This bill establishes a 50 percent sales and use tax exemption for retail businesses located in municipalities affected by ongoing public highway projects. To qualify for this exemption, sellers must operate a retail business establishment within an impacted municipality and receive approval from the Director of the Division of Taxation. Sellers are required to submit an application to verify their eligibility, and the director will issue a written determination indicating the applicable retail establishments and the duration of the exemption, referred to as the "relief period," which spans from the commencement to the completion of the public highway project.

Additionally, the bill outlines the responsibilities of the Commissioner of Transportation, who must provide written notice to the director regarding the commencement or completion of public highway projects. This notice must be given within 30 days of the bill's effective date for ongoing projects and within 30 days of project completion for those that have ended. The director is then tasked with notifying sellers of the termination of their exemption based on the completion of the project. The bill also includes definitions for key terms such as "retail business establishment," "impacted municipality," and "public highway project" to clarify the scope and application of the exemption.