State Funding & Policy

Tracking Current State Legislation

Tracking State Policy & Funding Legislation

While at least 23 states have raised new funding for transportation at the state level since 2012 to invest new money in transportation, there’s a renewed focus on the underlying policies to make the most of limited infrastructure dollars. Considering the fact that the federal program is still largely a block grant given to and controlled by the states, state leadership on transportation issues will be more important than ever in the years to come.

Which states are proposing to change to how those dollars are spent? Which states are working to create more transparency and build more public trust in transportation spending? What states are following the lead of forward-looking states outlined in our report, Twelve Innovations in Transportation Policy that States Should Consider? In three tables on this page, we track the current progress in 2016 for states either: raising new funding for transportation, improving the underlying policies, or taking disappointing steps backwards from their peers.

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Tracking 2016 state legislation

Click a tab to see tables containing the bills being tracked under each heading. Each table is sortable and searchable. Entering text into the search bar at the top will isolate only rows that include that text. Try it out by searching for “transit” or “performance measures.” The policy goals and policies in the first table are derived from the framework of our report on 12 policies that states should consider. Looking for information on the states that have successfully raised new transportation revenue since 2012? Those are here.

2016 – Bills to raise new transportation funding

State Bill number Summary Estimated revenue raised per year Multimodal? Policy reform? Most recent action
MO SB 623 Would increase gas tax 1.5-cents-per-gallon to 18.8-cents and increase diesel tax by 3.5-cent-per-gallon to 20.8-cents $56 million Voted from Senate Transportation, Infrastructure and Public Safety Committee 1/20/2016
TN SB1451 Increase registration fee for hybrid vehicles by $75 and for electric vehicles by $150 annually $2 million Died.
IN HB 1001 Increases then indexes fuel taxes to inflation and highway construction costs. Increases and indexes motor carrier fuel surtaxes. Dedicates a larger portion of fuel sales and use tax to the state highway fund. Directs the state budget surplus to transportation. Also enables counties to impose higher vehicle registration or wheel taxes for constructing, maintaining, or repairing roads and streets. Requires the DOT to seek a federal waiver for tolling Interstates 65, 69 and 80 and study tolling these highways. Adds a $100 registration fee for electric vehicles. $182 million Yes Signed into law 3/23/2016
IN SB333 Directs the 2016 state budget surplus to the state highway fund for road and bridge repair. This would transfer an extimated $460 million this year. Transfers $50 million of interest in the next generation transportation fund (from the lease of the Indiana Toll Road) to the state highway fund for road and bridge repair. $0 (transfers existing state funds) Merged with HB 1001
MO SJR 18 Constitutional amendment to raise diesel tax by 3.5-cents-per-gallon and tax on other motor fuels (gas, etc.) by 1.5-cents-per-gallon. Also transfers ownership and maintenance of secondary highways to counties. Requires voter approval. ? Yes Introduced 1/6/2016
MO SB 645 Redirects evenue from 0.5% sales tax to the state road fund. Would ramp up at 0.1% per year from 2017 until 2021. ? Introduced 1/6/2016
VA SB 470 Increases the local supplemental wholesale fuel tax rate for Hampton Roads from 2.1% to 5.1%, beginning July 1, 2016. $51 million Rejected in committee 2/9/2016
VA SB 477 Adds a floor to the local supplemental wholesale fuel taxes collected in Northern Virginia and Hampton Roads so that collections would be at least equal to that which would have been collected on 2/20/2013. $54 million Yes Rejected in committee 2/9/2016
IN HB 1131 Adds a supplemental state motor fuel tax. If the base motor fuel tax is below $1.55, the supplemental tax would be 10-cents-per-gallon. At higher base motor fuel prices the supplemental tax decreases, to zero above a base price of $3.50. The supplemental tax is collected and revenues are distributed in the same manner as the existing state fuel tax. $117 million Introduced 1/7/2016
HI SB 2938 Increases fuel tax from 16- to 19-cents-per-gallon. Increases vehicle registration fees from $45 to $60 annually and increases vehicle weight fees. ? Yes Died.
RI H 7409 Authorizes the turnpike authority to collect tolls on tractor-trailers or large trucks. Tolls shall not exceed $20 for a border-to-border trip on I-95 or $40 per vehicle per day. Tolls on passenger vehicles are prohibited. Revenues raised would be dedicated to bridge reconstruction or replacement. $45 million Signed into law 2/11/2016
OR HB 4055 Increases fuel tax by 4-cents-per-gallon in the Portland metro area and 2-cents-per-gallon elsewhere. Increases annual vehicle registration fees for electric vehicles to $200. Adds a $125 new titling fee. Also commissions an independent performance and program audit of the state DOT and a blue ribbon commission to study the DOT's decision-making process. ? Yes Died.
ME LB 1110 Establishes a study committee to review transportation revenue sources ? Yes Passed 4/1/2016.
AK SB132 Double the motor fuel tax rate from 8-cents to 16-cents-per-gallon. Also increases marine and aviation fuel tax rates. $49 million Died.
SC S. 195 Directs DOT to add a toll on I-95. Revenue would be used for expansion or maintenance of I-95. Toll rates are not specified. unknown Introduced 1/13/2016
CA AB 1591 Raises new revenue for maintenance and repair of state highways and local roads and streets. Increases fuel tax by 22.5-cents-per-gallon, adds a new $38 annual fee for all vehicles and a $165 annual fee for zero-emission vehicles. Funds to local governments are prioritized to those counties that raise their own sales tax for transportation after the enactment of the law.

