HB277 Alabama 2022 Session

Summary

Primary Sponsor

Chris SellsRepresentative

Republican

Session

Regular Session 2022

Title

Gasoline and motor fuel taxes, levied by muns. and counties, use restricted to road and bridge construction and maintenance, exceptions if pledged for bonds, special projects, or after approval by referendum

Summary

HB277 would restrict municipal and county motor fuel tax proceeds to road and bridge construction and maintenance, with limited debt-related exceptions and a referendum requirement for tax increases.

What This Bill Does

If enacted, the bill would require motor fuel taxes levied by municipalities and counties to be used only for road and bridge construction and maintenance. It allows a five-year transition for existing debt financed with these taxes if pledged, after which other revenue must be used to pay the debt or the tax use would be limited to road/bridge work. Any proposed increase in a motor fuel tax would need voter approval in a local referendum before taking effect. The act also repeals conflicting laws and takes effect on the first day of the third month after governor approval.

Who It Affects

• Municipalities and counties that levy motor fuel taxes: must use proceeds for road and bridge construction and maintenance, with a five-year debt-financing exception and a requirement to switch to road/bridge use after five years.
• Local voters and residents within those municipalities/counties: any proposed motor fuel tax increase requires a local referendum before it can take effect.

Key Provisions

• Municipalities and counties must use motor fuel tax proceeds exclusively for road and bridge construction and maintenance.
• Exceptions allow continued use for debt obligations for up to five years if the revenue is pledged to securitize or fund bonds, with other revenue pledged to pay the debt after five years, and any future tax increases require a local referendum to take effect.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Gasoline Tax