1999 Legislation
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SENATE BILL NO. 1225, As Amended – MV, hwy construct projects

SENATE BILL NO. 1225, As Amended

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S1225aa....................................................by STATE AFFAIRS
HIGHWAY CONSTRUCTION PROJECTS - Directs the Idaho Transportation Department
to complete a list of highway construction projects; to establish the
Specified Highway Projects Construction Fund; and to provide for
distribution of moneys from the Idaho Petroleum Clean Water Trust Fund when
the unencumbered fund balance reaches certain amounts.

02/18    Senate intro - 1st rdg - to printing
02/19    Rpt prt - to Transp
03/10    Rpt out - to 14th Ord
03/11    Rpt out amen - to engros
03/12    Rpt engros - 1st rdg - to 2nd rdg as amen
03/15    2nd rdg - to 3rd rdg as amen
03/15    Rules susp - FAILED - 11-22-2
      AYES--Boatright, Bunderson, Danielson, Deide, Keough, McLaughlin,
      Riggs, Risch, Schroeder, Stegner, Thorne
      NAYS--Andreason, Branch, Burtenshaw, Cameron, Crow, Darrington,
      Davis, Frasure, Geddes, Hawkins, Ingram, Ipsen, King, Lee, Noh,
      Richardson, Sandy, Sorensen, Stennett, Twiggs, Wheeler, Whitworth
      Absent and excused--Dunklin, Parry
    Floor Sponsor - Riggs
    Filed with Secretary of the Senate

Bill Text


S1225


                                                                        
 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999
                                                                        

                                      IN THE SENATE

                             SENATE BILL NO. 1225, As Amended

                                BY STATE AFFAIRS COMMITTEE

 1                                        AN ACT
 2    RELATING TO HIGHWAY CONSTRUCTION PROJECTS; AMENDING CHAPTER 3, TITLE 40, IDAHO
 3        CODE, BY THE ADDITION OF A NEW SECTION 40-322, IDAHO CODE, TO  DIRECT  THE
 4        IDAHO  TRANSPORTATION  DEPARTMENT  TO COMPLETE LISTED HIGHWAY CONSTRUCTION
 5        PROJECTS AND TO PROVIDE A PROJECT LIST;  AMENDING  CHAPTER  7,  TITLE  40,
 6        IDAHO  CODE,  BY  THE  ADDITION  OF  A NEW SECTION 40-701B, IDAHO CODE, TO
 7        ESTABLISH THE SPECIFIED HIGHWAY PROJECTS CONSTRUCTION FUND;  AND  AMENDING
 8        SECTION  41-4908, IDAHO CODE, TO DELETE THE REQUIREMENT THAT IMPOSITION OF
 9        THE TRANSFER FEE SHALL BE SUSPENDED WHEN  THE  UNENCUMBERED  FUND  BALANCE
10        REACHES THIRTY MILLION DOLLARS, TO PROVIDE FOR DISTRIBUTION OF MONEYS FROM
11        THE IDAHO PETROLEUM CLEAN WATER TRUST FUND WHEN THE UNENCUMBERED FUND BAL-
12        ANCE  REACHES  THIRTY  MILLION  DOLLARS, TO PROVIDE A DISTRIBUTION FORMULA
13        FROM THE TRUST FUND WHEN THE UNENCUMBERED FUND BALANCE EQUALS TWENTY  MIL-
14        LION DOLLARS AND TO MAKE TECHNICAL CORRECTIONS.

15    Be It Enacted by the Legislature of the State of Idaho:

16        SECTION  1.  That  Chapter  3,  Title  40, Idaho Code, be, and the same is
17    hereby amended by the addition thereto of a  NEW SECTION  ,  to  be
18    known and designated as Section 40-322, Idaho Code, and to read as follows:

19        40-322.  SPECIFIED  HIGHWAY CONSTRUCTION PROJECTS. (1)  Under direction of
20    the Idaho transportation board which has responsibility for oversight  of  all
21    projects  pursuant  to  this  section,  the Idaho transportation department is
22    authorized and directed to undertake and complete the projects listed in  sub-
23    section (3) of this section. The department shall not be precluded from simul-
24    taneously  proceeding  with  portions  of each project as necessary to acquire
25    rights-of-way and to prepare engineering and  environmental  impact  analyses,
26    provided  adequate funds are anticipated to be available for completion of the
27    projects.
28        (2)  Projects listed herein shall be  described  by  Idaho  transportation
29    department  key  number, route, project name and by type of work. For the pur-
30    poses of this section, highway  construction  projects  shall  be  limited  to
31    United States highways and state highways.
32        (3)  Specified highway construction projects are:
33          KEY
34          NO.     ROUTE         PROJECT NAME                         TYPE OF WORK
35    (a)  ----     SH16      I-84 to Emmett                        Lane expansion - 4 lane
36    (b)  ----               Emmett to Council via Indian Valley   New route - 2 lane
37    (c)  0704     US95      Moscow Alternate Route                Relocation - 4 lane
38    (d)  ----     US95      Coeur d'Alene to Sandpoint            Lane expansion - 4 lane
39        (4)  The projects listed in subsection (3) of this section may be bypassed
40    only  in  the  event  that alternative funding has been secured for a project,
41    such as federal demonstration project funding,  private  funding,  bonding  or
42    additional general funding to the department.


                                          2

 1        SECTION  2.  That  Chapter  7,  Title  40, Idaho Code, be, and the same is
 2    hereby amended by the addition thereto of a  NEW SECTION  ,  to  be
 3    known and designated as Section 40-701B, Idaho Code, and to read as follows:

 4        40-701B.  SPECIFIED  HIGHWAY  PROJECTS  CONSTRUCTION  FUND.  (1)  There is
 5    established in the state treasury the "Specified Highway Projects Construction
 6    Fund" hereafter referred to as the specified projects fund, to which shall  be
 7    credited:
 8        (a)  Moneys  as  provided  by  sections 49-402(1) and 63-2412(1)(e), Idaho
 9        Code; and
10        (b)  All other moneys as may be provided by law; and
11        (c)  Interest earned on the investment of idle  moneys  in  the  specified
12        projects fund shall be paid to the specified projects fund.
13        (2)  Moneys distributed from the fund shall be used on the projects listed
14    in  section  40-322,  Idaho Code, for construction of major projects for which
15    other funding is not generally available. In addition, the  Idaho  transporta-
16    tion  board  is  directed to allocate twenty-five percent (25%) of each year's
17    revenues for distribution to local projects. Any city, county or highway  dis-
18    trict  may  apply to the board to receive funding from the twenty-five percent
19    (25%) portion of the fund allocated for specified local projects.
20        (3)  On or before March 1 of each year, the Idaho  transportation  depart-
21    ment  shall  submit  a  report to the germane transportation committees of the
22    legislature describing progress on specified construction projects,  the  pro-
23    posed  time  frame for completion of the projects, an accounting of the moneys
24    distributed to the  department  for  the  projects,  and  recommendations  for
25    adjustments to the list in section 40-322, Idaho Code.

26        SECTION  3.  That  Section 41-4908, Idaho Code, be, and the same is hereby
27    amended to read as follows:

28        41-4908.  SOURCE OF TRUST FUND --  APPLICATION  FEES  --  APPLICATION  FOR
29    ENROLLMENT  --  TRANSFER  FEES.  (1) Every owner or operator of an underground
30    storage tank may, if he desires to apply to  the  trust  fund  to  insure  the
31    underground  tank, make application for and pay into the trust fund an initial
32    application fee set by the administrator, but not to exceed  twenty-five  dol-
33    lars ($25.00) for each tank for which application for coverage is made.
34        (2)  Every  owner  or  operator  of  an    above  ground  
35    aboveground  storage tank may, if he desires to apply to the trust  fund
36    to  insure  the   above ground   aboveground  tank, make
37    application for and pay into the trust fund an initial application fee set  by
38    the  administrator,  but  not  to exceed twenty-five dollars ($25.00) for each
39    tank for which application for coverage is made.
40        (3)  Every owner or operator of a farm tank or residential tank may, if he
41    desires to apply to the trust fund to insure the tank,  make  application  for
42    and  pay into the trust fund an initial application fee set by the administra-
43    tor, but not to exceed twenty-five dollars ($25.00) for each  tank  for  which
44    application for coverage is made.
45        (4)  Every owner or operator of a heating tank may, if he desires to apply
46    to  the  trust  fund to insure the tank, make application for and pay into the
47    trust fund an initial application fee set by the  administrator,  but  not  to
48    exceed  five  dollars ($5.00) for each tank for which application for coverage
49    is made.
50        (5)  The application for insurance shall be made to the  administrator  on
51    forms  furnished and prescribed by him for the purpose of eliciting reasonably
52    available information as to the type and use of the storage tank, the type  of