Also increases the diesel tax by 30-cents-per-gallon and directs the new revenue to freight corridor projects.

The bill would eliminate annual adjustments to the state fuel taxes based on the price of fuel and implement automatic adjustments based on inflation (CPI)

Yes Yes Introduced 1/6/2016
LA HB 121 Applies the state sales tax to fuel purchases and directs the new revenue to transportation. The sales tax rate on fuel would be reduced when the wholesale oil price is above $40 per barrel and eliminated when the prices in above $60 per barrel $138 million Yes Passed committee 2/24/2016
SC H. 3579 Requires the state infrastructure bank to get approval from the transportation commission before providing a loan or other financial assistance.

Appropriates $400 million from the general fund to the state highway fund.

Passed Senate 3/9/2016
DE SB 130 Allows local governments, in agreement with the state DOT, to establish targeted mixed-use neighborhoods as "complete community enterprise districts." Districts must be zoned to allow appropriate mixed use, urban development. These districts would receive priority for state transit funding. The state DOT will design streets within the districts to a target speed of 25mph. Yes Yes Signed by Governor Jack Markell (D) on 5/5/2016. Passed House 35-2 on 5/3/16. Passed Senate 17-3 on 4/12/2016.
IN HB 1001 Directs the budget surplus funds to transportation. Of these funds, 55% will go to the state highway fund and the other 45% will go to a new matching grant fund for local bridges. Additionally, directs a larger portion of revenue from sales taxes on gasoline to these transportation funds.

Allows counties to impose higher local option vehicle fees to fund road and street repair and newly allows municipalities to charge local option vehicle fees vehicle fees.

$414 million one-time transfer from general fund surplus Yes Passed by both chambers 3/11/2016
IN SB 76 Sends $430 million in surplus state income revenue back to the counties where it was collected. Counties must use 75% of the funds for road or aviation projects, or put that portion into a rainy day fund. Passed by both chambers 3/11/2016
GA SB 369 Allows city of Atlanta, with approval through a voter referendum, to impose a 0.5% sales tax for 40 years to fund MARTA transit. Also allows the city of Atlanta to impose an additional 0.5% sales tax for 5 years for other transportation purposes.

Allows the remainder of Fulton County, with approval through a voter referendum, to impose an additional 0.75% sales tax to fund a package of transportation projects (including transit and roads) that local elected officials agree to before the referendum.

