Under this bill, in any fiscal year, if the total state sales and use tax revenue derived from within the boundaries of a transportation services district exceeds the state sales and use tax revenue estimate budgeted for that fiscal year from within the district, then the amount of the surplus revenue will be apportioned and distributed to any eligible county, upon approval of an application pursuant to this bill, in an amount equal to that portion of the surplus revenue derived from the sale of goods, products, and services within that eligible county. To receive an allocation of state sales and use tax revenue under this bill, an eligible county must submit a completed application to the commissioner together with an application fee in an amount established by the department. This bill sets out the information to be included in the application.
This bill defines "transportation services district" as any area in which existing or future transportation services, facilities, or systems are or will be provided, and which boundaries of the area consist of the following counties: Davidson, Cheatham, Dickson, Robertson, Wilson, Sumner, Montgomery, Williamson, and Rutherford.
The tax revenue allocation available pursuant to this bill will apply to eligible counties that have filed an application with the commissioner of finance and administration and have received the approval of the commissioner.
The amount of surplus revenue distributed will be for the exclusive use of the eligible county and must be used solely for the purpose of paying the indebtedness, principal and interest, and closing costs incurred by the county in the financing, planning, development, implementation, operation, or maintenance of the transportation services, facilities, or systems in the county. The period for the distribution will be 20 years. The distribution will cease upon the expiration of the 20-year period or upon satisfaction of the financing of the transportation services, facilities, or systems, whichever occurs first. Following the expiration of the 20-year period, all amounts that would have otherwise been distributed to the eligible county will be allocated as provided elsewhere without regard to this bill. No revenue derived from a prior year's sales tax increase that is earmarked for educational purposes will be distributed to the eligible county for the financing contemplated in this bill.
This bill defines "eligible county" as any county within a transportation services district that is engaged in the financing, planning, development, implementation, operation, or maintenance of any transportation services, facilities, or systems provided wholly or partly within the county.