MS HB289

Establishes a state-assisted local road construction and maintenance program administered by the Office of State Aid Road Construction to provide financial assistance to eligible counties and municipalities for roads not in state highway or state aid road systems.

Creates a "State-assisted County and Municipality Road Construction and Maintenance Fund" with $15 million transferred from the State General Fund each fiscal year for fiscal years 2019-2022, distributed in four equal quarterly payments beginning July 1.

Restricts funding eligibility to counties with populations not exceeding 30,000 and municipalities with populations not exceeding 5,000 based on the 2010 federal census, with no administrative deductions from the fund.

Limits each county or municipality to receiving funds no more than once per three-year period, with a maximum award of $150,000 per distribution, and requires local matching funds of at least 25% of project costs.

Requires recipient counties and municipalities to establish special funds for deposits and restrict expenditures to construction, reconstruction, overlaying, repair, and maintenance of local roads and streets; takes effect July 1, 2018.