                                          3

 1    business  enterprise  of  the  tank  owner or operator, the age of the storage
 2    tank, the materials used in the construction of the tank and  the  inside  and
 3    outside  protective  coatings  and  other  corrosion protective measures, leak
 4    detection methods, spill and overfill prevention  methods  of  the  tank,  the
 5    location  of the tank and its proximity to roads and buildings, the foundation
 6    and type of material used as a bedding and fill for the  tank,  any  available
 7    inspection  records  of  the  tank including the gallons of petroleum products
 8    entered into the tank and the gallon dispersements from the  tank,  and  other
 9    information that is reasonably prudent in order to obtain a sufficient body of
10    statistical  data  to  determine the relative hazards of various categories of
11    tanks, the potential that future leaks or discharges may occur, and the condi-
12    tions under which cleanup costs and personal injury and property damage  costs
13    may  occur  and vary in the severity of the release and the resultant costs to
14    the trust fund.
15        (6)  The administrator shall act upon the application for  insurance  with
16    all    reasonable  promptness,  and  he  shall make such investigations of the
17    applicant as he deems advisable to determine if the information  contained  in
18    the  application  for  insurance  is  accurate and complete. The administrator
19    shall determine if the applicant's storage  tanks  meet  all  the  eligibility
20    requirements and promptly notify the applicant of the acceptance or nonaccept-
21    ance  of  the application for insurance. The absence of unknown data requested
22    on the application shall not preclude an applicant's acceptance  for  coverage
23    by  the trust fund, if the applicant is otherwise eligible for insurance under
24    this chapter.
25        (7)  In addition to the application fees received by the trust fund pursu-
26    ant to this section, the trust fund shall receive the revenue produced by  the
27    imposition  of  a "transfer fee" of one cent ($.01) per gallon on the delivery
28    or storage of all petroleum products as defined in subsection (24) of  section
29    41-4903,  Idaho  Code,  delivered  or  stored  within the state of Idaho. This
30    transfer fee is  hereby  imposed  upon  the  first  licensed  distributor  who
31    receives, as receipt is determined in section 63-2403, Idaho Code, a petroleum
32    product  within  this  state  for the privilege of engaging in the delivery or
33    storage of petroleum products whose delivery or storage may present the danger
34    of a discharge into the environment  and  thus  create  the  liability  to  be
35    funded. The fee imposed by this subsection shall not apply to (a) petroleum or
36    petroleum products which are first delivered or stored in this state in a con-
37    tainer  of fifty-five (55) gallons or less if such container is intended to be
38    transferred  to  the  ultimate  consumer  of  the   petroleum   or   petroleum
39    products  ;    or  (b) petroleum or petroleum products delivered or
40    stored in this state for the purpose of packaging or repackaging into contain-
41    ers of fifty-five (55) gallons or less if such container  is  intended  to  be
42    transferred to the ultimate consumer of the petroleum or petroleum products.
43        (8)  The  transfer  fee shall be collected by the commission on all petro-
44    leum products delivered or stored within this state after April 1, 1990.  This
45    transfer  fee  shall be in addition to any excise tax imposed on motor fuel or
46    other petroleum products and shall be remitted  to  the  commission  with  the
47    distributor's  monthly  report as required in section 63-2406, Idaho Code. The
48    distributor may deduct from his monthly  report  those  gallons  of  petroleum
49    products  returned  to  a licensed distributor's refinery or pipeline terminal
50    storage or exported from the state when supported by proper documents approved
51    by the commission. For the purpose of carrying out its duties under the provi-
52    sions of this chapter, the commission shall have the powers  and  duties  pro-
53    vided in sections 63-3038, 63-3039, 63-3042 through 63-3066, 63-3068, 63-3071,
54    and  63-3074  through  63-3078, Idaho Code, which sections are incorporated by
55    reference herein as though set out verbatim.