Yes Yes Signed by Gov. Nathan Deal (R) 4/26/2016. Passed House 159-4 on 3/15/2016. Passed by Senate 43-5 on 3/24/2016.
MS SB 2921 A placeholder bill to consider issuing bonds or increasing fuel taxes to fund transportation. Passed by Senate
MS SB 2146 Directs an additional 1.5% of state sales tax revenue collected within a city back to the city where collected to be used for road and street repair and maintenance or water and sewer maintenance. Passed Senate 3/4/2016
AL HB 394 Raises state fuel tax to be equal to the average fuel tax of the four bordering states, effective October 1, 2016. Requires the rate to be adjusted again to match the average rate in bordering states in 2019, 2023, and 2027.

Allows counties to raise fuel taxes locally, with approval of referenda, only if the legislature chooses to eliminate future fuel tax increases.

Adds annually a $100 registration fee for private and $150 fee for commercial alternative fuel vehicles (including electric and hybrid vehicles)

$64 million in revenue will be bonded for county bridge repair projects. Sixty-six percent of the remainder will go to the state DOT for road and bridge projects. Thirty-four percent will be directed to counties, based in part on population, for road and bridge projects. Ten percent of the funds suballocated to counties will be again suballocated to municipalities in each county, based on population.

$192 million Passed committee 3/17/16
CO SB 1420 Rearranges programs in the state budget to allow an additional $111 million to go to the state transportation fund by avoiding a budget cap imposed by the state’s Taxpayers’ Bill of Rights. $111 million in FY17 Yes Passed House 4/29/16
NY A09633 Authorizes the Move New York Plan: Revenue from: variable (demand-based) electronically-collected tolls on bridges, tunnels, and streets crossing into Manhattan below 60th St and a new taxi surcharge. Paired with lowering of tolls on outer borough bridges. New revenues would be used for specified transit, bridge, and other transportation projects in New York City and the surrounding region. $2.125 billion Yes Yes Introduced 3/23/2016

