House Bill 1035

Chairman: Larry O’Neal

Committee:Ways & Means

House Sponsor: Vance Smith

HB 1035 extends the expiration date for the exemption from motor fuel taxes for public mass transit and public campus transportation systems.  The current exemption is set to expire on June 30, 2008, and this bill extends this date to June 30, 2010.  Vehicles eligible for the public mass transit exemption must be owned by public transportation systems, must have passenger fairs that are routinely charged, and must be used exclusively for revenue generating purposes.  Vehicles eligible for the public campus transportation exemption must be operated pursuant to a policy of providing free transfer of passengers from the public transportation system operated by the jurisdiction in which the campus is must make the general public aware of the free transfer policy, and must receive no state or federal funding to assist in operations.  For both exemptions, the motor fuels sales must occur at bulk facilities approved by the department of revenue.

This bill comes to the House Floor under the Structured Rule.

Chairman O’Neal’s Opinion of the Legislation:

This bill assists campus transportation systems in providing free transit services on campuses, and encourages use of mass transit which reduces the congestion on our roads.