The bill amends Section 63-3638 of the Idaho Code to establish a new allocation of sales tax revenues specifically for the Transportation Expansion and Congestion Mitigation Fund, as well as for local government highway projects. It mandates that 4.5% of sales tax revenues, with a minimum of $80 million and a maximum of $140 million, be directed to the transportation fund before July 1, 2025. Additionally, the bill revises Section 40-720 to enhance funding for local highway projects, reflecting an urgent need to improve transportation infrastructure in the state.

Furthermore, the bill outlines a new funding framework for local units of government, appropriating $145 million for fiscal year 2025-2026, $165 million for 2026-2027, and $185 million for subsequent years, with specific portions allocated to both the transportation fund and local highway projects. It specifies that these funds must be used for road and bridge maintenance, lane expansions, and congestion mitigation primarily benefiting motor vehicles. The bill also allows local governments to pool their funds for projects and includes provisions for the issuance of bonds by the Idaho housing and finance association to support state transportation initiatives. An emergency clause is included, enabling the act to take effect immediately upon passage and approval.

Statutes affected:
Bill Text: 63-3638, 40-720