tax revenue starting July 1, 2019, to county state-aid highway fund, public transit in greater Minnesota, local bridge construction and repair, and highway user tax distribution fund.

• Apportions road and bridge fund net proceeds as 4 percent for city roads in non-municipal areas, 3.25 percent for town roads, 1.75 percent for town bridges, with remaining balance split 62 percent to trunk highway construction fund, 29 percent to county state-aid highway fund, and 9 percent to municipal state-aid street fund.

• Establishes monthly deposits of motor vehicle repair and replacement parts sales tax revenue to road and bridge fund at specified amounts ($2,628,000 through June 30, 2019; $15,808,000 through June 30, 2020; then calculated as percentage of total sales tax revenues).