House Bill 235

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; 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 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 County Road Construction and Maintenance Fund." The State Fiscal Officer shall transfer the sum of Twenty-five Million Dollars ($25,000,000.00) from the State General Fund to the special fund each fiscal year during fiscal years 2007, 2008, 2009, 2010 and 2011. 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 shall be allocated and distributed by the State Aid Engineer, upon legislative appropriation, equally to each of the counties, and there shall be no deduction by the State AidEngineer for administrative expenses of the Office of State Aid Road Construction. 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) Each county that receives monies from the State-assisted County 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 County Road Construction and Maintenance Fund, along with any other available monies that the county may designate, shall be deposited into 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 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.

SECTION 2. This act shall take effect and be in force from and after July 1, 2006.