                                          4

 1        (9)  No person shall be excused from liability for any duty or fee imposed
 2    in this chapter for failure to obtain a distributor's license.
 3        (10) The director shall certify to the commission  when  the  unencumbered
 4    balance  in the trust fund equals thirty million dollars ($30,000,000). Effec-
 5    tive the first day of the second month following the date of  such  certifica-
 6    tion, the imposition of the transfer fee shall be  suspended  
 7    distributed  as  follows:   For the month of certification by the director and
 8    monthly thereafter, the balance of the transfer fees and accumulated  interest
 9    accruing  to  the Idaho petroleum clean water trust fund shall be distributed:
10    ninety-seven percent (97%) to the specified projects fund established in  sec-
11    tion  40-701B,  Idaho  Code, and three percent (3%) to the Idaho department of
12    parks and recreation to be distributed as provided in subsection (1)(e)1.,  2.
13    and  3. of section 63-2412, Idaho Code, and to the accounts specified in those
14    subparts according to the formula in those subparts  .  Thereafter,  the
15    director  shall certify to the commission when the unencumbered balance in the
16    trust fund equals twenty million dollars ($20,000,000).  Effective  the  first
17    day  of the second month following the date of such certification, the imposi-
18    tion of the transfer fee shall be  reinitiated     distributed
19    as provided in section 41-4909, Idaho Code .

Amendment


AS1225


                                                                        
 ||||              LEGISLATURE OF THE STATE OF IDAHO             ||||
Fifty-fifth Legislature                 First Regular Session - 1999
                                                                        

                                       Moved by     Riggs                

                                       Seconded by  Thorne               


                                      IN THE SENATE
                            SENATE AMENDMENTS TO S.B. NO. 1225

 1                               AMENDMENTS TO SECTION 3
 2        On page 3 of the printed bill, in line 10, delete "authorized" and insert:
 3    "directed"; also in line 10, delete  "up  to";  also  in  line  10,  following
 4    "twenty" insert: "-five"; and also in line 10, delete "20%" and insert: "25%";
 5    in  line 11, following "projects." delete the remainder of the line and all of
 6    line 12, and insert: "Any"; in line 14, following  "twenty"  insert:  "-five";
 7    and also in line 14, delete "20%" and insert: "25%".

 8                                AMENDMENTS TO THE BILL
 9        On  page  2,  delete  lines  11 through 45; and in line 46, delete "3" and
10    insert: "2"; on page 3, delete lines 22 through 53, and delete all of pages 4,
11    5, 6, 7 and 8; and insert:
12        "SECTION 3.  That Section 41-4908, Idaho Code, be, and the same is  hereby
13    amended to read as follows:

14        41-4908.  SOURCE  OF  TRUST  FUND  --  APPLICATION FEES -- APPLICATION FOR
15    ENROLLMENT -- TRANSFER FEES. (1) Every owner or  operator  of  an  underground
16    storage  tank  may,  if  he  desires  to apply to the trust fund to insure the
17    underground tank, make application for and pay into the trust fund an  initial
18    application  fee  set by the administrator, but not to exceed twenty-five dol-
19    lars ($25.00) for each tank for which application for coverage is made.
20        (2)  Every owner or  operator  of  an    above  ground    
21    aboveground   storage tank may, if he desires to apply to the trust fund
22    to insure the  above ground   aboveground    tank,  make
23    application  for and pay into the trust fund an initial application fee set by
24    the administrator, but not to exceed twenty-five  dollars  ($25.00)  for  each
25    tank for which application for coverage is made.
26        (3)  Every owner or operator of a farm tank or residential tank may, if he
27    desires  to  apply  to the trust fund to insure the tank, make application for
28    and pay into the trust fund an initial application fee set by the  administra-
29    tor,  but  not  to exceed twenty-five dollars ($25.00) for each tank for which
30    application for coverage is made.
31        (4)  Every owner or operator of a heating tank may, if he desires to apply
32    to the trust fund to insure the tank, make application for and  pay  into  the
33    trust  fund  an  initial  application fee set by the administrator, but not to
34    exceed five dollars ($5.00) for each tank for which application  for  coverage
35    is made.
36        (5)  The  application  for insurance shall be made to the administrator on
37    forms furnished and prescribed by him for the purpose of eliciting  reasonably
38    available  information as to the type and use of the storage tank, the type of
39    business enterprise of the tank owner or operator,  the  age  of  the  storage
40    tank,  the  materials  used in the construction of the tank and the inside and
41    outside protective coatings and  other  corrosion  protective  measures,  leak
42    detection  methods,  spill  and  overfill  prevention methods of the tank, the


