HB581 (2009) Detail

Increasing the road toll and designating the increase for the highway and bridge betterment account.


HB 581-FN-A-LOCAL – AS INTRODUCED

2009 SESSION

09-0407

09/01

HOUSE BILL 581-FN-A-LOCAL

AN ACT increasing the road toll and designating the increase for the highway and bridge betterment account.

SPONSORS: Rep. Weed, Ches 3; Rep. Osborne, Merr 12

COMMITTEE: Public Works and Highways

ANALYSIS

This bill increases the road toll and designates the increase for the highway and bridge betterment account.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

09-0407

09/01

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Nine

AN ACT increasing the road toll and designating the increase for the highway and bridge betterment account.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Highway and Bridge Betterment Program Funding. Amend RSA 235:23-a, II to read as follows:

II. The program shall be funded from [$.03] $.10 per gallon of the road toll imposed under RSA 260:32; of these revenues, in each fiscal year 88 percent shall be deposited into a separate account established in the highway fund called the highway and bridge betterment account, to be allocated as provided in paragraph III. The amount deposited into the highway and bridge betterment account is hereby continually appropriated and shall be nonlapsing. The remaining 12 percent shall be distributed in accordance with the formula in RSA 235:23, I, and shall be in addition to any amounts to be allocated under that paragraph.

2 Road Toll Increased. Amend the introductory paragraph of RSA 260:32 to read as follows:

260:32 Levy of Tolls and Exemptions. There is hereby imposed a road toll of [$.18] $.26 per gallon upon the sale of each gallon of motor fuel sold by distributors thereof. The road toll shall be collected by the distributor from the purchaser and remitted to the state in the manner hereinafter set forth. Provided, that the road toll shall not apply to:

3 Effective Date. This act shall take effect July 1, 2009 at 12:01 a.m.

LBAO

09-0407

01/21/09

HB 581-FN-A-LOCAL - FISCAL NOTE

AN ACT increasing the road toll and designating the increase for the highway and bridge betterment account.

FISCAL IMPACT:

    The Department of Safety states this bill will increase state highway fund restricted revenue by $59,028,291, state highway fund revenue by $8,432,613, and state highway fund expenditures and local revenue by $8,095,308 in FY 2010 and each year thereafter. There will be no fiscal impact on county revenue or county or local expenditures.

METHODOLOGY:

    This bill increases the road toll from $.18 to $.26 per gallon and increases from $.03 to $.10 per gallon the amount designated to the highway and bridge betterment account. The Department of Safety Road Toll Bureau estimates based on a three year average of road toll gallons collected during fiscal years 2006 through 2008 that revenue will increase by the following:

           

      Gallons (net of refunds)

      Fiscal Year

      2006

       

      839,150,889

      Fiscal Year

      2007

       

      842,397,975

      Fiscal Year

      2008

       

      848,235,052

           

      2,529,783,916

      Average Gallons (net of refunds)

      843,261,305

      Multiplied by $0.08 increase in Road Toll

      $ 67,460,904

    Of the overall increase in highway fund revenue 87.5% (7 of 8 cents) is allocated to the highway and bridge betterment account with the remaining 12.5% (1 of 8 cents) remaining unrestricted within the highway fund. Twelve percent of both amounts would subsequently be distributed to localities for local highway aid.

Restricted Highway Fund Revenue (Highway and Bridge Betterment)

$ 59,028,291

Unrestricted Highway Fund Revenue

8,432,613

Total Highway Fund Revenue

$ 67,460,904

   

12% to localities for local highway aid

$ 8,095,308

    The Department of Transportation estimates the fiscal impact of this bill using a different method, but approximates the Department of Safety’s estimate.