HB0058

HOUSE BILL 58

52nd legislature - STATE OF NEW MEXICO - first session, 2015

INTRODUCED BY

Roberto "Bobby" J. Gonzales

AN ACT

RELATING TO TAXATION; INCREMENTALLY INCREASING THE GASOLINE TAX AND THE SPECIAL FUEL EXCISE TAX; PROVIDING FOR DISTRIBUTION OF NET RECEIPTS ATTRIBUTABLE TO THE TAX INCREASES TO THE STATE ROAD FUND; MAKING AN APPROPRIATION.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:

SECTION 1. Section 7-1-6.7 NMSA 1978 (being Laws 1994, Chapter 5, Section 2, as amended) is amended to read:

"7-1-6.7. DISTRIBUTIONS--STATE AVIATION FUND.--

A. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state aviation fund in an amount equal to four and seventy-nine hundredths percent of the taxable gross receipts attributable to the sale of fuel specially prepared and sold for use in turboprop or jet-type engines as determined by the department.

B. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state aviation fund in an amount equal to [twenty-six hundredths percent of gasoline taxes, exclusive of penalties and interest, collected] the following percentages of the net receipts attributable to the taxes imposed pursuant to the Gasoline Tax Act during the following periods:

(1) on or before June 30, 2015, twenty-six hundredths percent;

(2) from July 1, 2015 through June 30, 2016, twenty-five hundredths percent;

(3) from July 1, 2016 through June 30, 2017, twenty-three hundredths percent;

(4) from July 1, 2017 through June 30, 2018, twenty-two hundredths percent;

(5) from July 1, 2018 through June 30, 2019, twenty-one hundredths percent; and

(6) on or after July 1, 2019, two-tenths percent.

C. From July 1, 2013 through June 30, 2018, a distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state aviation fund in an amount equal to

forty-six thousandths percent of the net receipts attributable to the gross receipts tax distributable to the general fund.

D. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state aviation fund from the net

receipts attributable to the gross receipts tax distributable

to the general fund in an amount equal to

[(1) eighty thousand dollars ($80,000) monthly from July 1, 2007 through June 30, 2008;

(2) one hundred sixty-seven thousand dollars

($167,000) monthly from July 1, 2008 through June 30, 2009; and

(3)] two hundred fifty thousand dollars

($250,000) monthly [after July 1, 2009]."

SECTION 2. Section 7-1-6.8 NMSA 1978 (being Laws 1983, Chapter 211, Section 13, as amended) is amended to read:

"7-1-6.8. DISTRIBUTION--MOTORBOAT FUEL TAX FUND.--A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the motorboat fuel tax fund in an amount equal to [thirteen-hundredths of one percent] the following percentages of the net receipts attributable to the gasoline tax imposed during the following periods:

A. on or before June 30, 2015, thirteen-hundredths percent;

B. from July 1, 2015 through June 30, 2017, twelve-hundredths percent;

C. from July 1, 2017 through June 30, 2019, eleven-hundredths percent; and

D. on or after July 1, 2019, one-tenth percent."

SECTION 3. Section 7-1-6.9 NMSA 1978 (being Laws 1991, Chapter 9, Section 11, as amended) is amended to read:

"7-1-6.9. DISTRIBUTION OF GASOLINE TAXES TO MUNICIPALITIES AND COUNTIES.--

A. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made in an amount equal to [ten and thirty-eight hundredths percent] the following percentages of the net receipts attributable to the taxes, exclusive of penalties and interest, imposed [by] pursuant to the Gasoline Tax Act during the following periods:

(1) on or before June 30, 2015, ten and thirty-eight hundredths percent;

(2) from July 1, 2015 through June 30, 2016, nine and eight-tenths percent;

(3) from July 1, 2016 through June 30, 2017, nine and twenty-nine hundredths percent;

(4) from July 1, 2017 through June 30, 2018, eight and eighty-two hundredths percent;

(5) from July 1, 2018 through June 30, 2019, eight and four-tenths percent; and

(6) on or after July 1, 2019, eight and two-hundredths percent.

B. [Except as provided in Subsection D of this section] The amount determined in Subsection A of this section shall be distributed as follows:

(1) ninety percent of the amount shall be paid to the treasurers of municipalities and H class counties in the proportion that the taxable motor fuel sales in each of the municipalities and H class counties bears to the aggregate taxable motor fuel sales in all of these municipalities and H class counties; and

(2) ten percent of the amount shall be paid to the treasurers of the counties, including H class counties, in the proportion that the taxable motor fuel sales outside of incorporated municipalities in each of the counties bears to the aggregate taxable motor fuel sales outside of incorporated municipalities in all of the counties.

