United States Department of Transportation - Federal Highway Administration FHWA HomeFeedback
OHPI Logo Office of Highway Policy Information
Highway Taxes and Fees: How They Are Collected and Distributed - 2001

Back to Table MF-106 State List

PROVISIONS GOVERNING THE DISPOSITION OF STATE MOTOR-FUEL TAX RECEIPTS

BASED ON INFORMATION OBTAINED FROM STATE
AUTHORITIES AND ON THE LAWS OF THE STATE
TABLE MF-106
STATUS AS OF JANUARY 1, 2001

IOWA

NAME OF FUND
OR AGENCY
AMOUNT OF PROPORTION OBJECTS OF EXPENDITURE REMARKS STATE CODE
SECTION
Diesel: 22.5 Cents - - - 452A.3
LPG: 20 Cents - - - 452A.3
Gasohol: 19 Cents - - - 452A.3
      Aviation fuel is taxed at 8 cents per gallon and jet fuel is taxed
at 3 cents per gallon.
Motor-Fuel Tax
Refund Account.....
Amount required Payment of refunds by Director of Revenue and Finance.   452A.77
Department of Revenue
and Finance.....
Amount required For administration and enforcement of motor fuel tax program $992,986 appropriated for FY 2001.  
State General Fund..... Tax on aviation fuel
and jet fuel
For upgrading airport facilities. Aviation fuel is taxed at 8 cents per gallon and jet fuel is taxed
at 3 cents per gallon.
452A.82
State General Fund..... First $411,311 of 0.9 of
1 percent of motor-
fuel tax collected
For acquisition, development, and maintenance
of recreation boating facilities by the
Department of Natural Resources.
0.9 of 1 percent represents the portion of motor fuel tax attributable
to motor fuel use in watercraft. The amount distributed is reduced
by the cost of administration and refunds.
452A.84
Rebuild Iowa
Infrastructure Fund.....
0.9 of 1 percent of motor-
fuel tax collected
less $411,311
Dredging and renovation of natural lakes; public boating facilities
and navigation aids and recreational boating activities of the
Department of Natural Resources
This percentage is subject to review by a legislative study committee
every 4 years. Transfer is reduced by 3 percent for administration
costs and by the amounts refunded to commercial fishermen.
 
Road Use Tax Fund..... Net revenue Distributed as follows:

This is a common fund receiving collections from motor-fuel
taxes, motor-vehicle registration and other fees, vehicle sales
and use tax, and excise tax on auto rentals.
(See Tables MV-106 and S-106.) Only costs related to
highways are payable from the road use tax fund.

