Relating to the allocation of certain revenue from the taxes imposed on the sale, rental, or use of motor vehicles to the state highway fund and to the uses of that revenue.
Impact
The specific impact of HB373 is on the state tax code, particularly Section 152.122, which governs the allocation of funds derived from motor vehicle-related taxes. By reallocating these funds predominantly to the state highway fund, the bill is designed to ensure that transportation projects are better supported financially. This has implications for local governments and transportation systems dependent on non-vehicular tax sources, as they may see reduced funding from this stream.
Summary
House Bill 373 aims to modify the allocation of certain revenue generated from taxes imposed on the sale, rental, or use of motor vehicles. This bill seeks to gradually increase the percentage of these taxes that are directed to the state highway fund, moving it from an initial allocation of one-sixth in the fiscal year beginning September 1, 2015, to a full 100% by fiscal years beginning on or after September 1, 2020. This funding strategy is intended to bolster infrastructure improvements and maintenance for highways throughout Texas, reflecting a prioritization of transportation needs in state spending.
Contention
While supporters of HB373 advocate for improved infrastructure funding and emphasize the necessity of updating the revenue allocation, concerns exist regarding the potential neglect of other transportation modalities, such as public transit systems, which may not benefit directly from these funds. The legislation explicitly prohibits the use of these funds for toll roads or mass transit rail systems, potentially sparking debate among stakeholders advocating for more comprehensive transportation solutions in metropolitan areas. This focus raises questions about whether the bill adequately addresses the diverse needs of Texas transportation infrastructure.
Proposing a constitutional amendment providing for the creation of and use of money in the Grow Texas fund and allocating certain general revenues to that fund, the economic stabilization fund, and the state highway fund.
Proposing a constitutional amendment creating the state school safety fund to provide ongoing financial support for projects that ensure the safety of public schools in this state and providing for the transfer of certain general revenues to that fund, the economic stabilization fund, and the state highway fund.
Relating to the Texas Connectivity Fund and to the allocation and the use of certain proceeds from the imposition of state sales and use taxes on telecommunications services.
Relating to the amount of the fee imposed on certain sexually oriented businesses that is allocated to the sexual assault program fund and the allocation of certain other revenue to that fund; increasing the amount of a fee.
Relating to the creation and re-creation of funds and accounts, the dedication and rededication of revenue and allocation of accrued interest on dedicated revenue, and the exemption of unappropriated money from use for general governmental purposes.
Relating to the allocation of certain constitutional transfers of money to the economic stabilization fund, the state highway fund, the oil and gas regulation and cleanup account, the Texas emissions reduction plan fund, the property tax relief fund, and the Texas severance tax revenue and oil and natural gas (Texas STRONG) defense fund and to the permissible uses of money deposited to the Texas severance tax revenue and oil and natural gas (Texas STRONG) defense fund.
Relating to the determination of the sufficient balance of the economic stabilization fund for the purpose of allocating general revenue to that fund and the state highway fund.
Relating to the determination of the sufficient balance of the economic stabilization fund for the purpose of allocating general revenue to that fund and the state highway fund.