Last updated: 2/18/15

2016 – Bills to improve policy

State Bill number Policy goal Specific policy Summary Raises revenue? Most recent action
MA H. 2698 Economically competitiveness for states and locals Enable local transportation taxing authority Allows a city or town to impose a payroll, sales, property, or vehicle excise tax. Revenues are only for transportation-related purposes. The local option tax must be approved by voters. Two or more municipalities may form a taxing district. Municipalities or districts enacting local funds must create a transportation committee including one representative from each municipality, MassDOT, MBTA or the regional transit authority, and the regional planning agency. Hearing held 9/25/2015. Briefing held 3/4/2016.
WI AB 210 Economically competitiveness for states and locals Enable local transportation taxing authority Allows a county or municipality, with voter approval, to impose a 0.5 percent sales tax to raise funds to maintain and repair streets and highways. The tax lasts four years and then can be renewed with another ballot measure Yes Passed Committee on Transportation 12/10/2015. Heard by Assembly 2/9/2016.
MA H. 3877 Economically competitiveness for states and locals Capture value of transportation investments Allows property tax increment financing for transportation projects, if approved by the state DOT and the municipality where located. Yes Hearing held 1/6/2016
IN HB 1001 Economically competitiveness for states and locals Enable local transportation taxing authority Enables counties to impose higher vehicle registration and wheel taxes (up to double the current rate), and also newly enables municipalities to impose vehicle registration or wheel taxes. The county or municipality must first adopt and asset management plan approved by the DOT. Revenues are only for constructing, maintaining, or repairing roads and streets. Additioanlly creates a local road and bridge matching grant fund managed by the DOT. A local government with an asset management plan may apply for matching funds for local repair projects. Applications will be judged on regional economic impact. The fund will receive portions of fuel sales and use tax revenue ($70 million annually) and electric vehicle fees. The bill also raises fuel tax rates and dedicates additional state money to transportation. Yes Signed into law 3/23/2016.
IN SB 280 Economically competitiveness for states and locals Enable local transportation taxing authority Allows a redevelopment commission to grant from its property tax revenues to a public transportation corporation. Such grants must be requested by the public transportation corporation and approved by the redevelopment commission and the governing body of the municipality which created the redevelopment commission. Passed Senate 2/1/2016
IN SB 338 Economically competitiveness for states and locals Enable local transportation taxing authority Enables counties to enact local taxes for road and bridge repair or road safety projects. Taxes include: new county motor fuel tax of up to 2-cents-per-gallon, for county highways and bridges only; new property tax levy, with voter referendum approval; increased license surtax; increased wheel tax. Transfers $250 million from state surplus to a new local road improvement incentive fund, from which the state DOT will distribute money to each county that has enacted a local revenue source enabled by this act. Yes Introduced 1/7/2016
IN HB 1071 Economically competitiveness for states and locals Enable local transportation taxing authority Would allow a township adjoining a county or another township that has placed a local transit measure on the ballot to also place a transit measure on the ballot within in the township. Yes Introduced 1/5/2016
VA SB 470 Economically competitiveness for states and locals Direct more funding to local communities Increases the local supplemental wholesale fuel tax rate for Hampton Roads from 2.1% to 5.1%, beginning July 1, 2016. Yes Died in committee 2/9/2016
VA SB 477 Economically competitiveness for states and locals Direct more funding to local communities Adds a floor to the local supplemental wholesale fuel taxes collected in Northern Virginia and Hampton Roads so that collections would be at least equal to that which would have been collected on 2/20/2013. Yes Died in committee 2/9/2016
MO HB 1788 Accountability and transparency Increases transportation commission membership from 6 to 8 members. One member shall be appointed from each of the state's seven highway districts. No more than four members can be of the same political party. Passed committee 2/18/2016
VA HB1271 Maximize savings Adopt more flexible street design standards Requires the DOT to employ practical design standards based on a life-cycle cost approach that "reduce the cost of project delivery while preserving and enhancing safety and mobility." Died in committee 2/9/2016
TN SB2093 Economically competitiveness for states and locals Enable local transportation taxing authority Authorizes public-private partnerships to construct and operate transit systems. Allows any level of government to employ a partnership through a competitive selection or acceptance of an unsolicited proposal. Signed into law 4/27/2016.