452A.79
Department of
Transportation:
  Allocation as follows: Only DOT costs which are related to highway costs are
payable from the Road Use Tax Fund.
   (1) License Plates.....    Amount required For payment of labor and materials required for production
of license plates, decals, emblems and other related
material.
Estimated $2,500,000 in FY 2001. 312.2(6)
   (2) Traffic Safety
   Improvements.....
   0.5 percent of Road
   User Tax Fund
For county, city and State traffic improvement projects. Estimated $5,169,000 in FY 2001. 312.2(16)
   (3) Registration.....    $650,000 For providing equipment and support to county treasurers
for vehicle registration and titling.
  312.2(21)
   (4) Driver's License
   Suspensions.....
   $225,000 For cost of notice and personal delivery of service of driver
license suspension, revocation or hearing.
  321.211
   (5) Driver's License    Costs.....    Appropriation For production of motor vehicle operator licenses $2,103,000 in FY 2001. (00 Acts, Ch. 1216, Sec.2(1))
   (6) DOT Administration.....    Appropriation Administration of the State DOT. $33,361,480 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(2)) See remarks
   (7) Personnel Expenses.....    Appropriation For paying Department of Personnel for administering the
merit system on behalf of DOT
$37,500 in FY 2001. (00Acts, Ch. 1216, Sec. 2(3))  
   (8) Personnel Expenses.....    Appropriation For unemployment compensation $17,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(4))  
   (9) Personnel Expenses.....    Appropriation For paying Department of Personnel for paying workers'
compensation claims on behalf of DOT
$77,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(5))   
   (10) Administration.....    Appropriation For payment to General Fund for indirect cost recoveries $92,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(6))   
   (11) Auditing Expenses.....    Appropriation For reimbursement to State Auditor for audit expenses $42,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(7))  
   (12) Driver Licensing.....    Appropriation For costs associated with the county issuance of drivers'
licenses
$20,000 in FY 2001 . (00 Acts, Ch. 1216, Sec. 2(8))  
   (13) Information Service.....    Appropriation For transfer to the Department of Public Safety for operating
a toll-free telephone road and weather conditions information
service
$100,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(9))  
   (14) Scale Facilities.....    Appropriation For improvements to scale facilities $940,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(10))  
   (15) Administration.....    Appropriation For membership in the North America's superhighway
corridor coalition
$50,000 in FY 2001. (00 Acts, Ch. 1216, Sec. 2(11))  
Primary Road Fund:   Allocation as follows:
   (1) State parks and
   Institutional Roads.....
   0.65 percent For construction and maintenance of roads and parking
facilities in State parks, institutions, area schools and State
fairgrounds.
Estimated $6,720,000 in FY 2001. 312.2(5)
   (2) Services for Cities.....    $500,000 For paying expenses incurred by the DOT in providing certain
specified services to cities.
  312.2(5)
   (3) State Primary Roads.....    $7,100,000 For construction, maintenance and administration of State
primary roads.
  312.2(7)
   (4) State Primary Roads.....    $4,400,000 For construction, maintenance and administration of State
primary roads.
This allocation is a result of increased truck registration fees and
is a partial compensation for allowing trucks to operate on State
primary roads with increased weight allowances.
312.2(10)
Highway Grade
Crossing Safety Fund.....
   $700,000 For safety studies at railroad crossings and installation of
safety equipment.
  312.2(5)
Highway Railroad Grade
Crossing Surface Repair
Fund.....
   $900,000 For surface maintenance and repair at railroad crossing sites.   312.2(5)
Living Roadway
Trust Fund.....
   $250,000 For integrated roadside vegetation management program. Represents distributions of $150,000 and $100,000. Program is
administered by State Department of Transportation. Revenue
allocations: 47.5 percent to Department of Transportation, 32.5
percent to counties, and 20 percent to cities.
312.2(9); 312.2(11)
Farm-to-Market Fund.....    $1,500,000 Construction of farm-to-market roads administered by the
State Department of Transportation.
This allocation is a result of increased truck registration fees and is
a partial compensation for allowing trucks to operate on farm-to-
market roads with increased weight allowances.
312.2(10)
Revitalize Iowa's Sound
Economy Fund.....
   1.55 cents per gallon
   motor and special fuel
Highway projects that promote economic development. Excludes aviation gasoline. To be distributed: 20/31 for primary
roads, 1/31 for secondary roads, and 10/31 for city streets.
(§315.4). Estimated $33,712,000 in FY 2001.
312.2(12)
Secondary Road Fund.....    0.45 cents per gallon
   motor and special fuel
Construction, maintenance and administration of
secondary roads.
Estimated $9,787,000 in FY 2001. 312.2(13)
General Fund.....    4 percent of Use
   Tax collections
Public transit assistance. Amount equal to 1/20 of 80 percent of revenue from use tax
on motor vehicles, trailers, and motor-vehicle accessories and
equipment. Estimated $11,383,000 in FY 2001.
(See Table S-106)
312.2(14)
Motorcycle Rider
Education Fund.....
   $1.00 per year of
   motorcycle license
   validity
Safety education of motorcycle riders. To be taken from Use tax. Estimated $174,000 in FY 2001. 312.2(16)
County Bridge Construction
Fund.....
   $2,000,000 Bridge construction and reconstruction.   312.2(17)(a)
City Bridge Construction
Fund.....
   $500,000 Bridge construction and reconstruction.   312.2(17)(b)
     Appropriation For salary adjustments $1,113,641 in FY 2001. (00 Acts, Ch. 1219, Sec. 10(1)) See remarks
Salary Adjustment Fund
Department of
Management.....
   Appropriation For salaries, support, maintenance, and miscellaneous
purposes
$56,000 in FY 2001. (00 Acts, Ch. 1231, Sec. 18)) See remarks
Department of
Personnel.....
   Appropriation For providing personnel services for DOT $66,760 in FY 2001. (00 Acts, Ch. 1231(26)) See remarks
     Remainder Distributed as follows:
Primary Road Fund.....       47.5 percent State highway construction, maintenance and
administration.
  312.2(1)
Counties.....       24.5 percent County road construction, maintenance and
administration.

Distributed among counties on the basis of 60 percent relative
needs and 40 percent relative areas.

312.2(2)
Farm-to-Market Fund.....       8 percent For construction of farm-to-market roads administered by
the State Department of Transportation.
Distributed among counties on the basis of 60 percent relative
needs and 40 percent relative areas.
312.2(3)
Cities.....       20 percent Construction, maintenance and administration of roads and
streets within cities.
Distributed in proportion that the population of the municipality
bears to the total municipal population of the State.
312.2(4)

Back to Table MF-106 State List

OHPI Home | Highway Taxes and Fees 2001


FHWA Home | Feedback
FHWA
United States Department of Transportation - Federal Highway Administration