Senate Bill 1642 aims to enhance transportation infrastructure in Tennessee by directing the Department of Transportation to conduct a comprehensive study on transportation needs, costs, and funding sources for the years 2028, 2050, and 2075. The study will consider existing revenue sources dedicated to transportation, potential revenue from transportation-related activities, and the impact of the bill itself on infrastructure needs. The department is required to report its findings and recommendations to the relevant legislative committees by January 1, 2028.

Additionally, the bill amends Tennessee Code Annotated, Section 67-6-103, by deleting subsection (v) and replacing it with new provisions regarding the allocation of revenues from the sale and use of motor vehicles and tires. Specifically, 95.3970% of these revenues will be allocated to the highway fund, while 4.6030% will be appropriated to municipalities based on their population. The bill also stipulates that certain tax revenues generated from motor vehicle sales will be directed to the highway fund, and clarifies that revenues allocated for educational purposes will not be distributed under this new allocation framework. The provisions of this act will take effect on October 1, 2026.

Statutes affected:
Introduced: 67-6-103