OR SB 1521 Economically competitiveness for states and locals Enable local transportation taxing authority Allows a transit district which imposes a tax on employers to impose a 0.185 percent payroll tax on every employee of every employer in the district. Revenues from this tax may be used only for for expanding bus service, increasing bus service frequency, or acquiring or maintaining buses. Additionally, allows a municipal transit agency to impose a tax on employers and then a payroll tax on employees, in the same manner as transit districts. Yes Died in committee 3/3/2016
GA SB 313 Economically competitiveness for states and locals Enable local transportation taxing authority Increases the local MARTA sales tax from 1% to 1.5% (for counties that have contracted with MARTA and currently levy the 1% tax). Otherwise, the county shall put hold a referendum to approve the sales tax increase. Before the referendum MARTA will submit a list of projects to be funded with the additional local sales tax revenue. Revenue will be prioritized to these specific projects. Yes Withdrawn 2/11/2016
OR HB 4078 Economically competitiveness for states and locals Award funds competitively Establishes a new grant program, administered by the state DOT, to fund transit systems in regions of less than 200,000 people or those that do not currently charge a payroll tax (currently all but TriMet and LTD). Does not provide funding for the new program. Public hearing held 2/3/2016
IN SB 67 Economically competitiveness for states and locals Direct more funding to local communities Would disburse $430 million of surplus funds held for local governments to counties and municipalities. Local governments must use 75% of their disbursement for road and bridge repair, or hold the funds in a rainy day fund. In conference 3/4/2016
OR HB 4055 Accountability and transparency Measuring performance Commissions an independent performance and program audit of the state DOT, including management, planning decision making, and share of spending on planning. Additionally, commissions a blue ribbon commission to study the DOT's decision-making process, including planning and project selection and present policy recommendation to the legislature by 9/15/2018. Also raises fuel taxes. Yes Introduced 2/1/2016
WI AB 593 Economically competitiveness for states and locals Enable local transportation taxing authority Allows creation of a Chippewa Valley Regional Transit Authority in Eau Claire and Chippewa Counties with approval of a local referendum. The RTA could impose a sales tax of up to 0.5%. The local option tax would generate approximately $15 million annually. Yes Introduced 2/10/2015
MD HB 1013 Accountability and transparency Measuring performance Establishes a new objective scoring system for the state DOT to use to select projects.
Sets new goals and specific measures for new, major transportation projects as follows in the following categories: Safety and security; System preservation; Quality of service; Environmental stewardship; Community vitality; Economic prosperity; Equitable access to transportation; Cost effectiveness and return on investment. These scores are indexed by the portion of the state's population in the affected area. The state DOT shall select the highest scoring projects, or provide in writing a rational basis for selecting a lower scoring project over a higher scoring one. The DOT shall include how each selected project was rated in its annual list of projects submitted to the general assembly.
Pessed over gubernatorial veto 4/8/2016.
VA HB1272 Maximize savings Right-sizing projects and utilizing practical design Requires the DOT to employ practical design standards based on a life-cycle cost approach that "reduce the cost of project delivery while preserving and enhancing safety and mobility." Died in committee 2/16/2016
WA HB 2186 Economically competitiveness for states and locals Tolling to manage traffic Allows a city, county, or transportation district to impose a fee on businesses that provide free parking. Revenue must be used for transportation purposes. [as introduced] Yes Public hearing held 2/18/2016
DE HB 1010 Economically competitiveness for states and locals Adopt more flexible street design standards Allows local governments to establish "complete community enterprise districts" and plan and zone for these districts to be mixed-use, urban neighborhoods. The districts would be priorities for state transit funding and all streets within the district would be designed to a target speed of 25mph. Passed committee 6/23/2015
MD SB 130 Accountability and transparency Creates a new oversight board for the Maryland Transit Administration (MTA) including members of the General Assembly, appointees selected by the governor and local governments from the local jurisdictions served, and a representative of the MTA CitizensÕ Advisory Council. This board would help guide MTAÕs long-term vision by reviewing the multi-year Comprehensive Multimodal Transit Development Plan, annual funding decisions, policies, and operations plans. The board will track MTAÕs performance, share additional information with the public, and collect input from a range of stakeholders in order to better inform transit decisions. Hearing held 3/4/2016
CA AB 1591 Economically competitiveness for states and locals Direct more funding to local communities Raises new revenue for maintenance and repair of state highways and local roads and streets. Increases fuel tax by 22.5-cents-per-gallon, adds a new $38 annual fee for all vehicles and a $165 annual fee for zero-emission vehicles. Funds to local governments are prioritized to those counties that raise their own sales tax for transportation after the enactment of the law.

