Revision: March 27, 2014, midnight
SB 367-FN-A – AS AMENDED BY THE SENATE
03/13/14 0860s
2014 SESSION
10/03
SENATE BILL 367-FN-A
AN ACT requiring adjustment of the road toll according to changes in the Consumer Price Index.
SPONSORS: Sen. Rausch, Dist 19; Sen. Stiles, Dist 24; Sen. Boutin, Dist 16; Sen. Watters, Dist?4; Sen. D'Allesandro, Dist 20; Rep. Campbell, Hills 33; Rep. Bouchard, Merr?18; Rep. Cebrowski, Hills 7
This bill requires the adjustment in 2014 of the road toll imposed on sales of motor fuels according to changes in the Consumer Price Index.
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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Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03/13/14 0860s
14-2614
10/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Fourteen
AN ACT requiring adjustment of the road toll according to changes in the Consumer Price Index.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Road Toll; Adjustment; Reference Added. 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 per gallon upon the sale of each gallon of motor fuel sold by distributors thereof, as adjusted according to RSA 260:32-a. The road toll shall be collected by the distributor from the purchaser and remitted to the state in the manner hereinafter set forth. All revenues collected from adjustments under RSA 260:32-a for rates that exceed $.18 per gallon shall be exclusively appropriated to, and expended by, the department of transportation. Provided, that the road toll shall not apply to:
2 New Section; Motor Vehicle Laws; Adjustment of Road Toll; Publication. Amend RSA 260 by inserting after section 32 the following new section:
260:32-a Adjustment of Road Toll; Publication.
I. The rate for the levy of the road toll under RSA?260:32 shall be adjusted, effective July 1, 2014, by multiplying the effective rate during the prior 12-month period by a fraction, the numerator being the annual average CPI for the year 2013 and the denominator being the annual average CPI for the year 2003.
II. The road toll adjustment required in paragraph I shall be calculated by the state treasurer and forwarded to the governor, president of the senate, speaker of the house of representatives, and the commissioner of the department of safety at least 30 days before the effective date of any road toll adjustment. The commissioner of the department of safety shall publish statewide the adjusted road toll rate. The state treasurer shall make the CPI and adjusted road toll calculations to 3 decimal places.
III. In this section, “CPI” means the United States Bureau of Labor Statistics Consumer Price Index for All Urban Consumers, all items, not seasonally adjusted, for the Boston, Brocton, Nashua; MA-NH-ME-CT area.
3 Effective Date. This act shall take effect upon its passage.
LBAO
14-2614 Amended 03/19/14
SB 367-FN-A FISCAL NOTE
AN ACT requiring adjustment of the road toll according to changes in the Consumer Price Index.
FISCAL IMPACT:
The Department of Safety states this bill, as amended by the Senate (Amendment #2014-0860s), will increase state restricted revenues by $33,477,972 in FY 2015, $33,380,886 in FY 2016, $33,284,082 in FY 2017, and $33,187,558 in FY 2018, increase state restricted expenditures by an indeterminable amount in FY 2015 and each year thereafter, and increase local revenues by $4,017,357 in FY 2016, $4,005,706 in FY 2017, and $3,994,090 in FY 2018. There will be no impact on county revenues, or county and local expenditures.
METHODOLOGY:
The Department of Safety states this bill requires an adjustment to the road toll rate according to changes in the consumer price index (CPI). The Department states the bill requires the rate to be adjusted for FY 2015 and using U.S. Bureau of Labor Statistics CPI data has projected the following adjustments to the road toll rate as prescribed by this bill:
?Year Effective |
Adjustment Factor |
Applicable Rate |
Adjusted Rate |
FY 2015 |
1.231 |
$0.180 |
$0.222 |
The Department of Safety states as this bill requires all revenue collected from the increase in road toll as a result of the CPI adjustment to be exclusively appropriated to and expended by the Department of Transportation. The Department of Safety has estimates the following impact on state restricted revenue and state highway fund expenditures and local revenue associated with the resulting increase in state highway aid under this bill (12% of previous year road toll revenue):
? |
FY 2015 |
FY 2016 |
FY 2017 |
FY 2018 |
Projected Road Toll Rate |
$0.222 |
$0.222 |
$0.222 |
$0.222 |
Current Road Toll Rate |
$0.180 |
$0.180 |
$0.180 |
$0.180 |
Rate Increase |
$0.042 |
$0.042 |
$0.042 |
$0.042 |
? |
? |
? |
? |
? |
Estimated Gallons |
797,094,579 |
794,783,004 |
792,478,134 |
790,179,947 |
Rate Increase |
$0.042 |
$0.042 |
$0.042 |
$0.042 |
Revenue Increase |
$33,477,972 |
$33,380,886 |
$33,284,082 |
$33,187,558 |
? |
? |
? |
? |
? |
Local Highway Aid |
$0 |
$4,017,357 |
$4,005,706 |
$3,994,090 |
In addition to the local highway aid expenditures, presented in the table above, this will result in an indeterminable increase in state restricted expenditures by the Department of Transportation, as the revenue generated by the road toll adjustment in this bill will be appropriated to and expended by the Department.