Senate Bill 1642 and House Bill 1683 propose amendments to various sections of the Tennessee Code Annotated concerning transportation infrastructure and funding. A new section, 54-1-105, mandates the Department of Transportation to study the infrastructure needs, costs, and funding sources for the years 2028, 2050, and 2075. The study will consider existing revenue sources, potential new revenue from transportation activities, and the impact of the bill's provisions 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 Section 67-6-103 by deleting subsection (v) and replacing it with a new allocation structure for revenues from the sale and use of motor vehicles and tires, effective October 1, 2026. Under the new provisions, 95.3970% of these revenues will be allocated to the highway fund, while 4.6030% will be distributed to incorporated municipalities based on population. The bill also specifies that certain tax revenues will be directed to the highway fund and clarifies that revenues allocated for educational purposes will not be affected by these changes. The act is set to take effect on October 1, 2026.

Statutes affected:
Introduced: 67-6-103