C. Except as provided in Subsection D of this section, this distribution shall be paid into a separate road fund in the municipal treasury or county road fund for expenditure only for construction, reconstruction, resurfacing or other improvement or maintenance of public roads, streets, alleys or bridges, including right-of-way and materials acquisition. Money distributed pursuant to this section may be used by a municipality or county to provide matching funds for projects subject to cooperative agreements entered into with the [state highway and] department of transportation [department] pursuant to Section 67-3-28 NMSA 1978. Any municipality or H class county that has created or that creates a "street improvement fund" to which gasoline tax revenues or distributions are irrevocably pledged under Sections 3-34-1 through 3-34-4 NMSA 1978 or that has pledged all or a portion of gasoline tax revenues or distributions to the payment of bonds shall receive its proportion of the distribution of revenues under this section impressed with and subject to these pledges.

D. This distribution may be paid into a separate road fund or the general fund of the municipality or county if the municipality has a population less than three thousand or the county has a population less than four thousand."

SECTION 4. Section 7-1-6.10 NMSA 1978 (being Laws 1983, Chapter 211, Section 15, as amended) is amended to read:

"7-1-6.10. DISTRIBUTIONS--STATE ROAD FUND.--

A. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state road fund in an amount equal to the net receipts attributable to the taxes, surcharges, penalties and interest imposed pursuant to the Gasoline Tax Act and to the taxes, surtaxes, fees, penalties and interest imposed pursuant to the Special Fuels Supplier Tax Act and the Alternative Fuel Tax Act less:

(1) the amount distributed to the state aviation fund pursuant to Subsection B of Section 7-1-6.7 NMSA 1978;

(2) the amount distributed to the motorboat fuel tax fund pursuant to Section 7-1-6.8 NMSA 1978;

(3) the amount distributed to municipalities and counties pursuant to Subsection A of Section 7-1-6.9 NMSA 1978;

(4) the amount distributed to the county government road fund pursuant to Section 7-1-6.19 NMSA 1978;

(5) the amount distributed to the local governments road fund pursuant to Section 7-1-6.39 NMSA 1978;

(6) the amount distributed to the municipalities pursuant to Section 7-1-6.27 NMSA 1978;

(7) the amount distributed to the municipal arterial program of the local governments road fund pursuant to Section 7-1-6.28 NMSA 1978;

(8) the amount distributed to a qualified tribe pursuant to [a gasoline tax sharing agreement entered into between the secretary of transportation and the qualified tribe pursuant to the provisions of] Section [67-3-8.1] 7-1-6.44 NMSA 1978; and

(9) the amount distributed to the general fund pursuant to Section 7-1-6.44 NMSA 1978.

B. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the state road fund in an amount equal to the net receipts attributable to the taxes, interest and penalties from the Weight Distance Tax Act."

SECTION 5. Section 7-1-6.19 NMSA 1978 (being Laws 1991, Chapter 9, Section 15, as amended) is amended to read:

"7-1-6.19. DISTRIBUTION--COUNTY GOVERNMENT ROAD FUND CREATED.--

A. There is created in the state treasury the "county government road fund".

B. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the county government road fund in an amount equal to [five and seventy-six hundredths percent] the following percentages of the net receipts attributable to the gasoline tax imposed during the following periods:

(1) on or before June 30, 2015, five and seventy-six hundredths percent;

(2) from July 1, 2015 through June 30, 2016, five and forty-four hundredths percent;

(3) from July 1, 2016 through June 30, 2017, five and fifteen-hundredths percent;

(4) from July 1, 2017 through June 30, 2018, four and nine-tenths percent;

(5) from July 1, 2018 through June 30, 2019, four and sixty-six hundredths percent; and

(6) on or after July 1, 2019, four and forty-five hundredths percent."

SECTION 6. Section 7-1-6.27 NMSA 1978 (being Laws 1991, Chapter 9, Section 20, as amended) is amended to read:

"7-1-6.27. DISTRIBUTION--MUNICIPAL ROADS.--

A. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to municipalities for the purposes and amounts specified in this section in an aggregate amount equal to [five and seventy-six hundredths percent] the following percentages of the net receipts attributable to the gasoline tax imposed during the following periods:

(1) on or before June 30, 2015, five and seventy-six hundredths percent;

(2) from July 1, 2015 through June 30, 2016, five and forty-four hundredths percent;

(3) from July 1, 2016 through June 30, 2017, five and fifteen-hundredths percent;

(4) from July 1, 2017 through June 30, 2018, four and nine-tenths percent;

(5) from July 1, 2018 through June 30, 2019, four and sixty-six hundredths percent; and

(6) on or after July 1, 2019, four and forty-five hundredths percent.

B. The distribution authorized in this section shall be used for the following purposes:

(1) reconstructing, resurfacing, maintaining, repairing or otherwise improving existing alleys, streets, roads or bridges, or any combination of the foregoing; or laying off, opening, constructing or otherwise acquiring new alleys, streets, roads or bridges, or any combination of the foregoing; provided that any of the foregoing improvements may include, but are not limited to, the acquisition of rights of way;

(2) to provide matching funds for projects subject to cooperative agreements with the [state highway and] department of transportation [department] pursuant to Section 67-3-28 NMSA 1978; and

(3) for expenses of purchasing, maintaining and operating transit operations and facilities, for the operation of a transit authority established by the Municipal Transit Law and for the operation of a vehicle emission inspection program. A municipality may engage in the business of the transportation of passengers and property within the political subdivision by whatever means the municipality may decide and may acquire cars, trucks, motor buses and other equipment necessary for operating the business. A municipality may acquire land, erect buildings and equip the buildings with all the necessary machinery and facilities for the operation, maintenance, modification, repair and storage of the cars, trucks, motor buses and other equipment needed. A municipality may do all things necessary for the acquisition and the conduct of the business of public transportation.

C. For the purposes of this section:

(1) "computed distribution amount" means the distribution amount calculated for a municipality for a month pursuant to Paragraph (2) of Subsection D of this section prior to any adjustments to the amount due to the provisions of Subsections E and F of this section;

(2) "floor amount" means four hundred seventeen dollars ($417);

(3) "floor municipality" means a municipality whose computed distribution amount is less than the floor amount; and

(4) "full distribution municipality" means a municipality whose population at the last federal decennial census was at least two hundred thousand.

D. Subject to the provisions of Subsections E and F of this section, each municipality shall be distributed a portion of the aggregate amount distributable under this section in an amount equal to the greater of:

(1) the floor amount; or

(2) eighty-five percent of the aggregate amount distributable under this section times a fraction, the numerator of which is the municipality's reported taxable gallons of gasoline for the immediately preceding state fiscal year and the denominator of which is the reported total taxable gallons for all municipalities for the same period.

E. Fifteen percent of the aggregate amount distributable under this section shall be referred to as the "redistribution amount". Beginning in August 1990, and each month thereafter, from the redistribution amount there shall be taken an amount sufficient to increase the computed distribution amount of every floor municipality to the floor amount. In the event that the redistribution amount is insufficient for this purpose, the computed distribution amount for each floor municipality shall be increased by an amount equal to the redistribution amount times a fraction, the numerator of which is the difference between the floor amount and the municipality's computed distribution amount and the denominator of which is the difference between the product of the floor amount multiplied by the number of floor municipalities and the total of the computed distribution amounts for all floor municipalities.

F. If a balance remains after the redistribution amount has been reduced pursuant to Subsection E of this section, there shall be added to the computed distribution amount of each municipality that is neither a full distribution municipality nor a floor municipality an amount that equals the balance of the redistribution amount times a fraction, the numerator of which is the computed distribution amount of the municipality and the denominator of which is the sum of the computed distribution amounts of all municipalities that are neither full distribution municipalities nor floor municipalities."

SECTION 7. Section 7-1-6.28 NMSA 1978 (being Laws 1991, Chapter 9, Section 22, as amended) is amended to read:

"7-1-6.28. DISTRIBUTION--MUNICIPAL ARTERIAL PROGRAM OF LOCAL GOVERNMENTS ROAD FUND.--A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the municipal arterial program of the local governments road fund [created in Section 67-3-28.2 NMSA 1978] in an amount equal to [one and forty-four hundredths percent] the following percentages of the net receipts attributable to the gasoline tax imposed during the following periods:

A. on or before June 30, 2015, one and forty-four hundredths percent;

B. from July 1, 2015 through June 30, 2016, one and thirty-six hundredths percent;

C. from July 1, 2016 through June 30, 2017, one and twenty-nine hundredths percent;

D. from July 1, 2017 through June 30, 2018, one and twenty-two hundredths percent;

E. from July 1, 2018 through June 30, 2019, one and seventeen-hundredths percent; and

F. on or after July 1, 2019, one and eleven-hundredths percent."

SECTION 8. Section 7-1-6.39 NMSA 1978 (being Laws 1995, Chapter 6, Section 9, as amended) is amended to read:

