The Auditor of State makes road funding distributions to local governments out of the Motor Vehicle Highway Account and the Local Road and Street Account as prescribed by formulas set out in statute. These distributions are made possible due to fuel taxes, vehicle registration costs, and other transportation related fees.
With the passage of HEA 1002-2017, local governments will see a change in how dollars from the Motor Vehicle Highway Account are distributed. As required by statute, the first 70 million dollars collected from the gasoline tax will be transferred into the state highway road constructions and improvement fund. As a result of this change, local units will no longer see MVHI and MVHII accelerated distributions. Instead, MVH dollars will be distributed only on a monthly basis.