DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of the
legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 294 Original 2017 Regular Session Bacala
Abstract: Dedicates, in increments beginning in FY 2017-2018, sales tax on motor vehicles into
the Highway Capacity Fund for highway projects intended to reduce vehicle travel hours.
Present law provides for the deposit of the amount of certain mineral revenues received by the state
into the Transportation Trust Fund. Present law provides that the money shall come from the avails
of the state sales and use tax on motor vehicles.
Proposed law retains the dedication of mineral revenues in present law but deletes reference to the
avails of the state sales and use tax on motor vehicles.
Proposed law creates the Highway Capacity Fund as a special treasury fund and dedicates a portion
of the avails of the state sales and use tax on motor vehicles to the Highway Capacity Fund as
follows: Percent Fiscal Year
10% 2017-2018
20% 2018-2019
30% 2019-2020
40% 2020-2021
50% 2021-2022
60% 2022-2023
70% 2023-2024
80% 2024-2025
90% 2025-2026
100% 2026-2027
Proposed law requires the monies in the Highway Capacity Fund to be used for design and
construction projects with the greatest number of annual vehicle travel hours saved per million
dollars spent. Prohibits funding of projects with a cost of $100 million or more through FY 2022-
2023. Thereafter, prohibits more than 50% of the annual appropriation from being spent on projects
with a cost of $100 million or more.
(Amends R.S. 47:481 and R.S. 48:77)