The bill H.944 addresses the fiscal year 2027 Transportation Program in Vermont, incorporating various amendments to existing transportation laws. It adopts the Agency of Transportation's proposed program, contingent on available funding, and introduces new definitions for transportation projects, such as "candidate project" and "front-of-book project." The bill repeals the Rules Regarding Municipal Heavy Equipment Loan Fund and establishes the Municipal Equipment and Vehicle Loan Fund. Significant amendments include changes to the Agency of Transportation's duties, bonding requirements for contractors, and new responsibilities for municipalities regarding bridge maintenance, along with penalties for violations. The sunset date for the Transportation Public-Private Partnership Authority is extended to 2029, and the maximum grant allocation under the Transportation Alternatives Grant Program is increased from $300,000 to $600,000.

Additionally, the bill implements a mileage-based user fee for battery electric vehicles (BEVs) at $0.014 per mile and introduces a road usage charge for BEV rentals set at one percent of the rental charge. It modifies the existing infrastructure fee for plug-in hybrid electric vehicles (PHEVs) to direct collected fees to the Transportation Fund. A transition plan for BEV pleasure cars registered by December 31, 2026, is outlined, shifting to a mileage-based user fee after their first annual inspection in 2027. The Secretary of Transportation is mandated to report on a pay-as-you-go option for this fee by February 15, 2027. The bill also includes a provision for transferring $2.2 million from the Transportation Infrastructure Bond Fund to the Transportation Fund for fiscal year 2027, with specific allocations for town highways. Various sections of the bill are set to take effect on January 1, 2027, and July 1, 2026, for others.

Statutes affected:
As Introduced: 19-10c, 19-10, 23-2302, 24-5084, 19-38, 32-3709, 19-306, 23-361
As Passed By the House -- Official: 19-10c, 19-10, 23-2302, 24-5084, 19-38, 32-3709, 19-306, 23-361
As Passed By the House -- Unofficial: 19-10c, 19-10, 23-2302, 24-5084, 19-38, 23-361