                                         2

 1    location of the tank and its proximity to roads and buildings, the  foundation
 2    and  type  of  material used as a bedding and fill for the tank, any available
 3    inspection records of the tank including the  gallons  of  petroleum  products
 4    entered  into  the  tank and the gallon dispersements from the tank, and other
 5    information that is reasonably prudent in order to obtain a sufficient body of
 6    statistical data to determine the relative hazards of  various  categories  of
 7    tanks, the potential that future leaks or discharges may occur, and the condi-
 8    tions  under which cleanup costs and personal injury and property damage costs
 9    may occur and vary in the severity of the release and the resultant  costs  to
10    the trust fund.
11        (6)  The  administrator  shall act upon the application for insurance with
12    all  reasonable promptness, and he  shall  make  such  investigations  of  the
13    applicant  as  he deems advisable to determine if the information contained in
14    the application for insurance is  accurate  and  complete.  The  administrator
15    shall  determine  if  the  applicant's  storage tanks meet all the eligibility
16    requirements and promptly notify the applicant of the acceptance or nonaccept-
17    ance of the application for insurance. The absence of unknown  data  requested
18    on  the  application shall not preclude an applicant's acceptance for coverage
19    by the trust fund, if the applicant is otherwise eligible for insurance  under
20    this chapter.
21        (7)  In addition to the application fees received by the trust fund pursu-
22    ant  to this section, the trust fund shall receive the revenue produced by the
23    imposition of  a "transfer fee" of one cent ($.01) per gallon on the  delivery
24    or  storage of all petroleum products as defined in subsection (24) of section
25    41-4903, Idaho Code, delivered or stored  within  the  state  of  Idaho.  This
26    transfer  fee  is  hereby  imposed  upon  the  first  licensed distributor who
27    receives, as receipt is determined in section 63-2403, Idaho Code, a petroleum
28    product within this state for the privilege of engaging  in  the  delivery  or
29    storage of petroleum products whose delivery or storage may present the danger
30    of  a  discharge  into  the  environment  and  thus create the liability to be
31    funded. The fee imposed by this subsection shall not apply to (a) petroleum or
32    petroleum products which are first delivered or stored in this state in a con-
33    tainer of fifty-five (55) gallons or less if such container is intended to  be
34    transferred   to   the   ultimate  consumer  of  the  petroleum  or  petroleum
35    products ;  or (b) petroleum or  petroleum  products  delivered  or
36    stored in this state for the purpose of packaging or repackaging into contain-
37    ers  of  fifty-five  (55)  gallons or less if such container is intended to be
38    transferred to the ultimate consumer of the petroleum or petroleum products.
39        (8)  The transfer fee shall be collected by the commission on  all  petro-
40    leum  products delivered or stored within this state after April 1, 1990. This
41    transfer fee shall be in addition to any excise tax imposed on motor  fuel  or
42    other  petroleum  products  and  shall  be remitted to the commission with the
43    distributor's monthly report as required in section 63-2406, Idaho  Code.  The
44    distributor  may  deduct  from  his  monthly report those gallons of petroleum
45    products returned to a licensed distributor's refinery  or  pipeline  terminal
46    storage or exported from the state when supported by proper documents approved
47    by the commission. For the purpose of carrying out its duties under the provi-
48    sions  of  this  chapter, the commission shall have the powers and duties pro-
49    vided in sections 63-3038, 63-3039, 63-3042 through 63-3066, 63-3068, 63-3071,
50    and 63-3074 through 63-3078, Idaho Code, which sections  are  incorporated  by
51    reference herein as though set out verbatim.
52        (9)  No person shall be excused from liability for any duty or fee imposed
53    in this chapter for failure to obtain a distributor's license.
54        (10) The  director  shall  certify to the commission when the unencumbered
55    balance in the trust fund equals thirty million dollars ($30,000,000).  Effec-