Also increases the diesel tax by 30-cents-per-gallon and directs the new revenue to freight corridor projects.

The bill would eliminate annual adjustments to the state fuel taxes based on the price of fuel and implement automatic adjustments based on inflation (CPI)

Yes Introduced 1/6/2016
DE SB 130 Economically competitiveness for states and locals Right-sizing projects and utilizing practical design Allows local governments, in agreement with the state DOT, to establish targeted mixed-use neighborhoods as "complete community enterprise districts." Districts must be zoned to allow appropriate mixed use, urban development. These districts would receive priority for state transit funding. The state DOT will design streets within the districts to a target speed of 25mph. Amended in Senate 6/25/2015
IN HB 1001 Economically competitiveness for states and locals Direct more funding to local communities Directs the budget surplus funds to transportation. Of these funds, 55% will go to the state highway fund and the other 45% will go to a new matching grant fund for local bridges. Additionally, directs a larger portion of revenue from sales taxes on gasoline to these transportation funds.

Allows counties to impose higher local option vehicle fees to fund road and street repair and newly allows municipalities to charge local option vehicle fees vehicle fees.

Passed by both chambers 3/11/2016
GA SB 369 Economically competitiveness for states and locals Enable local transportation taxing authority Allow city of Atlanta, with approval through a voter referendum, to impose an additional 0.5% sales tax to fund MARTA transit.

Allows the remainder of Fulton County, with approval through a voter referendum, to impose an additional 0.75% sales tax to fund a package of transportation projects (including transit and roads) that local elected officials agree to before the referendum.

Passed House 159-4 on 3/15/2016. Passed by Senate 43-5 on 3/24/2016.
CT SB 402 Economically competitiveness for states and locals Capture value of transportation investments Establishes a state infrastructure bank to provide low-cost loans for infrastructure projects. Hearing held 3/4/2016
MN SF 3211 Accountability and transparency Measuring performance Directs the DOT commissioner to develop a new, objective project evaluation and selection process, to be implemented by October 2017. Passed transportation committee 4-4-2016
NY A09633 Invest in innovation Tolling to manage traffic Authorizes the Move New York Plan: Revenue from: variable (demand-based) electronically-collected tolls on bridges, tunnels, and streets crossing into Manhattan below 60th St and a new taxi surcharge. Paired with lowering of tolls on outer borough bridges. New revenues would be used for specified transit, bridge, and other transportation projects in New York City and the surrounding region. Yes Introduced 3/23/2016
CT SB 19 Economically competitiveness for states and locals Capture value of transportation investments Creates a state Transit Corridor Development Assistance Authority to promote transit-oriented development. It allows the Authority, with agreement from the relevant municipality, to develop and manage property in designated transit development areas. Passed Senate Committee on Transportation 4/6/2016

Last updated: 2/18/15

2016 – Bills that make negative changes

State Bill number Summary Why it's a step back Most recent action
WA HB 2289 Limits collection of tolls or HOV requirements on I-405 toll lanes. Undermines efforts to use tolls and high occupancy/toll lanes to manage congestion Reintroduced 1/11/2016
WA SB 6152 Limits the operation of new I-405 HOT lanes to only one toll lane in each direction; toll-free between 7:00 PM and 5:00 AM; and striped to allow continuous access. Undermines efforts to use tolls and high occupancy/toll lanes to manage congestion Died.
TN HB 1650 Limits state gas tax revenue to be used "solely for the construction, improvement, and maintenance of highways, bridges, and other transportation infrastructure that is open to the use of the public for vehicular travel." Applies this limit to revenue deposited in the state highway fund and revenue distributed to cities and counties. Eliminates the use of funding for needed transportation projects (Read T4's post on the topic.) Died.
CO SB 11 Repeals provision that directs $15 million per year to public transit from FASTER revenues. Eliminates the use of funding for needed transportation projects Died in House Transportation and Energy Committee 2/17/2016
VA HB1 Would prohibit tolls on any existing lanes of I-66 east of West Falls Church. Would also strike the provision that sends toll revenue to the transportation trust fund. Undermines efforts to use transit and transporttion demand management to avoid highway widening Died in committee 2/10/2016
VA HB 1374 Prohibits tolls on I-66 inside the Beltway unless the highway is also widened from West Falls Church to Ballston. Undermines efforts to use transit and transporttion demand management to avoid highway widening Died in committee 2/4/2016
VA SB 365 Exempts projects on highways U.S. 121 (the Coalfield Expressway) and U.S. 460 from the HB2 statewide prioritization and scoring process. Political runaround of the new, objective project selection process Tabled by committee until 2017.
GA SB 420 Would require counties to gain approval through a voter referendum before expending any county funds on fixed guideway transit projects. A democratic mandate for transportation projects is great, but this is just an extra hurdle specifically for planned and future transit projects. Passed House 163-3 on 3/22/2016. Passed Senate 34-16 on 2/29/2016
MI SB 739 Caps southeast Michigan RTA property tax authority at a maximum rate of 2 mills. Would limit how much the new, regional transit system in metro Detroit could grow. Reported from Transportation Committee 2/23/2016

Last updated: 2/18/15