MISSISSIPPI LEGISLATURE

1999 Regular Session

To: Transportation; Appropriations

By: Representative Smith (27th)

AN ACT TO ESTABLISH A STATE-ASSISTED LOCAL ROAD CONSTRUCTION AND MAINTENANCE PROGRAM FOR THE PURPOSE OF PROVIDING FINANCIAL ASSISTANCE TO COUNTIES AND MUNICIPALITIES IN THE CONSTRUCTION, RECONSTRUCTION AND MAINTENANCE OF HIGHWAYS, ROADS AND STREETS THAT ARE NOT INCLUDED ON THE STATE HIGHWAY SYSTEM OR THE STATE AID ROAD SYSTEM; TO PROVIDE THAT THE PROGRAM SHALL BE ADMINISTERED BY THE OFFICE OF STATE AID ROAD CONSTRUCTION; TO REQUIRE COUNTIES TO PROVIDE EQUAL MATCHING COUNTY FUNDS IN ORDER TO BE ELIGIBLE TO RECEIVE MONIES FROM THE SPECIAL FUND; TO LIMIT THE MAXIMUM AMOUNT THAT COUNTIES AND CITIES MAY RECEIVE FROM THE SPECIAL FUND; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. (1) There is established a state-assisted local road construction and maintenance program to be administered by the Office of State Aid Road Construction for the purpose of providing financial assistance to counties and municipalities in the construction, reconstruction, overlaying, repair and maintenance of highways, roads and streets that are not included on the state highway system or on the state aid road system.

(2) There is created in the State Treasury a special fund to be designated as the "State-assisted Local Road Construction and Maintenance Fund." The State Fiscal Officer shall transfer the sum of Ten Million Dollars ($10,000,000.00) from the State General Fund to the special fund each fiscal year during fiscal years 2000, 2001, 2002, 2003 and 2004. The transfer for each fiscal year shall be made in four (4) equal quarterly payments, with the first payment in each fiscal year to be made on July 1. Such monies as are deposited into the fund under the provisions of this section may be allocated and distributed, upon legislative appropriation, to counties in accordance with the provisions of this act. Unexpended amounts remaining in the special fund at the end of a fiscal year shall not lapse to the State General Fund, and any interest earned on amounts in the fund shall be deposited to the credit of the fund.

(3) Monies in the State-assisted Local Road Construction and Maintenance Fund shall be allocated and distributed to counties by the Office of State Aid Road Construction upon requisition of the State Aid Engineer. In order to be eligible to receive monies from the special fund, the board of supervisors of a county must file application with the Office of State Aid Road Construction, on forms approved by the State Aid Engineer, and agree to match an equal amount of county monies with the amount of monies distributed to it from the special fund. No county is eligible to receive more monies from the State-assisted Local Road Construction and Maintenance Fund than the amount of county monies that it agrees to match; and no county may receive from the State-assisted Local Road Construction and Maintenance Fund during the period from July 1, 1999, to June 30, 2004, an amount that exceeds, in the aggregate, an amount equal to the avails of a two (2) mill ad valorem tax levy on all taxable property in that county based on the 1998 assessed valuation of the county.

(4) Each county that receives monies from the State-assisted Local Road Construction and Maintenance Fund, shall establish a special fund in the county treasury; and all monies received by the county from the State-assisted Local Road Construction and Maintenance Fund, along with all county monies that the county agreed to provide as match money, shall be deposited in the special fund of the county. Monies in the county special fund may not be expended for any purpose except for expenses related to the construction, reconstruction, overlaying, repair and maintenance of highways, roads and streets within the county or within a municipality of the county that are not included on the state highway system or on the state aid road system. The State Department of Audit shall have authority and responsibility to make annual audits and investigations of all funds deposited to and expended from such special fund of the county.

(5) Of the monies received by a county from the State-assisted Local Road Construction and Maintenance Fund, not less than twenty-five percent (25%) must be expended by the board of supervisors on roads, streets and highways within the corporate limits of municipalities in the county that have a population of less than twenty-five thousand (25,000) according to the latest federal decennial census.

(6) The governing authorities of any municipality having a population of twenty-five thousand (25,000) or more, according to the latest federal decennial census, upon filing an application with the board of supervisors of the county, may receive out of monies received by the county from the State-assisted Local Road Construction and Maintenance Fund, an amount equal to the amount that the governing authorities of the municipality agree to match with municipal monies; however, no such municipality may receive more than an amount equivalent to the avails of a two (2) mill ad valorem tax levy on all taxable property in the municipality based on the 1998 assessed valuation of the municipality, and no county is required to distribute from the monies it receives from the State-assisted Local Road Construction and Maintenance Fund more than ten percent (10%) of such monies to all such municipalities in the aggregate. Each such municipality that receives monies from the county shall establish a special fund in the municipal treasury; and all such monies received from the county from the State-assisted Local Road Construction and Maintenance Fund, along with all municipal monies that the municipality agreed to provide as match money, shall be deposited in the special fund of the municipality. Monies in the municipal special fund may not be expended for any purpose except for expenses related to the construction, reconstruction, overlaying, repair and maintenance of highways, roads and streets within the municipality that are not included on the state highway system or on the state aid road system. The State Department of Audit shall have authority and responsibility to make annual audits and investigations of all funds deposited to and expended from such special fund of the municipality.

(7) If any monies remain in the State-assisted Local Road Construction and Maintenance Fund on July 1, 2004, then the monies remaining in the fund may be allocated and distributed by the Office of State Aid Road Construction to counties upon the same basis as such monies were authorized to be allocated and distributed to counties before July 1, 2004; however, a county must agree to match an equal amount of county monies with the amount of monies distributed to it from the special fund and no county may receive an amount that exceeds an amount equivalent to the avails of a one (1) mill ad valorem tax levy on all taxable property in the county based on the assessed valuation of the county for the year 2003.

(8) If any monies remain in the State-assisted Local Road Construction and Maintenance Fund on July 1, 2007, then the State-assisted Local Road Construction and Maintenance Fund shall cease to exist and the State Fiscal Officer shall transfer the monies remaining in the fund to the Local System Bridge Replacement and Rehabilitation Fund created in Section 65-37-13 for expenditure in the same manner as other monies in that fund may be expended.

SECTION 2. This act shall take effect and be in force from and after July 1, 1999.