                                         3

 1    tive  the  first day of the second month following the date of such certifica-
 2    tion, the imposition of the transfer fee shall be  suspended  
 3    distributed as follows:  For the month of certification by  the  director  and
 4    monthly  thereafter, the balance of the transfer fees and accumulated interest
 5    accruing to the Idaho petroleum clean water trust fund shall  be  distributed:
 6    ninety-seven  percent (97%) to the specified projects fund established in sec-
 7    tion 40-701B, Idaho Code, and three percent (3%) to the  Idaho  department  of
 8    parks  and recreation to be distributed as provided in subsection (1)(e)1., 2.
 9    and 3. of section 63-2412, Idaho Code, and to the accounts specified in  those
10    subparts  according  to  the formula in those subparts . Thereafter, the
11    director shall certify to the commission when the unencumbered balance in  the
12    trust  fund  equals  twenty million dollars ($20,000,000). Effective the first
13    day of the second month following the date of such certification, the  imposi-
14    tion  of  the transfer fee shall be  reinitiated   distributed
15    as provided in section 41-4909, Idaho Code .".

16                                 CORRECTIONS TO TITLE
17        On page 1, in line 5, following "LIST;" delete the remainder of  the  line
18    and  delete  all of lines 6 and 7, and in line 8, delete "HIGHWAY FUND IS LIM-
19    ITED TO FOUR CENTS PER GALLON;"; delete lines 11 through 24, and insert:  "AND
20    AMENDING  SECTION  41-4908, IDAHO CODE, TO DELETE THE REQUIREMENT THAT IMPOSI-
21    TION OF THE TRANSFER FEE SHALL BE SUSPENDED WHEN THE UNENCUMBERED FUND BALANCE
22    REACHES THIRTY MILLION DOLLARS, TO PROVIDE FOR DISTRIBUTION OF MONEYS FROM THE
23    IDAHO PETROLEUM CLEAN WATER TRUST FUND  WHEN  THE  UNENCUMBERED  FUND  BALANCE
24    REACHES  THIRTY  MILLION  DOLLARS,  TO PROVIDE A DISTRIBUTION FORMULA FROM THE
25    TRUST FUND WHEN THE UNENCUMBERED FUND BALANCE EQUALS  TWENTY  MILLION  DOLLARS
26    AND TO MAKE TECHNICAL CORRECTIONS.".

Statement of Purpose / Fiscal Impact


                          STATEMENT OF PURPOSE

                                RS09089

The purpose of this Legislation is to address 4 Idaho
transportation department highway construction projects which are
currently unfunded, and for which the ITD has no well defined plan for
completion. ITD creates a "Five year Program" or schedule; and the
projects listed represent four significant projects which are NOT on
the list. Completion of these, as well as programmed projects, will
significantly enhance statewide access, help to lower highway fatality
rates, and insure economic vitality of this state.

Section 1-Creates a "specified highway construction project list"
composed of 4 major projects which have no anticipated funding by ITD.

Section 2-Creates a "specified highway construction project fund"
which is a new account restricted to the projects listed in section 1.

Section 3-Transfers the existing one cent "fuel transfer fee" to
the specified projects fund created in Section 2, when and only if the
petroleum clean water trust fund reaches its goal of $30 million,
which is anticipated to occur within 3-4 months. This fee would
otherwise revert to the petroleum industry.

                              FISCAL NOTE

Total annual revenue would be approximately $8.2 million:
                                                    Specified highway construction fund (97% of total) 
                                                       Project list 75% ($6 million) 
                                                       Local projects 25% ($2 million)
   Department of Parks and Recreation (3% of total)

Estimated costs for the four projects:
     I84-Emmett (add 2 lanes)                      $30 million
           Emmett-Council via Indian Valley (new 2 lane) $70 million
     Moscow alternate (new 4 lane)                 $25 million
     CDA-Sandpoint (add 2 lanes)                   $35 million
                                  Total           $160 million

Contact: Senator Jack Riggs
                332-1341
        
                           STATEMENT OF PURPOSE/FISCAL NOTE  Bill No. S1225 as amended

          REVTISED      REVISED        REVISED   REVISED