SB 1147 — county excise tax for transportation.

SB1147 - 532R - IS Ver       REFERENCESenate TITLE:Engrossed       State of Arizona Senate Fifty-third Legislature Second Regular Session   SENATE BILL 1147       AN ACT   Amending title 42, chapter 6, article 3, Arizona Revised Statutes, by adding section 42-6104;

county excise tax for transportation.

      State of Arizona Senate Fifty-third Legislature Second Regular Session   SB 1147   Introduced by Senators Worsley:

Bowie, Brophy McGee, Fann, Kerr, Otondo, Pratt     AN ACT   Amending title 42, chapter 6, article 3, Arizona Revised Statutes, by adding section 42-6104;

START_STATUTE42-6104.  County supplemental excise tax for transportation;

specialrenewal; fund;

transportationextension; plan A.  The board of supervisors of any county, on a majority vote, may submit to and for approval by the qualified electors of the county a transportation plan funded by an excise tax that is in addition to any county excise tax levied or authorized pursuant to section 42-6105, 42‑6106 or 42-6107.  The board shall present the issue on the ballot as a single question for approval or disapproval of both the transportation plan and the tax.

B.  Ifelection A.  The board of supervisors of a county with a population of four hundred thousand persons or less, on a majority vote, may submit to and for approval by the qualified electors of the county an excise tax that is in addition to a county excise tax levied or authorized pursuant to section 42-6106 or 42-6107 for transportation purposes.  The board shall present the issue on the ballot as a single question for approval or disapproval of the tax.  If approved by the qualified electors voting on the issue at a countywide election, the county shall levy and the department of revenue shall collect the tax authorized by this sectionsubsection as follows:

1.  The tax shall be levied under this section beginning January 1 or July 1, whichever date occurs first at least sixty days after voter approval.

2.  The tax shall be levied on the same tax base that applies to an excise tax in the respective county as prescribed by section 42-6105, 42‑6106 or 42-6107.

3.  The tax shall be levied at a rate that, together with anythe tax rate currently levied pursuant to section 42-6105, 42-6106 or 42-6107, will not exceed a total of one percentpercent. of the gross proceeds of sales or gross income from a business subject to the tax.  In its initial submission to the electors, the board of supervisors may propose that, if a tax levied in the county under section 42-6105, 42-6106 or 42-6107 expires or the rate of tax is reduced, the rate of tax levied under this section would increase automatically, subject to the one percent limit prescribed by this paragraph.

C.  In4.  In its initial submission to the electors, the board of supervisors shall either set a termination date for the tax or provide that theis taxwithin willtwo behundred perpetual,forty subjectmonths toafter terminationthe onlydate byprescribed ain subsequentparagraph countywide1 vote of thethis qualifiedsubsection. electors.

D.  The5.  The county shall deposit the net revenues collected under this sectionsubsection in a special county transportation fund exclusively for the payment of costs and obligations incurred under the transportation plan approved under this section. subsection.  The6.  The transportation plan:

1.  Shall(a)  Shall be developed in collaboration with existing state, regional and local transportation authorities and planning agencies.   2.  Shall(b)  Shall specify the allocation of the collected revenues.

3.  May(c)  May include multimodal transportation systems and improvements.

4.  May(d)  May include coordination with authorities and agencies in neighboring counties.

E.  MoniesB.  At collectedthe pursuantwritten torequest thisof sectionthe thatregional areplanning spentagency, accordingthe toboard theof purposessupervisors describedof ina articlecounty IX,that sectionlevies 20,a subsectiontax (3),pursuant paragraphto (d),section subdivisions42‑6105 (i)may call and (viii),conduct Constitutiona ofcountywide Arizona,election areto exemptapprove fromthe renewal and extension of the county'stax expenditurelevied limitation.under section 42-6105 according to the following requirements:

F.  This1.  The sectionissue doeson notthe constituteballot ashall submissionbe ofpresented anyas provisiona ofsingle lawquestion to the people for approval underor thedisapproval power of the referendum.tax.

2.  the election shall be held on a regularly scheduled countywide general election day pursuant to section 16-211.

3.  The renewed tax shall be levied and collected At the rates prescribed by section 42-6105, subsection B For a term beginning from and after December 31, 2025 and continuing for twenty years.

4.  The net revenues collected from the tax shall be allocated and distributed to fund the regional transportation plan under section 28-6308, subsection C and deposited in:

(a)  The regional area road fund pursuant to section 28-6303 for use for:

(i)  Freeways and other routes in the state highway system, including capital expense and maintenance.

(ii)  Major arterial street and intersection improvements, including capital expense and implementation studies.

(b)  The public transportation fund pursuant to section 48-5103 for capital costs, maintenance and operation of public transportation systems according to the plan described in section 42-6105, subsection D, paragraph 3.

C.  At the written request of the regional transportation authority established pursuant to title 48, chapter 30 in a county with a population of more than four hundred thousand but less than one million two hundred thousand persons, the board of supervisors of the county may call and conduct a countywide election to approve the extension of the tax levied pursuant to section 42‑6106 to fund the regional transportation plan under section 48-5309 according to the following requirements:

1.  The issue on the ballot shall be presented as a single question for the approval or disapproval of the tax.

2.  the election shall be held on an election day set pursuant to section 48‑5314, subsection A, paragraph 2.

3.  Notwithstanding section 42-6106, subsection B, the tax shall be levied and collected:

(a)  At a rate that, together with any tax rate currently levied pursuant to section 42‑6106 or 42‑6107, will not exceed:

(i)  Twenty percent of the transaction privilege tax rate prescribed by section 42‑5010, subsection A in effect on January 1, 1990 to each person engaging or continuing in the county in a business taxed under chapter 5, article 1 of this title.

(ii)  Twenty percent of the rate prescribed by section 42‑5352, subsection A.

(b)  On the use or consumption of electricity or natural gas by retail electric or natural gas customers in the county who are subject to use tax under section 42‑5155, at a rate equal to the transaction privilege tax rate under subdivision (a), item (i) of this paragraph applying to persons engaging or continuing in the county in the utilities transaction privilege tax classification.

4.  The tax shall be levied for a term determined by the regional transportation authority board beginning January 1 or July 1, whichever date occurs first at least sixty days following the election and continuing for at least one hundred twenty but not more than two hundred forty months.

5.  Regardless of the outcome of the election, any preexisting tax adopted pursuant to section 42‑6106 shall remain in effect according to the existing transportation plan unless amended pursuant to this subsection.

6.  The net revenues collected from the tax shall be deposited in the regional transportation fund pursuant to section 48-5307 for the purposes of the regional transportation plan, including capital expense and maintenance costs.

D.  Monies collected from any tax levied pursuant to this section that are spent according to the purposes described in article IX, section 20, subsection (3), paragraph (d), subdivisions (i) and (viii), Constitution of Arizona, are exempt from the county's expenditure limitation.

E.  This section does not constitute a submission of any provision of law to the people for approval under the power of the referendum.