1.1                          A bill for an act 
  1.2             relating to transportation; establishing formula for 
  1.3             allocating future county state-aid highway funds to 
  1.4             counties based equally on lane mileage and vehicle 
  1.5             registration contingent on future tax increases; 
  1.6             amending Minnesota Statutes 2002, sections 162.06, by 
  1.7             adding a subdivision; 162.07, by adding subdivisions; 
  1.8             162.08, by adding a subdivision. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 2002, section 162.06, is 
  1.11  amended by adding a subdivision to read: 
  1.12     Subd. 1a.  [ESTIMATE OF SECOND APPORTIONMENT SUM.] (a) 
  1.13  Effective December 15 of each year following the effective date 
  1.14  of an increase in a motor fuel excise tax rate or vehicle 
  1.15  registration tax rate, the commissioner shall estimate the 
  1.16  additional amount of money that will be available to the county 
  1.17  state-aid highway fund during that fiscal year due to tax rate 
  1.18  increases that take effect on or after the effective date of 
  1.19  this section.  The amount available must be based on actual 
  1.20  receipts from July 1 through November 30, the unallocated fund 
  1.21  balance, and the projected receipts for the remainder of the 
  1.22  fiscal year, all of which are based on and due to a tax rate 
  1.23  increase taking effect on or after the effective date of this 
  1.24  section. 
  1.25     (b) The deductions provided for in subdivisions 2 through 5 
  1.26  must be taken from the apportionment sum estimated under 
  1.27  subdivision 1 without accounting for the amount estimated under 
  2.1   this subdivision. 
  2.2      (c) The commissioner shall apportion the total available 
  2.3   amount estimated under paragraph (a) to the counties according 
  2.4   to the formula in section 162.07, subdivision 1a. 
  2.5      (d) This subdivision supersedes any contrary provision of 
  2.6   subdivision 1 or other law. 
  2.7      Sec. 2.  Minnesota Statutes 2002, section 162.07, is 
  2.8   amended by adding a subdivision to read: 
  2.9      Subd. 1a.  [SECOND APPORTIONMENT FORMULA.] The total sum 
  2.10  provided for in section 162.06, subdivision 1a, is identified as 
  2.11  the second apportionment sum and must be apportioned by the 
  2.12  commissioner to the several counties as determined in accordance 
  2.13  with the following formula: 
  2.14     (a) An amount equal to 50 percent of the second 
  2.15  apportionment sum must be apportioned among the several counties 
  2.16  so that each county receives of that amount the percentage that 
  2.17  its motor vehicle registration for the calendar year preceding 
  2.18  the one last past, determined by residence of registrants, bears 
  2.19  to the total statewide motor vehicle registration.  
  2.20     (b) An amount equal to 50 percent of the second 
  2.21  apportionment sum must be apportioned among the several counties 
  2.22  so that each county receives of that amount the percentage that 
  2.23  its total lane-miles of approved county state-aid highways bears 
  2.24  to the total lane-miles of approved statewide county state-aid 
  2.25  highways.  
  2.26     Sec. 3.  Minnesota Statutes 2002, section 162.07, is 
  2.27  amended by adding a subdivision to read: 
  2.28     Subd. 7.  [ESTIMATE MADE IF INFORMATION NOT PROVIDED.] If 
  2.29  any county fails to submit the information provided for in this 
  2.30  section, the commissioner shall estimate the lane mileage of the 
  2.31  county.  The estimate must be used in determining the second 
  2.32  apportionment formula under subdivision 1a.  The commissioner 
  2.33  may withhold payment of the amount apportioned to the county 
  2.34  until the information is submitted. 
  2.35     Sec. 4.  Minnesota Statutes 2002, section 162.08, is 
  2.36  amended by adding a subdivision to read: 
  3.1      Subd. 1a.  [SECOND ALLOCATION FOR SMALLER CITIES.] Upon 
  3.2   determining the sum of money to be apportioned to each county as 
  3.3   provided in section 162.07, subdivision 1a, the commissioner 
  3.4   shall allocate a percentage of that sum for expenditure solely 
  3.5   on those portions of each county's county state-aid highways 
  3.6   located within cities having a population of less than 5,000, 
  3.7   according to the last federal decennial census, or, if 
  3.8   incorporated during the ten-year period between federal 
  3.9   decennial censuses, according to their incorporation census.  
  3.10  The percentage so allocated must equal the percentage that the 
  3.11  total lane-miles of the county state-aid highway system in those 
  3.12  cities bears to the total lane-miles of the county state-aid 
  3.13  highway system in each county.  Money so allocated must be set 
  3.14  apart and credited to the municipal account of each county. 
  3.15     Sec. 5.  [EFFECTIVE DATE.] 
  3.16     Sections 1 to 4 are effective when the first increase in a 
  3.17  motor fuel excise tax rate or vehicle registration tax rate 
  3.18  takes effect after enactment of this act.