SLS 20RS-552 ORIGINAL 2020 Regular Session SENATE BILL NO. 285 BY SENATOR MCMATH FUNDS/FUNDING. Provides relative to the dedication and use of certain monies to be deposited into the Transportation Trust Fund. (8/1/20) 1 AN ACT 2 To amend and reenact R.S. 48:77(B)(2), and to repeal R.S. 48:77(B)(3), relative to the 3 dedication and use of certain monies derived from certain general fund revenues for 4 various Transportation Trust Fund and other transportation uses; to provide for and 5 revise the allocation of certain monies derived from certain general fund revenues 6 upon deposit in the Transportation Trust Fund; and to provide for related matters. 7 Be it enacted by the Legislature of Louisiana: 8 Section 1. R.S. 48:77(B)(2) is hereby amended and reenacted to read as follows: 9 ยง77. Transportation Trust Fund; dedication and uses of certain monies for 10 transportation purposes 11 * * * 12 B. The monies dedicated pursuant to Subsection A of this Section shall be 13 deposited to the funds specified for the following purposes: 14 (1) * * * 15 (2) After compliance with the provisions of Paragraph (1) of this Subsection, 16 ninety-three percent of the remaining monies shall be deposited into the 17 Transportation Trust Fund to be appropriated and expended as follows: Page 1 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 285 SLS 20RS-552 ORIGINAL 1 (a) Not less than thirty sixty percent shall be dedicated to highway priority 2 program projects classified as capacity projects in accordance with the Department 3 of Transportation and Development definitions of such projects. 4 (b) Twenty-five Thirty percent shall be used exclusively for port 5 construction and development priority program projects as provided in Chapter 47 6 of Title 34 (R.S. 34:3451 through 3463). 7 (c) The remainder of the monies after compliance with Subparagraphs (2)(a) 8 and (b) of this Paragraph shall be used exclusively for highway priority projects. 9 Such projects shall be specifically for state highway pavement and bridge 10 sustainability in accordance with the Department of Transportation and Development 11 definitions of such projects. 12 (3) After compliance with the provisions of Paragraph (1) of this Subsection, 13 seven Ten percent of the remaining monies shall be deposited into the Transportation 14 Trust Fund. The monies deposited in the Transportation Trust Fund pursuant to this 15 Paragraph Subparagraph shall be used exclusively for final design and construction 16 and shall not be used for studies. 17 * * * 18 Section 2. R.S. 48:77(B)(3) is hereby repealed in its entirety. The original instrument and the following digest, which constitutes no part of the legislative instrument, were prepared by Martha S. Hess. DIGEST SB 285 Original 2020 Regular Session McMath Present law provides, beginning July 1, 2017, that the treasurer shall deposit, from the avails of certain sales and use taxes and inventory tax, into the Transportation Trust Fund (TTF) an amount equal to the increase in general fund revenues that are certified by the Revenue Estimating Conference as being attributable to the provisions of Act 257 of the 2015 RS, however, this amount cannot exceed $100 million. Act 257 of the 2015 RS increased the base from mineral revenues of the Budget Stabilization Fund from $850 million to $950 million. Proposed law retains present law. Present law provides that of the monies dedicated to the Transportation Trust Fund from certain sales and use taxes and inventory tax, the money shall be deposited to the following funds and for the following purposes: (1)The first $70 million is to be deposited into the TTF to be used exclusively for state Page 2 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. SB NO. 285 SLS 20RS-552 ORIGINAL highway pavement and bridge sustainability projects. (2)After compliance with Paragraph (1), 93% shall be deposited into the TTF to be appropriated as follows: (a)Not less than 30% shall be dedicated to highway priority program projects to be classified as capacity projects. (b)25% to be used for port construction and development priority program projects. (c)The remainder of the monies after compliance with Subparagraphs (2)(a) and (b) shall be used exclusively for highway priority projects, specifically for state highway pavement and bridge sustainability. (3)After compliance with Paragraph (1), 7% of the remaining monies are to be deposited into the TTF to be used exclusively for final design and construction and shall not be used for studies. Proposed law does not revise the provision that allocates the first $70 million to be used for state highway pavement and bridge sustainability projects. Proposed law changes the deposit of funds into the TTF after the first $70 million is deposited into the TTF for highway pavement and bridge sustainability projects from 97% of the remaining monies to all of the remaining monies. Proposed law changes the dedication of monies deposited into the TTF after the first $70 million is deposited into the TTF for highway priority program projects classified as capacity projects from 30% to 60%, and changes the percentage to be used for port construction and development priority program projects from 25% to 30%. Ten percent shall be deposited into the TTF to be used exclusively for final design and construction and shall not be used for studies. Proposed law deletes the provision in present law which provides that the remainder of monies, after the deposits for the highway priority program projects classified as capacity projects and the port construction and development priority program projects, shall be used exclusively for state highway pavement and bridge sustainability. Effective August 1, 2020. (Amends R.S. 48:77(B)(2); repeals R.S. 48:77(B)(3)) Page 3 of 3 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions.