MISSISSIPPI LEGISLATURE REGULAR SESSION 2021

By: Representative Lamar To: Ways and Means

COMMITTEE SUBSTITUTE FOR HOUSE BILL NO. 1364

1 AN ACT TO AUTHORIZE THE ISSUANCE OF STATE REVENUE BONDS TO 2 PROVIDE FUNDS FOR VARIOUS DEPARTMENT OF TRANSPORTATION 3 PROJECTS, TO PROVIDE FUNDS FOR THE 2021 MUNICIPALITIES ROAD AND 4 BRIDGE FUND AND TO PROVIDE FUNDS FOR THE EMERGENCY ROAD AND BRIDGE 5 REPAIR FUND; TO CREATE A SPECIAL BOND SINKING FUND FOR THE PURPOSE 6 OF PAYING THE DEBT SERVICE OF BONDS ISSUED UNDER THIS ACT; TO 7 PROVIDE THAT THE SPECIAL BOND SINKING FUND SHALL CONSIST OF A 8 PORTION OF THE STATE GASOLINE EXCISE TAX REVENUE AND DIESEL FUEL 9 EXCISE TAX REVENUE AND OTHER AMOUNTS AS MAY BE PAID BY 10 APPROPRIATION OR OTHER AUTHORIZATION OF THE LEGISLATURE; TO CREATE 11 IN THE STATE TREASURY A SPECIAL FUND TO BE KNOWN AS THE "2021 12 MUNICIPALITIES ROAD AND BRIDGE FUND"; TO PROVIDE THAT MONIES IN 13 THE FUND SHALL BE UTILIZED BY THE MISSISSIPPI DEPARTMENT OF 14 TRANSPORTATION TO PROVIDE GRANTS TO ASSIST MUNICIPALITIES IN 15 PAYING COSTS ASSOCIATED WITH REPAIR, MAINTENANCE AND 16 RECONSTRUCTION OF ROADS, STREETS AND BRIDGES IN MUNICIPALITIES; TO 17 AMEND SECTION 27-55-11, MISSISSIPPI CODE OF 1972, TO TEMPORARILY 18 INCREASE THE RATE OF THE GASOLINE EXCISE TAX; TO PROVIDE THAT 19 BEGINNING ON JULY 1, 2031, AND EACH SUCCEEDING JULY 1 THEREAFTER, 20 THE RATE OF THE GASOLINE EXCISE TAX SHALL BE INCREASED OR 21 DECREASED BY A PERCENTAGE AMOUNT EQUAL TO THE LESSER OF ONE 22 PERCENT OR THE UNITED STATES INFLATION RATE FOR THE PREVIOUS 23 CALENDAR YEAR ENDING ON DECEMBER 31; TO AMEND SECTIONS 27-55-519 24 AND 27-55-521, MISSISSIPPI CODE OF 1972, TO TEMPORARILY INCREASE 25 THE RATE OF THE SPECIAL FUEL EXCISE TAX ON DIESEL FUEL; TO PROVIDE 26 THAT BEGINNING ON JULY 1, 2031, AND EACH SUCCEEDING JULY 1 27 THEREAFTER, THE RATE OF THE SUCH EXCISE TAXES SHALL BE INCREASED 28 OR DECREASED BY A PERCENTAGE AMOUNT EQUAL TO THE LESSER OF ONE 29 PERCENT OR THE UNITED STATES INFLATION RATE FOR THE PREVIOUS 30 CALENDAR YEAR ENDING ON DECEMBER 31; TO PROVIDE THAT THE TEMPORARY 31 EXCISE TAX INCREASES AUTHORIZED IN THIS ACT SHALL NOT BE LEVIED 32 UNLESS A MAJORITY OF VOTERS VOTING AT A STATEWIDE SPECIAL ELECTION 33 ON THE QUESTION OF THE TAX INCREASES VOTE IN FAVOR OF THE TAX 34 INCREASES; TO PROVIDE FOR A STATEWIDE SPECIAL ELECTION ON THE H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ R3/5 21/HR26/R1628CS.1 PAGE 1 (BS\KW) 35 QUESTION OF WHETHER THE TEMPORARY EXCISE TAX INCREASES AUTHORIZED 36 BY THIS ACT SHALL BE LEVIED; TO AMEND SECTION 27-5-101, 37 MISSISSIPPI CODE OF 1972, TO PROVIDE THAT THE REVENUE DERIVED FROM 38 THE TEMPORARY INCREASES OF THE GASOLINE EXCISE TAX AND SPECIAL 39 FUEL EXCISE TAX ON DIESEL FUEL SHALL BE DEPOSITED INTO THE SPECIAL 40 BOND SINKING FUND CREATED IN THIS ACT FOR THE PURPOSE OF PAYING 41 THE DEBT SERVICE OF REVENUE BONDS ISSUED UNDER THIS ACT; TO BRING 42 FORWARD SECTION 23-15-833, MISSISSIPPI CODE OF 1972, WHICH 43 PROVIDES THE HOLDING OF SPECIAL ELECTIONS, FOR THE PURPOSES OF 44 POSSIBLE AMENDMENT; AND FOR RELATED PURPOSES. 45 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

46 SECTION 1. (1) As used in this section, the following words 47 shall have the meanings ascribed herein unless the context clearly 48 requires otherwise: 49 (a) "Accreted value" of any bond means, as of any date 50 of computation, an amount equal to the sum of (i) the stated 51 initial value of such bond, plus (ii) the interest accrued thereon 52 from the issue date to the date of computation at the rate,

53 compounded semiannually, that is necessary to produce the 54 approximate yield to maturity shown for bonds of the same 55 maturity. 56 (b) "State" means the State of Mississippi. 57 (c) "Commission" means the State Bond Commission.

58 (2) (a) (i) A special fund, to be designated the "2021 59 Mississippi Road and Bridge Improvements Fund" is created within

60 the State Treasury, which fund shall consist of funds made 61 available by the Legislature in any manner and funds from any 62 other source designated for deposit into such fund. The fund 63 shall be maintained by the State Treasurer as a separate and 64 special fund, separate and apart from the General Fund of the

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 2 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 65 state. Unexpended amounts remaining in the fund at the end of a 66 fiscal year shall not lapse into the State General Fund, and any 67 interest earned or investment earnings on amounts in the fund 68 shall be deposited into such fund. 69 (ii) Monies deposited into the fund shall be 70 disbursed for the following purposes:

71 1. Construction, reconstruction, repairs, 72 upgrades and other improvements to and U.S. Highway 73 51 in DeSoto County, Mississippi, beginning at or near the City of 74 Hernando, Mississippi, and progressing north through the 75 Mississippi Highway 302 Interchange; 76 2. Construction of various interchange and 77 geometric improvements to in Vicksburg, Mississippi;

78 3. Construction, reconstruction, repairs, 79 upgrades and other improvements to Interstate 10 in Hancock 80 County, Mississippi, extending from at or near the state 81 line to at or near the Diamondhead Interchange; 82 4. Construction, reconstruction, repairs,

83 upgrades and other improvements to Interstate 10 in Hancock 84 County, Mississippi, extending from at or near the Diamondhead

85 Interchange to at or near the Wolf River; 86 5. Construction and development of 87 Mississippi Highway 601 in Harrison County, Mississippi;

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 3 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 88 6. Construction of improvements to the 89 /U.S. Highway 11 Interchange and the immediate 90 adjacent network; 91 7. Construction, reconstruction, repairs, 92 upgrades and other improvements to 93 extending from at or near U.S. Highway 80 to at or near Muley

94 Road; 95 8. Construction, reconstruction, repairs, 96 upgrades and other improvements to Mississippi Highway 15 97 extending from at or near Mississippi Highway 9 to at or near U.S. 98 Highway 278; 99 9. Construction, reconstruction, repairs, 100 upgrades and other improvements to Mississippi Highway 15

101 extending from at or near the City of Pontotoc, Mississippi, to at 102 or near King's Creek; 103 10. Construction, reconstruction, repairs, 104 upgrades and other improvements to Mississippi Highway 15 105 extending from at or near the Union County line to at or near the

106 intersection with U.S. Highway 72 in the Town of Walnut, 107 Mississippi;

108 11. Construction, reconstruction, repairs, 109 upgrades and other improvements to Mississippi Highway 16 as part 110 of the Philadelphia Bypass project;

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 4 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 111 12. Construction, reconstruction, repairs, 112 upgrades and other improvements to Mississippi Highway 57 as part 113 of the Vancleave Bypass project; 114 13. Construction, reconstruction, repairs, 115 upgrades and other improvements to U.S. Highway 90 extending from 116 at or near Mississippi Highway 609 to at or near Dolphin Drive;

117 14. Construction, reconstruction, repairs, 118 upgrades and other improvements to Mississippi Highway 19 119 extending from at or near Mississippi 492 to at or near Tucker, 120 Mississippi(census-designated place); 121 15. Construction, reconstruction, repairs, 122 upgrades and other improvements to Mississippi Highway 16 123 extending from at or near the City of Canton, Mississippi, to at

124 or near the City of Philadelphia, Mississippi; 125 16. Construction and development of the 126 Reunion Parkway project from at or near Bozeman Road to at or near 127 Parkway East in Madison County, Mississippi; 128 17. Construction, reconstruction, repairs,

129 upgrades and other improvements to a portion of Mississippi 130 Highway 7 extending south from at or near the boundary of the

131 corporate limits of the City of Oxford, Mississippi, to the 132 existing four-lane of such highway in the City of Water Valley, 133 Mississippi; 134 18. Construction, reconstruction, repairs, 135 upgrades and other improvements to extending

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 5 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 136 westward from at or near , which shall include 137 four-laning the portion of Mississippi Highway 4 extending from at 138 or near Interstate 22 to at or near Interstate 55 and Mississippi 139 Highway 740, and which shall include five-laning the portion of 140 Mississippi Highway 4 extending westward from at or near 141 Interstate 55 for approximately three (3) miles;

142 19. Construction of additional lanes for U.S. 143 Highway 51 in Tate County, Mississippi, extending south from at or 144 near West Main Street to at or near the Panola County, 145 Mississippi, line, which shall include five-laning the portion of 146 such highway north of Mississippi Highway 740; 147 20. Construction, reconstruction, repairs, 148 upgrades and other improvements to

149 extending east from at or near Interstate 55 through the City of 150 Durant, Mississippi, to at or near the City of Kosciusko, 151 Mississippi, which shall include four-laning such highway; 152 21. Construction, reconstruction, repairs, 153 upgrades and other improvements to U.S. Highway 49 in Rankin

154 County, Mississippi, and Simpson County, Mississippi; 155 22. Construction, reconstruction, repairs,

156 upgrades and other improvements to Mississippi Highway 24/48 157 extending from at or near McComb, Mississippi, to at or near 158 Liberty, Mississippi, which may include four-laning such highway; 159 23. Construction, reconstruction, repairs, 160 upgrades and other improvements to U.S. Highway 61 extending south

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 6 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 161 from at or near the City of Leland, Mississippi, to the existing 162 four-lane of such highway north of the City of Vicksburg, 163 Mississippi, which may include the four-laning of such highway; 164 24. Construction, reconstruction, repairs, 165 upgrades and other improvements to Mississippi Highway 14 166 extending from at or near the City of Louisville, Mississippi, to

167 at or near the City of Macon, Mississippi; 168 25. Construction, reconstruction, repairs, 169 upgrades and other improvements to Mississippi Highway 27 170 extending from at or near Interstate 55 to at or near Interstate 171 20; 172 26. Completing a portion of U.S. Highway 61 173 in Claiborne County, Mississippi, as contemplated in the 1987

174 Four-Lane Highway Program, provided that there are no funds 175 available from any other source for this project; 176 27. Not more than One Hundred Million Dollars 177 ($100,000,000.00) shall be used to provide funds to assist 178 counties in this state in paying costs associated with the repair,

179 maintenance and/or reconstruction of roads, streets and bridges in 180 counties, and such funds shall be distributed to the counties in

181 the following proportions: 182 a. One-third (1/3) shall be allocated to 183 all counties in equal shares, 184 b. One-third (1/3) shall be allocated to 185 counties based on the proportion that the total number of rural

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 7 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 186 road miles in a county bears to the total number of rural road 187 miles in all counties of the state, and 188 c. One-third (1/3) shall be allocated to 189 counties based on the proportion that the rural population of a 190 county bears to the total rural population in all counties of the 191 state, according to the latest federal decennial census.

192 For the purposes of this item 24, rural road miles and rural 193 population in the counties shall be determined in the same manner 194 as they are determined for the purposes of the distribution 195 formula in Section 65-9-3, Mississippi Code of 1972. 196 (iii) Monies in the fund disbursed for projects 197 described in subparagraph (ii) of this paragraph (a) also may be 198 used to meet federal matching fund requirements for such projects.

199 The Mississippi Department of Transportation shall apply for and 200 seek assistance from all available sources of federal funding for 201 projects described in subparagraph (ii) of this paragraph (a), and 202 if any federal funds become available for a project, the 203 department must use the funds for the project.

204 (iv) The Mississippi Department of Transportation 205 shall report annually to the Legislature regarding the status of

206 the projects described in subparagraph (ii) of this paragraph (a), 207 sources of funds available for the projects and sources of funds 208 expended or to be expended for the projects, the amount of bonds 209 that have been issued under this section for the projects and any 210 projected need for the issuance of bonds for the projects, and

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 8 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 211 estimated dates for completion of projects that have been 212 commenced and estimated dates for commencement of projects that 213 have not been commenced. 214 (b) Amounts deposited into such special fund shall be 215 disbursed to pay the costs of the projects described in paragraph 216 (a) of this subsection. Promptly after the commission has

217 certified, by resolution duly adopted, that the projects described 218 in paragraph (a) of this subsection shall have been completed, 219 abandoned, or cannot be completed in a timely fashion, any amounts 220 remaining in such special fund shall be applied to pay debt 221 service on the bonds issued under this section, in accordance with 222 the proceedings authorizing the issuance of such bonds and as 223 directed by the commission.

224 (c) The Mississippi Transportation Commission is 225 expressly authorized and empowered to receive and expend any local 226 or other source funds in connection with the expenditure of funds 227 provided for in this subsection. The expenditure of monies 228 deposited into the special fund shall be under the direction of

229 the Mississippi Transportation Commission, and such funds shall be 230 paid by the State Treasurer upon warrants issued by the Department

231 of Finance and Administration, which warrants shall be issued upon 232 requisitions signed by the Executive Director of the Mississippi 233 Department of Transportation, or his designee. 234 (3) For the purpose of providing for the payment of the 235 principal of and interest upon bonds issued under this section,

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 9 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 236 there is created a special bond sinking fund in the State 237 Treasury. The special bond sinking fund shall consist of the 238 monies deposited into the fund under Section 27-5-101(f), 239 Mississippi Code of 1972, and such other amounts as may be paid 240 into such fund by appropriation or other authorization by the 241 Legislature. Except as otherwise provided in this section, monies

242 in the special bond sinking fund shall be used to pay the debt 243 service requirements of the bonds issued under this section. If 244 the special bond sinking fund has a balance in excess of the 245 amount needed to pay the debt obligations related to the bonds 246 issued under this section, as determined in the resolution 247 providing for the issuance of the bonds, the excess monies may be 248 transferred into the special fund created in subsection (2) of

249 this section. Unexpended amounts remaining in the special bond 250 sinking fund at the end of a fiscal year shall not lapse into the 251 State General Fund, and any interest earned or investment earnings 252 on amounts in the special bond sinking fund shall be deposited 253 into such sinking fund.

254 (4) (a) The commission, at one time, or from time to time, 255 may declare by resolution the necessity for issuance of revenue

256 bonds of the State of Mississippi to provide funds for all costs 257 incurred or to be incurred for the purposes described in 258 subsection (2) of this section, to provide funds for the 2021 259 Municipalities Road and Bridge Fund created in Section 2 of this 260 act and to provide funds for the Emergency Road and Bridge Repair

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 10 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 261 Fund created in Section 65-1-179, Mississippi Code of 1972. Upon 262 the adoption of a resolution by the Mississippi Transportation 263 Commission, declaring the necessity for the issuance of any part 264 or all of the revenue bonds authorized by this subsection, the 265 Mississippi Transportation Commission shall deliver a certified 266 copy of its resolution or resolutions to the commission. Upon

267 receipt of such resolution, the commission, in its discretion, may 268 act as the issuing agent, prescribe the form of the bonds, 269 determine the appropriate method for sale of the bonds, advertise 270 for and accept bids or negotiate the sale of the bonds, issue and 271 sell the bonds so authorized to be sold, and do any and all other 272 things necessary and advisable in connection with the issuance and 273 sale of such bonds. The total amount of bonds issued under this

274 section shall not exceed Two Billion Five Hundred Million Dollars 275 ($2,500,000,000.00). Of the bonds authorized under this section, 276 not more than Two Billion Three Hundred Million Dollars 277 ($2,300,000,000.00) of such bonds may be issued to provide funds 278 for all costs incurred or to be incurred for the purposes

279 described in subsection (2) of this section, not more than One 280 Hundred Million Dollars ($100,000,000.00) of such bonds may be

281 issued to provide funds for the 2021 Municipalities Road and 282 Bridge Fund created in Section 2 of this act, and not more than 283 One Hundred Million Dollars ($100,000,000.00) of such bonds may be 284 issued to provide funds for the Emergency Road and Bridge Repair

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 11 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 285 Fund created in Section 65-1-179, Mississippi Code of 1972. No 286 bonds shall be issued under this section after July 1, 2026. 287 (b) Any investment earnings on amounts deposited into 288 the special fund created in subsection (2) of this section shall 289 be used to pay debt service on bonds issued under this section, in 290 accordance with the proceedings authorizing issuance of such

291 bonds.

292 (5) The principal of and interest on the bonds authorized 293 under this section shall be payable in the manner provided in this 294 subsection. Such bonds shall bear such date or dates, be in such 295 denomination or denominations, bear interest at such rate or rates 296 (not to exceed the limits set forth in Section 75-17-101, 297 Mississippi Code of 1972), be payable at such place or places

298 within or without the State of Mississippi, shall mature 299 absolutely at such time or times not to exceed twenty (20) years 300 from date of issue, be redeemable before maturity at such time or 301 times and upon such terms, with or without premium, shall bear 302 such registration privileges, and shall be substantially in such

303 form, all as shall be determined by resolution of the commission.

304 (6) The bonds authorized by this section shall be signed by 305 the chairman of the commission, or by his facsimile signature, and 306 the official seal of the commission shall be affixed thereto, 307 attested by the secretary of the commission. The interest 308 coupons, if any, to be attached to such bonds may be executed by 309 the facsimile signatures of such officers. Whenever any such

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 12 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 310 bonds shall have been signed by the officials designated to sign 311 the bonds who were in office at the time of such signing but who 312 may have ceased to be such officers before the sale and delivery 313 of such bonds, or who may not have been in office on the date such 314 bonds may bear, the signatures of such officers upon such bonds 315 and coupons shall nevertheless be valid and sufficient for all

316 purposes and have the same effect as if the person so officially 317 signing such bonds had remained in office until their delivery to 318 the purchaser, or had been in office on the date such bonds may 319 bear. However, notwithstanding anything herein to the contrary, 320 such bonds may be issued as provided in the Registered Bond Act of 321 the State of Mississippi.

322 (7) All bonds and interest coupons issued under the 323 provisions of this section have all the qualities and incidents of 324 negotiable instruments under the provisions of the Uniform 325 Commercial Code, and in exercising the powers granted by this 326 section, the commission shall not be required to and need not 327 comply with the provisions of the Uniform Commercial Code.

328 (8) The commission shall act as issuing agent for the bonds 329 authorized under this section, prescribe the form of the bonds,

330 determine the appropriate method for sale of the bonds, advertise 331 for and accept bids or negotiate the sale of the bonds, issue and 332 sell the bonds so authorized to be sold, pay all fees and costs 333 incurred in such issuance and sale, and do any and all other 334 things necessary and advisable in connection with the issuance and

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 13 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 335 sale of such bonds. The commission is authorized and empowered to 336 pay the costs that are incident to the sale, issuance and delivery 337 of the bonds authorized under this section from the proceeds 338 derived from the sale of such bonds. The commission may sell such 339 bonds on sealed bids at public sale or may negotiate the sale of 340 the bonds for such price as it may determine to be for the best

341 interest of the State of Mississippi. All interest accruing on 342 such bonds so issued shall be payable semiannually or annually. 343 If such bonds are sold by sealed bids at public sale, notice 344 of the sale shall be published at least one time, not less than 345 ten (10) days before the date of sale, and shall be so published 346 in one or more newspapers published or having a general 347 circulation in the City of Jackson, Mississippi, selected by the

348 commission. 349 The commission, when issuing any bonds under the authority of 350 this section, may provide that bonds, at the option of the State 351 of Mississippi, may be called in for payment and redemption at the 352 call price named therein and accrued interest on such date or

353 dates named therein.

354 (9) The bonds issued under the provisions of this section 355 shall be revenue bonds of the state, the principal of and interest 356 on which shall be payable solely from and shall be secured by the 357 special bond sinking fund created in subsection (3) of this 358 section. The bonds shall never constitute an indebtedness of the 359 state within the meaning of any state constitutional provision or

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 14 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 360 statutory limitation, and shall never constitute or give rise to a 361 pecuniary liability of the state, or a charge against its general 362 credit or taxing powers, and such fact shall be plainly stated on 363 the face of each such bond. The bonds shall not be considered 364 when computing any limitation of indebtedness of the state. All 365 bonds issued under the authority of this section and all interest

366 coupons applicable thereto shall be construed to be negotiable 367 instruments, despite the fact that they are payable solely from a 368 specified source.

369 (10) Upon the issuance and sale of bonds under the 370 provisions of this section, the commission shall transfer not more 371 than One Hundred Million Dollars ($100,000,000.00) of the proceeds 372 of any such sale or sales to the 2021 Municipalities Road and

373 Bridge Fund created in Section 2 of this act, shall transfer not 374 more than One Hundred Million Dollars ($100,000,000.00) of the 375 proceeds of any such sale or sales to the Emergency Road and 376 Bridge Repair Fund created in Section 65-1-179, Mississippi Code 377 of 1972, and shall transfer the remainder of the proceeds of any

378 such sale or sales to the special fund created in subsection (2) 379 of this section. The proceeds of such bonds shall be disbursed

380 solely upon the order of the Mississippi Transportation Commission 381 under such restrictions, if any, as may be contained in the 382 resolution providing for the issuance of the bonds.

383 (11) The bonds authorized under this section may be issued 384 without any other proceedings or the happening of any other

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 15 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 385 conditions or things other than those proceedings, conditions and 386 things which are specified or required by this section. Any 387 resolution providing for the issuance of bonds under the 388 provisions of this section shall become effective immediately upon 389 its adoption by the commission, and any such resolution may be 390 adopted at any regular or special meeting of the commission by a

391 majority of its members.

392 (12) The bonds authorized under the authority of this 393 section may be validated in the Chancery Court of the First 394 Judicial District of Hinds County, Mississippi, in the manner and 395 with the force and effect provided by Chapter 13, Title 31, 396 Mississippi Code of 1972, for the validation of county, municipal, 397 school district and other bonds. The notice to taxpayers required

398 by such statutes shall be published in a newspaper published or 399 having a general circulation in the City of Jackson, Mississippi.

400 (13) Any holder of bonds issued under the provisions of this 401 section or of any of the interest coupons pertaining thereto may, 402 either at law or in equity, by suit, action, mandamus or other

403 proceeding, protect and enforce any and all rights granted under 404 this section, or under such resolution, and may enforce and compel

405 performance of all duties required by this section to be 406 performed, in order to provide for the payment of bonds and 407 interest thereon.

408 (14) All bonds issued under the provisions of this section 409 shall be legal investments for trustees and other fiduciaries, and

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 16 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 410 for savings banks, trust companies and insurance companies 411 organized under the laws of the State of Mississippi, and such 412 bonds shall be legal securities which may be deposited with and 413 shall be received by all public officers and bodies of this state 414 and all municipalities and political subdivisions for the purpose 415 of securing the deposit of public funds.

416 (15) Bonds issued under the provisions of this section and 417 income therefrom shall be exempt from all taxation in the State of 418 Mississippi.

419 (16) The proceeds of the bonds issued under this section 420 shall be used solely for the purposes herein provided, including 421 the costs incident to the issuance and sale of such bonds.

422 (17) The State Treasurer is authorized, without further 423 process of law, to certify to the Department of Finance and 424 Administration the necessity for warrants, and the Department of 425 Finance and Administration is authorized and directed to issue 426 such warrants, in such amounts as may be necessary to pay when due 427 the principal of, premium, if any, and interest on, or the

428 accreted value of, all bonds issued under this section; and the 429 State Treasurer shall forward the necessary amount to the

430 designated place or places of payment of such bonds in ample time 431 to discharge such bonds, or the interest thereon, on the due dates 432 thereof.

433 (18) This section shall be deemed to be full and complete 434 authority for the exercise of the powers herein granted, but this

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 17 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 435 section shall not be deemed to repeal or to be in derogation of 436 any existing law of this state.

437 SECTION 2. (1) There is created in the State Treasury a 438 special fund to be known as the "2021 Municipalities Road and 439 Bridge Fund," into which shall be deposited funds appropriated by 440 the Legislature or otherwise made available in any manner, and

441 funds from any other source designated for deposit into such fund. 442 Unexpended amounts remaining in the fund at the end of a fiscal 443 year shall not lapse into the State General Fund and any interest 444 earned or investment earnings on amounts in the fund shall be 445 deposited into the fund. The expenditure of monies deposited into 446 the fund shall be under the direction of the Mississippi 447 Department of Transportation, and such funds shall be paid by the

448 Mississippi Department of Transportation upon warrants issued by 449 the Department of Finance and Administration. 450 (2) Monies in the fund shall be utilized by the Mississippi 451 Department of Transportation, with the advice of the Emergency 452 Road and Bridge Repair Fund Advisory Board created in Section

453 65-1-179, Mississippi Code of 1972, to provide grants to assist 454 municipalities in this state in paying costs associated with

455 repair, maintenance and/or reconstruction of roads, streets and 456 bridges in municipalities. The Emergency Road and Bridge Repair 457 Fund Advisory Board shall provide nonbinding advice to the 458 Department of Transportation regarding the expenditure of monies 459 in the special fund. A municipality desiring a grant under this

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 18 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 460 section must submit an application to the Mississippi Department 461 of Transportation. The application must include a description of 462 the project or projects for which a grant is requested, the cost 463 of the project or projects for which a grant is requested, the 464 amount of grant funds requested and any other information required 465 by the Mississippi Department of Transportation.

466 (3) The Mississippi Department of Transportation shall have 467 all powers necessary to implement and administer the program 468 established under this section, and the department shall 469 promulgate rules and regulations, in accordance with the 470 Mississippi Administrative Procedures Law, necessary for the 471 implementation of this section.

472 SECTION 3. Section 27-55-11, Mississippi Code of 1972, is 473 amended as follows: 474 27-55-11. (1) (a) (i) Any person in business as a 475 distributor of gasoline or who acts as a distributor of gasoline, 476 as defined in this article, shall pay for the privilege of 477 engaging in such business or acting as such distributor an excise

478 tax equal to Eighteen Cents (18¢) per gallon until the date 479 specified in Section 65-39-35, and Fourteen and Four-tenths Cents

480 (14.4¢) per gallon thereafter, on all gasoline and blend stock 481 stored, sold, distributed, manufactured, refined, distilled, 482 blended or compounded in this state or received in this state for 483 sale, use on the highways, storage, distribution, or for any 484 purpose. Beginning on July 1, 2031, and each succeeding July 1

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 19 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 485 thereafter, the rate of the excise tax levied under this 486 subparagraph (i) shall be increased or decreased by a percentage 487 amount equal to the lesser of one percent (1%) or the United 488 States inflation rate for the previous calendar year ending on 489 December 31 as certified by the Commissioner of Revenue. The 490 United States inflation rate for a calendar year shall be the

491 Consumer Price Index for the calendar year for urban consumers as 492 calculated by the Bureau of Labor Statistics of the United States 493 Department of Labor. 494 (ii) Subject to the provisions of this 495 subparagraph (ii), in addition to the tax levied under 496 subparagraph (i) of this paragraph (a), any person in business as 497 a distributor of gasoline or who acts as a distributor of

498 gasoline, as defined in this article, shall pay for the privilege 499 of engaging in such business or acting as such distributor an 500 excise tax equal to Five Cents (5¢) per gallon through June 30, 501 2022, and equal to Ten Cents (10¢) per gallon from and after July 502 1, 2022, until the date specified in this subparagraph (ii) on all

503 gasoline and blend stock stored, sold, distributed, manufactured, 504 refined, distilled, blended or compounded in this state or

505 received in this state for sale, use on the highways, storage, 506 distribution, or for any purpose. However, the tax authorized 507 under this subparagraph (ii) shall not be levied unless the 508 Secretary of State certifies that at the statewide special 509 election held under Section 7 of this act a majority of the

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 20 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 510 qualified electors voting in the election voted "Yes" on the 511 question put before the voters at the election. If the Secretary 512 of State makes such certification, the tax shall be levied from 513 and after thirty (30) days following the date of the 514 certification, and the tax shall end on the first day of the month 515 immediately following the date upon which the State Treasurer

516 certifies that the amount on deposit in the bond sinking fund 517 created in Section 1(3) of this act, together with earnings on 518 investments to accrue to such fund, is equal to or greater than 519 the aggregate of the entire principal, redemption premium (if 520 any), and interest due and to become due (until the final maturity 521 date or earlier scheduled redemption date) on all revenue bonds 522 issued under Section 1 of this act.

523 (b) Any person in business as a distributor of aviation 524 gasoline, or who acts as a distributor of aviation gasoline, shall 525 pay for the privilege of engaging in such business or acting as 526 such distributor an excise tax equal to Six and Four-tenths Cents 527 (6.4¢) per gallon on all aviation gasoline stored, sold,

528 distributed, manufactured, refined, distilled, blended or 529 compounded in this state or received in this state for sale,

530 storage, distribution or for any purpose. 531 (c) The excise taxes collected under this section shall 532 be paid and distributed in accordance with Section 27-5-101. 533 (2) (a) The tax herein imposed and assessed shall be 534 collected and paid to the State of Mississippi but once in respect

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 21 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 535 to any gasoline. The basis for determining the tax liability 536 shall be the correct invoiced gallons, adjusted to sixty (60) 537 degrees Fahrenheit at the refinery or point of origin of shipment 538 when such shipment is made by tank car or by motor carrier. The 539 point of origin of shipment of gasoline transported into this 540 state by pipelines shall be deemed to be that point in this state

541 where such gasoline is withdrawn from the pipeline for storage or 542 distribution, and adjustment to sixty (60) degrees Fahrenheit 543 shall there be made. The basis for determining the tax liability 544 on gasoline shipped into this state in barge cargoes and by 545 pipeline shall be the actual number of gallons adjusted to sixty 546 (60) degrees Fahrenheit unloaded into storage tanks or other 547 containers in this state, such gallonage to be determined by

548 measurement and/or gauge of storage tank or tanks or by any other

549 method authorized by the * * * department. The tank or tanks into 550 which barge cargoes of gasoline are discharged, or into which 551 gasoline transported by pipeline is discharged, shall have correct 552 gauge tables listing capacity, such gauge tables to be prepared by

553 some recognized calibrating agency and to be approved by the * * * 554 department.

555 (b) The tax levied herein shall accrue at the time 556 gasoline is withdrawn from a refinery in this state except when 557 withdrawal is by pipeline, barge, ship or vessel. The refiner

558 shall pay to the * * * department the tax levied herein when 559 gasoline is sold or delivered to persons who do not hold gasoline

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 22 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 560 distributor permits. The refiner shall report to the * * * 561 department all sales and deliveries of gasoline to bonded 562 distributors of gasoline. The bonded distributor of gasoline who 563 purchases, receives or acquires gasoline from a refinery in this 564 state shall report such gasoline and pay the tax levied herein. 565 (c) Gasoline imported by common carrier shall be deemed

566 to be received by the distributor of gasoline, and the tax levied 567 herein shall accrue, when the car or tank truck containing such 568 gasoline is unloaded by the carrier. 569 (d) With respect to distributors or other persons who 570 bring, ship, have transported, or have brought into this state 571 gasoline by means other than through a common carrier, the tax 572 accrues and the tax liability attaches on the distributor or other

573 person for each gallon of gasoline brought into the state at the 574 time when and at the point where such gasoline is brought into the 575 state. 576 (e) The tax levied herein shall accrue on blend stock 577 at the time it is blended with gasoline. The blender shall pay to

578 the commission the tax levied herein when blend stock is sold or 579 delivered to persons who do not hold gasoline distributor permits.

580 The blender shall report to the * * * department all sales and 581 deliveries of blend stock to bonded distributors of gasoline. The 582 bonded distributor of gasoline who purchases, receives or acquires 583 blend stock from a blender in this state shall report blend stock 584 and pay the tax levied herein.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 23 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 585 SECTION 4. Section 27-55-519, Mississippi Code of 1972, is 586 amended as follows: 587 27-55-519. (1) Any person engaged in business as a 588 distributor of special fuel or who acts as a distributor of 589 special fuel, as defined in this article, shall pay for the 590 privilege of engaging in such business or acting as such

591 distributor an excise tax on all special fuel stored, used, sold, 592 distributed, manufactured, refined, distilled, blended or 593 compounded in this state or received in this state for sale, 594 storage, distribution or for any purpose, adjusted to sixty (60) 595 degrees Fahrenheit. 596 The excise tax shall become due and payable when: 597 (a) Special fuel is withdrawn from storage at a

598 refinery, marine or pipeline terminal, except when withdrawal is 599 by barge or pipeline. 600 (b) Special fuel imported by a common carrier is 601 unloaded by that carrier unless the special fuel is unloaded 602 directly into the storage tanks of a refinery, marine or pipeline

603 terminal. 604 (c) Special fuel imported by any person other than a

605 common carrier enters the State of Mississippi unless the special 606 fuel is unloaded directly into the storage tanks of a refinery, 607 marine or pipeline terminal. 608 (d) Special fuel is blended in this state unless such 609 blending occurs in a refinery, marine or pipeline terminal.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 24 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 610 (e) Special fuel is acquired tax free. 611 (2) The special fuel excise tax shall be as follows: 612 (a) (i) Eighteen Cents (18¢) per gallon on undyed 613 diesel fuel until the date specified in Section 65-39-35 and 614 Fourteen and Three-fourths Cents (14.75¢) per gallon thereafter; 615 and

616 (ii) Subject to the provisions of this 617 subparagraph (ii), in addition to the tax imposed under 618 subparagraph (i) of this paragraph (a), there shall be an excise 619 tax equal to Seven Cents (7¢) per gallon on undyed diesel fuel 620 through June 30, 2022, and equal to Fourteen Cents (14¢) per 621 gallon on undyed diesel fuel from and after July 1, 2022, until 622 the date specified in this subparagraph (ii). However, the tax

623 authorized under this subparagraph (ii) shall not be levied unless 624 the Secretary of State certifies that at the statewide special 625 election held under Section 7 of this act a majority of the 626 qualified electors voting in the election voted "Yes" on the 627 question put before the voters at the election. If the Secretary

628 of State makes such certification, the tax shall be levied from 629 and after thirty (30) days following the date of the

630 certification, and the tax shall end on the first day of the month 631 immediately following the date upon which the State Treasurer 632 certifies that the amount on deposit in the bond sinking fund 633 created in Section 1(3) of this act, together with earnings on 634 investments to accrue to such fund, is equal to or greater than

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 25 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 635 the aggregate of the entire principal, redemption premium (if 636 any), and interest due and to become due (until the final maturity 637 date or earlier scheduled redemption date) on all revenue bonds 638 issued under Section 1 of this act; 639 (b) Five and Three-fourths Cents (5.75¢) per gallon on 640 all special fuel except undyed diesel fuel and special fuel used

641 as fuels in aircraft; and 642 (c) Five and One-fourth Cents (5.25¢) per gallon on 643 special fuel used as fuel in aircraft. 644 Beginning on July 1, 2031, and each succeeding July 1 thereafter, 645 the rate of the excise tax levied under paragraph (a)(i) of this 646 subsection (2) shall be increased or decreased by a percentage 647 amount equal to the lesser of one percent (1%) or the United

648 States inflation rate for the previous calendar year ending on 649 December 31 as certified by the Commissioner of Revenue. The 650 United States inflation rate for a calendar year shall be the 651 Consumer Price Index for the calendar year for urban consumers as 652 calculated by the Bureau of Labor Statistics of the United States

653 Department of Labor.

654 SECTION 5. Section 27-55-521, Mississippi Code of 1972, is 655 amended as follows: 656 27-55-521. (1) An excise tax at the rate of Eighteen Cents 657 (18¢) per gallon until the date specified in Section 65-39-35, 658 Mississippi Code of 1972, and Fourteen and Three-fourths Cents 659 (14.75¢) per gallon thereafter is levied on any person engaged in

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 26 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 660 business as a distributor of special fuel or who acts as such who 661 sells: 662 (a) Special fuel for use in performing contracts for 663 construction, reconstruction, maintenance or repairs, where such 664 contracts are entered into with the State of Mississippi, any 665 political subdivision of the State of Mississippi, or any

666 department, agency, institution of the State of Mississippi or any 667 political subdivision thereof. 668 (b) Dyed diesel fuel or kerosene to a state or local 669 governmental entity for use on the highways in a motor vehicle. 670 (c) Special fuel for use on the highway. 671 Beginning on July 1, 2031, and each succeeding July 1 thereafter, 672 the rate of the excise tax levied on diesel fuel under this

673 subsection (1) shall be increased or decreased by a percentage 674 amount equal to the lesser of one percent (1%) or the United 675 States inflation rate for the previous calendar year ending on 676 December 31 as certified by the Commissioner of Revenue. The 677 United States inflation rate for a calendar year shall be the

678 Consumer Price Index for the calendar year for urban consumers as 679 calculated by the Bureau of Labor Statistics of the United States

680 Department of Labor. 681 (2) An excise tax at the rate of Eighteen Cents (18¢) per 682 gallon until the date specified in Section 65-39-35, Mississippi 683 Code of 1972, and Fourteen and Three-fourths Cents (14.75¢) per 684 gallon thereafter is levied on any person who:

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 27 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 685 (a) Uses dyed diesel fuel or kerosene in a motor 686 vehicle on the highways of this state in violation of Section 687 27-55-539. 688 (b) Purchases or acquires undyed diesel fuel or 689 kerosene for nonhighway use and subsequently uses such diesel fuel 690 or kerosene in a motor vehicle on the highways of this state.

691 (c) Purchases or acquires special fuel for use in 692 performing contracts as specified in this section. 693 Beginning on July 1, 2031, and each succeeding July 1 thereafter, 694 the rate of the excise tax levied on diesel fuel under this 695 subsection (2) shall be increased or decreased by a percentage 696 amount equal to the lesser of one percent (1%) or the United 697 States inflation rate for the previous calendar year ending on

698 December 31 as certified by the Commissioner of Revenue. The 699 United States inflation rate for a calendar year shall be the 700 Consumer Price Index for the calendar year for urban consumers as 701 calculated by the Bureau of Labor Statistics of the United States 702 Department of Labor.

703 (3) (a) Subject to the provisions of this paragraph (a), in 704 addition to the tax levied under subsection (1) of this section,

705 an excise tax at the rate of Seven Cents (7¢) per gallon through 706 June 30, 2022, and at the rate of Fourteen Cents (14¢) per gallon 707 from and after July 1, 2022, is levied until the date specified in 708 this paragraph (a) on any person engaged in business as a 709 distributor of special fuel or who acts as such who sells:

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 28 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 710 (i) Diesel fuel for use in performing contracts 711 for construction, reconstruction, maintenance or repairs, where 712 such contracts are entered into with the State of Mississippi, any 713 political subdivision of the State of Mississippi, or any 714 department, agency, institution of the State of Mississippi or any 715 political subdivision thereof.

716 (ii) Dyed diesel fuel to a state or local 717 governmental entity for use on the highways in a motor vehicle. 718 (iii) Diesel fuel, for use on the highway. 719 However, the tax authorized under this paragraph (a) shall not be 720 levied unless the Secretary of State certifies that at the 721 statewide special election held under Section 7 of this act a 722 majority of the qualified electors voting in the election voted

723 "Yes" on the question put before the voters at the election. If 724 the Secretary of State makes such certification, the tax shall be 725 levied from and after thirty (30) days following the date of the 726 certification, and the tax shall end on the first day of the month 727 immediately following the date upon which the State Treasurer

728 certifies that the amount on deposit in the bond sinking fund 729 created in Section 1(3) of this act, together with earnings on

730 investments to accrue to such fund, is equal to or greater than 731 the aggregate of the entire principal, redemption premium (if 732 any), and interest due and to become due (until the final maturity 733 date or earlier scheduled redemption date) on all revenue bonds 734 issued under Section 1 of this act.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 29 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 735 (b) Subject to the provisions of this paragraph (b), in 736 addition to the tax levied under subsection (2) of this section, 737 an excise tax at the rate of Seven Cents (7¢) per gallon through 738 June 30, 2022, and at the rate of Fourteen Cents (14¢) per gallon 739 from and after July 1, 2022, is levied until the date specified in 740 this paragraph (b) on any person who:

741 (i) Uses dyed diesel fuel in a motor vehicle on 742 the highways of this state in violation of Section 27-55-539. 743 (ii) Purchases or acquires undyed diesel fuel for 744 nonhighway use and subsequently uses such diesel fuel in a motor 745 vehicle on the highways of this state. 746 (iii) Purchases or acquires diesel fuel, for use 747 in performing contracts as specified in this section.

748 However, the tax authorized under this paragraph (b) shall not be 749 levied unless the Secretary of State certifies that at the 750 statewide special election held under Section 7 of this act a 751 majority of the qualified electors voting in the election voted 752 "Yes" on the question put before the voters at the election. If

753 the Secretary of State makes such certification, the tax shall be 754 levied from and after thirty (30) days following the date of the

755 certification, and the tax shall end on the first day of the month 756 immediately following the date upon which the State Treasurer 757 certifies that the amount on deposit in the bond sinking fund 758 created in Section 1(3) of this act, together with earnings on 759 investments to accrue to such fund, is equal to or greater than

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 30 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 760 the aggregate of the entire principal, redemption premium (if 761 any), and interest due and to become due (until the final maturity 762 date or earlier scheduled redemption date) on all revenue bonds 763 issued under Section 1 of this act.

764 SECTION 6. Section 27-5-101, Mississippi Code of 1972, is 765 amended as follows:

766 [With regard to any county which is exempt from the 767 provisions of Section 19-2-3, this section shall read as follows:] 768 27-5-101. Unless otherwise provided in this section, on or 769 before the fifteenth day of each month, all gasoline, diesel fuel 770 or kerosene taxes which are levied under the laws of this state 771 and collected during the previous month shall be paid and

772 apportioned by the * * * Department of Revenue as follows: 773 (a) (i) Except as otherwise provided in Section 774 31-17-127, from the gross amount of gasoline, diesel fuel or 775 kerosene taxes produced by the state, there shall be deducted an 776 amount equal to one-sixth (1/6) of principal and interest

777 certified by the State Treasurer to the * * * Department of 778 Revenue to be due on the next semiannual bond and interest payment 779 date, as required under the provisions of Chapter 130, Laws of

780 1938, and subsequent acts authorizing the issuance of bonds 781 payable from gasoline, diesel fuel or kerosene tax revenue on a 782 parity with the bonds issued under authority of said Chapter 130.

783 The State Treasurer shall certify to the * * * Department of 784 Revenue on or before the fifteenth day of each month the amount to

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 31 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 785 be paid to the "Highway Bonds Sinking Fund" as provided by said 786 Chapter 130, Laws of 1938, and subsequent acts authorizing the 787 issuance of bonds payable from gasoline, diesel fuel or kerosene 788 tax revenue, on a parity with the bonds issued under authority of

789 said Chapter 130; and the * * * Department of Revenue shall, on or 790 before the twenty-fifth day of each month, pay into the State

791 Treasury for credit to the "Highway Bonds Sinking Fund" the amount 792 so certified to him by the State Treasurer due to be paid into 793 such fund each month. The payments to the "Highway Bonds Sinking 794 Fund" shall be made out of gross gasoline, diesel fuel or kerosene 795 tax collections before deductions of any nature are considered; 796 however, such payments shall be deducted from the allocation to 797 the Mississippi Department of Transportation under paragraph (c)

798 of this section. 799 (ii) From collections derived from the portion of 800 the gasoline excise tax that exceeds Seven Cents (7¢) per gallon, 801 from the portion of the tax on aviation gas under Section 27-55-11 802 that exceeds Six and Four-tenths Cents (6.4¢) per gallon, from the

803 portion of the special fuel tax levied under Sections 27-55-519 804 and 27-55-521, at Eighteen Cents (18¢) per gallon that exceeds Ten

805 Cents (10¢) per gallon, from the portion of the taxes levied under 806 Section 27-55-519, at Five and Three-fourths Cents (5.75¢) per 807 gallon that exceeds One Cent (1¢) per gallon on special fuel and 808 Five and One-fourth Cents (5.25¢) per gallon on special fuel used 809 as aircraft fuel, from the portion of the excise tax on compressed

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 32 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 810 gas used as a motor fuel that exceeds the rate of tax in effect on 811 June 30, 1987, and from the portion of the gasoline excise tax in 812 excess of Seven Cents (7¢) per gallon and the diesel excise tax in 813 excess of Ten Cents (10¢) per gallon under Section 27-61-5 there 814 shall be deducted: 815 1. An amount as provided in Section

816 27-65-75(4) to the credit of a special fund designated as the 817 "Office of State Aid Road Construction." 818 2. An amount equal to the tax collections 819 derived from Two Cents (2¢) per gallon of the gasoline excise tax 820 for distribution to the State Highway Fund to be used exclusively 821 for the construction, reconstruction and maintenance of highways 822 of the State of Mississippi or the payment of interest and

823 principal on bonds when specifically authorized by the Legislature 824 for that purpose. 825 3. The balance shall be deposited in the 826 State Treasury to the credit of the State Highway Fund. 827 (b) Subject to the provisions that said basis of

828 distribution shall in nowise affect adversely the amount 829 specifically pledged in paragraph (a) of this section to be paid

830 into the "Highway Bonds Sinking Fund," the following shall be 831 deducted from the amount produced by the state tax on gasoline, 832 diesel fuel or kerosene tax collections, excluding collections 833 derived from the portion of the gasoline excise tax that exceeds 834 Seven Cents (7¢) per gallon, from the portion of the tax on

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 33 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 835 aviation gas under Section 27-55-11 that exceeds Six and 836 Four-tenths Cents (6.4¢) per gallon, from the portion of the 837 special fuel tax levied under Sections 27-55-519 and 27-55-521, at 838 Eighteen Cents (18¢) per gallon that exceeds Ten Cents (10¢) per 839 gallon, from the portion of the taxes levied under Section 840 27-55-519, at Five and Three-fourths Cents (5.75¢) per gallon that

841 exceeds One Cent (1¢) per gallon on special fuel and Five and 842 One-fourth Cents (5.25¢) per gallon on special fuel used as 843 aircraft fuel, from the portion of the excise tax on compressed 844 gas used as a motor fuel that exceeds the rate of tax in effect on 845 June 30, 1987, and from the portion of the gasoline excise tax in 846 excess of Seven Cents (7¢) per gallon and the diesel excise tax in 847 excess of Ten Cents (10¢) per gallon under Section 27-61-5:

848 (i) Twenty percent (20%) of such amount which 849 shall be earmarked and set aside for the construction, 850 reconstruction and maintenance of the highways and roads of the 851 state, provided that if such twenty percent (20%) should reduce 852 any county to a lesser amount than that received in the fiscal

853 year ending June 30, 1966, then such twenty percent (20%) shall be 854 reduced to a percentage to provide that no county shall receive

855 less than its portion for the fiscal year ending June 30, 1966; 856 (ii) The amount allowed as refund on gasoline or 857 as tax credit on diesel fuel or kerosene used for agricultural, 858 maritime, industrial, domestic, and nonhighway purposes;

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 34 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 859 (iii) Five percent (5%) of such amount shall be 860 paid to the State Highway Fund; 861 (iv) The amount or portion thereof authorized by 862 legislative appropriation to the Fisheries and Wildlife Fund 863 created under Section 59-21-25; 864 (v) The amount for deposit into the special

865 aviation fund under paragraph (d) of this section; and 866 (vi) The remainder shall be divided on a basis of 867 nine-fourteenths (9/14) and five-fourteenths (5/14) (being the 868 same basis as Four and One-half Cents (4-1/2¢) and Two and 869 One-half Cents (2-1/2¢) is to Seven Cents (7¢) on gasoline, and 870 six and forty-three one-hundredths (6.43) and three and 871 fifty-seven one-hundredths (3.57) is to Ten Cents (10¢) on diesel

872 fuel or kerosene). The amount produced by the nine-fourteenths

873 (9/14) division shall be allocated to the * * * Department of 874 Transportation and paid into the State Treasury as provided in 875 this section and in Section 27-5-103 and the five-fourteenths 876 (5/14) division shall be returned to the counties of the state on

877 the following basis: 878 1. In each fiscal year, each county shall be

879 paid each month the same percentage of the monthly total to be 880 distributed as was paid to that county during the same month in 881 the fiscal year which ended April 9, 1960, until the county 882 receives One Hundred Ninety Thousand Dollars ($190,000.00) in such

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 35 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 883 fiscal year, at which time funds shall be distributed under the 884 provisions of paragraph (b)(vi)4 of this section. 885 2. If after payments in 1 above, any county 886 has not received a total of One Hundred Ninety Thousand Dollars 887 ($190,000.00) at the end of the fiscal year ending June 30, 1961, 888 and each fiscal year thereafter, then any available funds not

889 distributed under 1 above shall be used to bring such county or 890 counties up to One Hundred Ninety Thousand Dollars ($190,000.00) 891 or such funds shall be divided equally among such counties not 892 reaching One Hundred Ninety Thousand Dollars ($190,000.00) if 893 there is not sufficient money to bring all the counties to said 894 One Hundred Ninety Thousand Dollars ($190,000.00). 895 3. When a county has been paid an amount

896 equal to the total which was paid to the same county during the 897 fiscal year ended April 9, 1960, such county shall receive no 898 further payments during the then current fiscal year until the 899 last month of such current fiscal year, at which time distribution 900 will be made under 2 above, except as set out in 4 below.

901 4. During the last month of the current 902 fiscal year, should it be determined that there are funds

903 available in excess of the amount distributed for the year under 1 904 and 2 above, then such excess funds shall be distributed among the 905 various counties as follows: 906 One-third (1/3) of such excess to be 907 divided equally among the counties;

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 36 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 908 One-third (1/3) of such excess to be paid 909 to the counties in the proportion which the population of each 910 county bears to the total population of the state according to the 911 last federal census; 912 One-third (1/3) of such excess to be paid 913 to the counties in the proportion which the number of square miles

914 of each county bears to the total square miles in the state. 915 5. It is the declared purpose and intent of 916 the Legislature that no county shall be paid less than was paid 917 during the year ended April 9, 1960, unless the amount to be 918 distributed to all counties in any year is less than the amount 919 distributed to all counties during the year ended April 9, 1960. 920 The Municipal Aid Fund as established by Section 27-5-103

921 shall not participate in any portion of any funds allocated to any 922 county hereunder over and above One Hundred Ninety Thousand 923 Dollars ($190,000.00). 924 In any county having countywide road or bridge bonds, or 925 supervisors district or district road or bridge bonds outstanding,

926 which exceed, in the aggregate, twelve percent (12%) of the 927 assessed valuation of the taxable property of the county or

928 district, it shall be the duty of the board of supervisors to set 929 aside not less than sixty percent (60%) of such county's share or 930 district's share of the gasoline, diesel fuel or kerosene taxes to 931 be used in paying the principal and interest on such road or 932 bridge bonds as they mature.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 37 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 933 In any county having such countywide road or bridge bonds or 934 district road or bridge bonds outstanding which exceed, in the 935 aggregate, eight percent (8%) of the assessed valuation of the 936 taxable property of the county, but which do not exceed, in the 937 aggregate, twelve percent (12%) of the assessed valuation of the 938 taxable property of the county, it shall be the duty of the board

939 of supervisors to set aside not less than thirty-five percent 940 (35%) of such county's share of the gasoline, diesel fuel or 941 kerosene taxes to be used in paying the principal and interest of 942 such road or bridge bonds as they mature. 943 In any county having such countywide road or bridge bonds or 944 district road or bridge bonds outstanding which exceed, in the 945 aggregate, five percent (5%) of the assessed valuation of the

946 taxable property of the county, but which do not exceed, in the 947 aggregate, eight percent (8%) of the assessed valuation of the 948 taxable property of the county, it shall be the duty of the board 949 of supervisors to set aside not less than twenty percent (20%) of 950 such county's share of the gasoline, diesel fuel or kerosene taxes

951 to be used in paying the principal and interest of such road and 952 bridge bonds as they mature.

953 In any county having such countywide road or bridge bonds or 954 district road or bridge bonds outstanding which do not exceed, in 955 the aggregate, five percent (5%) of the assessed valuation of the 956 taxable property of the county, it shall be the duty of the board 957 of supervisors to set aside not less than ten percent (10%) of

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 38 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 958 such county's share of the gasoline, diesel fuel or kerosene taxes 959 to be used in paying the principal and interest on such road or 960 bridge bonds as they mature. 961 The portion of any such county's share of the gasoline, 962 diesel fuel or kerosene taxes thus set aside for the payment of 963 the principal and interest of road or bridge bonds, as provided

964 for in this section, shall be used first in paying the currently 965 maturing installments of the principal and interest of such 966 countywide road or bridge bonds, if there be any such countywide 967 road or bridge bonds outstanding, and secondly, in paying the 968 currently maturing installments of principal and interest of 969 district road or bridge bonds outstanding. It shall be the duty 970 of the board of supervisors to pay bonds and interest maturing in

971 each supervisors district out of the supervisors district's share 972 of the gasoline, diesel fuel or kerosene taxes of such district. 973 The remaining portion of such county's share of the gasoline, 974 diesel fuel or kerosene taxes, after setting aside the portion 975 above provided for the payment of the principal and interest of

976 bonds, shall be used in the construction and maintenance of any 977 public highways, bridges, or culverts of the county, including the

978 roads in special or separate road districts, in the discretion of 979 the board of supervisors, or in paying the interest and principal 980 of county road and bridge bonds or district road and bridge bonds, 981 in the discretion of the board of supervisors.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 39 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 982 In any county having no countywide road or bridge bonds or 983 district road or bridge bonds outstanding, all such county's share 984 of the gasoline, diesel fuel or kerosene taxes shall be used in 985 the construction, reconstruction, and maintenance of the public 986 highways, bridges, or culverts of the county as the board of 987 supervisors may determine.

988 In every county in which there are county road bonds or 989 seawall or road protection bonds outstanding which were issued for 990 the purpose of building bridges or constructing public roads or 991 seawalls, such funds shall be used in the manner provided by law. 992 (c) From the amount produced by the nine-fourteenths

993 (9/14) division allocated to the * * * Department of 994 Transportation, there shall be deducted:

995 (i) The amount paid to the State Treasurer for the 996 "Highway Bonds Sinking Fund" under paragraph (a) of this section; 997 (ii) Any amounts due counties in accordance with 998 Section 65-33-45 which have outstanding bonds issued for seawall 999 or road protection purposes, issued under provisions of Chapter

1000 319, Laws of 1924, and amendments thereto; 1001 (iii) Except as otherwise provided in Section

1002 31-17-127, the remainder shall be paid by the * * * Department of 1003 Revenue to the State Treasurer on the fifteenth day of each month 1004 next succeeding the month in which the gasoline, diesel fuel or 1005 kerosene taxes were collected to the credit of the State Highway 1006 Fund.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 40 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1007 The funds allocated for the construction, reconstruction, and 1008 improvement of state highways, bridges, and culverts, or so much 1009 thereof as may be necessary, shall first be used in conjunction 1010 with funds supplied by the federal government for such purposes

1011 and allocated to the * * * Department of Transportation to be 1012 expended on the state highway system. It is specifically provided

1013 hereby that the necessary portion of such funds hereinabove

1014 allocated to the * * * Department of Transportation may be used 1015 for the prompt payment of principal and interest on highway bonds 1016 heretofore issued, including such bonds issued or to be issued 1017 under the provisions of Chapter 312, Laws of 1956, and amendments 1018 thereto. 1019 Nothing contained in this section shall be construed to

1020 reduce the amount of such gasoline, diesel fuel or kerosene excise 1021 taxes levied by the state, allotted under the provisions of Title 1022 65, Chapter 33, Mississippi Code of 1972, to counties in which 1023 there are outstanding bonds issued for seawall or road protection 1024 purposes issued under the provisions of Chapter 319, Laws of 1924,

1025 and amendments thereto; the amount of said gasoline, diesel fuel 1026 or kerosene excise taxes designated in this section for the

1027 payment of bonds and interest authorized and issued or to be 1028 issued under the provisions of Chapter 130, Laws of 1938, and 1029 subsequent acts authorizing the issuance of bonds payable from 1030 gasoline, diesel fuel or kerosene tax revenue, shall, in such 1031 counties, be considered as being paid "into the State Treasury to

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 41 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1032 the credit of the State Highway Fund" within the meaning of 1033 Section 65-33-45 in computing the amount to be paid to such 1034 counties under the provisions of said section, and this section 1035 shall be administered in connection with Title 65, Chapter 33, 1036 Mississippi Code of 1972, and Sections 65-33-45, 65-33-47 and 1037 65-33-49 dealing with seawalls, as if made a part of this section.

1038 (d) The proceeds of the Five and One-fourth Cents 1039 (5.25¢) of the tax per gallon on oils used as a propellant for jet 1040 aircraft engines, and Six and Four-tenths Cents (6.4¢) of the tax 1041 per gallon on aviation gasoline and the tax of One Cent (1¢) per 1042 gallon for each gallon of gasoline for which a refund has been 1043 made pursuant to Section 27-55-23 because such gasoline was used 1044 for aviation purposes, shall be paid to the State Treasury into a

1045 special fund to be used exclusively, pursuant to legislative 1046 appropriation, for the support and development of aeronautics as 1047 defined in Section 61-1-3. 1048 (e) State highway funds in an amount equal to the 1049 difference between Forty-two Million Dollars ($42,000,000.00) and

1050 the annual debt service payable on the state's highway revenue 1051 refunding bonds, Series 1985, shall be expended for the

1052 construction or reconstruction of highways designated under the 1053 highway program created under Section 65-3-97. 1054 (f) The proceeds of the excise taxes levied on gasoline 1055 in Section 27-55-11(1)(a)(ii), on undyed diesel fuel in Section 1056 27-55-519(2)(a)(ii) and on diesel fuel in Section 27-55-521(3)

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 42 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1057 shall be deposited into the bond sinking fund created in Section 1058 1(3) of this act.

1059 ( * * *g) "Gasoline, diesel fuel or kerosene taxes" as 1060 used in this section shall be deemed to mean and include state 1061 gasoline, diesel fuel or kerosene taxes levied and imposed on 1062 distributors of gasoline, diesel fuel or kerosene, and all state

1063 excise taxes derived from any fuel used to propel vehicles upon 1064 the highways of this state, when levied by any statute.

1065 [With regard to any county which is required to operate on a 1066 countywide system of road administration as described in Section 1067 19-2-3, this section shall read as follows:] 1068 27-5-101. Unless otherwise provided in this section, on or 1069 before the fifteenth day of each month, all gasoline, diesel fuel

1070 or kerosene taxes which are levied under the laws of this state 1071 and collected during the previous month shall be paid and

1072 apportioned by the * * * Department of Revenue as follows: 1073 (a) (i) Except as otherwise provided in Section 1074 31-17-127, from the gross amount of gasoline, diesel fuel or

1075 kerosene taxes produced by the state, there shall be deducted an 1076 amount equal to one-sixth (1/6) of principal and interest

1077 certified by the State Treasurer to the * * * Department of 1078 Revenue to be due on the next semiannual bond and interest payment 1079 date, as required under the provisions of Chapter 130, Laws of 1080 1938, and subsequent acts authorizing the issuance of bonds 1081 payable from gasoline, diesel fuel or kerosene tax revenue on a

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 43 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1082 parity with the bonds issued under authority of said Chapter 130.

1083 The State Treasurer shall certify to the * * * Department of 1084 Revenue on or before the fifteenth day of each month the amount to 1085 be paid to the "Highway Bonds Sinking Fund" as provided by said 1086 Chapter 130, Laws of 1938, and subsequent acts authorizing the 1087 issuance of bonds payable from gasoline, diesel fuel or kerosene

1088 tax revenue, on a parity with the bonds issued under authority of

1089 said Chapter 130; and the * * * Department of Revenue shall, on or 1090 before the twenty-fifth day of each month, pay into the State 1091 Treasury for credit to the "Highway Bonds Sinking Fund" the amount 1092 so certified to him by the State Treasurer due to be paid into 1093 such fund each month. The payments to the "Highway Bonds Sinking 1094 Fund" shall be made out of gross gasoline, diesel fuel or kerosene

1095 tax collections before deductions of any nature are considered; 1096 however, such payments shall be deducted from the allocation to

1097 the * * * Department of Transportation under paragraph (c) of this 1098 section. 1099 (ii) From collections derived from the portion of

1100 the gasoline excise tax that exceeds Seven Cents (7¢) per gallon, 1101 from the portion of the tax on aviation gas under Section 27-55-11

1102 that exceeds Six and Four-tenths Cents (6.4¢) per gallon, from the 1103 portion of the special fuel tax levied under Sections 27-55-519 1104 and 27-55-521, at Eighteen Cents (18¢) per gallon that exceeds Ten 1105 Cents (10¢) per gallon, from the portion of the taxes levied under 1106 Section 27-55-519, at Five and Three-fourths Cents (5.75¢) per

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 44 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1107 gallon that exceeds One Cent (1¢) per gallon on special fuel and 1108 Five and One-fourth Cents (5.25¢) per gallon on special fuel used 1109 as aircraft fuel, from the portion of the excise tax on compressed 1110 gas used as a motor fuel that exceeds the rate of tax in effect on 1111 June 30, 1987, and from the portion of the gasoline excise tax in 1112 excess of Seven Cents (7¢) per gallon and the diesel excise tax in

1113 excess of Ten Cents (10¢) per gallon under Section 27-61-5 there 1114 shall be deducted: 1115 1. An amount as provided in Section 1116 27-65-75(4) to the credit of a special fund designated as the 1117 "Office of State Aid Road Construction." 1118 2. An amount equal to the tax collections 1119 derived from Two Cents (2¢) per gallon of the gasoline excise tax

1120 for distribution to the State Highway Fund to be used exclusively 1121 for the construction, reconstruction and maintenance of highways 1122 of the State of Mississippi or the payment of interest and 1123 principal on bonds when specifically authorized by the Legislature 1124 for that purpose.

1125 3. The balance shall be deposited in the 1126 State Treasury to the credit of the State Highway Fund.

1127 (b) Subject to the provisions that said basis of 1128 distribution shall in nowise affect adversely the amount 1129 specifically pledged in paragraph (a) of this section to be paid 1130 into the "Highway Bonds Sinking Fund," the following shall be 1131 deducted from the amount produced by the state tax on gasoline,

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 45 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1132 diesel fuel or kerosene tax collections, excluding collections 1133 derived from the portion of the gasoline excise tax that exceeds 1134 Seven Cents (7¢) per gallon, from the portion of the tax on 1135 aviation gas under Section 27-55-11 that exceeds Six and 1136 Four-tenths Cents (6.4¢) per gallon, from the portion of the 1137 special fuel tax levied under Sections 27-55-519 and 27-55-521, at

1138 Eighteen Cents (18¢) per gallon, that exceeds Ten Cents (10¢) per 1139 gallon, from the portion of the taxes levied under Section 1140 27-55-519, at Five and Three-fourths Cents (5.75¢) that exceeds 1141 One Cent (1¢) per gallon on special fuel and Five and One-fourth 1142 Cents (5.25¢) per gallon on special fuel used as aircraft fuel, 1143 from the portion of the excise tax on compressed gas used as a 1144 motor fuel that exceeds the rate of tax in effect on June 30,

1145 1987, and from the portion of the gasoline excise tax in excess of 1146 Seven Cents (7¢) per gallon and the diesel excise tax in excess of 1147 Ten Cents (10¢) per gallon under Section 27-61-5: 1148 (i) Twenty percent (20%) of such amount which 1149 shall be earmarked and set aside for the construction,

1150 reconstruction and maintenance of the highways and roads of the 1151 state, provided that if such twenty percent (20%) should reduce

1152 any county to a lesser amount than that received in the fiscal 1153 year ending June 30, 1966, then such twenty percent (20%) shall be 1154 reduced to a percentage to provide that no county shall receive 1155 less than its portion for the fiscal year ending June 30, 1966;

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 46 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1156 (ii) The amount allowed as refund on gasoline or 1157 as tax credit on diesel fuel or kerosene used for agricultural, 1158 maritime, industrial, domestic and nonhighway purposes; 1159 (iii) Five percent (5%) of such amount shall be 1160 paid to the State Highway Fund; 1161 (iv) The amount or portion thereof authorized by

1162 legislative appropriation to the Fisheries and Wildlife Fund 1163 created under Section 59-21-25; 1164 (v) The amount for deposit into the special 1165 aviation fund under paragraph (d) of this section; and 1166 (vi) The remainder shall be divided on a basis of 1167 nine-fourteenths (9/14) and five-fourteenths (5/14) (being the 1168 same basis as Four and One-half Cents (4-1/2¢) and Two and

1169 One-half Cents (2-1/2¢) is to Seven Cents (7¢) on gasoline, and 1170 six and forty-three one-hundredths (6.43) and three and 1171 fifty-seven one-hundredths (3.57) is to Ten Cents (10¢) on diesel 1172 fuel or kerosene). The amount produced by the nine-fourteenths

1173 (9/14) division shall be allocated to the * * * Department of 1174 Transportation and paid into the State Treasury as provided in 1175 this section and in Section 27-5-103 and the five-fourteenths

1176 (5/14) division shall be returned to the counties of the state on 1177 the following basis: 1178 1. In each fiscal year, each county shall be 1179 paid each month the same percentage of the monthly total to be 1180 distributed as was paid to that county during the same month in

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 47 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1181 the fiscal year which ended April 9, 1960, until the county 1182 receives One Hundred Ninety Thousand Dollars ($190,000.00) in such 1183 fiscal year, at which time funds shall be distributed under the 1184 provisions of paragraph (b)(vi)4 of this section. 1185 2. If after payments in 1 above, any county 1186 has not received a total of One Hundred Ninety Thousand Dollars

1187 ($190,000.00) at the end of the fiscal year ending June 30, 1961, 1188 and each fiscal year thereafter, then any available funds not 1189 distributed under 1 above shall be used to bring such county or 1190 counties up to One Hundred Ninety Thousand Dollars ($190,000.00) 1191 or such funds shall be divided equally among such counties not 1192 reaching One Hundred Ninety Thousand Dollars ($190,000.00) if 1193 there is not sufficient money to bring all the counties to said

1194 One Hundred Ninety Thousand Dollars ($190,000.00). 1195 3. When a county has been paid an amount 1196 equal to the total which was paid to the same county during the 1197 fiscal year ended April 9, 1960, such county shall receive no 1198 further payments during the then current fiscal year until the

1199 last month of such current fiscal year, at which time distribution 1200 will be made under 2 above, except as set out in 4 below.

1201 4. During the last month of the current 1202 fiscal year, should it be determined that there are funds 1203 available in excess of the amount distributed for the year under 1 1204 and 2 above, then such excess funds shall be distributed among the 1205 various counties as follows:

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 48 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1206 One-third (1/3) of such excess to be 1207 divided equally among the counties; 1208 One-third (1/3) of such excess to be paid 1209 to the counties in the proportion which the population of each 1210 county bears to the total population of the state according to the 1211 last federal census;

1212 One-third (1/3) of such excess to be paid 1213 to the counties in the proportion which the number of square miles 1214 of each county bears to the total square miles in the state. 1215 5. It is the declared purpose and intent of 1216 the Legislature that no county shall be paid less than was paid 1217 during the year ended April 9, 1960, unless the amount to be 1218 distributed to all counties in any year is less than the amount

1219 distributed to all counties during the year ended April 9, 1960. 1220 The Municipal Aid Fund as established by Section 27-5-103 1221 shall not participate in any portion of any funds allocated to any 1222 county hereunder over and above One Hundred Ninety Thousand 1223 Dollars ($190,000.00).

1224 In any county having road or bridge bonds outstanding which 1225 exceed, in the aggregate, twelve percent (12%) of the assessed

1226 valuation of the taxable property of the county, it shall be the 1227 duty of the board of supervisors to set aside not less than sixty 1228 percent (60%) of such county's share of the gasoline, diesel fuel 1229 or kerosene taxes to be used in paying the principal and interest 1230 on such road or bridge bonds as they mature.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 49 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1231 In any county having such road or bridge bonds outstanding 1232 which exceed, in the aggregate, eight percent (8%) of the assessed 1233 valuation of the taxable property of the county, but which do not 1234 exceed, in the aggregate, twelve percent (12%) of the assessed 1235 valuation of the taxable property of the county, it shall be the 1236 duty of the board of supervisors to set aside not less than

1237 thirty-five percent (35%) of such county's share of the gasoline, 1238 diesel fuel or kerosene taxes to be used in paying the principal 1239 and interest of such road or bridge bonds as they mature. 1240 In any county having such road or bridge bonds outstanding 1241 which exceed, in the aggregate, five percent (5%) of the assessed 1242 valuation of the taxable property of the county, but which do not 1243 exceed, in the aggregate, eight percent (8%) of the assessed

1244 valuation of the taxable property of the county, it shall be the 1245 duty of the board of supervisors to set aside not less than twenty 1246 percent (20%) of such county's share of the gasoline, diesel fuel 1247 or kerosene taxes to be used in paying the principal and interest 1248 of such road and bridge bonds as they mature.

1249 In any county having such road or bridge bonds outstanding 1250 which do not exceed, in the aggregate, five percent (5%) of the

1251 assessed valuation of the taxable property of the county, it shall 1252 be the duty of the board of supervisors to set aside not less than 1253 ten percent (10%) of such county's share of the gasoline, diesel 1254 fuel or kerosene taxes to be used in paying the principal and 1255 interest on such road or bridge bonds as they mature.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 50 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1256 The portion of any such county's share of the gasoline, 1257 diesel fuel or kerosene taxes thus set aside for the payment of 1258 the principal and interest of road or bridge bonds, as provided 1259 for in this section, shall be used in paying the currently 1260 maturing installments of the principal and interest of such road 1261 or bridge bonds, if there be any such road or bridge bonds

1262 outstanding. 1263 The remaining portion of such county's share of the gasoline, 1264 diesel fuel or kerosene taxes, after setting aside the portion 1265 above provided for the payment of the principal and interest of 1266 bonds, shall be used in the construction and maintenance of any 1267 public highways, bridges or culverts of the county, in the 1268 discretion of the board of supervisors.

1269 In any county having no road or bridge bonds outstanding, all 1270 such county's share of the gasoline, diesel fuel or kerosene taxes 1271 shall be used in the construction, reconstruction and maintenance 1272 of the public highways, bridges or culverts of the county, as the 1273 board of supervisors may determine.

1274 In every county in which there are county road bonds or 1275 seawall or road protection bonds outstanding which were issued for

1276 the purpose of building bridges or constructing public roads or 1277 seawalls, such funds shall be used in the manner provided by law. 1278 (c) From the amount produced by the nine-fourteenths

1279 (9/14) division allocated to the * * * Department of 1280 Transportation, there shall be deducted:

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 51 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1281 (i) The amount paid to the State Treasurer for the 1282 "Highway Bonds Sinking Fund" under paragraph (a) of this section; 1283 (ii) Any amounts due counties in accordance with 1284 Section 65-33-45 which have outstanding bonds issued for seawall 1285 or road protection purposes, issued under provisions of Chapter 1286 319, Laws of 1924, and amendments thereto; and

1287 (iii) Except as otherwise provided in Section

1288 31-17-127, the remainder shall be paid by the * * * Department of 1289 Revenue to the State Treasurer on the fifteenth day of each month 1290 next succeeding the month in which the gasoline, diesel fuel or 1291 kerosene taxes were collected to the credit of the State Highway 1292 Fund. 1293 The funds allocated for the construction, reconstruction and

1294 improvement of state highways, bridges and culverts, or so much 1295 thereof as may be necessary, shall first be used in conjunction 1296 with funds supplied by the federal government for such purposes

1297 and allocated to the * * * Department of Transportation to be 1298 expended on the state highway system. It is specifically provided

1299 hereby that the necessary portion of such funds hereinabove

1300 allocated to the * * * Department of Transportation may be used 1301 for the prompt payment of principal and interest on highway bonds 1302 heretofore issued, including such bonds issued or to be issued 1303 under the provisions of Chapter 312, Laws of 1956, and amendments 1304 thereto.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 52 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1305 Nothing contained in this section shall be construed to 1306 reduce the amount of such gasoline, diesel fuel or kerosene excise 1307 taxes levied by the state, allotted under the provisions of Title 1308 65, Chapter 33, Mississippi Code of 1972, to counties in which 1309 there are outstanding bonds issued for seawall or road protection 1310 purposes issued under the provisions of Chapter 319, Laws of 1924,

1311 and amendments thereto; the amount of said gasoline, diesel fuel 1312 or kerosene excise taxes designated in this section for the 1313 payment of bonds and interest authorized and issued or to be 1314 issued under the provisions of Chapter 130, Laws of 1938, and 1315 subsequent acts authorizing the issuance of bonds payable from 1316 gasoline, diesel fuel or kerosene tax revenue, shall, in such 1317 counties, be considered as being paid "into the State Treasury to

1318 the credit of the State Highway Fund" within the meaning of 1319 Section 65-33-45 in computing the amount to be paid to such 1320 counties under the provisions of said section, and this section 1321 shall be administered in connection with Title 65, Chapter 33, 1322 Mississippi Code of 1972, and Sections 65-33-45, 65-33-47 and

1323 65-33-49 dealing with seawalls, as if made a part of this section. 1324 (d) The proceeds of the Five and One-fourth Cents

1325 (5.25¢) of the tax per gallon on oils used as a propellant for jet 1326 aircraft engines, and Six and Four-tenths Cents (6.4¢) of the tax 1327 per gallon on aviation gasoline and the tax of One Cent (1¢) per 1328 gallon for each gallon of gasoline for which a refund has been 1329 made pursuant to Section 27-55-23 because such gasoline was used

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 53 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1330 for aviation purposes, shall be paid to the State Treasury into a 1331 special fund to be used exclusively, pursuant to legislative 1332 appropriation, for the support and development of aeronautics as 1333 defined in Section 61-1-3. 1334 (e) State highway funds in an amount equal to the 1335 difference between Forty-two Million Dollars ($42,000,000.00) and

1336 the annual debt service payable on the state's highway revenue 1337 refunding bonds, Series 1985, shall be expended for the 1338 construction or reconstruction of highways designated under the 1339 highway program created under Section 65-3-97. 1340 (f) The proceeds of the excise taxes levied on gasoline 1341 in Section 27-55-11(1)(a)(ii), on undyed diesel fuel in Section 1342 27-55-519(2)(a)(ii) and on diesel fuel in Section 27-55-521(3)

1343 shall be deposited into the bond sinking fund created in Section 1344 1(3) of this act.

1345 ( * * *g) "Gasoline, diesel fuel or kerosene taxes" as 1346 used in this section shall be deemed to mean and include state 1347 gasoline, diesel fuel or kerosene taxes levied and imposed on

1348 distributors of gasoline, diesel fuel or kerosene, and all state 1349 excise taxes derived from any fuel used to propel vehicles upon

1350 the highways of this state, when levied by any statute.

1351 SECTION 7. (1) (a) There shall be a statewide special 1352 election held on Tuesday, June 8, 2021, for the purpose of 1353 determining whether or not the following will be implemented as 1354 provided in this act by amendments to Sections 27-55-11, 27-55-519

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 54 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1355 and 27-55-521, Mississippi Code of 1972,: Temporary increases to 1356 the rates of the excise taxes on gasoline and diesel fuel provided 1357 in Sections 27-55-11, 27-55-519 and 27-55-521, Mississippi Code of 1358 1972, with the revenue derived from such increased tax rates to be 1359 deposited into a bond sinking fund to be used for the purpose of 1360 retiring revenue bonds issued by the State of Mississippi for the

1361 purpose of providing funds for various road and bridge 1362 improvements projects in this state. 1363 (b) The special election shall be conducted in the same 1364 manner as regular general elections are held. The question put 1365 before the voters at the statewide special election shall read on 1366 the ballots as follows:

1367 "PLEASE VOTE 'YES' OR 'NO'

1368 The following shall be implemented as provided by amendments to 1369 Sections 27-55-11, 27-55-519 and 27-55-521, Mississippi Code of 1370 1972, as provided in House Bill No. , 2021 Regular Session: 1371 Temporary increases to the rates of the gasoline and diesel

1372 fuel excise taxes provided in Sections 27-55-11, 27-55-519 and

1373 27-55-521, Mississippi Code of 1972, for the purpose of providing 1374 funds for various road and bridge improvements projects throughout

1375 the State of Mississippi in order to enhance road and bridge 1376 safety and to provide for more efficient travel on and use of 1377 roads and bridges. 1378 'YES': ______'NO': ______"

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 55 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1379 (c) If a majority of the qualified electors voting in 1380 the election vote "Yes" on the question, then the following shall 1381 be implemented as provided in this act by amendments to Sections 1382 27-55-11, 27-55-519 and 27-55-521, Mississippi Code of 1972: 1383 Temporary increases to the rates of the excise taxes on gasoline 1384 and diesel provided in Sections 27-55-11, 27-55-519 and 27-55-521,

1385 Mississippi Code of 1972, with the revenue derived from such 1386 increased excise tax rates to be deposited into a bond sinking 1387 fund to be used for the purpose of retiring revenue bonds issued 1388 by the State of Mississippi for the purpose of providing funds for

1389 various road and bridge improvements projects in this state. 1390 (2) The county election commissioners shall transmit to the 1391 Secretary of State, in the same manner as the vote for state

1392 officers is transmitted, a statement of the total number of votes 1393 cast for each choice on the question in the statewide special 1394 election. The Secretary of State shall tabulate the returns and 1395 certify the results to the Governor and to each house of the 1396 Legislature.

1397 SECTION 8. Section 23-15-833, Mississippi Code of 1972, is 1398 brought forward as follows:

1399 23-15-833. Except as otherwise provided by law, the first 1400 Tuesday after the first Monday in November of each year shall be 1401 designated the regular special election day, and on that day an 1402 election shall be held to fill any vacancy in county, county

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 56 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1403 district, and district attorney elective offices, and any vacancy 1404 in the office of circuit judge or chancellor. 1405 All special elections, or elections to fill vacancies, shall 1406 in all respects be held, conducted and returned in the same manner 1407 as general elections, except that where no candidate receives a 1408 majority of the votes cast in the election, a runoff election

1409 shall be held three (3) weeks after the election. The two (2) 1410 candidates who receive the highest popular votes for the office 1411 shall have their names submitted as the candidates to the runoff 1412 and the candidate who leads in the runoff election shall be 1413 elected to the office. When there is a tie in the first election 1414 of those receiving the next highest vote, these two (2) and the 1415 one receiving the highest vote, none having received a majority,

1416 shall go into the runoff election and whoever leads in the runoff 1417 election shall be entitled to the office. 1418 In those years when the regular special election day shall 1419 occur on the same day as the general election, the names of 1420 candidates in any special election and the general election shall

1421 be placed on the same ballot, but shall be clearly distinguished 1422 as general election candidates or special election candidates. At

1423 any time a special election is held on the same day as a party 1424 primary election, the names of the candidates in the special 1425 election may be placed on the same ballot, but shall be clearly 1426 distinguished as special election candidates or primary election 1427 candidates.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 ST: Bonds; authorize issuance of revenue bonds PAGE 57 (BS\KW) for various transportation projects and temporarily increase gasoline and diesel fuel excise taxes. 1428 SECTION 9. This act shall take effect and be in force from 1429 and after its passage.

H. B. No. 1364 *HR26/R1628CS.1* ~ OFFICIAL ~ 21/HR26/R1628CS.1 PAGE 58 (BS\KW)