Bill > HB1382

This bill introduces several changes to North Dakota's vehicle and transportation funding mechanisms. It increases road use fees for electric vehicles from $120 to $150, plug-in hybrid vehicles from $50 to $60, and electric motorcycles from $20 to $25, reflecting the growing adoption of alternative fuel vehicles and the need to capture road maintenance costs from these vehicle types. The bill also increases the motor vehicle and special fuels tax from 23 to 26 cents per gallon, with the additional three cents dedicated to a new city, county, and township road fund. This new fund will be distributed two-thirds to counties and cities based on existing highway tax distribution formulas, and one-third to township highway aid. The bill modifies the highway tax distribution fund to clarify how moneys from various vehicle-related taxes and fees will be allocated, ensuring continued support for state highways, township highways, public transportation, and local road infrastructure. The fuel tax increase will take effect for taxable events after June 30, 2025, giving stakeholders time to prepare for the change. Overall, the bill aims to provide more sustainable funding for road maintenance and infrastructure across different levels of government in North Dakota.