"7-1-6.39. DISTRIBUTION OF SPECIAL FUEL EXCISE TAX TO LOCAL GOVERNMENTS ROAD FUND.--A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made to the local governments road fund in an amount equal to [nine and fifty-two hundredths percent] the following percentages of the net receipts attributable to the taxes, exclusive of penalties and interest, from the special fuel excise tax imposed by the Special Fuels Supplier Tax Act imposed during the following periods:

A. on or before June 30, 2015, nine and fifty-two hundredths percent;

B. from July 1, 2015 through June 30, 2016, nine and nine-hundredths percent;

C. from July 1, 2016 through June 30, 2017, eight and sixty-nine hundredths percent;

D. from July 1, 2017 through June 30, 2018, eight and thirty-three hundredths percent;

E. from July 1, 2018 through June 30, 2019, eight percent; and

F. on or after July 1, 2019, seven and sixty-nine hundredths percent."

SECTION 9. Section 7-1-6.44 NMSA 1978 (being Laws 2003, Chapter 150, Section 2, as amended) is amended to read:

"7-1-6.44. DISTRIBUTION--GASOLINE TAX SHARING AGREEMENT.--

A. A distribution pursuant to Section 7-1-6.1 NMSA 1978 shall be made by the department to each qualified tribe [in an amount equal to forty percent of the net receipts attributable to the gasoline tax paid to the department on two million five hundred thousand gallons of gasoline each month. The distribution to each qualified tribe shall be made] pursuant to a gasoline tax sharing agreement entered into by the department of transportation and the qualified tribe according to the provisions of Section 67-3-8.1 NMSA 1978.

B. From the balance remaining each month [from the gasoline tax revenue on two million five hundred thousand gallons of gasoline per qualified tribe] after distributions made pursuant to Subsection A of this section, a distribution of thirty-three thousand three hundred thirty-three dollars ($33,333) shall be made to the general fund.

C. The balance remaining after the distributions from gasoline tax revenue [from two million five hundred thousand gallons of gasoline per qualified tribe] pursuant to Subsections A and B of this section shall be distributed pursuant to Section 7-1-6.10 NMSA 1978.

D. As used in this section, "qualified tribe" means the Pueblo of Nambe or the Pueblo of Santo Domingo, as long as it owns one hundred percent of a registered Indian tribal distributor pursuant to the Gasoline Tax Act, that qualifies for a deduction pursuant to Subsection F of Section 7-13-4 NMSA 1978 and has entered into a gasoline tax sharing agreement pursuant to Section 67-3-8.1 NMSA 1978."

SECTION 10. Section 7-13-3 NMSA 1978 (being Laws 1971, Chapter 207, Section 3, as amended) is amended to read:

"7-13-3. IMPOSITION AND RATE OF TAX--DENOMINATION AS "GASOLINE TAX".--

A. For the privilege of receiving gasoline in this state, there is imposed an excise tax at a rate provided in Subsection B of this section on each gallon of gasoline received in New Mexico.

B. The tax imposed by Subsection A of this section shall be [seventeen cents ($.17)] equal to the following amounts per gallon of gasoline received in New Mexico during the following periods:

(1) on or before June 30, 2015, seventeen cents ($.17);

(2) from July 1, 2015 through June 30, 2016, eighteen cents ($.18);

(3) from July 1, 2016 through June 30, 2017, nineteen cents ($.19);

(4) from July 1, 2017 through June 30, 2018, twenty cents ($.20);

(5) from July 1, 2018 through June 30, 2019, twenty-one cents ($.21); and

(6) on or after July 1, 2019, twenty-two cents ($.22).

C. The tax imposed by this section may be called the "gasoline tax"."

SECTION 11. Section 7-16A-3 NMSA 1978 (being Laws 1992, Chapter 51, Section 3, as amended) is amended to read:

"7-16A-3. IMPOSITION AND RATE OF TAX--DENOMINATION AS SPECIAL FUEL EXCISE TAX.--

A. For the privilege of receiving or using special fuel in this state, there is imposed an excise tax at a rate provided in Subsection B of this section on each gallon of special fuel received in New Mexico.

B. The tax imposed by Subsection A of this section shall be [twenty-one cents ($.21)] equal to the following amounts per gallon of special fuel received or used in New Mexico during the following periods:

(1) on or before June 30, 2015, twenty-one cents ($.21);

(2) from July 1, 2015 through June 30, 2016, twenty-two cents ($.22);

(3) from July 1, 2016 through June 30, 2017, twenty-three cents ($.23);

(4) from July 1, 2017 through June 30, 2018, twenty-four cents ($.24);

(5) from July 1, 2018 through June 30, 2019, twenty-five cents ($.25); and

(6) on or after July 1, 2019, twenty-six cents ($.26).

C. The tax imposed by this section may be called the "special fuel excise tax"."

- 18 -