SF 2062

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act
  1.2             relating to transportation; increasing tax on gasoline 
  1.3             and special fuel and dedicating revenue from the 
  1.4             increase to a major projects account; authorizing 
  1.5             issuance of Minnesota trunk highway bonds; amending 
  1.6             Minnesota Statutes 1996, sections 296.02, subdivision 
  1.7             1b; and 296.025, subdivision 1b; proposing coding for 
  1.8             new law in Minnesota Statutes, chapter 161. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  [161.042] [MAJOR PROJECTS ACCOUNT.] 
  1.11     Subdivision 1.  [ACCOUNT CREATED.] A major projects account 
  1.12  is created in the trunk highway fund.  The state treasurer shall 
  1.13  credit to the account all net revenue to the trunk highway fund 
  1.14  from the increase in motor fuel taxes in sections 296.02, 
  1.15  subdivision 1b, and 296.025, subdivision 1b, and the proceeds 
  1.16  from the sale of trunk highway bonds authorized under section 4. 
  1.17     Subd. 2.  [EXPENDITURES FROM ACCOUNT.] Money in the major 
  1.18  projects account may be spent only for: 
  1.19     (1) payment of principal and interest on trunk highway 
  1.20  bonds issued under section 4; and 
  1.21     (2) matching federal funds for major trunk highway projects.
  1.22  The commissioner shall submit to the legislature a plan of 
  1.23  expenditures from the account, with costs identified for each 
  1.24  highway project included in the plan, as part of the 
  1.25  department's biennial budget. 
  1.26     Subd. 3.  [DEFINITION.] For purposes of this section, a 
  1.27  "major trunk highway project" is a project that the commissioner 
  2.1   determines: 
  2.2      (1) has a total cost exceeding $100,000,000 or exceeding 
  2.3   the average annual highway improvement budget over the most 
  2.4   recent five previous years for the department of transportation 
  2.5   construction district in which the project is located; 
  2.6      (2) requires not less than five years to plan and 
  2.7   construct; and 
  2.8      (3) is a critical element of the transportation system of 
  2.9   its region and the state. 
  2.10     Sec. 2.  Minnesota Statutes 1996, section 296.02, 
  2.11  subdivision 1b, is amended to read: 
  2.12     Subd. 1b.  [RATES IMPOSED.] The gasoline excise tax is 
  2.13  imposed at the following rates: 
  2.14     (1) E85 is taxed at the rate of 14.2 15.6 cents per gallon; 
  2.15     (2) M85 is taxed at the rate of 11.4 12.5 cents per gallon; 
  2.16  and 
  2.17     (3) all other gasoline is taxed at the rate of 20 22 cents 
  2.18  per gallon.  
  2.19     Sec. 3.  Minnesota Statutes 1996, section 296.025, 
  2.20  subdivision 1b, is amended to read: 
  2.21     Subd. 1b.  [TAX RATES.] The special fuel excise tax is 
  2.22  imposed at the following rates: 
  2.23     (1) Liquefied petroleum gas or propane is taxed at the rate 
  2.24  of 15 16.5 cents per gallon. 
  2.25     (2) Liquefied natural gas is taxed at the rate of 12 13.2 
  2.26  cents per gallon. 
  2.27     (3) Compressed natural gas is taxed at the rate of $1.739 
  2.28  $1.913 per thousand cubic feet; or 20 22 cents per gasoline 
  2.29  equivalent, as defined by the National Conference on Weights and 
  2.30  Measures, which is 5.66 pounds of natural gas. 
  2.31     (4) All other special fuel is taxed at the same rate as the 
  2.32  gasoline excise tax. 
  2.33     Sec. 4.  [TRUNK HIGHWAY BONDS.] 
  2.34     The commissioner of finance is authorized and directed, on 
  2.35  request of the commissioner of transportation and with the 
  2.36  approval of the governor, to issue and sell Minnesota trunk 
  3.1   highway bonds under the provisions of Minnesota Statutes, 
  3.2   sections 167.50 to 167.52, and of the Minnesota Constitution, 
  3.3   article XI, sections 4 to 6, and article XIV, section 11, at the 
  3.4   time and in the amounts requested by the commissioner of 
  3.5   transportation.  Bonds issued under this section are authorized 
  3.6   in an aggregate principal amount of $....... 
  3.7      Sec. 5.  [EFFECTIVE DATE.] 
  3.8      Sections 1 to 4 are effective July 1, 1998.  Section 2 
  3.9   applies to all gasoline in distributor storage on and after that 
  3.10  date.