HB 1430: Transportation Funding Adjustments

Official summary

Abstract published by the legislature (via Open States). Text as published by the legislature; reproduced verbatim.

Contingent upon voter approval at the November 2026 general election of a proposed initiative to amend the state constitution to change existing law on transportation funding and to increase the amount of state revenue dedicated to road transportation (proposed initiative), from January 1, 2027, through July 1, 2030, the act reduces:The excise tax on gasoline from $0.22 per gallon to $0.14 per gallon;The excise tax on special fuel from $0.205 per gallon to $0.13 per gallon; Certain vehicle registration fees, including late fees; andThe road usage fees from $0.06 per gallon to $0.04 per gallon and then, beginning in state fiscal year 2027-28, as necessary to offset the amount of state revenue diverted to transportation uses as the result of the proposed initiative.     The act creates the support road transportation fund (fund) contingent upon voter approval of the proposed initiative. The fund consists of state revenue dedicated to road transportation by the proposed initiative. Money in the fund is used to replace certain transportation-related general fund transfers for payments for the financed purchase of assets or certificate of participation agreements, and to replace certain general fund transfers to the state highway fund. The money remaining in the fund after making these transfers is allocated as follows:60% is paid to the state highway fund;23% is paid to counties for certain transportation expenses; and17% is paid to cities and incorporated towns for certain transportation expenses.     The act clarifies that state revenue collected to support road transportation, as defined in the proposed initiative, does not include enterprise fee revenue.     The act creates the road enterprise to complete preventive maintenance, repair, rehabilitation, and reconstruction projects to improve the condition of the roadway surface of the state highway system. The road enterprise is authorized to impose fees for oversize and overweight vehicles and longer vehicle combinations. The creation of the road enterprise is not contingent upon voter approval of the proposed initiative.     Contingent upon the proposed initiative being withdrawn or not submitted for the November 2026 general election, the act creates the transportation funding working group to evaluate and make recommendations to the general assembly, the transportation commission, and the governor concerning funding state and local surface transportation maintenance, repair, capacity, and safety.     Lastly, the act reduces the July 1, 2026, transfer from the general fund to the state highway fund from approximately $50 million to $500,000.(Note: This summary applies to this bill as enacted.)

Sponsors

Sponsors by party (alphabetical): Democratic 28

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. June 4, 2026Governor Signed
2. May 26, 2026Signed by the Speaker of the House
3. May 26, 2026Signed by the President of the Senate
4. May 26, 2026Sent to the Governor
5. May 13, 2026Senate Third Reading Passed with Amendments - Floor
6. May 13, 2026House Considered Senate Amendments - Result was to Concur - Repass
7. May 12, 2026Senate Committee on Appropriations Refer Unamended to Senate Committee of the Whole
8. May 12, 2026Senate Second Reading Special Order - Passed with Amendments - Committee, Floor
9. May 11, 2026Senate Committee on Finance Refer Amended to Appropriations
10. May 8, 2026Introduced In Senate - Assigned to Finance
11. May 7, 2026House Third Reading Passed - No Amendments
12. May 6, 2026House Committee on Appropriations Refer Unamended to House Committee of the Whole

Showing 12 most recent of 15 actions. Full history